
[Federal Register: February 11, 2009 (Volume 74, Number 27)]
[Notices]
[Page 6861-6863]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr11fe09-27]

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DEPARTMENT OF ENERGY

Federal Energy Regulatory Commission

[IC09-725-000]


Commission Information Collection Activities (FERC-725); Proposed
Collection; Comment Request; Extension

February 4, 2009.
AGENCY: Federal Energy Regulatory Commission.

ACTION: Notice.

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SUMMARY: In compliance with the requirements of section 3507 of the
Paperwork Reduction Act of 1995, 44 U.S.C. 3507, the Federal Energy
Regulatory Commission (Commission) is

[[Page 6862]]

soliciting public comment on the specific aspects of the information
collection described below.

DATES: Comments on the information collection are due by April 14,
2009.

ADDRESSES: An example of this collection of information may be obtained
from the Commission's Web site (at http://www.ferc.gov/docs-filing/
elibrary.asp). Comments may be filed either electronically or in paper
format, and should refer to Docket No. IC09-725-000. Documents must be
prepared in an acceptable filing format and in compliance with the
Federal Energy Regulatory Commission submission guidelines at http://
www.ferc.gov/help/submission-guide.asp.
    Comments may be filed electronically via the eFiling link on the
Commission's Web site at http://www.ferc.gov. First time users will
have to establish a user name and password (http://www.ferc.gov/docs-
filing/eregistration.asp) before eFiling. The Commission will send an
automatic acknowledgement to the sender's e-mail address upon receipt
of comments through eFiling.
    Commenters filing electronically should not make a paper filing.
Commenters that are not able to file electronically must send an
original and 14 copies of their comments to: Federal Energy Regulatory
Commission, Secretary of the Commission, 888 First Street, NE.,
Washington, DC 20426.
    Users interested in receiving automatic notification of activity in
this docket may do so through eSubscription (at http://www.ferc.gov/
docs-filing/esubscription.asp). In addition, all comments and FERC
issuances may be viewed, printed, or downloaded remotely through FERC's
Web site using the ``eLibrary'' link and searching on Docket Number
IC09-725. For user assistance, contact FERC Online Support (e-mail at
ferconlinesupport@ferc.gov, or call toll-free at (866) 208-3676, or for
TTY, contact (202) 502-8659).

FOR FURTHER INFORMATION CONTACT: Michael Miller, Federal Energy
Regulatory Commission, 888 First St., NE., Washington, DC 20426. He may
be reached by telephone at (202) 502-8415, by fax at (202) 273-0873,
and by e-mail at michael.miller@ferc.gov.

