Source: https://www.federalregister.gov/documents/2019/03/12/2019-04456/integrated-system-power-rates
Timestamp: 2019-10-21 00:37:46
Document Index: 705923577

Matched Legal Cases: ['art 903', 'art 903', 'art 300', 'art 300', 'art 903', 'art 903']

A Notice by the Southwestern Power Administration on 03/12/2019
The consultation and comment period will begin on March 12, 2019 and will end on April 11, 2019. Written comments are due on or before April 11, 2019.
8851-8858 (8 pages)
RATE SCHEDULE P-13A 1 **
https://www.federalregister.gov/d/2019-04456 https://www.federalregister.gov/d/2019-04456
Notice of proposed change to Southwestern Power Administration Integrated System Wholesale Rates for Hydro Peaking Power Rate Schedule and opportunity for public review and comment.
The Administrator, Southwestern Power Administration (Southwestern), is proposing to add a new section to Southwestern's existing Integrated System Wholesale Rates for Hydro Peaking Power (P-13) Rate Schedule. This new section is necessary Start Printed Page 8852to effect a uniform shift in the time Southwestern requires its customers to submit Peaking Energy schedules. Southwestern has determined that the shift in Peaking Energy Schedule Submission Time from the current 2:00 p.m. CPT to the proposed 2:30 p.m. CPT allows Southwestern's customers to best incorporate Federal hydropower in their energy resource portfolios and better align with regional energy market considerations.
Comments should be submitted to Ms. Fritha Ohlson, Senior Vice President and Chief Operating Officer, Southwestern Power Administration, U.S. Department of Energy, One West Third Street, Tulsa, Oklahoma 74103.
Originally established by Order 1865, Secretary of the Interior, dated August 31, 1943 and effective September 1, 1943 (8 FR 12142 (Sept. 3, 1943)), Southwestern is an agency within the U.S. Department of Energy created by the Department of Energy Organization Act, Public Law 95-91, dated August 4, 1977. Guidelines for preparation of power repayment studies are included in DOE Order No. RA 6120.2 (Sept. 20, 1979), entitled Power Marketing Administration Financial Reporting. Procedures for public participation in power and transmission rate adjustments of the Power Marketing Administrations are found at title 10, part 903, subpart A of the Code of Federal Regulations (10 CFR part 903). Procedures for the confirmation and approval of rates for the Federal Power Marketing Administrations are found at title 18, part 300, subpart L of the Code of Federal Regulations (18 CFR part 300).
In accordance with 10 CFR part 903, Southwestern's proposed change to its P-13 Rate Schedule is considered a minor rate adjustment, as there is no change in annual revenues. 10 CFR part 903 also provides that neither a Public Information Forum nor a Public Comment Forum is required in conjunction with the consultation and comment period for a minor rate adjustment. Additionally, the proposed change is provided for contractually for those customers to whom the P-13 Rate Schedule applies. Therefore, Southwestern finds that holding a Public Information and Comment Forum in conjunction with the consultation and comment period is not necessary. Written comments will be accepted throughout the consultation and comment period (see DATES).
The proposed new Section 4.2 establishes the Peaking Energy Schedule Submission Time as on or before 2:30 p.m. Central Prevailing Time (CPT) of the day preceding the day for delivery of Peaking Energy. Southwestern has determined that the proposed new Section 4.2 will provide a single instrument and procedure for establishing and making limited adjustments to its Peaking Energy Schedule Submission Time. There is no change in annual revenues associated with the proposed P-13 Rate Schedule change.
Established by the provision in each customer's power sales contract, Southwestern's current requirement is that customers submit Peaking Energy schedules to Southwestern on or before 2:00 p.m. CPT of the day preceding the day for delivery of Peaking Energy. The majority of existing power sales contracts permit a change to the Peaking Energy schedule submission time provided the time change is specified in Southwestern's in-effect Rate Schedule for Hydro Peaking Power. Southwestern's customers requested that Southwestern consider shifting the Peaking Energy schedule submission time later in the day, which allows Southwestern's customers to best incorporate Federal hydropower in their energy resource portfolios and better align with regional energy market considerations. Southwestern performed studies to determine if a change to the submission time would create any operational or financial issues. At this time, there are no significant issues identified with changing the Peaking Energy schedule submission time from 2:00 p.m. CPT to the proposed 2:30 p.m. CPT. Southwestern's customers have expressed support for such a change. Therefore, Southwestern determined that it would pursue shifting its Peaking Energy schedule submission time from 2:00 p.m. CPT to 2:30 p.m. CPT.
