[Federal Register: May 17, 2005 (Volume 70, Number 94)]
[Proposed Rules]               
[Page 28222-28230]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr17my05-20]                         

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DEPARTMENT OF ENERGY

Federal Energy Regulatory Commission

18 CFR Parts 35, 37, and 38

[Docket No. RM05-5-000]

 
Standards for Business Practices and Communication Protocols for 
Public Utilities

May 9, 2005.
AGENCY: Federal Energy Regulatory Commission, DOE.

ACTION: Notice of proposed rulemaking.

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SUMMARY: The Federal Energy Regulatory Commission is proposing to amend 
its regulations to incorporate by reference standards promulgated by 
the North American Energy Standards Board's (NAESB's) Wholesale 
Electric Quadrant (WEQ) dealing with: Open Access Same-Time Information 
Systems (OASIS) business practice standards, including posting 
requirements for Order No. 2003 generator interconnection agreements 
and procedures; OASIS Standards and Communication Protocols and Data 
Dictionary; and business practice standards for Coordinate Interchange, 
Area Control Error (ACE) Equation Special Cases, Manual Time Error 
Correction, and Inadvertent Interchange Payback.
    Incorporating these standards by reference into the Commission's 
regulations is intended to benefit wholesale electric customers by 
streamlining utility business practices and transactional processes and 
OASIS procedures and by adopting a formal ongoing process for reviewing 
and upgrading the Commission's OASIS standards and other electric 
industry business practices that would benefit from the implementation 
of generic industry standards. In addition, the proposal to adopt 
business practice standards for Coordinate Interchange, ACE Equation 
Special Cases, Manual Time Error Correction, and Inadvertent 
Interchange Payback are intended to complement the Version 0 
Reliability Standards of the North American Electric Reliability 
Council.

DATES: Comments on the proposed rule are due July 1, 2005.

ADDRESSES: Comments may be filed electronically via the eFiling link on 
the Commission's Web site at http://www.ferc.gov. Commenters unable to 

file comments electronically must send an original and 14 copies of 
their comments to: Federal Energy Regulatory Commission, Office of the 
Secretary, 888 First Street, NE., Washington, DC, 20426. Refer to the 
Comment Procedures section of the preamble for additional information 
on how to file comments.

FOR FURTHER INFORMATION CONTACT:
Marvin Rosenberg (technical issues), Office of Markets, Tariffs and 
Rates, Federal Energy Regulatory Commission, 888 First Street, NE, 
Washington, DC 20426, (202) 502-8292.
Kay Morice (technical issues), Office of Markets, Tariffs and Rates, 
Federal Energy Regulatory Commission, 888 First Street, NE, Washington, 
DC 20426, (202) 502-6507.
Gary D. Cohen (legal issues), Office of the General Counsel, Federal 
Energy Regulatory Commission, 888 First Street, NE, Washington, DC 
20426, (202) 502-8321.

SUPPLEMENTARY INFORMATION:
    1. The Federal Energy Regulatory Commission (Commission) proposes 
to amend its regulations under the Federal Power Act to incorporate by 
reference certain standards promulgated by the North American Energy 
Standards Board's (NAESB's) Wholesale Electric Quadrant (WEQ) that 
implement, with modifications, the Commission's existing Open Access 
Same-Time Information Systems (OASIS) Business Practice Standards and 
OASIS Standards and Communication Protocols and Data Dictionary 
requirements. In addition, the Commission proposes to incorporate by 
reference NAESB's business practice standards on Coordinate 
Interchange, Area Control Error (ACE) Equation Special Cases, Manual 
Time Error Correction, and Inadvertent Interchange Payback that 
complement the Version 0 Reliability Standards of the North American 
Electric Reliability Council (NERC).
    2. Incorporating these standards by reference into the Commission's 
regulations is intended to benefit wholesale electric customers by 
streamlining utility business practices and transactional processes and 
OASIS procedures and by adopting a formal ongoing process for reviewing 
and upgrading the Commission's OASIS standards as well as other 
electric industry business practices that would benefit from the 
implementation of generic industry standards.

I. Background

    3. When the Commission developed its OASIS regulations, OASIS 
Standards and Communication Protocols, Data Dictionary, and Business 
Practice Standards, it relied heavily on the assistance provided by all 
segments of the wholesale electric power industry and its customers in 
the ad hoc working groups that came together and offered consensus 
proposals for the Commission's consideration. While this process was 
very successful, it became apparent to the Commission that ongoing 
issues remained that would be better addressed by an ongoing industry 
group dedicated to drafting consensus industry standards to implement 
the Commission's OASIS-related policies and policies on other industry 
business practices that would benefit from the implementation of 
generic industry standards rather than by continued reliance on an ad 
hoc approach.

[[Page 28223]]

