82 FR 47505 - Recommendation for the Western Area Power Administration Loveland Area Projects and Colorado River Storage Project To Pursue Final Negotiations Regarding Membership in a Regional Transmission Organization
DEPARTMENT OF ENERGY
Western Area Power Administration Federal Register Volume 82, Issue 196 (October 12, 2017)
Western Area Power Administration
Federal Register Volume 82, Issue 196 (October 12, 2017)
| Page Range | 47505-47506 | |
| FR Document | 2017-21938 |
[Federal Register Volume 82, Number 196 (Thursday, October 12, 2017)] [Notices] [Pages 47505-47506] From the Federal Register Online [www.thefederalregister.org] [FR Doc No: 2017-21938] ----------------------------------------------------------------------- DEPARTMENT OF ENERGY Western Area Power Administration Recommendation for the Western Area Power Administration Loveland Area Projects and Colorado River Storage Project To Pursue Final Negotiations Regarding Membership in a Regional Transmission Organization AGENCY: Western Area Power Administration, DOE. ACTION: Notice. ----------------------------------------------------------------------- SUMMARY: Western Area Power Administration (WAPA), a power marketing administration (PMA) of the Department of Energy (DOE), is publishing this recommendation for the Loveland Area Projects (LAP) and the Colorado River Storage Project (CRSP) to pursue final negotiations regarding membership in the Southwest Power Pool (SPP), a Regional Transmission Organization (RTO). WAPA is seeking public comment from its customers, Native American Tribes, stakeholders, and the public on the substance of WAPA's recommendation to pursue final negotiations regarding LAP and CRSP membership in SPP. DATES: To ensure consideration, all comments should be received by WAPA by email or at the address below on or before 4 p.m. MST November 27, 2017. WAPA will present a detailed explanation of the recommendation for LAP and listen to customers' and other interested parties' comments at a forum in Loveland, Colorado. WAPA also will present a detailed explanation of the recommendation for CRSP and listen to customers' and other interested parties' comments at forums held in locations throughout the CRSP marketing area. The specific times and locations of these forums are posted on the Web sites identified in the SUPPLEMENTARY INFORMATION section. Key information that formed the basis for this recommendation will be presented at the forums and is posted at the Web sites listed in the SUPPLEMENTARY INFORMATION section. Any decision to pursue the recommendation will be informed by comments received. ADDRESSES: Send written comments by email to SPP-Comments@wapa.gov or by mail to Mr. Rodney G. Bailey, Power Marketing Advisor, Western Area Power Administration, 150 East Social Hall Avenue, Suite 300, Salt Lake City, UT 84111-1580. Written comments must be received by the deadline identified in the DATES section to be considered in WAPA's decision process and should include the following information: 1. Name and general description of the entity submitting the comment. 2. Name, mailing address, telephone number, and email address of the entity's primary contact. 3. Identification of any specific recommendation the comment references. FOR FURTHER INFORMATION CONTACT: Mr. Rodney Bailey, Power Marketing Advisor, Western Area Power Administration, 150 East Social Hall Avenue, Suite 300, Salt Lake City, UT 84111-1580, telephone (801) 524- 4007. SUPPLEMENTARY INFORMATION: In 2013, representatives for LAP and CRSP, along with eight other transmission owners, informally referred to as the Mountain West Transmission Group (Mountain West), began discussing combining their transmission systems under a single tariff to eliminate pancaked transmission rates and enable generation optimization across the footprint. After reaching conceptual agreement on the possibility of a joint tariff, the discussions focused on the Mountain West participants joining an RTO with a fully integrated energy and ancillary services market. With this perspective, the Mountain West participants, individually and collectively, completed transmission cost studies, adjusted production cost modeling, and performed various other analyses. The Mountain West