Notices. Notice of rate order concerning a power rate formula

5,664 words·~26 min read·/register/2004/12/06/04-26714·

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BILLING CODE 6450-01-U DEPARTMENT OF ENERGY Federal Energy Regulatory Commission [Docket No. ER94-1188-034, et al.] LG&E Energy Marketing Inc., et al.; Electric Rate and Corporate Filings November 26, 2004. The following filings have been made with the Commission. The filings are listed in ascending order within each docket classification. 1. LG&E Energy Marketing Inc., Louisville Gas & Electric Company & Kentucky Utilities Company, WKE Station Two Inc., Western Kentucky Energy Corporation [Docket Nos. ER94-1188-034, ER98-4540-003, ER99-1623-003, ER98-1278-009, ER98-1279-005] Take notice that on November 19, 2002, LG&E Energy Marketing Inc.,

(LEM)Louisville Gas & Electric Company, Kentucky Utilities Company, WKE Station Two Inc., and Western Kentucky Energy Corporation tendered for filing an updated market power analysis in compliance *Acadia Power Partners, LLC,* 107 FERC ¶ 61,168 (2004). *Comment Date:* 5 p.m. eastern time on December 10, 2004. 2. Puget Sound Energy, Inc. [Docket No. ER99-845-006] Take notice that on November 19, 2004, Puget Sound Energy, Inc. (Puget) filed with the Federal Energy Regulatory Commission a revised Market Based Rate Tariff to incorporate the Market Behavior Rules contained in the November 17, 2003 *Order Amending Market-Based Tariffs and Authorizations,* 105 FERC ¶ 61,218 (2003). *Comment Date:* 5 p.m. eastern time on December 10, 2004. 3. Neptune Regional Transmission System, LLC [Docket No. ER01-2099-003] Take notice that on November 18, 2004 Neptune Regional Transmission, LLC (Neptune) submitted for filing a Report on Open Season in compliance with the Commission's order issued July 27, 2001 in *Neptune Regional Transmission System, LLC,* 96 FERC ¶ 61,147 (2001). *Comment Date:* 5 p.m. eastern time on December 8, 2004. 4. Ameren Corp. [Docket No. ER04-931-003] Take notice that on November 19, 2004, the Midwest Independent Transmission System Operator, Inc. (Midwest ISO) amended its October 12, 2004 filing in Docket No. ER04-931-000. Midwest ISO states that copies of the filing were served upon the service list compiled by the Secretary in Docket No. ER04-931-000. *Comment Date:* 5 p.m. eastern time on December 10, 2004. 5. Reliant Energy Etiwanda, Inc. [Docket No. ER05-138-001] Take notice that on November 18, 2004, Reliant Energy Etiwanda. Inc. (Etiwanda) tendered for filing the Information Package summarizing information previously provided to the California Independent System Operator Corporation (CAISO) and other interested parties on November 1, 2004, pursuant to Schedule F, Article I, Part B of the Must-Run Service Agreement dated June 24, 2004, between Reliant Energy Etiwanda, Inc. and the California Independent System Operator Corporation. *See* Etiwanda's Rate Schedule FERC No. 2, Must-Run Service Agreement between Etiwanda and the CAISO, Original Sheet No. 175 (filed in Docket No. ER04-959-000, June 25, 2004). Etiwanda states that this filing has been served upon the CAISO, the California Public Utilities Commission, the California Electricity Oversight Board and Southern California Edison Company. *Comment Date:* 5 p.m. eastern time on December 16, 2004. 6. Reliant Energy Etiwanda, Inc. [Docket No. ER05-138-002] Take notice that on November 19, 2004, Reliant Energy Etiwanda, Inc. (Etiwanda) tendered for filing revised sheets for certain of the schedules to the Must-Run Service Agreement dated June 24, 2004, between Reliant Energy Etiwanda, Inc. and the California Independent System Operator Corporation (Must-Run Service Agreement), reflecting minor changes to the Must-Run Service Agreement schedules filed in the captioned docket on November 1, 2004, as well as a revised Information Package in accordance with Schedule F, Article I, Part B of the Must-Run Service Agreement. See Etiwanda's Rate Schedule FERC No. 2, Must-Run Service Agreement between Etiwanda and the CAISO, Original Sheet No. 175 (filed in Docket No. ER04-959-000, June 25, 2004). Etiwanda requests an effective date of January 1, 2005. Etiwanda states that this filing has been served upon the California Independent System Operator Corporation, the California Public Utilities Commission, the California Electricity Oversight Board and Southern California Edison Company. *Comment Date:* 5 p.m. eastern time on December 16, 2004. 7. Ohio Valley Electric Corporation [Docket No. ER05-242-000] Take notice that on November 19, 2004, Ohio Valley Electric Corporation