    4. On December 19, 2001, the Commission issued an order \1\ asking 
the wholesale electric power industry to develop business practice 
standards and communication protocols by establishing a single 
consensus, industry-wide standards organization for the wholesale 
electric industry, to complement the market design principles the 
Commission was developing.
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    \1\ See Electricity Market Design and Structure, 97 FERC ] 
61,289 (2001) (December 2001 Order), 99 FERC ] 61,171 (May 2002 
Order), reh'g denied, 101 FERC ] 61,297 (2002) (December 2002 
Order).
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    5. Subsequently, in 2002, the Gas Industry Standards Board (GISB) 
stepped forward and volunteered to play this role by modifying its 
organization to broaden the scope of its activities to address electric 
power standards. The result of this reorganization has been the 
emergence of NAESB's WEQ, a non-profit, industry-driven organization 
working to reach consensus on standards to streamline the business 
practices and transactional processes within the wholesale electric 
industry and proposing and adopting voluntary communication standards 
and model business practices.
    6. As we have previously stated, we consider ``coordination between 
business practice standards and reliability standards to be critical to 
the efficient operation of the market.'' \2\ Thus, we urged the 
industry to ``expeditiously establish the procedures for ensuring such 
coordination after the NAESB WEQ [was] formalized, and request[ed] 
NAESB and others to file an update on the progress on coordination 
between it and NERC, 90 days after the formation of the WEQ.'' \3\
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    \2\ May 2002 Order, 99 FERC ] 61,171at P 22.
    \3\ Id. at P 22.
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    7. In response to the Commission's request, NAESB and NERC filed a 
joint letter, on December 16, 2002, explaining that both organizations 
had signed a memorandum of understanding (MOU) ``designed to ensure 
that the development of wholesale electric business practices and 
reliability standards are harmonized and that every practicable effort 
is made to eliminate overlap and duplication of efforts between the two 
organizations.'' The MOU describes, among other coordination 
procedures, the establishment of a Joint Interface Committee that will 
review all standards development proposals received by either 
organization and determine which organization should be assigned to 
draft the relevant standards.
    8. On January 18, 2005, NAESB filed a report with the Commission 
detailing the WEQ's activities over the past two years since the 
group's inception. This filing represents NAESB's first filing with the 
Commission reporting on wholesale electric business practices. NAESB 
reports that the WEQ has adopted business practices standards and 
communication protocols for the wholesale electric industry. These 
standards (Version 000 Standards) include the following OASIS-related 
business practice standards and communication protocols: (1) OASIS 
Business Practice Standards; (2) OASIS Standards and Communication 
Protocols; and (3) an OASIS Data Dictionary.
    9. NAESB also reports that, to complement NERC's Version 0 
Reliability Standards, the WEQ has adopted business practice standards 
for: (1) Coordinate Interchange; (2) ACE Equation Special Cases; (3) 
Manual Time Error Correction; and (4) Inadvertent Interchange Payback. 
Further, NAESB states that the WEQ has adopted business practice 
standards for Standards of Conduct to implement the Commission's 
requirements in Order Nos. 2004, 2004-A, and 2004-B.\4\
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    \4\ Standards of Conduct for Transmission Providers, Order No. 
2004, FERC Stats. & Regs., Regulations Preambles ] 31,155 (2003) 
(Order No. 2004), order on reh'g, Order No. 2004-A, FERC Stats. & 
Regs., Regulations Preambles ] 31,161 (2004), order on reh'g and 
clarification, Order No. 2004-B, FERC Stats. & Regs., Regulations 
Preambles ] 31,166 (2004), order on reh'g and clarification, Order 
No. 2004-C, FERC Stats. & Regs., Regulations Preambles ] 31,172 
(2005), , order on reh'g and clarification, Order No. 2004-D, 110 
FERC ] 61,320 (2005), appeal pending sub nom. American Gas 
Association v. FERC, No. 04-1178, et al. (DC Cir. filed June 9, 2004 
and later). NAESB reports that it is currently engaged in priority 
efforts to make any necessary modifications to the Standards of 
Conduct business practice standards to ensure they adequately 
address the requirements of Order No. 2004-C.
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    10. According to NAESB, the WEQ has adopted the Commission's OASIS 
Business Practice Standards, OASIS Standards and Communication 
Protocols, and OASIS Data Dictionary to reflect the business practice 
standards and communication protocol standards adopted by the 
Commission in Order Nos. 605, 638, and 889.\5\ NAESB states that the 
WEQ then adopted modifications to these standards to: (1) Facilitate 
the redirection of transmission service;\6\ (2) address multiple 
submissions of identical transmission requests/queuing issues;\7\ (3) 
address OASIS posting requirements under Order No. 2003 (the Large 
Generator Interconnection rule);\8\ and (4) provide non-substantive 
editing to improve the formatting, organization, and clarity of the 
text.\9\
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    \5\ Open Access Same-Time Information Systems, Order No. 605, 
FERC Stats. & Regs., Regulations Preambles 1996-2000 ] 31,075 
(1999); Open Access Same-Time Information Systems, Order No. 638, 
FERC Stats. & Regs., Regulations Preambles 1996-2000 ] 31,093 
(2000); Open Access Same-Time Information Systems, Order No. 889, 
FERC Stats. & Regs., Regulations Preambles 1991-1996 ] 31,35 (1996), 
Order No. 889-A, FERC Stats. & Regs., Regulations Preambles 1996-
2000 ] 31,049 (1997).
    \6\ NAESB Comments at 21.
    \7\ Id. at 20.
    \8\ See Standardization of Generator Interconnection Agreements 
and Procedures, Order No. 2003, FERC Stats. & Regs., Regulations 
Preambles ] 31,146 (2003), order on reh'g, Order No. 2003-A, FERC 
Stats. & Regs., Regulations Preambles ] 31,160 (2004), order on 
reh'g, Order No. 2003-B, FERC Stats & Regs., Regulations Preambles ] 
31,171 (2004), reh'g pending.
    \9\ One of these edits was to delete Standard 1.4 of the WEQ's 
OASIS Business Practice Standards governing compliance with the 
OASIS Standards of Conduct (which is now governed by the 
Commission's regulations at 18 CFR part 358, which superceded the 
Commission's former regulation at 18 CFR 37.4) because the provision 
to which it related has now been superseded.
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    11. NAESB also reports that the development of the WEQ business 
practices standards on Coordinate Interchange, ACE Equation Special 
Cases, Manual Time Error Correction, and Inadvertent Interchange 
Payback was part of a joint effort with NERC where the existing NERC 
operating policies were divided into reliability standards for 
development by NERC and business practices standards for development by 
NAESB. The Commission endorsed this cooperative division of labor 
between NERC and NAESB in the May 2002 Order.\10\
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    \10\ 99 FERC ] 61,171 at P 22.
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II. Discussion

A. Standards Development and Incorporation by Reference

    12. As we have previously stated, we are pleased that the industry 
has reached a broad consensus that the WEQ will be the single 
organization to develop business practice and electronic communication 
standards on behalf of the entire wholesale electric power 
industry.\11\ Coordinating these efforts within a single organization 
will make the process of developing standards more efficient, which 
benefits the entire industry. NAESB is an accredited American National 
Standards Institute Standards Development Organization, and, thus, the 
standards development process will ensure due process and assure that 
all industry members may participate in drafting the standards. The 
Commission's confidence in the ability of the WEQ to fill this role 
successfully is justified by the positive contributions NAESB and its 
predecessor, GISB, have already made

[[Page 28224]]

in developing consensus standards applicable to the natural gas 
industry
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    \11\ Id. at P 3.
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    13. The WEQ's standards were developed under a voluntary consensus 
process. Under this process, to be approved a standard must receive a 
super-majority vote of 67 percent of the members of the WEQ's Executive 
Committee with support from at least 40 percent from each of the five 
industry segments--transmission, generation, marketer/brokers, 
distribution/load serving entities, and end users. For final approval, 
67 percent of the WEQ's general membership must ratify the standards.
    14. As we found with respect to the natural gas industry, adoption 
of consensus standards is appropriate because the consensus process 
assists the Commission in determining the reasonableness of the 
standards by requiring that the standards draw support from a broad 
spectrum of all segments of the industry. Since the industry itself has 
to conduct business under these standards, the Commission's regulations 
should reflect those standards that have the widest possible support.
    15. In section 12(d) of the National Technology Transfer and 
Advancement Act of 1995, Congress affirmatively requires federal 
agencies to use technical standards developed by voluntary consensus 
standards organizations, like NAESB's WEQ, as means to carry out policy 
objectives or activities.\12\ As the Commission has pointed out on 
several occasions,\13\ incorporation by reference is the appropriate, 
and indeed the required, method for adopting copyrighted standards 
material.\14\ As required, the WEQ standards are reasonably available 
from NAESB. Members can access these materials at no additional charge 
from the NAESB Web site or can pay $50 for the booklet or CD rom. 
Because standards development is of importance to the entire industry, 
the Commission strongly encourages all companies to become members and 
to participate actively in the NAESB process. However, non-members can 
obtain the standards booklet or CD rom for $100. In addition, as 
required by the regulations, copies of the standards are also available 
for inspection in the Commission's Public Reference Room.\15\
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    \12\ Pub L. No. 104-113, section 12(d), 110 Stat. 775 (1996), 15 
U.S.C. 272 note (1997).
    \13\ See, e.g., Standards for Business Practices of Interstate 
Natural Gas Pipelines, Order No. 587-R, FERC Stats. & Regs., 
Regulation Preambles ] 31,141 at P 29-37 (2003).
    \14\ Order No. 587-A , 61 FR 55208, 77 FERC ] 61,061, at p. 
61,232 (1996); Order No. 587-K , FERC Stats. & Regs., Regulations 
Preambles 1996-2000 ] 31,072 at 30,775 (1999). See 5 U.S.C. 552 
(a)(1) (2000); 1 CFR 51.7(4) (requirements established for 
incorporation by reference); Federal Participation in the 
Development and Use of Voluntary Standards, OMB Circular A-119, at 6 
(a)(1) (Feb. 10, 1998), http://www.whitehouse.gov/omb/circulars/a119/a119.html
 (incorporation by reference appropriate means of 

