Market Based Rates for Wholesale Sales of Electric Energy, Capacity and Ancillary Services by Public Utilities

Forms and Documents

Document Name	Status
PUBLISHED IC14-2 (FERC-919) 30dy.pdf Supplementary Document	2014-01-09
PUBLISHED IC14-2-000 (FERC-919) 60dy.pdf Supplementary Document	2014-01-09
FINAL IC14-2 (FERC-919) supporting statement (1-9-2014).doc Supporting Statement A	2014-01-09
16 USC 824e.pdf Supplementary Document	2014-01-09
16 USC 824d.pdf Supplementary Document	2014-01-09
18 CFR 35 Subpart H.pdf Supplementary Document	2014-01-07

IC Document Collections

IC ID	Document Title	Status
23282	Market power analysis in new applications for market-based rates (18 CFR 35.37a)	Modified
195388	Change in Status Filings (18 CFR 35.42(a))	Modified
195387	Quarterly land acquisition reports (18 CFR 35.42(d))	Modified
195386	Triennial market power analysis in category 2 seller updates (18 CFR 35.37a)	Modified

ICR Details

OMB Control No: 1902-0234	ICR Reference No: 201312-1902-001
Status: Historical Active	Previous ICR Reference No: 201105-1902-006
Agency/Subagency: FERC	Agency Tracking No: FERC-919
Title: Market Based Rates for Wholesale Sales of Electric Energy, Capacity and Ancillary Services by Public Utilities
Type of Information Collection: Extension without change of a currently approved collection	Common Form ICR:  No
Type of Review Request: Regular
OIRA Conclusion Action: Approved without change	Conclusion Date: 02/27/2014
	Date Received in OIRA: 01/09/2014
Terms of Clearance: In accordance with 5 CFR 1320, the information collection is approved for three years.

	Inventory as of this Action	Requested	Previously Approved
Expiration Date	02/28/2017	36 Months From Approved	03/31/2014
Responses	1,335	0	709
Time Burden (Hours)	85,444	0	61,630
Cost Burden (Dollars)	0	0	0

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Abstract: Compliance with Federal Power Act (FPA) Sections 205 and 206 make the FERC-919 information collection necessary. Specifically, Section 205 of the FPA requires just and reasonable rates and charges. Section 206 allows the Commission to revoke a seller's market-based rate authorization if it determines that the seller may have gained market power since its original authorization to charge market-based rates. The information collection requirements for FERC-919 are contained within the following categories: • Initial market power analyses to qualify for authority to charge market-based rates; • Triennial market power analysis in Category 2 seller updates ; • Quarterly land acquisition reports ; • Change in status reports . The Commission will use information collected under FERC-919 to ensure that market-based rates charged by public utilities are just and reasonable, as Congress has mandated it to do. 18 CFR 35 contains the regulations necessary to require sellers to submit market power analyses and related reports. Because public utilities are natural monopolies, the market power analyses FERC requires must address both horizontal and vertical market power. To demonstrate lack of horizontal market power, the Commission requires two screens: a pivotal supplier power analysis, based on the annual peak demand of the relevant market, and a market share analysis applied on a seasonal basis. Together, these screens examine a seller's ability to exercise horizontal market power. A seller that fails either screen may submit a delivered price test analysis to rebut the presumption of horizontal market power. If a seller fails to rebut the presumption of horizontal market power, the Commission sets the just and reasonable rate at the default cost-based rate unless it approves different mitigation based on case-specific circumstances. For a seller already charging market-based rates, rates are not revoked and cost-based rates are not imposed until the Commission issues an order making a definitive finding that the seller has market power or, where the seller accepts a presumption of market power, an order is issued addressing whether default cost-based rates or case-specific cost-based rates are to be applied. Once an order is issued, the Commission revokes the market-based rate authority in all geographic markets where a seller is found to have market power.

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

Citations for New Statutory Requirements: None

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Associated Rulemaking Information
RIN:	Stage of Rulemaking:	Federal Register Citation:	Date:
	Not associated with rulemaking

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Federal Register Notices & Comments
60-day Notice:	Federal Register Citation:	Citation Date:
	78 FR 62006	10/11/2013
30-day Notice:	Federal Register Citation:	Citation Date:
	79 FR 818	01/07/2014
Did the Agency receive public comments on this ICR? No

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Number of Information Collection (IC) in this ICR: 4

IC Title	Form No.	Form Name
Change in Status Filings (18 CFR 35.42(a))
Triennial market power analysis in category 2 seller updates (18 CFR 35.37a)
Market power analysis in new applications for market-based rates (18 CFR 35.37a)
Quarterly land acquisition reports (18 CFR 35.42(d))

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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	1,335	709	0	0	626	0
Annual Time Burden (Hours)	85,444	61,630	0	0	23,814	0
Annual Cost Burden (Dollars)	0	0	0	0	0	0

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

Burden Increase Due to:

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

Burden Reduction Due to:

Short Statement: The estimates for number of responses are based on records the Commission maintains about the number of market-based rate filings received at the Commission. The Commission estimates that there is approximately one response (filing) per respondent (filer) for entities filing initial applications, changes in status, and triennial filings. These numbers are based on an average number of initial applications and change in status filings received per year from September 1, 2011 to August 31, 2013. The estimated number of triennial filings was based on the average number of triennial filings received over the course of three years from June 2010 to June 2013. Quarterly land acquisition reports are often jointly filed with multiple filers per land acquisition report. Due to the large number of filers per land acquisition report, the Commission counted the number of land acquisition filers over four quarters from July 2012 to June 2013. Over those four quarters, 802 filers made land acquisition reports. Approximately, 373 of those filers filed more than one land acquisition report over the course of a year. In addition to updates regarding estimates, the December 2013 Notice for the FERC-919 revised the description of one of the requirements from "Appendix B addition to change in status reports" to "change in status reports" to clarify that the 237 estimated annual number of filings accounts for all types of change in status filings rather than only "Appendix B addition of change in status filings". The modification of the description explains the increase in estimated respondents from 58 in the July 2010 Notice for the FERC-919 to 237 in the October 2013 Notice for the FERC-919, which estimated all change in status reports rather than just change in status filings that add an asset appendix as directed in Appendix B to Order No. 697. The October 2013 Notice mistakenly described "change in status filings" as just change in status filings that add an asset appendix, which is only a subset of all change in status filings that the Commission receives. The Commission has not changed the average burden hours estimates for any of the requirements used in the July 2010 FERC-919 renewal because none of the requirements have changed since 2010. In addition, no comments were submitted in the October 2013 Notice to challenge any of the burden estimates. The Commission's records show that the amount of filings per year has increased for all categories of filings since 2010. Fluctuations in the amounts of filings received may be attributed to an increase in the total number of entities with market-based rate authorization since three years ago. In addition, the Commission's records of filings have become easier to search and collect information on under the electronic filing system in effect since April 1, 2010 that was mentioned in Question #3. This electronic filing system has contributed to making the Commission estimates more accurate, which may account for some of the variation in estimates. The Commission estimates the total number of filings expected under the FERC-919 to continue to increase because more entities are seeking market-based rate authority each year over the previous year.

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Annual Cost to Federal Government: $2,918,610

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]? No

Is this ICR related to the Dodd-Frank Wall Street Reform and Consumer Protection Act, [Pub. L. 111-203]? No

Is this ICR related to the American Recovery and Reinvestment Act of 2009 (ARRA)? No

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: 01/09/2014

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