ML19337B585
| ML19337B585 | |
| Person / Time | |
|---|---|
| Site: | Shoreham File:Long Island Lighting Company icon.png |
| Issue date: | 09/30/1980 |
| From: | Novarro J LONG ISLAND LIGHTING CO. |
| To: | Harold Denton Office of Nuclear Reactor Regulation |
| References | |
| SNRC-509, NUDOCS 8010070336 | |
| Download: ML19337B585 (130) | |
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LONG ISLAND LIGHTING COM PANY j
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SHOREHAM NUCLEAR POWER STATION 1
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. P.O. BOX S18. NORTH COUNTRY ROAD e WADING RIVER. N.Y.11792 l
September 30, 1980 SNRC-509 l Mr. Harold R. Denton, Director Office of Nuclear Reactor Regulation Light Water Reactors, Branch 4 U. S. Nuclear Regulatory Commission Washington, D. C. 20555 ANTITRUST INFORMATION UPDATE SHOREHAM NUCLEAR POWER STATION - UNIT 1 DOCKET NO. 50-322
References:
- 1) NRC letter from J. Salt,zman to A. W. Wofford, dated June 16, 1980.
- 2) LILCO letter SNRC-73 from A. W. Wofford to B. C. Rusche, dated January 12, 1976.
Dear Mr. Denton:
In response to Reference 1, and in accordance with AEC Regulatory Guide 9.3, 1974, forwarded herein are five (5) copies of a document entitled "Information for Antitrust Review of Operating License Application", September 30, 1980.
This document updates and supersedes our filing, dated December 31, 197 5, previously submitted via Reference 2.
If we can be of further assistance in the above matter, please do not hesitate to contact this office.
Very tr ly yours,
,) CWo%D
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l .J . P. Novarro,
' Project Manager Shoreham Nuclear Power Station LG/cc Enclosures \ l cc: J. Higgins l
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i LONG ISLAND LIGHTING COMPANY SHOREHAM NUCLEAR POWER STATION - UNIT 1 INFORMATION FOR ANTITRUST REVIEW OF OPERATING LICENSE APPLICATION
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'.. September 30, 1980 6
Information for antitrust review of operating license application in accordance with Regulatory Guide 9.3, paragraph B is presented below.
REQUEST B.1-a Anticipated excess or shortage in generating capacity resources not expected at the construction permit stage. Reasons for the excess or shortage along with data on how the excess will be allocated, distributed or otherwise utilized or how the shortage will be obtained.
RESPONSE B.1-a LILCO's current load and capacity schedule is included as Attachment A. This attachment is a copy of Exhibit 11 of the Long Range Electric Plan submitted to the New York State Energy Office on April 1, 1980 by the member systems of the New York Power Pool. You will note that the exhibit has been modified to reflect the latest LILCO revision to the Shoreham commercial operation date to November 1982.
Excess reserves are given in both MW and percent at the bottom of each Table corresponding to aoth the summer and winter peaks.
There are no firm contracts for sale of this excess capability at this time.
Changes in the reserve capabilities from that submitted in January 1976 are due to the following:
- 1. Change in load forecast.
- 2. Slippage in the Shoreham plant service date.
- 3. Derating of existing units to reflect the latest demonstrated capability tests.
Note that the attached Tables include a 400 MW coal plant addition in 1989. This is based on a certificate of environmental capability and public need for an 800 MW coal fired electric cenerating facility
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on Long Island, granted on September 8, 1980 to LILCO and New York State Electric and Gas Corporation (NYSEG) by the New York State Board on Electric Generation Siting and the Environment. This recommendation was in exception to LILCO and NYSEG's favored plan to build two 1150 MW nuclear units at Jamesport to be shared equally by both companies.
L REQUEST B.1-b New power pools or coordinating groups or changes in structure, activities, policies, practices, or membership of power pools or coordinating groups in which licensee was, is, or will be a participant.
RESPONSE B.1-b There are no changes from previously listed power pools or co-ordinating groups, etc. with the exception of the following:
The New York Power Pool (in which LILCO is and has been a member)
Generating Reserve Policy previously set at 14% of peak load was changed to 18% effective as of the summer of 1975 and thereafter.
As a member of the NYPP, LILCO is now obligated to maintain a capability 18% greater than the yearly peak load.
REQUEST B.1-c Changes in transmission with respect to (1) the nuclear plant, (2) interconnections, or (3) connections to wholesale customers.
RESPONSE B.1-c There are no substantial changes in transmission occasioned by the nuclear plant since the PSAR.
In 1978, the interconnections to the LILCO system were increased by the addition of:
- 1. 345kV cable to con Ed (Dunwoodie - Shore Road)
- 2. 138kV cable to Con Ed (Jamaica - Lake Success)
- 3. 138kV cable to con Ed (Jamaica - Valley Stream)
In 1980, a permanent 13kV interconnection was completed between LILCO and the Village of Greenport.
REQUEST B.1-d Changes in the ownership or contractual allocation of the output of the nuclear facility. Reasons and basis for such changes should be included.
RESPONSE B.1-d At the present dare there are no changes in ownership or contractual allocation of the output of the Shoreham Nuclear Power Station. On February 2, 1976, a memorandum of understanding was signed by LILCO and the New York State Electric and Gas Corporation (NYSEG) providing NYSE&G's participation in 50% of the Jamesport units.
REQUEST B.1-e Changes in design provisions, or conditions of rate schedules and reasons for such change. Rate increases or decreases are not necessary.
RESPONSE B.1-e There have been various changes and revisions to LILCO's contracts and rate schedules to receive and deliver power between the Company and other electric power systems. The current status of all such agreements are provided in Attachment B.
REQUEST B.1-f List of all (1) new wholesale customers, (2) transfers from one rate schedule to another, including copies of schedules not previously furnished, (3) changes in licensee's service area, and (1) licensee's acquisitions or mergers.
RESPCNSE B.1-f Although an interconnection between LILCO and the Village of ,
Greenport was completed, they are not a firm wholesale customer j of LILCO's. Through signed agreements, they are a full require-ments customer of the Power Authority of the State of New York and LILCO wheels power for them. There are no other changes from that which was previously submitted on April 14, 1971 in Amendment 12 to the License Application.
REQUEST B.1-g List of those generating capacity additions committed for operation after the nuclear facility, including ownership rights or power output allocations. I RESPONBE B.1-g
- 1. LILCO has acquired from the Niagra Mohawk Power Corporation 18% ownership (194 MW) of the Nine Mile Point No. 2 Nuclear Unit scheduled for service in November 1986.
- 2. Based upon a certificate issued by the New York State Board on Electric Generation Siting and the Environment on September 8, 1980, LILCO's present generation expansion schedule shows an equal (50%) share of ownership in an 800 MW coal plant to be built at Jamesport for service in 1989.
The other 50% share will be owned by New York State Electric
- and Gas Corporation.
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l REQUEST B.1-F Summary of requests or indications of interest by other electric power wholesale or retail distributions, and licensee's response, for any type of electric service or cooperative venture or study.
RESPONSE B.1-h In 1979, LILCO and the Power Authcrity of the State of New York (PASNY) signed a transmission agreenont for wheeling electric power and energy to three Long Island municipals. PASNY provides full power requirements for the Village cf Greenport; and provides l partial requirements for the Villages of Freeport and Rockville Centre. A copy of this wheeling agreement is included in Attachment C.
REQUEST B.2 Licensees whose conr.truction permits include conditions pertaining to antitrust aspects should list and discuss those actions or l
policies which have been implemented in accordance with such conditions. I l RESPONSE B.2 There are no conditions pertaining to antitrust aspects.
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TABl.E 1 LONG ISLAND LIGitTING COMPANY SUM!tER ATTACIMENT A MAXIMUM INSTALLED MEGAWATTS NET CAP. 1980 1981 1982 1983 1984 1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 011 Fired 2672 2672 2672 2672 2292 2292 2292 2292 2292 2292 2292 2292 2292 2292 2244 2244 Coal Fired 0 0 0 0 370 370 370 370 370 770 770 770 770 770 770 770 Other 32 32 32 32 32 32 32 32 32 32 32 32 32 32 32 32
-Com.Turbs. 1037 1037 1037 1037 1037 1037 1037 1037 1037 1037 1037 1037 1037 1037 1037 1037
' Diesels 12 12 12 12 12 12 12 12 12 12 12 12 12 12 12 12 Nuclear 0 0 0 820 820 820 820 1014 1014 1014 1014 1014 1D14 1014 1014 liyd ro (Con. ) 1014 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 liydro (PSil) 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0
. TOTAL INST. 3753 3753 3753 4573 4563 4563 4563 4757 4757 5157 5157 5157 5157 5157 5109 5109 Net Trans.* 60 55 49 35 27 19 9 0 0 0 0 0 0 0 0 0 TOTAL CAP. 3813 3808 3802 4608 4590 4582 4572 4737 4757 5157 5157 , 5157 5157 5157 5109 5109 Summer Peak 2965 3005 3050 3100 3155 *1225 3310 3405 3480 3585 3675 3755 3825 3885 3940 3990 Req. Cap. 3499 3546 3599 3658 3723 3805 3906 4018 4106 4230 4336 4431 4513 4584 4649 4708 I Exc./Def. 314 262 203 950 867 777 666 739 651 927 821 726 644 573 460 401 !
Exc./Def.1 9.0 7.4 5.6 26.0 23.3 20.4 17.1 18.4 15.9 21.9 18.9 16.4 14.3 12.5 9.9 6'. 5 i
O In accordance with New York Power Pool Agreement Section 1.04: ~ ' - -
Assumes continuation of existing PASNY contracts.
For planning purposes only.
MOTli: The generation mix of coal and oil capacity reflects the conversion of certain existing oil units from oil to coal. Changes in the generation mix are reficcted in the capability period following the completion of the conversion.
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TABLE 2 '
LONG ISLAND LIGHTING COMPAhY WINTER ATTACIMENT A MAXIMUM INSTALLED MEGAWATTS NET CAP. 1980 1981 1982 1983 1984 1985 1986 198'i 1988 1989 1990 1991 1992 1993 1994 1995 011 Fired 2672 2672 2672 2672 2292 2292 2292 2292 2292 2292 2292 2292 2292 2244 2244 2196 Coat Fired 0 0 0 0 370 370 370 370 370 770 770 770 770 770 770 770 Other 32 32 32 32 32 32 32 32 32 32 32 32 32 32 32 32-Com.Turbs. 1313 1313 1313 1313 1313 1313 1313 1313 1313 1313 1313 1313 1313 1313 1313 1313 Diesels 12 12 12 12 12 12 12 12 12 12 12 12 12 12 12 12 ,
Nuclear 0 0 820 820 d20 820 1016 1016 1016 1016 1016 1016 1016 1016 1016 1016 i llyd ro (Con. ) 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 '
liyd ro(PSil) 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 ;
~ TOTAL INST. 4029 4029 4849 4849 4839 4839 5035 5035 5035 5435 5435 5435 5435 5387 5387 5339 i Net Trans.* 23 21 15 12 8 4 0 0 0 0 0 0 0 0 0 0 3 TOTAL CAP. 4052 4050 4864 461 4847
- 4843 5035 5035 5035 5435 5435 5435 5435 5387 5387 5339 Winter Peak 2410 2450 '5LO 2550 2600 2650 2740 2640 2940 3030 3140 3250 3370 3490 3610 3740 !
Req. Cap. 3499 3546 3599 3658 3723 3805 3906 4018 4106 4230 4336 4431 4513 4584 4649- 4708 j Exc./Def. 553 504 1265 1203 1124 1038 1129 1017 929 1205 1099 1004 922 803 738 631 l Exc./Def.% 15.8 14.2 35.1 32.9 30.2 27.3 28.9 25.3 22.6 28.5 25.3 22.7 20.4 17.5- 15.9 13.4
- In accordance with New York Power Pool Agreement Section 1.04: ,
Assumes continuation of existing PASNY contracts.
l For planning purposes only. 1 NOTE: The generation mix of coal and oil capacity reflects the conversion of certain existing oil units from oil to coal. Changes in the generation mix are reflected in the capability period following the completion of the conversion.
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LILCO's Filed Power Contracts FERC Certificate Rate or Rate of Other Concurrence Schedule Concurrence Emercency Power Coordinating Other Parties Filed by Number Date Deliver Receive Arranaements Mcw York Power Pool (3) LILCO 21 7/11/77 X X X(1)
Village of Freeport LILCO 15 9/10/79 X X X(2)
Supp. 9, 10
& 11 ,
Village of Rockville LILCO 29 7/13/79 X X Centre Supp. 21 &
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(1) Deliver and receive supplemental and economy power. ,
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(2) Deliver and receive on and off peak firm power. Deliver off-peak power in excess of firm power purchased by Freeport. g a
(3) Other participating members are: Central liudson Gas and Electric Corporation m Consolidated Edison Company of New York, Inc.
New York State Electric and Gas Corporation Niagara Mohawk Power Corporation Orange and Rockland Utilities, Inc. , m Power Authority of the State of New York $8 Rochester Gas and Electric Corporation H
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LILCO's Other Power Contracts Contract or Agreement Type of Other Parties Date Contract Reference Power Tiuthority of 8/25/75 Firm Capacity Attachment B-1 the State of New York and Energy The Connecticut Light 6/1/75 Monthly Capacity Attachment B-2 and Power Company and Energy Exchange The liartford Electric . ,
Light Company The Connecticut. Light 6/9/75 Monthly Capacity Attachment B-3 and Power Company and Energy Exchange The !!artford Electric Light Company Wesi.crn Massachusetts Electric Company The Connecticut Light 7/1/76 Weekly Capacity and Attachment B-4 and Power Company Energy Exchange The llartford Electric ,
Light Company Orange and Rockland 4/27/76 Capacity and Energy Attachment B-5 Utilities, Inc. Exchange 4
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CONTRACT UD3 FOR THE SALE, TRANSMISSION AND DISTRIBUTION OF POWER
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- . i LONG ISLAND LIGHTING COMPANY ,
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Application for Electric Service
', Service Tarif No. 2-Unsupported Firm Power Service ,-
Agreessent to Parchase Sopporting l
1 Emersy and Sell Reserve Energy - !
l t? Rales and Regulations for Power Service 'h -
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Trustees JAMES d. FtrzrArnicx, Chairman n-Lj Groacs L INGAE5, Vice Chairman T
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.j Scorr B. Lray, General Counsel 'I 1
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- Wsr. nun L GnoNaznc, Assistant GenerelManager-Engineering ?
u JonN W. Boston, Director of Power Operations
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THOMAS F. McCAANN, Jn., Controller t!
