Electric power transmission, acquisition, and conservation: 96); correction of errors,

[Federal Register: August 13, 1999 (Volume 64, Number 156)]

[Notices]

[Page 44361-44366]

From the Federal Register Online via GPO Access [wais.access.gpo.gov]

[DOCID:fr13au99-136]

DEPARTMENT OF ENERGY

Bonneville Power Administration

Proposed Correction of Errors in the Firm Power Products and Services Rate Schedule (FPS-96): Clarifying the Applicability of the FPS-96 Contract Rate to Certain Capacity With Energy Return Contracts, Public Hearing, and Opportunity for Public Review and Comment

AGENCY: Bonneville Power Administration (BPA), Department of Energy (DOE).

ACTION: Notice of Proposed Correction of Errors in the Firm Power Products and Services Rate Schedule (FPS-96): Clarifying the Applicability of the FPS-96 Contract Rate to Certain Capacity With Energy Return Contracts.

SUMMARY: BPA unbundled its wholesale power and transmission products in its 1996 rate case. Pursuant to this unbundling, several of BPA's wholesale power rate schedules included separate rates for sales of firm capacity with energy returns (commonly referred to as capacity without energy). Although clarifying language was mistakenly omitted from the FPS-96 rate schedule, the record established that it was BPA's intent that the firm capacity with energy returns product would be sold at a negotiated price.

Certain BPA contracts executed prior to October 1, 1996, provide that BPA supply capacity without energy at the demand charge in the Contract Rate of

[[Page 44362]]

the then applicable surplus firm power rate schedule. BPA erred in the FPS-96 rate schedule when it failed to expressly state in that schedule that the capacity without energy product would be priced at a negotiated rate. The demand charge in the Contract Rate section of FPS- 96 was priced to be sold only in conjunction with the purchase of the separate energy product in that section. This action is intended to correct those errors.

DATES: The prehearing conference will be held on August 24, 1999, from 1:00 p.m. to 4:00 p.m., Room 223, 911 N.E. 11th, Portland, Oregon. Written comments by participants must be received by October 13, 1999, to be considered in the Record of Decision (ROD).

ADDRESSES: BPA's initial rate proposal in this proceeding will be available for examination on August 24, 1999 at BPA's Public Information Center, BPA Headquarters Building, 1st Floor, 905 N.E. 11th, Portland, Oregon. Written comments should be submitted to Mr. Michael Hansen, Public Involvement and Information Specialist; Bonneville Power Administration; P.O. Box 12999; Portland, Oregon 97212. The prehearing conference will be held on August 24, 1999, from 1:00 p.m. to 4:00 p.m., Room 223, 911 N.E. 11th, Portland, Oregon. To request documents in this proceeding by telephone, call BPA's document request line: (503) 230-4328 or call toll-free 1-800-622-4519. Please request the document by its listed title. BPA's initial proposal for FPS-96R will also be available on BPA's website at www.bpa.gov/power/ ratecase.

Responsible Official: Ms. Diane Cherry, Manager for Power Products, Pricing and Rates, is the official responsible for the development of BPA's wholesale power rates.

SUPPLEMENTARY INFORMATION:

Part I--Introduction and Procedural Background

1. Relevant Statutory Provisions Governing This Rate Proceeding

   Section 7 of the Northwest Power Act, 16 U.S.C. 839e, contains a number of general directives that the BPA Administrator must consider in establishing rates for the sale of electric energy and capacity. In particular, section 7(a)(1), 16 U.S.C. 839e(a)(1), provides in part that:

   [S] uch rates shall be established and, as appropriate, revised to recover, in accordance with sound business principles, the costs associated with the acquisition, conservation, and transmission of electric power, including the amortization of the Federal investment in the Federal Columbia River Power System (including irrigation costs required to be repaid out of power revenues) over a reasonable period of years and the other costs and expenses incurred by the Administrator pursuant to this Act and other provisions of law.

   Rates established by BPA are effective on an interim or final basis when approved by FERC. 16 U.S.C. 839e(a)(2). In addition to the Northwest Power Act, BPA ratemaking is governed by the Bonneville Project Act, 16 U.S.C. Section 832 et seq., the Federal Columbia River Transmission System Act, 16 U.S.C. Section 838 et seq., and the Flood Control Act of 1944, 16 U.S.C. 825s.