(OVEC)tendered for filing revisions to its Open Access Transmission Tariff to incorporate the *pro forma* Large Generator Interconnection Procedures

(LGIP)and Large Generator Interconnection Agreement (LGIA), without modification, in compliance with the Commission's Orders 2003 and 2003-A on Standardization of Generator Interconnection Agreements and Procedures. OVEC has requested an effective date of April 26, 2004. OVEC states that a copy of this filing has been mailed to OVEC's jurisdictional customers and to each State public service commission that, to the best of OVEC's knowledge, has retail jurisdiction over such customers. *Comment Date:* 5 p.m. eastern time on December 10, 2004. 8. Western Electricity Coordinating Council [Docket No. ER05-243-000] Take notice that on November 19, 2004, Western Electricity Coordinating Council

(WECC)tendered for filing a request for approval of certain amendments to WECC Rate Schedule FERC No. 1, the WECC Bylaws. WECC states that the amendments reflect changes to the WECC Bylaws adopted by vote of the WECC Board of Directors on July 29, 2004, with additional minor modifications for consistency and formatting purposes. WECC requests an effective date of September 27, 2004. *Comment Date:* 5 p.m. eastern time on December 10, 2004. 9. American Electric Power Service Corporation [Docket No. ER05-244-000] Take notice that on November 19, 2004, American Electric Power Service Corporation (AEPSC) submitted for filing a letter agreement that provides for AEPSC to begin engineering, equipment procurement and construction work on the interconnection facilities and network upgrades required to interconnect to the AEP transmission system the wind power project being developed by FPL Energy Cowboy Wind, LLC. AEPSC requests an effective date of November 5, 2004 for the agreement. AEPSC served copies of the filing on FPL Energy Cowboy Wind, LLC. *Comment Date:* 5 p.m. eastern yime on December 10, 2004. Standard Paragraph Any person desiring to intervene or to protest this filing must file in accordance with Rules 211 and 214 of the Commission's Rules of Practice and Procedure (18 CFR 385.211 and 385.214). Protests will be considered by the Commission in determining the appropriate action to be taken, but will not serve to make protestants parties to the proceeding. Any person wishing to become a party must file a notice of intervention or motion to intervene, as appropriate. Such notices, motions, or protests must be filed on or before the comment date. Anyone filing a motion to intervene or protest must serve a copy of that document on the Applicant and all parties to this proceeding. The Commission encourages electronic submission of protests and interventions in lieu of paper using the “eFiling” link at *http://www.ferc.gov.* Persons unable to file electronically should submit an original and 14 copies of the protest or intervention to the Federal Energy Regulatory Commission, 888 First Street, NE., Washington, DC 20426. This filing is accessible on-line at *http://www.ferc.gov,* using the “eLibrary” link and is available for review in the Commission's Public Reference Room in Washington, DC. There is an “eSubscription” link on the Web site that enables subscribers to receive e-mail notification when a document is added to a subscribed docket(s). For assistance with any FERC Online service, please e-mail *FERCOnlineSupport@ferc.gov,* or call

