[Federal Register Volume 63, Number 159 (Tuesday, August 18, 1998)]
[Notices]
[Pages 44250-44251]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 98-22185]
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DEPARTMENT OF ENERGY
Western Area Power Administration
Loveland Area Projects--Notice of Proposed Extension of the Firm
Electric Service Rate Order No. WAPA-82
AGENCY: Western Area Power Administration, DOE.
ACTION: Notice of Proposed Extension of Firm Electric Service Rate.
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SUMMARY: This action is a proposal to extend the existing Loveland Area
Projects (LAP) firm electric service rate, Rate Order No. WAPA-51,
through January 31, 2001. The existing firm electric service rate will
expire January 31, 1999. This notice of proposed extension of a rate is
issued pursuant to 10 CFR Part 903.23(a)(1). In accordance with 10 CFR
Part 903.23(a)(2) Western will not have a consultation and comment
period.
FOR FURTHER INFORMATION CONTACT: Mr. Daniel T. Payton, Rates Manager,
Rocky Mountain Customer Service Region, Western Area Power
Administration, P.O. Box 3700, Loveland, CO 80539-3003, (970) 490-7442,
or e-mail (dpayton@wapa.gov).
SUPPLEMENTARY INFORMATION: By Amendment No. 3 to Delegation Order No.
0204-108, published November 10, 1993 (58 FR 59716), the Secretary of
Energy delegated (1) the authority to develop long-term power and
transmission rates on a nonexclusive basis to the Administrator of the
Western Area Power Administration (Western); (2) the authority to
confirm, approve, and place such rates into effect on an interim basis
to the Deputy Secretary; and (3) the authority to confirm, approve, and
place into effect on a final basis, to remand, or to disapprove such
rates to the Federal Energy Regulatory Commission (FERC).
Pursuant to Delegation Order No. 0204-108 and existing Department
of Energy procedures for public participation in firm electric service
rate adjustments at 10 CFR Part 903, Western's LAP firm electric
service rate was submitted to FERC for confirmation and approval on
January 10, 1994. On July 14, 1994, in Docket No. EF94-5181-000 at 68
FERC para. 62,040, FERC issued an order confirming, approving, and
placing into effect on a final basis the firm electric service rate for
the LAP. The LAP consists of the Fryingpan-Arkansas Project and the
Pick-Sloan Missouri Basin Program, Western Division. The rate, Rate
Order No. WAPA-51, was approved for a 5-year period beginning February
1, 1994, and ending January 31, 1999.
On January 31, 1999, the LAP firm electric service rate will
expire. This makes it necessary to extend the current rate pursuant to
10 CFR Part 903. Upon its approval, Rate Order No. WAPA-51 will be
extended under Rate Order No. WAPA-82.
Western proposes to extend the existing rate of $2.85/kilowattmonth
for capacity and the rate of 10.85 mills/killowatthour for energy which
are sufficient to recover project expenses (including interest) and
capital requirements through January 31, 2001. Increased revenue from
good hydrologic conditions and lower operation and maintenance expenses
over the cost evaluation period have made this possible. For the Pick-
Sloan Missouri Basin Program, the ratesetting study projected the
deficit to peak at $178 million in Fiscal Year (FY) 1994 and to be
repaid in FY 2002. The deficit actually peaked at $171 million in FY
1993 and was totally repaid in FY 1997. The Fryingpan-Arkansas Project
recorded its first principal payment of $2.8 million on the investment
in FY 1996. In FY 1997, the principal payment for this project was $2.9
million. No principal payments were projected during this time period
in Docket No. EF94-5181-000. The total revenue requirement of $44.3
million is sufficient to cover the expenses and
[[Page 44251]]
capital requirements through January 31, 2001.
All documents made or kept by Western for developing the proposed
extension of the firm electric service rate will be made available for
inspection and copying at the Rocky Mountain Customer Service Region,
located at 5555 East Crossroads Boulevard, Loveland, Colorado.
Thirty days after publication of this notice I will submit Rate
Order No. WAPA-82 to the Deputy Secretary for approval through January
31, 2001.
Dated: August 6, 1998.
Michael S. Hacskaylo,
Administrator.
[FR Doc. 98-22185 Filed 8-17-98; 8:45 am]
BILLING CODE 6450-01-P