   Section 7(i) of the Northwest Power Act, 16 U.S.C. 839e(i), requires that BPA's rates be set according to certain procedures. These procedures include issuance of a Federal Register notice announcing the proposed rates; one or more hearings; the opportunity to submit written views, supporting information, questions, or arguments; and a decision by the Administrator based on the record developed during the hearing process. This proceeding will be governed by BPA's ``Procedures Governing Bonneville Power Administration Rate Hearings,'' 51 FR 7611 (March 5, 1986), which implement and, in most instances, expand these statutory requirements.

   Pursuant to section 1010.3(c) of the Procedures Governing Bonneville Power Administration Rate Hearings (BPA Procedures), this hearing will be conducted under Rule 1010.10, which governs Expedited Rate Proceedings. The expedited procedures will be used rather than the procedures for General Rate Proceedings conducted under Rule 1010.9. The procedures for General Rate Proceedings are intended for use when the Administrator proposes to revise all, or substantially all, of BPA's wholesale power and transmission rates. The proposed correction of the FPS-96 schedule does not impact any other part of the FPS-96 rate schedule, or any other rate schedule, and will be applicable to a very limited number of contracts. Therefore, the issues in this rate proceeding will be fewer and of more limited scope than the issues in a proceeding to adjust all BPA rates. BPA believes that the Expedited Rate Proceeding will be adequate to develop a full and complete record and to receive public comment and argument related to the proposed corrections. If more time is required, the Hearing Officer may request under section 1010.10(b) of the BPA Procedures that the BPA Administrator grant an extension.

2. Background

   On July 17, 1995, BPA fileda notice in the Federal Register proposing new wholesale power and transmission rates to be effective on October 1, 1996, including the FPS-96 rate schedule. BPA's initial rate proposal was filedon July 10, 1995, and was supported by written testimony and studies. Parties to the proceeding filedtheir rebuttal to BPA's direct case and their own direct testimony on September 8, 1995. On December 8, 1995, litigants filedrebuttal to the parties' direct cases. BPA also fileda supplemental rate proposal on December 8, 1995, which consisted of written testimony and studies.

   Parties filedtheir direct cases in response to BPA's supplemental rate proposal on January 26, 1996. Testimony responding to the parties' supplemental cases was filedon February 12, 1996. Rebuttal testimony was filedby all litigants on February 14, 1996. Cross-examination began on February 20, 1996. Parties submitted initial briefs on April 22, 1996. Oral argument before the BPA Administrator and Deputy Administrator was held on April 30, 1996. A Draft ROD was published and distributed to parties on May 4, 1996. Parties filedbriefs on exceptions on May 30, 1996. BPA published its Final ROD on June 17, 1996.

   BPA filedits proposed rates, including the FPS-96 schedule, with FERC on July 26, 1996. On September 25, 1996, FERC granted interim approval of the proposed rates effective October 1, 1996. United States Dept. of Energy-Bonneville Power Administration, 76 FERC para. 61,314 (1996). On July 30, 1996, FERC issued an order granting final confirmation and approval of BPA's rates, including the FPS-96 rate schedule. United Stated Dept. of Energy-Bonneville Power Administration, 80 FERC para. 61,118 (1997). The FPS-96 rate was approved for a 10-year period ending September 30, 2006.

3. Proposed Schedule Concerning This Rate Proceeding

   BPA's initial rate proposal in this proceeding will be available for examination on August 24, 1999, at BPA's Public Information Center, BPA Headquarters Building, 1st Floor; 905 N.E. 11th, Portland, Oregon, and will be provided to parties at the prehearing conference to be held on August 24, 1999, from 1:00 p.m. to 4:00 p.m., Room 223, 911 N.E. 11th, Portland, Oregon.

   To request documents in this proceeding by telephone, call BPA's document request line: (503) 230-4328

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   or call toll-free 1-800-622-4519. Please request the document by its listed title. BPA's initial proposal for FPS-96R will also be available on BPA's website at www.bpa.gov/power/ratecase.

   As noted above, BPA will release its proposed revisions to the FPS- 96 rate schedule on August 24, 1999. BPA expects to publish a final ROD on December 6, 1999. The following proposed schedule is provided for informational purposes. A final schedule will be established by the Hearing Officer at the prehearing conference:

   August 24--Prehearing Conference (BPA files Direct Case) and deadline for petitions to intervene. September 17--Data Requests on BPA's Direct Case Due. September 24--Data Responses Due. October 4--Parties' Direct Cases (including rebuttal to BPA's Direct Case). October 12--Data Requests on Parties' Direct Cases Due. October 13--Close of Public Comment. October 19--Data Responses Due. October 26--Litigants' Rebuttal Cases (no discovery). November 2--Cross-Examination. November 9--Initial Briefs. November 17--Draft Record of Decision. November 27--Briefs on Exceptions. December 6--Final Record of Decision.