8* JOHN C. Bnurr., Secretary a
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CONTESTS l
l APPLICATION FOR ELECTRIC SERVICE l
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UNSUPPORTED FIRSI POWFP . . . . . . . . . . . . . . . . . . . . 1 I
RESID UAL FITZPATRIC" 4 NERGY . . . . . . . . . . . . . . . ;
"_ GENERAL PROVISION S . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 ,
SPECIAL PROVISIONS '
A. Initiation of Service . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 ,
B. Summer and Winter Service . . . . . . . . . . . . . . . . . . . . 2
.- C. Extent of Service to be Supplied . . . . . . . . . . . . . . . . . 3 ii D. Apportin . ment of Residual Energy . . . . . . . . . . . . . . 4 '
, E. Am.iting by Schedules . . . . . . . . . . . . . . . . . . . . . . . 4 -
y ,. F. Transmission Charges . . . . . . . . . . . . . . . . . . . . . . . . . . 4 l + G. Energy Sales Prior to Unsupported Firm Power Serv-ice .........................................
H. Billing Credits for Interruptions er Reductions in 4-4 S e rvi c e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 b RELATED AGREE 51ENTS -
! L Supporting Energy and Reserve Energy . . . . . . . . . . . 5'- l J. Transmission Service by Customer . . . . . . . . . . . . . . . .
] 5 hg g K. Termination of Contract for Nonpayment of Bills ... 5
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i SERVICE TARIFF NO. 2 UNSUPPORTED FIR 31 POWER SERVICE -
-' I' APPLICABLE, RATE AND POWER FACTOR . . . . . . . 8
?? i CONTINUANCE AND TER311 NATION OF SERVICE 9 1
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' ' CONTRACT DE5f AN D . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9 8'*
- ~' SPECIAL PROVISIONS A. Installment s . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11
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7 B. R esal e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11 i
A C. Adjustments to Demand and Energy Charges ...... 11
- D. Transmission Losses . . . . . . . . . . . . . . . . . . . . . . . . . . . 11 r,. E. Extent of Service to be Supplied . . . . . . . . . . . . . . . . . 12
, F. Alternate Deliveries . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12
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'- > AGREEATENT TO PURCHASE SUPPORTING
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.', ENERGY FROh! AND SELL RESERVE ENERGY m.-
L PURCHASE OF SUPPORTING ENERGY ....... 13
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IL S ALE OF RESERVE POWER . . . . . . . . . . . . . . . . . . 14 j IIL DELIVERY. h!ETERING, POWER FA~rOR AND -
% ACCO UN TING . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15 N
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IV. TERM OF AGREEMENT . . . . . . . . . . . . . . . . . . . . . . . 16 V. SUPPLEMENTARY PROVISIONS . . . . . . . . . . . . . . 16 l
i RULES AND REGULATIONS FOR POWER SERVICE ,
A. D efi n ition s . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .19 B. Application for Authority Power . . . . . . . . . . . . . . . . . . . . . 21 -
i C. Limitations and Conditions of Service . . . . . . . . . . . . . . . . .22
' D. Metering and Determination of Service Provided . . . . . . . . 24 E. Cooperation of Contracting Parties . . . . . . . . . . . . . . . . . . . l 25 F. Billings and Payments . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 26 Sr 'i - .
G. Cancellation for Violation b 27 H. Waivers . . . . . . . . . . . .....................
. . . .y Customer . . . . . . . . . . . . . . . .
I. N ot ic e s . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 27 .......
..... 28 I J. Transfer of Interest in Contract by Customer . . . . . . . . . . . 28 I i
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10 COLUMBUS CIRCLE, NEW YORK NEW YORK 10019 APPLICATION FOR ELECTRIC SERVICE I. I sy LONG ISLAND LIGHTING COMPANY THE UNDERSIGNED (hereinafter called " Customer")
hereby applies to POWER AUTHORITY OF THE STATE OF NEW YORK (hereinafter called " Authority") for electric service under Authority's Service Tariff No. 2 for Unsupported Utility Power Service at the points of delivery and voltage. specified below: )
I 3 At 345,000 Volts at the point of connection of Authority's g transmission line to NIACAaA MoHAwx Powra CoaronArrow's (Niagara Mohawk's) Edic Substation, and at such other points and such cther voltages as may be agreed upon.
E Unsurroatso Finu Powsa Q g The amounts of unsupported firm power which Customer re- /
g quests and which Authority agrees to supply, inclusive of transmis- '
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\ / sion losses from the FitzPatrick switchyard to the point or points of -
delivery, are as follows:
\
- 38,000 Kw from initiation of service to 1975 summer capability period
) t 89,000 Kw during 1975 summer capability period
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i 3 34,000 Kw during 1975-1976 winter capability period ...
65,000 Kw during 1976 summer capability period [
{ g 26,000 Kw during 1976-1977 winter capability period s
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( E 61,000 Kw during 1977 summer capability period 26,000 Kw during 1977-1978 winter capability period 57,000 Kw during 1978 summer capability period 3
, 24,000 Kw during 1978-1979 winter capability period l
9 g These amounts or any modifications of them made pursuant m hereto or pursuant to Service Tariff No. 2 shall be the " contract
., demands" for such periods. The contract demands for the 1979
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summer capability period and thereafter shall be determined as provided in Service Tariff No. 2.
RzsrouAr. FrTzPATRICK Euracy
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Customer requests and Authority will supply to Customer residual FitzPatrick energy as defined in the Rules and Regulations for Power Service attached hereto in amounts that, first, will rectify disproportionate deliveries of unsupported firm energy occaioned
- - by disproportionate incidence of interruptions and reductions of
- service as between winter and summer capability periods, and, rec-ondly, will apportion the remainder among customers providing
- Fit: Patrick supporting energy to Authority in accordance with the respective percentages of Authority's requirements for FitzPatrick '
supporting energy which they have undertaken to supply.
GENERAL PROVISIONS I
Except as noted below, this application and the furnishing of .,
i e electric service hereunder are subject in all respects to Authority's Rules and Regulations for Power Service attached hereto and hereby -
made a part hereof and to Service Tariff No. 2 for Unsupported i p ,
Utility Power Service, also attached and hereby made a part hereof
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or to said tariff as later arrended as provided herein.
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' SPECIAL PROVISIONS r:- i r i Special provisions for service supplementing or modifying the j Rules and Regulations for Power Service or Service Tariff No. 2 ,
for Unsupported Utility Power Service are as follows:
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i A. Initiation of Sarties. Initiation of unsupported firm power N, ,
I service will be upon notice to Customers by Authority of its availability. The service may be initiated in one installment equal to the full amount of the contract demand or, alternatively, in two or more installments should power from the James A.
FitzPatrick plant not all become available at one time.
j B. Summer and Winter Service. Unsupported firm power service under this application shall be provided for semi. annual _'
periods of approximately six (6) months each as follows: (i) 1 i.
I 2 !
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service for winter capability periods shall begin with the last Sun- .
- - day in October and extend up to but not including the last Sunday in April next following; and (ii) service for summer capability periods sha!! begin with the last Sunday in April and extend up to but not including the last Sunday in October fo!!owing.
The beginning and ending dates of the periods may change by mutual agreement between the Authority and affected customers.
/ \ . - C. E. stent of Service to ce Supplied. (a) Subject to restric.'
7 tions specified in paragraph (b) and (c) following, Authority
/ will supply unsupported firm power service to Customer in any
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hour, as scheduled by it up to the amount of the contract demand in effect at the time, within the aggregate amounts of energy by control periods as follows:
Per kW of
, Control Period Contract Demand
' '.Y f Peak period (working non-holiday weekdays
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between 8 a.m. and 10 p.m.) . . . . . . . . . . . 12.2 kwh ~/
,. .. Off. peak period (other hours of working
',, weekday s) . . . . . . . . . . . . . . . . . . . . . . . . . . . 5.8 kwh
( r" . On each non-holiday Saturday . . . . . . . . . . . . 14.7 kwh .,
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On each Sunday or holiday . . . . . . . . . . . . . . 12.9 kwh ,,
Holidays, for the purpose at hand shall be the following, except _ . _.
as the list may be revised by mutual agreement: New Year's
. . . Day, Memorial Day, Independence Day, Labor Day, Thanks-
,, giving and Christmas.
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- (b) Authority may require that in the Saturday, Sunday
-- .- and holiday, and otT. peak control periods, as defined above.
, ,, power be taken in general accordance with Customer's load pat-
,N, tern.
(c) Authority shall be under no obligation to deliver any
. , power to Customer under Service Tariff No. 2 during periods in which the FitzPatrick Power Plant is not operating. In any 4-
, , hour during which the plant is operating at reduced capability -
and not able to supply in full the firm energy requirements of customers purchasing unsupported firm power under Service Tariff No. 2, Authority shall apportion among such customers
, the energy availaMe after meeting the requirements of Fitz-Patrick firm power customers that are "high load factor manu-facturers" or " priority customers" as defined in the Rules and !
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. Regulations for Power Service in proportion to their respective contract demands for unsupported firm power. .
l D. Apportionment of Residual Energy. Authority shall so apportion the residual FitzPatrick energy available from day to day according to the control periods specified in Special Provision ,
C so as, with reasonable approximation, nrst. to provide each customer purchasing unsupported utility power service with,a cumulative total of energy received as firm and residual energy in -
each of the four control periods proportional as to but not in excess ,
of that which it would have received as firm energy had there *
/ been no interruptions or reductions in service under Service ...-
.; Tariff No. 2 and, secondly, to provide each customer with a frac- .,
/
tion of the cumulative total of the remainder equal to the per-centage of Authority's requirements for supporting energy which
) it has undertaken to supply. Authority shall make periodic .?
revisions in the apportionment as necessary for this purpose. 4 E. Accounting by Schedules. All power and energy delivered , .. ..
~ ' ~
- ~j to Customer by Authority under this application and other ar- *0
- " ' ~~~~
, rangements shall be in accordance with hourly schedules that ,'-
j will distinguish the amount for each category of service. In- #
j advertent deliveries greater or less than the sum of the schedules shall be adjusted in later deliveries by mutual agreenient. ,/
. /
F. Transn:ission Charges. There will be no charges for trans- + -
., mission of Authority power under this application to the point '. -
,,, / of delivery at Niagara Mohawk's Edic Substation. Transmission charges for deliveries at other points shall be established byi Authority as part of any agreement made to deliver service N under this application at other points.
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. G. Energy Sales Prior to Unsupported Firm Power Service. *
Energy available for sale prior to initiation of unsupported firm J.i power service will be made available as residual FitzPatrick I energy. .y H. Billing Credits for Interruptions or Reductions in Service. '
., i The credit against the monthly demand charge specified in Paragraph F.4 of the Rules and Regulations for Power Service 'l ,
l attached hereto shall become applicable only upon the accumula- J.
tion of 90 days during which the FitzPatrick plant has been con-4 1**
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a tinuously withdrawn frcim commercial operation. Upon be-
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coming applicable such billing credit shall continue in effect until the plant is restored to commercial operation at the operating capability used by Authority for determining the
" withdrawable reserve" specified in Paragraph (2)(c) of the
~
" Contract Demand" provisions of Service Tariff No. ~, ,
i
- RELATED AGREEMENTS
~
I. Supporting Energy and Reserve Energy. During periods when the FitzPatrick plant is not producing sufficient power to j
) ,~ ' meet the requirements of high load factor manufacturers and priority customers which Authority has undertaken to supply with firn' power from that plant, Authority will require support-J ing power with which to supply these loads.
~
" Customer's agreement to supply supporting energy and to pur:hase reserve energy, executed in conjunction with Author-
'i ity's acceptance of this application, is a condition of its acceptance.
.- - In the event of termination of that agreement, Authority shall -
rL, have the option to terminate service under this application coin-cidentally therewith or at any time thereafter. ,,
J. Transmission Service by Customer. Customer hereby agrees . . -
to transmit power for Authority over its transmission system to high load factor manufacturers and priority customers supplied by Authority with power from the FitzPatrick plant, where such 5 customers can be supplied through use of Customer's system _. 7
- 'l at such charges for transmission and allowance for losses in
~
transmission as are determined by mutual agreement.
K. Termination of Contract for Nonpayment of Bills. Pur-
% suant to the requirement of section 1005.6.(e) of the Power
'3 . Authority Act as amended, failure to make prompt and timely
~
. ' payment of all bills rendergd by Authority for electric sersice
- hereunder shall be grounds for immediate termination of this contract, Provided, that in the event of such termination Cus-tomer shall, to the extent its transmission is capable of so doing,
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wheel the firm power under contract to Customer hereunder ,
to such purchasers at Authority may direct, for which service Authority will provide suitable compensation to Customer. _
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' I j Upon acceptance by Authority after approval by the Governor z ,.
of the State of New York this application will constitute a contract ,
between the parties for the provision of electric service hereunder, ,
-t LoNG ISLAND LIGHTING COMPANY By A. T. Joacsusan Executive Vice President w_ r s .=
Date: October 2,1974 p. .
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. Attest >
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Joan J. KzAnusy, Jr.
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Secretary *
- 4 -
...~.-~~ e Accepted:
. . . Powra AUTuoa:Tv or Tnz STATE oF b
'- . Nzw Yoax -
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By JAuss A. F TzPATascx L- '
. Chairman Date: July 28,1975 i
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Attest
( ,
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e N.' i JOHN C. Baurr. g 3- '
Secretary
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.. M i ACKNOWLEDGELIENTS r
STATz or New Yoax ssa l CouNry or New Yoax On this 28th day of July,1975, before me personally came r--
JAuss A. FtrzPAratex and Jol!N C. BauE1., to me known, who each 4 being by me duly sworn, did severally depose and say that they reside in Plattsburgh, N. Y. and New York City, respectively and that they I are respectively, Chairman and Secretary of Powsa AUTuoarry or I tua STATE oF New Yoax, a Corporation described in and which executed the above instrument; that they know the seal of Power
- " Authority of the State of New York aforesaid; ti 2 one of the seals o
allixed to said ir.strument is such seal; that it was so affixed by order of the Trustees of Power Authority of the State of New York, and r that they signed their names thereto by like order.
'N .s l /s/ Her.zN J. LicCoautex c,, , , , ,
- , 4- (NoTAalA1. SEA 1.)
' Helen J. ltcCormick .- .
1 Notary Public, State of New York
. ' No. 24-2607500 ~.
Quahned in Kings County *; '. ,- .-*. ' *
- 4 P. Term Empires March 30,1977
- i STATE or New Yoax
CouNTv or NAssAu
$' On this 14th day of July,1975, before me personally came AaNot.o T. JonGENsEN, to me known, who being duly sworn, did
/ 4 depose and say that he resides in Split Rock Road, East Norwich, 3
- '- New York, and that he is Executive Vice President of LoNG Is!.AND 4 ".
3 LicuTINo CouPANY, described in and which executed the foregoing instrument; that he knows the seal of said corporation; that one of the seals affixed to said instrument is such seal; that it was so affixed g
g by order of the Board of Directors of said corporation, and that he signed his name thereto by like order.