participants sent a request for information to SPP and three other RTOs. After having considered the responses to its request, in conjunction with each Mountain West participant's individual analyses and the collective Mountain West analyses, the Mountain West participants reached consensus to further investigate membership in SPP. After extensive discussions among the Mountain West participants, preliminary negotiations with SPP, and further analysis by WAPA subject matter experts, and pursuant to its authority under Section 1232(a)(1)(A) of the Energy Policy Act of 2005 (42 U.S.C. 16431), WAPA recommends pursuing final negotiations regarding LAP and CRSP membership in SPP. Any decision by WAPA to move forward in final negotiations with SPP will be consistent with CRSP and LAP statutory requirements and as outlined in the basis for the recommendation and explanatory material posted to WAPA's Rocky Mountain Region (RMR) and Colorado River Storage Project Management Center (CRSP MC) Web sites at https://www.wapa.gov/regions/rm and https://www.wapa.gov/regions/crsp, respectively. At the conclusion of those final negotiations, WAPA intends to provide notification of its decision for LAP and CRSP to either execute a membership agreement with SPP or terminate formal negotiations. Therefore, WAPA is soliciting comments from its customers and other interested parties regarding this recommendation. If the membership negotiations are successful, then LAP and CRSP would sign an SPP membership agreement to become members of SPP and participate in the SPP Integrated Marketplace, the LAP and CRSP transmission systems would be placed under the SPP tariff, and the Western Area Colorado Missouri Balancing Authority responsibilities would transfer to SPP. Section 1232(b) of the Energy Policy Act of 2005 authorizes the appropriate Federal regulatory authority to enter into a contract, agreement, or other arrangement transferring control and use of all or part of the transmission system of a Federal utility to a Transmission Organization. (42 U.S.C. 16431(b)). The Administrator of WAPA is designated as the appropriate Federal regulatory authority with respect to all or part of WAPA's transmission system in accordance with the Energy Policy Act of 2005. Availability of Information The basis for this recommendation and explanatory material to be presented at the forums are available for review and comment on the Web sites referenced in the SUPPLEMENTARY INFORMATION section. Comments received in response to this notice will be posted on the same Web sites after the close of the comment period. [[Page 47506]] Environmental Compliance In compliance with the National Environmental Policy Act (NEPA) of 1969 (42 U.S.C. 4321-4347), Council on Environmental Quality Regulations (40 CFR parts 1500-1508), and DOE NEPA Regulations (10 CFR part 1021), WAPA is in the process of determining whether an environmental assessment or an environmental impact statement should be prepared or if this action can be categorically excluded from those requirements. Further environmental review actions will be posted to the RMR and CRSP MC Web sites referenced in the SUPPLEMENTARY INFORMATION section. Dated: September 21, 2017. Mark A. Gabriel, Administrator. [FR Doc. 2017-21938 Filed 10-11-17; 8:45 am] BILLING CODE 6450-01-P
![Federal Register / Vol. 82, No. 196 / Thursday, October 12, 2017 / Notices 47505
Any person desiring to intervene or comments at forums held in locations further investigate membership in SPP.
protest in any of the above proceedings throughout the CRSP marketing area. After extensive discussions among the
must file in accordance with Rules 211 The specific times and locations of these Mountain West participants,
and 214 of the Commission’s forums are posted on the Web sites preliminary negotiations with SPP, and
Regulations (18 CFR 385.211 and identified in the SUPPLEMENTARY further analysis by WAPA subject
385.214) on or before 5:00 p.m. Eastern INFORMATION section. Key information matter experts, and pursuant to its
time on the specified comment date. that formed the basis for this authority under Section 1232(a)(1)(A) of
Protests may be considered, but recommendation will be presented at the Energy Policy Act of 2005 (42 U.S.C.
