Document ID: FERC-2016-0729-0001
Agency: ferc
Document Type: Rule
Title: Refinements to Policies and Procedures for Market-Based Rates for Wholesale Sales of Electric Energy, Capacity and Ancillary Services by Public Utilities
Posted Date: 2016-05-26T04:00Z

[Federal Register Volume 81, Number 102 (Thursday, May 26, 2016)]
[Rules and Regulations]
[Pages 33375-33387]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2016-12427]

=======================================================================
-----------------------------------------------------------------------

DEPARTMENT OF ENERGY

Federal Energy Regulatory Commission

18 CFR Part 35

[Docket No. RM14-14-001; Order No. 816-A]

Refinements to Policies and Procedures for Market-Based Rates for 
Wholesale Sales of Electric Energy, Capacity and Ancillary Services by 
Public Utilities

AGENCY: Federal Energy Regulatory Commission, DOE.

ACTION: Final rule; Order on rehearing and clarification.

-----------------------------------------------------------------------

SUMMARY: The Federal Energy Regulatory Commission is denying requests 
for rehearing and granting, in part, clarification of its 
determinations in Order No. 816, which amended its regulations that 
govern market-based rate authorizations for wholesale sales of electric 
energy, capacity, and ancillary services by public utilities pursuant 
to the Federal Power Act.

DATES: This rule will become effective July 25, 2016.

FOR FURTHER INFORMATION CONTACT: 
Greg Basheda (Technical Information), Office of Energy Market 
Regulation, Federal Energy Regulatory Commission, 888 First Street NE., 
Washington, DC 20426, (202) 502-6479.

Carol Johnson (Legal Information), Office of the General Counsel, 
Federal Energy Regulatory Commission, 888 First Street NE., Washington, 
DC 20426, (202) 502-8521.

SUPPLEMENTARY INFORMATION:

Table of Contents

 
                                                               Paragraph
                                                                 Nos.
 
I. Introduction.............................................           1
II. Discussion..............................................          12
    A. Sellers with Fully Committed Long-Term Generation              12
     Capacity...............................................
    B. Reporting of Long-Term Firm Purchases................          18
    C. Clarification of the Definition or Duration of Long-           26
     Term Firm Transmission Reservations....................
    D. Notices of Change in Status..........................          29
    E. New Affiliation and Behind-the-Meter Generation......          38
    F. Corporate Organizational Charts......................          45
    G. Part 101 Waivers.....................................          48
    H. Capacity Ratings.....................................          52
    I. Inputs to Electric Power Production..................          55
    J. Transmission/Natural Gas Assets Sheet................          58
    K. Long-Term Firm Power Purchases List..................          60
    L. Generation Assets Sheet, Rows [B] and [H]............          62
III. Information Collection Statement.......................          65
IV. Document Availability...................................          68
V. Effective Date...........................................          71
 

Order No. 816-A

Order on Rehearing and Clarification

I. Introduction

    1. On October 16, 2015, the Federal Energy Regulatory Commission 
(Commission) issued Order No. 816,\1\ which amended its regulations 
that govern market-based rate authorizations for wholesale sales of 
electric energy, capacity, and ancillary services by public utilities 
pursuant to the Federal Power Act (FPA). In this order, we address 
requests for rehearing and clarification of Order No. 816.\2\
---------------------------------------------------------------------------

    \1\ Refinements to Policies and Procedures for Market-Based 
Rates for Wholesale Sales of Electric Energy, Capacity and Ancillary 
Services by Public Utilities, Order No. 816, FERC Stats. & Regs. ] 
31,374 (2015) (Final Rule).
    \2\ Order No. 816 became effective on January 28, 2016. On 
December 23, 2015, upon consideration of requests for a stay of the 
corporate organizational chart requirement, the Commission issued an 
order granting an extension of time such that market-based rate 
applicants and sellers would not be required to comply with the 
corporate organizational chart requirement prior to the issuance of 
an order on the merits of the requests for rehearing. Refinements to 
Policies and Procedures for Market-Based Rates for Wholesale Sales 
of Electric Energy, Capacity and Ancillary Services by Public 
Utilities, 153 FERC ] 61,337 (2015).
---------------------------------------------------------------------------

    2. Nine requests for rehearing and clarification were filed.\3\ The 
requests for rehearing and clarification concern

[[Page 33376]]

the following topics: Sellers with fully committed long-term generation 
capacity; the reporting of long-term firm purchases; the definition or 
duration of long-term firm transmission reservations; notices of change 
in status; new affiliation and behind-the-meter generation; corporate 
organizational charts; and waiver of Part 101 of the Commission's 
regulations.\4\
---------------------------------------------------------------------------

    \3\ The requests for rehearing and clarification were filed by 
the following entities: EDF Renewable Energy, Inc. and E.ON Climate 
& Renewables North America LLC (IPP Developers); Edison Electric 
Institute (EEI); Electric Power Supply Association (EPSA); Invenergy 
Thermal Development LLC and Invenergy Wind Development LLC 
(Invenergy); National Hydropower Association (NHA); NextEra Energy, 
Inc. (NextEra); Southern California Edison Company (SoCal Edison); 
Southern Company Services, Inc. (Southern); and Transmission Access 
Policy Study Group (TAPS).
    \4\ 18 CFR pt. 101 (2015).
---------------------------------------------------------------------------

    3. In this order, in most respects, we affirm the Commission's 
determinations made in Order No. 816. However, regarding some issues, 
we provide clarification.
    4. Specifically, as discussed further below, we deny rehearing 
regarding the requirement to include the expiration date of the 
contract when a seller claims that its capacity is fully committed. To 
the extent that the expiration date is not known at the time a seller 
files for market-based rate authority, we confirm that a subsequent 
filing to report the contract expiration date will be treated as an 
informational filing rather than as an amendment to a pending 
application.
    5. We grant clarification regarding the requirement for applicants 
within a regional transmission organization or independent system 
operator (RTO/ISO) market to report all long-term firm energy and 
capacity purchases from generation capacity located within the RTO/ISO 
market if the generation is designated as a resource with capacity 
obligations. We clarify that this requirement does not apply if the 
generation is from a qualifying facility exempt from section 205 of the 
FPA. In addition, we affirm that a market-based rate seller must list 
all of its long-term firm power purchases in its asset appendix, 
Appendix B, even if it does not have market-based rate authority in its 
home balancing authority area.
    6. We clarify that the Commission did not intend to change the 
definition of long-term firm transmission reservations in Order No. 816 
and clarify that long-term firm transmission reservations are longer 
than 28 days.
    7. Regarding the Commission's 100 megawatt (MW) threshold for the 
requirement to report new affiliations, we affirm the determinations 
made in Order No. 816 but clarify which markets would be a seller's 
relevant geographic market for purposes of the 100 MW threshold 
reporting requirement. We also deny a rehearing request to find that 
capacity in first-tier markets \5\ be included for determining the 100 
MW change in status threshold.
---------------------------------------------------------------------------

    \5\ We clarify that for purposes of this order, the term 
``first-tier markets'' includes all first-tier areas, whether they 
are a balancing authority area or an RTO/ISO market.
---------------------------------------------------------------------------

    8. We affirm the Commission's determination in Order No. 816 that 
sellers are not required to include behind-the-meter generation in the 
100 MW change in status threshold, the 500 MW Category 1 seller status 
threshold, or to include such generation in the asset appendices and 
indicative screens.
    9. Additionally, we clarify that a hydropower licensee that 
otherwise sells power only at market-based rates will not be subject to 
the full requirements of the Uniform System of Accounts as a 
consequence of filing a cost-based reactive power tariff with the 
Commission, and may satisfy the requirements in Part 101 of the 
Commission's regulations by complying with General Instruction 16 of 
the Uniform System of Accounts.
    10. We also provide clarification regarding other aspects of the 
Final Rule, including revisions to regulatory text and instructions in 
the asset appendix to ensure consistency with the Commission's 
determinations in the Final Rule.
    11. Further, as discussed below, we grant an additional extension 
of time such that market-based rate applicants and sellers will not be 
required to comply with the corporate organizational chart requirement 
until the Commission issues an order at a later date.

