[Federal Register Volume 63, Number 56 (Tuesday, March 24, 1998)]
[Notices]
[Pages 14087-14090]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 98-7607]
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DEPARTMENT OF ENERGY
Southeastern Power Administration
Proposed Rates, Public Forums, and Opportunities for Public
Review and Comment for Georgia-Alabama-South Carolina System of
Projects
AGENCY: Southeastern Power Administration, DOE.
ACTION: Notice of proposed rate adjustment.
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SUMMARY: Southeastern Power Administration (Southeastern) proposes to
revise existing schedules of rates and charges applicable to the sale
of power from the Georgia-Alabama-South Carolina System of Projects
effective for a 5-year period, October 1, 1998, through September 30,
2003. Additionally, opportunities will be available for interested
persons to review the present rates, the proposed rates and supporting
studies, to participate in a forum and to submit written comments.
Southeastern will evaluate all comments received in this process.
DATES AND ADDRESSES: Written comments are due on or before June 22,
1998. Public information and comment forums will be held in College
Park, Georgia, on April 29, 1998 and in Columbia, South Carolina on
April 30, 1998. Persons desiring to speak at a forum should notify
Southeastern at least 3 days before the forum is scheduled, so that a
list of forum participants can be prepared. Others may speak if time
permits. Five copies of written comments should be submitted to:
Administrator, Southeastern Power Administration, Department of Energy,
Samuel Elbert Building, Elberton, Georgia, 30635. The public
information and comment forums will begin at 10:00 A.M. on April 29,
1998 at the Georgia International Convention Center, 1902 Sullivan
Road, College Park Georgia, 30337, (770) 907-3566, and at 10:00 A.M. on
April 30, 1998 at the Embassy Suite Greystone, 200 Stoneridge Drive,
Columbia, South Carolina 29210, (803) 252-8700.
FOR FURTHER INFORMATION CONTACT: Leon Jourolmon, Assistant
Administrator, Finance and Marketing, Southeastern Power
Administration, Department of Energy, Samuel Elbert Building, Elberton,
Georgia, 30635, (706) 213-3800.
SUPPLEMENTARY INFORMATION: The Federal Energy Regulatory Commission
(FERC) by order issued March 18, 1994, in Docket No. EF93-3011-000,
confirmed and approved Wholesale
[[Page 14088]]
Power Rate Schedules GA-1-D, GA-2-D, GA-3-C, GU-1-D, ALA-1-H, ALA-3-D,
MISS-1-H, MISS-2-D, SC-3-C, SC-4-B, CAR-3-C, SCE-2-C, and GAMF-3-B
applicable to Georgia-Alabama-South Carolina System of Projects' power
for a period ending September 30, 1998.
Discussion
Existing rate schedules are predicated upon a June 1993 repayment
study and other supporting data contained in FERC Docket No. EF93-3011-
000. The current repayment study dated February 1998 shows that
existing rates are not adequate to recover all costs required by
present repayment criteria. Southeastern is proposing to establish
rates that will recoup these unrecovered costs.
A revised repayment study with a revenue increase of $14.6 million
in FY 1999 and future years over the current repayment study shows that
all costs are repaid within their service life. Therefore, Southeastern
is proposing to revise the existing rates to generate this additional
revenue. The increase is primarily due to increasing Corps O&M
expenses, SEPA marketing expenses, retirement and pension benefit
expenses not previously recovered, and the interest on and repayment of
the capital investment associated with rehabilitation of projects in
the Georgia-Alabama-South Carolina System.
An additional study dated February 1998 that includes costs related
to the pumping units at the Richard B. Russell Project, which are
expected to be declared commercially operable July of 1998, shows that
the proposed rates in the revised repayment study discussed in the
preceding paragraph will not be adequate to recover these costs.
Southeastern is proposing alternate new rates that will recover these
costs. These rates are to become effective October 1, 1998, if the pump
storage units are declared commercially operable from the date of this
notice to September 30, 1998. If the pump storage units are not
declared commercially operable on or before September 30, 1998, these
rates will not apply. Southeastern is proposing two versions of these
alternate rates. In the first version, the entire adjustment due to the
Russell pump storage units would go into effect October 1, 1998. In the
second version, the rate adjustment would be phased-in over a five-year
period.