   The procedural schedule established for Docket No. FPS-96R will provide an opportunity for interested persons to review BPA's proposed rates, to participate in the rate hearing, and to submit oral and written comments. During the development of the final rate proposal, BPA will evaluate all written and oral comments received in the rate proceeding. Consideration of comments and more current data may result in the final rate proposal differing from the rates proposed in this Notice.

   BPA expects to file its ROD with FERC by January 6, 2000, requesting that the proposed revisions go into effect on or before June 1, 2000.

   Part II--Purpose and Scope of Hearing

   The purpose of the proposed changes to the Firm Power Products and Services (FPS-96) rate schedule is to clarify and establish the rates that apply to the capacity without energy product.

   The FPS-96 rate schedule includes a Contract Rate demand charge section, which contains a rate of $0.87/kW/month. The demand charge in this section was designed and priced to be used exclusively in conjunction with the purchase of the separate energy product included in the same section of FPS-96. The Contract Rate demand charge was not intended to apply to capacity without energy.

   The FPS-96 rate schedule is a successor to the Surplus Firm Power (SP-93) rate schedule. However, prior to the product unbundling in the FPS-96 rate schedule, the Contract Rate demand charge in BPA's Surplus Firm Power rate schedules (SP-93, SP-91, SP-89 and SP-86) was priced to provide capacity without energy. The Contract Rate demand charge in each of these Surplus Firm Power rate schedules included: (1) firm energy; (2) firm capacity without energy; and (3) firm power. In addition, the demand charge in the Contract Rate in those schedules was priced to reflect the value of capacity, with or without energy.

   Pursuant to BPA's product unbundling in the 1996 rate case, separate sections for the capacity without energy product were included in the Priority Firm Power (PF-96) and New Resource Power (NR-96) rate schedules. Consistent with this product unbundling, the FPS-96 rate schedule was also designed to unbundle capacity and energy products. Although clarifying language was mistakenly omitted from the FPS-96 rate schedule, it was BPA's stated intent that the capacity without energy product would be sold at a negotiated price, not under the Contract Rate demand charge. This is established by BPA's Final 1996 Wholesale Power Rate Development Study (WPRDS), WP-96-FS-BPA-01. Section 4.7 of the WPRDS states in pertinent part that:

   Firm capacity without energy is available under PF-96 and NR-96 rate schedules for Computed Requirements customers purchasing under the 1981 Contract. Firm capacity without energy is also available under the FPS-96 rate schedule, at negotiated prices and terms that may vary from those in the PF and NR rate schedules.

   BPA entered into some contracts prior to the establishment of the FPS-96 rate schedule that provide for BPA to supply, under specified circumstances, capacity without energy, and further provide that such product should be priced under the Contract Rate demand charge section of the then applicable Surplus Firm Power rate schedule. As noted previously, the FPS-96 rate schedule is the successor to all prior Surplus Firm Power rate schedules. BPA erred in the FPS-96 rate schedule when it failed to expressly state in that schedule that contracts providing for capacity without energy would no longer be sold at the Contract Rate demand charge, but rather would be priced at a negotiated rate, and that the demand charge in the Contract Rate section in FPS-96 was for a firm power sale product. The fact that an error was made is reflected in the above quoted language from the WPRDS, and in the fact that the $0.87/kW/month price does not, and did not at the time the rate schedule was developed, recover the costs to BPA associated with providing energy during high cost periods and taking energy back during lower cost periods.

   Because some contracts may require a posted, as opposed to a negotiated, rate for capacity without energy, BPA is proposing to post seasonally adjusted rates that may be used in instead of a negotiated rate. The posted rates shall be available only for those contracts in effect on or before October 1, 1996, that provide for capacity without energy to be priced at the Contract Rate demand charge in the then applicable Surplus Firm Power rate schedule.

   BPA has assessed the potential environmental effects of its rate proposal, as required by the National Environmental Policy Act (NEPA), as part of BPA's Business Plan Environmental Impact Statement (EIS). The analysis includes an evaluation of the environmental impacts of a range of rate design alternatives for BPA's power services and an analysis of the environmental impacts of the rate levels resulting from the rates for such services under the business structure alternatives. BPA's proposal to revise the FPS-96 schedule falls within the range of alternatives evaluated in the Final Business Plan EIS. Comments on the Business Plan EIS were received outside the formal rate hearing process, but will be included in the rate case record and considered by the Administrator in making a final decision establishing BPA's revisions to the 1996 rate schedules. The Business Plan EIS was completed in June 1995.