II. Discussion

A. Sellers With Fully Committed Long-Term Generation Capacity

1. Final Rule
    12. In Order No. 816, the Commission clarified that sellers may 
explain that their generation capacity in the relevant geographic 
market (including first-tier markets) is fully committed, in lieu of 
submitting indicative screens, in order to satisfy the Commission's 
market-based rate requirements regarding horizontal market power in 
instances where all generation owned or controlled by a seller and its 
affiliates in the relevant balancing authority areas or markets 
(including first-tier markets) is fully committed. The Commission 
clarified that to qualify as fully committed, a seller must commit the 
capacity to a non-affiliated buyer so that none of it is available to 
the seller or its affiliates for one year or longer. The Commission 
also adopted the proposal that sellers claiming that all of their 
relevant capacity is fully committed must provide the following 
information: the amount of generation capacity that is fully committed, 
the names of the counterparties, the length of the long-term contract, 
the expiration date of the contract, and a representation that the 
contract is for firm sales for one year or longer.\6\
---------------------------------------------------------------------------

    \6\ Order No. 816, FERC Stats. & Regs. ] 31,374 at P 39.
---------------------------------------------------------------------------

    13. In response to NextEra's concern that at the time a seller 
files for market-based rate authority, the expiration date may be 
unknown, the Commission stated that if a contract expiration date is 
unknown at the time of the market-based rate filing, the seller must, 
within 30 days of the date becoming known, submit an informational 
filing, in the docket in which the seller was granted market-based rate 
authorization, to inform the Commission of the contract expiration 
date. In response to another commenter's remark that the expiration 
date is reported separately in electric quarterly report (EQR) filings, 
the Commission noted that many contracts reported in EQR filings do not 
include expiration dates and determined that it would require 
expiration date information in order to show that generation capacity 
is fully committed.\7\
---------------------------------------------------------------------------

    \7\ Id. P 44.
---------------------------------------------------------------------------

2. Requests for Rehearing
    14. NextEra requests rehearing of the Commission's determination 
concerning sellers with fully committed long-term generation capacity, 
stating that the Commission erred in requiring a market-based rate 
seller to report the expiration date of a long-term contract to the 
Commission within 30 days of the date being known, rather than simply 
in an EQR filing.\8\ NextEra contends that the Commission erred by 
failing to set forth an explanation of the specific after-the-fact need 
for the contract expiration date, as the seller is also required to 
provide the length of the long-term contract in order to demonstrate 
that it has no uncommitted capacity.\9\ NextEra states that if the 
Commission concludes that there is an actual need for this information 
given that after-the-fact reporting means that the expiration date can 
only be used in an ex post analysis, the Commission should clarify that 
it will permit sellers to provide the information to the Commission 
either through an EQR submission or on an after-the-fact basis.\10\ 
NextEra states that to the extent that a seller informs the Commission 
of the contract expiration date within 30 days of the date becoming 
known, the Commission should clarify that it will treat such filings as 
informational filings rather

[[Page 33377]]

than as amendments to pending applications.\11\
---------------------------------------------------------------------------

    \8\ NextEra Rehearing Request at 2.
    \9\ Id. at 12.
    \10\ Id. at 13.
    \11\ Id. at 14.
---------------------------------------------------------------------------

3. Commission Determination
    15. The Commission stated in Order No. 816 that sellers claiming 
that capacity is fully committed must provide, among other things, the 
length of the long-term contract and the expiration date of the 
contract. The same information must be provided for long-term firm 
sales of affiliated generation capacity located in the relevant 
balancing authority areas or markets, including first-tier markets. 
Including this information in the record of a seller's market-based 
rate filing is necessary so that a seller's claims of fully committed 
capacity can be verified as needed.
    16. In Order No. 816, the Commission addressed comments submitted 
by NextEra regarding contract expiration dates. In consideration of 
NextEra's contention that the expiration date may be unknown at the 
time a seller files for market-based rate authority,\12\ the Commission 
determined that, in such instances, the seller must follow up with an 
informational filing to inform the Commission of the contract 
expiration date, within 30 days of the date becoming known.\13\
---------------------------------------------------------------------------

    \12\ Order No. 816, FERC Stats. & Regs. ] 31,374 at P 38.
    \13\ Id. P 44.
---------------------------------------------------------------------------

    17. In its request for rehearing, NextEra questions the necessity 
of requiring the expiration date given that sellers are required to 
provide the length of the contract. We continue to believe that the 
expiration date is an important piece of information for sellers to 
provide. The expiration date provides the Commission with a specific 
date as to when the affected generation capacity may become uncommitted 
and the expiration date allows the Commission to verify the information 
previously provided by the seller for purposes of the Commission's ex 
ante analysis of the seller's potential market power. With regard to 
NextEra's argument that the Commission erred in requiring the market-
based rate seller to report the expiration date of a contract to the 
Commission within 30 days of the date being known, rather than in an 
EQR filing, we note that, as the Commission stated in Order No. 816, 
many contracts reported in EQR filings do not include expiration 
dates.\14\ Finally, consistent with Order No. 816, we grant NextEra's 
request that the Commission clarify that filings reporting contract 
expiration dates in support of a seller's claim that capacity is fully 
committed will be treated as informational filings rather than as 
amendments to filings.\15\
---------------------------------------------------------------------------

    \14\ Id.
    \15\ Id.
---------------------------------------------------------------------------

B. Reporting of Long-Term Firm Purchases

1. Final Rule
    18. The Commission adopted the proposal to report in the indicative 
screens long-term firm purchases of capacity and/or energy that have an 
associated long-term firm transmission reservation. The Commission 
stated that requiring applicants under the market-based rate program to 
report all of their long-term firm purchases of energy and/or capacity, 
regardless of whether the applicant has operational control of the 
generation capacity supplying the purchased power, will improve the 
accuracy of the indicative screens.\16\ The Commission stated that 
long-term firm power purchase agreements that are reported in the 
indicative screens also should be reported in the asset appendix, 
Appendix B, and created a separate sheet in Appendix B specifically for 
applicants to report all such long-term firm purchases.\17\
---------------------------------------------------------------------------

    \16\ Id. P 130.
    \17\ Id. P 139.
---------------------------------------------------------------------------

    19. The Commission stated that the requirement that applicants only 
include long-term firm power purchase agreements in their indicative 
screens if they have an associated long-term transmission reservation 
will not apply within RTO/ISO markets if that RTO/ISO does not have 
long-term firm transmission reservations or their equivalent. Instead, 
applicants in such RTO/ISO markets will be required to report all long-
term firm energy and/or capacity purchases from generation capacity 
located within the RTO/ISO market if the generation is designated as a 
network resource or as a resource with capacity obligations.\18\
---------------------------------------------------------------------------

