[Federal Register Volume 75, Number 184 (Thursday, September 23, 2010)]
[Notices]
[Pages 57920-57937]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2010-23793]
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DEPARTMENT OF ENERGY
Southeastern Power Administration
Kerr-Philpott System
AGENCY: Southeastern Power Administration, (Southeastern), Department
of Energy.
ACTION: Notice of interim approval.
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SUMMARY: The Deputy Secretary, Department of Energy, confirmed and
approved, on an interim basis new rate schedules VA-1-B, VA-2-B, VA-3-
B, VA-4-B, CP&L-1-B, CP&L-2-B, CP&L-3-B, CP&L-4-B, AP-1-B, AP-2-B, AP-
3-B, AP-4-B, NC-1-B, and Replacement-2-A. These rate schedules are
applicable to Southeastern power sold to existing preference customers
in the Virginia and North Carolina service area. The rate schedules are
approved on an interim basis up to September 30, 2015, and are subject
to confirmation and approval by the Federal Energy Regulatory
Commission (FERC) on a final basis.
DATES: Approval of rates on an interim basis is effective October 1,
2010.
FOR FURTHER INFORMATION CONTACT: Leon Jourolmon, Assistant
Administrator, Finance and Marketing, Southeastern Power
Administration, Department of Energy, 1166 Athens Tech Road, Elberton,
Georgia 30635-4578, (706) 213-3800.
SUPPLEMENTARY INFORMATION: The Federal Energy Regulatory Commission, by
Order issued December 8, 2006, in Docket No. EF06-3041-000 (117 FERC ]
62,220), confirmed and approved Wholesale Power Rate Schedules VA-1-A,
VA-2-A, VA-3-A, VA-4-A, CP&L-1-A, CP&L-2-A, CP&L-3-A, CP&L-4-A, AP-1-A,
AP-2-A, AP-3-A, AP-4-A, NC-1-A, and Replacement-2 through September 30,
2011. This order replaces these rate schedules on an interim basis,
subject to final approval by FERC.
Dated: September 16, 2010.
Daniel B. Poneman,
Deputy Secretary.
DEPARTMENT OF ENERGY
Deputy Secretary
In the Matter of:
Southeastern Power Administration, Kerr-Philpott System Power
Rates; Rate Order No. SEPA-52
Order Confirming and Approving Power Rates on an Interim Basis
Pursuant to Sections 302(a) of the Department of Energy
Organization Act, Public Law 95-91, the functions of the Secretary of
the Interior and the Federal Power Commission under Section 5 of the
Flood Control Act of 1944, 16 U.S.C. 825s, relating to the Southeastern
Power Administration (Southeastern), were transferred to and vested in
the Secretary of Energy. By Delegation Order No. 00-037.00, effective
December 6, 2001, the Secretary of Energy delegated to Southeastern's
Administrator the authority to develop power and transmission rates, to
the Deputy Secretary of Energy the authority to confirm, approve, and
place in effect such rates on interim basis, and to the Federal Energy
Regulatory Commission (FERC) the authority to confirm, approve, and
place into effect on a final basis or to disapprove rates developed by
the Administrator under the delegation. This rate is issued by the
Deputy Secretary pursuant to that delegation order.
Background
Power from the Kerr-Philpott Projects is presently sold under
Wholesale Power Rate Schedules VA-1-A, VA-2-A, VA-3-A, VA-4-A, CP&L-1-
A, CP&L-2-A, CP&L-3-A, CP&L-4-A, AP-1-A, AP-2-A, AP-3-A, AP-4-A, NC-1-
A, and Replacement-2. These rate schedules were approved by the FERC on
December 8, 2006, for a period ending September 30, 2011 (117 FERC
]62,220).
Public Notice and Comment
Notice of a proposed rate adjustment for the Kerr-Philpott System
was published in the Federal Register February 22, 2010 (75 FR 7580).
The notice advised interested parties that a public information and
comment forum would be held in Raleigh, North Carolina, on March 30,
2010. One party, representing the Southeastern Federal Power Customers,
Inc. (SeFPC), made comments at the forum. Written comments were due on
or before May 24, 2010. Southeastern received written comments from one
party, the SeFPC.
SeFPC's comments have been condensed into the following 3 major
categories:
1. U.S. Army Corps of Engineers (Corps) Operations and Maintenance
(O&M) Expense
2. Revenue Tracking
3. True-Up Mechanisms
Southeastern's response follows each comment.
Category 1: Corps O&M
Comment 1: The SeFPC believes the repayment study includes costs
for the Corps' joint O&M that have been improperly assigned to the
hydropower function. Furthermore, SeFPC believes that the amount of O&M
expense set forth in the repayment study for the Corps joint O&M
expense is overstated. In fact, the projected overall O&M expense for
fiscal year (FY) 2010 is likely overstated in light of the fact that
Congress cut appropriations for O&M at the Kerr and Philpott Projects
in the most recent Energy and Water Development Appropriations Bill.
Comment 2: The SeFPC members served by the Kerr-Philpott system of
[[Page 57921]]
projects have concerns regarding the level of O&M that Southeastern
modeled for the current fiscal year 2010. Aside from the larger
disagreement on the Corps improperly assigning costs to hydropower for
recovery, the customers believe that in the current repayment study
Southeastern has overstated the amount that the Corps will spend on O&M
in the current fiscal year. During the forum, SeFPC explained that the
Corps budget for O&M was cut for 2010, which should lead to a reduced
amount of actual expenditure for the current fiscal year.
Southeastern, however, had modeled the level of Corps O&M, based on
a projection for 2010 that was over one year old. In fact, in reviewing
the most up to date information, the Corps has indeed revised its
calculations revealing that the overall O&M expense allocated to
hydropower in FY 2010 will be $1.5 million less than estimated at this
time last year. Furthermore, the overall O&M expense for 2011 is now
projected to be $2 million less in FY 2011 than what Southeastern
modeled for the repayment study.
However, the repayment study that currently supports the rate
increase as noticed in the Federal Register contains Corps O&M
projected expenses that are based on last year's information. Relying
on this older vintage information will likely lead Southeastern to
recover more than is necessary to cover the O&M expense and require the
customers to pay more than is necessary. Therefore, the hydropower
customers urge Southeastern to revise the projected O&M expense in the
repayment study and include a true-up mechanism in the rate that will
track the actual expense.
Response to comments 1 and 2: The Corps provides estimates of O&M
expenses for the next five years to the O&M Committee of the SeFPC
every April. The new rate schedules for the Kerr-Philpott System were
proposed before the latest projections were available. Southeastern has
revised the repayment study to include the latest projections provided
to the O&M Committee, which allowed Southeastern to lower the proposed
rate consistent with SeFPC's comment.
Comment 3: One of the more alarming entries can be found on page 6
of the detailed report of O&M expense for the Kerr Project. For FY
2010, slightly less than $1.4 million has been slated for recovery from
the hydropower customers for maintenance for environmental stewardship.
The footnote reveals that this entry is for, quote, ``remediation of
hazardous waste removal (DDT barrels),'' end quote. The footnote also
indicates that there is a $2.6 million price tag attached to this
activity.
But as we begin to look at the estimated cost of the DDT clean-up,
we began to wonder why hydropower should bear any of this expense. DDT
was used decades ago to control mosquito populations. The direct
connection between vector control programs for flying insects and
hydropower operations is tenuous at best.
Response 3: Classification of costs as joint or specific to any
project purpose is determined by the Corps. The Corps has agreed to
review the classification of the DDT clean-up costs. However, the
projections used to develop these rates continue to show these costs as
joint costs. If the Corps classifies these costs as specific to another
purpose, the true-up discussed below will adjust the rates
automatically.
Category 2: Revenue Tracking
Comment 4: Our second primary concern involves the modeling of the
rate and accounting for revenues that Southeastern expects to receive
in FY 2010. With generation patterns well above average for the first
part of FY 2010, and record snow pack in parts of the mid-Atlantic
region, we believe that generation and the associated revenues will be
well above average. The proposed rate, however, is modeled on average
generation and an average level of revenues.
Response 4: For the Kerr-Philpott System, energy production for the
first six months of FY2010 has been about 188 percent of average.
Energy production for the remainder of FY2010 is expected to return to
average water conditions. Based on this information, Southeastern
assumed that energy product for FY 2010 would be 140 percent of average
in the repayment study used to develop these proposed rates.
Category 3: True-up Mechanisms
Comment 5: The customers have developed an interest in pursuing
appropriate mechanisms in the rate design to minimize the potential for
accumulated deficits, which is our third primary point. Part of this
interest is borne from the experience that we have had with the current
rate and the true-up mechanism that Southeastern has implemented with
regard to the capital additions associated with the ongoing rewind.
Drawing upon this experience, the customers would like Southeastern to
include a true-up mechanism for revenues and Corps expenses to minimize
the potential for deficits to accumulate. At a minimum, a true-up
mechanism needs to be adopted for FY 2010, so that it accurately
reflects actual revenues and expenses incurred in FY 2010.
Comment 6: While the discussion above encourages Southeastern to
adopt a true up mechanism to address both the Corps O&M expenditures
and revenues, the customers also encourage Southeastern to adopt, as a
function of the new rate, appropriate measures to ensure transparency
in the rate making process. First, Southeastern will need to identify
the date upon which the rate will change based on prior year's
expenditure levels and performance. The beginning of the fiscal year
for Southeastern would appear to be the best date possible to implement
this annual change.
Second, the customers would need some advance notice of how the
rate would change. For some customers, the change in rates will require
filing appropriate paperwork with State level commissions. To meet this
obligation, the customers ask Southeastern to provide this notice no
later than sixty (60) days before the rate would change.
Third, the customers would need publication or any other such
suitable notice of the underlying data that led to the change in the
rate. If at all possible, the customers would appreciate having this
information in advance of the implementation of any change in the
rates.
Response to 5 and 6: Based of the comments received, Southeastern
has included a true-up in the design of the proposed rates. To meet the
customer's request of a sixty (60) day notice and accommodate the
existing accounting process, Southeastern will provide notice of the
true-up by February 1 of each year and the true-up will take effect on
April 1 of each year. Notice will be provided by mail to the customers.
The true-up will work as follows: The base capacity charge will
include the rehabilitation true-up adjustment. The proposed initial
base capacity charge will be $3.65 per kilowatt per month and the
initial base energy charge will be 14.63 mills per kilowatt-hour. The
proposed rates are based on a repayment study that projects that the
Kerr-Philpott System will produce the following net revenue available
for repayment by fiscal year:
FY 2010................................................. $578,000
FY 2011................................................. 2,030,000
FY 2012................................................. 1,032,000
FY 2013................................................. 825,000
FY 2014................................................. 863,000
FY 2015................................................. 908,000
[[Page 57922]]
Southeastern proposes to establish a true-up of the capacity and
energy rates based on the variance of the actual net revenue available
for repayment from the planned net revenue available for repayment in
the table above. For every $100,000 under-recovery of the planned net
revenue available for repayment, Southeastern will increase the base
capacity charge by $0.02 per kilowatt per month, up to a maximum of
$0.75 per kilowatt per month, and increase the base energy charge by
0.10 mills per kilowatt-hour, up to a maximum of 3.0 mills per kilowatt
per hour, to be implemented April 1 of the next fiscal year. For every
$100,000 of over-recovery of the planned net revenue available for
repayment, Southeastern will reduce the base capacity charge by $0.02
per kilowatt per month, up to a maximum of $0.75 per kilowatt per
month, and reduce the base energy charge by 0.10 mills per kilowatt-
hour, up to a maximum of 3.0 mills per kilowatt per hour, to be
implemented April 1 of the next fiscal year. Southeastern will give
notice by mail to the customers of the amount of the true-up to the
capacity and energy rates by February 1 of the next fiscal year.
