{
  "id": "RL32798",
  "type": "CRS Report",
  "typeId": "REPORTS",
  "number": "RL32798",
  "active": false,
  "source": "EveryCRSReport.com",
  "versions": [
    {
      "source": "EveryCRSReport.com",
      "id": 302252,
      "date": "2005-03-11",
      "retrieved": "2016-04-07T19:50:47.694029",
      "title": "Power Marketing Administrations: Proposals for Market-Based Rates",
      "summary": "The federal government operates four agencies created to market power generated at federally\nconstructed multi-purpose dams. The four power marketing administrations -- Bonneville Power\nAdministration (BPA), Southeastern Power Administration (SEPA), Southwestern Power\nAdministration (SWPA), and Western Area Power Administration (WAPA) -- sell power to publicly\nor cooperatively owned utilities at rates based on their costs. These costs are specified in legislation\nand include the government\u2019s cost of operating hydropower facilities, a portion of the\nconstruction\ncosts, and interest payments on unpaid debt. With costs so defined, interest rates generally below\nthe government\u2019s current cost of borrowing, and low hydropower production costs, PMAs\nsell power\nbelow prevailing wholesale market rates, an activity designed to encourage regional economic\ndevelopment. Proposals to restrict or end this federal activity have been made over the last 20 years,\nand the President\u2019s FY2006 budget proposal raises these issues for the 109th Congress. This\nbudget\nstates that the \u201cAdministration will propose legislation to bring PMA electricity rates closer\nto the\naverage market rates throughout the country.\u201d \n \n \u00a0\u00a0\u00a0\u00a0Increasing PMA prices to market rates would generate both costs\nand benefits. Supporters argue\nthat it would correct price signals, encourage conservation, and increase returns to the Treasury. \nHowever, this proposal would increase costs for consumers of PMA power and could have further\nramifications for jobs and tax revenues. The Pacific Northwest, which receives 40% of its power\nfrom BPA, would likely see the largest economic effects. \n \n \u00a0\u00a0\u00a0\u00a0This report provides background information on PMAs\u2019\nbudgets and rates, and briefly discusses\nthe President\u2019s proposal. It will be updated as events warrant.",
      "type": "CRS Report",
      "typeId": "REPORTS",
      "active": false,
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          "url": "http://www.crs.gov/Reports/pdf/RL32798",
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      ],
      "topics": []
    }
  ],
  "topics": [
    "Environmental Policy"
  ]
}