    \18\ Id. P 145.
---------------------------------------------------------------------------

2. Requests for Rehearing
    20. SoCal Edison and NextEra seek clarification with regard to the 
reporting of long-term firm purchases.
    21. SoCal Edison seeks clarification that the requirement to report 
all long-term firm energy and/or capacity purchases from generation 
capacity located within the RTO/ISO market if the generation is 
designated as a resource with capacity obligations does not apply if 
the generation is a qualifying facility exempt from section 205 of the 
FPA. SoCal Edison asserts that there is no reason why an applicant that 
holds a long-term contract with a qualifying facility exempt from FPA 
section 205 should have to report that in the appendix and screens, 
even if the facility has capacity obligations, when affiliate-owned 
exempt qualifying facilities would be excluded from the reporting 
requirement.\19\
---------------------------------------------------------------------------

    \19\ SoCal Edison Rehearing Request at 2.
---------------------------------------------------------------------------

    22. NextEra seeks clarification related to the necessity of 
reporting long-term power purchases in the asset appendix, Appendix B, 
by entities that do not have market-based rate authorization in their 
balancing authority area and as a result are not required to submit 
indicative screens.\20\ NextEra states that in Order No. 816, the 
Commission stated that long-term firm power purchase agreements that 
are reported in the indicative screens also should be reported in the 
asset appendix. NextEra states that based on this statement, NextEra 
understands that the Commission will not require the inclusion of long-
term power purchase agreements if a seller does not have market-based 
rate authority in its balancing authority area, but instead makes only 
cost-based sales.\21\ NextEra asks the Commission to confirm that the 
inclusion of such information is only required for companies that have 
market-based authority in the relevant geographic market.\22\
---------------------------------------------------------------------------

    \20\ NextEra Rehearing Request at 2.
    \21\ Id. at 14.
    \22\ Id. at 15.
---------------------------------------------------------------------------

3. Commission Determination
    23. We grant SoCal Edison's requested clarification. Applicants 
purchasing energy and/or capacity from a qualifying facility that is 
exempt from section 205 of the FPA under a long-term firm power 
purchase agreement do not need to include such purchases in their 
indicative screens or in their asset appendix. In Order No. 816, the 
Commission determined that qualifying facilities that are exempt from 
section 205 of the FPA do not need to be reported in the asset appendix 
or indicative screens.\23\ Therefore, to ensure consistency in 
horizontal market power analyses filed by sellers we clarify that this 
exemption applies equally to long-term firm power purchases agreements 
backed by such resources.
---------------------------------------------------------------------------

    \23\ Order No. 816, FERC Stats. & Regs. ] 31,374 at P 255.
---------------------------------------------------------------------------

    24. We reject NextEra's requested clarification. A market-based 
rate seller must list all of its generation assets in its asset 
appendix even if it does not have market-based rate authority in its 
balancing authority area or, indeed, even if its generation is fully 
committed and it is not submitting any indicative

[[Page 33378]]

screens. We see no reason to treat long-term firm power purchase 
agreements differently than other generation capacity. In Order No. 
816, the Commission determined that long-term firm power purchase 
agreements with an associated long-term firm transmission reservation 
(or that are capacity resources in RTO/ISO markets) must be reported in 
a seller's indicative screens and asset appendix. Excluding long-term 
firm power purchase agreements as requested by NextEra would be 
inconsistent with that policy. In addition, sellers without market-
based rate authority in their own balancing authority area typically 
seek market-based rate authority elsewhere and do so by submitting 
indicative screens for their first-tier markets. A seller's long-term 
firm power purchase agreements are a resource that would need to be 
reflected in the screens for the seller's first-tier markets. Since 
these agreements are reflected in the screens to the extent that they 
provide potential exports from a seller's balancing authority area to 
first-tier markets, they should be included in the seller's asset 
appendix.
    25. We also clarify that the generation capacity associated with a 
unit-specific long-term contract should be reported in the ``Notes'' 
portion of the asset appendix. An example of this will be posted on the 
Commission's Web site.

C. Clarification of the Definition or Duration of Long-Term Firm 
Transmission Reservations

1. Final Rule
    26. In the Final Rule, the Commission provided clarification on the 
preparation of simultaneous transmission import limit (SIL) studies. In 
discussing SIL studies, the Commission declined a request to redefine 
the applicable duration of long-term firm transmission reservations, 
stating that it is currently defined as 28 days or longer.\24\
---------------------------------------------------------------------------

    \24\ Id. P 197.
---------------------------------------------------------------------------

2. Requests for Rehearing
    27. Southern states that Order No. 816 appears to erroneously refer 
to long-term firm transmission reservations as comprising reservations 
that are 28 days or longer. Southern maintains that this is contrary to 
precedent indicating that the expectation for entities performing SIL 
studies was that only transmission reservations with a duration longer 
than 28 days (i.e., a duration of 29 days and greater) should be 
considered to be long-term firm reservations.
3. Commission Determination
    28. We clarify that the Commission did not intend to change the 
definition of long-term firm transmission reservations in Order No. 
816. We reaffirm prior Commission guidance that short-term reservations 
are up to one month and long-term reservations are greater than one 
month.\25\ February is the shortest month, which means that long-term 
firm transmission reservations must be longer than 28 days. Thus, we 
clarify that long-term firm transmission reservations are longer than 
28 days.
---------------------------------------------------------------------------

    \25\ Market-Based Rates for Wholesale Sales of Electric Energy 
Capacity and Ancillary Services by Public Utilities, Order No. 697-
B, FERC Stats. & Regs. ] 31,285 at P 25 (2008).
---------------------------------------------------------------------------

D. Notices of Change in Status

1. Final Rule
    29. In the Notice of Proposed Rulemaking (NOPR), the Commission 
proposed to revise the change in status regulations at 18 CFR 35.42 to 
include a 100 MW threshold for reporting new affiliations. The 
Commission stated that a market-based rate seller that has a new 
affiliation would not be required to file a change in status for an 
affiliation with an entity with generation assets until its new 
affiliations result in a cumulative net increase of 100 MW or more of 
nameplate capacity in any relevant geographic market.\26\ In the Final 
Rule, the Commission adopted the proposed changes to the change in 
status requirements of section 35.42 of the Commission's 
regulations.\27\
---------------------------------------------------------------------------

    \26\ Refinements to Policies and Procedures for Market-Based 
Rates for Wholesale Sales of Electric Energy, Capacity and Ancillary 
Services by Public Utilities, FERC Stats. & Regs. ] 32,702, at P 96 
(2014) (NOPR).
    \27\ Order No. 816, FERC Stats. & Regs. ] 31,374 at P 251.
---------------------------------------------------------------------------

    30. In the Final Rule, the Commission stated that the 100 MW 
threshold applies to each new relevant market (not previously studied) 
in which a seller and/or its affiliates acquire a cumulative net 
increase of 100 MW.\28\ The Commission clarified that the phrase ``any 
relevant market'' refers to a market in which a seller already has 
generation located and acquires an additional 100 MW or accumulates 100 
MW or more in a new market that the seller had not studied 
previously.\29\ The Commission also clarified that the 100 MW threshold 
does not include generation capacity that can be imported from first-
tier markets.\30\ The Commission agreed with commenters that generation 
capacity in first-tier markets should not be treated the same as 
capacity located in the seller's relevant geographic market/study 
area.\31\
---------------------------------------------------------------------------