'j J /s/ Hzastar 51. LEIMAN -
.t. 6 (NoTAalAI. SEA 1.)
< Herbert M. Leiman Notary Piblic. State of New York P Ila 41-7483350
'.- e Qualines;in Queens County e u Term Expires March 30,1976 ..
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h e Power Aud.iority of the State of New Ycek 10 COLUMIIUS CIRCLE, NEW YORK. NEW YOftK 10019 I
SERVICE TARIFF NO. 2
- i UNSUPPORTED FIRM POWER SERVICE ,;
Applicable:
To sale of unsupported firm power to customers operating electric
'1i distribution systems that are able to substitute power from other /
sources in the event of interruptions or reductions in service unoer this ei
- tariff, and to the sale of residual FitzPatrick energy as defined in the :
Rules and Regulations for Power Service attached to the accepted ap-plication for power service, primarily for use by such system in resale -
l
' to ultimate consumers. ^
rt Characterof Service:
, Alternating current; 60 hertz; 3 phase. ' .-
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Rate: t Unsupported Firm Power ' '
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CAPACITY CHARCE: $1.90 per month per kilowatt of billing
. demand.
ENERGY CHARCE: 3.40 mills per kwh.
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~
Residual Fit:Patric!< Enemy l ,I i
EuracY CHAncz ONI.Y: 3.40 mills per kwh. (,
Billing Demand 1 ri m' The contract demand in eHect during the billing period. gI Power Factor:
- P -
Not less than 90%, lagging or leading, as measured on or ad- I 4 !
' justed to high side of Authority's FitzPatrick plant transformers, Provided, that Authority shall supply or absorb such additional reac-9 tive power as may be desirable, insofar as in its judgment it is able *-'
to do so without adverse eHects.
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s Continuance and Termination of Service:
Initiation of service will be upon application of customer, as 3,
accepted by Authority, under the procedure specified in the Rules and Regulations for Power Service attached to customer's accepted application.
Once initiated, service will continue until terminated by either .
I customer or Authority pursuant to requi-ed notice (i) for cause as
! provided in the Rules and Regulatior.a or Power Service, or (ii) i '~ as provided below:
(1) Customer may reduce or terminate power service under this Service Tariff at any time after three years of unsupported l' firm power service on written notice dmely given Authority not less than one year in advance of the desired date of reduction or termination.
(2) Authority may terminate or reduce service after review Q and notice as provided below under " Contract Demand".
- /.~
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Contract Demand:
(1) Initial Amounts. The contract demand initially shall be .
the amount or amounts spcdSed in customer's accepted application .
-'i for service, subject to mod.19 cations and determinations as provided therein and in this Service raritT.
(2) Increases or decreases in Contract Demand. Subject to
, customer's right to reduce or terminate service as earlier set forth herein, for each customer served under this Service Tariff, the con-tract demand specified in its accepted application shall be subject to ,
- modification as follows:
9 I (a) Service under this Service Tarii is made available from a " withdrawable reserve" of FitzPatrick plant firm power capacity estimated by Authority not to be required for service to "pri-
, ority customers" or "high load factor manufacturers as defined in the Rules and Regulations for Power Service, subject to withdrawal for resale to such customers.
(b) Any decrease or increa:e in the withdrawable reserve as
, nbove defined resulting from a decrease or increase in operating .
capability of the Fitzhtick plant or any increase for other
-~ /
reasons shall be allocated by Authority among customers served under this Taritiin proportion to their summer capability period -
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, and winter capability period contract demands in edect at the i time of such allocation, to becorr.e edective at the beginning of the next full billing period following written notice from Au-thority of such reallocation.
(c) Customer's contract demand for the nrst 5 years of serv-ice under an accepted application shall be its allocation from Authority's estimate of the withdrawable reserve for those years.
o Prior to April 1 of each year, with written notice to customer not later than that date, Authority shall re-estimate its with-drawable reserve for the subsequen' four years beginning with
. the coming winter capability period and shall make an estimate
/ for the fifth subsequent year, and, based on these estimates Au- -
thority shall revise its winter and summer allocations for the first four years and establish allocations available for the fifth
.- year to each nonpriority utility customer; Provided, That (i) All allocations shall be rounded to multiples of 1000 kilowatts.
~
.- (ii) In any such annual revision of allocations for the first 4 four st'bsequent years no decrease in the allocation to any - .
- , non-priority utility customer shall exceed 0.257, of such cus- ,
tomer's peak load as established up to the time of the reallo-
.g; <' cation, w
(iii) The withdrawable reserve to be allocated shall reflect any change in FitzPatrick plant capability pursuant to sub-
,, paragraph (b) above, and its allocation among customers _
l I
- served under this tariff shall continue the percentage appor-
. tic,nment o' the withdrawable reserve among customers served ,
under thi. Tariff as then in eHec , except as any reduction
. N.h
'"I in apportionment to any customer at its request shall be re-
/
apportioned among the other customers served under this
' tariff. -
(d) The foregoing allocation procedures may be modified by . .
mutual agreement of the Authority and affected customers.
i (e) Authority shall have the right after January 1,1980 to .
' I." .,: redetermine the allocations among customers served under this l Tariff independently of preceding allocatbns, such redetermina-tion to take effect no sooner than the seventh year following that
! redetermination. ,
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"U SpecialProvisions:
i A. Installments. When service under this tariff is initiated in
! ,p, Itp installments the contract demand shall be the sum of the installments made available until the full amount of the allocation has been reached.
.o u B. Resale. Customer shall not sell for resale any of the capacity purchased by it from Authority without Authority's consent, Pro- ,.
vided, That sale of capacity from customer's aggregate power re- '
-^
p, sources including capacity purchased from Authority shall not be ' , /
j' ' deemed a sale of such purchased capacity.
C. Adjustments to demand and energy charges. Authority I
sells power without profit and the rates charged are formulated pur-suant to the Power Authority Act. ,
Pi (1) The demand and energy charges specified in this tariff
- l. g are based on the Authority's current estimates of costs to it of *
- J .c producing the power supplied under this tariff from the James '
' A. FitzPatrick Nuclear Power Plant, inc:uding the cost of .
' . . . *.% *- f' ,I supporting power from other sources when that plant is not '
operating. Whenever Authority determines on the basis of oper-
! ating experience, governmental requirements or other relevant ,
/
ab considerations that the rates should be revised it will notify
> customer in writing of the revised charges not less than 90 days g, , in advance of the effective date thereof.
(2) Any change in the rates for power to be sold hereunder s
will be based either upon the cost of power produced from the ,
f' FitzPatrick plant including reserve funds related thereto estab-
'k lished or to be established as determined by Authority or upon ,
i the merged costs of power from such plant and from other Au-
- q. ,
thority power facilities if such facilities should be merged for rate-making purposes.
- 1. )
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D. Transmission losses. The demand and energy charges
'yl 1I specified in this Service Tariff apply to amounts of power and energy i supplied at 345 kV at the FitzPatrick switchyard. Appropriate ad-justment will be made to the amounts supplied at customer's point or points of receipt specified in its application for service to compensate f['f for losses in transmission to that point.
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- I E. Extent of scrrica to be supplied. The service to be supplied under this Service Tariff shall be limited to that specified in customer's accepted application for service. Paragraph C.3 of the Rules and
-l i Regulations for Power Service shall not be applicable.
F. Atcrnata deliveries. Authority may at its election furnish at
'~
the point of delivery specified in the application for service power from other sourc :s pursuant to this tariff in lieu of delivery from FitzPatrick plant outp;t. The amount furnished from sources other than the Fitz- ' '
Patrick plant shall be adjusted so as to provide at the specified point of delivery an equivalent amount of energy to that to be delivered were
, /
%_ the power to be supplied from the FitzPatrick plant. If by mutual agreement delivery is at any other point, any difference in delivered
- "~- * . cost to customer resulting from changes in charges for transmission by other systems or in transmission losses shall be adjusted in Au9
. thority's charges to customer under this Service Tariff as provided in
- q. the agreement.
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. .; . Power Authority of the State of New York 10 Col.UMBUS CIRCLE, NEW YORK. NEW YORK 10019
~
AGREEMENT TO PURCHASE SUPPORTING
- ENERGY FROM AND SELL RESERVE ENERGY
, to
- -/: . LONG ISLAND LIGHTING COMPANY AGREEMENT, made this 28th day of July,1975, by
%,' y and between POWER AUTHORITY OF THE STATE OF
- NEW YORK (herein referred to as " Authority") and LONG i
,' ISLAND LIGHTING COMPANY (herein referred to as "Cus. l
' tomer")
' -~ '
Wimr.ssers :
' " ~ * '
.e. In consideration of the mutual covenants and agreements of the l parties hereinafter provided and set forth in Customer's application .
~/ for unsupported utility power service accepted by Authority coin- I
- / cidentally with the execution of this agreement, the parties mutually
/I ,
covenant and agree as follows:
< ,- o
_7l p I. PURCHASE OF SUPPORTING ENERGY
{, (a) When in any hour Authority's James A. FitzPatrick /
.:r Nuclear Power Plant is unable to produce energy in an amount /
necessary to meet Authority's minimum obligations for the delivery of firm power from that plant exclusive of requirements for unsup-ported firm power provided under Service Tar d No. 2, and the Authority is unable, as determined by it, to supply the deficiency from 5
its other generating facilities or can do so only partially, Authority may request and Customer shall supply from its own generation or i other power resources available to it, including operating reserves, i g energy to be used by Authority to meet its deficiency, hereinafter g called "FitzPatrick supporting energy". The amount Customer shall supply in any hour shall be the fraction of Authority's total deficiency
.. requirement determined by averaging the ratios of (1) Customer's current contract demands for unsupported firm power to (2) the
' - totals of such contract demands of all custosers supplied with un-
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supported firm power, as these ratios are computed for the current I' and immediately following capability periods. In the event-of power supply deficiencies which require some degree of ! cad reduction pur-suant to New York Power Pool procedures or governmental remire-
. ments, it is the intent of the parties that impairment of service to FitzPatrick firm power customers be no more than for other power ;
users of similar character in similar circumstances. /
//
(b) To the extent that, in its discretion Authority determines it is able to do so, Authority shall so operate its generating facilities '}.
._ and regulate its deliveries of energy under its accepted applications ,
and contracts for power service as to minimize its requirements for
+ FitzPatrick supporting energy and to schedule its receipt at times so ,
as to minimize Customer's costs of providing it.
(c) Authority shall pay Customer monthly for the FitzPatrick .- . *' -
supporting energy Customer supplies at Customer's incremental fuel , -'
.} cost or at Customer's option the incremental cost of purchased power .
, . . , ..;./ for such supply if Customer cannot produce the power from its own -
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~J generation or is able to purchase energy at a cost less than Cus-tomer's incremental fuel cost, plus the costs of delivery to Authority. ,.
(d) When i: can do so at less cost than Customer's total incre- .
mental costs of providing FitzPatrick supporting energy to Authority. /
/ Authority may, on such advance notice as Customer may require and with Customer's consent, purchase all or any part of the supporting energy Customer is obligated to supply hereunder in any hour from .'
other suppliers, Protided, That Customer's consent shall not be un- "
reasonably withheld. Customer shall be relieved of its obligation to 4 .: -
, supply FitzPatrick supporting energy to the extent of such purchase,
- Authority shall notify Customer of the cost of the alternative pur- ' '
,, chases, and the cost of these purchases shall be included in the deter- ~
o mination of the FitzPatrick reserve energy that Customer is obligated to purchase.
" .' . .s -w
, II. SALE OF RESERVE POWER (a) Authority shall deliver to Customer during periods in g -
which FitzPatrick Plant output is in excess of requirements for Fitz-
~
Patrick firm power deliveries inclusive of requirements for the delivery '
of unsupported firm power supplied under Service TaritT No. 2, o energy (hereinafter called "FitzPatrick reserve energy") pursuant to hourly schedules agreed upon in advance by Authority and Customer
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,r 98 which in the absence of other agreement will have the same general 4
daily load patterns as those on which supporting energy is delivered y- to Authority hereunder and which will be adequate to provide revenue
{ -
to Authority, at the prices to be paid by Customer for reserve energy as herein provided, equal to the amounts paid and to be paid by Au-
. thor:ty for supporting energy furnished by Customer or purchased in its behalf by Authority pursuant to Article I of this agreement.
(b) It is the intent of the parties that over a period of time
- p. payments made by Authority for FitzPatrick supporting energy to g Customer, or to others from whom FitzPatrick supporting energy is ..
purchased in lieu of purchase from Customer pursuant to Article I(d) above, shall Le fully offset by revenues received from the sale of FitzPatrick reserve energy to Customer and to that end the schedules for the delivery of FitzP2 trick reserve energy shall be adjusted from
, time to time by mutual agreement to keep the cumulative totals of payments and revenues in reasonable balance.
. (c) Customer shall pay Authority monthly for the reserve ,
]j j energy Authority supplies hereunder at the decren. ental fuel cost to ,% ,, -
N.
"\ - ff 5 g Customer of the energy displaced by the reserve energy or at Cus- '
tomer's option at the decremental cost of energy available for purchase that is displaced by the reserve energy, less the costs of trans-y g mitting the reserve energy from its point of receipt from Authority 3 g to the point for which decremental fuel cost is computed. The decre-mental fuel cost shall be determined in a manner analogous to that
% for determining the incremental fuel cost of providing FitzPatrick 7 supporting energy.
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III. DELIVERY, METERING, POWER FACTOR AND /
d E ACCOUNTING w 5 (a) Point of Delircry. Delivery of FitzPatrick supporting energy to Authority and of FitzPatrick reserve energy to Customer shall be at /
{ g 345 kV at the point of connection of Authority's 345 kV transmission s R .sm line to the Edic Substation of Niagara Mohawk. If by mutual agree-ment delivery is made elsewhere the amounts delivered shall be ad- ~r
,. ,g justed for differences in losses in transmission from those for delivery 5 at that point, and cost computation shall in all cases be adjusted to add or deduct as appropriate any difference in transmission costs to C :s- I tomer from those for delivery at the point of interconnection of Au-thority's 345 kV transmission line to the Edic Substation of Niagara 1 Mohawk.
