Pacific Transmission Rates Extended Unchanged Until 2031
Published Date: 1/26/2026
Notice
Summary
The Western Area Power Administration is keeping the same formula rates for the Pacific Alternating Current Intertie transmission service in the Sierra Nevada region, just updating the dates. These rates start April 1, 2026, and will last until March 31, 2031, unless changed by the Federal Energy Regulatory Commission. This means customers using this transmission service can expect steady pricing with no surprises for the next five years.
Analyzed Economic Effects
5 provisions identified: 1 benefits, 1 costs, 2 mixed.
Existing PACI Formula Rates Continued
If you are a customer of Western Area Power Administration Sierra Nevada (WAPA-SN) using the PACI point-to-point transmission service, the existing formula rates remain unchanged except for updated dates. These Provisional Formula Rates are effective on the first full billing period on or after April 1, 2026, and will remain in effect through March 31, 2031, pending FERC approval.
Monthly Billing for Reserved Capacity
WAPA-SN will bill customers monthly for the maximum amount of capacity reserved for periods from 1 hour up to 1 month, and those charges are payable whether the reserved capacity is used or not. Billing for reserved capacity begins under the effective rate period starting on or after April 1, 2026.
Pass-Through of Charges and Credits
The PACI formula rate includes Components 2 and 3 to pass through any charges or credits from FERC-approved tariff, contract, or rate schedule changes and any charges or credits from the Host Balancing Authority directly to relevant customers. WAPA-SN will pass through such charges or credits directly when possible, or allocate them via Component 1 when direct pass-through is not possible.
Rates Designed to Recover Project Costs
WAPA-SN states the provisional cost-based formula rates will provide sufficient revenue to recover annual operation, maintenance, replacement expenses, interest expense, and capital repayment requirements, and that the equitable formula rates will aid and benefit the Central Valley Project by offsetting project power costs. These rate objectives apply during the April 1, 2026 through March 31, 2031 period.
Equitable Rates for Specific Surplus Routes
WAPA-SN confirms provisional equitable formula rates apply to surplus PACI point-to-point transmission service delivered between Malin and Round Mountain and/or Malin and Cottonwood Substation within the BANC balancing authority area, and to surplus service delivered from or received at PG&E's Default Load Aggregation Point within the CAISO BAA. Those equitable rates are effective April 1, 2026 through March 31, 2031.
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