    \28\ Id. P 231.
    \29\ Id. P 237.
    \30\ Id. P 18.
    \31\ Id. P 229.
---------------------------------------------------------------------------

2. Requests for Rehearing
    31. IPP Developers request that the Commission make the following 
three clarifications: (1) If an affiliate of a seller acquires or 
controls 100 MW of generating capacity (including long-term firm 
purchases), the seller must submit a notice of change in status report 
if that 100 MW is located in the same relevant market that was studied 
as the basis for the seller's grant of market-based rate authority; (2) 
if an affiliate of the seller acquires or controls 100 MW or more of 
generating capacity (including long-term firm purchases) in a market 
that is two tiers away or more, the seller is not required to submit a 
notice of change in status report; and (3) if an affiliate of the 
seller acquires or controls 100 MW or more of generating capacity 
(including long-term firm purchases) in a market that is in the first-
tier, the seller is not required to submit a notice of change in status 
report.\32\ IPP Developers state that these three clarification 
requests appear to be a proper application of the Commission's 
statements in Order No. 816. IPP Developers conclude that a seller does 
not have a change in status reporting obligation in regard to an 
affiliate's generation in first-tier and beyond areas.\33\
---------------------------------------------------------------------------

    \32\ IPP Developers Rehearing Request at 1-3.
    \33\ Id.
---------------------------------------------------------------------------

    32. However, IPP Developers state that the following statement in 
paragraph 238 of Order No. 816 makes this reporting obligation unclear: 
``if a seller's affiliate is granted market based rate authority, and 
that results in 100 MW or more of new generation in a market, then the 
seller will have to file a corresponding change in status.'' \34\ IPP 
Developers state that ``a market'' could be any market other than the 
seller's studied relevant market, i.e., affiliate generation in first-
tier or beyond markets.\35\ IPP Developers state that this statement 
appears to say that a seller must file a notice of change in status 
report regardless of the market in which an affiliate of the seller 
acquires or controls 100 MW or more of generating capacity.\36\
---------------------------------------------------------------------------

    \34\ Id. at 3-4 (citing Order No. 816, FERC Stats. & Regs. ] 
31,374 at P 238 (emphasis added)).
    \35\ Id. at 4.
    \36\ Id.
---------------------------------------------------------------------------

    33. IPP Developers state that if the Commission is not inclined to 
provide the clarifications above, then IPP Developers request 
rehearing.\37\
---------------------------------------------------------------------------

    \37\ Id. at 3.
---------------------------------------------------------------------------

    34. TAPS seeks rehearing of the threshold calculation, arguing that

[[Page 33379]]

capacity in first-tier markets should be included for determining 
changes in the 100 MW change in status threshold.\38\ TAPS states that 
in the NOPR, the Commission proposed to clarify that the ``relevant 
geographic market'' for purposes of that 100 MW trigger included 
generation capacity that could be imported from first-tier markets.\39\ 
TAPS states that the Commission then reversed the NOPR proposal, 
stating that it would ``exclude markets and balancing authority areas 
that are first-tier to the seller's study area.'' \40\ TAPS states that 
the Commission erred and should grant rehearing to revise Order No. 816 
to include generation in first-tier markets for purposes of change in 
status reporting, whether or not it is supported by a long-term firm 
transmission reservation.\41\ Specifically, TAPS states that the 
Commission should require sellers to: (1) Include first-tier capacity 
when there is a long-term transmission reservation associated with the 
capacity; and (2) include all other first-tier capacity either in its 
entirety or, in the alternative, on a pro rata basis consistent with 
the inclusion of such generation in market power screens.\42\
---------------------------------------------------------------------------

    \38\ TAPS Rehearing Request at 1.
    \39\ Id. at 4 (citing NOPR, FERC Stats. & Regs. ] 32,702 at P 
96).
    \40\ Id. at 5 (citing Order No. 816, FERC Stats. & Regs. ] 
31,374 at P 230).
    \41\ Id. at 6.
    \42\ Id. at 5.
---------------------------------------------------------------------------

    35. TAPS states that the NOPR's proposal to include first-tier 
generation capacity is both simple and adequate.\43\ TAPS states that 
the Commission could allow sellers, with appropriate support, to 
prorate generation in markets first-tier to the study area in the same 
way capacity is assigned pro rata for indicative screen analyses 
(assuming there are no firm transmission reservations associated with 
the first-tier capacity, in which case it should be accorded its full 
megawatt value). TAPS states that this approach would be consistent 
with the methodology used in the indicative screens, but would require 
more analysis than reporting of all first-tier capacity for purposes of 
change in status reports.\44\
---------------------------------------------------------------------------

    \43\ Id. at 6-7.
    \44\ Id. at 7.
---------------------------------------------------------------------------

3. Commission Determination
    36. We grant clarification regarding IPP Developers' three examples 
of the application of Order No. 816. The scenarios presented by IPP 
Developers are a proper application of the Final Rule, assuming that 
the seller is not a power marketer (i.e., the seller owns generation). 
We also grant clarification regarding the Commission's statement in 
paragraph 238 of Order No. 816. In paragraph 238 of Order No. 816, the 
Commission stated that ``if a seller's affiliate is granted market-
based rate authority, and that results in 100 MW or more of new 
generation in a market, then the seller will have to file a 
corresponding change in status.'' \45\ We clarify that the phrase ``in 
a market'' means any relevant geographic market for the seller at the 
time of the change in status filing. Further, we note that the relevant 
geographic market for a particular seller depends on whether the seller 
is a power producer or a power marketer, whether the seller owns 
transmission or is interconnected to an affiliated transmission system, 
and whether the seller's generation is in an RTO/ISO. The relevant 
markets for a power marketer include any market where the power 
marketer's affiliates own generation. Thus, a power marketer that does 
not own any generation itself would need to report a change in status 
for a 100 MW net increase in any market where an affiliate owns 
generation and has been granted market-based rate authority.\46\ 
However, for a power producer, the relevant geographic market is where 
the seller's generation is physically located. Thus, a power producer 
would not need to report a 100 MW affiliate net increase in a market 
where the power producer itself does not own any generation. Similarly, 
in traditional (non-RTO/ISO) markets, the default relevant geographic 
market is ``first, the balancing authority area where the seller is 
physically located, and second, the markets directly interconnected to 
the seller's balancing authority area.'' \47\ However, ``[w]here a 
generator is interconnecting to a non-affiliate owned or controlled 
transmission system, there is one relevant geographic market (i.e., the 
balancing authority area in which the generator is located).'' \48\ For 
a seller located in an RTO/ISO market, the seller may consider the RTO/
ISO as the default relevant geographic market.\49\ In each 
circumstance, the market-based rate seller will have to determine 
whether any 100 MW increase is in a market that would be a relevant 
geographic market for that seller.
---------------------------------------------------------------------------