adopting private sector standards under the National Technology 
Transfer and Advancement Act). Indeed, the Commission could not 
reproduce the WEQ standards in violation of the NAESB copyright. See 
28 U.S.C. 1498 (government not exempt from patent and copyright 
infringement).
    \15\ 5 U.S.C. 552 (a)(1); 1 CFR 51.
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    16. Consistent with our practice for the natural gas industry, the 
Commission is proposing to incorporate by reference (in part 38 of our 
regulations under the Federal Power Act, 18 CFR part 38) most of the 
standards developed by the WEQ. Once the Commission incorporates the 
WEQ's standards into its regulations, all public utilities subject to 
the Commission's authority will be required to comply with the 
incorporated standards, as would non-jurisdictional entities 
voluntarily following Commission's open access requirements under 
reciprocity. As NAESB revises these standards in the future, the 
Commission will review NAESB's revisions and consider incorporating 
such changes through a notice and comment rulemaking.\16\
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    \16\ Entities are required to abide by only the version of the 
standards adopted by the Commission. Compliance with subsequent 
revisions will not be required unless the Commission has through a 
notice and comment rulemaking proceeding incorporated by reference 
any such revisions.
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    17. The Commission is also proposing, similar to what we have done 
with respect to the gas standards, to require each electric utility to 
revise its open access transmission tariff (OATT) to include the 
applicable WEQ standards.\17\ For standards that do not require 
implementing tariff provisions, the Commission is proposing to permit 
the utility to incorporate the WEQ standard by reference in its 
OATT.\18\ Thus, we are proposing to revise our regulation at 18 CFR 
35.28(c) to include this requirement.
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    \17\ Thus, when the Commission incorporates by reference updated 
standards, each utility will be required to make a filing updating 
its tariff accordingly.
    \18\ When making such a tariff filing, the following 
nomenclature should be used:
     OASIS Business Practice Standards (WEQBPS-001-000, 
January 15, 2005) including the Definitions of ``Capacity Available 
to Redirect'', ``Commission'', ``Denial of Service'', ``Identical 
Service Requests'', ``Parent Reservation'', ``Queue Flooding'', and 
``Queue Hoarding'', Standards 2 through 10 with subsections except 
Standard 9.7, Appendix--Standard 8 Examples, and Appendix B;
     OASIS Standards and Communication Protocols (WEQSCP-
001-000, January 15, 2005) including Standards 1 through 5 with 
subsections;
     OASIS Data Dictionary (WEQDD-001-000, January 15, 
2005);
     Coordinate Interchange Standards (WEQBPS-002-000, 
January 15, 2005) including Purpose, Applicability, Definitions, 
Standards 1 through 13 with subsections, and Appendices A through D;
     ACE Equations Special Cases Standards (WEQBPS-003-000, 
January 15, 2005) including Purpose, Applicability, Definitions, 
Standards 1 through 3 with subsections, and Appendix A;
     Manual Time Error Correction Standards (WEQBPS-004-000, 
January 15, 2005) including Purpose, Applicability, Definitions, and 
Standards 1 through 12 with subsections; and
     Inadvertent Interchange Payback Standards (WEQBPS-005-
000, January 15, 2005) including Purpose, Applicability, 
Definitions, Standard 1 with subsections, and Appendix A.
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    18. Specifically, the Commission proposes to incorporate by 
reference the standards adopted by NAESB's WEQ that include: (1) OASIS 
Business Practice Standards; (2) OASIS Standards and Communication 
Protocols; and (3) an OASIS Data Dictionary, with the exception of 
standards that duplicate the Commission's regulations, all as modified 
to address: (1) Redirect of transmission service; \19\ (2) multiple 
submissions of identical transmission requests/queuing issues; (3) 
OASIS posting requirements under Order No. 2003 (the Large Generator 
Interconnection rule); and (4) maintenance of the OASIS standards. 
Thus, we are proposing to revise our regulations to add 18 CFR part 38, 
where we would specifically enumerate each set of standards adopted by 
the WEQ that we are incorporating by reference.
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    \19\ As further discussed below, we are not proposing to 
incorporate by reference OASIS Business Practice Standard 9.7, as 
this appears to conflict with provisions of the pro forma tariff.
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    19. Further, the Commission proposes to incorporate by reference 
the WEQ business practice standards to complement NERC's Version 0 
Reliability Standards including: (1) Coordinate Interchange; (2) ACE 
Equation Special Cases; (3) Manual Time Error Correction; and (4) 
Inadvertent Interchange Payback. Thus, as discussed above, we propose 
to include the incorporation by reference of these standards in a new 
18 CFR part 38, where we would specifically enumerate each set of 
standards adopted by the WEQ that we are incorporating by reference. 
However, the Commission is not proposing to incorporate by reference 
the NAESB Standards of Conduct-related business practice standards.
    20. We are proposing to incorporate by reference NAESB's OASIS 
standards because we believe that this will create: (1) A body of 
business practices standards and communication protocol standards that 
the industry can use as a foundation for addressing emerging

[[Page 28225]]

business issues; (2) business practices and communication protocols 
modifying the Commission's standards to accommodate new market 
operations; and (3) business practices standards and communication 
protocols to assist the wholesale electric industry in complying with 
the Commission's OASIS posting requirements under Order No. 2003 
(Standardization of Generator Interconnection Agreements and 
Procedures).
    21. We also believe that incorporating the NAESB business practice 
standards identified above by reference will create business practices 
that support NERC's Version 0 Reliability Standards and functional 
model.

B. OASIS Standards

    22. The WEQ's OASIS standards are based on the Commission's 
existing standards on this topic. First, the WEQ adopted baseline OASIS 
standards to reflect the Commission's existing OASIS standards. Then 
the WEQ modified its baseline OASIS standards to facilitate the 
redirect of transmission reservations to alternate receipt and delivery 
points, to address multiple submissions of identical transmission 
requests and queuing issues, and to address OASIS posting requirements 
under Order No. 2003, based on industry requests for enhancements to 
the OASIS standards. The WEQ also performed maintenance on the baseline 
OASIS standards to improve their format, organization, and clarity.
    23. On April 19, 2005, NAESB reported that the WEQ made 
modifications to the Commission's OASIS Standards and Communication 
Protocols (V1.4), OASIS Data Dictionary (V1.41) and the OASIS Business 
Practices Standards (V1.2), as follows:

New OASIS Business Practice Standards

     Standard 1: Provision of Open Access Transmission Service
     Standard 8: Requirements for dealing with multiple, 
identical transmission service requests.
     Standard 9: Requirements for dealing with Redirects on a 
Firm basis.
     Standard 10: Requirements for dealing with Redirects on a 
Non-Firm basis.