Comment 7: In the last rate structure that Southeastern adopted for
the Kerr Philpott system of projects, Southeastern implemented a true
up mechanism to track the inclusion of major capital improvements that
became commercially operable. This feature saved the customers from
paying significant sums in advance of the plant going into commercial
operation. The main focus of this cost recovery was on the major
rehabilitation effort for the turbines at the Kerr Project.
Although the rehabilitation effort with the turbines is nearing
completion, it is clear that the Corps will continue to add major
capital investments at the projects. With this anticipated action, the
customers ask Southeastern to continue the true up mechanism for the
capital additions.
Response 7: Southeastern will continue the true-up mechanism for
capital additions, with the revision that the adjustment will take
effect on April 1 of each year.
Discussion
System Repayment
An examination of Southeastern's revised system power repayment
study, prepared in July 2010, for the Kerr-Philpott System shows that
with the proposed rates, all system power costs are paid within the
appropriate repayment period required by existing law and DOE Procedure
RA 6120.2. The Administrator of Southeastern Power Administration has
certified that the rates are consistent with applicable law and that
they are the lowest possible rates to customers consistent with sound
business principles.
Environmental Impact
Southeastern has reviewed the possible environmental impacts of the
rate adjustment under consideration and has concluded that, because the
adjusted rates would not significantly affect the quality of the human
environment within the meaning of the National Environmental Policy Act
of 1969, the proposed action is not a major Federal action for which
preparation of an Environmental Impact Statement is required.
Availability of Information
Information regarding these rates, including studies and other
supporting materials and transcripts of the public information and
comment forum, is available for public review in the offices of
Southeastern Power Administration, 1166 Athens Tech Road, Elberton,
Georgia 30635, and in the Power Marketing Liaison Office, James
Forrestal Building, 1000 Independence Avenue, SW., Washington, DC
20585.
Order
In view of the foregoing and pursuant to the authority delegated to
me by the Secretary of Energy, I hereby confirm and approve on an
interim basis, effective October 1, 2010, or the first day of the month
following this interim approval, attached Wholesale Power Rate
Schedules VA-1-B, VA-2-B, VA-3-B, VA-4-B, CP&L-1-B, CP&L-2-B, CP&L-3-B,
CP&L-4-B, AP-1-B, AP-2-B, AP-3-B, AP-4-B, NC-1-B, and Replacement-2-A.
The Rate Schedules shall remain in effect on an interim basis up to
September 30, 2015, unless such period is extended or until the FERC
confirms and approves them or substitutes Rate Schedules on a final
basis.
Dated: September 16, 2010
Daniel B. Poneman,
Deputy Secretary.
Wholesale Power Rate Schedule VA-1-B
Availability
This rate schedule shall be available to public bodies and
cooperatives (any one of whom is hereinafter called the Customer) in
Virginia and North Carolina to whom power may be transmitted and
scheduled pursuant to contracts between the Government, Virginia
Electric and Power Company (hereinafter called the Company), the
Company's Transmission Operator, currently PJM Interconnection LLC
(hereinafter called PJM), and the Customer. This rate schedule is
applicable to customers receiving power from the Government on an
arrangement where the Company schedules the power and provides the
Customer a credit on their bill for Government power. Nothing in this
rate schedule shall preclude modifications to the aforementioned
contracts to allow an eligible customer to elect service under another
rate schedule.
Applicability
This rate schedule shall be applicable to the sale at wholesale of
power and accompanying energy generated at the John H. Kerr and
Philpott Projects and sold under appropriate contracts between the
Government and the Customer.
Character of Service
The electric capacity and energy supplied hereunder will be
delivered at the delivery points of the Customer on the Company's
transmission and distribution system.
Monthly Rate
The initial base monthly rate for capacity, energy, and generation
services provided under this rate schedule for the period specified
shall be:
Initial Base Capacity Charge
$3.65 per kilowatt of total contract demand per month.
Initial Base Energy Charge
14.63 Mills per kilowatt-hour.
The Base Capacity Charge and the Base Energy Charge will be subject
to annual adjustment on April 1 of each year based on transfers to
plant in service for the preceding Fiscal Year that are not included in
the proposed repayment study. The adjustment will be for each increase
of $1,000,000 to plant in service an increase of $0.013 per kilowatt
per month added to the capacity charge and 0.052 mills per kilowatt-
hour added to the energy charge.
The rates are based on a repayment study that projects that the
Kerr-Philpott System will produce the following net revenue available
for repayment by fiscal year:
FY 2010................................................. $578,000
FY 2011................................................. 2,030,000
FY 2012................................................. 1,032,000
FY 2013................................................. 825,000
FY 2014................................................. 863,000
FY 2015................................................. 908,000
[[Page 57923]]
The rates include a true-up of the capacity and energy rates based
on the variance of the actual net revenue available for repayment from
the planned net revenue available for repayment in the table above. For
every $100,000 under-recovery of the planned net revenue available for
repayment, Southeastern will increase the base capacity charge by $0.02
per kilowatt per month, up to a maximum of $0.75 per kilowatt per
month, and increase the base energy charge by 0.10 mills per kilowatt-
hour, up to a maximum of 3.0 mills per kilowatt per hour, to be
implemented April 1 of the next fiscal year. For every $100,000 of
over-recovery of the planned net revenue available for repayment,
Southeastern will reduce the base capacity charge by $0.02 per kilowatt
per month, up to a maximum of $0.75 per kilowatt per month, and reduce
the base energy charge by 0.10 mills per kilowatt-hour, up to a maximum
of 3.0 mills per kilowatt per hour, to be implemented April 1 of the
next fiscal year. Southeastern will give written notice to the
customers of the amount of the true-up to the capacity and energy rates
by February 1 of the next fiscal year.
Additional rates for transmission and any ancillary services
provided under this rate schedule shall be the rates charged
Southeastern Power Administration by the Company or PJM. Future
adjustments to these rates will become effective upon acceptance for
filing by the Federal Energy Regulatory Commission (FERC) of the
Company's rate.
Transmission
$-0.91 Per kilowatt of total contract demand per month as of December
2009, is presented for illustrative purposes.
Ancillary Services
1.46 Mills per kilowatt-hour of energy as of December 2009, is
presented for illustrative purposes.
The initial charge for transmission and Ancillary Services will be
the Customer's ratable share of the charges for transmission,
distribution, and ancillary services paid by the Government. The
charges for transmission and ancillary services are governed by and
subject to refund based upon the determination in proceedings before
the FERC involving the Company's or PJM's Open Access Transmission
Tariff (OATT).
Proceedings before FERC involving the OATT or the Distribution
charge may result in the separation of charges currently included in
the transmission rate. In this event, the Government may charge the
Customer for any and all separate transmission, ancillary services, and
distribution charges paid by the Government in behalf of the Customer.
These charges could be recovered through a capacity charge or an energy
charge, as determined by the Government.
Tandem Transmission Charge
$2.14 Per kilowatt of total contract demand per month, as an estimated
cost as of December 2009.
The tandem transmission charge will recover the cost of
transmitting power from a project to the border of another transmitting
system. This rate will be a formulary rate based on the cost to the
Government for transmission of power from the Philpott project to the
border of the Virginia Electric and Power Company System and the cost
to the Government for transmission of power from the John H. Kerr
Project to the border of the Carolina Power & Light System. These
charges could be recovered through a capacity charge or an energy
charge, as determined by the Government.
Transmission and Ancillary Services
The charges for transmission and ancillary services shall be
governed by and subject to refund based upon the determination in the
proceeding involving the Company's or PJM's OATT.
Contract Demand
The contract demand is the amount of capacity in kilowatts stated
in the contract which the Government is obligated to supply and the
Customer is entitled to receive.
Energy To Be Furnished by the Government
The Government will sell to the Customer and the Customer will
purchase from the Government energy each billing month equivalent to a
percentage specified by contract of the energy made available to the
Company (less applicable losses). The Customer's contract demand and
accompanying energy will be allocated proportionately to its individual
delivery points served from the Company's system. The applicable energy
loss factor for transmission is specified in the OATT.
These losses shall be effective until modified by the FERC,
pursuant to application by the Company or PJM under Section 205 of the
Federal Power Act or Southeastern Power Administration under Section
206 of the Federal Power Act or otherwise.
Billing Month
The billing month for power sold under this schedule shall end at
12 midnight on the last day of each calendar month.
Wholesale Power Rate Schedule VA-2-B
Availability
This rate schedule shall be available to public bodies and
cooperatives (any one of whom is hereinafter called the Customer) in
Virginia and North Carolina to whom power may be transmitted pursuant
to contracts between the Government, Virginia Electric and Power
Company (hereinafter called the Company), the Company's Transmission
Operator, currently PJM Interconnection LLC (hereinafter called PJM),
and the Customer. The Customer has chosen to self-schedule and does not
receive Government power under an arrangement where the Company
schedules the power and provides a credit on the Customer's bill for
Government power. The Customer is responsible for providing a
scheduling arrangement with the Government. The Government is
responsible for arranging transmission with the Company and PJM.
Nothing in this rate schedule shall preclude modifications to the
aforementioned contracts to allow an eligible customer to elect service
under another rate schedule.
Applicability
This rate schedule shall be applicable to the sale at wholesale of
power and accompanying energy generated at the John H. Kerr and
Philpott Projects and sold under appropriate contracts between the
Government and the Customer.
Character of Service
The electric capacity and energy supplied hereunder will be
delivered at the delivery points of the Customer on the Company's
transmission and distribution system.
Monthly Rate
The initial base monthly rate for capacity, energy, and generation
services provided under this rate schedule for the period specified
shall be:
Initial Base Capacity Charge
$3.65 Per kilowatt of total contract demand per month.
Initial Base Energy Charge
14.63 Mills per kilowatt-hour.
The Base Capacity Charge and the Base Energy Charge will be subject
to
[[Page 57924]]
annual adjustment on April 1 of each year based on transfers to plant
in service for the preceding fiscal year that are not included in the
proposed repayment study. The adjustment will be for each increase of
$1,000,000 to plant in service an increase of $0.013 per kilowatt per
month added to the capacity charge and 0.052 mills per kilowatt-hour
added to the energy charge.
The rates are based on a repayment study that projects that the
Kerr-Philpott System will produce the following net revenue available
for repayment by fiscal year:
FY 2010................................................. $ 578,000
FY 2011................................................. 2,030,000
FY 2012................................................. 1,032,000
FY 2013................................................. 825,000
FY 2014................................................. 863,000
FY 2015................................................. 908,000
The rates include a true-up of the capacity and energy rates based
on the variance of the actual net revenue available for repayment from
the planned net revenue available for repayment in the table above. For
every $100,000 under-recovery of the planned net revenue available for
repayment, Southeastern will increase the base capacity charge by $0.02
per kilowatt per month, up to a maximum of $0.75 per kilowatt per
month, and increase the base energy charge by 0.10 mills per kilowatt-
hour, up to a maximum of 3.0 mills per kilowatt per hour, to be
implemented April 1 of the next fiscal year. For every $100,000 of
over-recovery of the planned net revenue available for repayment,
Southeastern will reduce the base capacity charge by $0.02 per kilowatt
per month, up to a maximum of $0.75 per kilowatt per month, and reduce
the base energy charge by 0.10 mills per kilowatt-hour, up to a maximum
of 3.0 mills per kilowatt per hour, to be implemented April 1 of the
next fiscal year. Southeastern will give written notice to the
customers of the amount of the true-up to the capacity and energy rates
by February 1 of the next fiscal year.