    \45\ Order No. 816, FERC Stats. & Regs. ] 31,374 at P 238 
(emphasis added).
    \46\ A power marketer with no affiliated generation is a 
Category 1 seller (exempt from filing triennial updated market power 
analysis) in all regions and has no relevant geographic market. A 
power marketer that acquires generation via a long-term power 
purchase agreement has a relevant geographic market where the power 
associated with this agreement is delivered (sinks), not where it 
originates (unless source and sink are in the same market, which is 
often the case). In this scenario, the power marketer is a Category 
1 or 2 seller in the relevant geographic market depending on the MWs 
associated with the contract(s). Category 2 sellers must submit 
triennial update market power analyses.
    \47\ Market-Based Rates for Wholesale Sales of Electric Energy 
Capacity and Ancillary Services by Public Utilities, Order No. 697, 
FERC Stats. & Regs. ] 31,252 at P 232 (2007).
    \48\ Id. P 232 n.217.
    \49\ Id. P 235 (noting that a seller may consider the RTO/ISO as 
the default relevant geographic market ``unless the Commission has 
already found the existence of a submarket'').
---------------------------------------------------------------------------

    37. We deny TAPS's request that capacity in first-tier markets be 
included for determining the 100 MW change in status threshold. As the 
Commission stated in Order No. 816, when a seller has a change in 
status in a particular market, it does not need to include any changes 
in adjoining first-tier markets in calculating the 100 MW threshold, 
even when a purchaser has long-term firm transmission rights to import 
affiliated capacity located in a first-tier market. We reiterate that, 
with respect to the calculation of the 100 MW threshold, 100 MW located 
outside of the study area is not equivalent to 100 MW inside the study 
area. In addition, requiring sellers to consider generation capacity in 
first-tier markets, and prorate generation from the first-tier markets 
into the study area, creates uncertainty as to when a seller would trip 
the 100 MW threshold and effectively would force a seller to prepare 
import analyses to determine how much of their additional first-tier 
capacity could be imported into the study area. We believe that the 
increased burden of preparing such studies would outweigh the potential 
benefit gained from receiving additional information about a seller's 
affiliated generation.

E. New Affiliation and Behind-the-Meter Generation

1. Final Rule
    38. As stated above, the Commission adopted the NOPR proposal to 
establish a 100 MW threshold for reporting new affiliations in change 
of status filings. The Commission stated that a market-based rate 
seller that has a new affiliation will not be required to file a change 
in status for an affiliation with an entity with generation assets 
until its new affiliations result in a cumulative net increase of 100 
MW of capacity in a relevant geographic market.\50\ The

[[Page 33380]]

Commission stated that the 100 MW threshold will be determined for each 
relevant geographic market but will not consider generation capacity 
additions in first-tier markets.\51\
---------------------------------------------------------------------------

    \50\ Order No. 816, FERC Stats. & Regs. ] 31,374 at P 251. The 
Commission noted that if a seller files a notice of change in status 
for another reason, e.g., to report the entrance into a power 
purchase agreement of more than 100 MW, the seller should note that 
it has a new affiliate with market-based rate authority and include 
that new affiliate and any related assets in the seller's asset 
appendix. Id. P 251 n.334.
    \51\ Id. P 251.
---------------------------------------------------------------------------

    39. The Commission did not adopt the NOPR proposal to count behind-
the-meter generation in the 100 MW change in status threshold and 500 
MW Category 1 seller threshold or to include such generation in the 
asset appendix and indicative screens.\52\
---------------------------------------------------------------------------

    \52\ Id. P 252.
---------------------------------------------------------------------------

    40. The Commission stated that the output of behind-the-meter 
generation should be reflected in the load data reported in the FERC 
Form No. 714, which reflects the fact that the load is lower than it 
otherwise would be if a portion of the load were not served by behind-
the-meter generation. The Commission also stated that, since behind-
the-meter generation is netted out of the load data, requiring sellers 
to count behind-the-meter generation as installed capacity could result 
in double-counting a portion of the seller's generation capacity. The 
Commission clarified that behind-the-meter generation that is consumed 
on-site by the host load and not sold into the wholesale market, or is 
not synchronized to the transmission grid, is not relevant to the 
Commission's horizontal market power analysis.\53\
---------------------------------------------------------------------------

    \53\ Id. P 253.
---------------------------------------------------------------------------

2. Requests for Rehearing
    41. TAPS requests rehearing and/or clarification, arguing that 
behind-the-meter generation that is available to make wholesale sales 
and that is not reflected as a reduction in load reported in Form No. 
714 should be included in seller reporting obligations, including the 
100 MW change in status threshold, the indicative screens, the asset 
appendix, and the 500 MW Category 1 seller status threshold.
    42. Specifically, TAPS states that the Commission should make clear 
that behind-the-meter generation that is not consumed on-site by the 
host load and reflected in Form No. 714 load data must, consistent with 
the Commission's duty to assess market power, be included in seller 
reporting obligations and indicative screens and category seller status 
determinations. TAPS contends that generation that participates in the 
wholesale markets influences a seller's market power regardless of 
whether it may be termed behind-the-meter.\54\ TAPS argues that even if 
it were otherwise permissible, the exclusion for behind-the-meter 
generation would be arbitrary and capricious. TAPS states that because 
Order No. 816 fails to limit the scope of the behind-the-meter 
exclusion to that included in load reported in Form No. 714 or not 
synchronized to the grid and provides no definition of behind-the-meter 
generation, sellers are left to their own devices to determine what is 
meant by behind-the-meter generation and then to exclude those 
resources for purposes of reporting under Order No. 816.\55\
---------------------------------------------------------------------------

    \54\ TAPS Rehearing Request at 11.
    \55\ Id.
---------------------------------------------------------------------------

    43. TAPS states that the Commission should clarify that its 
exclusion of behind-the-meter generation was intended to be restricted 
by its clarification at paragraph 253 of the Final Rule--that only 
generation that is reflected in Form No. 714 or not synchronized would 
be excludable from generation from market-based rate reporting and 
market power screens. Alternatively, TAPS states that the Commission 
should grant rehearing and: (1) Adopt its NOPR proposal to include 
behind-the-meter generation, with El Paso's clarification--i.e., that 
behind-the-meter generation that is not reflected as a decrease in load 
on Form No. 714 should be included in seller reporting obligations and 
all market power screens; or (2) otherwise avoid creating a behind-the-
meter generation blind spot of undefined proportions in its market 
power monitoring and assessment regimen.\56\
---------------------------------------------------------------------------

    \56\ Id. at 13.
---------------------------------------------------------------------------

3. Commission Determination
    44. We deny TAPS's request for rehearing. As the Commission stated 
in the Final Rule, the output of behind-the-meter generation largely 
should be reflected in the load data reported in the FERC Form No. 714, 
which reflects the fact that the load is lower than it otherwise would 
be if a portion of the load were not served by behind-the-meter 
generation. Accordingly, since behind-the-meter generation is netted 
out of the load data, requiring sellers to count behind-the-meter 
generation as installed capacity could result in double-counting a 
portion of some sellers' generation capacity. Further, the Commission 
stated in the Final Rule that behind-the-meter generation not sold into 
the wholesale market is not relevant to the Commission's horizontal 
market power analysis. Regarding TAPS's concern about behind-the-meter 
generation that is available to make wholesale sales and is not 
reflected in load reported in Form No. 714, we believe, at this time, 
that this category of generation is relatively limited and that the 
burden of sellers reporting this behind-the-meter generation would 
outweigh the benefits of such reporting. Therefore, at this time, we 
will not require sellers to report this type of generation.