New OASIS Business Practice Standards Definitions

     Commission
     Denial of Service
     Identical Service Requests
     Queue Flooding
     Queue Hoarding
     Capacity Available to Redirect
     Parent Reservation

Miscellaneous Changes to OASIS Business Practice Standards

     The OASIS Business Practice Standards contained numerous 
internal references. Since the NAESB standards are based on the current 
OASIS Business Practices, references were changed to reflect the 
correct NAESB standard, or section of regulation, as appropriate.\20\
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    \20\ Changes of this nature are found in the following 
standards: Applicability; Purpose; definition of Affiliate; 1.5(a); 
1.5(b); 1.5(c); 1.6 (b)(3)(i)(B); 1.6 (b)(3)(i)(C) (1); 1.6 (c)(4); 
1.6 (d)(3); 1.6 (e)(1)(iv); 1.6 (g)(3); 1.6 (g)(4); 1.7(a); 2.0; 
Table 2-1 note 1; 2.1; 2.2; 2.3; 2.4; 2.5; 2.5.1; 2.5.3; 2.5.4; 
2.5.5; 2.5.6; introductory paragraph under ``Process to Register 
Non-Standard Service Attribute Values'' header; introductory 
paragraph under ``Phase IA Negotiation Process State Transition 
Diagram'' header; 4.4; 4.5; 5.0; 6.0.
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     In several instances references to specific regulations 
were replaced with a general reference to currently applicable 
regulations. These instances included the following standards: 
Applicability; 1.6(d)(1); 1.6(d)(5); 1.6(e)(1)(i).
     In Standards 1.5 (b)(2) and (3) the information detailing 
how to obtain the OASIS Business Practice Standards and Standards and 
Communication Protocols (OASIS S&CP) from the Commission was deleted.
     In Standard 2.4 the specific reference to ``NERC 
[Transmission Line Loading Relief] Procedures for NERC CURTAILMENT 
PRIORITY (1-7)'' was replaced with a general reference to those 
procedures.
     In Standard 7.2 the specific reference to ``NERC 
[Electronic Tagging] Specification 1.6'' was replaced with a reference 
to the current version of the NERC [Electronic Tagging] Specifications.
     In Standards 7.9, 7.10, and 7.14 language referencing the 
IMPLEMENT or CONDITIONAL status has been changed to the more generic 
phrase ``become implemented.''
     In Standards 7.12 and 7.13 the reference to ``NERC 
Operating Policy 3 and associated Appendices'' was replaced with ``NERC 
and/or NAESB Standards.''

Changes to OASIS S&CP Standard 4.5

     The phrase ``[I]nformation that must be posted on 
INFO.HTM, as per Section 3.4 b, includes'' was deleted and replaced 
with the following language:
    When a regulatory order requires informational postings on OASIS 
and there is no OASIS S&CP template to support the postings or it is 
deemed inappropriate to use a template, there shall be a reference in 
INFO.HTM to the required information, including, but not limited to, 
references to the following:
     The phrase ``[T]here shall be a reference in INFO.HTM to'' 
was deleted from each of the bullets.
     The following new language was added below the bullets:
    For the purposes of this section, any link to required 
informational postings that can be accessed from INFO.HTM would be 
considered to have met the OASIS posting requirements, provided that 
the linked information meets all other OASIS accessibility 
requirements.

Miscellaneous Changes to the OASIS Data Dictionary

     Element Name ``INITIATING-- PARTY': The phrase 
``Transmission Provider (TP), Security Coordinator (SC) or Control Area 
(CA)'' replaced the phrase ``Transmission Provider, Security 
Coordinator or Control Area'' under the Restricted Values column so 
that the abbreviations could be used in Element Name ``RESPONSIBLE--
PARTY''.
    24. NAESB also reports that it has made the following modifications 
to the OASIS baseline standards to enhance their format, organization, 
and clarity:
     Consolidation of Standards 8-21, with exceptions for 
Standards 15-16, as subsections 1.1-1.8 of Standard 1;
     Deletion of Standards 15 and 16, but retention of the 
information as introductory material for Standard 1;
     Deletion of Standard 22 as not applicable;
     Modification of external references, where appropriate, to 
be internal references (e.g., references to ``Section 37'' changed to 
``Standard 1'');
     Minor, non material reformatting;
     Modification of portions of Standards 1.1-1.7 to reflect 
the standards as contained in the current CFR, as consistent with the 
intention of Request No. R04005; and
     Deletion of Standard 1.4, Standards of Conduct.
1. OASIS Business Practice Standards
    25. With the exception of standards, discussed below, involving 
standards that duplicate the requirements in our regulations (OASIS 
Business Practice Standard 1, including Standards 1.1 through 1.8, and 
in the Definitions of ``Affiliate,'' ``Responsible party,'' 
``Reseller,'' ``Transmission Provider,'' ``Transmission Customer,'' and 
``Wholesale merchant function''), we believe that the WEQ's OASIS 
Business Practice Standards are consistent with the Commission's 
existing standards on this topic.\21\ Thus, our current view is

[[Page 28226]]

