In accordance
with 5 CFR 1320, the information collection is approved for three
years.
Inventory as of this Action
Requested
Previously Approved
01/31/2020
36 Months From Approved
6
0
0
1,000
0
0
0
0
0
FERC is revising its regulations to
address incremental energy offer caps. FERC requires that each
regional transmission organization (RTO) & independent system
operator (ISO): (1) cap each resource’s incremental energy offer at
the higher of $1,000/MWh or that resource’s verified cost-based
incremental energy offer; & (2) cap verified cost-based
incremental energy offers at $2,000/MWh when calculating locational
marginal prices (LMP). Further, we clarify that the verification
process for cost-based incremental offers above $1,000/MWh should
ensure that a resource’s cost-based incremental energy offer
reasonably reflects that resource’s actual or expected costs. The
reforms adopted in this Final Rule advance two of FERC’s goals with
respect to price formation. First, the reforms will result in LMPs
that are more likely to reflect the true marginal cost of
production when resources’ short-run marginal costs exceed
$1,000/MWh. Second, the reforms will give resources the opportunity
to recover their short-run marginal costs, thereby encouraging
resources to participate in RTO/ISO energy markets. The reforms
approved in this Final Rule require one-time filings of tariffs
with the Commission and potential software upgrades to implement
the reforms approved in this Final Rule.
US Code:
16
USC 824f Name of Law: Federal Power Act
US Code: 16
USC 824e Name of Law: Federal Power Act
The existing tariff filings
(covered by FERC-516) related to the electric utility industry are
not affected by this Final Rule in RM16-5-000. FERC requires this
new information in order to perform its mandated oversight and
review responsibilities with respect to electric market-based rates
being just and reasonable. Without this information, the Commission
would be unable to meet its statutory responsibility under Section
206 of the FPA to ensure public utility rates and tariffs are just
and reasonable. Failing to meet this responsibility could result in
public utilities charging rates that are not just and
reasonable.
$392,099
No
No
No
No
No
Uncollected
Emma Nicholson 202 502-8846
emma.nicholson@ferc.gov
No
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:
(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;
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.