(866)208-3676 (toll free). For TTY, call

(202)502-8659. Magalie R. Salas, Secretary. [FR Doc. E4-3462 Filed 12-3-04; 8:45 am] BILLING CODE 6717-01-P DEPARTMENT OF ENERGY Federal Energy Regulatory Commission [Docket No. EC05-21-000, et al.] Reliant Energy Wholesale Generation, LLC, et al.; Electric Rate and Corporate Filings November 29, 2004. The following filings have been made with the Commission. The filings are listed in ascending order within each docket classification. 1. Reliant Energy Wholesale Generation, LLC [Docket No. EC05-21-000] Take notice that on November 23, 2004, Reliant Energy Wholesale Generation, LLC, (Applicant) submitted an application pursuant to section 203 of the Federal Power Act, seeking authorization for the disposition of the Applicant's jurisdictional assets that would result from a proposed transfer of certain generator interconnection facilities to the Nevada Power Company

(NPC)and requesting expedited consideration of its Application and certain waivers. Applicant states that pursuant to an agreement entered into by Applicant's predecessor and NPC, Applicant's predecessor would construct the interconnection facilities and subsequently transfer ownership and control of the interconnection facilities to NPC. Applicant further states that transferring these facilities to NPC will allow NPC to operate the interconnection facilities in an integrated manner with its transmission system. *Comment Date:* 5 p.m. eastern time on December 9, 2004. 2. PEI Power Corp. [Docket No. ER98-2270-005] Take notice that on November 22, 2004, PEI Power Corp.

(PEI)submitted for filing an amendment to PEI's triennial updated market power analysis. PEI states that this analysis supports the continuation of PEI's authority to make sales at market-based rates. PEI also submits revisions to its market-based rate tariff, which incorporate a statement that PEI Power will not sell to any affiliate with a franchised electric service territory without first receiving approval from the Commission pursuant to a separate filing under section 205 of the Federal Power Act. *Comment Date:* 5 p.m. eastern time on December 6, 2004. 3. California Independent System Operator Corporation, Pacific Gas and Electric Company, San Diego Gas & Electric Company v. California Independent System Operator Corporation [Docket No. ER01-313-006, ER01-424-006, EL03-131-003] Take notice that on November 22, 2004, California Independent System Operator Corporation (ISO), submitted a Notice of Withdrawal of its November 15, 2004, compliance refund report filed pursuant to the Commission's Orders in *California Independent System Operator Corporation,* 103 FERC ¶ 61,114 (2003); *on reh'g,* 106 FERC ¶ 61,032 (2004). *Comment Date:* 5 p.m. eastern time on December 13, 2004. 4. AES Red Oak, L.L.C. [Docket No. ER01-2401-002] Take notice that on November 22, 2004, AES Red Oak, L.L.C. (Red Oak) submitted for filing its revised triennial market power update in compliance with the Commission's letter order issued November 20, 2001, in Docket No. ER01-2401-001, *AEP Power Marketing, Inc., et al.,* 107 FERC ¶ 61,018, *on reh'g,* 108 FERC ¶ 61,026 (2004). Red Oak also submitted for filing amendments to its market-based rate tariff implementing six

(6)new market behavior rules adopted by the Commission in *Investigation of Terms and Conditions of Public Utility Market-Based Rate Authorization,* 105 FERC ¶ 61,128 (2003). In addition, Red Oak submitted for approval a second revision to FERC Electric Tariff, Original Volume No. 1, and a second revision to Red Oak's Statement of Policy and Code of Conduct. *Comment Date:* 5 p.m. eastern time on December 13, 2004. 5. Southern California Water Company [Docket No. ER02-2400-002] Take notice that on November 22, 2004, Southern California Water Company submitted a notice of change in status pursuant to the Commission's order granting market-based rate authority, *Southern California Water Company,* 100 FERC ¶ 61,373 (2002). *Comment Date:* 5 p.m. eastern time on December 13, 2004. 6. ONEOK Energy Services Company, L.P. [Docket No. ER03-10-003] Take notice that on November 22, 2004, ONEOK Energy Services Company, L.P. (OSEC), formerly known as ONEOK Energy Marketing and Trading Company, L.P., submitted an amendment to its updated market power analysis filed on August 17, 2004. *Comment Date:* 5 p.m. eastern time on December 13, 2004. 7. San Diego Gas & Electric Company [Docket No. ER04-1126-001] Take notice that on November 22, 2004, San Diego Gas & Electric Company (SDG&E) tendered for filing an errata to adjust its California Independent System Operator (CAISO) Base Transmission Revenue Requirements in accordance with approved revised tariff changes to its Transmission Formula Rate as reflected in its Transmission Owner Tariff, FERC Electric Tariff, Original Volume No. 11. SDG&E states that copies of the filing have been served on the California Public Utilities Commission and the CAISO. *Comment Date:* 5 p.m. eastern time on December 13, 2004. 8. AES Red Oak, L.L.C. [Docket No. ER01-2401-002] Take notice that on November 22, 2004, AES Red Oak, L.L.C. (Red Oak) submitted for filing its revised triennial market power update in compliance with the Commission's letter order issued November 20, 2001 in Docket No. ER01-2401-001, *AEP Power Marketing, Inc., et al.,* 107 FERC ¶ 61,018, *on reh'g,* 108 FERC ¶ 61,026 (2004). Red Oak also submitted for filing amendments to its market-based rate tariff implementing six