that incorporating the WEQ's OASIS Business Practice Standards by 
reference in our regulations will further the current requirement for 
standardization of OASIS across the industry. In addition, it will 
permit the industry to use the NAESB consensus process to suggest 
further modifications and enhancements to the OASIS Business Practice 
Standards as it deems necessary, subject to the Commission's approval.
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    \21\ In addition, although we are proposing to incorporate by 
reference OASIS Business Practice Standard 10.6, we have problems 
with this provision that we are asking commenters to address in 
their comments on this NOPR.
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    26. Thus, with the exceptions referenced above and discussed below, 
we are proposing to incorporate the WEQ's OASIS Business Practice 
Standards by reference in a new 18 CFR part 38. If commenters discover 
any inconsistencies between the WEQ's OASIS Business Practice Standards 
we propose to incorporate by reference and the Commission's existing 
OASIS Business Practice Standards, this should be brought to our 
attention in their comments on this NOPR.
a. Standards for Redirects of Transmission Service
    27. In sections 22.1 and 22.2 of the pro forma tariff,\22\ the OATT 
permits redirects of transmission reservations to alternate receipt and 
delivery points. As discussed above, one of the modifications that the 
WEQ made to its baseline OASIS Business Practice Standards was to 
include standards intended to facilitate the redirect of transmission 
services. However, we have concern about Standards 9.7 and 10.6 in 
relation to the policies we have adopted in the pro format OATT. As 
discussed further below, based on these inconsistencies we are not 
proposing to adopt Standard 9.7, and we are inviting comment on our 
understanding of Standard 10.6.
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    \22\ See Promoting Wholesale Competition Through Open Access 
Non-Discriminatory Transmission Services by Public Utilities, Order 
No. 888, FERC Stats. & Regs., Regulations Preambles 1991-1996 ] 
31,036 (1996), Order No. 888-A, FERC Stats. & Regs., Regulations 
Preambles 1996-2000 ] 31,048 at 30,528 (1997).
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    28. The WEQ's Standard 9.7 provides that, unless otherwise mutually 
agreed to by the primary provider and original customer, a request for 
redirect on a firm basis does not impact the transmission customer's 
long term firm renewal rights (e.g., rollover or evergreen rights) on 
the original path, nor does it confer any renewal rights on the 
redirected path. This provision implies that the parties to any 
agreement can mutually agree to eliminate rollover rights, even though 
the Commission has found that agreements cannot eliminate rollover 
rights.\23\ In providing that rollover rights cannot be eliminated by 
agreement, the Commission was concerned about transmission owners 
unfairly inducing customers to give up their renewal rights.
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    \23\ See Southern Company Services, Inc., 108 FERC ]61,174 at P 
42-45 (2004) where the Commission denied a request for rehearing 
challenging the Commission's finding that parties entering contracts 
for transmission service must remove provisions they inserted in the 
contracts that would have restricted future rollover transmission 
rights contrary to Commission policy.
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    29. In addition, the language at the end of Standard 9.7, which 
states ``nor does it confer any renewal rights on the redirected 
path,'' also appears to be inconsistent with the pro forma tariff. 
Under section 22.2 of the pro forma tariff, a request for a redirect is 
to be treated as a new request for service. Such a request is governed 
by procedures in section 17.1 of the pro forma tariff and if the 
request is granted, it is entitled to the reservation priority afforded 
by section 2.2 of the pro forma tariff.
    30. As redirect service is treated as a new service, to be 
consistent with the OATT, once the parties agree to revise the contract 
to provide service to a redirected point of receipt or delivery, the 
customer should receive any renewal rights that go with the new service 
at the revised receipt and delivery points, including rollover rights 
afforded under section 2.2.
    31. Since this standard appears to conflict with Commission policy, 
and NAESB has not explained the benefits of such a change, we are not 
proposing to incorporate Standard 9.7. However, we request comments on 
whether such a change is appropriate. We also request comment on 
whether, if the Commission determines this standard conflicts with its 
policies, there is an immediate need for a standard on this issue or 
whether we can wait for NAESB to reconsider this issue and develop 
alternate language.
    32. We also are concerned about some vague language in Standard 
10.6, which states that ``for the purposes of curtailment and other 
capacity reductions, confirmed Redirects on a Non-Firm basis shall be 
treated comparably to all other types of Non-Firm Secondary Point-to-
Point Service.'' The phrase ``all other types'' is not defined. We 
interpret this phrase to apply only to services that are comparable to 
non-firm secondary point-to-point service, and propose to accept the 
standard based on this interpretation. We request comments on whether 
this reflects the intent of this standard.
b. Standards That Duplicate the Requirements in Our Regulations
    33. In adopting its OASIS Business Practice Standards, the WEQ has 
included language that duplicates language already set out in part 37 
of our regulations.\24\ This is not appropriate for business practice 
standards we would incorporate by reference. For this purpose, we 
incorporate by reference standards that implement our regulations and 
policies, and operate in concert with our regulations and policies.
---------------------------------------------------------------------------

    \24\ The language that duplicates our regulations (at 18 CFR 
part 37) is found in Standard 1, including Standards 1.1 through 
1.8, and in the Definitions of ``Affiliate,'' ``Responsible party,'' 
``Reseller,'' ``Transmission Provider,'' ``Transmission Customer,'' 
and ``Wholesale merchant function.''
---------------------------------------------------------------------------

    34. Incorporating by reference standards that duplicate Commission 
regulations could result in inconsistent regulations in the event that 
the Commission revises its regulations before the WEQ has issued 
revised standards and because the Commission's regulations stand on 
their own. Thus, to prevent these problems, we are not proposing to 
incorporate by reference the WEQ's standards (enumerated below) that 
duplicate our regulations.
    35. To further the industry's progress toward achieving 
standardized OASIS reporting and business practices across the 
industry, we are proposing to incorporate by reference the WEQ's OASIS 
Business Practice Standards in a new 18 CFR part 38, with the two 
exceptions noted above, one involving standards for redirects of 
transmission service (OASIS Business Practice Standard 9.7), and the 
other involving standards that duplicate the requirements in our 
regulations (OASIS Business Practice Standard 1, including Standards 
1.1 through 1.8, and in the Definitions of ``Affiliate,'' ``Responsible 
party,'' ``Reseller,'' ``Transmission Provider,'' ``Transmission 
Customer,'' and ``Wholesale merchant function.'')
2. OASIS Standards and Communication Protocols and Data Dictionary
    36. We believe that the OASIS Standards and Communication 
Protocols, as modified by the WEQ, are consistent with the Commission's 
existing standards on this topic. Thus, our view is that incorporating 
the WEQ's OASIS Standards and Communication Protocols by reference in 
our regulations will further the current requirement for 
standardization

[[Page 28227]]

of OASIS across the industry. In addition, it will permit the industry 
to use the NAESB consensus process to suggest further modifications and 
enhancements to the OASIS Standards and Communication Protocols as it 
deems necessary, subject to the Commission's approval.
    37. Thus, we are proposing to incorporate the WEQ's OASIS Standards 
and Communication Protocols by reference in a new 18 CFR part 38. If 
commenters discover any inconsistencies between the WEQ's OASIS 
Standards and Communication Protocols and the Commission's existing 
OASIS Standards and Communication Protocols, this should be brought to 
our attention in their comments on this NOPR.
    38. We believe that the OASIS Data Dictionary, as modified by the 
WEQ, is consistent with the Commission's existing OASIS Data 
Dictionary. Incorporating the WEQ's OASIS Data Dictionary by reference 
in our regulations would continue the requirement for standardization 
of OASIS across the industry. In addition, it would permit the industry 
to use the NAESB consensus process to suggest further modifications and 
enhancements to the OASIS standards as it deems necessary, subject to 
the Commission's approval. Thus, we are proposing to incorporate by 
reference the WEQ's OASIS Data Dictionary in a new 18 CFR part 38. If 
commenters discover any inconsistencies between the WEQ's OASIS Data 
Dictionary and the Commission's existing OASIS Data Dictionary, this 
should be brought to our attention in their comments on this NOPR.
3. Deleting Superceded Requirements
    39. In addition, we propose to delete the current requirement in 18 
CFR part 37, found at 18 CFR sections 37.5(b)(2) and (b)(3) to comply 
with the Commission's existing OASIS Standards and Communication 
Protocols and OASIS Business Practice Standards, which would be 
superseded by the WEQ-developed OASIS Business Practice Standards and 
OASIS Standards and Communication Protocols that we are proposing to 
incorporate by reference.
    40. By contrast, with the exception of sections 37.5(b)(2) and 
(b)(3), we are retaining the OASIS regulations adopted by the 
Commission in part 37 of our regulations because these regulations set 
forth the Commission's policies. The WEQ standards now cover the 
technical aspects of OASIS compliance, and we fully expect that in the 
future the WEQ will continue to upgrade and improve the standards. If 
in the future the Commission determines that changes in OASIS are 
needed for policy reasons, the Commission will use its own processes to 
consider and implement such changes to OASIS policy.
    41. After reviewing the WEQ standards, we believe that they reflect 
the Commission's OASIS policies and are consistent with the OASIS 
technical standards we previously adopted. However, we invite 
commenters to address whether there are important discrepancies between 
the WEQ's OASIS Business Practice Standards and OASIS Standards and 
Communication Protocols and Data Dictionary and the Commission's 
existing standards.

