Application Under Federal Power Act Section 203

Forms and Documents

Document Name	Status
RM07-21-002 Supplemental Order and Data Request.doc Supplementary Document	2008-07-24
Press Release RM07-21-000.doc Supplementary Document	2008-02-29
Supporting Statement RM7-21-001 On Rehearing.docm Supporting Statement A	2008-07-24

IC Document Collections

IC ID	Document Title	Status
23029	Application Under Federal Power Act Section 203,	Modified

ICR Details

OMB Control No: 1902-0082	ICR Reference No: 200807-1902-007
Status: Historical Active	Previous ICR Reference No: 200802-1902-003
Agency/Subagency: FERC	Agency Tracking No: FERC-519
Title: Application Under Federal Power Act Section 203
Type of Information Collection: Revision of a currently approved collection	Common Form ICR:  No
Type of Review Request: Regular
OIRA Conclusion Action: Approved without change	Conclusion Date: 10/30/2008
	Date Received in OIRA: 07/24/2008
Terms of Clearance:

	Inventory as of this Action	Requested	Previously Approved
Expiration Date	10/31/2011	36 Months From Approved	06/30/2011
Responses	134	0	134
Time Burden (Hours)	52,950	0	52,930
Cost Burden (Dollars)	6,142,320	0	6,141,000

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Abstract: FERC is obligated by statute to regulate key economic aspects of the electric, natural gas and oil industries. The law requires the Commission’s economic regulatory activity because the transmission of electricity, natural gas, and oil has often been a natural monopoly. In enacting Part II of the Federal Power Act (FPA) in 1935, one of the primary Congressional goals was to protect electric ratepayers from abuses of market power. To accomplish this goal, Congress directed the FERC to oversee sales for resale and transmission service provided by public utilities in interstate commerce. Under Section 203 of the FPA, the FERC must review proposed mergers, acquisitions and dispositions of jurisdictional facilities by public utilities, if the value of facilities exceeded $50,000, (now $10 million for certain transactions due to EPACT 2005, see above) and must approve such transactions if they are consistent with the public interest. Today, one of FERC’s overarching goals is to promote competition in wholesale power markets, having determined that effective competition, as opposed to traditional forms of price regulation, can best protect the interests of ratepayers. Market power, however, can be exercised to the detriment of effective competition and exercise of market power in bulk power markets. The Final Rule adopted the proposal in the Blanket Authorization NOPR to pre-authorize a public utility to dispose of less than 10 percent of its voting securities to a public utility holding company if, after the disposition, the holding company and any associate or affiliate companies in aggregate will own less than 10 percent of the outstanding voting interests of that public utility. Based on comments to the Blanket Authorization NOPR, the Final Rule adopted NOPR's proposal and added five blanket authorizations under section 203(a)(1). The Final Rule on Rehearing (RM07-21-001) affirms the five categories of blanket authorizations and clarifies specific authorizations contained in the final rule. A supplemental order RM07-21-002 seeks comment on a proposed information collection on the expanded blanket authorization under 18 CFR 33.1(c)(12). The Commission seeks comment on how to tailor the reporting requirements. Section 203 of the FPA provides that FERC approval is required for transactions in which a public utility disposes of jurisdictional facilities, merges such facilities with facilities owned by another person, or acquires the securities of another public utility. Under the statute, FERC must find that the proposed transaction will be consistent with the public interest. The filing requirements under review and define the terms of information necessary to investigate the possible impact of the proposed transaction on public interest.

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Authorizing Statute(s): US Code: 16 USC 824b Name of Law: Federal Power Act
  

Citations for New Statutory Requirements: PL: Pub.L. 109 - 58 1289 Name of Law: Energy Policy Act of 2005

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Associated Rulemaking Information
RIN:	Stage of Rulemaking:	Federal Register Citation:	Date:
1902-AD40	Final or interim final rulemaking	73 FR 43066	07/24/2008

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Federal Register Notices & Comments

Did the Agency receive public comments on this ICR? Yes

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Number of Information Collection (IC) in this ICR: 1

IC Title	Form No.	Form Name
Application Under Federal Power Act Section 203,

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ICR Summary of Burden

	Total Approved	Previously Approved	Change Due to New Statute	Change Due to Agency Discretion	Change Due to Adjustment in Estimate	Change Due to Potential Violation of the PRA
Annual Number of Responses	134	134	0	0	0	0
Annual Time Burden (Hours)	52,950	52,930	0	20	0	0
Annual Cost Burden (Dollars)	6,142,320	6,141,000	0	1,320	0	0

Burden increases because of Program Change due to Agency Discretion: Yes

Burden Increase Due to: Changing Regulations

Burden decreases because of Program Change due to Agency Discretion: No

Burden Reduction Due to:

Short Statement: While the Commission is implementing the amended provisions of section 203, the changes do not substantially change the filing requirements, and also will result in minimal changes to the reporting burden as provided for in the Final Rule on Rehearing. With respect to the Supplemental Order, there will be a program change that results in a burden increase to reflect transactions that will be permitted under the expanded blanket authorization.

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Annual Cost to Federal Government: $1,013,634

Does this IC contain surveys, censuses, or employ statistical methods? No

Is the Supporting Statement intended to be a Privacy Impact Assessment required by the E-Government Act of 2002? No

Is this ICR related to the Affordable Care Act [Pub. L. 111-148 & 111-152]? Uncollected

Is this ICR related to the Dodd-Frank Wall Street Reform and Consumer Protection Act, [Pub. L. 111-203]? Uncollected

Is this ICR related to the American Recovery and Reinvestment Act of 2009 (ARRA)? Uncollected

Is this ICR related to the Pandemic Response? Uncollected

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Common Form ICR:  No

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On behalf of this Federal agency, I certify that the collection of information encompassed by this request complies with 5 CFR 1320.9 and the related provisions of 5 CFR 1320.8(b)(3).

The following is a summary of the topics, regarding the proposed collection of information, that the certification covers:

(a) It is necessary for the proper performance of agency functions;

(b) It avoids unnecessary duplication;

(c) It reduces burden on small entities;

(d) It uses plain, coherent, and unambiguous language that is understandable to respondents;

(e) Its implementation will be consistent and compatible with current reporting and recordkeeping practices;

(f) It indicates the retention periods for recordkeeping requirements;

(g) It informs respondents of the information called for under 5 CFR 1320.8 (b)(3) about:

(i) Why the information is being collected;

(ii) Use of information;

(iii) Burden estimate;

(iv) Nature of response (voluntary, required for a benefit, or mandatory);

(v) Nature and extent of confidentiality; and

(vi) Need to display currently valid OMB control number;

(h) It was developed by an office that has planned and allocated resources for the efficient and effective management and use of the information to be collected.

(i) It uses effective and efficient statistical survey methodology (if applicable); and

(j) It makes appropriate use of information technology.

If you are unable to certify compliance with any of these provisions, identify the item by leaving the box unchecked and explain the reason in the Supporting Statement.

Certification Date: 07/24/2008

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