A revised repayment study with rates designed to produce an annual
revenue increase of $38.8 million in FY 1999 and all future years over
the revised repayment study discussed above shows that all costs,
including costs associated with the pump storage units at the Richard
B. Russell Project, are repaid within their repayment life. Therefore,
Southeastern is proposing these rates to go into effect October 1,
1998, if the Richard B. Russell Pump Storage Units are declared
commercially operable on or before September 30, 1998. Southeastern is
also proposing and requesting comments on a second version of these
rates that phases in the adjustment of five year period from October 1,
1998, to October 1, 2002.
Proposed Unit Rates
Southeastern is proposing the following rate schedules to be
effective for the period from October 1, 1998 through September 30,
2003.
Rate Schedule SOCO-1
Available to public bodies and cooperatives in Georgia, Alabama,
Mississippi, and Florida to whom power may be wheeled and scheduled
pursuant to contracts between the Government and Southern Company
Services, Incorporated.
Rate Schedule SOCO-2
Available to public bodies and cooperatives in Georgia, Alabama,
Mississippi, and Florida to whom power may be wheeled pursuant to
contracts between the Government and Southern Company Services,
Incorporated. The customer is responsible for providing a scheduling
arrangement with the Government.
Rate Schedule SOCO-3
Available to public bodies and cooperatives in Georgia, Alabama,
Mississippi, and Florida to whom power may be scheduled pursuant to
contracts between the Government and Southern Company Services,
Incorporated. The customer is responsible for providing a transmission
arrangement.
Rate Schedule SOCO-4
Available to public bodies and cooperatives in Georgia, Alabama,
Mississippi, and Florida. The customer is responsible for providing a
scheduling arrangement with the Government and for providing a
transmission arrangement.
Rate Schedule ALA-1-I
Available to the Alabama Electric Cooperative, Incorporated.
Rate Schedule MISS-1-I
Available to the South Mississippi Electric Power Association to
whom power may be wheeled pursuant to contract between the Government
and Alabama Electric Cooperative, Inc.
Rate Schedule Duke-1
Available to public bodies and cooperatives in North Carolina and
South Carolina to whom power may be wheeled and scheduled pursuant to
contracts between the Government and Duke Power Company.
Rate Schedule Duke-2
Available to public bodies and cooperatives in North Carolina and
South Carolina to whom power may be wheeled pursuant to contracts
between the Government and Duke Power Company. The customer is
responsible for providing a scheduling arrangement with the Government.
Rate Schedule Duke-3
Available to public bodies and cooperatives in North Carolina and
South Carolina to whom power may be scheduled pursuant to contracts
between the Government and Duke Power Company. The customer is
responsible for providing a transmission arrangement.
Rate Schedule Duke-4
Available to public bodies and cooperatives in North Carolina and
South Carolina served through the transmission facilities of Duke Power
Company. The customer is responsible for providing a scheduling
arrangement with the Government and for providing a transmission
arrangement.
Rate Schedule Santee-1
Available to public bodies and cooperatives in South Carolina to
whom power may be wheeled and scheduled pursuant to contracts between
the Government and South Carolina Public Service Authority.
Rate Schedule Santee-2
Available to public bodies and cooperatives in South Carolina to
whom power may be wheeled pursuant to contracts between the Government
and South Carolina Public Service Authority. The customer is
responsible for providing a scheduling arrangement with the Government.
Rate Schedule Santee-3
Available to public bodies and cooperatives in South Carolina to
whom power may be scheduled pursuant to contracts between the
Government and South Carolina Public Service Authority. The customer is
responsible for providing a transmission arrangement.
Rate Schedule Santee-4
Available to public bodies and cooperatives in South Carolina
served
[[Page 14089]]
through the transmission facilities of South Carolina Public Service
Authority. The customer is responsible for providing a scheduling
arrangement with the Government and for providing a transmission
arrangement.
Rate Schedule SCE&G-1
Available to public bodies and cooperatives in South Carolina to
whom power may be wheeled and scheduled pursuant to contracts between
the Government and South Carolina Electric & Gas Company.
Rate Schedule SCE&G-2
Available to public bodies and cooperatives in South Carolina to
whom power may be wheeled pursuant to contracts between the Government
and South Carolina Electric & Gas Company. The customer is responsible
for providing a scheduling arrangement with the Government.
Rate Schedule SCE&G-3
Available to public bodies and cooperatives in South Carolina to
whom power may be scheduled pursuant to contracts between the
Government and South Carolina Electric & Gas Company. The customer is
responsible for providing a scheduling arrangement with the Government.
