[Federal Register: July 6, 2004 (Volume 69, Number 128)]
[Notices]               
[Page 40630-40632]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr06jy04-42]                         

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DEPARTMENT OF ENERGY

Federal Energy Regulatory Commission

[Docket No. ER02-2001-003 et al.]

 
Electric Quarterly Reports Intent To Revoke Market-Based Rate 
Authority

Issued: June 23, 2004.
    Before Commissioners: Pat Wood, III, Chairman; Nora Mead 
Brownell, and Joseph T. Kelliher. ER98-4240-002, ER00-2363-001, 
ER00-1975-001, ER97-360-013, ER97-1428-006, ER97-3788-010, ER97-
2604-007, ER97-1643-001, ER96-659-017, ER97-1630-004, ER96-1283-008, 
ER00-741-002, ER95-964-011, ER99-3005-003, ER97-2792-010, ER01-1279-
002, ER96-1798-006, ER01-2656-001, ER97-4427-004, ER97-4173-001, 
ER94-1580-022, ER00-2248-001, ER96-280-016, ER98-1622-008, ER96-
3086-011, ER01-1897-002, ER98-1486-004, ER00-1453-001, ER97-2413-
012, ER98-3393-006, ER99-3142-001, ER96-795-011, ER97-3416-006, 
ER98-2535-004, ER01-1760-002, ER97-4787-001, ER96-2583-002, ER95-
257-020, ER98-4264-001, ER96-594-006, ER96-2435-001, ER98-3433-005, 
ER95-792-014, ER98-1148-006, ER96-1119-008, ER99-505-005, ER97-135-
001, ER98-174-007, ER99-1184-002, ER96-203-004, ER97-778-004, ER98-
3344-001, ER98-1824-009, ER98-1953-006, ER98-1421-006, ER95-914-013, 
ER96-1930-011, ER97-3187-002, ER96-1754-001, ER96-332-008, ER94-931-
016, ER96-1-018, ER95-1234-017, ER95-473-012, ER96-947-015, ER01-40-
001, ER97-3056-004, ER98-3012-002, ER98-3261-003, ER97-765-008, 
ER95-1047-011, ER96-2882-014, ER98-2175-008, ER99-4044-001, ER96-
1724-010, ER98-3526-007, ER95-385-010, ER01-1496-001, ER96-906-009, 
ER94-1676-017, ER92-429-020, ER97-2900-002, ER02-517-003, ER01-36-
002, ER97-3306-003, ER00-1408-001, ER98-1829-009, ER97-2426-004, 
ER96-525-012, ER95-1855-012, ER97-1248-005, ER96-1150-003, ER97-
3526-006, ER96-2914-007, ER97-2517-009, ER98-1823-005, Electric 
Quarterly Reports, Abacus Group, Ltd., Allied Companies, LLC, 
American Energy Savings, Inc., American Energy Trading, Inc., 
American Power Reserve Marketing, Anker Power Services, Inc., 
Applied Resources Integrated Services, Inc., APRA Energy Group, 
Inc., Bonneville Fuels Management Corp., Brennan Power, Inc., BTU 
Power Corporation, Canal Emirates Power International, Inc., CNB/
Olympic Gas Services, Coast Energy Group, Community Electric Power 
Corporation, Connecticut

[[Page 40631]]