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m (b) Potver Factor. For Authority deliveries to Customer, not less than 90% !agging or leading, as measured on or adjusted to the d
high side of Authority's FitzPatrick Plant transformers; for Cus- my tomer's deliveries to Authority, not less than 95% !agging or leading, k' at the point of delivery, Provided, that Authority in its deliveries shall supply or absorb additional reactive power as may be desirable, insofar as in its judgment it is able to do so without adverse eHects. 9 k
(c) Determination of Amounts Delivered. All *nergy delivered under this agreement shall be in accordance with hourly schedules y established in advance with revisions from time to time as required. E Inadvertent deliveries greater or less than scheduled amounts, as determined in reconciling scheduled amounts with aggregate de-liveries under this and other schedules, shall be adjusted in later deliveries by mutual agreement. f (d) Potver and Cost Accounting. Customer, or the stad of the New York Power Pool as its agent, shall keep adequate hourly f a records, in such detail and in accordance with such methods of '
computation as shall be determined by mutual agreement, of the ) j amounts of energy received and/or delivered, of Customer's aggregate incremental costs of supplying FitzPatrick supporting energy includ. { s - -
ing that purchased in its behalf by Authority, and of Customer's aggre-( gate decremental costs from the receipt of FitzPatrick reserve energy. ,,, ,
IV. TERAI OF AGREEMENT l This agreement shall become eHective upon its execution coin-cidentally with Authority's acceptance of Customer's application for
, unsupported utility power service and shall continue until December 31 31, 1976, and thereafter until terminated by either party on 12- R months notice to the other.
V. "~ PLEMENTARY PROVISIONS Authority's Ru . id Regulations for Power Service attac! ~l to Customer's acce; tea application for unsupported utility power -
service shall be appheable to this agreement insofar as they are rele-vant except that Paragraphs C.3, C.4 and F.3 shall not apply and g 1
Paragraphs F.1 and F.2 shall be applicable also to billings by Cus- l tomer to Authority and payments by Authority to Customer.
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IN W Tusss Wusator, the parties hereto have caused this agreement to be executed the day and year above written.
i i I POWER AUTaontTv or Tas STATE Or Nzw Yoax By JAMES d. FsTzPATRICK Chairman i Attest Joan C. Baur.t.
5 Secretary I Iowc Is!.AND LtcaTING COMPANY {
I By A. T. Joaczussu e
, i Executive Vice President
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/ Attest i . .
."em I .*.
Joan J. KzAansv, Ja.
secretary l
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I l ACKNOWLEDGEMENTS l
STATE oF New YoRx u"-
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COUNTY or New YORK 4 On this 28th day of July,1975, before me personally came g JAuss A. FtTzPATRtCK and JOttN C. BRUEt,, to me known, who eac being by me duly sworn, did severally depose and say that they reside in Plattsburgh, N. Y. and New York City, respectively and that they g are respectively, Chairman and Secretary of power hich AurstoRtTY5oF'x j ins Stars or New YORK, a Corporation described in and w executed the above instrument; that they know the seal of Power f-Authority of the State of New York aforesaid; that one of the lseals affixed to said instrument is such seal; that it was so affixed by order ,
of the Trustees of Power Authority of the State of New York, and ,C that they signed their names thereto by like order.
/s/ Htten J. McCoRhtICK
,- K ?: ..
g (NoTARIAr. SsAr.) Helen J. McCormick '*-
- . Notary Public. State of New York ?
No. 24 2007500 *
- ~
Qualified in Kings County g Term Expires March 30,1977 I/
STATS or NEw YORK COUNTY oF NASSAU i
~
On this 14th day of July,1975, before me personally came t ARNot.o T. JoRcsNsex, to me known, who being duly sworn, did 5 depose and say that he resides in Split Rock Road, East Norwich, s., New York, and that he is Executive Vice President of LoNG lsLAND(
LtGIITtNG COMPANY, described in and which executed the foregoing g instrument; that he knows the seal of said corporation; that one of the seals affixed to said instrument is such seal; that it was so affixed by order of the Board of Directors of said corporation, and that [. he ,
signed his name thereto by like order.
/s/ HERBERT M. LEtMAN L (NOTARIAt. SEAR.) Herbert M. Leiman
- - - Notary Public. State of New York '
No. 417483350 b Qualified in Queens County Term Expires March 30.1976 .
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as Power Authority of the State of New York 10 COLU31 BUS CIRCLE NEW YORK NEW YORK 10019 RULES AND REGULATIONS FOR POWER SERVICE t
A. Definitions The following definitions shall apply for all the purposes of these g Rules and Regulations for Power Service and of the Service Tariff and applications for power service pertaining thereto:
he s
' A.I. " Authority" means Power Authority of the State of New '
I York.
I ,
A.2. " Customer" means an individual, firm, partnership, corpo-
,/ ,
ration, association, municipality, or governmental body receiving elec-tric service from Authority under a service tariff to which t! ese Rules and Regulations for Power Service are applicable.
- s.- - '~" '
A.3. " Electric service" with any type of power and energy means availability of power and energy for customer in accordance with
._ l tariff provisions at the specified nominal voltage and frequency at the .x l points of delivery specified in the customer's application for service or at alternate points acceptable to Authority and customer. t. . j
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p A.4. " Firm power and energy" are power and associated energy
- which are always available except for specific limitations provided herein, in the service tariff, or in the accepted application for service.
L.s . ) A.S. " Peaking power and encrpy" are firm power and associated energy intended for use primarily in customer's peak-load periods and .
s .
k limited as to the energy to be supplied as specified in the applicable
'l service tariff.
g A.6. " Storage power and energy" are power and associated
- energy produced with water stored in an upper reservoir of an Authc.-
ity pumped-storage project or power and energy supplied in lieu .,
thereof, to be available as provided in the applicable tariff. .; . \
E A.7. "Nonfirm storage power and energy" are storage power and associated energy of intermittent or temporary availability the
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supply of which will be limited as provided in the applicable tariff or
- in customer's accepted application for service.
I A.8. " Pumping power and energy" are power and associated
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energy supplied by customer or for customer's account that is used in pumping water into an Authority storage project's upper reservoir for storage.
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A.9. "Ofsetting power and energy ** are power and associated energy supplied by customer or for customer's account as the required (
, offset to the p.~orision of peaking interchange power and energy by j Authority.
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A.10. " Supporting energy" is energy utilized by Authority to
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supply i,rm power service in substitution for power that normally is supplied from Authority's base-load thermal generating facilities in E.
- [.! periods when it temporarily cannot be produced by those facilities.
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j A.11. " Reserve energy"is eng supplied or to be supplied by [' ,
. .; Authority in exchange for supporting energy received or to be re- "
- r. ; ceived by Authority.
I A.12. "Withdrauuble reserve rer and energy" are Authority ' ~ ' ~ ~
firm power and energy not curren required for service tc pricrity customers or high load factor man ' .cturers as defined in the . Rules
. i and Regulations for Power Servici k
/
! A.1J. " Service Tarig" establishes the rates and other ci sditions
,j for a particular class of electric service. E~
A.14. As used herein power unless the term is specificall; quali.
g fied to the contrary sl.all also include the energy associated thet twith, and the term energy will include the power necessary to deliver .'.
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A.15. " Priority Customers" are (i) exempt persons as defit.xi in 26 U. S. C.103 (c)(3) and (ii) entities entitled to preferencs
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! A.16. "Nonpriority Customer"is an Authority customer which E '
is nc: a priority person.
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-) U A.17. " Billing period" shall be the calendar month except as otherwise specined in the service tarill or the custc,mer's applicatan for service.
A.18. " Direct firm power service" is Srm power service supplied S te. a customer using the power for indastrial or other purposes and b restricted from resale either for use by some other party or for resale.
A.19. " Contract demand" is the maximum amount of power '
//
Authority is obligated to supply under an accepted application for Service.
/-
_' A.20. "High Load Factor Manufactt:rers" are industrial estab-lishments eligible for Authority power pursuant to Section 1005 of the Power Authority Act as amended (Title 1 Article 5 of the Public Authorities Law). - -
- A.21. " Unsupported Firm Power Serace"is Grm power service .
- ..; supplied a customer operating an electric utility distribution system , _
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for resale to consumers supplied by that system, the customer to be responsible for providing substitute power from other sources in the .
event of interruptions or reduction in Authority service. -
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A.22. " Residual FitzPatrick Energy", is energy available from j ,
the James A. FitzPatrick Nuclear Power Plant after requirem nts .
have been met for (a) 6rm power under FitzPatrick contracts, in- ,.,
O cluding contracts for unsupported firm power, (b) reserve energy "
deliveries and (c) Authority needs to meet requirements for Srm .
energy under other Authority contracts. ,S j B. Application for Authority Power - ' -~
B.I. Applications for .luthority Power.
Applications for Authority power available for marketing will i be entertained by Authority at any time, and insofar as they meet 0- -
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the qualiEcations established for the class of power to be marketed, will be considered individually as received, Provided, That Authority
' l may consider two or more applications at one time without refer-ence to order of application. An applicant shall be afforded oppor-tunity to revise its application if review by Authority prior to formal consideration provides a basis for an application more acceptable to ,
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Authority. Authority may accept an application subject to such t
conditions as it deems appropriate.
D.2. Public Hearings.
Authority will hold one or more public hearings prior to the
, promulgation of any new tariff or to the final acceptance of any b application for service. E B.3. Approval by the Governor of the State of New York.
Sales of power generated by the Authority are subject to the requirements for public notice, hearings and approval by the Gov-l ernor set forth in g 1009 of the Public Authorities Law.
i C. Limitations and Conditions of Service g C.l. Continuity cf Electric Service to be Furnished.
N The electric service, except as otherwise specified in the appli-cation for electric service or the applicable service tariff will be fur-l -
nished continuously e.xcept (1) for interruptions or reductions due / . , . . . .
to uncontrollable forces, as defined herein; (2) for temporary inter-ruptions or reductions required for power system prt;tection or for g i providing temporary emergency assistance to interconnecting sys- '
tems; and (3) for temporary interruptions or reductions, which, in g ...
the opinion of Authority, are necessary or desirable for the purpose m of maintenance, repairs, replacements, installation of equipme:nt, er investigation and inspection. Authority, except in case of emergency as determined by it, will give the Customer reasonabic advance notice of such temporary interruptions or reductions and will exercise due l !
diligence to remove the cause thereof. l t
C.2. Uncontrollable Forces. $
-k Neither customer nor Authority shall be considered to be in default in respect to any obligation under any contract or accepted g application for power service, if prevented from fulfilling such obli. E gation ly reason of uncontrollable forces. the term uncontrollable forces being deemed to mean any cause beyond the control of the party affected, including, but not limited to, failure of facilities, i! cod, earthquake, storm, lightning, fire, epidemic war, riot, civil disturb- k' -
4 ance, strike and sabotage or restraint by cot.-t or public authority, which by exercise of due diligence and foresight such party could not reasonably have been expected to avoid. The party rendered unable g to fulfill any obligation by reason of uncontrollable forces shall exer- s 4
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cise due diligence to remove such inability with a!! reasonable dis-patch.
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C.3. Service Beyond Authority Obligation.
Customer may from time to time, in the absence of objection by Authority, take power under any service tariff at rates of power delivery greater than the contract demand in erect for such service or take energy in amounts greater than the amounts which Authority is obligated to supply, but such greater takings shall not be deemed ,
g to establish in customer any right thereto and customer shall cease i such greater takings whenever and for the periods of time requested r by Authority. ;
C.4. Transmission by Authority Over the Facilities of Others.
Where the points of delivery specified in customer's accepted application for service require transmission of the service to be sup- s plied by Authority ov:r the facilities of others, the obligation of Authority to furnish the service shall be subject to and contingent on the existence of an arrangement granting Authority the right to use such facilities, and the service will be provided at the voltage avail-able and under the conditions which exist from time to time on the system from whose facilities the service is delivered. Authority will .
endeavor to inform customer from time to time of any changes con-E templated on the system from which delivery is made if not Au-thority's, but the costs of any changes made necessary in customer's Mij* ..
system because of changes or conditions on that system shall not be a charge against or a liability of Authority; Provided, That if cus-tomer, because of changes or conditions on the system from which ,
delivery is made if not Authority's, is subjected to the necessity of making changes on its system at its own expense in order to con- .
I tinue receiving service, or if the electric service requirements of customer, to the extent that Authority is obligated or determines
- that it can become obligated to furnish such requirements, are not __
being met, or if Authority advises customer that such requirements %
cannot be met, because of an insufficiency of capacity available to N Authority under its transmission service arrangement in the facili-ties of others over which service is supplied, then customer may terminate service as provided in the applicable service tariff, but notwithstanding the r. . ice and term provisions of the tariff, no more I
I notice shall be required of customer than is provided by Authority of the changes in service or limitation of service by reason of limited transmission capacity.
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C.5. Applicable Laws, Licenses and Directives.
All applicable provisions of licenses, permits, approvals or orders issued to the Authority and all applicable provisions of the Power Authority Act of the State of S'ew York (Title 1 of Article 5 of the PubEc Auti:orities Law, Chapter 772 of the Laws of 1931, as amended) or of any statute under which any such license, permit, approval or order was issued shall be deemed to be incorporated in
, y/ and made a part of these Rules and Regulations for Power Service 2
'f. but such incorporation shall not be deemed to make applicable to the electric service provided any customer any amendment to any such license, permit, approval or order or to the Federal Power Act to Public Law 85-159 or to the Power Authority Act of the State of New York or to any such other statute which would not other-
. wise apply to such service. .
,, . I
.;., D. Metering and Determi .ation of Service Provided
' **i D.1. Meters. '/
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The total electric power and energy delivered to customer will
.. . . be measured alone or in conjune' ion with deliveries to others by
, , _i ,m metering equipment to be furnished and maintained by Authority.
- # ** The meter or meters shall be sealed and the seals shall be broken -'
- f. only upon occasions when the meters are to be inspected, tested, or *
, adjusted, and representatives of customer shall be atTorded reasonable
,- opportunity to be present upon such occasions. The meter or meters
,, shall be tested at Icast once each year by Authority and at any reason- '
~- -
able time upon request therefor by either Authority or customer. Any metering equipment found to be defective or inaccurate shall be
.:/ ,
repaired and readjusted or replaced. Should any meter tail to ,
register, the electric power and energy delivered during such period
. of failure to register sha!!, for billing purposes, be estimated by ,.
Authority from the best information available. >
D.2. Meter Errors.
If any of the meter tests provided for herein discloses that the .
- "'I ' " ' '
error of any meter or meters exceeds two per cent (2%), correction -
based upon the inaccuracy found shall be made of the records of electric service furnished since the beginning of the monthly billing period immediately preceding the billing period during which the test was made; Provided, That no correction shall be made for a longer period than such inaccuracy may be determined by Authority ;
to have existed. Any correction in billing reMting from such correc. ,
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e as t ll tion in meter records shall be made in the next monthly bill rendered by Authority to customer, and such correction when made shall con-stitute full adjustment of any claim between the customer and 8 Authority arising out of such inaccuracy o' meters.
E. Cooperation of Contracting Parties E.1. Mutual Assistance. ;
If, in the maintenance of their respective power systems and/or electrical equipment and the utilization thereof for the purposes of l the service provided by Authority, it becomes necessary by reason of any emergency or extraordinary condition for either Authority or r
customer to request the other to furnish personnel, materials, tools, and equipment for the accomplishment thercoi, the party so requested
~ shall cooperate with the other and render such assistance as the party so requested may determine to be available. The party making such request, upon receipt of properly itemized bills from the other party, ' ~ V.