   Pursuant to Rule 1010.3(f) of BPA's Procedures, the Administrator limits the scope of this hearing to issues respecting the correction of the FPS-96 rate schedule as described in section II hereof. Other provisions of the existing FPS-96 rate schedule are not rate matters for the purposes of this hearing.

   3. Public Participation

1. Distinguishing Between ``Participants'' and ``Parties'

   BPA distinguishes between ``participants in'' and ``parties to'' the hearings. Apart from the formal hearing process, BPA will receive comments, views, opinions, and information from ``participants,'' who are defined in the BPA Procedures as persons who may submit comments without being subject to the duties of, or having the privileges

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   of, parties. Participants' written and oral comments will be made part of the official record and considered by the Administrator. Participants are not entitled to participate in the prehearing conference; may not cross-examine parties' witnesses, seek discovery, or serve or be served with documents; and are not subject to the same procedural requirements as parties.

   Written comments by participants will be included in the record if they are submitted on or before October 13, 1999. Participants' written views, supporting information, questions, and arguments should be submitted to the address noted above. The second category of interest is that of a ``party'' as defined in Rules 1010.2 and 1010.4 of the BPA Procedures. 51 FR 7611 (1986). Parties may participate in any aspect of the hearing process.

2. Petitions for Intervention

   Persons wishing to become a party to BPA's rate proceeding must notify BPA in writing. Petitioners may designate no more than two representatives upon whom service of documents will be made. Petitions to intervene shall state the name and address of the person requesting party status and the person's interest in the hearing.

   Petitions to intervene as parties in the rate proceeding are due to the Hearing Officer by August 24, 1999. The petitions should be directed to: Christopher Jones, Hearing Clerk--LP, Bonneville Power Administration, 905 N.E. 11th Ave., P.O. Box 12999, Portland, Oregon 97212.

   Petitioners must explain their interests in sufficient detail to permit the Hearing Officer to determine whether they have a relevant interest in the hearing. Pursuant to Rule 1010.1(d) of BPA's Procedures, BPA waives the requirement in Rule 1010.4(d) that an opposition to an intervention petition be filedand served 24 hours before the prehearing conference. Any opposition to an intervention petition may instead be made at the prehearing conference. Any party, including BPA, may oppose a petition for intervention. Persons who have been denied party status in any past BPA rate proceeding shall continue to be denied party status unless they establish a significant change of circumstances. All timely applications will be ruled on by the Hearing Officer. Late interventions are strongly disfavored. Opposition to an untimely petition to intervene shall be filedand received by BPA within two days after service of the petition.

3. Developing the Record

   Cross-examination will be scheduled by the Hearing Officer as necessary following completion of the filing of all litigants' direct and rebuttal testimony. Parties will have the opportunity to file initial briefs at the close of any cross-examination. After the close of the hearings, and following submission of initial briefs, BPA will issue a Draft ROD that states the Administrator's tentative decision(s). Parties may file briefs on exceptions, or when all parties have previously agreed, oral argument may be substituted for briefs on exceptions. When oral argument has been scheduled in lieu of briefs on exceptions, the argument will be transcribed and made part of the record. The record will include, among other things, the transcripts of any hearings, written material submitted by the participants, and evidence accepted into the record by the Hearing Officer. The Hearing Officer then will review the record, supplement it if necessary, and certify the record to the Administrator for decision.

   The Administrator will develop the final corrections to the FPS-96 rate schedule based on the entire record. The basis for the final corrections to the rate schedule will be expressed in the Administrator's Final ROD. The Administrator will serve copies of the ROD on all parties and will file the final proposed rate corrections, together with the record, with FERC for confirmation and approval. See 18 CFR Part 300.

   4. Summary of the Proposal

      Below are the proposed corrections intended to the FPS-96 rate schedule.

      1. Title to Section II. A. is corrected from ``Firm Power'' to ``Firm Power and Capacity Without Energy Sales'

      2. The following language will be added to 1.1 Contract Rate section of FPS-96:

         The demand charge in the Contract Rate applies firm power sales. Firm capacity without energy is available under the FPS-96 rate schedule at the prices identified in section 1.3 unless otherwise agreed to by BPA and the Purchaser.