F. Corporate Organizational Charts

1. Final Rule
    45. In the Final Rule, the Commission adopted the proposal to 
require a seller to include a corporate organizational chart when 
filing an initial application for market-based rate authority, an 
updated market power analysis, or, in some circumstances, a notice of 
change in status reporting new affiliations.\57\ The Commission revised 
the regulatory text in section 35.37(a)(2) and in section 35.42(c) in 
this regard.
---------------------------------------------------------------------------

    \57\ Order No. 816, FERC Stats. & Regs. ] 31,374 at P 21.
---------------------------------------------------------------------------

2. Requests for Rehearing
    46. Invenergy, SoCal Edison, NextEra, EEI, and EPSA request 
rehearing and/or clarification with respect to the requirement to 
submit corporate organizational charts. Parties argue, among other 
things, that the requirement imposes a substantial administrative 
burden on filers and is at odds with the objective of streamlining the 
market-based rate filing process.
3. Commission Determination
    47. As noted above, upon consideration of requests for a stay of 
the corporate organizational chart requirement, the Commission issued 
an order granting an extension of time such that market-based rate 
applicants and sellers would not be required to comply with the 
corporate organizational chart requirement prior to the issuance of an 
order on the merits of the requests for rehearing.\58\ Upon 
consideration of the concerns raised by the parties on rehearing 
regarding this requirement, we grant an additional extension of time 
such that market-based rate applicants and sellers will not be required 
to comply with the corporate organizational chart requirement until the 
Commission issues an order at a later date addressing this requirement. 
The extension will allow the Commission more time to fully consider the 
benefits and burdens associated with the corporate organizational chart 
requirement.\59\
---------------------------------------------------------------------------

    \58\ Refinements to Policies and Procedures for Market-Based 
Rates for Wholesale Sales of Electric Energy, Capacity and Ancillary 
Services by Public Utilities, 153 FERC ] 61,337 (2015).
    \59\ The Commission continues to consider appropriate mechanisms 
for consolidating the Commission's data collection requirements, 
including this organizational chart requirement, with the proposed 
rulemakings in Docket Nos. RM15-23 and RM16-3.

---------------------------------------------------------------------------

[[Page 33381]]

G. Part 101 Waivers

1. Final Rule
    48. The Commission clarified that granting waiver of 18 CFR part 
101 under market-based rate authority does not waive the requirements 
under Part I of the FPA for hydropower licensees. In addition, the 
Commission clarified that hydropower licensees that only make sales at 
market-based rates may satisfy the requirements in Part 101 of the 
Commission's regulations (Uniform System of Accounts) by complying with 
General Instruction 16 of the Uniform System of Accounts, and confirmed 
that hydropower licensees that have Commission-approved cost-based 
rates are required to comply with the full requirements of the Uniform 
System of Accounts.\60\
---------------------------------------------------------------------------

    \60\ Order No. 816, FERC Stats. & Regs. ] 31,374 at P 22.
---------------------------------------------------------------------------

2. Requests for Rehearing
    49. NHA requests clarification that a hydropower licensee that 
otherwise sells power only at market-based rates will not be subject to 
the full requirements of the Uniform System of Accounts as a 
consequence of filing a cost-based reactive power tariff with the 
Commission.\61\ Alternatively, NHA requests that the Commission clarify 
that it will allow licensees that otherwise sell only at market-based 
rates to request authorization, on a case-by-case basis, to continue to 
rely on General Instruction 16 of the Uniform System of Accounts at the 
time a reactive power tariff is filed with the Commission.\62\
---------------------------------------------------------------------------

    \61\ NHA Clarification Request at 3-5.
    \62\ Id. at 5.
---------------------------------------------------------------------------

    50. NHA argues that the Commission determined in Order No. 697 that 
``little purpose would be served to require compliance with accounting 
regulations for entities that do not sell at cost-based rates and do 
not have captive customers.'' \63\ NHA represents that the Commission 
has previously found that reactive power tariffs do not have captive 
customers and do not raise the same concerns as other cost-based rate 
tariffs.\64\ Additionally NHA notes that entities with a reactive power 
tariff and a market-based rate tariff have been previously granted 
waiver of Part 101.\65\
---------------------------------------------------------------------------

    \63\ Id. at 3 (citing Order No. 697, FERC Stats. & Regs. ] 
31,252 at P 984).
    \64\ Id. at 3-4 (citing Order No. 697, FERC Stats. & Regs. ] 
31,252 at P 483 (``concerns underlying the affiliate restrictions do 
not apply to sales of reactive power because those sales are 
typically either made to transmission providers so that the 
transmission provider can satisfy its obligation to provide reactive 
power or made by the transmission provider under its applicable 
[open access transmission tariff]'')).
    \65\ Id. (citing Sunbury Generation, LLC, 108 FERC ] 61,160 
(2004) (Sunbury); Illinois Power Generating Co., 148 FERC ] 61,238 
(2014) (granting waivers of Parts 41, 101, and 141 of the 
Commission's regulations to entities with a cost-based rate reactive 
power tariff and a market-based rate tariff)).
---------------------------------------------------------------------------

3. Commission Determination
    51. We clarify that a hydropower licensee that otherwise sells 
power only at market-based rates will not be subject to the full 
requirements of the Uniform System of Accounts as a consequence of 
filing a cost-based reactive power tariff with the Commission. Such a 
seller may satisfy the requirements in Part 101 of the Commission's 
regulations by complying with General Instruction 16 of the Uniform 
System of Accounts. We find that this clarification is consistent with 
previous Commission findings in Order No. 697 and Sunbury, as noted by 
NHA. We continue to find, however, that hydropower licensees that have 
Commission-approved cost-based rates are required to comply with the 
full requirements of the Uniform System of Accounts.\66\ Additionally, 
we remind sellers that ``previously granted waivers of the accounting 
requirements will continue to be rescinded where a seller is found to 
have market power (or where the sellers accepts a presumption of market 
power) and the seller proposes cost-based rate mitigation or the 
Commission imposes cost-based rate mitigation.'' \67\
---------------------------------------------------------------------------

    \66\ Order No. 816, FERC Stats. & Regs. ] 31,374 at P 22.
    \67\ Order No. 697, FERC Stats. & Regs. ] 31,252 at P 986.
---------------------------------------------------------------------------

H. Capacity Ratings

1. Final Rule
    52. In the Final Rule, the Commission revised the regulations at 18 
CFR 35.42 relating to the change in status reporting requirements to 
permit sellers to use nameplate or seasonal capacity ratings for the 
100 MW threshold for most generation and allow energy-limited 
generation to use either nameplate or a five-year average capacity 
factor.\68\ The Commission found that solar photovoltaic and solar 
thermal facilities are energy limited and determined that, due to their 
unique characteristics, solar photovoltaic facilities, unlike other 
energy-limited facilities, must use nameplate capacity and may not use 
five-year average capacity factors.\69\
---------------------------------------------------------------------------

    \68\ Order No. 816, FERC Stats. & Regs. ] 31,374 at P 232.
    \69\ Id. P 15.
---------------------------------------------------------------------------

2. Request for Rehearing
    53. Southern notes the Commission's determination in the Final Rule 
permitted sellers to use nameplate or seasonal capacity ratings for the 
100 MW threshold for most generation. Southern states that the 
regulatory text accompanying the Final Rule includes the phrase ``or 
seasonal'' in 18 CFR 35.42(a)(2)(i) but not in 18 CFR 35.42(a)(1). 
Southern requests that the Commission add the phrase ``or seasonal'' to 
18 CFR 35.42(a)(1) to align with the discussion in the Final Rule.\70\
---------------------------------------------------------------------------

