BPA Makes Payment to U.S. Treasury
BPA’s principal source of capital financing is $7.7 billion in borrowing authority, basically a line of credit, with the U.S. Treasury. BPA’s capital programs build and support Northwest transmission, clean energy and fish and wildlife infrastructure. Specifically, BPA uses Treasury borrowing authority to finance high-voltage transmission, federal hydropower system upgrades, energy efficiency investments, and fish and wildlife projects.
BPA is a self-financed agency that covers its costs with revenues from Northwest ratepayers and others who purchase its wholesale power and transmission products and services. BPA receives no annual appropriations from the U.S. Congress and repays borrowing from taxpayers with interest. As part of its fiscal management, BPA has focused on maintaining appropriate reserves to ensure its ability to make its Treasury payments even during economic downturns and low water conditions.
The Bonneville Power Administration, headquartered in Portland, Ore., is a not-for-profit federal electric utility that operates a high-voltage transmission grid comprising more than 15,000 miles of lines and associated substations in Washington, Oregon, Idaho and Montana. It also markets more than a third of the electricity consumed in the Pacific Northwest. The power is produced at 31 federal dams operated by the Army Corps of Engineers and Bureau of Reclamation and one nuclear plant in the Northwest and is sold to more than 140 Northwest utilities. BPA purchases power from seven wind projects and has more than 3,000 megawatts of wind interconnected to its transmission system.