Tri-State Generation and Transmission Association, Inc. Intervenes in Basin Electric Power Cooperative Rate Cancellation Case

Strategic Insights -

Basin Electric Power Cooperative recently filed a notice to cancel rate schedules and wholesale power contracts (WPCs) with the Federal Energy Regulatory Commission (FERC). Tri-State Generation and Transmission Association, Inc., a wholesale generation and transmission cooperative, has intervened in the case, protesting the cancellation of the rate schedules and WPCs. Tri-State argues that the cancellation of the rate schedules and WPCs is inappropriate until it is determined that Basin Electric Power Cooperative is no longer a "public utility" subject to the Commission's jurisdiction under Part II of the Federal Power Act. The case has been ongoing, with multiple parties involved, including McKenzie Electric Cooperative, Inc., which filed a complaint challenging Basin's ability to accept Rural Utilities Service (RUS) financing and escape Commission jurisdiction.

Key Takeaways:

  • Tri-State Generation and Transmission Association, Inc. intervenes in Basin Electric Power Cooperative's rate cancellation case, protesting the cancellation of the rate schedules and wholesale power contracts (WPCs).
  • Tri-State argues that the cancellation of the rate schedules and WPCs is inappropriate until it is determined that Basin Electric Power Cooperative is no longer a "public utility" subject to the Commission's jurisdiction under Part II of the Federal Power Act.
  • The case involves multiple parties, including McKenzie Electric Cooperative, Inc., which filed a complaint challenging Basin's ability to accept Rural Utilities Service (RUS) financing and escape Commission jurisdiction.
  • The Federal Energy Regulatory Commission (FERC) has not acted on the complaint, and the matter remains pending.
  • Tri-State relies on the wholesale power contracts and rate schedules as part of its resource portfolio to serve its utility members, and the cancellation of these contracts would impact Tri-State's cost-of-service and associated rates for its utility members.
  • Basin Electric Power Cooperative claims that cancellations are necessary due to its change in jurisdictional status, but it has not demonstrated that its jurisdictional status has changed or that it has not assumed RUS debt.

Statistics:

  • The case has been ongoing since June 10, 2025, with multiple parties involved, including McKenzie Electric Cooperative, Inc., and Tri-State Generation and Transmission Association, Inc.
  • The Federal Energy Regulatory Commission (FERC) has not acted on the complaint, and the matter remains pending.
  • Basin Electric Power Cooperative has moved to dismiss the Commission's Rate Schedule A and WPC investigations.
  • The Commission has issued an initial decision finding that Basin Electric Power Cooperative is engaged in pervasive unjust and unreasonable, and unduly discriminatory and preferential treatment of customers.

Sources:

  • Basin Electric Power Cooperative, Notice of Cancellation of Open Access Transmission Tariff, Docket No. ER25-2861-000, at 1-3 (filed July 16, 2025).
  • McKenzie Electric Cooperative, Inc., Complaint, Request for Enforcement of the Federal Power Act, and Request for Emergency Stay, Shortened Answer Period, and Fast Track Processing, Docket No. EL25-92-000 (filed June 10, 2025).
  • Tri-State Generation and Transmission Association, Inc., Motion to Intervene and Comments, Docket No. EL25-92-000 (filed June 30, 2025).
  • 16 U.S.C. § 824 et seq.
  • 16 U.S.C. § 824c.