Rate Schedule SCE&G-4
Available to public bodies and cooperatives in South Carolina
served through the transmission facilities of South Carolina Electric &
Gas Company. The customer is responsible for providing a scheduling
arrangement with the Government and for providing a transmission
arrangement.
Rate Schedule Pump-1
Available to all customers of the Georgia-Alabama-South Carolina
System and applicable to energy from pumping operations at the Carters
Project.
Rate Schedule Pump-2
Available to all customers of the Georgia-Alabama-South Carolina
System and applicable to energy from pumping operations at the Richard
B. Russell Project.
The proposed rates, provided the pumping units at the Richard B.
Russell are not declared commercially operable on or before September
30, 1998, for capacity, energy, and generation services are as follows:
Capacity: $3.08 per kW per month
Energy: 7.73 mills per kWh
Generation Services: $0.09 per kW per month.
The rates for transmission, scheduling, reactive supply, and
regulation and frequency response are illustrated in Table 1.
1
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\1\ The transmission, scheduling, reactive, and regulation
charges for each schedule are the rates charged for these services
by the appropriate facilitator. All transmission, scheduling,
reactive, and regulation rates in this notice are based on the
current rates as of the date of this notice and are subject to
revision.
Table 1.--Southeastern Power Administration Proposed Rates for Transmission Scheduling, Reactive, and Regulation
Charges
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Transmission Scheduling Reactive Regulation
Rate schedule charge $/KW/ charge $/KW/ charge $/KW/ charge $/KW/
month month month month
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SOCO-1.......................................... 1.70 .07658 .16627 .24714
SOCO-2.......................................... 1.70 .07658 .16627 N/A
SOCO-3.......................................... N/A .07658 N/A .24714
SOCO-4.......................................... N/A .07658 N/A N/A
ALA-1-I......................................... N/A .07658 N/A N/A
MISS-1-I........................................ 1.83 N/A N/A N/A
Duke-1.......................................... 1.15 N/A N/A N/A
Duke-2.......................................... 1.15 N/A N/A N/A
Duke-3.......................................... N/A N/A N/A N/A
Duke-4.......................................... N/A N/A N/A N/A
Santee-1........................................ 1.53 N/A N/A N/A
Santee-2........................................ 1.53 N/A N/A N/A
Santee-3........................................ N/A N/A N/A N/A
Santee-4........................................ N/A N/A N/A N/A
SCE&G-1......................................... 2.22 N/A N/A N/A
SCE&G-2......................................... 2.22 N/A N/A N/A
SCE&G-3......................................... N/A N/A N/A N/A
SCE&G-4......................................... N/A N/A N/A N/A
Pump-1.......................................... N/A N/A N/A N/A
Pump-2.......................................... N/A N/A N/A N/A
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Should the pump storage units at the Richard B. Russell Project be
declared commercially operable on or before September 30, 1998,
Southeastern is proposing and requesting comments on two versions of
capacity and energy rates that would apply. In either version, the rate
for Generation Services remains $0.09 per kW per month. The rates for
Transmission, Scheduling, Reactive, and Regulation Services remain
unchanged from the rates shown in Table 1. In the first version, rates
for capacity and energy for the period from October 1, 1998, to
September 30, 2003, are as follows:
Capacity: $3.57 per kw per month
Energy: 10.14 mills per kWh.
In the second version, the rates for capacity and energy are as
follows:
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Capacity Energy
Period ($kw/month) (mills/kWh)
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October 1, 1998 to September 30, 1999......... 3.20 8.33
October 1, 1999 to September 30, 2000......... 3.33 8.94
October 1, 2000 to September 30, 2001......... 3.45 9.54
October 1, 2001 to September 30, 2002......... 3.57 10.14
[[Page 14090]]
October 1, 2002 to September 30, 2003......... 3.65 10.35
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The referenced repayment studies are available for examination at
the Samuel Elbert Building, Elberton, Georgia 30635. Proposed Rate
Schedules SOCO-1, SOCO-2, SOCO-3, SOCO-4, ALA-1-I, MISS-1-I, Duke-1,
Duke-2, Duke-3, Duke-4, Santee-1, Santee-2, Santee-3, Santee-4, SCE&G-
1, SCE&G-2, SCE&G-3, SCE&G-4, Pump-1, and Pump-2, are also available.
Dated: March 16, 1998.
Charles A. Borchardt,
Administrator.
[FR Doc. 98-7607 Filed 3-23-98; 8:45 am]
BILLING CODE 6450-01-P