(SCE)submitted a compliance filing pursuant to the Commission's letter order issued October 27, 2004, in the Docket No. ER04-1159-000. SCE states that copies of the filing were served on parties on the official service list in the above-captioned proceeding and on each affected customer. *Comment Date:* 5 p.m. eastern time on December 13, 2004. 10. Midwest Independent Transmission System Operator, Inc., American Transmission Company LLC [Docket No. ER04-1160-001] Take notice that on November 24, 2004, the Midwest Independent Transmission System Operator, Inc. (Midwest ISO) and American Transmission Company, LLC (collectively, Applicants) submitted an amendment to their August 30, 2004, filing regarding proposed changes to the liability limitation provisions in the Midwest ISO's OATT. Midwest ISO states that the amendment was filed in response to the Commission's October 28, 2004, deficiency letter. In addition, Midwest ISO states that they have filed a Notice of Withdrawal of a proposed tariff sheet regarding a change to the Midwest ISO OATT's Indemnification provision that was submitted on August 30, 2004. Midwest ISO states that they have served a copy of the filing upon all parties on the official service in this docket. The Midwest ISO has also requested waiver of the service requirements set forth in 18 CFR 385.2010. The Midwest ISO has electronically served a copy of this filing, with attachments, upon all Midwest ISO Members, Member representatives of Transmission Owners and Non-Transmission Owners, the Midwest ISO Advisory Committee participants, as well as all State commissions within the region. In addition, the filing has been electronically posted on the Midwest ISO's Web site at *http://www.midwestiso.org* under the heading “Filings to FERC” for other interested parties in this matter. The Midwest ISO will provide hard copies to any interested parties upon request. *Comment Date:* 5 p.m. eastern time on December 7, 2004. 11. Southern Company Services, Inc. [Docket No. ER04-1161-002] Take notice that on November 22, 2004, Southern Company Services, Inc. (SCS), on behalf of Alabama Power Company, Georgia Power Company, Gulf Power Company, Mississippi Power Company and Savannah Electric and Power Company (collectively Southern Companies), submitted a compliance filing pursuant to the Commission's order issued October 22, 2004, in Docket No. ER04-1161. SCS states that copies of the filing were served on parties on the official service list in the above-captioned proceeding. *Comment Date:* 5 p.m. eastern time on December 13, 2004. 12. Wisconsin Public Service Corporation [Docket No. ER05-245-000] Take notice that on November 22, 2004, Wisconsin Public Service Corporation

(WPSC)tendered for filing a revised rate schedule sheet (Revised Sheet) in Exhibit G to WPSC's rate schedule with the City of Marshfield. The Revised Sheet modifies the capacity ratings of the West Marinette Unit 33. WPSC requests an effective date of January 1, 2005. WPSC states that copies of the filing were served upon the City of Marshfield, the Public Service Commission of Wisconsin, and the Michigan Public Service Commission. *Comment Date:* 5 p.m. eastern time on December 13, 2004. 13. Southern California Edison Company [Docket No. ER05-246-000] Take notice that on November 22, 2004, Southern California Edison Company

