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Question 7 What is BPA's latest estimate of the annual costs of the Power Council's 



cuirent flow augmentation plan'' Again, please provide a breakdown for the 

 various components such as firm power, secondary power, etc. 



Answer The Council's original Water Budget of 3.45 MAF has been estimated to cost 



$40 million per year. Updated estimates would probably show a higher cost 

 since the region no longer has firm power surplus. On average the annual cost 

 of the Power Council's Columbia River Phase II flow augmentation plan is 

 estimated to be $20 million. In years when there is ample water supply, no 

 action is required and there would be no cost In the lowest runoff years net 

 costs could be as high as $90 million This year these operations cost about 

 $33 million This cost is comprised of either foregone non-firm sales, power 

 purchases, or a combination of the two 



BPA does not have a current breakdown of these costs into energy and 

 capacity components However, the Power Council's Phase II flow plan 

 for the Snake River was reviewed in the 1992 Columbia River Salmon 

 Flow Measures Options Analysis/EIS (OA/EIS) That study shows that 

 the impact on firm energy would cost $25 million and there would be a 

 gain in the production of non-firm of $3 to $7 million This gain in non- 

 firm results from shifting energy production from the winter into the spring 

 when there is generally more energy being produced than there is a demand 

 for firm load This comports with BPA's estimate of expected Snake flow 

 augmentation costs of about $16 million Capacity impacts were not 

 analyzed in the OA/EIS. 



Thus, the total annual average impacts for the original water budget, and 

 Phase II Columbia River flow augmentation and Snake River flow 

 augmentation is in the range of $75 to $80 million and up to $155 million 