      3. New FPS-96 Section 1.3: 1.3 Capacity Without Energy

         Unless otherwise agreed to by the parties, the monthly charge for capacity without energy shall be the applicable rate for that month, multiplied by the Purchaser's Contract Demand associated with the purchase of capacity without energy.

         Applicable months

         Rate

         September-December...................... $15.16/kW-mo. January-March........................... 11.11/kW-mo. April................................... 10.10/kW-mo. May-June................................ $8.30/kW-mo. July.................................... 13.39/kW-mo. August.................................. 19.93/kW-mo.

         The rates in the Contract Rate Section II.A.1.1 of FPS-96 apply only to a firm power sale.

   5. The Revised FPS-96 Rate Schedule

      The revised FPS rate schedule is set forth below. An interlined version of the revised rate schedule will be available for examination on August 24, 1999, at BPA's Public Information Center, BPA Headquarters Building, 1st Floor; 905 N.E. 11th, Portland, Oregon, and will be provided to parties at the prehearing conference to be held on August 24, 1999, from 1:00 p.m. to 4:00 p.m., Room 223, 911 N.E. 11th, Portland, Oregon. In addition, the interlined version of this revised rate schedule will be posted on BPA's website that same day. The website may be reached via www.bpa.gov/power/ratecase.

      Schedule FPS-96

      Firm Power Products and Services

      Section I. Availability

      This rate schedule is available for the purchase of Firm Power, Capacity Without Energy, Supplemental Control Area Services, Shaping Services, and Reservation and Rights to Change Services for use inside and outside the Pacific Northwest during the period beginning October 1, 1996, and ending September 30, 2006.

      Products and services available under this rate schedule are described in the reprint of the 1996 GRSPs for FPS-96, Section III.A of Bonneville Power Administration (BPA's) General Rate Schedule Provisions (GRSPs). BPA is not obligated to enter into agreements to sell products and services under this rate schedule or make power or energy available under this rate schedule if such power or energy would displace sales under the PF-96, NR-96, IP-96, or VI-96 rates schedules or their successors. Sales under the FPS-96 rate schedule are subject to BPA's GRSPs. Transmission service over Federal Columbia River Transmission System facilities shall be charged under the applicable transmission rate schedule. Ancillary services shall be available under, or at charges consistent with, the Ancillary Products and Services (APS) rate schedule.

      This rate schedule supersedes the Surplus Firm Power (SP-93) and

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      Emergency Capacity (CE-95) rate schedules. Rates under contracts that contain charges that escalate based on rates listed in this rate schedule shall include applicable transmission charges. For sales under this rate schedule, bills shall be rendered and payments due pursuant to BPA's Billing Procedures and/or as agreed to in purchase agreements.

      Section II. Rates, Billing Factors, and Adjustments

      For each product, the rate(s) for each product along with the associated billing factor(s) are identified below. Applicable adjustments, charges, and special rate provisions are listed for each product. This rate schedule contains four subsections, corresponding to the products offered under this rate schedule:

      Section II.A. Firm Power and Capacity Without Energy Section II.B. Supplemental Control Area Services Section II.C. Shaping Services Section II.D. Reservation and Rights to Change Services

1. Firm Power and Capacity Without Energy

   1. Rates and Billing Factors 1.1 Contract Rate

      The demand charge in the Contract Rate applies to purchases of a firm capacity with no energy return product exclusively, that is, a firm power sale product. Firm capacity with energy return (Capacity without Energy) is available under the FPS-96 rate schedule at the prices identified in section 1.3. Contracts entered into on or before September 30, 1996, that refer to the demand charge in the Contract Rate section of the then applicable surplus power schedule for pricing this product will be priced under section 1.3. 1.1.1 Demand Charge

      The charge for demand shall be $0.87 per kilowatt per month in all months of the year, multiplied by the Contract Demand unless otherwise agreed by BPA and the Purchaser. 1.1.2 Demand Charge--Capacity Without Energy Sales

      See section 1.3 for pricing. 1.1.3 Energy Charge

      The total monthly charge for energy shall be the sum of (1) and (2):

      (1) The applicable Heavy Load Hour (HLH) rate for that month, multiplied by the Purchaser's HLH Contract Energy unless otherwise agreed by BPA and the Purchaser; and

      (2) The applicable Light Load Hour (LLH) rate for that month, multiplied by the Purchaser's LLH Contract Energy unless otherwise agreed by BPA and the Purchaser.