For customers that schedule Peaking Energy with Southwestern, the majority of the customers' power sales contracts contain a provision for submitting Peaking Energy schedules to Southwestern on or before 2:00 p.m. CPT of the day preceding the day for delivery of Peaking Energy, unless otherwise specified in Southwestern's in-effect Rate Schedule for Hydro Peaking Power. However, the current P-13 Rate Schedule has no provision for establishing or adjusting the time for customers to submit Peaking Energy schedules. The Administrator determined that adding the proposed new Section 4.2 to the P-13 Rate Schedule implements the desired change in Peaking Energy schedule submission time most efficiently. Additionally, the proposed new Section 4.2 provides a procedure by which the Administrator may adjust the Peaking Energy Schedule Submission Time once annually to a time no earlier than 2:00 p.m. CPT and no later than 3:00 p.m. CPT.
Implementing the proposed new Section 4.2 that establishes the Peaking Energy Schedule Submission Time is consistent with the terms and conditions of the majority of existing power sales contracts. The few power sales contracts that do not contain the unless otherwise specified in Southwestern's in-effect Rate Schedule for Hydro Peaking Power provision are currently undergoing modification to insert such a provision, with execution anticipated prior to this proposed Rate Schedule change action taking effect. Southwestern would not implement the proposed new section in the P-13 Rate Schedule unless and until all applicable power sales contracts included the appropriate provision. Additionally, the proposed new Section 4.2 affords Southwestern a single instrument and procedure to utilize for establishing and making limited adjustments to its Peaking Energy Schedule Submission Time.Start Printed Page 8853
The title of the P-13 Rate Schedule will be changed to P-13A to reflect the addition of Section 4.2. A redlined version of the P-13 Rate Schedule, which shows the revision proposed by the P-13A Rate Schedule, will be made available upon request. To request a copy, please contact Ms. Fritha Ohlson, Senior Vice President and Chief Operating Officer.
Following review and consideration of written comments, the Administrator will determine whether to finalize and submit the proposed P-13A Rate Schedule to the Under Secretary of Energy for confirmation and approval on an interim basis, and subsequently to the Federal Energy Regulatory Commission (FERC) for confirmation and approval on a final basis. The FERC will allow the public an opportunity to provide written comments on the proposed rate schedule change before making a final decision.
RATE SCHEDULE P-13A [1] **
During the period October 1, 2013, through September 30, 2019**, in accordance with Federal Energy Regulatory Commission order issued January 9, 2014, Docket No. EF14-1-000.
The time by which Southwestern requires the Customer to submit Peaking Energy schedules to Southwestern as provided for in this Rate Schedule P-13A and in accordance with the terms and conditions of the Customer's Power Sales Contract.
The transmission and related facilities owned by Southwestern, and/or the generation, transmission, and related facilities owned by others, the capacity of which, by contract, is available to and utilized by Southwestern to satisfy its contractual obligations to the Customer.Start Printed Page 8854
2.1.3.1.1. The sum of the capacity, for any hour, which is used for Peaking Energy, Supplemental Peaking Energy, and Secondary Transmission Service, may not exceed the Peaking Contract Demand;
2.1.3.1.2. The non-Federal energy transmitted under such secondary service is delivered to the Customer's point of delivery for Hydro Peaking Power;
2.1.3.1.3. The Customer commits to provide Real Power Losses associated with such deliveries of non-Federal energy; and
2.1.3.1.4. Sufficient transfer capability exists between the point of receipt into the System of Southwestern of such non-Federal energy and the Customer's point of delivery for Hydro Peaking Power for the time period that such secondary transmission service is requested.
2.2.3.1.1. Procedure for Determining Net Purchased Power Adder Adjustment
DIF = The accumulated remainder of the difference in the actual and Start Printed Page 8855estimated total dollar cost of Southwestern's System Direct Purchases since the effective date of the currently approved Purchased Power Adder set forth in this Rate Schedule, which remainder is not projected for recovery through the ADJ in any previous periods;
2.4.5.1.1. Procedure for Determining Regulation Purchased Adder
Start Printed Page 8857
rkVAh = The total quantity of reactive kilovolt-ampere-hours (kVARs) delivered during such Demand Period to the point of delivery or interconnection in accordance with Section 3.3.4
Start Printed Page 8858
4.2.1. Applicability of Peaking Energy Schedule Submission Time
4.2.2. Procedure for Adjusting the Peaking Energy Schedule Submission Time
4.2.2.1.1. Determination of Need to Adjust the Peaking Energy Schedule Submission Time
4.2.2.1.2. Notification of Peaking Energy Schedule Submission Time Adjustment
1. Supersedes Rate Schedule P-13.
** Extended through September 30, 2019 by approval of Rate Order No. SWPA-72 by the Deputy Secretary of Energy.
1 . The average annual use of energy from storage for Regulation and Frequency Response Service is based on Southwestern studies.
[FR Doc. 2019-04456 Filed 3-11-19; 8:45 am]