BPA is a self-financed Federal agency. This means that BPA does not receive appropriations or tax dollars for operations and maintenance. BPA pays its expenses from revenues it receives from the sale of power and transmission services to eligible customers.
BPA establishes rates to be charged for power and transmission services in a rate proceeding, a formal evidentiary hearing process. Prior to the development of BPA's rates in a rate proceeding, BPA determines its spending levels through a public process, the Integrated Program Review (IPR). BPA’s initial rate proposal is then prepared based on the outcome of the IPR. BPA's rates must be set so that BPA will be able to recover its total costs, including obligations to repay its debt to the Federal Treasury. BPA's initial rate proposal is then evaluated in a rate proceeding during which BPA staff presents its rate proposal to customers and other parties for review. At the conclusion of the rate proceeding, the Administrator issues a Final Record of Decision, which includes BPA's final proposed rates. BPA then files its rates proposal with the Federal Energy Regulatory Commission for confirmation and approval.
Separate Power rates and Transmission tariff
BPA develops and sets rates for power (the sale of power from Federal facilities) and for transmission (the transfer of power over BPA's high-voltage transmission lines throughout the Pacific Northwest) separately. BPA's Power Services pays BPA's Transmission Services transmission rates to use the agency's transmission lines just like any other market participant.
BPA Bulk Hub Purchase Notification for Service at Tier 2 Rates