      HLH rate LLH rate Applicable months

      (mills/ (mills/ kWh) kWh)

      September-December................................ 49.63 46.45 January-March..................................... 50.39 47.25 April............................................. 44.74 42.73 May-June.......................................... 24.36 21.21 July.............................................. 29.94 26.09 August............................................ 42.68 37.06

      1.2 Flexible Rate

      Demand and/or energy charges may be specified at a higher or lower average rate as mutually agreed by BPA and the Purchaser. Billing factors shall be Contract Demand and Contract Energy unless otherwise agreed by BPA and the Purchaser. 1.3 Capacity Without Energy 1.3.1 Flexible Rate

      For sales not covered by section 1.3.2 the rate(s) for capacity without energy sales shall be as mutually agreed by BPA and the Purchaser. 1.3.2 Posted Rate

      The posted rates are available exclusively for contracts entered into on or before September 30, 1996, that include Capacity without Energy provisions where payment shall be at the demand charge associated with the Contract Rate of the then applicable surplus power rate schedule. For sales pursuant to such contracts the monthly charge for Capacity without Energy shall be the applicable rate for that month, multiplied by the Purchaser's Contract Demand associated with the purchase of Capacity without Energy.

      Applicable months

      Rate

      September-December...................... $15.16/kW-mo. January-March........................... $11.11/kW-mo. April................................... $10.10/kW-mo. May-June................................ $8.30/kW-mo. July.................................... $13.39/kW-mo. August.................................. $19.93/kW-mo.

   2. Adjustments, Charges, and Special Rate Provisions

      Adjustments, Charges, and Special Rate Provisions are described in the GRSPs. Relevant sections are identified below. 2.1 Rate Adjustments

      Rate adjustment

      Section

      Energy Return Surcharge..................... II.H. Reactive Power Charge....................... II.O. Unauthorized Increase Charge................ II.R.

      2.2 Special Rate Provisions

      Special rate provisions

      Section

      Cost Contributions.......................... II.D.

2. Supplemental Control Area Services

   1. Rates and Billing Factors

   The charge for Supplemental Control Area Services shall be the applicable rate(s) times the applicable billing factor(s), pursuant to the agreement between BPA and the Purchaser.

   The rate(s) and billing factor(s) for Supplemental Control Area Services shall be as established by BPA or as mutually agreed by BPA and the Purchaser. 2. Adjustments, Charges, and Special Rate Provisions

   Adjustments, Charges, and Special Rate Provisions are described in the GRSPs. Relevant sections are identified below. 2.1 Rate Adjustments

   Rate adjustment

   Section

   Energy Return Surcharge..................... II.H. Reactive Power Charge....................... II.O. Unauthorized Increase Charge................ II.R.

   2.2 Special Rate Provisions

   Special rate provisions

   Section

   Cost Contributions.......................... II.D.

3. Shaping Services

   1. Rates and Billing Factors

   The charge for Shaping Services shall be the applicable rate(s) times the applicable billing factor(s), pursuant to the agreement between BPA and the Purchaser.

   The rate(s) and billing factor(s) for use of Shaping Services shall be as established by BPA or as mutually agreed by BPA and the Purchaser. 2. Adjustments, Charges, and Special Rate Provisions

   Adjustments, Charges, and Special Rate Provisions are described in the GRSPs. Relevant sections are identified below. 2.1 Rate Adjustments

   Rate adjustment

   Section

   Energy Return Surcharge..................... II.H. Reactive Power Charge....................... II.O.

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   Unauthorized Increase Charge................ II.R.

   2.2 Special Rate Provisions

   Special rate provisions

   Section

   Cost Contributions.......................... II.D.

4. Reservation and Rights to Change Services

   1. Rates and Billing Factors

   The charge for Reservation and Rights to Change Services shall be the applicable rate(s) times the applicable billing factor(s), pursuant to the agreement between BPA and the Purchaser.

   The rate(s) and billing factor(s) for Reservation and Rights to Change Services shall be as established by BPA or mutually agreed by BPA and the Purchaser. 2. Adjustments, Charges, and Special Rate Provisions

   There are no additional adjustments, charges, or special rate provisions for the Reservation and Rights to Change Services.

   Issued in Portland, Oregon, on July 30, 1999. Jack Robertson, Deputy Administrator.

   [FR Doc. 99-20804Filed8-12-99; 8:45 am]

   BILLING CODE 6450-01-P