Energy Cooperative, Inc., CPS Capital, Limited, Credit Suisse First 
Boston International, Electric Lite, Inc., Electrical Associates 
Power Marketing, Inc., Energy Resource Marketing, Inc., Energy 
Trading Company, Inc., Energy Transfer Group, LLC, Energy Unlimited, 
Inc., Energy2, Inc., EOPT Power Group Nevada, Inc., Equinox Energy, 
LLC, Essential Utility Resources, LLC, FINA Energy Services Company, 
Fortistar Power Marketing, LLC, FPH Electric, LLC, Gateway Energy 
Marketing, Global Energy & Technology, Inc., Hafslund Energy 
Trading, LLC, Haleywest, LLC, High Island Marketing, Inc., Hubbard 
Power & Light, Inc., Industrial Gas & Electric Services Co., 
International Energy Ventures, Inc., International Utility 
Consultants Inc., J.D. Enterprises, JMF Power Marketing, K Power 
Company, Inc., Kamps Propane, Inc., Kibler Energy Ltd, Lakeside 
Energy Services, LLC, Manner Technologies, LLC, Millennium Energy 
Corporation, Minnesota Agri-Power, LLC, Multi-Energies USA, Inc., 
NXIS, LLC, Omni Energy, Pacific Energy & Development Corp., PG 
Energy PowerPlus, Polaris Electric Power Company, Inc., Power 
Clearinghouse, Inc., Power Fuels, Inc., Power Systems Group Inc., 
Powerline Controls, Inc., PowerMark, LLC, PowerNet G.P., Powertec 
International, LLC, Prairie Winds Energy, Inc., Proven Alternatives, 
Inc., Quantum Energy Resources, Inc., Quinnipiac Energy, LLC, R. 
Hadler and Company, Inc., Rainbow Power USA LLC, Reliable Energy, 
Inc., Revelation Energy Resources Corporation, Ruffin Energy 
Services, Inc., Russell Energy Services Company, Salem Electric, 
Inc., Sandia Resources Corporation, SDS Petroleum Products, Inc., 
Shamrock Trading, LLC, Southeastern Energy Resources, Inc., Sundance 
Energy, SuperSystems, Inc., Texas-Ohio Power Marketing, Inc., Torco 
Energy Marketing, Inc., United Regional Energy, L.L.C., US Gas & 
Electric, USPower Energy, LLC, UTIL Power Marketing Inc., 
Utilimax.com, Inc., UtiliSource Corporation, UtiliSys Corporation, 
Utility Management & Consulting, Inc., VTEC Energy Inc., Wasatch 
Energy Corporation, Wheeled Electric Power Co., Woodruff Energy, 
Working Assets Green Power, Inc., Xenergy, Inc., XERXE Group, Inc.

    1. Section 205 of the Federal Power Act (FPA), 16 U.S.C. 824d 
(2000), accord 18 CFR part 35 (2003), requires that all rates, terms 
and conditions of jurisdictional services be filed with the Commission. 
In Order No. 2001,\1\ a final rule establishing revised public utility 
filing requirements for rates, terms and conditions of jurisdictional 
services,\2\ the Commission required public utilities, including power 
marketers, to file, among other things, Electric Quarterly Reports 
summarizing the contractual terms and conditions in their agreements 
for all jurisdictional services (including market-based power sales, 
cost-based power sales, and transmission service) and transaction 
information (including rates) for short-term and long-term market-based 
power sales and cost-based power sales during the most recent calendar 
quarter. In Order No. 2001-C,\3\ the Commission required public 
utilities to file their Electric Quarterly Reports using software 
provided by the Commission. Commission staff review of the Electric 
Quarterly Report submittals has revealed that a number of public 
utilities that previously had been granted authority to sell power at 
market-based rates have failed to file Electric Quarterly Reports. 
Accordingly, this order notifies those public utilities that their 
market-based rate authorizations will be revoked unless they comply 
with the Commission's requirements.
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    \1\ Revised Public Utility Filing Requirements, Order No. 2001, 
67 FR 31043, FERC Stats. & Regs. ] 31,127 (April 25, 2002), reh'g 
denied, Order No. 2001-A, 100 FERC ] 61,074, reconsideration and 
clarification denied, Order No. 2001-B, 100 FERC ] 61,342, order 
directing filings, Order No. 2001-C, 101 FERC ] 61,314 (2002).
    \2\ Order No. 2001, FERC Stats. & Regs. ] 31,127 at P 11-12, 18-
21.
    \3\ Order No. 2001-C, 101 FERC ] 61,314 at P 9.
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    2. In Order No. 2001, the Commission stated that,

[i]f a public utility fails to file a[n] Electric Quarterly Report 
(without an appropriate request for extension), or fails to report 
an agreement in a report, that public utility may forfeit its 
market-based rate authority and may be required to file a new 
application for market-based rate authority if it wishes to resume 
making sales at market-based rates.\4\
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    \4\ Order No. 2001, FERC Stats. & Regs. ] 31,127 at P 222.

