[Federal Register Volume 61, Number 128 (Tuesday, July 2, 1996)] [Notices] [Pages 34433-34434] From the Federal Register Online via the Government Publishing Office [www.gpo.gov] [FR Doc No: 96-16847] ----------------------------------------------------------------------- DEPARTMENT OF ENERGY Western Area Power Administration Replacement Resources Methods Report, Grand Canyon Protection Act of 1992 AGENCY: Western Area Power Administration (Western), DOE. ACTION: Notice of availability, meetings, and comments. ----------------------------------------------------------------------- SUMMARY: Western has been engaged in a process to identify economically and technically feasible methods for replacing power resources which will be lost due to long-term, operational constraints at Glen Canyon Dam. This process will conclude with a report of the findings to Congress as required by the Grand Canyon Protection Act (GCP Act) of 1992, Title XVIII of Pub. L. 102-575. Section 1809 of the GCP Act requires the Secretary of Energy to consult with representatives of the Colorado River Storage Project (CRSP) power customers, environmental organizations, and the Colorado River Basin States and with the Secretary of the Interior in this process. The Secretary of Energy, acting through Western, has the responsibility of marketing power generated from Glen Canyon Dam and other CRSP power facilities, including power acquired by Western to replace the power lost due to operational changes at Glen Canyon Dam. Western published a notice initiating the formal, public consultation process in the Federal Register on August 8, 1994 (59 FR 40357). An October 7, 1994, Federal Register notice (59 FR 51191) by Western announced four regional public consultation meetings. A 20- page, Replacement Resources Information Packet was prepared that included Western's proposed process to complete the method identification requirement of the GCP Act. On October 20, 1994, this information packet, along with the text of the October Federal Register notice, was mailed to approximately 900 entities and individuals on Western's Replacement Resources Process mailing list. In November 1994, four regional public involvement meetings were held in Salt Lake City, Utah; Denver, Colorado; Phoenix, Arizona; and Albuquerque, New Mexico. Public comments were received on the proposed process through December 19, 1994, the comment deadline. Newsletters that provided updates on the status of replacement resources activities were prepared by Western in February and October 1995. These newsletters were distributed to Western's mailing list. On April 30, 1996, at Western's CRSP Customer Service Center's Annual Customer Meeting in Salt Lake City, Western provided an update on replacement resources activities to CRSP power customers and to Bureau of Reclamation (Reclamation) representatives. This update included a discussion by Western of earlier public comment. DATES: Western now announces the availability of the Draft Replacement Resources Methods Report (Draft Methods Report). Western is also seeking comments on the Draft Replacement Resources Methods Report. To be considered, comments need to be received by September 3,1996. In addition, Western will hold four public meetings to provide information and to accept public comment on the proposed methods included in this report. Public consultation meetings will be held: July 23, 1996: Albuquerque, New Mexico, Courtyard Marriott Hotel, 1920 Yale Boulevard, SE., 9 a.m. to noon July 24, 1996: Phoenix, Arizona, Embassy Suites Hotel, 3210 NW., Grand Avenue, at 9 a.m. to noon July 25, 1996: Denver, Colorado, Denver West Marriott, 1717 Denver West Boulevard, 9 a.m. to noon July 29, 1996: Salt Lake City, Utah, Doubletree Hotel, 215 South Temple, 8:30 a.m. to 11:30 a.m. Background The Replacement Resources Methods Report identifies economic and technically feasible methods to replace capacity made unavailable (``or lost'') due to operational constraints. The report also includes a ``proof-of-concept'' analysis of five hypothetical resource options with varying degrees of complexity. The methods considered are consistent with other Western resource acquisition policies, such as Western's Principles of Integrated Resource Planning (IRP) and its Purchase Power Policy. The methods would also be consistent with the pending Salt Lake City Area/ Integrated Projects (SLCA/IP) Contract Amendment, the Records of Decision in Western's SLCA/IP Electric Power Marketing Environmental Impact Statement (EIS) and Energy Planning and Management Program, Reclamation's Glen Canyon Dam EIS, pertinent Federal Energy Regulatory Commission orders, and laws affecting DOE, Western, and CRSP. In the Draft Methods Report, Western evaluates methods to replace capacity made unavailable (``or lost'') due to operational constraints using spot market, seasonal (6 months), and mid- to long-term (1 year or more, up to the end of the contract term) resource acquisitions. Western would consult with firm power customers periodically about the amount and term of resource acquisitions to be made on their behalf, which Western could then acquire and deliver to them. Greater public involvement and more complex evaluation procedures and acquisition methods would be used for long-term acquisitions rather than for seasonal acquisitions, consistent with Western's Purchase Power Policy. Western proposes to use a screening tool and a production cost computer model to evaluate future resource offers from potential suppliers. The Draft Methods Report details how these evaluation tools are applied to evaluate five hypothetical resource purchases. These resource alternatives were designed to illustrate the screening and evaluation tool's abilities to evaluate and select from among many diverse replacement resource options and to consider transmission system constraints and possible solutions. The Draft Methods Report concludes that the screening criteria and evaluation tools developed will enable Western to identify economically and technically feasible replacement power resources in the future. Further Information To provide written comments on the Draft Replacement Resources Methods Report, contact: Mr. Jeffrey McCoy, Resource Analysis Team Lead, CRSP Customer Service Center, Western Area [[Page 34434]] Power Administration, PO Box 11606, Salt Lake City, UT 84147-0606. Environmental Compliance Western will comply with the National Environmental Policy Act of 1969 through an appropriate level of environmental analysis of the impacts of specific replacement resources when such specific resources are being considered for acquisition. Determination Under Executive Order 12866 DOE has determined this is not a significant regulatory action because it does not meet the criteria of Executive Order 12866, 58 FR 51735. Western has an exemption from centralized regulatory review under Executive Order 12866; accordingly, no clearance of this notice by the Office of Management and Budget is required. Issued at Washington, DC, June 24, 1996. Joel K. Bladow, Assistant Administrator. [FR Doc. 96-16847 Filed 7-1-96; 8:45 am] BILLING CODE 6450-01-P