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, and other facilities, either by Western , (Western Replacement Power or WRP), or by individual customers (Customer Displacement Power or CDP). Western expects to acquire replace- ment power on behalf of SLCMP customers on a pass-through-cost basis on either a short-term (seasonal) basis Or! on a longer-term (one to three years or longer) basis, Based on the price of WRP, individual firm power customers can request Western make the purchase, Qr they can decline the offer. Customers may also procure their own replacemynt power (CDP) and Western may deliv'er that power, subject to available trans~is- sion capacity on Western's transmissibn system, One critical issue which arises is the importance to Western of obtaining a least-cost replacement power resource mix. Customers will decide either to' request WRP or to obtain their own ' replacement power (CDP), primarily' on the basis of the WRP' s cost competitive- ness. Energy Policy Act and FERp Orders 888 and 889 , Western historically has had art open access policy for its transmission sy~tem. Western is not a federally-regulated utility under the Federal Power Act, but it$ power and transmission rates are sl\bject to review by the Federal Energy Re~ula- tory Commission (FERC), and it is ~ubject to the open access provisions of th~ Energy Policy Act (EPAct) of 1991. Prior to enactment of the EPAct, FERC's authority to order an electric utility to provide transmission servi~e was extremely limited. The EP Act pro~ided authority to FERC to order transmi~sion service in the interest of maximizins efficient use of transmission and genera- tion, at rates that are compensatory. TIlis expands FERC's authority to other entities, including Western, and is causing profound changes to transmission access and pricing, as well as to the structure of the entire electric industry. The most recent result of the EP Act has been FERC Orders 888 and 889 (April 1996) concerning open transmission access on the nation's electrical grid. In response to these rules, utilities are proposing Indepen- dent System Operators (ISO) to operate the transmission grid, regional transmission groups, and developing open access sanle- time information systems (OASIS) to inform all potential transmission customers of the available capacity on their lines. Western plans to comply with the prin- ciples of both orders. Integrated Resource Planning The EPAct also requires Western's long-term firm power customers to do integrated resource planning (IRP), This comprehensive planning approach takes traditional resource planning (typically limited to matching loads and supply-side resources) and expands it to consider the overall effects a full range of alternatives would have on the total power system, including impacts to the environment, reliability, dispatchability, and fuel diversity. Demand-side management (energy conservation) is another part of the integrated approach to resource planning. In general, the principles of the IRP process used in making resource acquisi- tions are least -cost; consideration of all system impacts, risks, and environmental effects; and public participation. Western's Principles oflRP, pub- lished in June 1995* in response to the oil Final Principles of Integrated Resource Planning for Use in Acquisition and Transmis- sion Planning, (60 FR 30533.30535), Western Area Power Administration, dated June 9, 1995.