intervention is necessary to become a the forums and is posted at the Web 16431), WAPA recommends pursuing
party to the proceeding. sites listed in the SUPPLEMENTARY final negotiations regarding LAP and
eFiling is encouraged. More detailed INFORMATION section. Any decision to CRSP membership in SPP. Any decision
information relating to filing pursue the recommendation will be by WAPA to move forward in final
requirements, interventions, protests, informed by comments received. negotiations with SPP will be consistent
service, and qualifying facilities filings ADDRESSES: Send written comments by with CRSP and LAP statutory
can be found at: http://www.ferc.gov/ email to SPP-Comments@wapa.gov or requirements and as outlined in the
docs-filing/efiling/filing-req.pdf. For by mail to Mr. Rodney G. Bailey, Power basis for the recommendation and
other information, call (866) 208–3676 Marketing Advisor, Western Area Power explanatory material posted to WAPA’s
(toll free). For TTY, call (202) 502–8659. Administration, 150 East Social Hall Rocky Mountain Region (RMR) and
Dated: October 5, 2017. Avenue, Suite 300, Salt Lake City, UT Colorado River Storage Project
Kimberly D. Bose, 84111–1580. Written comments must be Management Center (CRSP MC) Web
Secretary. received by the deadline identified in sites at https://www.wapa.gov/regions/
[FR Doc. 2017–22007 Filed 10–11–17; 8:45 am]
the DATES section to be considered in rm and https://www.wapa.gov/regions/
BILLING CODE 6717–01–P
WAPA’s decision process and should crsp, respectively. At the conclusion of
include the following information: those final negotiations, WAPA intends
1. Name and general description of to provide notification of its decision for
DEPARTMENT OF ENERGY the entity submitting the comment. LAP and CRSP to either execute a
2. Name, mailing address, telephone membership agreement with SPP or
Western Area Power Administration number, and email address of the terminate formal negotiations.
entity’s primary contact.
Recommendation for the Western Area 3. Identification of any specific Therefore, WAPA is soliciting
Power Administration Loveland Area recommendation the comment comments from its customers and other
Projects and Colorado River Storage references. interested parties regarding this
Project To Pursue Final Negotiations recommendation. If the membership
FOR FURTHER INFORMATION CONTACT: Mr.
Regarding Membership in a Regional negotiations are successful, then LAP
Rodney Bailey, Power Marketing
Transmission Organization Advisor, Western Area Power and CRSP would sign an SPP
Administration, 150 East Social Hall membership agreement to become
AGENCY: Western Area Power members of SPP and participate in the
Administration, DOE. Avenue, Suite 300, Salt Lake City, UT
84111–1580, telephone (801) 524–4007. SPP Integrated Marketplace, the LAP
ACTION: Notice. and CRSP transmission systems would
SUPPLEMENTARY INFORMATION: In 2013,
SUMMARY: Western Area Power be placed under the SPP tariff, and the
representatives for LAP and CRSP, along
Administration (WAPA), a power Western Area Colorado Missouri
with eight other transmission owners,
marketing administration (PMA) of the Balancing Authority responsibilities
informally referred to as the Mountain
Department of Energy (DOE), is would transfer to SPP. Section 1232(b)
West Transmission Group (Mountain
publishing this recommendation for the of the Energy Policy Act of 2005
West), began discussing combining their
Loveland Area Projects (LAP) and the authorizes the appropriate Federal
transmission systems under a single
Colorado River Storage Project (CRSP) to regulatory authority to enter into a
tariff to eliminate pancaked
pursue final negotiations regarding contract, agreement, or other
transmission rates and enable
membership in the Southwest Power generation optimization across the arrangement transferring control and
Pool (SPP), a Regional Transmission footprint. After reaching conceptual use of all or part of the transmission
Organization (RTO). WAPA is seeking agreement on the possibility of a joint system of a Federal utility to a
public comment from its customers, tariff, the discussions focused on the Transmission Organization. (42 U.S.C.
