Opinion ID: 721438
Heading Depth: 4
Heading Rank: 3

Heading: Electric Generators' claim83

Text: 214 The Electric Generators argue that FERC failed to consider adequately the demand-responsive volumetric charge system proposed by Arizona Electric Power Cooperative, Inc. (AEPCO), as an alternative to SFV rate design. They claim that AEPCO's proposed system does a better job of rationing scarce capacity during peak demand. However, FERC correctly counters that the fact that AEPCO may have proposed a reasonable alternative to SFV rate design is not compelling. The existence of a second reasonable course of action does not invalidate an agency's determination. See Cities of Batavia v. FERC, 672 F.2d 64, 84 (D.C.Cir.1982) ([T]he billing design need only be reasonable, not theoretically perfect.). Although an administrative agency must respond to comments which, if true, ... would require a change in an agency's proposed rule, American Mining Congress v. EPA, 907 F.2d 1179, 1188 (D.C.Cir.1990) (internal quotation marks and citations omitted), [319 U.S.App.D.C. 107] FERC has met that standard as to AEPCO's proposal. FERC noted the generator's concerns, but concluded that its own plan would better avoid the distorting influences on the gas market experienced during MFV ratemaking. Order No. 636-A, p 30,950, at 30,606-07. Though AEPCO and FERC each briefly debate the merits of the two proposals, we see no basis for voiding FERC's ruling, which appears based on substantial evidence in the record. 215