Bonneville Power Administration's wholesale power and transmission rates for the FY 2020-2021 rate period were established in the BP-20 Rate Case. The rate proceeding, conducted through a formal process described in Section 7(i) of the Northwest Power Act, concluded when the Administrator signed the Final Record of Decision on July 25, 2019.

 

The Federal Energy Regulatory Commission granted final approval of the Power and Transmission Rate Schedules and General Rate Schedule Provisions on April 17, 2020.   These rates went into effect October 1, 2019.

 

In June, 2020, Bonneville initiated an expedited section 7(i) rate proceeding, BP-20E, to propose the suspension of the Power and Transmission Financial Reserves Policy (FRP) Surcharges for the remainder of the FY 2020-2021 rate period. On June 29, 2020, BPA released the Administrator's Final Record of Decision, June 2020, BP-20E-A-01, which adopted the suspension of the FRP Surcharge.  On July 23, 2020, the Federal Energy Regulatory Commission (FERC) issued interim approval of BPA’s rate proposal that provides for the suspension of the Financial Reserves Policy (FRP) Surcharges.  Per BPA’s request, FERC granted the approval effective July 1, 2020.  Bonneville issued revised 2020 Power Rate Schedules and General Rate Schedule Provisions (Rev. Eff. 7-1-2020) and the 2020 Transmission, Ancillary, and Control Area Service Rate Schedules and General Rate Schedule Provisions (Rev. Eff. 7 1-2020) which are in effect July 1, 2020 through September 30, 2021.

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 for review by parties. At the conclusion of the rate proceeding, the Administrator issues a Final Record of Decision, which includes BPA's final rates. BPA then files its final rates with the Federal Energy Regulatory Commission for confirmation and approval .