SUPPLEMENTARY INFORMATION: The information collected under the
requirements of FERC-725 (``Certification of Electric Reliability
Organization; Procedures for Electric Reliability Standards'' (OMB
Control No. 1902-0225)) is used by the Commission to implement the
statutory provisions of Title XII, subtitle A of the Energy Policy Act
of 2005 (EPAct 2005).\1\
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    \1\ Energy Policy Act of 2005, Pub. L. No. 109-58, 119 Stat. 594
(2005) (codified at 42 U.S.C. 16451, et seq.)
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    The Electricity Modernization Act of 2005 was enacted into law as
part of the Energy Policy Act of 2005 on August 8, 2005. Subtitle A of
the Electricity Modernization Act amended the Federal Power Act (FPA)
by adding a new section 215, titled ``Electric Reliability.'' Section
215 of the FPA buttresses the Commission's efforts to strengthen the
reliability of the interstate grid through the granting of new
authority to provide for a system of mandatory Reliability Standards
developed by the Electric Reliability Organization (ERO) \2\ and
reviewed and approved by FERC.
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    \2\ ``Electric Reliability Organization'' or ``ERO'' means the
organization certified by the Commission the purpose of which is to
establish and enforce Reliability Standards for the Bulk-Power
System, subject to Commission review.
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    On February 3, 2006, the Commission issued Order No.672 \3\
certifying a single Electric Reliability Organization, the ERO, to
oversee the reliability of the United States' portion of the
interconnected North American Bulk-Power System, subject to Commission
oversight. The ERO is responsible for developing and enforcing the
mandatory Reliability Standards. The Reliability Standards apply to all
users, owners and operators of the Bulk-Power System. The Commission
has the authority to approve all ERO actions, to order the ERO to carry
out its responsibilities under these statutory provisions, and to also
as appropriate independently enforce Reliability Standards.
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    \3\ Rules Concerning Certification of the Electric Reliability
Organization; and Procedures for the Establishment, Approval, and
Enforcement of Electric Reliability Standards ] 31,204 71 FR 8662
(2006) Order on reh'g, 71 FR 19,814 (2006), FERC Statutes and
Regulations ] 31,212 (2006).
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    Once certified, the ERO must submit each proposed Reliability
Standard to the Commission for approval. Only a Reliability Standard
approved by the Commission is enforceable under section 215 of the FPA.
    The ERO may delegate its enforcement responsibilities to a Regional
Entity. Delegation is effective only after the Commission approves the
delegation agreement. A Regional Entity may also propose a Reliability
Standard to the ERO for submission to the Commission for approval. This
Reliability Standard may be either for application to the entire
interconnected Bulk-Power System or for application only within its own
region.
    The ERO or a Regional Entity must monitor compliance with the
Reliability Standards. It will direct a user, owner or operator of the
Bulk-Power System that violates a Reliability Standard to comply with
the Reliability Standard. The ERO or Regional Entity may impose a
penalty on a user, owner or operator for violating a Reliability
Standard, subject to review by, and appeal to, the Commission.
    Subtitle A of the Electricity Modernization Act of 2005 also
includes two reliability-related provisions that are not part of the
section 215 of the FPA. First section 1211(b) of the Act provides that
the ERO certified by the Commission as well as Regional Entities are
not departments, agencies or instrumentalities of the United States
Government. Section 1211 (c) provides that federal agencies responsible
for approving access to electric transmission or distribution
facilities located on lands within the United States will, in
accordance with applicable law, expedite any federal agency approvals
that are necessary to allow the owners or operators of these facilities
to comply with a FERC-approved Reliability Standard that pertains to
vegetation management, electric service restoration, or resolution of
situations that imminently endanger the reliability or safety of the
facilities.
    Order No. 672 set forth the criteria that an ERO applicant must
satisfy to qualify as the ERO, including the ability to develop and
enforce Reliability Standards.\4\ The ERO submission must include an
evaluation of the effectiveness of each Regional Entity. The Commission
will, as part of its assessment of the ERO's performance, assess the
performance of each Regional Entity and issue an order addressing
Regional Entity compliance. If a Regional Entity fails to comply
adequately with the Commission order, the Commission may institute a
proceeding to enforce its order, including, if necessary and
appropriate, a proceeding to consider rescission of the Commission's
approval of the Regional Entity's delegation agreement.
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    \4\ The criteria stated in the Final Rule track the statutory
criteria for ERO certification provided in section 215(c) of the
FPA.
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    The Electricity Modernization Act of 2005 buttresses the
Commission's efforts to strengthen the interstate transmission grid
through the granting of authority pursuant to section 215 of the FPA
which provides for a system of mandatory reliability rules developed by
the ERO, established by the Commission, and enforced by the Commission,
subject to Commission review.
    A submission of the information is necessary for the Commission to
carry