C. Business Practice Standards To Complement the NERC Version 0 
Reliability Standards

1. Standards the Commission Proposes To Incorporate by Reference
    42. The WEQ's business practice standards addressing Coordinate 
Interchange, ACE Equation Special Cases, Manual Time Error Correction, 
and Inadvertent Interchange Payback were developed to support NERC's 
Version 0 Reliability standards. On February 8, 2005 the NERC Board of 
Trustees approved the Version 0 Reliability Standards to become 
effective April 1, 2005. Incorporation of the WEQ's business practice 
standards addressing Coordinate Interchange, ACE Equation Special 
Cases, Manual Time Error Correction, and Inadvertent Interchange would 
complement the NERC Version 0 Reliability Standards. Thus, we are 
proposing to incorporate these standards by reference in a new 18 CFR 
part 38. When these business practices were NERC policies, compliance 
with them was voluntary. However, once they are incorporated by 
reference into the Commission's regulations, compliance with them will 
be mandatory.
2. Standards Being Developed on Transmission Load Relief and Coordinate 
Interchange Business Practices
    43. NAESB states that two sets of business practices that 
complement NERC's reliability standards--Transmission Load Relief (TLR) 
and enhancements to Coordinate Interchange Business Practices--were 
adopted by the WEQ but not described in its report. NAESB states that 
the business practices for TLR duplicates NERC's reliability 
standards,\25\ as both NERC and NAESB agreed that there was 
insufficient time to adequately review and separate the business 
practices from the reliability standards and complete the effort in 
2004 for ``Version 0.'' NAESB states that it has been working with NERC 
to separate the business practices from the reliability standards.
---------------------------------------------------------------------------

    \25\ The Commission accepted NERC's TLR procedures for filing, 
to be effective April 1, 2005. North American Electric Reliability 
Council, 110 FERC ] 61,388 (2005).
---------------------------------------------------------------------------

    44. We applaud the efforts of NAESB and NERC to coordinate their 
standard development efforts and NAESB's priority efforts to adopt 
business practices that complement NERC's reliability standards.

D. Standards of Conduct Standards

    45. One of the revisions the WEQ made to the OASIS Business 
Practice Standards was to delete Standard 1.4 dealing with Standards of 
Conduct. The WEQ deleted this standard because the Commission's OASIS 
Standards of Conduct, previously governed by the Commission's 
regulation at 18 CFR 37.4, was superseded by the Commission's 
regulations at 18 CFR part 358. In conjunction with deleting Standard 
1.4 from the OASIS Business Practice Standards, the WEQ adopted 
separate stand-alone Standards of Conduct standards developed to 
implement the Standards of Conduct requirements detailed in the 
Commission's Order Nos. 2004, 2004-A, and 2004-B as they apply to 
wholesale electric entities. Moreover, in its filing, NAESB states that 
priority efforts are underway to make necessary modifications to 
address Order No. 2004-C. As discussed further below, the Commission is 
not proposing to incorporate by reference the WEQ's Standards of 
Conduct standards at the current time. However, we are proposing to 
incorporate the WEQ Standards and Communication Protocols that govern 
the posting on OASIS of the information required in the Standards of 
Conduct in a new part 38 of the Commission's regulations.\26\
---------------------------------------------------------------------------

    \26\ The WEQ's standards we are proposing to incorporate by 
reference on the posting of information required in the Standards of 
Conduct are found at Standards 4.3.1, 4.3.10.6, 4.3.11, and 4.5 of 
the WEQ OASIS Standards and Communications Protocols and the 
definition of ``STANDARDS--OF--CONDUCT--ISSUES'' in the OASIS Data 
Dictionary.
---------------------------------------------------------------------------

    46. We are not proposing to incorporate the WEQ's stand-alone 
Standards of Conduct by reference because these standards merely adopt 
the language in the Commission's regulations promulgated by Order Nos. 
2004, 2004-A, and 2004-B and contain no further standards addressing 
the implementation of these regulations. In addition, the WEQ has 
edited the Commission's language to delete

[[Page 28228]]

references to natural gas and natural gas pipelines to limit the 
applicability of its standard to public utilities. However, in their 
editing, the WEQ has changed the meaning of the Commission's language 
(see, e.g., the definition of Energy Affiliate). If we were to 
incorporate these standards by reference, we would have conflicting 
regulations, since the WEQ's standards duplicate language already in 
our regulations, but with errors.
    47. As we stated above, in considering what WEQ standards to 
incorporate by reference, we are looking for the development of 
standards to implement, and operate in concert with, our regulations. 
If the WEQ was to adopt a set of standards that is consistent with, but 
not duplicative of, our regulations at 18 CFR part 358, Standards of 
Conduct for Transmission Providers, we would consider incorporating 
those standards by reference. In this regard, it would be useful if the 
WEQ would adopt standards comparable to those NAESB adopted regarding 
standards of conduct on the gas side.\27\
---------------------------------------------------------------------------

    \27\ See NAESB's report filed on August 6, 2004, in Docket No. 
RM96-1, on standards adopted by its Wholesale Gas Quadrant to 
implement the Commission's Order No. 2004.
---------------------------------------------------------------------------

III. Notice of Use of Voluntary Consensus Standards

    48. Office of Management and Budget Circular A-119 (section 11) 
(February 10, 1998) provides that Federal Agencies should publish a 
request for comment in a NOPR when the agency is seeking to issue or 
revise a regulation proposing to adopt a voluntary consensus standard 
or a government-unique standard. In this NOPR, the Commission is 
proposing to incorporate by reference voluntary consensus standards 
developed by the WEQ.

IV. Information Collection Statement

    49. The following collections of information contained in this 
proposed rule have been submitted to the Office of Management and 
Budget (OMB) for review under section 3507(d) of the Paperwork 
Reduction Act of 1995, 44 U.S.C. 3507(d). The Commission solicits 
comments on the Commission's need for this information, whether the 
information will have practical utility, the accuracy of the provided 
burden estimates, ways to enhance the quality, utility, and clarity of 
the information to be collected, and any suggested methods for 
minimizing respondents' burden, including the use of automated 
information techniques. The following burden estimates include the 
costs to implement the WEQ's OASIS Business Practice Standards, OASIS 
Standards and Communication Protocols, OASIS Data Dictionary, 
Coordinate Interchange Standards, ACE Equation Special Cases Standards, 
Manual Time Error Correction Standards, and Inadvertent Interchange 
Payback Standards. The burden estimates are primarily related to start-
up to implement these standards and regulations and will not result in 
on-going costs.

----------------------------------------------------------------------------------------------------------------
                                                                     Number of
                 Data collection                     Number of    responses  per     Hours per     Total number
                                                    respondents     respondent       response        of hours
----------------------------------------------------------------------------------------------------------------
FERC-516........................................             220               1               6           1,320
FERC-717........................................             220               1              24           5,280
                                                 -----------------
    Totals......................................  ..............  ..............              30           6,600
----------------------------------------------------------------------------------------------------------------

    Total Annual Hours for Collection (Reporting and Recordkeeping, (if 
appropriate)) = 6,600.
    Information Collection Costs: The Commission seeks comments on the 
costs to comply with these requirements. It has projected the average 
annualized cost for all respondents to be the following:\28\
---------------------------------------------------------------------------

    \28\ The total annualized costs for the two information 
collections is $198,000 + $792,000= $990,000. This number is reached 
by multiplying the total hours to prepare a response (6600 hours) by 
an hourly wage estimate of $150 (a composite estimate that includes 
legal, technical and support staff rates, $90+$35+$25). $990,000= 
$150 x 6600.

