Falcon and Amistad Projects' Rate Order No. WAPA-186
| Published date | 26 December 2018 |
| Citation | 83 FR 66257 |
| Record Number | 2018-27873 |
| Section | Notices |
| Court | Energy Department,Western Area Power Administration |
Federal Register, Volume 83 Issue 246 (Wednesday, December 26, 2018)
[Federal Register Volume 83, Number 246 (Wednesday, December 26, 2018)]
[Notices]
[Pages 66257-66258]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2018-27873]
=======================================================================
-----------------------------------------------------------------------
DEPARTMENT OF ENERGY
Western Area Power Administration
Falcon and Amistad Projects' Rate Order No. WAPA-186
AGENCY: Western Area Power Administration (WAPA), DOE.
ACTION: Notice of proposed extension for the Falcon and Amistad
Projects' firm power rate formula.
-----------------------------------------------------------------------
SUMMARY: WAPA proposes extending the Falcon and Amistad Projects' firm
power rate formula through June 7, 2024. The Falcon and Amistad
Projects' firm power rate formula expires June 7, 2019.
DATES: The comment period will begin December 26, 2018 and end January
25, 2019. WAPA will accept written comments any time during the comment
period. Upon completion of the comment period, WAPA will take further
action on the proposed rate formula extension consistent with 10 CFR
903.23(a).
ADDRESSES: Written comments and requests to be informed of Federal
Energy Regulatory Commission (FERC) actions concerning the rates
submitted by WAPA to FERC for approval should be sent to: Mr. Brent
Osiek, Power Marketing Manager, Colorado River Storage Project
Management Center, Western Area Power Administration, 299 South Main
Street, Suite 200, Salt Lake City, UT 84111, (801) 524-5495, email:
osiek@wapa.gov.
FOR FURTHER INFORMATION CONTACT: Mr. Thomas Hackett, Rates Manager,
Colorado River Storage Project Management Center, Western Area Power
Administration, 299 South Main Street, Suite 200, Salt Lake City, UT
84111, (801) 524-5503, email: hackett@wapa.gov.
SUPPLEMENTARY INFORMATION: The Falcon and Amistad Dams are features of
international water storage projects located on the Rio Grande River
between Texas and Mexico. The portion of the dams located in the United
States is operated by the United States International Boundary and
Water Commission (USIBWC). Under arrangements with the United States
Department of State and USIBWC,
[[Page 66258]]
WAPA is the Federal agency responsible for marketing and selling the
electricity generated at these facilities. WAPA markets the power
generated at Falcon and Amistad as a combined product to only one
customer--the South Texas Electric Cooperative. The cost of the power
is determined by a power rate formula. This power rate formula was
initially approved by the Federal Power Commission (FPC), the
predecessor to FERC, in FPC Docket No. E-9566 on August 12, 1977 (59
FPC 1653), for a 5-year period effective on the date of initial
operation of Amistad Power Plant, June 8, 1983.\1\
---------------------------------------------------------------------------
\1\ A 5-year rate extension of this same power formula rate
through June 7, 1993, was approved by FERC on June 20, 1988, at 44
FERC ] 62,058. Subsequent 5-year extensions of the formula rate have
been approved by FERC; the most recent approval was on April 9,
2015, in Docket No. EF14-9-000, which approved the same formula rate
through June 7, 2019.
---------------------------------------------------------------------------
The power rate formula calculates the revenue WAPA must annually
repay to the Department of the Treasury for the United States'
investment in the Falcon and Amistad hydroelectric facilities with
interest, as well as associated operation, maintenance, and
administrative costs. This annual installment is collected in 12
monthly payments and is independent of the amount of available
generation. The existing rate formula provides sufficient revenue to
recover annual expenses, interest, and capital replacements, within the
cost recovery criteria set forth in Department of Energy (DOE) Order RA
6120.2; therefore, WAPA proposes to extend the current rate formula
schedule for 5 years.
By Delegation Order No. 00-037.00B, effective November 19, 2016,
the Secretary of Energy delegated: (1) The authority to develop power
and transmission rates to WAPA's Administrator; (2) the authority to
confirm, approve, and place such rates into effect on an interim basis
to the Deputy Secretary of Energy; and (3) the authority to confirm,
approve on a final basis, remand, or disapprove such rates to FERC.
This extension is issued pursuant to the Delegation Order and DOE rate
extension procedures at 10 CFR 903.23(a).
In accordance with 10 CFR 903.23(a)(2), WAPA determined that it is
not necessary to hold a public information or public comment forum, but
WAPA is providing a 30-day comment period on the proposed formula rate
extension to allow for public participation. Comments must be received
by the end of the comment period. WAPA will post comments received to
its website: https://www.wapa.gov/regions/CRSP/rates/Pages/rates.aspx.
After considering public comments, WAPA will take further action on the
proposed rate formula extension consistent with 10 CFR 903.23(a).
Dated: December 13, 2018.
Mark A. Gabriel,
Administrator.
[FR Doc. 2018-27873 Filed 12-21-18; 8:45 am]
BILLING CODE 6450-01-P