Additional rates for transmission and any ancillary services
provided under this rate schedule shall be the rates charged
Southeastern Power Administration by the Company or PJM. Future
adjustments to these rates will become effective upon acceptance for
filing by the Federal Energy Regulatory Commission (FERC) of the
Company's rate.
Transmission
$-0.91 Per kilowatt of total contract demand per month as of December
2009, is presented for illustrative purposes.
Ancillary Services
1.46 Mills per kilowatt-hour of energy as of December 2009, is
presented for illustrative purposes.
The initial charge for transmission and ancillary services will be
the Customer's ratable share of the charges for transmission,
distribution, and ancillary services paid by the Government. The
charges for transmission and ancillary services are governed by and
subject to refund based upon the determination in proceedings before
the FERC involving the Company's or PJM's Open Access Transmission
Tariff (OATT).
Proceedings before FERC involving the OATT or the distribution
charge may result in the separation of charges currently included in
the transmission rate. In this event, the Government may charge the
Customer for any and all separate transmission, ancillary services, and
distribution charges paid by the Government in behalf of the Customer.
These charges could be recovered through a capacity charge or an energy
charge, as determined by the Government.
Tandem Transmission Charge
$2.14 Per kilowatt of total contract demand per month, as an estimated
cost as of December 2009.
The tandem transmission charge will recover the cost of
transmitting power from a project to the border of another transmitting
system. This rate will be a formulary rate based on the cost to the
Government for transmission of power from the Philpott project to the
border of the Virginia Electric and Power Company System and the cost
to the Government for transmission of power from the John H. Kerr
Project to the border of the Carolina Power & Light System. These
charges could be recovered through a capacity charge or an energy
charge, as determined by the Government.
Transmission and Ancillary Services
The charges for transmission and ancillary services shall be
governed by and subject to refund based upon the determination in the
proceeding involving the Company's or PJM's OATT.
Contract Demand
The contract demand is the amount of capacity in kilowatts stated
in the contract which the Government is obligated to supply and the
Customer is entitled to receive.
Energy To Be Furnished by the Government
The Government will sell to the Customer and the Customer will
purchase from the Government energy each billing month equivalent to a
percentage specified by contract of the energy made available to the
Company (less applicable losses). The Customer's contract demand and
accompanying energy will be allocated proportionately to its individual
delivery points served from the Company's system. The applicable energy
loss factor for transmission is specified in the OATT.
These losses shall be effective until modified by FERC, pursuant to
application by the Company or PJM under Section 205 of the Federal
Power Act or Southeastern Power Administration under Section 206 of the
Federal Power Act or otherwise.
Billing Month
The billing month for power sold under this schedule shall end at
12 midnight on the last day of each calendar month.
Wholesale Power Rate Schedule VA-3-B
Availability
This rate schedule shall be available to public bodies and
cooperatives (any one of whom is hereinafter called the Customer) in
Virginia and North Carolina to whom power may be scheduled pursuant to
contracts between the Government, Virginia Electric and Power Company
(hereinafter called the Company), the Company's Transmission Operator,
currently PJM Interconnection LLC (hereinafter called PJM), and the
Customer. The Government is responsible for providing the scheduling.
The Customer is responsible for providing a transmission arrangement.
Nothing in this rate schedule shall preclude modifications to the
aforementioned contracts to allow an eligible customer to elect service
under another rate schedule.
Applicability
This rate schedule shall be applicable to the sale at wholesale of
power and accompanying energy generated at the John H. Kerr and
Philpott Projects (hereinafter called the Projects) and sold under
appropriate contracts between the Government and the Customer.
Character of Service
The electric capacity and energy supplied hereunder will be
delivered at the Projects.
[[Page 57925]]
Monthly Rate
The initial base monthly rate for capacity, energy, and generation
services provided under this rate schedule for the period specified
shall be:
Initial Base Capacity Charge
$3.65 Per kilowatt of total contract demand per month.
Initial Base Energy Charge
14.63 Mills per kilowatt-hour.
The Base Capacity Charge and the Base Energy Charge will be subject
to annual adjustment on April 1 of each year based on transfers to
plant in service for the preceding Fiscal Year that are not included in
the proposed repayment study. The adjustment will be for each increase
of $1,000,000 to plant in service an increase of $0.013 per kilowatt
per month added to the capacity charge and 0.052 mills per kilowatt-
hour added to the energy charge.
The rates are based on a repayment study that projects that the
Kerr-Philpott System will produce the following net revenue available
for repayment by fiscal year:
FY 2010................................................. $578,000
FY 2011................................................. 2,030,000
FY 2012................................................. 1,032,000
FY 2013................................................. 825,000
FY 2014................................................. 863,000
FY 2015................................................. 908,000
The rates include a true-up of the capacity and energy rates based
on the variance of the actual net revenue available for repayment from
the planned net revenue available for repayment in the table above. For
every $100,000 under-recovery of the planned net revenue available for
repayment, Southeastern will increase the base capacity charge by $0.02
per kilowatt per month, up to a maximum of $0.75 per kilowatt per
month, and increase the base energy charge by 0.10 mills per kilowatt-
hour, up to a maximum of 3.0 mills per kilowatt per hour, to be
implemented April 1 of the next fiscal year. For every $100,000 of
over-recovery of the planned net revenue available for repayment,
Southeastern will reduce the base capacity charge by $0.02 per kilowatt
per month, up to a maximum of $0.75 per kilowatt per month, and reduce
the base energy charge by 0.10 mills per kilowatt-hour, up to a maximum
of 3.0 mills per kilowatt per hour, to be implemented April 1 of the
next fiscal year. Southeastern will give written notice to the
customers of the amount of the true-up to the capacity and energy rates
by February 1 of the next fiscal year.
Additional rates for Transmission and Ancillary Services provided
under this rate schedule shall be the rates charged Southeastern Power
Administration by the Company or PJM. Future adjustments to these rates
will become effective upon acceptance for filing by the Federal Energy
Regulatory Commission (FERC) of the Company's rate.
Ancillary Services
1.46 Mills per kilowatt-hour of energy as of December 2009, is
presented for illustrative purposes.
The initial charge for transmission and ancillary services will be
the Customer's ratable share of the charges for transmission,
distribution, and ancillary services paid by the Government. The
charges for transmission and ancillary services are governed by and
subject to refund based upon the determination in proceedings before
the FERC involving the Company's or PJM's Open Access Transmission
Tariff (OATT).
Proceedings before FERC involving the OATT or the Distribution
charge may result in the separation of charges currently included in
the transmission rate. In this event, the Government may charge the
Customer for any and all separate transmission, ancillary services, and
distribution charges paid by the Government in behalf of the Customer.
These charges could be recovered through a capacity charge or an energy
charge, as determined by the Government.
Tandem Transmission Charge
$2.14 Per kilowatt of total contract demand per month, as an estimated
cost as of December 2009.
The tandem transmission charge will recover the cost of
transmitting power from a project to the border of another transmitting
system. This rate will be a formulary rate based on the cost to the
Government for transmission of power from the Philpott project to the
border of the Virginia Electric and Power Company System and the cost
to the Government for transmission of power from the John H. Kerr
Project to the border of the Carolina Power & Light System. These
charges could be recovered through a capacity charge or an energy
charge, as determined by the Government.
Transmission and Ancillary Services
The charges for transmission and ancillary services shall be
governed by and subject to refund based upon the determination in the
proceeding involving the Company's or PJM's OATT.
Contract Demand
The contract demand is the amount of capacity in kilowatts stated
in the contract which the Government is obligated to supply and the
Customer is entitled to receive.
Energy To Be Furnished by the Government
The Government will sell to the Customer and the Customer will
purchase from the Government energy each billing month equivalent to a
percentage specified by contract of the energy made available to the
Company (less applicable losses). The Customer's contract demand and
accompanying energy will be allocated proportionately to its individual
delivery points served from the Company's system. The applicable energy
loss factor for transmission is specified in the OATT.
These losses shall be effective until modified by the Federal
Energy Regulatory Commission, pursuant to application by the Company or
PJM under Section 205 of the Federal Power Act or Southeastern Power
Administration under Section 206 of the Federal Power Act or otherwise.
Billing Month
The billing month for power sold under this schedule shall end at
12 midnight on the last day of each calendar month.
Wholesale Power Rate Schedule VA-4-B
Availability
This rate schedule shall be available to public bodies and
cooperatives (any one of whom is hereinafter called the Customer) in
Virginia and North Carolina served through the transmission facilities
of Virginia Electric and Power Company (hereinafter called the Company)
and PJM Interconnection LLC (hereinafter called PJM). The Customer has
chosen to self-schedule and does not receive Government power under an
arrangement where the Company schedules the power and provides a credit
on the Customer's bill for Government power. The Customer is
responsible for providing a scheduling arrangement with the Government
and for providing a transmission arrangement. Nothing in this rate
schedule shall preclude modifications to the aforementioned contracts
to allow an eligible customer to elect service under another rate
schedule.
Applicability
This rate schedule shall be applicable to the sale at wholesale of
power and
[[Page 57926]]
accompanying energy generated at the John H. Kerr and Philpott Projects
(hereinafter called the Projects) and sold under appropriate contracts
between the Government and the Customer.
Character of Service
The electric capacity and energy supplied hereunder will be
delivered at the Projects.
Monthly Rate
The initial base monthly rate for capacity, energy, and generation
services provided under this rate schedule for the period specified
shall be:
Initial Base Capacity Charge
$3.65 Per kilowatt of total contract demand per month.
Initial Base Energy Charge
14.63 Mills per kilowatt-hour.
The Base Capacity Charge and the Base Energy Charge will be subject
to annual adjustment on April 1 of each year based on transfers to
plant in service for the preceding Fiscal Year that are not included in
the proposed repayment study. The adjustment will be for each increase
of $1,000,000 to plant in service an increase of $0.013 per kilowatt
per month added to the capacity charge and 0.052 mills per kilowatt-
hour added to the energy charge.
The rates are based on a repayment study that projects that the
Kerr-Philpott System will produce the following net revenue available
for repayment by fiscal year:
FY 2010................................................. $578,000
FY 2011................................................. 2,030,000
FY 2012................................................. 1,032,000
FY 2013................................................. 825,000
FY 2014................................................. 863,000
FY 2015................................................. 908,000
The rates include a true-up of the capacity and energy rates based
on the variance of the actual net revenue available for repayment from
the planned net revenue available for repayment in the table above. For
every $100,000 under-recovery of the planned net revenue available for
repayment, Southeastern will increase the base capacity charge by $0.02
per kilowatt per month, up to a maximum of $0.75 per kilowatt per
month, and increase the base energy charge by 0.10 mills per kilowatt-
hour, up to a maximum of 3.0 mills per kilowatt per hour, to be
implemented April 1 of the next fiscal year. For every $100,000 of
over-recovery of the planned net revenue available for repayment,
Southeastern will reduce the base capacity charge by $0.02 per kilowatt
per month, up to a maximum of $0.75 per kilowatt per month, and reduce
the base energy charge by 0.10 mills per kilowatt-hour, up to a maximum
of 3.0 mills per kilowatt per hour, to be implemented April 1 of the
next fiscal year. Southeastern will give written notice to the
customers of the amount of the true-up to the capacity and energy rates
by February 1 of the next fiscal year.
Additional rates for transmission and ancillary services provided
under this rate schedule shall be the rates charged Southeastern Power
Administration by the Company or PJM. Future adjustments to these rates
will become effective upon acceptance for filing by the Federal Energy
Regulatory Commission (FERC) of the Company's rate.