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shall reimburse the party rendering such assistance for all costs ./
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~ .. '; ., properly and reasonably incurred by it in such performance, together with an amount not to exceed ten per cent (10%) of such costs for
' l.' administrative and general expenses, such costs to be determined on t .. ,
the basis of curreat charges or rates used in its own operations by
,, the party rendenng assistance. Nothing herein shall oc construed to require the furnishing of personnel in the case of a strike, lockout or other labor dispute.
E.2. License to the Customer.
- l Authority by acceptance of an application for service grants customer a license to construct, install, operate, maintain, replace or
. repair, either or all, upon property of Authority under the adminis-g trative control and jurisdiction of Authority such facilides as in
.,' L-3 the opinion of Authority are necessary or desirable for the purposes of the service Authority is to provide customer. Such license shall remain in efIect during the term of service and shall expire coincident-ally therewith. Any facilities so installed by customer pursuant hereto shall be and rercain the property of customer, notwithstanding that the same may have been affixed to the premises, and customer
- 5 shall have a reasonable time after the expiration of such license in which to remove its facilities so installed.
E.3. License to the Authority.
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(' Customer upon Authority's acceptance of customer's application grants to Authority a license to construct, install, operate, maintain,
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replace or repair, either or all, upon the property of customer such j facilities as in the opinion of customer are necessary or desirable for g
! the service AuthoE:y is to provide customer. The license or licenses
' g shall be and remain in erTect during the term of service, and shall expire coincidentally therewith. Any facilities so installed by Authority pursuant to such license or licenses shall be and remain the property of Authority, notwithstanding that the same may have been affixed i to the premises, and Authority shall have a reasonable time after the expiration of such license or licenses in which to remove its facilities I
.. so installed.
l f -
P. Billings and Payments .
F.t. Billings. ~
Except as otherwise provided in the accepted anplication for )
/ service Authority will submit bills to customer on or : 4 are the tenth I -'.
day of each billing period for electric service furnist.. ; during the preceding billing period, and payments will be due and payable by
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/ A ' customer on the first day of the billing period immediately succeed-ing the date each bill is submitted.
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F.2. Nonpayment of Bills. . . . '
' If customer fails to pay any bill when due an interest charge of one per cent (1%) of the amount unpaid sha!! be added thereto as liquidated damages, and thereafter, as further liquidated damages, an additional interest charge of one-half of one per cent (%%) of the principal sum unpaid shall be added on the first day of each -
succeeding calendar month until the amount due, including interest, is paid in full. Authority sha!! have the right upon not less than
- fifteen (15) days' advance written notice to discontinue furnishing j
A electric service to customer for nonpayment of bills and to refuse to resume same so long as any part of the amount due remains unpaid. .
Such discontinuance of electric service will not relieve customer of liability for any minimum charge during the time electric service is so discontinued. The rights given herein to Authority shall be in addi- "
tion to all other remedies available to Authority, either at law or in equity, for the breach of any of the provisions hereof.
! F.3. Adjustments for Fractional Billing Period.
For a fractional part of a billing period at the beginning or end of service, and for fractional periods due to withdrawals or other
- changes in the agreed upon amount of service the demand or capacity 26
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. charge and the portion of the minimum charge based on demand or capacity or minimum amount of energy to be billed shall each be proportionately adjusted in the ratio that the number of hours that electric service is furnished to customer in such fractional billing period bears to the .otal number of hours in the billing period involved.
r-p FA. Adjustments for Curtailment (Interruptions or Reductions) of Service.
,r* If for the reasons specified in Paragraph C.1 conditions on the 6- Power system of Authority (which system for purpose of adjustments hereunder shall include transmission facilities, if any, utilized but not
/ p owned by Authority) requir. the delivery of electric service to be -
g interrupted or reduced belos the contract demand or other maximum _ _..
rate of delivery in effect for the affected type of service or below the rate of delivery required by customer at the time of such reduction,
'] (' @ whichever is the lesser, for a period or periods of one (1) hour or I- IJ longer in duration each customer shall receive a credit against the ,
capacity charge and the minimum charge for the billing period repre- -
- senting a fraction of the total capacity charge and of the minimum .-
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charge determined by the ratio of (i) the sum of the hours in which ' ~~'
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the rate of delivery was reduced to zero plus the total of the frac-
'^ , tional hours of partially reduced service (the fraction for each hour
< ing the ratio of the reduction in rate of delivery below that schedule
, .,y customer to customer's contract demand) to (ii) the number ~
of hours in the billing period. .s.j
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Customer shall be limited in its remedy for such interruptions or reductions to the relief granted by this provision. -
(* G. Cancellation for Violation by Customer I . l I'
G.I. Authority may cancel and terminate service under any service tariff upon violation of the terms of service as set forth in these l)- Rules and Regulations for Power Service, in the Service Tariff or b, ;
3 in the accepted application for service, Provided, That Authority shall not exercise its option to cancel unless written notice and statement I
~ t g of any violation shall have been given customer and customer afforded I g ? period of at least sixty (60) days in which to cure such violation.
1 o, H. Waivers .\
y H.1. Any waiver at any time by either customer or Authority
,- of its rights with respect to a default or any other matter arising in
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l connection with service to customer shall not be deemed to be a waiver l with respert to any subsequent default or m:dter.
r 4 I. Notices b I.1. Except where otherwise specifically provided, any notics, ,
demand or request required or authorized by these Rules and Regu- l
. lations for Power Service, by the Service Tariff or by the accepted application for service shall be deemed properly given if mailed by registered mail, postage prepaid, to Authcrity at the address of -
Authority shown hereon, and to the official signing for customer at the address of customer shown on the application for service. The designation of the person to be notified or the address of such person may be changed at any time by similar notice. ' - - -
J. Transfer of Interest in Contract by Customer J.1. No voluntary transfer of service by customer or of the rights I
(. of customer under its accepted application for service shall be made without the written approval of Authority; Provided, That any suc-
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cessor to or assignee of the rights of the customer, whether by volun-tary transfer, judicial sale, foreclosure sale, or otherwise, shall be subject to all the provisions and conditions of this contract to the V same extent as though such successor or assignee were the original customer, and Provided further, That the execution of a mortgage or L trust deed, or judicial or foreclosure sales made thereunder, shall s
~ not be deemed voluntary transfers within the meaning of this para-7 graph. -: -
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ATTACHMENT B-2 EXCHANGE AGREDIE:;T This AGREEMENT is made and dated as of June 1, 1975 by and among THE C0dNECTICUT LIGHT AND POWER COMPATY ("CL&P"), THE HARTFORD ELECTRIC LIGHT COMPANY ("HELC0" and together with CL&P, the "NU Companies"), and LONG ISLAND LIGHTING COMPANY (,"LILC0").
1 WHEREAS, HELCO is the owner of a fossil-fired intermediate type electric generating facility at Middletown, Connecticut, which has a maximum net capability of 400,000 kilowatts and is designated as Middle-town Unit No. 4, (hereinafter called the "HELCO ilit"); and CL&P is the owner of a similar fossil-fired intermediate type electric generating facility at Montville, Connecticut, which has a maximum net capability of 410,000 kilowatts and is designated as Montville Unit No. 6, (herein-after called the "CL&P Unit," and together with the HELCO unit, the
" Exchange Units"); and 1
, WHEREAS, LILCO and the NU Companies have agreed in a related, though separate, agreement of even date herewith for an exchange of the NU Companies system capacity having the characteristics of the Pumped Storage Hydro-Electric Project located at Northficid Mountain in Erving
, and Northfield, Massacuusetts, of up to 100,000 kilowatts for an equal entitlement of capacity from LILCO's system during the term of this Agreement; and e
k WHEREAS, it is anticipated that during the tem of this Agreement, I
LILCO would normally be able to make greater economic use of a portion
1 1
3 2
of the output of the Exchange Units than the NU Companies and the NU Companics may, under certain conditions, be able to make economic use of gas turbine or fossil steam capacity supplied by LILCO; and 1 l WHEREAS, the NU Companics and LILCO wish to provide for an exchange I of the NU Companies system capacity from the Exchange Units of an amount of up to 100,000 kilowatts for an equal entitlement of capacity from LILCO's system during the term of this Agreement, 1
NOW THEREFORE, in consideration of the mutual obligations and undertakings set forth herein, it is agreed as follows:
1
- 1. Term The period during which the exchanges provided for herein shall occur (the " Term") shall begin at 7:00 a.m. on Monday, June 30, 1975 and r.iall continue until any of the parties shall have given each of the other parties no less than thirty (30) days prior written notice of termination. The applicable provisions of this Agreement shall continue in effect thereafter to the extent necessary to provide for final billing and adjustments but all such billing and adjustments shall be made no later than three months following the end of the Term.
I Units From Which Exchanges Shall Be Made 2.
l E The Exchange Units shall be the units from which the NU Companies C7 shall be deemed to provide capacity and energy to LILCO pursuant to this L Agreement for purposes of determining the capacity charge and the energy I
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charge. The llELCO Unit shall be deemed to provide one-half of the capacity and energy to LILCO pursuant to this Agreement and the CL&P I
Unit shall be deemed to provide the remaining one-half.
As used herein the term capability means the maximum dependable load carrying ability of the Exchange Units during the winter period, ;
expressed in kilowatta less that portion of such load carrying ability required for station use; and Capability shall be determined in accord-ance with Section 15.6 of the New England Power Pool ("NEPOOL") Agree-ment, dated as of September 1, 1971 and as amended from time to time. ,
I Presently the Capability of the HELCO Unit is 400,000 kilcwatts and the i
Capability of the CL&P Unit is 410,000 kilowatts.
The units from which LILCO shall be deemed to provide energy to the h
NU Companies pursuant to this Agreement shall be the units on LILCO's system whose cost of fuel and operation and maintenance is the incre-mental cost of supplying energy on the LILCO system as described in Section 7 below (the "LILCO Units"). It is expected that the LILCO Units will normally comprise base load, intermediate, or peaking fossil steam units or gas turbine units.
I
- 3. Exchanges 8
L1LCO and the NU Companies shall determine and mutually agree prior to 7 a.m. on the first Monday of each month during the Term whether an rw exchange shall take place thereafter during the period commencing at such time and exterding until 6:59 a.m. on the first Monday of the following month (a " Monthly Exchange Period"). The NU Companies and E
LILCO shall make such determination based on their expectations of achieving overall dollar savings. The NU Companics will also provide LILCO with information on any transmission limitations that might limit or prevent an exchange.
For every Monthly Exchange Period during which there shall be an exchange,.the NU Companies and LILCO shall mutually agree upon the amount of system capacity in kilowatts up to 100,000 kilowatts, to be exchanged (the " Capacity Exchange Amount"). For each hour during each Monthly Exchange Period that an exchange takes place, LILCO shall be entitled to the Capacity Exchange Amount, aad providing that the FELCO Unit is expected to be operable at 85% or more of its Capability for such hour, LILCO may schedule and is entitled to receive a delivery of energy in such hour for any amount up to an amount equal to one-half of the Capacity Exchange Amount, and providing that the CL&P Unit is expected to be operable at 85% or more of its capability for such hour, LILCO may schedule and is entitled to receive a delivery of energy in such hour for any amount up to an amount equal to one-half of the Capacity Exchange Amount, subject to the condition that the NU Companies can provide transmission service to deliver such energy to the boundary of the LILCO system ("LILCO Entitlement") . For those hours during such Monthly Exchange Period as the HELCO Unit is not operable, or is only capable of eperating at a icvel below 85% of its Capability, the NU Companies may, at their sole discretion, provide LILCO with entitlement (s) of energy up to the Capacity Exchange Amount from the CL&P Unit or from unit (s) on the HELCO system which have similar characteristics to those of the HELCO Unit (" Additional HELCO Unit (s)"), and for those hours during such
6 Q :
u 5 Monthly Exchange Period as the CL&P Unit is not operable, or is only W capable of operating at a level below 85% of its capability, the NU h
Companies may, at their sole discretion, provide LILCO with entitle-ment (s) of energy up to the Capacity Exchange Anount from the HELCO Unit or from unit (s) on the CL&P system which have similar characteristics to I those of the CL&P Unit (" Additional CL&P Unit (s)"). The sum of LILCO's Entitlement in the operable capability of the HELCO Unit, the CL&P Unit, the Additional HELCO Unit (s) and the Additional CL&P Unit (s) for each q i i
a hour shall be known ac "LILCO's Entitlement in the Operable Capability g
of the Units."
l l
The NU Companies shall be entitled to the Capacity Exchange Amount, and may schedule and are entitled to receive a delivery of energy from l
. the LILCO system during each hour in an amount up to LILCO's Entitlemant 1 in the Operable Capability of the Units for such hour subject to che ,h '
condition that LILCO can provide transmission service to delf.ver such J
,' energy to the boundary of the NU Companies' system ("NU Companies Entitle-e ments"). The NU Companies and LILCO shall not be obligated to take deliveries of energy during any hour in a Monthly Exchange Period that an exchange takes place. LILCO shall provide the New England Power Exchange ("NEPEX") with hourly incremental energy cost data during such Monthly Exchange Period and the NU Companies shall provide LILCO with the applicable actual replacement energy cost data for the Exchange Units. Such data with respect to the Exchange Units shall be equal to the price (c/MBTU) given to NEPEX for the replacement fuel prices and such prices are used by NEPEX for scheduling generation and pricing energy for interchange purposes ("NEPEX Replacement Fuel Price").
1 .
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- When an exchange has commenced for a Monthly Exchange Period, the exchange will continue for the duration of that Monthly Exchange Period
(
regardless of whether or not the HELCO Unit or the CL&P Unit shall subsequently operate at a reduced icvel of operation or be out of service.
1- Providing the NU Companies can provide transmission to deliver the LILCO Entitlement, then the LILCO Entitlement shall be deemed to be available to LILCO to provide spinning or assured reserve.
I Providing LILCO can provide transmission service to deliver the NU Entitlement, then the NU Entitlement shall be deemed to be available to the NU Comp es to provide spinning or assured reserve.
By mutual agreement, the parties may provide for Weekly Cycles of exchange during any Monthly Exchange Period for which an exchange had not commenced. As used herein the term " Weekly Cycle" shall refer to the period of time commencing at 7:00 a.m. on a Monday and ending at 6:59 a.m. on the following Monday.