------------------------------------------------------------------------
                                             FERC-516        FERC-717
------------------------------------------------------------------------
Annualized Capital/Startup Costs........        $198,000        $792,000
Annualized Costs (Operations &                       N/A             N/A
 Maintenance)...........................
                                         -----------------
    Total Annualized Costs..............        $198,000        $792,000
------------------------------------------------------------------------

    50. OMB regulations \29\ require OMB to approve certain information 
collection requirements imposed by agency rule. The Commission is 
submitting notification of this proposed rule to OMB. These information 
collections are mandatory requirements.
---------------------------------------------------------------------------

    \29\ 5 CFR 1320.11.
---------------------------------------------------------------------------

    Title: Electric Rate Schedule Filings (FERC-516) Standards for 
Business Practices and Communication Protocols for Public Utilities 
(FERC-717) (formerly Open Access Same Time Information System).
    Action: Proposed collections.
    OMB Control No.: 1902-0096 and 1902-0173.
    Respondents: Business or other for profit, (Public Utilities (Not 
applicable to small business.))
    Frequency of Responses: One-time implementation (business 
procedures, capital/start-up).
    Necessity of Information: This proposed rule, if implemented, would 
upgrade the Commission's current business practice and communication 
standards to include standardized practices and address currently 
unresolved issues. The implementation of these standards and 
regulations is necessary to increase the efficiency of the wholesale 
electric power grid.
    51. The information collection requirements of this proposed rule 
are based on the transition from transactions being made under the 
Commission's existing OASIS posting requirements and business practice 
standards to conducting transactions under the proposed standards. The 
NOPR proposes that the standards be incorporated into utility's tariffs 
and that OASIS postings be reported where it is directly accessible by 
industry users. The implementation of these data requirements will help 
the Commission carry out its responsibilities under the Federal Power 
Act of promoting the

[[Page 28229]]

efficiency of the electric industry's operations. The Commission's 
Office of Markets, Tariffs and Rates will use the data in rate 
proceedings to review rate and tariff changes by public utilities, for 
general industry oversight, and to supplement the documentation used 
during the Commission's audit process.
    52. Internal Review: The Commission has reviewed the requirements 
pertaining to business practices and electronic communication of public 
utilities and made a preliminary determination that the proposed 
revisions are necessary to establish a more efficient and integrated 
wholesale electric power grid. Requiring such information ensures both 
a common means of communication and common business practices which 
provide participants engaged in the wholesale transmission of electric 
power with timely information and uniform business procedures across 
multiple transmission providers. These requirements conform to the 
Commission's plan for efficient information collection, communication, 
and management within the electric power industry. The Commission has 
assured itself, by means of its internal review, that there is 
specific, objective support for the burden estimates associated with 
the information requirements.
    53. Interested persons may obtain information on the reporting 
requirements by contacting the following: Federal Energy Regulatory 
Commission, Attn: Michael Miller, Office of the Executive Director, 888 
First Street, NE., Washington, DC 20426, Tel: (202) 502-8415/Fax: (202) 
273-0873, Email: michael.miller@ferc.gov.
    54. Comments concerning the collection of information(s) and the 
associated burden estimate(s), should be sent to the contact listed 
above and to the Office of Management and Budget, Office of Information 
and Regulatory Affairs, Washington, DC 20503 [Attention: Desk Officer 
for the Federal Energy Regulatory Commission, phone: (202) 395-7856, 
fax: (202) 395-7285].

V. Environmental Analysis

    55. The Commission is required to prepare an Environmental 
Assessment or an Environmental Impact Statement for any action that may 
have a significant adverse effect on the human environment.\30\ The 
Commission has categorically excluded certain actions from these 
requirements as not having a significant effect on the human 
environment.\31\ The actions proposed here fall within categorical 
exclusions in the Commission's regulations for rules that are 
clarifying, corrective, or procedural, for information gathering, 
analysis, and dissemination, and for sales, exchange, and 
transportation of electric power that requires no construction of 
facilities.\32\ Therefore, an environmental assessment is unnecessary 
and has not been prepared in this NOPR.
---------------------------------------------------------------------------

    \30\ Order No. 486, Regulations Implementing the National 
Environmental Policy Act, 52 FR 47897 (Dec. 17, 1987), FERC Stats. & 
Regs., Regulations Preambles 1986-1990 ] 30,783 (1987).
    \31\ 18 CFR 380.4 (2004).
    \32\ See 18 CFR 380.4(a)(2)(ii), 380.4(a)(5), 380.4(a)(27) 
(2004).
---------------------------------------------------------------------------

VI. Regulatory Flexibility Act Certification

    56. The Regulatory Flexibility Act of 1980 (RFA) \33\ generally 
requires a description and analysis of final rules that will have 
significant economic impact on a substantial number of small entities. 
The regulations proposed here impose requirements only on public 
utilities, which are not small businesses, and, these requirements are, 
in fact, designed to benefit all customers, including small businesses.
---------------------------------------------------------------------------

    \33\ 5 U.S.C. 601-612.
---------------------------------------------------------------------------

    57. The Commission has followed the provisions of both the RFA and 
the Paperwork Reduction Act on potential impact on small business and 
other small entities. Specifically, the RFA directs agencies to 
consider four regulatory alternatives to be considered in a rulemaking 
to lessen the impact on small entities: tiering or establishment of 
different compliance or reporting requirements for small entities, 
classification, consolidation, clarification or simplification of 
compliance and reporting requirements, performance rather than design 
standards, and exemptions. As the Commission originally stated in Order 
No. 889, the OASIS regulations now known as Standards for Business 
Practices and Communication Protocols for Public Utilities, apply only 
to public utilities that own, operate, or control transmission 
facilities subject to the Commission's jurisdiction and should a small 
entity be subject to the Commission's jurisdiction, it may file for 
waiver of the requirements.\34\ This is keeping with exemption 
provisions of the RFA. Accordingly, pursuant to section 605(b) of the 
RFA,\35\ the Commission hereby certifies that the regulations proposed 
herein will not have a significant adverse impact on a substantial 
number of small entities.
---------------------------------------------------------------------------

    \34\ Small entities that qualified for a waiver from the 
requirements of Order Nos. 888 and 889 may apply for a waiver of the 
requirement to comply with these standards. We described the 
criteria for obtaining such a waiver in Bridger Valley Electric 
Association, Inc., 101 FERC ] 61,146 (2002) and in Sussex Rural 
Electric Cooperative, 103 FERC ] 61,299 (2003). We stated in those 
cases that we would grant a waiver if the applicant is: (1) a small 
entity within the meaning of the RFA and has qualified for a waiver 
under Order Nos. 888 and 889, serves a load of 45 MW or less, and 
has four or fewer employees engaged in accounting, billing, and 
regulatory activities; (2) it does not make, or have authority to 
make, wholesale power sales at market-based rates; (3) the applicant 
makes all of its sales under one cost-based rate agreement that is 
on file with the Commission; (4) it is obligated to file for 
Commission approval any new contracts or revisions to its existing 
contracts; and (5) the applicant's transmission system is 
essentially radial in nature and primarily used for distribution to 
its member-owners.
    \35\ 5 U.S.C. 605(b).
---------------------------------------------------------------------------