Ancillary Services
1.46 Mills per kilowatt-hour of energy as of December 2009, is
presented for illustrative purposes.
The initial charge for transmission and ancillary services will be
the Customer's ratable share of the charges for transmission,
distribution, and ancillary services paid by the Government. The
charges for transmission and ancillary services are governed by and
subject to refund based upon the determination in proceedings before
the FERC involving the Company's or PJM's Open Access Transmission
Tariff (OATT).
Proceedings before FERC involving the OATT or the Distribution
charge may result in the separation of charges currently included in
the transmission rate. In this event, the Government may charge the
Customer for any and all separate transmission, ancillary services, and
distribution charges paid by the Government on behalf of the Customer.
These charges could be recovered through a capacity charge or an energy
charge, as determined by the Government.
Tandem Transmission Charge
$2.14 Per kilowatt of total contract demand per month, as an estimated
cost as of December 2009.
The tandem transmission charge will recover the cost of
transmitting power from a project to the border of another transmitting
system. This rate will be a formulary rate based on the cost to the
Government for transmission of power from the Philpott project to the
border of the Virginia Electric and Power Company System and the cost
to the Government for transmission of power from the John H. Kerr
Project to the border of the Carolina Power & Light System. These
charges could be recovered through a capacity charge or an energy
charge, as determined by the Government.
Transmission and Ancillary Services
The charges for transmission and ancillary services shall be
governed by and subject to refund based upon the determination in the
proceeding involving the Company's or PJM's OATT.
Contract Demand
The contract demand is the amount of capacity in kilowatts stated
in the contract which the Government is obligated to supply and the
Customer is entitled to receive.
Energy To Be Furnished by the Government
The Government will sell to the Customer and the Customer will
purchase from the Government energy each billing month equivalent to a
percentage specified by contract of the energy made available to the
Company (less applicable losses). The Customer's contract demand and
accompanying energy will be allocated proportionately to its individual
delivery points served from the Company's system. The applicable energy
loss factor for transmission is specified in the OATT.
These losses shall be effective until modified by the FERC,
pursuant to application by the Company or PJM under Section 205 of the
Federal Power Act or Southeastern Power Administration under Section
206 of the Federal Power Act or otherwise.
Billing Month
The billing month for power sold under this schedule shall end at
12 midnight on the last day of each calendar month.
Wholesale Power Rate Schedule CP&L-1-B
Availability
This rate schedule shall be available to public bodies and
cooperatives (any one of whom is hereinafter called the Customer) in
North Carolina and South Carolina to whom power may be transmitted and
scheduled pursuant to contracts between the Government and Carolina
Power & Light Company (hereinafter called the Company) and the
Customer. This rate schedule is applicable to customers receiving power
from the Government on an arrangement where the Company schedules the
power and provides the Customer a credit on their bill for Government
power. Nothing in this rate schedule shall preclude modifications to
the aforementioned contracts to allow an
[[Page 57927]]
eligible customer to elect service under another rate schedule.
Applicability
This rate schedule shall be applicable to the sale at wholesale of
power and accompanying energy generated at the John H. Kerr and
Philpott Projects and sold under appropriate contracts between the
Government and the Customer.
Character of Service
The electric capacity and energy supplied hereunder will be
delivered at the delivery points of the Customer on the Company's
transmission and distribution system.
Monthly Rate
The initial base monthly rate for capacity, energy, and generation
services provided under this rate schedule for the period specified
shall be:
Initial Base Capacity Charge
$3.65 Per kilowatt of total contract demand per month.
Initial Base Energy Charge
14.63 Mills per kilowatt-hour.
The Base Capacity Charge and the Base Energy Charge will be subject
to annual adjustment on April 1 of each year based on transfers to
plant in service for the preceding Fiscal Year that are not included in
the proposed repayment study. The adjustment will be for each increase
of $1,000,000 to plant in service an increase of $0.013 per kilowatt
per month added to the capacity charge and 0.052 mills per kilowatt-
hour added to the energy charge.
The rates are based on a repayment study that projects that the
Kerr-Philpott System will produce the following net revenue available
for repayment by fiscal year:
FY 2010................................................. $ 578,000
FY 2011................................................. 2,030,000
FY 2012................................................. 1,032,000
FY 2013................................................. 825,000
FY 2014................................................. 863,000
FY 2015................................................. 908,000
The rates include a true-up of the capacity and energy rates based
on the variance of the actual net revenue available for repayment from
the planned net revenue available for repayment in the table above. For
every $100,000 under-recovery of the planned net revenue available for
repayment, Southeastern will increase the base capacity charge by $0.02
per kilowatt per month, up to a maximum of $0.75 per kilowatt per
month, and increase the base energy charge by 0.10 mills per kilowatt-
hour, up to a maximum of 3.0 mills per kilowatt per hour, to be
implemented April 1 of the next fiscal year. For every $100,000 of
over-recovery of the planned net revenue available for repayment,
Southeastern will reduce the base capacity charge by $0.02 per kilowatt
per month, up to a maximum of $0.75 per kilowatt per month, and reduce
the base energy charge by 0.10 mills per kilowatt-hour, up to a maximum
of 3.0 mills per kilowatt per hour, to be implemented April 1 of the
next fiscal year. Southeastern will give written notice to the
customers of the amount of the true-up to the capacity and energy rates
by February 1 of the next fiscal year.
Additional rates for transmission and ancillary services provided
under this rate schedule shall be the rates charged Southeastern Power
Administration by the Company. Future adjustments to these rates will
become effective upon acceptance for filing by the Federal Energy
Regulatory Commission (FERC) of the Company's rate.
Transmission
$1.1453 Per kilowatt of total contract demand per month as of December
2009, is presented for illustrative purposes.
The initial transmission charge will be the Customer's ratable
share of the transmission and distribution charges paid by the
Government. The rate is subject to periodic adjustment and will be
computed in accordance with the terms of the Government-Company
contract.
Proceedings before FERC involving the Company's Open Access
Transmission Tariff (OATT) or the distribution charge may result in the
separation of charges currently included in the transmission rate. In
this event, the Government may charge the Customer for any and all
separate transmission and distribution charges paid by the Government
in behalf of the Customer. These charges could be recovered through a
capacity charge or an energy charge, as determined by the Government.
Tandem Transmission Charge
$2.14 Per kilowatt of total contract demand per month, as an estimated
cost as of December 2009.
The tandem transmission charge will recover the cost of
transmitting power from a project to the border of another transmitting
system. This rate will be a formulary rate based on the cost to the
Government for transmission of power from the Philpott project to the
border of the Virginia Electric and Power Company System and the cost
to the Government for transmission of power from the John H. Kerr
Project to the border of the Carolina Power & Light System. These
charges could be recovered through a capacity charge or an energy
charge, as determined by the Government.
Transmission and Ancillary Services
The charges for transmission and ancillary services shall be
governed by and subject to refund based upon the terms of the
Government-Company contract.
Contract Demand
The contract demand is the amount of capacity in kilowatts stated
in the contract which the Government is obligated to supply and the
Customer is entitled to receive.
Energy To Be Furnished by the Government
The Government will sell to the Customer and the Customer will
purchase from the Government energy each billing month equivalent to a
percentage specified by contract of the energy made available to the
Company (less applicable losses). The Customer's contract demand and
accompanying energy will be allocated proportionately to its individual
delivery points served from the Company's system. The applicable energy
loss factor for transmission, in accordance with the Government-Company
contract, is six (6) per cent. This loss factor will be governed by the
terms of the Government-Company contract.
Billing Month
The billing month for power sold under this schedule shall end at
12 midnight on the last day of each calendar month.
Wholesale Power Rate Schedule CP&L-2-B
Availability
This rate schedule shall be available to public bodies and
cooperatives (any one of whom is hereinafter called the Customer) in
North Carolina and South Carolina to whom power may be transmitted
pursuant to contracts between the Government and Carolina Power & Light
Company (hereinafter called the Company) and the Customer. The Customer
has chosen to self-schedule and does not receive Government power under
an arrangement where the Company schedules the power and provides a
credit on the Customer's bill for Government power. The Customer is
responsible for providing a scheduling
[[Page 57928]]
arrangement with the Government. The Government is responsible for
arranging transmission with the Company. Nothing in this rate schedule
shall preclude modifications to the aforementioned contracts to allow
an eligible customer to elect service under another rate schedule.
Applicability
This rate schedule shall be applicable to the sale at wholesale of
power and accompanying energy generated at the John H. Kerr and
Philpott Projects and sold under appropriate contracts between the
Government and the Customer.
Character of Service
The electric capacity and energy supplied hereunder will be
delivered at the delivery points of the Customer on the Company's
transmission and distribution system.
Monthly Rate
The initial base monthly rate for capacity, energy, and generation
services provided under this rate schedule for the period specified
shall be:
Initial Base Capacity Charge
$3.65 Per kilowatt of total contract demand per month.
Initial Base Energy Charge
14.63 Mills per kilowatt-hour.
The Base Capacity Charge and the Base Energy Charge will be subject
to annual adjustment on April 1 of each year based on transfers to
plant in service for the preceding Fiscal Year that are not included in
the proposed repayment study. The adjustment will be for each increase
of $1,000,000 to plant in service an increase of $0.013 per kilowatt
per month added to the capacity charge and 0.052 mills per kilowatt-
hour added to the energy charge.
The rates are based on a repayment study that projects that the
Kerr-Philpott System will produce the following net revenue available
for repayment by fiscal year:
FY 2010................................................. $578,000
FY 2011................................................. 2,030,000
FY 2012................................................. 1,032,000
FY 2013................................................. 825,000
FY 2014................................................. 863,000
FY 2015................................................. 908,000
The rates include a true-up of the capacity and energy rates based
on the variance of the actual net revenue available for repayment from
the planned net revenue available for repayment in the table above. For
every $100,000 under-recovery of the planned net revenue available for
repayment, Southeastern will increase the base capacity charge by $0.02
per kilowatt per month, up to a maximum of $0.75 per kilowatt per
month, and increase the base energy charge by 0.10 mills per kilowatt-
hour, up to a maximum of 3.0 mills per kilowatt per hour, to be
implemented April 1 of the next fiscal year. For every $100,000 of
over-recovery of the planned net revenue available for repayment,
Southeastern will reduce the base capacity charge by $0.02 per kilowatt
per month, up to a maximum of $0.75 per kilowatt per month, and reduce
the base energy charge by 0.10 mills per kilowatt-hour, up to a maximum
of 3.0 mills per kilowatt per hour, to be implemented April 1 of the
next fiscal year. Southeastern will give written notice to the
customers of the amount of the true-up to the capacity and energy rates
by February 1 of the next fiscal year.
Additional rates for transmission and ancillary services provided
under this rate schedule shall be the rates charged Southeastern Power
Administration by the Company. Future adjustments to these rates will
become effective upon acceptance for filing by the Federal Energy
Regulatory Commission (FERC) of the Company's rate.
Transmission
$1.1453 Per kilowatt of total contract demand per month as of December
2009, is presented for illustrative purposes.
The initial transmission charge will be the Customer's ratable
share of the transmission and distribution charges paid by the
Government. The rate is subject to periodic adjustment and will be
computed in accordance with the terms of the Government-Company
contract.
Proceedings before FERC involving the Company's Open Access
Transmission Tariff (OATT) or the distribution charge may result in the
separation of charges currently included in the transmission rate. In
this event, the Government may charge the Customer for any and all
separate transmission and distribution charges paid by the Government
in behalf of the Customer. These charges could be recovered through a
capacity charge or an energy charge, as determined by the Government.
Tandem Transmission Charge
$2.14 Per kilowatt of total contract demand per month, as an estimated
cost as of December 2009.