(SCE)submitted for filing an Interconnection Facilities Agreement (Interconnection Agreement), Service Agreement No. 127, under SCE's Wholesale Distribution Access Tariff (WDAT), FERC Electric Tariff, First Revised Volume No. 5, and an associated Service Agreement for Wholesale Distribution Service (WDAT Service Agreement), Service Agreement No. 128, under the WDAT, between SCE and the City of Moreno Valley, California (Moreno Valley). SCE states that the purpose of the Interconnection Agreement and the WDAT Service Agreement is to specify the terms and conditions under which SCE will provide Wholesale Distribution Service from the California Independent System Operator Controlled Grid at SCE's Valley Substation to a new SCE-Moreno Valley 12 kV interconnection at Moreno Valley owned property located on the corner of Frederick Avenue and Alessandro Boulevard in the City of Moreno Valley, California. SCE states that copies of the filing were served upon the Public Utilities Commission of the State of California and Moreno Valley. *Comment Date:* 5 p.m. eastern time on December 13, 2004. 14. Western Systems Power Pool, Inc. [Docket No. ER05-249-000] Take notice that on November 22, 2004, the Western Systems Power Pool, Inc.

(WSPP)requested the Commission to amend the WSPP Agreement to include Merrill Lynch Commodities, Inc.

(MLCI)as a participant. WSPP requests an effective date of October 22, 2004. WSPP states that copies of this filing will be served upon Keith Bailey, Chief Operating Officer of MLCI, and Catherine Krupka and Donna Sauter of McDermott Will & Emergy, counsel to MLCI. WSPP further states that in addition, copies will be emailed to WSPP members who have supplied e-mail addresses for the Contract Committee and Contacts lists which will reach most if not all active members. WSPP indicates that this filing also has been posted on the WSPP home page ( *http://www.wspp.org* ) thereby providing notice to all WSPP members. *Comment Date:* 5 p.m. eastern time on December 13, 2004. Standard Paragraph Any person desiring to intervene or to protest this filing must file in accordance with Rules 211 and 214 of the Commission's Rules of Practice and Procedure (18 CFR 385.211 and 385.214). Protests will be considered by the Commission in determining the appropriate action to be taken, but will not serve to make protestants parties to the proceeding. Any person wishing to become a party must file a notice of intervention or motion to intervene, as appropriate. Such notices, motions, or protests must be filed on or before the comment date. Anyone filing a motion to intervene or protest must serve a copy of that document on the Applicant and all parties to this proceeding. The Commission encourages electronic submission of protests and interventions in lieu of paper using the “eFiling” link at *http://www.ferc.gov.* Persons unable to file electronically should submit an original and 14 copies of the protest or intervention to the Federal Energy Regulatory Commission, 888 First Street, NE., Washington, DC 20426. This filing is accessible on-line at *http://www.ferc.gov,* using the “eLibrary” link and is available for review in the Commission's Public Reference Room in Washington, DC. There is an “eSubscription” link on the Web site that enables subscribers to receive e-mail notification when a document is added to a subscribed docket(s). For assistance with any FERC Online service, please e-mail *FERCOnlineSupport@ferc.gov,* or call

(866)208-3676 (toll free). For TTY, call

(202)502-8659. Magalie R. Salas, Secretary. [FR Doc. E4-3465 Filed 12-3-04; 8:45 am] BILLING CODE 6717-01-P DEPARTMENT OF ENERGY Western Area Power Administration Provo River Project Rate Order No. WAPA-116 AGENCY: Western Area Power Administration, DOE. ACTION: Notice of rate order concerning a power rate formula. SUMMARY: The Deputy Secretary of Energy confirmed and approved Rate Order No. WAPA-116, placing a rate formula for the Provo River Project (Project) of Western Area Power Administration (Western) into effect on an interim basis. The provisional power rate formula will remain in effect on an interim basis until the Federal Energy Regulatory Commission (Commission) confirms, approves, and places it into effect on a final basis, or until the power rate formula is replaced by another power rate formula. DATES: The provisional rate formula extension will be placed into effect on an interim basis on April 1, 2005, and will be in effect until the Commission confirms, approves, and places the provisional rate formula extension in effect on a final basis for 5 years ending March 31, 2010, or until superseded. FOR FURTHER INFORMATION CONTACT: Mr. Bradley S. Warren, CRSP Manager, CRSP Management Center, Western Area Power Administration, PO Box 11606, Salt Lake City, UT 84147-0606,

