186 



Committee on ^ 



Natural &«(oaruK 2 



OUuffitngton. BC 20515-6201 Z 



May 25, 1993 



Adainistrator Randy Hardy 

 Bonneville Power Administration 

 P.O. Box 3621 

 Portland, OR 97208 



Dear Adainist^»«:6r Hardy: 



As a follow-up to the Bonneville Power Administration Task 

 Force's April 29 hearing, I would like you to answer the 

 following questions. 



1.) During the hearing, we discussed the reasons you chose not 

 to call for voluntary curtailment earlier this year. You stated 

 that a contractual agreement between BPA and its customers would 

 require BPA to reimburse its customers for any revenues lost 

 during a period of voluntary curtailment. Please provide the 

 Task Force with copies of the contract provisions requiring such 

 reimbursement and the statutory basis for those provisions. In 

 particular, I would like to know how such a contractual agreement 

 is consistent with the Northwest Power Act's mandate to promote 

 conservation and the efficient use of energy. 



2.) In your answer to my %nritten questions, you estimated that 

 the irrigation discount will cost BPA $27 million in lost 

 revenues in FY 1994 and FY 1995. Does the BPA's estimate of the 

 costs of the irrigation discount Include the cost of lost power 

 generation due to water withdrawals? If not, would you estimate 

 for me the cost attributable to lost power generation due to 

 water wltbdravals? 



3.) Setting aside the Issues in the pending rate case and 

 whatever decisions you must make in the case, does BPA have any 

 plans for a process to review or develop wholesale tiered rates? 

 Is the BPA willing to consider an interim rate case limited to a 

 ■ultl-level rate proposal? 