    \70\ Southern Rehearing Request at 7 n.15 (citing Order No. 816, 
FERC Stats. & Regs. ] 31,374 at P 232).
---------------------------------------------------------------------------

3. Commission Determination
    54. We find that it is appropriate to revise 18 CFR 35.42(a)(1) to 
add the phrase ``or seasonal.'' Additionally, we are revising both 18 
CFR 35.42(a)(1) and (a)(2)(i) to further align the regulations with the 
discussion in the Final Rule. Specifically, the revised regulations 
will indicate that the 100 MW or more of capacity should be based on 
nameplate or seasonal capacity ratings and, for energy-limited 
resources, with the exception of solar photovoltaic facilities, the 
capacity ratings should be based on nameplate or five-year average 
capacity factors. These revised regulations will indicate that for 
solar photovoltaic facilities, the capacity ratings should be based on 
nameplate capacity.

I. Inputs to Electric Power Production

1. Final Rule
    55. The Commission considers a seller's ability to erect other 
barriers to entry as part of the vertical market power analysis and, as 
such, the Commission requires a seller to provide a description of its 
inputs to electric power production.\71\ Section 35.36(a)(4) of the 
Commission's regulations define inputs to electric power production to 
mean intrastate natural gas transportation, intrastate natural gas 
storage or distribution facilities, sites for generation capacity 
development, physical coal supply sources and ownership of or control 
over who may access transportation of coal supplies.
---------------------------------------------------------------------------

    \71\ Order No. 816, FERC Stats. & Regs. ] 31,374 at P 6.
---------------------------------------------------------------------------

    56. In the Final Rule, the Commission eliminated the requirement 
that market-based rate sellers file quarterly land acquisition reports 
and provide information on sites for generation capacity development in 
market-based rate applications and triennial updated market power 
analyses. Specifically, the Commission adopted the proposal to

[[Page 33382]]

revise the regulations at 18 CFR 35.42 relating to the change in status 
reporting requirements regarding sites for new generation capacity 
development and also adopted the proposal to revise the regulations at 
18 CFR 35.37 to remove the requirement that sellers provide information 
regarding sites for generation capacity development to demonstrate a 
lack of vertical market power. However, no changes to the definition of 
inputs to electric power production were made in the Final Rule.
2. Commission Determination
    57. In light the determinations made in the Final Rule, we revise 
our regulations at 18 CFR 35.36(a)(4) to remove sites for generation 
capacity development from the definition of inputs to electric power 
production. However, we clarify that the affirmative statement 
regarding barriers to entry required in 18 CFR 35.37(e)(3) continues to 
cover sites for generation capacity development.

J. Transmission/Natural Gas Assets Sheet

1. Final Rule
    58. In the NOPR, the Commission proposed to require any seller that 
has been granted waiver of the requirement to file an open access 
transmission tariff (OATT) for its transmission facilities to report in 
its Transmission/Natural Gas Assets Sheet the citation to the 
Commission order granting the OATT waiver for those transmission 
facilities.\72\ The Commission did not adopt the NOPR proposal in the 
Final Rule, agreeing with SoCal Edison that this requirement would not 
provide useful information in light of Order No. 807.\73\ The 
Commission further stated that, ``even if a seller has been granted 
waiver of the requirement to file an OATT, those transmission 
facilities should be reported in its asset appendix.'' \74\
---------------------------------------------------------------------------

    \72\ NOPR, FERC Stats. & Regs. ] 32,702 at P 120.
    \73\ Order No. 816, FERC Stats. & Regs. ] 31,374 at P 300 
(citing Open Access and Priority Rights on Interconnection 
Customer's Interconnection Facilities, Order No. 807, FERC Stats. & 
Regs. ] 31,367 (2015) (amending Commission regulations to waive the 
OATT requirements of section 35.28, the OASIS requirements of Part 
37, and the Standards of Conduct requirements of Part 358, under 
certain conditions, for entities that own interconnection 
facilities)).
    \74\ Id. P 295 (citing Order No. 697-A, FERC Stats. & Regs. ] 
31,268 at P 378 (``We clarify that the transmission facilities that 
we require to be included in that asset appendix are limited to 
those the ownership or control of which would require an entity to 
have an OATT on file with the Commission (even if the Commission has 
waived the OATT requirement for a particular seller).'')).
---------------------------------------------------------------------------

2. Commission Determination
    59. Upon further consideration, we modify the requirement to report 
in the asset appendix transmission facilities that have been granted an 
individual OATT waiver or that qualify for a blanket waiver under Order 
No. 807 and find that sellers are no longer required to include such 
facilities in their Transmission/Natural Gas Assets Sheet. We find that 
the burden of providing information on such facilities outweighs any 
benefit to reporting it. For this reason, we eliminate the requirement 
to report in the Transmission/Natural Gas Assets Sheet facilities that 
qualify for blanket waiver of the OATT requirement under Order No. 807 
and those that have been granted an individual OATT waiver.

K. Long-Term Firm Power Purchases List

1. Final Rule
    60. In the Final Rule, the Commission established a new, separate 
list in the asset appendix in which market-based rate sellers are to 
report their Long-Term Firm Power Purchase Agreements (PPAs).\75\ The 
Commission agreed with commenters that the format of the Generation 
Assets Sheet was not well suited for reporting long-term firm 
purchases.
---------------------------------------------------------------------------

    \75\ Id. P 270.
---------------------------------------------------------------------------

2. Commission Determination
    61. Subsequent to the issuance of Order No. 816, Commission Staff 
received numerous calls from sellers requesting guidance with respect 
to completing the Long-Term Firm PPAs Sheet. Upon further 
consideration, we recognize that certain modifications to this sheet 
and its instructions are warranted to improve its clarity. To that end, 
we are making the following changes. First, we are eliminating the 
existing column B, ``Docket # where MBR authority was granted'' as this 
is duplicative of information required elsewhere in the asset appendix. 
In response to questions as to whether the ``Market/Balancing Authority 
Area'' column was referring to the source or sink of the transaction, 
we are adding a column and specifically requesting sellers to identify 
both the source and sink of the transaction in separate designated 
columns. Finally, in response to other questions raised by market-based 
rate filers, we are adding a column requiring sellers to indicate 
whether a particular long-term firm purchase agreement is backed by a 
specific identified generation unit or by the supplier's generation 
fleet (i.e., a ``system'' contract). Instructions for the Long-Term 
Firm PPAs Sheet have been modified to reflect these changes and to make 
certain other clean up edits.

L. Generation Assets Sheet, Rows [B] and [H]

1. Final Rule
    62. The Final Rule contained instructions for completing the asset 
appendix. The description of Row [B] indicated that, if applicable, 
sellers should include the docket number where market-based rate or 
qualifying facility status was originally granted, and that it can be 
an EL or QF docket number. The description of Row [H] listed the six 
market-based rate regions but mistakenly listed the Southeast region 
twice and failed to mention the Northwest region.
2. Commission Determination
    63. We revise the instructions for Row [B] of the asset appendix to 
remove references to EL and QF dockets. This revision does not change 
the Commission's determinations in Order No. 816. Rather, this revision 
aligns the description and format information regarding Row [B] with 
the Commission's intent that Row [B] contain the docket number where 
market-based rate authority was granted.
    64. We revise the instructions to Row [H] of the Generation Assets 
Sheet to delete the second reference to ``Southeast'' and replace it 
with ``Northwest.''