(801)524-5493, or Ms. Carol Loftin, Rates Manager, CRSP Management Center, Western Area Power Administration, PO Box 11606, Salt Lake City, UT 84147-0606,

(801)524-6380, e-mail *loftinc@wapa.gov.* SUPPLEMENTARY INFORMATION: The Project was authorized in 1935. Construction on the Project, which includes Deer Creek Dam and Powerplant on the Provo River in Utah, began in 1938 but, because of World War II, was not completed until 1951. The powerplant, authorized on August 20, 1951, was completed and generation began in 1958. Its maximum operating capacity is 5,300 kilowatts. Provo River Project power is now marketed independently from the Salt Lake City Area Integrated Projects subsequent to a marketing plan that was approved and published in the **Federal Register** on November 21, 1994. This marketing plan allows Western to market the output of the Project to customers of the Utah Municipal Power Agency and the Utah Associated Municipal Power Systems (Customers) in the Provo River drainage area. Contract Nos. 94-SLC-0253 and 94-SLC-0254 between the United States and its Customers require that the amount of each annual installment be established in advance by Western and submitted to the Customers on or before August 31 of the year preceding the appropriate fiscal year. Each fiscal year, Western will estimate the Deer Creek Powerplant

(DCP)expenses by preparing a power repayment study, which will include estimates of operation, maintenance, and replacement costs for the DCP. Each annual installment pays the annual amortized portion of the United States investment in the Deer Creek Dam and Reservoir hydroelectric facilities with interest and the associated operation, maintenance, and replacement costs. This repayment schedule does not depend upon the power and energy made available for sale or the rate of generation each year, but is included in the contract in which the Customers pay all operating, maintenance, and replacement expenses of the Project and, in return, receive all of the energy produced by the Project. Western will continue to provide the Customers a revised annual installment by August 31 of each year using the same methodology. By Delegation Order No. 00-037.00, effective December 6, 2001, the Secretary of Energy delegated:

(1)The authority to develop power and transmission rates to Western'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

(DOE)Organization Act (42 U.S.C. 7152). This Act transferred to and vested in the Secretary of Energy the power marketing functions of the Secretary of the Department of the Interior and the Bureau of Reclamation under the Reclamation Act of 1902 (ch. 1093, 32 Stat. 388), as amended and supplemented by subsequent laws, particularly section 9(c) of the Reclamation Project Act of 1939 (43 U.S.C. 485h(c)), and other Acts that specifically apply to the Provo River Project (PRP). By Delegation Order No. 00-037.00, effective December 6, 2001, the Secretary of Energy delegated:

(1)The authority to develop power and transmission rates to Western's Administrator,