[[Page 6863]]

out its responsibilities under EPAct 2005.\5\ The Commission implements
its responsibilities through the Code of Federal Regulations, 18 CFR
Part 39. These filing requirements are mandatory.
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    \5\ 42 U.S.C. 16451 et seq.
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    Action: The Commission is requesting a three-year extension of the
current expiration date without any changes to the reporting
requirements.
    Burden Statement: The annual public reporting burden and cost for
this collection are estimated as follows:
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    \6\ The burden and cost estimates do not include the cost of
applying to become the ERO because that application process and the
resulting FERC selection have been completed.
    \7\ Per Order 672, the ERO will undergo a performance assessment
three years after certification (July 2009) and every five years
thereafter. Therefore, the total figures for FTE (10), burden hrs.
(9,800), and cost ($1,050,000) associated with doing the self-
assessment have been divided by 3 to provide average annual figures
for this notice.
    The methodology for estimating the totals for the 3-year self
assessment follows. Staff estimates that the self assessment will
take 6 months to complete. In order for NERC to complete the work in
half the time, we assume that NERC must hire double the workforce,
so 10 contractors are used in the present calculation. The
$1,050,000 was taken directly from NERC's 2009 Business Plan and
Budget.
    \8\ NERC Employee Cost Estimate: NERC Employee Compensation
Average is $140,442 (from 2009 Budget salary average). For 1.5
Employees, the Annualized Salary Expense is $210,663.
    \9\ Regional Entity (RE) Employee Cost Estimate: RE Employee
Compensation Average of $115,520 (from 2009 Budget salary average).
For 4.5 Employees, the Annualized Salary Expense is $519,840.

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                                                                                        Est. annual
          FERC-725 \6\                                                         FTE         burden    Est. annual
                                                                                           (hrs.)      cost ($)
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Annual NERC Costs...............  3 Year Self          Contractor........     3.33 \7\     3,266.67  350,000 \7\
                                   Assessment (Due 7/                                           \7\
                                   09) \7\.
                                  Reliability          Internal..........          1.5        2,940      210,663
                                   Reporting Estimate
                                   \8\.
                                  Estimate...........  Software..........            0            0       75,000
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    Total Annual NERC Costs..............................................         4.83     6,206.67      635,663
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Annual RE Costs \9\.............  Reliability          Internal..........          4.5        8,820      519,840
                                   Reporting Estimate.
                                  Estimate...........  Software..........            0            0      225,000
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    Total Annual RE Costs................................................          4.5        8,820      744,840
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    Total Annual Burden & Cost Estimate..................................         9.33    15,026.67   $1,380,503
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    The estimated annual total cost to respondents is $1,380,503
\7,8,9\ (including direct labor, overhead costs to prepare the
application, and consultation to obtain specialized advice in
responding to and implementing the certification application).
    The reporting burden includes the total time, effort, or financial
resources expended to generate, maintain, retain, disclose, or provide
the information including: (1) Reviewing instructions; (2) developing,
acquiring, installing, and utilizing technology and systems for the
purposes of collecting, validating, verifying, processing, maintaining,
disclosing and providing information; (3) training personnel to respond
to an information collection; (4) searching data sources; (5) preparing
and reviewing the information collection; and (6) transmitting or
otherwise disclosing the information.
    The estimate of cost for respondents is based upon salaries for
professional and clerical support, as well as direct and indirect or
overhead costs. Direct costs include all costs directly attributable to
providing this information, such as administrative costs and the cost
for information technology. Indirect or overhead costs are costs
incurred by an organization in support of its mission. These costs
apply to activities which benefit the whole organization rather than
any one particular function or activity.
    Comments are invited on: (1) Whether the proposed collection of
information is necessary for the proper performance of the functions of
the Commission, including whether the information will have practical
utility; (2) the accuracy of the agency's estimate of the burden of the
proposed collection of information, including the validity of the
methodology and assumptions used; (3) ways to enhance the quality,
utility and clarity of the information to be collected; and (4) ways to
minimize the burden of the collection of information on those who are
to respond, including the use of appropriate automated, electronic,
mechanical, or other technological collection techniques or other forms
of information technology.

Kimberly D. Bose,
Secretary.
 [FR Doc. E9-2868 Filed 2-10-09; 8:45 am]

BILLING CODE 6717-01-P