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    3. The Commission further stated that,

[t]he Electric Quarterly Reports are designed to satisfy the FPA 
section 205(c) requirements. For power marketers, the Electric 
Quarterly Report is intended to replace the current filing of 
Quarterly Transaction Reports summarizing their market-based rate 
transactions and the filing of long-term agreements. Electric 
Quarterly Reports are also intended to replace the Quarterly 
Transaction Reports and rate filings required of traditional 
utilities with market-based rate authority. Once this rule becomes 
effective, the requirement to comply with this rule will supersede 
the conditions in public utilities' market-based rate authorizations 
and failure to comply with the requirements of this rule will 
subject public utilities to the same consequences they would face 
for not satisfying the conditions in their rate authorizations, 
including possible revocation of their authority to make wholesale 
power sales at market-based rates.\5\
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    \5\ Id. at P 223.

    4. Commission staff has determined that a number of public 
utilities that had been granted market-based rate authority have failed 
to file their Electric Quarterly Reports.\6\ Commission staff has made 
a concerted effort to contact all of the non-filing utilities listed in 
the caption by letter, by e-mail and by telephone to inform them of 
their regulatory obligation. On April 24, 2003, the Secretary of the 
Commission sent letters to 423 companies reminding them that they were 
required to file the Electric Quarterly Report. The letters stated:
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    \6\ In many cases, the utilities had previously failed to file 
Power Marketer Quarterly Reports (the predecessor to the Electric 
Quarterly Reports).

[w]ithin thirty (30) days of the date of this letter, your company 
utility must file Electric Quarterly Reports for the 2nd, 3rd, and 
4th Quarters of 2002 and the 1st Quarter of 2003. Failure to do so 
may result in the Commission's revocation of your market-based rate 
authority in accordance with Order No. 2001. * * * Please provide 
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your immediate attention to this important compliance matter.\7\

    \7\ Letter informing Abacus Group Ltd, et al., that to date 
their Electric Quarterly Reports had not been filed and requesting 
that the reports for the 2nd, 3rd, and 4th quarters of 2002, et al., 
be filed within 30 days (April 24, 2003).
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    5. Most of the public utilities listed in the caption of this order 
were sent this letter. In some cases, the letters were returned 
unopened. Commission staff called the power marketer contacts on file 
and searched Commission records and the Internet to identify alternate 
addresses and contacts. Where an alternate address or contact could be 
identified, a second letter and/or an e-mail was sent, or phone calls 
were made. Most of these inquiries also received no response. 
Notwithstanding efforts to find the non-filing public utilities listed 
in the caption of this order to remind them of their filing 
obligations, they have not complied with the requirement to file 
Electric Quarterly Reports.
    6. Accordingly, the market-based rate authorizations for those 
public utilities identified in the caption of this order will be 
revoked unless they comply with the Commission's requirements.
    The Commission orders:
    (A) Within 30 days of the date of issuance of this order, each 
public utility listed in the caption of this order shall file its 
Electric Quarterly Reports for the 2nd, 3rd, and 4th Quarters of 2002, 
the 1st, 2nd, 3rd, and 4th Quarters of 2003 and the 1st and 2nd 
Quarters of 2004. If a public utility fails to make this filing, the 
Commission will revoke that public utility's authority to sell power at 
market-based rates and terminate its electric market-based rate tariff. 
Upon expiration of the filing deadline in this order, the Secretary 
shall promptly issue a notice, effective on the date of

[[Page 40632]]

issuance, listing the public utilities whose tariffs have been 
terminated.
    (B) The Secretary is hereby directed to publish this order in the 
Federal Register.

    By the Commission. Commissioner Kelly not participating.
Linda Mitry,
Acting Secretary.
[FR Doc. 04-15153 Filed 7-2-04; 8:45 am]

BILLING CODE 6717-01-P