The tandem transmission charge will recover the cost of
transmitting power from a project to the border of another transmitting
system. This rate will be a formulary rate based on the cost to the
Government for transmission of power from the Philpott project to the
border of the Virginia Electric and Power Company System and the cost
to the Government for transmission of power from the John H. Kerr
Project to the border of the Carolina Power & Light System. These
charges could be recovered through a capacity charge or an energy
charge, as determined by the Government.
Transmission and Ancillary Services
The charges for transmission and ancillary services shall be
governed by and subject to refund based upon the terms of the
Government-Company contract.
Contract Demand
The contract demand is the amount of capacity in kilowatts stated
in the contract which the Government is obligated to supply and the
Customer is entitled to receive.
Energy To Be Furnished by the Government
The Government will sell to the Customer and the Customer will
purchase from the Government energy each billing month equivalent to a
percentage specified by contract of the energy made available to the
Company (less applicable losses). The Customer's contract demand and
accompanying energy will be allocated proportionately to its individual
delivery points served from the Company's system. The applicable energy
loss factor for transmission, in accordance with the Government-Company
contract, is six (6) per cent. This loss factor will be governed by the
terms of the Government-Company contract.
Billing Month
The billing month for power sold under this schedule shall end at
12 midnight on the last day of each calendar month.
Wholesale Power Rate Schedule CP&L-3-B
Availability
This rate schedule shall be available to public bodies and
cooperatives (any one of whom is hereinafter called the Customer) in
North Carolina and South Carolina to whom power may be scheduled
pursuant to contracts between the Government and Carolina Power & Light
Company (hereinafter called the Company) and the Customer. The
Government is responsible for providing the scheduling. The Customer
[[Page 57929]]
is responsible for providing a transmission arrangement. Nothing in
this rate schedule shall preclude modifications to the aforementioned
contracts to allow an eligible customer to elect service under another
rate schedule.
Applicability
This rate schedule shall be applicable to the sale at wholesale of
power and accompanying energy generated at the John H. Kerr and
Philpott Projects (hereinafter called the Projects) and sold under
appropriate contracts between the Government and the Customer.
Character of Service
The electric capacity and energy supplied hereunder will be
delivered at the Projects.
Monthly Rate
The initial base monthly rate for capacity, energy, and generation
services provided under this rate schedule for the period specified
shall be:
Initial Base Capacity Charge
$3.65 Per kilowatt of total contract demand per month.
Initial Base Energy Charge
14.63 Mills per kilowatt-hour.
The Base Capacity Charge and the Base Energy Charge will be subject
to annual adjustment on April 1 of each year based on transfers to
plant in service for the preceding Fiscal Year that are not included in
the proposed repayment study. The adjustment will be for each increase
of $1,000,000 to plant in service an increase of $0.013 per kilowatt
per month added to the capacity charge and 0.052 mills per kilowatt-
hour added to the energy charge.
The rates are based on a repayment study that projects that the
Kerr-Philpott System will produce the following net revenue available
for repayment by fiscal year:
FY 2010................................................. $578,000
FY 2011................................................. 2,030,000
FY 2012................................................. 1,032,000
FY 2013................................................. 825,000
FY 2014................................................. 863,000
FY 2015................................................. 908,000
The rates include a true-up of the capacity and energy rates based
on the variance of the actual net revenue available for repayment from
the planned net revenue available for repayment in the table above. For
every $100,000 under-recovery of the planned net revenue available for
repayment, Southeastern will increase the base capacity charge by $0.02
per kilowatt per month, up to a maximum of $0.75 per kilowatt per
month, and increase the base energy charge by 0.10 mills per kilowatt-
hour, up to a maximum of 3.0 mills per kilowatt per hour, to be
implemented April 1 of the next fiscal year. For every $100,000 of
over-recovery of the planned net revenue available for repayment,
Southeastern will reduce the base capacity charge by $0.02 per kilowatt
per month, up to a maximum of $0.75 per kilowatt per month, and reduce
the base energy charge by 0.10 mills per kilowatt-hour, up to a maximum
of 3.0 mills per kilowatt per hour, to be implemented April 1 of the
next fiscal year. Southeastern will give written notice to the
customers of the amount of the true-up to the capacity and energy rates
by February 1 of the next fiscal year.
Additional rates for transmission and ancillary services provided
under this rate schedule shall be the rates charged Southeastern Power
Administration by the Company. Future adjustments to these rates will
become effective upon acceptance for filing by the Federal Energy
Regulatory Commission (FERC) of the Company's rate.
Proceedings before FERC involving the Company's Open Access
Transmission Tariff (OATT) or the distribution charge may result in the
separation of charges currently included in the transmission rate. In
this event, the Government may charge the Customer for any and all
separate transmission and distribution charges paid by the Government
in behalf of the Customer.
Tandem Transmission Charge
$2.14 Per kilowatt of total contract demand per month, as an estimated
cost as of December 2009.
The tandem transmission charge will recover the cost of
transmitting power from a project to the border of another transmitting
system. This rate will be a formulary rate based on the cost to the
Government for transmission of power from the Philpott project to the
border of the Virginia Electric and Power Company System and the cost
to the Government for transmission of power from the John H. Kerr
Project to the border of the Carolina Power & Light System. These
charges could be recovered through a capacity charge or an energy
charge, as determined by the Government.
Transmission and Ancillary Services
The charges for transmission and ancillary services shall be
governed by and subject to refund based upon the terms of the
Government-Company contract.
Contract Demand
The contract demand is the amount of capacity in kilowatts stated
in the contract which the Government is obligated to supply and the
Customer is entitled to receive.
Energy To Be Furnished by the Government
The Government will sell to the Customer and the Customer will
purchase from the Government energy each billing month equivalent to a
percentage specified by contract of the energy made available to the
Company (less applicable losses). The Customer's contract demand and
accompanying energy will be allocated proportionately to its individual
delivery points served from the Company's system. The applicable energy
loss factor for transmission, in accordance with the Government-Company
contract, is six (6) per cent. This loss factor will be governed by the
terms of the Government-Company contract.
Billing Month
The billing month for power sold under this schedule shall end at
12 midnight on the last day of each calendar month.
Wholesale Power Rate Schedule CP&L-4-B
Availability
This rate schedule shall be available to public bodies and
cooperatives (any one of whom is hereinafter called the Customer) in
North Carolina and South Carolina served through the transmission
facilities of Carolina Power & Light Company (hereinafter called the
Company). The Customer has chosen to self-schedule and does not receive
Government power under an arrangement where the Company schedules the
power and provides a credit on the Customer's bill for Government
power. The Customer is responsible for providing a scheduling
arrangement with the Government and for providing a transmission
arrangement. Nothing in this rate schedule shall preclude modifications
to the aforementioned contracts to allow an eligible customer to elect
service under another rate schedule.
Applicability
This rate schedule shall be applicable to the sale at wholesale of
power and accompanying energy generated at the John H. Kerr and
Philpott Projects (hereinafter called the Projects) and sold
[[Page 57930]]
under appropriate contracts between the Government and the Customer.
Character of Service
The electric capacity and energy supplied hereunder will be
delivered at the Projects.
Monthly Rate
The initial base monthly rate for capacity, energy, and generation
services provided under this rate schedule for the period specified
shall be:
Initial Base Capacity Charge
$3.65 Per kilowatt of total contract demand per month.
Initial Base Energy Charge
14.63 Mills per kilowatt-hour.
The Base Capacity Charge and the Base Energy Charge will be subject
to annual adjustment on April 1 of each year based on transfers to
plant in service for the preceding Fiscal Year that are not included in
the proposed repayment study. The adjustment will be for each increase
of $1,000,000 to plant in service an increase of $0.013 per kilowatt
per month added to the capacity charge and 0.052 mills per kilowatt-
hour added to the energy charge.
The rates are based on a repayment study that projects that the
Kerr-Philpott System will produce the following net revenue available
for repayment by fiscal year:
FY 2010................................................. $578,000
FY 2011................................................. 2,030,000
FY 2012................................................. 1,032,000
FY 2013................................................. 825,000
FY 2014................................................. 863,000
FY 2015................................................. 908,000
The rates include a true-up of the capacity and energy rates based
on the variance of the actual net revenue available for repayment from
the planned net revenue available for repayment in the table above. For
every $100,000 under-recovery of the planned net revenue available for
repayment, Southeastern will increase the base capacity charge by $0.02
per kilowatt per month, up to a maximum of $0.75 per kilowatt per
month, and increase the base energy charge by 0.10 mills per kilowatt-
hour, up to a maximum of 3.0 mills per kilowatt per hour, to be
implemented April 1 of the next fiscal year. For every $100,000 of
over-recovery of the planned net revenue available for repayment,
Southeastern will reduce the base capacity charge by $0.02 per kilowatt
per month, up to a maximum of $0.75 per kilowatt per month, and reduce
the base energy charge by 0.10 mills per kilowatt-hour, up to a maximum
of 3.0 mills per kilowatt per hour, to be implemented April 1 of the
next fiscal year. Southeastern will give written notice to the
customers of the amount of the true-up to the capacity and energy rates
by February 1 of the next fiscal year.
Additional rates for transmission and ancillary services provided
under this rate schedule shall be the rates charged Southeastern Power
Administration by the Company. Future adjustments to these rates will
become effective upon acceptance for filing by the Federal Energy
Regulatory Commission (FERC) of the Company's rate.
Tandem Transmission Charge
$2.14 Per kilowatt of total contract demand per month, as an estimated
cost as of December 2009.
The tandem transmission charge will recover the cost of
transmitting power from a project to the border of another transmitting
system. This rate will be a formulary rate based on the cost to the
Government for transmission of power from the Philpott project to the
border of the Virginia Electric and Power Company System and the cost
to the Government for transmission of power from the John H. Kerr
Project to the border of the Carolina Power & Light System. These
charges could be recovered through a capacity charge or an energy
charge, as determined by the Government.
Transmission and Ancillary Services
The charges for transmission and ancillary services shall be
governed by and subject to refund based upon the terms of the
Government-Company contract.
Contract Demand
The contract demand is the amount of capacity in kilowatts stated
in the contract which the Government is obligated to supply and the
Customer is entitled to receive.
Energy To Be Furnished by the Government
The Government will sell to the Customer and the Customer will
purchase from the Government energy each billing month equivalent to a
percentage specified by contract of the energy made available to the
Company (less applicable losses). The Customer's contract demand and
accompanying energy will be allocated proportionately to its individual
delivery points served from the Company's system. The applicable energy
loss factor for transmission, in accordance with the Government-Company
contract, is six (6) per cent. This loss factor will be governed by the
terms of the Government-Company contract.
Billing Month
The billing month for power sold under this schedule shall end at
12 midnight on the last day of each calendar month.
Wholesale Power Rate Schedule AP-1-B
Availability
This rate schedule shall be available to public bodies and
cooperatives (any one of whom is hereinafter called the Customer) in
Virginia to whom power may be transmitted and scheduled pursuant to
contracts between the Government, American Electric Power Service
Corporation (hereinafter called the Company), the Company's
Transmission Operator, currently PJM Interconnection LLC (hereinafter
called PJM), and the Customer. This rate schedule is applicable to
customers receiving power from the Government on an arrangement where
the Company schedules the power and provides the Customer a credit on
their bill for Government power. Nothing in this rate schedule shall
preclude modifications to the aforementioned contracts to allow an
eligible customer to elect service under another rate schedule.
Applicability
This rate schedule shall be applicable to the sale at wholesale of
power and accompanying energy generated at the John H. Kerr and
Philpott Projects and sold under appropriate contracts between the
Government and the Customer.