- 4. Notification with Respect to Exchange LILCO shall notify the New York Power Pool ("NYPP") when the first exchange will start and the NU Cot:panies shall notify NEPEX of such fact. Thereafter, the NU Companies and LILCO shall notify NEPEX and NYPP respectively of the status and amount of the exchange for the next Monthly Exchange Period, or Weekly Cycle, as appropriate, prior to the commencement of such Monthly Exchange Period or Weekly Cycle. Instruc-tions as to the exact procedure to be followed in giving all such l I
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I notifications will be determined by mutual agreement of the parties and a copy of such instructions will be sent to NYPP and NEPEX.
1 5. Authority of Northeast Utilities Service Company The NU Companies hereby appoint and authorize the Northeast Utilities Service Company ("NUSC0") to represent and act for each of them in all matters relating to this Agreement.
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- 6. Payments to the NU Companies "y a. Capacity Charge LILCO shall pay to NUSCO monthly a Capacity Charge for each hour during the Monthly Exchange Period during which an exchange takes place, regardless of whether or not LILCO actually requests energy during such hour. The Capacity Charge shall be the product of (1) the Capacity Exchange Amount times (2) $0.002740 except that for any hour during which LILCO calls for deliveries for an amount .
I of energy up to the amount of the Capacity Exchange Amount and due 7 to limitations on the NU Companies' system, the NU Companies cannot l A
economically or are unable to deliver such deliveries, then the E Capacity Charge shall be the product of (3) the actual capacity available to LILCO during such hour (reflecting such reductions) 7 1" -
times (4) $0.002740. HELCO and CL&P shall share equally in the Capacity Charges.
r b. Station Service Energy Charge r
LILCO shall pay to NUSCO, during each month that an exchange l
! T' takes place, a Station Service Energy Charge. The Station Service
[ . Energy Charge shall be equal to the sum of (1) the product of (1)
an allowance for energy costs in dollars per kilowatthour determined by dividing the cost in dollars of fossil generation on the Northeast Utilities system for the prior month by t.he number of kilowatthours of fossil generation for each month, sad (ii) one-half of the Capacity Exchange Amount for the appropriate Monthly Exchange Period 511vided by the capabilit; for the HELCO Unit at such time, and (iii) the Station Service Energy provided for the HELCO Unit in kilowatthours i metered while the HELCO bait is 'not operating during the appropriate Monthly Exchange Period, and (2) the product of (i) an allowance for energy costs in dollars per kilowatthour determined by dividing the cost in dollars of fossil generation on the Nort.heast Utilities system for the prior month by the number of kilowatthours of fossil
- generation for each month, and (ii) one-half of the Capacity Ex-I change Amount for the appropriate Monthly Exchange Period divided by the capability for the CL&P Unit at such time, and (iii) the f
station service energy provided for the CL&P Unit in kilowatthours metered while the CL&P Unit is not operating during the appropriate Monthly Exchange Period. HELCO and CL&P shall be entitled to receive the Station Service Energy Charge associated with their respective units.
- c. Energy Charge LILCO shall pay to'NUSCO monthly an Energy Charge for kilowatt-hours delivered by the NU Companies pursuant to this Agreement
- during the Monthly Exchange Period. The Energy Charge shall be the sum of (1) the product of (i) the NEPEX Replacement Fuel Price for i . the HELCO Unit (expressed in units of $/ BTU), and (ii) 11,000 BTU /kWh (the experienced average heat rate of the HELCO Unit), and
M 2 ,
E (iii) the actual energy in kilowatthours that NYPP shall have scheduled and received (including transmission losses on the NU Companies' system) from the NU Companies and shall have been pro-vided by the HELCO Unit pursuant to this Agreemen::; and (2) the product of (i) the NEPEX Replacement Fuel Price for the CL&P Unit (expressed in units of $/ BTU), and (ii) 11,000 BTU /kWh, (the expe-rienced average heat rate of the CL&P Unit), and (iii) the actual energy in kilowatthours that NYPP shall have scheduled and received (including transmission losses on the NU Companies' system) from E the NU Companies and shall have been provided by the CL&P Unit at pursuant to this Agreement. In the event that the Additional HELCO Unit (s) or the Additional CL&P Unit (s) are used to provide energy to LILCO pursuant to this Agreement, the Energy Charge shall be the g ,
L same as that determined in the immediately preceding sentence.
HELCO and CL&P shall receive the aggregate of their respective Energy Charges as computed above.
I
- 7. Payments Due LILCO NUSCO shall pay LILCO a monthly Energy Charge for the energy which LILCO has provided to the NU Companies from the LILCO Units pursuant to this Agreement during such month. Such Energy Charge shall be based on ha the incremental cost of providing such energy. Such incremental cost shall be determined prior to LILCO's economy or emergency transactions
{& and shall be determined (1) in the case of LILCO's gas turbine units, on the estimated incremental cost for each hour (mills / kWh) as reported to i
NYPP, and (2) in the case of LILCO's fossil steam units, on the incre-Ia mental cost for each hour (mills /kWh) as reported to NYPP plus a 107.
1 adder, provided, however, that at no time shall the Insil steam incre-1
- a. .
I A mental cost plus the 10% adder exceed the incremental rate for gas turbines during that same hour. Such energy rates will be appropriately a
applied to all kilowatthours that NEPEX shall have scheduled and received (including transmission losses on LILCO's system) from NYPP pursuant to this Agreement during the month. It is agreed that procedures will be i
established to regularly provide NEPEX with current rates applicable to (block) amounts of exchange capacity available pursuant to this Agreement.
- 8. Billing and Paymenc Bills shall be rendered as soon as practicable after the end of the I calendar month. Such bills shall incorporate such information as may be reasonably necessary or desirable to determine the payments due with respect to the month.
I Bills may be based in whole or in part upon estimates. Bills shall be subject to adjustment for any errors in arithmetic, computation, meter readings, estimating, or otherwise. All payments shown to be due on a bill, subject to subsequent adjustment as heretofore provided, shall be due and payable not later than fif teen days af ter receipt of the bill. Any amount remaining unpaid after fifteen days shall bear interest at the annual rate of 2% over the current interest rate on prime co=mercial loans then in effect at the Connecticut Bank and Trust Company, from the date of the invoice to the date of payment.
p 9. Delivery Point and Transmission
? . ,
D 1 All deliveries of energy scheduled by LILCO for its use pursuant to this Agreement shall normally be effected at the points at which the Exchange Units ate metered. LILCO shall be responsible for all transfor=er ;
I - l
- ,s s- -- -
n i._
r l and transmission losses with respect to transformation and deliverics of
[ energy for LILCO beyond the points at which the Exchange Units are l l
p metered.
L LILCO shall, where practical, identify the LILCO Units from which such deliveries are deemed to be made and such deliveries shall be effected at the point at which the LILCO Units are metered. The NU Companies shall be responsible for all transformer and transmission losses on the LILCO System with respect to transformation and deliveries of energy for the NU Companies pursuant to this Agreement beyond the point at which the LILCO Units are metered.
l l
The NU Companies and LILCO recognize that the NU Companies' ability to provide trcnsmiccion cervice is subject to a number of constraints l involving the availability of generating units and their loading together with the availability of the 115 kV transmission system supplying the E'
Southwest area of Connecticut. The. NU Companies shall provide trans-mission service for LILCO to deliver or receive energy between the Exchange Units and the 138 kV Iong Island cable interconnection at the Connecticut-New York border between the Norwalk Harbor Generating Station of CL&P and the Northport Generating Station of LILCO (the " point of intercon-nection") subject to the following conditions:
D (i) Transmission service shall be provided subject to the trans-mission requirements of the Northeast Utilities Companies including delivery of power sold to wholesale custcmers under normal and emergency conditions and in accordance with good utility operating practice.
E
- (ii) The Northeast Utilities Companies shall determine in their sole discretion whetter or not to operate generating units out of rate
' at times when transmission service would otherwise be reduced or cur-
- tailed to provide additional transmission service to effect.the exchange and it is agreed that the NU Companies shall not have incurred any obligations pursuant to this Agreement to undertake such operation.
LILCO shall be solely responsible for arrangements for transmission service on its system from the point of interconnection.
LILCO shall provide transmission service for the NU Companies to deliver energy from the LILCO Units to the point of int..rconnection.
The NU Companies shall be solely responsible for arrangements for trans-mission service on their system from the point of interconnection.
Determination of the transformer and transmission losses shall be by mutual agreement of the parties and in accordance with good utility operating practice.
The NU Companies and LILCO recognize that at certain times when transmission service is limited between the NU Companies system and the l l
LILCO system via the point of interconnection it may be advantageous to l all parties if the NU Companies were to receive or deliver energy pursuant to this Agreement at either the 345 kV interconnection between Frost Bridge Substation of CL&P and the Pleasant Valley substation of Consolidated Edison Company of New York, Inc. , or the Northfield switch-ing station of WMECO and the New Scotland substation of Niagara Mohawk Power Corporation (" alternative points of interconnection"). The NU
l U" '
_13 b Companics and LILCO may mutually agree to receive or deliver energy pursuant tc the Agreement at the niternative points of interconnection.
O LILCO shall be responsibic for making arrangements with intervening r electric utilities in New York Stato and with NYPP for providing trans-E s
mission service from the alternative points of interconnection to the F
LILCO system, and shall also be responsible for any additional trans-mission losses or for the payment of any transmission charges required 5 by such intervening electric utilities.
i
- 10. Metering The output of the HELCO Unit will be metered at the Middletown Generating Station, the output of the CL&P Unit will be metered at the Montville Generating Station, and the output (s) of the Additional HELCO Unit (s) and the Additional CL&P Unit (s), will be metered at their respective generating stations. The output of the LILCO Units will be metered where practicable at the LILCO Units. Metering equipment
? -
required for the LILCO Units, shall be furnished by LILCO. Metering equipment required for the Exchange Units, the Additional HELCO Unit (s) and the Additional CL&P Unit (s) shall be furnished by the NU Companies.
All metering equipment shall be maintained by the furnishing party (s) in accordance with good utility operating practice.
- 11. Priority LILCO agrees that entitlements from the LILCO Units to other utili-ties shall not carry a higher priority of availability than the entitle-ments to the NU Companies under this Agreement, and the NU Companies l
agree that entitlements from the Exchange Units to other utilities shall l not carry a higher priority of availability than the entitlements to
! LILCO hereunder. l l !
v s, .
5 12. Scheduled Maintenance The NU Companies agree to maintain the Exchange Units in accordance with good utility operating practice and to the extent practicable in accordance with the schedules established by NEPEX. Normal periodic inspection, maintenance and overhaul of the Exchange Units will be M
N planned and undertaken as far as practicabic in accordance, and at times y consistent, with planned maintenance schedules determined from time to
} time by NEPEX and approved by the NEPOOL Operations Committea. Other maintenance, including emergency maintenance on the Exchange Units, will be undertaken at times and in a manner determined by the owner in o
consultation with NEPEX and, as far as practicabic, consistent with the f objectives of NEPEX and the interests of the other party or parties or any other utilities having entitlements in the Exchange Units. However, the NU Companies reserve the right, in their sole discretion, to deter-mine at all times the extent to which the Exchange Units are physically operable and their operation and dispatch is otherwise practicable.
l
- 13. Liability and Insurance No party shall be responsible to any other party for any damages whatsoever, including damages resulting from the negligence of any party, which may result from any interruption or failure of service or deficiencies in'the quality of service hereunder, unless such inter-ruption or failure or deficiency is the result of willful default in the provisions of this Agreement by such party, it being the intent of this provision that all parties shall assume the risks of interruption, failure or deficiency in quality or quantity of service on the system of the other(s) caused by the hazards of the business to the same extent as l
l if they were themselves operating such system for the purpose of supply-l ing themselves with electricity.
7 )
" i Each party will indemnify and save the others harmless from and E against all costs and damage by reason of bodily injury, death or damage to property caused by or sustained on facilities owned or controlled by such party, except that each party shall be solely responsible for and shall bear all costs of claims by its own employees or contractors p
d growing out of any worlanen's compensation law. Each party shall fur-nish, at its sole expense, such insuraca coverage and such evidence thereof as any other party may reasonably require with respect to its W
& obligation under this paragraph.
D 3 14. Arbitration Any dispute between the parties with respect to this Agreement shall be submitted to arbitration at the request of any party. Copies I .
A of any cuch request shn11 be served on all parties and such request y shall specify the issue or issues in dispute and summarize the complain-ing party's claim with respect thereto. Within ten days after receipt of such a request, authorized representatives of the parties shall confer and attempt to agree upon appointment of a single arbitrator. If
$ such agreement is not accomplished, any party may request the American
! Arbitration Association to appoint an arbitrator in accordance with its Commercial Arbitration Rules, which rules shall govern the conduct of the arbitration in the absence of contrary agreement by the parties.
The arbitrator shall conduct a hearing and within thirty days there-after, unless such time is extended by agreement of the parties, shall notify the parties in writing of his decision, stating his reasons for such decision and separately listing his findings of fact and conclu-sions of law. The arbitrator shall not have power to amend or add to
.g_
i k
F this Agreement. Subject to such limitation, the decision of the arti-trator shall be final and binding except that any party may petition a
[ court of competent jurisdiction for review of errors of law. The l
decision of the arbitrator shall determine and specify how the expenses '
s l
of the arbitration shall be borne.
Y
- 15. Laws, Regulations, Orders, Approvals and Permits This Agreement is made subject to present and future local, state j and f ederal laws and to the regulations or orders of any local, state or e
federal regulatory authority having jurisdiction over the matters set I
g forth herein; and performance hereunder is conditioned upon securing and
, retaining such local, state or federal approvals, grants or permits as may from time to time be necessary with respect to such performance.
All parties agree to use their best efforts to secure and retain all such approvals, grants, or permits.
- 16. Assignment Recognizing that the number and timing of the exchanges provided for herein are uncertain, it is agreed that this Agreement and/or the ,
l rights of any party under this Agreement shall not be assigned, pledged I I
or otherwise transferred without the prit.r written consent of all other parties hereto except that any party may assign or transfer this Agree-ment without obtaining such consent if such assignment or transfer is either (a) incident to a merger, consolidation or acquisition of all or substantially all of the electric utility property or generating faci-lities of the transferor or (b) to a party's wholly-owned parent or subsidiary or to any utility which is under common ownership or control l
.=
I 1 0 with it, including but not limited to a trancier by one of the NU Com-panies to another of the NU Companies or another wholly-owned direct or indirect subsidiary of Northeast Utilities. Any assignee or transferee shall be required to assume all the obligations of the assignor or transferor under this Agreement.
I
- 17. Interpretation The interpretation and performance of thic Agreement shall be in accordance with and controlled by the laws of Connecticut.
I
- 18. Severability of Provisions A holding by any court or governmental agency having jurisdiction that any provision of this Agreement is invalid shall not result in invalidation of the entire Agreement but all remaining terms shall remain in full force and effect.
I
- 19. Miscellaneous I A. Each party et.all execute and deliver any documents reasonably required to implement any provision hereof.