III. Information Collection Statement

    65. The Office of Management and Budget (OMB) regulations 
implementing the Paperwork Reduction Act of 1995 \76\ require that OMB 
approve certain information collection requirements imposed by an 
agency.\77\ Upon approval of a collection(s) of information, OMB will 
assign an OMB control number and an expiration date. Respondents 
subject to the filing requirements of a rule will not be penalized for 
failing to respond to these collections of information unless the 
collections of information display a valid OMB control number.
---------------------------------------------------------------------------

    \76\ 44 U.S.C. 3507(d) (2012).
    \77\ 5 CFR 1320.11.
---------------------------------------------------------------------------

    66. The revisions made in Order No. 816 to the information 
collection requirements for market-based rate sellers were approved 
under FERC-919 (OMB Control No. 1902-0234).\78\ This order clarifies 
and makes minor revisions to some aspects of the existing information 
collection requirements for the market-based rate program. The

[[Page 33383]]

changes to the information collection include:
---------------------------------------------------------------------------

    \78\ OMB approved the information collection in Order No. 816 on 
December 22, 2015.
---------------------------------------------------------------------------

     Removing the need to list transmission facilities in the 
Transmission/Natural Gas Assets Sheet that have an OATT waiver or that 
qualify for the blanket OATT waiver (a slight burden decrease)
     adding a source/sink column and a column for generation 
unit/system contract type to the Long-Term Firm PPAs Sheet (slight 
burden increases)
     removing column B, ``Docket # where MBR authority was 
granted'' from the Long-Term Firm PPAs Sheet and removing references to 
``EL'' and ``QF'' in the instructions for Row [B] of the Generation 
Assets Sheet (de minimis decreases)
     removing sites for generation capacity development from 
the definition of inputs to electric power production at 18 CFR 
35.36(a)(4) (no change to burden).

The Commission estimates that there will be no net change to burden. 
This Final Rule will be submitted to OMB for review and approval of a 
``No Material/Nonsubstantive Change.''
    Title: Market Based Rates for Wholesale Sales of Electric Energy, 
Capacity and Ancillary Services by Public Utilities (FERC-919).
    Action: Clarification and Revision of Currently Approved Collection 
of Information.
    OMB Control No.: 1902-0234.
    Respondents for This Rulemaking: Public utilities, wholesale 
electricity sellers, businesses, or other for profit and/or not for 
profit institutions.
    67. Interested persons may obtain information on the reporting 
requirements by contacting: Federal Energy Regulatory Commission, 888 
First Street NE., Washington, DC 20426 [Attention: Ellen Brown, Office 
of the Executive Director, email: DataClearance@ferc.gov, phone: (202) 
502-8663, fax: (202) 273-0873]. Comments concerning the requirements of 
this rule may also be sent to the Office of Information and Regulatory 
Affairs, Office of Management and Budget, Washington, DC 20503 
[Attention: Desk Officer for the Federal Energy Regulatory Commission]. 
For security reasons, comments should be sent by email to OMB at 
oira_submission@omb.eop.gov. Comments submitted to OMB should refer to 
FERC-919 and OMB Control Number 1902-0234.

IV. Document Availability

    68. In addition to publishing the full text of this document in the 
Federal Register, the Commission provides all interested persons an 
opportunity to view and/or print the contents of this document via the 
Internet through FERC's Home Page (http://www.ferc.gov) and in FERC's 
Public Reference Room during normal business hours (8:30 a.m. to 5:00 
p.m. Eastern time) at 888 First Street NE., Room 2A, Washington, DC 
20426.
    69. From FERC's Home Page on the Internet, this information is 
available on eLibrary. The full text of this document is available on 
eLibrary in PDF and Microsoft Word format for viewing, printing, and/or 
downloading. To access this document in eLibrary, type the docket 
number excluding the last three digits of this document in the docket 
number field.
    70. User assistance is available for eLibrary and the FERC's Web 
site during normal business hours from FERC Online Support at 202-502-
6652 (toll free at 1-866-208-3676) or email at 
ferconlinesupport@ferc.gov, or the Public Reference Room at (202) 502-
8371, TTY (202) 502-8659. Email the Public Reference Room at 
public.referenceroom@ferc.gov.

V. Effective Date

    71. These regulations are effective July 25, 2016.

List of Subjects in 18 CFR Part 35

    Electric power rates, Electric utilities, Reporting and 
recordkeeping requirements.

    By the Commission.

    Issued: May 19, 2016.
Nathaniel J. Davis, Sr.,
Deputy Secretary.
    In consideration of the foregoing, the Commission amends Part 35, 
Chapter I, Title 18, Code of Federal Regulations, as follows:

PART 35--FILING OF RATE SCHEDULES AND TARIFFS

0
1. The authority citation for part 35 continues to read as follows:

    Authority:  16 U.S.C. 791a-825r, 2601-2645; 31 U.S.C. 9701; 42 
U.S.C. 7101-7352.

Sec.  35.36  [Amended]

0
2. Amend Sec.  35.36 as follows:
0
a. In paragraph (a)(4), remove the comma and add in its place a 
semicolon.
0
b. In paragraph (a)(4), remove the phrase ``sites for generation 
capacity development;''.

0
3. Amend Sec.  35.42 by revising paragraphs (a)(1) and (a)(2)(i) to 
read as follows:

Sec.  35.42  Change in status reporting requirement.

    (a) * * *
    (1) Ownership or control of generation capacity or long-term firm 
purchases of capacity and/or energy that results in cumulative net 
increases (i.e., the difference between increases and decreases in 
affiliated generation capacity) of 100 MW or more of capacity based on 
nameplate or seasonal capacity ratings, or, for solar photovoltaic 
facilities, nameplate capacity, or, for other energy-limited resources, 
nameplate or five-year average capacity factors, in any individual 
relevant geographic market, or of inputs to electric power production, 
or ownership, operation or control of transmission facilities; or
    (2) * * *
    (i) Owns or controls generation facilities or has long-term firm 
purchases of capacity and/or energy that results in cumulative net 
increases (i.e., the difference between increases and decreases in 
affiliated generation capacity) of 100 MW or more of capacity based on 
nameplate or seasonal capacity ratings, or, for solar photovoltaic 
facilities, nameplate capacity, or, for other energy-limited resources, 
nameplate or five-year average capacity factors, in any individual 
relevant geographic market;
* * * * *

0
4. Revise appendix B to subpart H to read as follows:

Appendix B to Subpart H of Part 35--Corporate Entities and Assets 
Sample Appendix

BILLING CODE 6717-0-P

[[Page 33384]]

[GRAPHIC] [TIFF OMITTED] TR26MY16.039

[[Page 33385]]

[GRAPHIC] [TIFF OMITTED] TR26MY16.040

[[Page 33386]]

[GRAPHIC] [TIFF OMITTED] TR26MY16.041

[[Page 33387]]

[GRAPHIC] [TIFF OMITTED] TR26MY16.042

[FR Doc. 2016-12427 Filed 5-25-16; 8:45 a.m.]
 BILLING CODE 6717-01-C