Character of Service
The electric capacity and energy supplied hereunder will be
delivered at the delivery points of the Customer on the Company's
transmission and distribution system.
Monthly Rate
The initial base monthly rate for capacity, energy, and generation
services provided under this rate schedule for the period specified
shall be:
Initial Base Capacity Charge
$3.65 Per kilowatt of total contract demand per month.
Initial Base Energy Charge
14.63 Mills per kilowatt-hour.
The Base Capacity Charge and the Base Energy Charge will be subject
to annual adjustment on April 1 of each year based on transfers to
plant in
[[Page 57931]]
service for the preceding Fiscal Year that are not included in the
proposed repayment study. The adjustment will be for each increase of
$1,000,000 to plant in service an increase of $0.013 per kilowatt per
month added to the capacity charge and 0.052 mills per kilowatt-hour
added to the energy charge.
The rates are based on a repayment study that projects that the
Kerr-Philpott System will produce the following net revenue available
for repayment by fiscal year:
FY 2010................................................. $578,000
FY 2011................................................. 2,030,000
FY 2012................................................. 1,032,000
FY 2013................................................. 825,000
FY 2014................................................. 863,000
FY 2015................................................. 908,000
The rates include a true-up of the capacity and energy rates based
on the variance of the actual net revenue available for repayment from
the planned net revenue available for repayment in the table above. For
every $100,000 under-recovery of the planned net revenue available for
repayment, Southeastern will increase the base capacity charge by $0.02
per kilowatt per month, up to a maximum of $0.75 per kilowatt per
month, and increase the base energy charge by 0.10 mills per kilowatt-
hour, up to a maximum of 3.0 mills per kilowatt per hour, to be
implemented April 1 of the next fiscal year. For every $100,000 of
over-recovery of the planned net revenue available for repayment,
Southeastern will reduce the base capacity charge by $0.02 per kilowatt
per month, up to a maximum of $0.75 per kilowatt per month, and reduce
the base energy charge by 0.10 mills per kilowatt-hour, up to a maximum
of 3.0 mills per kilowatt per hour, to be implemented April 1 of the
next fiscal year. Southeastern will give written notice to the
customers of the amount of the true-up to the capacity and energy rates
by February 1 of the next fiscal year.
Additional rates for transmission and ancillary services provided
under this rate schedule shall be the rates charged Southeastern Power
Administration by the Company. Future adjustments to these rates will
become effective upon acceptance for filing by the Federal Energy
Regulatory Commission (FERC) of the Company's rate.
Transmission
$-0.91 Per kilowatt of total contract demand per month as of December
2009, is presented for illustrative purposes.
Ancillary Services
1.46 Mills per kilowatt-hour of energy as of December 2009, is
presented for illustrative purposes.
The initial charge for transmission and ancillary services will be
the Customer's ratable share of the charges for transmission,
distribution, and ancillary services paid by the Government. The
charges for transmission and ancillary services are governed by and
subject to refund based upon the determination in proceedings before
the FERC involving the Company's or PJM's Open Access Transmission
Tariff (OATT).
Proceedings before FERC involving the OATT or the Distribution
charge may result in the separation of charges currently included in
the transmission rate. In this event, the Government may charge the
Customer for any and all separate transmission, ancillary services, and
distribution charges paid by the Government in behalf of the Customer.
These charges could be recovered through a capacity charge or an energy
charge, as determined by the Government.
Tandem Transmission Charge
$2.14 Per kilowatt of total contract demand per month, as an estimated
cost as of December 2009.
The tandem transmission charge will recover the cost of
transmitting power from a project to the border of another transmitting
system. This rate will be a formulary rate based on the cost to the
Government for transmission of power from the Philpott project to the
border of the Virginia Electric and Power Company System and the cost
to the Government for transmission of power from the John H. Kerr
Project to the border of the Carolina Power & Light System. These
charges could be recovered through a capacity charge or an energy
charge, as determined by the Government.
Transmission and Ancillary Services
The charges for transmission and ancillary services shall be
governed by and subject to refund based upon the determination in the
proceeding involving the Company's or PJM's OATT.
Contract Demand
The contract demand is the amount of capacity in kilowatts stated
in the contract which the Government is obligated to supply and the
Customer is entitled to receive.
Energy To Be Furnished by the Government
The Government will sell to the Customer and the Customer will
purchase from the Government energy each billing month equivalent to a
percentage specified by contract of the energy made available to the
Company (less applicable losses). The Customer's contract demand and
accompanying energy will be allocated proportionately to its individual
delivery points served from the Company's system. The applicable energy
loss factor for transmission is specified in the OATT.
These losses shall be effective until modified by the Federal
Energy Regulatory Commission, pursuant to application by the Company or
PJM under Section 205 of the Federal Power Act or Southeastern Power
Administration under Section 206 of the Federal Power Act or otherwise.
Billing Month
The billing month for power sold under this schedule shall end at
12 midnight on the last day of each calendar month.
Wholesale Power Rate Schedule AP-2-B
Availability
This rate schedule shall be available to public bodies and
cooperatives (any one of whom is hereinafter called the Customer) in
Virginia to whom power may be transmitted pursuant to contracts between
the Government, American Electric Power Service Corporation
(hereinafter called the Company), the Company's Transmission Operator,
currently PJM Interconnection LLC (hereinafter called PJM), and the
Customer. The Customer has chosen to self-schedule and does not receive
Government power under an arrangement where the Company schedules the
power and provides a credit on the Customer's bill for Government
power. The Customer is responsible for providing a scheduling
arrangement with the Government. The Government is responsible for
arranging transmission with the Company. Nothing in this rate schedule
shall preclude modifications to the aforementioned contracts to allow
an eligible customer to elect service under another rate schedule.
Applicability
This rate schedule shall be applicable to the sale at wholesale of
power and accompanying energy generated at the John H. Kerr and
Philpott Projects and sold under appropriate contracts
[[Page 57932]]
between the Government and the Customer.
Character of Service
The electric capacity and energy supplied hereunder will be
delivered at the delivery points of the Customer on the Company's
transmission and distribution system.
Monthly Rate
The initial base monthly rate for capacity, energy, and generation
services provided under this rate schedule for the period specified
shall be:
Initial Base Capacity Charge
$3.65 Per kilowatt of total contract demand per month.
Initial Base Energy Charge
14.63 Mills per kilowatt-hour.
The Base Capacity Charge and the Base Energy Charge will be subject
to annual adjustment on April 1 of each year based on transfers to
plant in service for the preceding Fiscal Year that are not included in
the proposed repayment study. The adjustment will be for each increase
of $1,000,000 to plant in service an increase of $0.013 per kilowatt
per month added to the capacity charge and 0.052 mills per kilowatt-
hour added to the energy charge.
The rates are based on a repayment study that projects that the
Kerr-Philpott System will produce the following net revenue available
for repayment by fiscal year:
FY 2010................................................. $578,000
FY 2011................................................. 2,030,000
FY 2012................................................. 1,032,000
FY 2013................................................. 825,000
FY 2014................................................. 863,000
FY 2015................................................. 908,000
The rates include a true-up of the capacity and energy rates based
on the variance of the actual net revenue available for repayment from
the planned net revenue available for repayment in the table above. For
every $100,000 under-recovery of the planned net revenue available for
repayment, Southeastern will increase the base capacity charge by $0.02
per kilowatt per month, up to a maximum of $0.75 per kilowatt per
month, and increase the base energy charge by 0.10 mills per kilowatt-
hour, up to a maximum of 3.0 mills per kilowatt per hour, to be
implemented April 1 of the next fiscal year. For every $100,000 of
over-recovery of the planned net revenue available for repayment,
Southeastern will reduce the base capacity charge by $0.02 per kilowatt
per month, up to a maximum of $0.75 per kilowatt per month, and reduce
the base energy charge by 0.10 mills per kilowatt-hour, up to a maximum
of 3.0 mills per kilowatt per hour, to be implemented April 1 of the
next fiscal year. Southeastern will give written notice to the
customers of the amount of the true-up to the capacity and energy rates
by February 1 of the next fiscal year.
Additional rates for transmission and ancillary services provided
under this rate schedule shall be the rates charged Southeastern Power
Administration by the Company. Future adjustments to these rates will
become effective upon acceptance for filing by the Federal Energy
Regulatory Commission (FERC) of the Company's rate.
Transmission
$-0.91 Per kilowatt of total contract demand per month as of December
2009, is presented for illustrative purposes.
Ancillary Services
1.46 Mills per kilowatt-hour of energy as of December 2009, is
presented for illustrative purposes.
The initial charge for transmission and ancillary services will be
the Customer's ratable share of the charges for transmission,
distribution, and ancillary services paid by the Government. The
charges for transmission and ancillary services are governed by and
subject to refund based upon the determination in proceedings before
the FERC involving the Company's or PJM's Open Access Transmission
Tariff (OATT).
Proceedings before FERC involving the OATT or the Distribution
charge may result in the separation of charges currently included in
the transmission rate. In this event, the Government may charge the
Customer for any and all separate transmission, ancillary services, and
distribution charges paid by the Government in behalf of the Customer.
These charges could be recovered through a capacity charge or an energy
charge, as determined by the Government.
Tandem Transmission Charge
$2.14 Per kilowatt of total contract demand per month, as an estimated
cost as of December 2009.
The tandem transmission charge will recover the cost of
transmitting power from a project to the border of another transmitting
system. This rate will be a formulary rate based on the cost to the
Government for transmission of power from the Philpott project to the
border of the Virginia Electric and Power Company System and the cost
to the Government for transmission of power from the John H. Kerr
Project to the border of the Carolina Power & Light System. These
charges could be recovered through a capacity charge or an energy
charge, as determined by the Government.
Transmission and Ancillary Services
The charges for transmission and ancillary services shall be
governed by and subject to refund based upon the determination in the
proceeding involving the Company's or PJM's OATT.
Contract Demand
The contract demand is the amount of capacity in kilowatts stated
in the contract which the Government is obligated to supply and the
Customer is entitled to receive.
Energy To Be Furnished by the Government
The Government will sell to the Customer and the Customer will
purchase from the Government energy each billing month equivalent to a
percentage specified by contract of the energy made available to the
Company (less applicable losses). The Customer's contract demand and
accompanying energy will be allocated proportionately to its individual
delivery points served from the Company's system. The applicable energy
loss factor for transmission is specified in the OATT.
These losses shall be effective until modified by the Federal
Energy Regulatory Commission, pursuant to application by American
Electric Power Service Corporation under Section 205 of the Federal
Power Act or Southeastern Power Administration under Section 206 of the
Federal Power Act or otherwise.
Billing Month
The billing month for power sold under this schedule shall end at
12 midnight on the last day of each calendar month.
Wholesale Power Rate Schedule AP-3-B
Availability
This rate schedule shall be available to public bodies and
cooperatives (any one of whom is hereinafter called the Customer) in
Virginia to whom power may be scheduled pursuant to contracts between
the Government, American Electric Power Service Corporation
(hereinafter called the Company), PJM Interconnection LLC (hereinafter
called PJM), and the Customer. The Government is responsible for
providing the scheduling. The Customer is
[[Page 57933]]
responsible for providing a transmission arrangement. Nothing in this
rate schedule shall preclude modifications to the aforementioned
contracts to allow an eligible customer to elect service under another
rate schedule.
Applicability
This rate schedule shall be applicable to the sale at wholesale of
power and accompanying energy generated at the John H. Kerr and
Philpott Projects (hereinafter called the Projects) and sold under
appropriate contracts between the Government and the Customer.
Character of Service
The electric capacity and energy supplied hereunder will be
delivered at the Projects.