B. Any number of counterparts of this Agreement may be executed and each shall have the same force 'and effect as the origins'-
C. This Agreement shall constitute the entire understanding between the parties and shall supersede any and all previous
- understandings pertaining to the subject matter of this Agreement.
I
IN WITNESS WHEREOF, the parties have caused this Agreement to be signed by their respective authoriecd officers and their respective corporate seals to be affixed hereto as of the date first above written.
NU COMPANIES:
THECON!{CTICUTLIGHTANDPOWERCOMPANY By .
+~(
M ts yJcE.PncssocNT Address Selden St., Berlin, Conn.
THE HAR ORD ELECTRIC LIGHT '.:0MPANY By -
M MV 7ts EICE.Pn ESID EN,T Address 176 Cumberlan.i Ave. , Wethersfield, Conn.
LILCO: 1DNG ISLAND LIGHTING COMPANY By 'M hm M %
ItY Vice President U Address 175 East Old Country Road, Hicksville, N. Y.
11801 4
9 1
I, KATHLEEN M. BROWN, Assistant Secretary of LONG ISLAUD 5
4 LIGHTING COMPANY, DO HEREBY CERTIFY that the foregoing document
' is a true and correct copy of an agreement entered into by this Company and Connectucut Light and Power Company and The Hartford Electric Light Company under date of June 1, 1975, the original of which is in my custody.
IN WITNESS WHEREOF, I have hereunto set my hand and seal of said Company this 21st day of January, 1976.
n /MI V Assistant Secretary (Corporate Seal) l l l P
, l ATTACHMENT B-3 EXCHANGE ACREEMENT This AGREEMENT is made and dated as of June 9,1975 by and among THE CONNECTICUT LIGHT AND POWER COMPANY ("CLSP") . THE HARTFORD ELECTRIC LIGHT COMPANY ("RELCO"), WESTERN MASSACHUSETTS ELECTRIC COMPANY ("WMEC0" and together with CL&P and HELCO, the "NU Companies"), and LONG ISLAND LIGHTING COMPANY ("LILC0").
WHEREAS, the NU Companies have constructed a Pumped Storage Hydro-Electric Project (the " Project") located at Northfield Mountain in Erving and Northfield, Massachusetts, which Project is designed for a total nominal generating capacity of 1,000,000 kilowatts; and WHEREAS, LILCO and the NU Companies have agreed in a related, though separate, agreement of even date herewith for an exchange of the NU Companies system capacity from a fossil-fired intermediate type electric generating facility owned by HELCO and located at Middletown, Connecticut (designated as Middletown Unit No. 4), for an equal entitlement of capacity from LILCO's system during the term of this Agreement.
WHEREAS, the NU Companies have made a general offer to sell capa-city of the Project during the expected term of this Agreement and have entered into agreements with all persons accepting such offer; and WHEREAS, it is anticipated that during the term of this Agreement, LILCO would normally be able to make greater economic use of a portion of the Project capacity than the NU Companies and the NU Companies may, under certain conditions, be able to make economic use of gas turbine or fossil steam capacity supplied by LILC0; and
.2-WHEREAS, the NU Companies and LILCO wish to provide for an exchange of the NU Companies system capacity having the characteristics of the Project of up t,o 100,000 kilowatts for an equal entitlement of capacity i from LILCO's system during the tem of this Agreement, NOW THEREFORE, in consideration 7f the mutual obligations and undertakings set forth herein, it is agreed as follows:
- 1. Tern a
The period during which the exchanges provided for herein shall occur (the " Term") shall begin at 7:00 a.m. on Monday, June 9, 1975 and shall continue until any of the parties shall have given each of 'he t I 'other parties no less than thirty (30) days prior written notice of l
termination. The applicable provisions of this Agreement shall continue in effect thereafter to the extent necessary to provide for final billing and adjustments but all such billing and adjustments shall be made no later than three months following the end of the Term.
I f 2. Description of the Project and Units
, The Project is a pumped storage hydro-electric development located E
L at Northfield Mountain on the east side of the Connecticut River in
{ Erving and Northfield Massachusetts. It has four pump-turbine generator a-units, installed underground in Northfield Mountain, each presently with a maximum and normal generating capability of 250,000 kilowatts, so that g the total maximum and normal generating capability of the Project is 1,000,000 kilowatts, and such capability has been determined in accordance with Section 15.6 of the New England Power Pool ("NEPOOL") Agreement.
9 i
_3 The reservoir in the Connecticut River created by the Turners Falls dam of WMECO censtitutes the lower reservoir for the Project, and a pond (the " pond") constructed netc the top of Northfield Mountain constitutes the upper reservoir. The pond has an aggregate pondage when full equivalent to approximately 8,767,000 kilowatthours of generation.
The units from which LILCO shall be deemed to provide energy to the NU Companies pursuant to this Agreement shall be the units whose cost of fuel, operation and maintenance is the incremental cost of supplying energy on the LILCO system as described in Section 8 below (the " Units").
It is expected that the Units will normally comprise base load, inter-mediate, or peaking fossil steam units or gas turbine units.
- 3. Exchanges LILCO and the NU Companies shall determine and mutually agree prior to 7 a.m. on the first Monday of each month during the Term whether an exchange shall take place thereaf ter during the period commencing at such time on such Monday and extending until 6:59 a.m. on the firs' Monday of the following month (a " Monthly Exchange Period"). The NU j Companies and LILCO shall make such determination based on their expec-tations of achieving overall dollar savings. The NU Companies will also provide LILCO with information of the expected availability of the Project together with information on any transmission limitations that might affect the exchange.
For every Monthly Exchange Period during which there shall be an exchange, the NU Companies and LILCO shall mutually agree upon the amount of system cap 4 :ity in kilowatts to be exchanged (the " Capacity I
, l l-1 E Exchange Amount"). During each Monthly Exchange Period, LILCO shall be i
j entitled to the capacity Exchsnge Amount and shall be entitled to sche- i 1
h dule energy deliveries frem the NU Companies daily up to an aggregate 0
amount equivalent to its Entitlement Percentage of the economy pondage l l
and shall be obligated to deliver to the NU Companics an amount of 1
i energy (" pumping energy") during off-peak hours sufficient to restore l the pondage deemed to have been ;:ilized to effectuate such deliveries.
Such schedule of receipts and deliveries shall at all times be subject to the rights and obligations more fully set forth in Section 5 hereof.
LILCO's Entitlement Perccatage shall be determined for each Monthly Exchange Period and shall be a fraction the numerator of which is the Capacity Exchange Amount and the denominator of which is 1,000,000 i
kilowatts. The NU Companies shall be entitled to the Capacity Exchange !
Amount and an amount of energy from the LILCO system during each hour equal to LILCO's entitlement in the capability at which the Project is actually capable of operating ("Oper&ble Capability") during such hour. C'YD When an exchange has commenced for a Monthly Exchange Period, the exchange will continue for the duration of that Monthly Exchange Period regardless of whether or not the Project shall subsequently operate at a reduced level of operation or be out.of service. If the Operable Capability f ^
.'\ >
of the Project is less than 1,000,000 kilowatts during any hour either '
as the result of a scheduled or unscheduled outage or other limitations, then the amount of capacity and energy which LILCO may schedule shall be reduced to an amount equal to LILCO's Entitlement Percentage of the Operable Capability and available pondage; provided that the NU Companies may, in their sole discretion, during such hour provide L1LCO with the same entitlement in the output and input of the Project as LILCO vould
have in accordance with the pre g paragraph if the Operable Capability of the Project were 1,000,000 kilowatts, by substituting equal amounts 9
b of the NU Companies' entitlement in those units of the Project which are operable for LILCO's entitlement in those unit (s) that are not operable.
By mutual agreement, the parties :.tay provide for Weekly Cycles of py exchange during any Monthly Exchange Period for which an exchange had 2 not commenced. As used herein the term " Weekly Cycle" shall refer to l the period of time commencing at 7:00 a.m. on a Monday and ending at 6:59 a.m. on the following Monday.
A
- 4. Notification with Respect to Exchange LILCO shall notify the New York Power Pool ("NYPP") when the first exchange will start and the NU Companies shall notify the New England Power Exchange ("NEPEX") of such fact. Thereafter, the NU Companies and LILCO shall notify NEPEX and NYPP eespectively of the status and amount of the exchange for the next Monthly Exchange Period er Weekly Cycle as appropriate, prior to the commencement of such Monthly Exchange Period or Weekly Cycle. Instructions as to the exact procedure to be followed
, -in giving all such notifications will be determined by mutual agreement i of the parties and a copy of such instructions will be sent to NYPP and l NUU. .
1
- 5. Energy Rights and Obligations of LILCO With Respect to the Operation and Dispatch of the Project The NU Companies will supply and deliver all energy for the pumping required to assure that the pond is full at the beginning of the first i .
)
g, Weekly Cycle to occur during the Term. LILCO will have an interest in the pondage, both economy and emergency, equivalent to its Entitlement 1 Percentage.
I Sufficient off-peak energy deliveries (pumping enerm ) to the NU Companies must be made by LILCO to permit full restoration of LILCO's entitlement in the pond at the end of each Weekly Cycle that an exchange taxes place. LILCO shall be obligated tp deliver to the NU Companies an amount of energy equal to the Pumping-Generation Ratio times the amount of energy scheduled and received by LILCO (appropriately adjusted to reflect LILCO's responsibility for transmission losses on the NU Com-panies' system). The Pumping-Generation Ratio to be used shall be the applicable Pumping-Generation Ratio currently in use by NEPEX. The currently applicable Pumping-Generation Ratio is 1.33:1.00. LILCO shall be obligated to provide the capacity and energy for its deliveries of pumping energy.
I The amount of pondage available for economy operation and dispatch 1
(" economy pondage") is limited by the conditions in the icver reservoir.
Under normal conditions such economy pondage shall be deemed to be 8.318,000 kilowatthours. Under certain conditions of river flow, economy pondage may be restricted. Pondage other than economy pondage will normally be retained for emergency operation and dispatch (" emergency pondage"). Emergency pondage normally amounts to approximately 449,000
, kilowatthours. The NU Companies reserve the right to modify the operating I L limits to the extent necessary to comply with the orders of regulatory authorities or in accordance with good engineering and operating practice.
s I
The Project shall be deemed to be available to LILCO to provide spinning or assured reserve in an amount equal to LILCO's Entxtlement i
Percentage times the Operable Capability of the Project to the extent that the NU Companies and LILCO can provide transmission service to wheel such reserves.
1 It in contemplated that LILCO will normally vbedule its energy receipts within the period 8 a.m. - 10 p.m. and shall supply pumping energy within the balance of the 24 hoar period with due allowance be'ng made for the time required to change from the generating to the pumping mode. The scheduling of LILCO receipts and deliveries of energy will be .
1 I in accordance with the schedule that LILCO cnd NEPEX shall mutually agree to, based on good utility operating practice. It is conte = plated that, at the request of LILCO (provided that at least one-hour's notice I shall be given), NEPEX shall attempt to make subsequent adjustments to such schedules of receipts or deliveries, to conform more closely with actual conditions on the system of LILCO, provided that no such adjust-ment shall resalt in substantial inequity to any other purchaser, or the NU Companies, er any other participant in NT1EX.
4 i
. Although it is anticipated that the actual operation of available Project capacity and pondage will typically coincide with the receipts and deliveries of energy and capacity scheduled by LILCO, it is under-stood that because of a combination of physical constraints as to g
minimum loadings in the pumping and generating moJes and other economic and operating considerations, such will not always be the case and it is agreed that the NU Companies (or NEPEX acting as their Agent) shall have complete authority to schedule the actual operation of the Project;
.- - .. . . . . .- - ..-. ....o.. . . - . ~ . . . ~ - . . . . . . ..
l provided however that the actual scheduling of operation of availabic capacity of the Project shall not act to restrict the opportunity of a
LILCO to schedule deliveries and receipts of energy as provided in the preceding paragraph.
In no event shall LILCO schedule deliveries of energy at any time during the Monthly Exchange Period in an amount which will more than I exhaust its entire interest in economy pondage at the time. LILCO shall be responsible for determining on an hourly basis the amount of pondage available to it.
I Unless the NU Companies make the election permitted under the penultimate paragraph of Section 3 hereof, no energy receipts or deliveries may be scheduled by LILCO at any time at a rate in excess of its Entitlement Percentage of the Operable capability of the Project.
I '
For accounting and scheduling purposes energy receipts and deliveries related to LILCO's Entitlement Percentage of the Project shall be kept separate from energy deliveries made by LILCO to the NU Companies from the Units.
g 6. Energy Rights.and Obligations of the NU Companies With Respect to the Operation and Dispatch of NU Companies' Entitlement in LILCO's System Power The NU Companies shall not be obligated to take deliveries of 7
$, energy during any hour in a Monthly Exchange Period that an exchange
. takes place; however, LILCO shall provide NEPEX with hourly incremental energy cost data during sush Monthly Exchange Period. The NU Companies f may schedule and are entitled to receive a delivery of energy in any
E _9 Y I hour in a Monthly Exchange Period that an exchange takes place for any E amount up to an amount eqral to LILCO's entitlement in the Operable A
Capability of the Project during such hour.
77 i is The Units shall be deemed to be available to the W Companies to provide spinning or assured reserve in an amount equal to the Capacity I Exchange Amount to the extent that the W Companies and LILCO can pro-U vide transmission service to wheel such res;rves.
- 7. Payments to the W Companies
- a. Capacity Charge LILCO shall pay to the W Companies monthly a Capacity Charge for each hour during the Monthly Exchange Period during which an exchange takes place, regardless of whether or not LILCO actually o
calls for receipts from or deliveries to the Project. The Capacity Charge shall be the product of (1) the Capacity Exchange Amount times (2) $0.001256 except that for any hour during which LILCO calls for receipts from or deliveries to the Project up to the 1 l h Capacity Exchange Amount'and the Project is unable to meet such a demands or due to limitations on the W Companies transmission o
system the W Companieu are unable to receive such receipts or l deliver such deliveries, then the Capacity Charge shall be the product of (3) the actual capacity (reflecting reductions due to transmission limitations if any) available to LILCO during such hour times (4) $0.001256.
- b. Station Service Energy Charge LILCO shall pay, for each Monthly Exchange Period during which an Exchange takes place, a Station Service Energy Charge. The
- g. .
2 Station Service Energy Charge shall be equal to the product of (1) s an allowance for energy costs in dollars per kilowatthour, deter-6 mined by dividing the cost in dollars of fossil generation on the Northeast Utilities system for the prior month by the number of kilowatthours of fossil generation for such month, and (2) LILCO's M Entitlement Percentage of station service energy in kilowatthours metered during each such Montly Exchange Period while none of the units of the Project are in operation in either the pumping or E generating mode.