(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 Commission. Existing DOE procedures for public participation in power rate adjustments (10 CFR 903) were published on September 18, 1985 (50 FR 37835). Acronyms and Definitions As used in this rate order, the following acronyms and definitions apply: *CRSP:* Colorado River Storage Project. *Commission:* Federal Energy Regulatory Commission. *Contracts:* Contract No. 94-SLC-0254 with UMPA effective December 22, 1994, and Contract No. 94-SLC-0253 with UAMPS effective January 19, 1995, which were extended to September 30, 2024. *Customers:* UMPA and UAMPS. *DCP:* Deer Creek Powerplant. *DOE:* Department of Energy. *DOE Order RA 6120.2:* A Department of Energy order dealing with power marketing administration financial reporting and ratemaking procedures. *FY:* Fiscal year; October 1 to September 30. *Interior:* United States Department of the Interior. *kW:* Kilowatt—the electrical unit of capacity that equals 1,000 watts. *MW:* Megawatt—the electrical unit of capacity that equals 1 million watts or 1,000 kilowatts. *NEPA:* National Environmental Policy Act of 1969 (42 U.S.C. 4321, *et seq.* ). *OM&R:* Operation, Maintenance, and Replacement. *PRP:* Provo River Project. *PRS:* Power repayment study. *PRWUA:* Provo River Water Users Association. *Reclamation:* United States Department of the Interior, Bureau of Reclamation. *SLCA/IP:* Salt Lake City Area Integrated Projects. The resources and revenue requirements of the Collbran, Dolores, Rio Grande, and Seedskadee projects blended together with the CRSP to create the SLCA/IP resources and rate. *UAMPS:* Utah Associated Municipal Power Systems. *UMPA:* Utah Municipal Power Agency. *Western:* United States Department of Energy, Western Area Power Administration. Effective Date This power rate formula will become effective on an interim basis beginning April 1, 2005, and will be in effect pending the Commission's approval of this or a substitute rate formula on a final basis for 5 years ending March 31, 2010, or until superseded. Public Notice and Comment Paragraph 903.23(a) of 10 CFR 903 for rate extensions does not require either a consultation and comment period, or public information or comment forums. This request is for approval of an extension of the present methodology used for calculating the annual installment. On April 14, 2004, Western met with the Customers and notified them of Western's intent to extend the present rate formula. Western also discussed the FY 2005 budget and capital expenditures. The Customers expressed their desire to continue using the rate formula methodology through notifications dated July 20, 2004, and August 26, 2004. Project Description Construction of the PRP began in May 1938, and the powerplant was completed in 1958. Presently, it has a generating capacity of 5,300 kW of power. Only energy excess to PRP purposes has been available for Federal marketing. Between 1963 and 1994, SLCA/IP needed additional energy and purchased the available PRP energy at an amount established annually for the PRP to cover its costs, including OM&R and repayment expenses. These expenses included $1.6 million of irrigation assistance to the PRWUA. PRP's original power investment has been repaid. PRP power is now marketed independently from the SLCA/IP under a marketing plan published in the **Federal Register** on November 21, 1994. This marketing plan allows Western to market the output of the PRP to customers of UMPA and UAMPS in the Provo River drainage area. Power Repayment Studies Each fiscal year, Western will estimate DCP expenses by preparing a PRS that will include estimates of OM&R costs for the DCP for the next fiscal year. The PRS determines if power revenues will be sufficient to pay, within the prescribed time periods, all costs assigned to the PRP power function. Repayment criteria are based on law, policies including DOE Order RA 6120.2, and authorizing legislation. Western calculates the annual installment based on 2 years of data. The calculation includes the projected costs of the rate installment year (future fiscal year) and an adjustment from the last historic fiscal year. The adjustment is the surplus or deficit that occurs in the last historic year when actual costs and repayment obligations are subtracted from actual revenues. This surplus or deficit is combined with the projected rate installment year costs to arrive at the rate installment. Each annual installment pays the annual amortized portion of the United States investment in the Deer Creek Dam and Reservoir hydroelectric facilities with interest and the associated OM&R. This repayment schedule does not depend upon the power and energy made available for sale or the rate of generation each year. Certification of Rates Western's Administrator certified that the interim rates for PRP power are the lowest possible rates consistent with sound business principles. The provisional rates were developed following administrative policies and applicable laws. Statement of Revenue and Related Expenses The revenue requirements for the PRP are based on PRS calculations for future requirements, which will be adjusted when FY actuals are known. The following table summarizes revenues and expenses for the current 6-year rate formula and the actual revenues and expenses for the same period. Provo River Comparison of 6-Year Revenues and Expenses FY 1999-2004 [$1,000] Item Actual 1 Projected 2 Difference Total Revenues $1,857 $1,424 $433 Revenues Distribution: O&M 1,217 1,046 171 Transmission 179 179 0 Interest 165 153 12 Investment Repayment 264 46 218 Surplus Revenues 32 0 32 Total Revenues Distribution 1,857 1,424 433 1 Amounts for FY 2004 are estimates taken from FY 2003 final PRS. 2 Taken from FY 1998 final PRS. The following table provides a summary of the projected revenues and expenses during the provisional rate formula period. Provo River Project 6-Year Projections Revenues and Expenses [$1,000] 1 FY 2005-2010 projections Total Revenues 2 $1,785 Costs: O&M 1,606 Interest 133 Investment Repayment 46 Total Costs 1,785 1 Does not include $29,788 per year for transmission expense. 2 Although the rate process seeks approval for a 5-year period (FY 2006-2010), 6 years of data are shown in the above table because FY 2005 is an estimate. Basis for Rate Development Each Customer is billed for electric service calculated every FY, payable in 12 equal monthly payments. Every FY, Western will estimate PRP expenses by preparing a PRS which will include estimates of OM&R costs for the DCP. The amount of each monthly payment will be established in advance by Western and submitted to the Customers on or before August 31 of the year preceding the appropriate FY. The calculation of the amount of the annual installment and the monthly payments will include adjustments to the OM&R charges. These adjustments deal with the difference between estimated and actual OM&R expenses. If OM&R charges are underestimated, an amount equal to the difference must be added to the next annual installment. Conversely, if OM&R charges are overestimated, the amount would be deducted from the next installment. In accordance with the Contracts, minor replacements and additions are included in the annual operation and maintenance expenses of the DCP. If major replacements and additions exceeding $5,000, but not greater than $25,000, are needed, the Customers will be given the option of financing their share of the cost or having the cost capitalized and amortized over the life of the replacement or addition, or over the life of the contract. If the Customers select the latter, the costs will be capitalized at the current interest rate prescribed by DOE, under RA 6120.2, Paragraph 11B, “Basic Policy for Rate Adjustment; Interest Rate Formula,” in the fiscal year in which the replacement or addition is made. Such costs will be based on prudent and businesslike management practices and following established electric industry operation and maintenance practices. If extraordinary replacements exceeding $25,000 are needed, the Customers will consult with Reclamation, PRWUA, and Western on financing the replacement. The rate does not depend upon the power and energy made available for sale; instead, the Customers will pay the total PRP's annual powerplant expenses in return for the total marketable PRP production. Each Customer will pay its proportional share of the OM&R expenses identified in the PRS in 12 monthly installments. Availability of Information Information about this rate formula extension is available for public review at the Colorado River Storage Project Management Center, Western Area Power Administration, 150 East Social Hall Avenue, Suite 300, Salt Lake City, Utah 84111. Documents are also available at *http://www.wapa.gov/crsp/rateanal.htm* under CRSP rate adjustment documents for the Provo River Project's section. Regulatory Procedure Requirements Environmental Compliance In compliance with the National Environmental Policy Act