Monthly Rate
The initial base monthly rate for capacity, energy, and generation
services provided under this rate schedule for the period specified
shall be:
Initial Base Capacity Charge
$3.65 Per kilowatt of total contract demand per month.
Initial Base Energy Charge
14.63 Mills per kilowatt-hour.
The Base Capacity Charge and the Base Energy Charge will be subject
to annual adjustment on April 1 of each year based on transfers to
plant in service for the preceding Fiscal Year that are not included in
the proposed repayment study. The adjustment will be for each increase
of $1,000,000 to plant in service an increase of $0.013 per kilowatt
per month added to the capacity charge and 0.052 mills per kilowatt-
hour added to the energy charge.
The rates are based on a repayment study that projects that the
Kerr-Philpott System will produce the following net revenue available
for repayment by fiscal year:
FY 2010................................................. $578,000
FY 2011................................................. 2,030,000
FY 2012................................................. 1,032,000
FY 2013................................................. 825,000
FY 2014................................................. 863,000
FY 2015................................................. 908,000
The rates include a true-up of the capacity and energy rates based
on the variance of the actual net revenue available for repayment from
the planned net revenue available for repayment in the table above. For
every $100,000 under-recovery of the planned net revenue available for
repayment, Southeastern will increase the base capacity charge by $0.02
per kilowatt per month, up to a maximum of $0.75 per kilowatt per
month, and increase the base energy charge by 0.10 mills per kilowatt-
hour, up to a maximum of 3.0 mills per kilowatt per hour, to be
implemented April 1 of the next fiscal year. For every $100,000 of
over-recovery of the planned net revenue available for repayment,
Southeastern will reduce the base capacity charge by $0.02 per kilowatt
per month, up to a maximum of $0.75 per kilowatt per month, and reduce
the base energy charge by 0.10 mills per kilowatt-hour, up to a maximum
of 3.0 mills per kilowatt per hour, to be implemented April 1 of the
next fiscal year. Southeastern will give written notice to the
customers of the amount of the true-up to the capacity and energy rates
by February 1 of the next fiscal year.
Additional rates for transmission and ancillary services provided
under this rate schedule shall be the rates charged Southeastern Power
Administration by the Company. Future adjustments to these rates will
become effective upon acceptance for filing by the Federal Energy
Regulatory Commission (FERC) of the Company's rate.
Ancillary Services
1.46 Mills per kilowatt-hour of energy as of December 2009, is
presented for illustrative purposes.
The initial charge for transmission and ancillary services will be
the Customer's ratable share of the charges for transmission,
distribution, and ancillary services paid by the Government. The
charges for transmission and ancillary services are governed by and
subject to refund based upon the determination in proceedings before
the FERC involving the Company's or PJM's Open Access Transmission
Tariff (OATT).
Proceedings before FERC involving the OATT or the Distribution
charge may result in the separation of charges currently included in
the transmission rate. In this event, the Government may charge the
Customer for any and all separate transmission, ancillary services, and
distribution charges paid by the Government in behalf of the Customer.
These charges could be recovered through a capacity charge or an energy
charge, as determined by the Government.
Tandem Transmission Charge
$2.14 Per kilowatt of total contract demand per month, as an estimated
cost as of December 2009.
The tandem transmission charge will recover the cost of
transmitting power from a project to the border of another transmitting
system. This rate will be a formulary rate based on the cost to the
Government for transmission of power from the Philpott project to the
border of the Virginia Electric and Power Company System and the cost
to the Government for transmission of power from the John H. Kerr
Project to the border of the Carolina Power & Light System. These
charges could be recovered through a capacity charge or an energy
charge, as determined by the Government.
Transmission and Ancillary Services
The charges for transmission and ancillary services shall be
governed by and subject to refund based upon the determination in the
proceeding involving the Company's or PJM's OATT.
Contract Demand
The contract demand is the amount of capacity in kilowatts stated
in the contract which the Government is obligated to supply and the
Customer is entitled to receive.
Energy To Be Furnished by the Government
The Government will sell to the Customer and the Customer will
purchase from the Government energy each billing month equivalent to a
percentage specified by contract of the energy made available to the
Company (less applicable losses). The Customer's contract demand and
accompanying energy will be allocated proportionately to its individual
delivery points served from the Company's system. The applicable energy
loss factor for transmission is specified in the OATT.
These losses shall be effective until modified by the FERC,
pursuant to application by the Company or PJM under Section 205 of the
Federal Power Act or Southeastern Power Administration under Section
206 of the Federal Power Act or otherwise.
Billing Month
The billing month for power sold under this schedule shall end at
12 midnight on the last day of each calendar month.
Wholesale Power Rate Schedule AP-4-B
Availability
This rate schedule shall be available to public bodies and
cooperatives (any one of whom is hereinafter called the Customer) in
Virginia served through the facilities of American Electric Power
Service Corporation (hereinafter called the Company) and PJM
Interconnection LLC (hereinafter called PJM). The Customer has chosen
to self-schedule
[[Page 57934]]
and does not receive Government power under an arrangement where the
Company schedules the power and provides a credit on the Customer's
bill for Government power. The Customer is responsible for providing a
scheduling arrangement with the Government and for providing a
transmission arrangement. Nothing in this rate schedule shall preclude
modifications to the aforementioned contracts to allow an eligible
customer to elect service under another rate schedule.
Applicability
This rate schedule shall be applicable to the sale at wholesale of
power and accompanying energy generated at the John H. Kerr and
Philpott Projects (hereinafter called the Projects) and sold under
appropriate contracts between the Government and the Customer.
Character of Service
The electric capacity and energy supplied hereunder will be
delivered at the Projects.
Monthly Rate
The initial base monthly rate for capacity, energy, and generation
services provided under this rate schedule for the period specified
shall be:
Initial Base Capacity Charge
$3.65 Per kilowatt of total contract demand per month.
Initial Base Energy Charge
14.63 Mills per kilowatt-hour.
The Base Capacity Charge and the Base Energy Charge will be subject
to annual adjustment on April 1 of each year based on transfers to
plant in service for the preceding Fiscal Year that are not included in
the proposed repayment study. The adjustment will be for each increase
of $1,000,000 to plant in service an increase of $0.013 per kilowatt
per month added to the capacity charge and 0.052 mills per kilowatt-
hour added to the energy charge.
The rates are based on a repayment study that projects that the
Kerr-Philpott System will produce the following net revenue available
for repayment by fiscal year:
FY 2010................................................. $ 578,000
FY 2011................................................. 2,030,000
FY 2012................................................. 1,032,000
FY 2013................................................. 825,000
FY 2014................................................. 863,000
FY 2015................................................. 908,000
The rates include a true-up of the capacity and energy rates based
on the variance of the actual net revenue available for repayment from
the planned net revenue available for repayment in the table above. For
every $100,000 under-recovery of the planned net revenue available for
repayment, Southeastern will increase the base capacity charge by $0.02
per kilowatt per month, up to a maximum of $0.75 per kilowatt per
month, and increase the base energy charge by 0.10 mills per kilowatt-
hour, up to a maximum of 3.0 mills per kilowatt per hour, to be
implemented April 1 of the next fiscal year. For every $100,000 of
over-recovery of the planned net revenue available for repayment,
Southeastern will reduce the base capacity charge by $0.02 per kilowatt
per month, up to a maximum of $0.75 per kilowatt per month, and reduce
the base energy charge by 0.10 mills per kilowatt-hour, up to a maximum
of 3.0 mills per kilowatt per hour, to be implemented April 1 of the
next fiscal year. Southeastern will give written notice to the
customers of the amount of the true-up to the capacity and energy rates
by February 1 of the next fiscal year.
Additional rates for Transmission and Ancillary Services provided
under this rate schedule shall be the rates charged Southeastern Power
Administration by the Company. Future adjustments to these rates will
become effective upon acceptance for filing by the Federal Energy
Regulatory Commission (FERC) of the Company's rate.
Ancillary Services
1.46 Mills per kilowatt-hour of energy as of December 2009, is
presented for illustrative purposes.
The initial charge for transmission and ancillary services will be
the Customer's ratable share of the charges for transmission,
distribution, and ancillary services paid by the Government. The
charges for transmission and ancillary services are governed by and
subject to refund based upon the determination in proceedings before
the FERC involving the Company's or PJM's Open Access Transmission
Tariff (OATT).
Proceedings before FERC involving the OATT or the Distribution
charge may result in the separation of charges currently included in
the transmission rate. In this event, the Government may charge the
Customer for any and all separate transmission, ancillary services, and
distribution charges paid by the Government in behalf of the Customer.
These charges could be recovered through a capacity charge or an energy
charge, as determined by the Government.
Tandem Transmission Charge
$2.14 Per kilowatt of total contract demand per month, as an estimated
cost as of December 2009.
The tandem transmission charge will recover the cost of
transmitting power from a project to the border of another transmitting
system. This rate will be a formulary rate based on the cost to the
Government for transmission of power from the Philpott project to the
border of the Virginia Electric and Power Company System and the cost
to the Government for transmission of power from the John H. Kerr
Project to the border of the Carolina Power & Light System. These
charges could be recovered through a capacity charge or an energy
charge, as determined by the Government.
Transmission and Ancillary Services
The charges for transmission and ancillary services shall be
governed by and subject to refund based upon the determination in the
proceeding involving the Company's or PJM's OATT.
Contract Demand
The contract demand is the amount of capacity in kilowatts stated
in the contract which the Government is obligated to supply and the
Customer is entitled to receive.
Energy To Be Furnished by the Government
The Government will sell to the Customer and the Customer will
purchase from the Government energy each billing month equivalent to a
percentage specified by contract of the energy made available to the
Company (less applicable losses). The Customer's contract demand and
accompanying energy will be allocated proportionately to its individual
delivery points served from the Company's system. The applicable energy
loss factor for transmission is specified in the OATT.
These losses shall be effective until modified by the Federal
Energy Regulatory Commission, pursuant to application by the Company or
PJM under Section 205 of the Federal Power Act or Southeastern Power
Administration under Section 206 of the Federal Power Act or otherwise.
Billing Month
The billing month for power sold under this schedule shall end at
12 midnight on the last day of each calendar month.
[[Page 57935]]
Wholesale Power Rate Schedule NC-1-B
Availability
This rate schedule shall be available to public bodies and
cooperatives (any one of whom is hereinafter called the Customer) in
Virginia and North Carolina to whom power may be transmitted pursuant
to a contract between the Government and Virginia Electric and Power
Company (hereinafter called the Virginia Power) and PJM Interconnection
LLC (hereinafter called PJM), scheduled pursuant to a contract between
the Government and Carolina Power & Light Company (hereinafter called
CP&L), and billed pursuant to contracts between the Government and the
Customer. Nothing in this rate schedule shall preclude modifications to
the aforementioned contracts to allow an eligible customer to elect
service under another rate schedule.
Applicability
This rate schedule shall be applicable to the sale at wholesale of
power and accompanying energy generated at the John H. Kerr and
Philpott Projects and sold under appropriate contracts between the
Government and the Customer.
Character of Service
The electric capacity and energy supplied hereunder will be
delivered at the delivery points of the Customer on the Virginia
Power's transmission and distribution system.
Monthly Rate
The initial base monthly rate for capacity, energy, and generation
services provided under this rate schedule for the period specified
shall be:
Initial Base Capacity Charge
$3.65 Per kilowatt of total contract demand per month.
