Privileged Version of Question 5

OMB No. 1902-0131
Expires MM/DD/YYYY

Filing Deadline: September 15, 2010

Federal Energy Regulatory Commission
2010 FERC Form 580 Interrogatory on Fuel and Energy Purchase Practices

Fuel Procurement Policies and Practices
Privileged Addendum
The Commission's regulations, in certain circumstances, provide for privileged treatment of certain information submitted, 18 C.F.R.
388.107, 388.112-13 (2010), but any such information ultimately may be subject to disclosure pursuant to the Freedom of
Information Act, 5 U.S.C. 552 (2006), and the Commission's implementing regulations, 18 C.F.R. Part 388 (2010).
Use this form to answer and file as privileged, FERC Form 580 question 5 on fuel procurement policies and practices. Questions 1
through 4 and 6 through 8 must be answered using the FERC Form 580 and filed as public.

Refer to the general guidance and directions provided in the 2010 FERC Form 580 Desk Reference. Terms highlighted in blue are
defined in the glossary. Your responses are due by September 15, 2010.

1a) Enter the exact legal name of the filing utility (as Company registered with the Commission).
Utility name:

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5.

Provide the information requested below regarding the Utility's fuel procurement policies and practices in place during 2008 and/or 2009 for fuels
whose costs were subject to 18 CFR 35.14.
a1. How often does Utility management review the fuel procurement process?

Select Value:

a2. When was the last review?
a3. Who conducted the last review?
(Last, First, MI) & (Title)
a4. What was covered in the last review?

b1. Does the Utility have a policy on fuel inventory levels?
b2. Does the policy state under what circumstance/s fuel inventory is increased or decreased?
Utility has no policy on fuel inventory levels.
b3. When was the fuel inventory policy last reviewed, and
who last approved it?
b4. Who made the working decisions to change
inventory levels? (Last, First, MI) & (Title)
c. Describe any use by the Utility of systematic procedures for periodic market investigations of fuel costs and availability, particularly prior to renewal or
renegotiation of contracts.

d. Describe any environmental constraints which influenced the Utility's fuel purchase practices.

e. What quality characteristics were routinely specified in the Utility's fuel contracts?
energy content
sulfur content
ash content
fuel

moisture content

other

Coal
Oil
Natural gas
Other

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2010 FERC Form 580

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%

0%

>0-25%

25-50%

50-75%

75-100%

coal
oil
f. What percentage of the Utility's fuel was
purchased from utility-controlled (i.e. affiliate)
sources?

natural gas
other

g1. How were potential fuel suppliers qualified?

g2. What criteria are used to rank bidders?

g3. How were credit and performance ratings of potential fuel suppliers checked?

g4. Do you automatically select the lowest bidder?

Y

N

If not, what criteria are used for selection and negotiation of the fuel contract?

g5. Describe the procurement procedures used on your most recent fuel procurement contract for both:
- the purchase from a non-affiliated company
- the purchase from an affiliated company
h. Do the Utility's purchase policy's practices differ for associated companies?

Y

N

If so, what generally, are the differences?

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2010 FERC Form 580