(NEPA)of 1969 (42 U.S.C. 4321, *et seq.* ); Council on Environmental Quality Regulations (40 CFR 1500-1508); and DOE NEPA Regulations (10 CFR 1021), Western has determined that this action is categorically excluded from the preparation of an environmental assessment or an environmental impact statement. Determination Under Executive Order 12866 Western has an exemption from centralized regulatory review under Executive Order 12866; accordingly, no clearance of this notice by the Office of Management and Budget is required. Small Business Regulatory Enforcement Fairness Act Western has determined that this rule is exempt from congressional notification requirements under 5 U.S.C. 801 because the action is a rulemaking of particular applicability relating to rates or services and involves matters of procedure. Submission to Federal Energy Regulatory Commission The interim rate formula extension herein confirmed, approved, and placed into effect on an interim basis, together with supporting documents, will be submitted to the Commission for confirmation and final approval. Order In view of the above and under the authority delegated to me as the Deputy Secretary of Energy, I confirm and approve on an interim basis, effective April 1, 2005, an extension of the rate formula for the Provo River Project of the Western Area Power Administration. The rate formula shall remain in effect on an interim basis, pending the Commission's confirmation and approval of it or a substitute rate on a final basis through March 31, 2010. Dated: November 22, 2004. Kyle E. McSlarrow, *Deputy Secretary.* [FR Doc. 04-26714 Filed 12-3-04; 8:45 am]

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