VII. Comment Procedures

    58. The Commission invites interested persons to submit comments on 
the matters and issues proposed in this notice to be adopted, including 
any related matters or alternative proposals that commenters may wish 
to discuss. Comments are due July 1, 2005. Comments must refer to 
Docket No. RM05-5-000, and must include the commenter's name, the 
organization they represent, if applicable, and their address in their 
comments. Comments may be filed either in electronic or paper format.
    59. Comments may be filed electronically via the eFiling link on 
the Commission's Web site at http://www.ferc.gov . The Commission 

accepts most standard word processing formats and commenters may attach 
additional files with supporting information in certain other file 
formats. Commenters filing electronically do not need to make a paper 
filing. Commenters that are not able to file comments electronically 
must send an original and 14 copies of their comments to: Federal 
Energy Regulatory Commission, Office of the Secretary, 888 First Street 
NE., Washington, DC, 20426.
    60. All comments will be placed in the Commission's public files 
and may be viewed, printed, or downloaded remotely as described in the 
Document Availability section below. Commenters on this proposal are 
not required to serve copies of their comments on other commenters.

VIII. Document Availability

    61. In addition to publishing the full text of this document in the 
Federal Register, the Commission provides all interested persons an 
opportunity to view and/or print the contents of this document via the 
Internet through FERC's Home Page (http://www.ferc.gov) and in FERC's 

Public Reference Room during normal business hours (8:30 a.m. to 5 p.m. 
eastern time) at 888 First

[[Page 28230]]

Street, NE., Room 2A, Washington, DC 20426.
    62. From FERC's Home Page on the Internet, this information is 
available in the eLibrary. The full text of this document is available 
in the eLibrary both in PDF and Microsoft Word format for viewing, 
printing, and/or downloading. To access this document in eLibrary, type 
the docket number excluding the last three digits of this document in 
the docket number field.
    63. User assistance is available for eLibrary and the FERC's Web 
site during our normal business hours. For assistance contact FERC 
Online Support at FERCOnlineSupport@ferc.gov or toll-free at (866) 208-
3676, or for TTY, contact (202) 502-8659.

List of Subjects

18 CFR Part 35

    Electric utilities, Incorporation by reference, Reporting and 
recordkeeping requirements.

18 CFR Part 37

    Conflict of interests, Electric utilities, Reporting and 
recordkeeping requirements.

18 CFR Part 38

    Conflict of interests, Electric power plants, Electric utilities, 
Incorporation by reference, Reporting and recordkeeping requirements.

    By direction of the Commission.
Magalie R. Salas,
Secretary.

    In consideration of the foregoing, the Commission proposes to amend 
Chapter I, Title 18, Code of Federal Regulations, as follows.

PART 35--FILING OF RATE SCHEDULES AND TARIFFS

    1. The authority citation for part 35 continues to read as follows:

    Authority: 16 U.S.C. 791a-825r, 2601-2645; 31 U.S.C. 9701; 42 
U.S.C. 7101-7352.

    2. In Sec.  35.28, add paragraph (c)(1)(vi) to read as follows:


Sec.  35.28  Non-discriminatory open access transmission tariff.

* * * * *
    (c) * * *
    (1) * * *
    (vi) Each public utility's open access transmission tariff must 
include the standards incorporated by reference in part 38 of this 
chapter.
* * * * *

PART 37--OPEN ACCESS SAME-TIME INFORMATION SYSTEMS

    3. The authority citation for part 37 continues to read as follows:

    Authority: 16 U.S.C. 791-825r, 2601-2645; 31 U.S.C. 9701; 42 
U.S.C. 7101-7352.

    4. In Sec.  37.5, paragraph (b) is revised to read as follows:


Sec.  37.5  Obligations of transmission providers and responsible 
parties.

* * * * *
    (b) A Responsible Party must provide access to an OASIS providing 
standardized information relevant to the availability of transmission 
capacity, prices, and other information (as described in this part) 
pertaining to the transmission system for which it is responsible.
* * * * *
    5. Part 38 is added to read as follows:

PART 38--BUSINESS PRACTICE STANDARDS AND COMMUNICATION PROTOCOLS 
FOR PUBLIC UTILITIES

    Authority: 16 U.S.C. 791-825r, 2601-2645; 31 U.S.C. 9701; 42 
U.S.C. 7101-7352.

Sec.
38.1 Applicability.
38.2 Incorporation by reference of North American Energy Standards 
Board Wholesale Electric Quadrant standards.


Sec.  38.1  Applicability.

    This part applies to any public utility that owns, operates, or 
controls facilities used for the transmission of electric energy in 
interstate commerce and to any non-public utility that seeks voluntary 
compliance with jurisdictional transmission tariff reciprocity 
conditions.


Sec.  38.2  Incorporation by reference of North American Energy 
Standards Board Wholesale Electric Quadrant standards.

    (a) All entities to which Sec.  38.1 is applicable must comply with 
the following business practice and electronic communication standards 
promulgated by the North American Energy Standards Board Wholesale 
Electric Quadrant, which are incorporated herein by reference:
    (1) Open Access Same-Time Information Systems (OASIS) Business 
Practice Standards (WEQBPS-001-000, January 15, 2005) with the 
exception of the Definitions of ``Affiliate,'' ``Responsible Party,'' 
``Reseller,'' ``Transmission Provider,'' ``Transmission Customer,'' and 
``Wholesale Merchant Function,'' and Standard 1, including Standards 
1.1 through 1.8, and Standard 9.7.
    (2) Open Access Same-Time Information Systems (OASIS) Standards and 
Communication Protocols (WEQSCP-001-000, January 15, 2005);
    (3) Open Access Same-Time Information Systems (OASIS) Data 
Dictionary (WEQDD-001-000, January 15, 2005);
    (4) Coordinate Interchange Standards (WEQBPS-002-000, January 15, 
2005);
    (5) Area Control Error (ACE) Equation Special Cases Standards 
(WEQBPS-003-000, January 15, 2005);
    (6) Manual Time Error Correction Standards (WEQBPS-004-000, January 
15, 2005); and
    (7) Inadvertent Interchange Payback Standards (WEQBPS-005-000, 
January 15, 2005).
    (b) This incorporation by reference was approved by the Director of 
the Federal Register in accordance with 5 U.S.C. 552(a) and 1 CFR part 
51. Copies of these standards may be obtained from the North American 
Energy Standards Board, 1301 Fannin, Suite 2350, Houston, TX 77002. 
Copies may be inspected at the Federal Energy Regulatory Commission, 
Public Reference and Files Maintenance Branch, 888 First Street, NE., 
Washington, DC 20426 and at the National Archives and Records 
Administration (NARA). For information on the availability of this 
material at NARA, call 202-741-6030, or go to: http://www.archives.gov/federal_register/code_of_federal_regulations/ibr_locations.html
.


[FR Doc. 05-9797 Filed 5-16-05; 8:45 am]

BILLING CODE 6717-01-P