Native American Tribes, stakeholders, Mountain West participants joining an 16431(b)). The Administrator of WAPA
and the public on the substance of RTO with a fully integrated energy and is designated as the appropriate Federal
WAPA’s recommendation to pursue ancillary services market. With this regulatory authority with respect to all
final negotiations regarding LAP and perspective, the Mountain West or part of WAPA’s transmission system
CRSP membership in SPP. participants, individually and in accordance with the Energy Policy
DATES: To ensure consideration, all collectively, completed transmission Act of 2005.
comments should be received by WAPA cost studies, adjusted production cost Availability of Information
by email or at the address below on or modeling, and performed various other
The basis for this recommendation
asabaliauskas on DSKBBXCHB2PROD with NOTICES
before 4 p.m. MST November 27, 2017. analyses. The Mountain West
WAPA will present a detailed participants sent a request for and explanatory material to be
explanation of the recommendation for information to SPP and three other presented at the forums are available for
LAP and listen to customers’ and other RTOs. After having considered the review and comment on the Web sites
interested parties’ comments at a forum responses to its request, in conjunction referenced in the SUPPLEMENTARY
in Loveland, Colorado. WAPA also will with each Mountain West participant’s INFORMATION section. Comments
present a detailed explanation of the individual analyses and the collective received in response to this notice will
recommendation for CRSP and listen to Mountain West analyses, the Mountain be posted on the same Web sites after
customers’ and other interested parties’ West participants reached consensus to the close of the comment period.
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![47506 Federal Register / Vol. 82, No. 196 / Thursday, October 12, 2017 / Notices
Environmental Compliance forum on November 17, 2017, at 10 a.m. United States in 1990. As part of the
In compliance with the National MDT in Salt Lake City, Utah. WAPA condemnation proceedings, PacifiCorp
Environmental Policy Act (NEPA) of will accept oral and written comments continued Olmsted operations until
1969 (42 U.S.C. 4321–4347), Council on at a public comment forum on 2015 after which time the operation of
Environmental Quality Regulations (40 November 17, 2017, immediately the facility became the responsibility of
CFR parts 1500–1508), and DOE NEPA following the conclusion of the public the Department of the Interior. As
Regulations (10 CFR part 1021), WAPA information forum. WAPA will accept agreed upon in an implementation
is in the process of determining whether written comments any time during the agreement executed February 4, 2015,
90-day consultation and comment among the Central Utah Water
an environmental assessment or an
period. Conservancy District (District);
environmental impact statement should
ADDRESSES: The public information Department of the Interior (Interior),
be prepared or if this action can be
forum and the public comment forum Bureau of Reclamation (Reclamation);
categorically excluded from those
will be held at the new Colorado River and WAPA, the District is currently
requirements. Further environmental
Storage Project Management Center, constructing a replacement facility for
review actions will be posted to the
Western Area Power Administration, power generation and will operate and
RMR and CRSP MC Web sites
299 South Main Street, Suite 200, Salt maintain the Olmsted facilities in
referenced in the SUPPLEMENTARY
Lake City, UT 84111. Written comments connection with its Central Utah Project
INFORMATION section.
and requests to be informed about the operations.
Dated: September 21, 2017.
Federal Energy Regulatory Non-reimbursable funding for
Mark A. Gabriel, Commission’s (FERC) actions Olmsted has largely been contributed by
Administrator. concerning the rates submitted by the District, Interior, and the Upper
[FR Doc. 2017–21938 Filed 10–11–17; 8:45 am] WAPA to FERC for approval should be Basin States. Funds available under
BILLING CODE 6450–01–P sent to: Ms. Lynn C. Jeka, CRSP Section 5(c) of the Colorado River
Manager, Colorado River Storage Project Storage Project Act were made available
Management Center, Western Area for Olmsted, and these funds are
DEPARTMENT OF ENERGY Power Administration, 150 East Social considered a reimbursable Federal
Hall Avenue, Suite 300, Salt Lake City, investment to be repaid by power
Western Area Power Administration UT 84111, email jeka@wapa.gov. The revenues. Interior will continue to own
Colorado River Storage Project the Olmsted Powerplant, and
Proposed Olmsted Project Rate Order commercial operation is anticipated to
Management Center is scheduled to
No. WAPA–177 begin July 1, 2018. WAPA will market
relocate to the new address in October
2017. WAPA will post the new mailing an energy-only product as no capacity
AGENCY: Western Area Power
address and the date of the move, as will be available to market from
Administration, DOE.
well as information about the rate Olmsted. Power production will be non-
ACTION: Notice of Proposed Power dispatchable and incidental to the
Formula Rate. process, on WAPA’s Web site at https://
delivery of water. It is expected that
www.wapa.gov/regions/CRSP/rates/
SUMMARY: The United States Department annual energy production will average
Pages/rate-order-177.aspx.