Initial Base Energy Charge
14.63 Mills per kilowatt-hour.
The Base Capacity Charge and the Base Energy Charge will be subject
to annual adjustment on April 1 of each year based on transfers to
plant in service for the preceding Fiscal Year that are not included in
the proposed repayment study. The adjustment will be for each increase
of $1,000,000 to plant in service an increase of $0.013 per kilowatt
per month added to the capacity charge and 0.052 mills per kilowatt-
hour added to the energy charge.
The rates are based on a repayment study that projects that the
Kerr-Philpott System will produce the following net revenue available
for repayment by fiscal year:
FY 2010................................................. $578,000
FY 2011................................................. 2,030,000
FY 2012................................................. 1,032,000
FY 2013................................................. 825,000
FY 2014................................................. 863,000
FY 2015................................................. 908,000
The rates include a true-up of the capacity and energy rates based
on the variance of the actual net revenue available for repayment from
the planned net revenue available for repayment in the table above. For
every $100,000 under-recovery of the planned net revenue available for
repayment, Southeastern will increase the base capacity charge by $0.02
per kilowatt per month, up to a maximum of $0.75 per kilowatt per
month, and increase the base energy charge by 0.10 mills per kilowatt-
hour, up to a maximum of 3.0 mills per kilowatt per hour, to be
implemented April 1 of the next fiscal year. For every $100,000 of
over-recovery of the planned net revenue available for repayment,
Southeastern will reduce the base capacity charge by $0.02 per kilowatt
per month, up to a maximum of $0.75 per kilowatt per month, and reduce
the base energy charge by 0.10 mills per kilowatt-hour, up to a maximum
of 3.0 mills per kilowatt per hour, to be implemented April 1 of the
next fiscal year. Southeastern will give written notice to the
customers of the amount of the true-up to the capacity and energy rates
by February 1 of the next fiscal year.
Additional rates for transmission and ancillary services provided
under this rate schedule shall be the rates charged Southeastern Power
Administration by the Virginia Power and CP&L. Future adjustments to
these rates will become effective upon acceptance for filing by the
Federal Energy Regulatory Commission (FERC) of Virginia Power's or
CP&L's rate.
Transmission
$-0.91 Per kilowatt of total contract demand per month as of December
2009, is presented for illustrative purposes.
Ancillary Services
1.46 Mills per kilowatt-hour of energy as of December 2009, is
presented for illustrative purposes.
The initial charge for transmission and ancillary services will be
the Customer's ratable share of the charges for transmission,
distribution, and ancillary services paid by the Government. The
charges for transmission and ancillary services are governed by and
subject to refund based upon the determination in proceedings before
the FERC involving CP&L's or PJM's Open Access Transmission Tariff
(OATT).
Proceedings before FERC involving the OATT or the distribution
charge may result in the separation of charges currently included in
the transmission rate. In this event, the Government may charge the
Customer for any and all separate transmission, ancillary services, and
distribution charges paid by the Government in behalf of the Customer.
These charges could be recovered through a capacity charge or an energy
charge, as determined by the Government.
Tandem Transmission Charge
$2.14 Per kilowatt of total contract demand per month, as an estimated
cost as of December 2009.
The tandem transmission charge will recover the cost of
transmitting power from a project to the border of another transmitting
system. This rate will be a formulary rate based on the cost to the
Government for transmission of power from the Philpott project to the
border of the Virginia Electric and Power Company System and the cost
to the Government for transmission of power from the John H. Kerr
Project to the border of the Carolina Power & Light System.
Transmission, System Control, Reactive, and Regulation Services
The charges for transmission and ancillary services shall be
governed by and subject to refund based upon the determination in the
proceeding involving CP&L's or PJM's OATT.
Contract Demand
The contract demand is the amount of capacity in kilowatts stated
in the contract which the Government is obligated to supply and the
Customer is entitled to receive.
Energy To Be Furnished by the Government
The Government will sell to the Customer and the Customer will
purchase from the Government energy each billing month equivalent to a
percentage specified by contract of the energy made available to the
Company (less applicable losses). The Customer's contract demand and
accompanying energy will be allocated proportionately to its individual
delivery points served from the Company's system. The applicable energy
loss factor for transmission is specified in the OATT.
These losses shall be effective until modified by the FERC,
pursuant to
[[Page 57936]]
application by the Company or PJM under Section 205 of the Federal
Power Act or Southeastern Power Administration under Section 206 of the
Federal Power Act or otherwise.
Billing Month
The billing month for power sold under this schedule shall end at
12 midnight on the last day of each calendar month.
Wholesale Power Rate Schedule Replacement-2-A
Availability
This rate schedule shall be available to public bodies and
cooperatives (any one of whom is hereinafter called the Customer) in
North Carolina and Virginia to whom power is provided pursuant to
contracts between the Government and the customer from the John H. Kerr
and Philpott Projects (or Kerr-Philpott System).
Applicability
This rate schedule shall be applicable to the sale of wholesale
energy purchased to meet contract minimum energy and sold under
appropriate contracts between the Government and the Customer.
Character of Service
The energy supplied hereunder will be delivered at the delivery
points provided for under appropriate contracts between the Government
and the Customer.
Monthly Charge
The customer will pay its ratable share of Southeastern's monthly
cost for replacement energy. The ratable share will be the cost
allocation factor for the customer listed in the table below times
Southeastern's monthly cost for replacement energy purchased for the
Kerr-Philpott System, rounded to the nearest $0.01.
----------------------------------------------------------------------------------------------------------------
Cost
Capacity allocation
Contract No. 89-00-1501- Customer allocation Average energy factor
(percent)
----------------------------------------------------------------------------------------------------------------
1230.................................. Albemarle EMC................. 2,593 6,950,707 1.565921
1221.................................. B-A-R-C EC.................... 3,740 10,060,472 2.266518
853................................... Brunswick EMC................. 3,515 10,468,686 2.358485
854................................... Carteret-Craven EMC........... 2,679 7,978,836 1.797548
869................................... Carteret-Craven EMC........... 56 42,281 0.009525
855................................... Central EMC................... 1,239 3,690,100 0.831341
1220.................................. Central Virginia EC........... 7,956 21,534,960 4.851599
1203.................................. City of Bedford............... 1,200 906,166 0.204150
1204.................................. City of Danville.............. 5,600 4,228,775 0.952698
895................................... City of Elizabeth City........ 2,073 1,565,205 0.352624
1215.................................. City of Franklin.............. 1,003 754,359 0.169949
878................................... City of Kinston............... 1,466 1,106,893 0.249371
880................................... City of Laurinburg............ 415 313,343 0.070593
881................................... City of Lumberton............. 895 675,764 0.152242
1205.................................. City of Martinsville.......... 1,600 1,208,222 0.272200
882................................... City of New Bern.............. 1,204 909,072 0.204804
1206.................................. City of Radford............... 1,300 981,575 0.221138
885................................... City of Rocky Mount........... 2,538 1,916,300 0.431722
1208.................................. City of Salem................. 2,200 1,661,127 0.374234
892................................... City of Washington............ 2,703 2,040,882 0.459789
889................................... City of Wilson................ 2,950 2,227,377 0.501805
1222.................................. Community EC.................. 4,230 11,394,466 2.567053
1211.................................. Craig-Botetourt EC............ 1,692 4,575,816 1.030883
1231.................................. Edgecombe-Martin County EMC... 4,155 11,275,547 2.540262
875................................... Fayetteville Public Works 5,431 4,100,640 0.923831
Commission.
856................................... Four County EMC............... 4,198 12,502,857 2.816762
891................................... Greenville Utilities 7,534 5,688,496 1.281558
Commission.
857................................... Halifax EMC................... 585 1,742,299 0.392522
1232.................................. Halifax EMC................... 2,021 5,478,308 1.234205
1216.................................. Harrisonburg Electric 2,691 2,050,360 0.461924
Commission.
858................................... Jones-Onslow EMC.............. 5,184 15,439,450 3.478345
859................................... Lumbee River EMC.............. 3,729 11,106,040 2.502074
1223.................................. Mecklenburg EMC............... 11,344 30,806,162 6.940303
1224.................................. Northern Neck EC.............. 3,944 10,572,278 2.381823
1225.................................. Northern Virginia EC.......... 3,268 8,875,341 1.999521
860................................... Pee Dee EMC................... 2,968 8,839,562 1.991460
861................................... Piedmont EMC.................. 1,086 3,234,540 0.728708
862................................... Pitt & Greene EMC............. 1,580 4,705,697 1.060144
1226.................................. Prince George EC.............. 2,530 6,781,913 1.527893
863................................... Randolph EMC.................. 3,608 10,745,666 2.420885
1227.................................. Rappahannock EC............... 22,427 60,450,624 13.618889
1233.................................. Roanoke EMC................... 5,528 14,904,403 3.357805
1228.................................. Shenandoah Valley EMC......... 9,938 26,943,520 6.070091
864................................... South River EMC............... 6,119 18,224,150 4.105709
1229.................................. Southside EC.................. 14,575 39,381,017 8.872128
865................................... Tideland EMC.................. 680 2,025,236 0.456264
1234.................................. Tideland EMC.................. 2,418 6,554,050 1.476558
870................................... Town of Apex.................. 145 109,482 0.024665
871................................... Town of Ayden................. 208 157,049 0.035381
893................................... Town of Belhaven.............. 182 137,418 0.030959
872................................... Town of Benson................ 120 90,605 0.020412
1212.................................. Town of Blackstone............ 389 292,568 0.065912
[[Page 57937]]
873................................... Town of Clayton............... 161 121,562 0.027387
1213.................................. Town of Culpepper............. 391 297,916 0.067117
894................................... Town of Edenton............... 775 585,159 0.131830
1214.................................. Town of Elkton................ 171 128,609 0.028974
1218.................................. Town of Enfield............... 259 194,810 0.043889
874................................... Town of Farmville............. 237 178,946 0.040315
876................................... Town of Fremont............... 60 45,303 0.010206
896................................... Town of Hamilton.............. 40 30,202 0.006804
897................................... Town of Hertford.............. 203 153,274 0.034531
898................................... Town of Hobgood............... 46 34,732 0.007825
877................................... Town of Hookerton............. 30 22,651 0.005103
879................................... Town of La Grange............. 93 70,219 0.015820
868................................... Town of Louisburg............. 857 2,552,452 0.575041
883................................... Town of Pikeville............. 40 30,202 0.006804
884................................... Town of Red Springs........... 117 88,340 0.019902
1207.................................. Town of Richlands............. 500 377,569 0.085062
899................................... Town of Robersonville......... 232 175,170 0.039464
900................................... Town of Scotland Neck......... 304 229,533 0.051711
886................................... Town of Selma................. 183 138,173 0.031129
887................................... Town of Smithfield............ 378 285,407 0.064299
901................................... Town of Tarboro............... 2,145 1,619,568 0.364872
888................................... Town of Wake Forest........... 149 112,501 0.025345
1217.................................. Town of Wakefield............. 106 79,723 0.017961
1219.................................. Town of Windsor............... 331 248,946 0.056085
866................................... Tri-County EMC................ 3,096 9,220,782 2.077345
867................................... Wake EMC...................... 2,164 6,445,017 1.451994
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Total............................. .............................. 196,500 443,873,428
----------------------------------------------------------------------------------------------------------------
Energy To Be Furnished by the Government
The Government will sell to the Customer and the Customer will
purchase from the Government energy each billing month equivalent to a
percentage specified by contract of the energy made available to the
Facilitator (less any losses required by the Facilitator). The
customer's contract demand and accompanying energy will be allocated
proportionately to its individual delivery points served from the
Facilitator's system.
Billing Month
The billing month for power sold under this schedule shall lend at
12 midnight on the last day of each calendar month.
[FR Doc. 2010-23793 Filed 9-22-10; 8:45 am]
BILLING CODE 6450-01-P