WAPA will post official comments approximately 27,000,000 kWh per year.
of Energy, Western Area Power
It is proposed that each customer
Administration (WAPA), Colorado River received via letter and email to this Web
which receives an allocation from
Storage Project Management Center site after the close of the comment
Olmsted will pay its proportional share
(CRSP MC), is proposing a new power period. Written comments must be
of the amortized portion of the
formula rate for the Olmsted received by the end of the consultation
reimbursable investment in Olmsted,
Hydroelectric Powerplant Replacement and comment period to be considered in
with interest, and the associated
Project (Olmsted). There is no existing WAPA’s decision process. Access to
operation, maintenance, and
rate for Olmsted; therefore, the CRSP WAPA’s facility is controlled; therefore,
replacement (OM&R) costs in return for
MC is proposing a new formula, under any U.S. citizen wanting to attend these its proportional share of total
Rate Schedule Olmsted F–1, that will be forums must present an official form of marketable energy production. This
used to determine the annual energy picture identification such as a U.S. repayment schedule does not depend
charge. WAPA will provide a brochure driver’s license, U.S. passport, U.S. upon the energy made available for sale
detailing information about the Government ID, or U.S. Military ID at or the amount of generation each year.
proposed formula rate prior to the the time of the forums. Foreign Customers are to pay reimbursable
public information forum and will post nationals planning to attend should investment as well as the OM&R costs
it to the Olmsted rate action Web site at contact WAPA 30 days in advance of of Olmsted and, in return, will receive
https://www.wapa.gov/regions/CRSP/ the forums to allow sufficient time to all of the energy produced. Each fiscal
rates/Pages/rate-order-177.aspx. If arrange admittance. year (FY) WAPA will estimate the
approved, the proposed formula rate FOR FURTHER INFORMATION CONTACT: Mr. Olmsted expenses by preparing a power
under Rate Schedule Olmsted F–1 Thomas Hackett, CRSP Rates Manager, repayment study, which will include
would become effective on April 1, Colorado River Storage Project estimates of the reimbursable
2018, and remain in effect through Management Center, Western Area investment costs, including interest, and
March 31, 2023, or until superseded. Power Administration, 150 East Social
asabaliauskas on DSKBBXCHB2PROD with NOTICES
OM&R.
Publication of this Federal Register Hall Avenue, Suite 300, Salt Lake City, To date, all investments are accounted
notice begins the formal process for the UT 84111, (801) 524–5503 or email for as Construction in Progress (CIP)
proposed formula rate. hackett@wapa.gov. costs and have not been transferred to
DATES: The consultation and comment SUPPLEMENTARY INFORMATION: The plant accounts for capitalization. Once
period will begin October 12, 2017 and existing Olmsted Powerplant, located in transferred, an amortization schedule
end January 10, 2018. WAPA will northern Utah, is over 100 years old and will be calculated for repayment.
present a detailed explanation about the was acquired from PacifiCorp in Historical financial data are only
proposed rate at a public information condemnation proceedings by the available through FY 2016, and
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Document Created: 2018-10-25 10:04:17
Document Modified: 2018-10-25 10:04:17
| Category | Regulatory Information | |
| Collection | Federal Register | |
| sudoc Class | AE 2.7: GS 4.107: AE 2.106: | |
| Publisher | Office of the Federal Register, National Archives and Records Administration | |
| Section | Notices | |
| Action | Notice. | |
| Dates | To ensure consideration, all comments should be received by WAPA | |
| Contact | Mr. Rodney Bailey, Power Marketing Advisor, Western Area Power Administration, 150 East Social Hall Avenue, Suite 300, Salt Lake City, UT 84111-1580, telephone (801) 524- 4007. | |
| FR Citation | 82 FR 47505 |
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