I 8. Payments Due LILCO The NU Companies shall pay LILCO a monthly Energy Charge for the energy (other than the pumping energy which LILCO is obligated to l supply) which LILCO has provided to the NU Companies from the Units y pursuant to this Agreement during such month. Such Energy Charge shall b be based on the incremental cost of providing such energy. Such incre-mental cost shall be determined prior to LILCO's economy or emergency transactions and shall be determined (1) in the case of LILCO's gas I turbine units, on the estimated incremental cost for each hour (mills /kWh) as reported to 'TPP, and (2) in the case of LILCO's fossil steam units,
" on the inertmental cost for each hour (mills /kWh) as reported to NYPP l plus a 10% adder, provided, however, that at no time shall the fossil steam incremental cost plus the 10% adder exceed the incremental rate I
f for gas turbines during that same hour. Seeh energy rates will be 9 appropriately applied to all kilowatthours that NEPEX shall have sche-duled from NYPP pursuant to this Agreement completed during the month.
.It is agreed that procedures will be established to regularly provide
NEPEX with current rates applicable to (block) amounts of exchange capacity available pursuant to this Agreement.
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- 9. Billing and Payment Bills shall be rendered as soon as practicable af ter the end of the calendar month. Such bills shall incorporate such information as may be reasonably necessary or desirable to determine the payments due with respect to the month.
Bills may be based in whole or in part upon estimates. Bills shall be subject to adjustment for any errors in arithmetic, computation, I meter readings, estimating, or otherwise. All payments shown to be due on a bill, subject to subsequent adjustment as heretofore provided, shall be due and payable not later than fifteen days after receipt of the bill. Any amount remaining unpaid after fifteen days shall bear interest at the annual rate of 2% over the current interest rate on prime commercial loans then in effect at The Connecticut Bank and Trust Company, from the date of the invoice to the date of payment.
- 10. Delivery Point and Transmission All receipts of energy from and deliveries of energy scheduled by
. ' - its use (including pumping energy) pursuant to this Agreement
...n normally be effected at the point at which the Project units are I metered. LILCO shall be responsible for all transformer and transmis-f sion losses with respect to transformation and deliveries and receipts of energy for LILCO beyond the point at which the Project units are metered.
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3 2 LILCO shall, where practical, identify the Units from which de-
] liveries of energy to the NU Companics (other than pumping energy) are 1
deemed to be made and such deliveries shall be effected at the point at which the Units are metered. The NU Companies shall be responsible for
. all transformer and transmission losses with respect to transfor=ation and deliveries of energy for the NU Companies beyond the. point at which the Units are metered.
The NU Companies and LILCO recognize that the NU Companies ability to provide transmission service is subject to a number of constraints 1 involving the availability of generating units and their loading to-
, gether with the availability of the 115 kV transmission system supplying the Southwest area of Connecticut. The NU Companies shall provide transmission service for LILCO to deliver or receive energy between the Project and the 138 kV Long Island cable interconnection at the Connecticut-I New York border between the Norwalk Harbor Generating Station of CL&P and the Northport Generating Station of LILCO (the " point of intercon-nection") subject to the following conditions:
I (1) Transmission ' service shall be provided subject to the transmis-I sion requirements of the NU Companies in>luding delivery of power sold to wholesale customers under normal and emergency conditions and in accordance with good utility operating practice.
I y (ii) The NU Companies shall determine in their sole discretion f.
whether or not to operate generating units out-of-rate at times when transmission service would otherwise be reduced or curtailed to provide additional transmission service to effect the exchange and it is agreed l I
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_13 that the NU Companies shall not have incurred any obligations pursuant 7 to this Agreement to undertake such operation. LILCO shall be sclely 4
k i responsible for arrangements for transmission service on its systes from i
! the point of interconnection. !
K i F b; LILCO shall provide transmission service for the NU Companies to F deliver energy from the Units to the point of interconnection. The NU
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Companies shall be solely responsible for arrangements for transmission j service on their system frem the point of interconnection.
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= Determination of the transformer and transmission losses shall be 7 by mutual agreement of the parties and in accordance with good utility
, h bperating practice.
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! , The NU Companies and LILCO recognize that at certain times when transmission service is limited between the NU Companies' system and the
- LILCO system via the point of interconnection, it may be advantageous to all parties if the NU Companies were to receive or deliver energy 1
, pursuant to this Agreement at one or both of the 345 kV interconnections
. between Frost Bridge Substation of CL&P and the Pleasant Valley sub-station of Consolidated Edison Company of New York Inc., or the North-field switching station of WMECO and the New Scotland substation of Niagara Mohawk rever Corporation (" alternative points of interconnection") .
At such times when transmission service is limited, by mutual agreement
, of the parties, arrangements may be made to receive or deliver energy pursuant to the Agreement at the alternative points of interconnection.
LILCO shall be responsible for making any such arrangements with inter-vening electric utilities in New York State and with NYPP for providing
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-1s-f transmission service from the alternative points of interconnection to
, the LILCO system. Unless otherwise agreed, LILCO uhall also be responsible !
b for any additi6nal transmission losses or for the payment of any trans-
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A mission charges required by such intervening electric utilities.
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9 g 11. Metering
, The output of and input to the Project units will be metered at i
s' generator voltage at a point between the, Project units and the Project
[ Substation. The output of the Units will be metered where practicable b
at the Units. Metering equipment required for the Units shall be fur-T nished by LILCo. Metering equipment required for the Project shall be furnished by the NU Companies. All metering equipment shall be main-tained by the furnishing party (s) in accordance with good utility operating practice.
7
', 12. Priority
, LILCO agrees that entitlements from the Units to other utilities shall not carry a higher priority of availability.than the entitlements
} to the NU Companies under this Agreement, and the NU Companies agree o
that entitlements from the Project to other utilities shall not carry a higher priority of availability than the entitlements to LILCO hereunder.
- 13. Scheduled Maintenance NU Companies agree to maintain the Project in accordance with good utility operating practice and to the extent practicable in accordance with the schedules established by NEPEX. Normal periodic inspection, maintenance and overhaul of the Project will be planned and undertaken as far as practicable in accordance, and at times in a manner consistent,
with planned maintenance schedules determined from time to time by NEPEX and approved by the NEPOOL Operations Committee. Other maintenance, including emergency maintenance of the Project, will be undertaken at times and in a manner determined by the owners in consultation with NEPEX and, as f ar as practicable, consistent with the objectives of NEPEX and the interests of the other party or parties or any other utilities having entitlements in the Project. However, the NU Companies reserve the right, in their solo discretion, to determine at all times
, the extent to which the Project is physically operable and its operation and dispatch is otherwise practicable.
- 14. Liability and Insurance No party shall be responsibic to any other party for any damages whatsoever, including damages resulting from the negligence of any party, which may result from any interruption or failure of service or deficiencies in the quality of service hereunder, unless such inter-ruption or failure or deficiency is the result of willful default in the provisions of this Agreement by such party, it being the intent of this provision that all parties shall assume the risks of interruption, failure or deficiency in quality or quantity of service on the systems of the other(s) caused by the hazards of the business to the same extent as if they were themselves operating such systems for the purpose of supplying themselves with electricity.
In the event that the NU Companics or LILCO are prevented from furnishing capability and delivering cicetricity, they agree to use reasonable diligence to resume delivery of electricity after cessation of the event causing such nondelivery.
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I Each party will indemnify and save the others harmless from and againsc all costs and damage by reason of bodily injury, death or damage 6
to property caused by or sustained on facilities owned or controlled by I
such party, except that each party shall be solely responsible for and
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shall bear all costs of claims by its own employees or contractors j growing out of any workmen's compensation law. Each party shall fur- ,
nish, at its sole expense, such insurance coverage and such evidence thereof as any other party may reasonably require with respect to its obligation under this paragraph.
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- 15. Arbitration l Any dispute between the parties with respect to this Agreement I
shall be submitted to arbitration at the request of any party. Copies of any such request shall be served on all parties and such request shall specify the issue or issues in dispute and summarize the complair.-
ing party's claim with respect thereto. Within ten days after receipt of such a request, authorized representatives of the parties shall confer and attempt to agree upon appointment of a single arbitrator. If such agreement is not accomplished, any party may request the American Arbitration Association to appoint an arbitrator in accordance with its l
Commercial Arbitration Rules, which rules shall govern the conduct of the arbitration in the absence of contrary agreement by the parties.
The arbitrator shall conduct a hearing and within thirty days there-after, unless such time is extended by agreement of the parties, shall notify the parties in writing of his decision, stating his reasons for such decision and separately listing his findings of fact and conclu-sions of law. The arbitrator shall not have power to amend or add to
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this Agreement. Subject to such limitation, the decision of the arbi-trator shall be final and binding except that any party may petition a court of competent jurisdiction for review of errors of Jaw. The l
8 decision of the arbitrator shall determine and specify how the expenses of the arbitration shall be borne.
- 16. Laws, Regulations, Orders, Approvals and Permits This Agreement is made subject to present and future local, state and federal laws and to the regulations or orders of any local, state or federal regulatory authority having jurisdiction over.the matters set forth herein; and performance hereunder is conditioned upon securing and retaining such local, state or federal approvals, grants or permits as may from time to time be necessary with respect to such performance.
All parties agrec to use their be:t efforts to secure and retain all such approvals, grants, or permits.
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- 17. Assignment Recognizing that the number and timing of the exchanges provided for herein are uncertain, it is agreed that this Agreement and/or the rights of any party under this Agreement shall not be assigned, pledged or otherwise transferred without the prior written consent of'all other parties hereto except that any party may assign or trainsfer this Agree-ment without obtaining such consent if such assignment or transfer is' l
either (a) incident to a merger, consolidation or acquisition of all or substantially all of the electric utility property or generating faci-lities of the transferor or (b) to a party's wholly-owned parent or subsidiary or to any utility which is under common ownership or control
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with it, including but not limited to a transfer by one of the h5 Com-panies to another of the hT Companics or another wholly-owned direct or i
indirect subsidiary of Northeast Utilities. Any assignee or transferee shall be required to assume all the obligations of the assignor or transferor under this Agreement.
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- 18. Rights, Entitlements and Obligations of NU Companies; Authority of Northeact Utilities Service Company o All rights, entitlements, and obligations of the hT Companies under this Agreement shall be deemed to be the individual rights, entitlements and obligations of each hT Company according to the following percentages:
I CL&P 53% l HELCO 28%
WMECO 19%
The NU Companies hereby appoint and authorize the Northeast Utilities Service Company ("NUSC0") to represent and act for each of them in all E matters relating to this Agreement; provided, however, that anything in this Agreement to the contrary notwithstanding, all obligations t.nd undertakings incurred by the hv Companies, or any of them under or as a result of this Agreement, are and shall be arcumed severally a. cording to the above percentages and not jointly.
k w 19. Interpretation The interpretation and perfor=ance of this Agtcement shall be in l
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- 20. Severability of Provisions A holding by any court or governmental agency having jurisdiction that any provision of this Agreement is invalid shall not result in 1 invalidation of the entire Agreement but all remaining terms shall l remain in full force and effect.
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- 21. Miscellaneous A. Each party shall execute and d'eliver any documents reasonably required to implement any provision hereof.
1 B. Any number of counterparts of this Agreement may be executed
'and each shall have the same force and effect as the original.
I C. This Agreeuent shall constitute the entire understanding between the parties and shall supersede any and all previous understandings pertaining to the subject matter of this Agreement.
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.20-I IN WITNESS WHEREOF, the parties have caused this Agreement to be signed by their respective authorized officers and their respective corporate seals to be affixed hereto as of the date first above written, l
y NU COMPANIES: THE CONN CTICUT LIGHT AND POWER COMPANY )
b- By MN . ,
Tts .VICC PREsiCCNT Address Selden St., Berlin, Conn.
THE TFORD ELECTRIC LIGHT COMPA!E
[
3y - r /3- v bY Its'/, e v ..o J~ i
, Address 176 Cumberland Ave.. Wethersfield, Conn.
I WEST SSACHUSETTS ELECTRIC COMPANY By M N
)A "Its V.1CE PRES 40ENT Address 174 Brush Hill Ave. , West Spring. , Mass.
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LILCO: LONG ISLAND LIGHTING COMPANY By C M' uwe .dA. V Its Vice President -
Address 175 E. Old Country Road, Hicksville, N. Y.
11801 I l 1 l l l 1 > 1 1 -
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' ATTACH!iENT B-4 e.
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i WEEKLY EXCllANCE AGREEME!!T ,
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This AGREDIENT is made and dated as of July 1,1976 by and among TIIE CONNECTICUT LIGHT A'ND POWER COMPANY ("CL&P"), Tile HARTFORD ELECTRIC LIGitT COMPANY ("IIELC0" and together with CL&P, the "NU Companics"), and LONG ISLAND LIGl! TING COMPANY ("LILC0").
WHEREAS, HELCO is the owner of a. fossil-fired intermediate type 1
electric generating facility at Middletown, Connecticut, which has a maximum net capability of 400,000 kilowatts and is designated as Middle-1 town Unit No. 4, (hereinaf ter called the "IIELCO Unit"); and CL&P is the owner of a similar fossil-fired intermediate type electric generating facility at Montville, Connecticut, which has a maximum net capability of 410,000 kilowntes and is designated as Montville Unit No. 6, (herein-after called the "CL&P Unit," and together with the llELCO unit, the
" Exchange Units"); and I WilEREAS, it is antleipated that during the Term of this Agreement, LILCO vould normally be able to make greater economic use of a portion of the output of the Exchange Units than the NU Companies and the NU Companies may, under certain conditions, be abic to make economic use of l
gas turbine or fossil steam capacity supplied by LILC0; and I WilEREAS, the NU Companics and LILCO wish to provide for an exchange of the NU Companics system capacity from the Exchange Units of an amount of up to 200,000 kilowatts for an equal entitlement of capacity from LILCO's system during the Term of this Agreement, I
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.NOW THEREFORE, in consideration of the mutual. obligations and
. undertakings set forth herein, it is agreed as follows:
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- 1. Tem
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The period during which the exchanges provided for hercin shall occur (the " Term") shall begin at 7:00 a.m. on Honday, July 5, 1976 and shall continue until any of the parties shall have given each of the other parties no less than thirty (30) days prior written notice of termination. The applicable provisions of this Agreement shall continue in effect thereafter to the extent necessary to provide for final billing I and adjustments but all such billing and adjustments shall be made no later than three months following the end of the Term.
- 2. Units From Ubich Exchanges Shall Be Made The Exchange Units shall be the units from which the NU Companies shall be deemed to provide capacity and energy to LILCO pursuant to this Agreement for purposes of determining the capacity charge and the energy charge. The HELCO Unit shall be deemed to provide one-half of the capacity and energy to LILCO pursuant to this Agreement and the CL&P
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Unit shall be deemed to provide the remaining one-half.
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As used herein the term capability means the maximum dependable load carrying ability of the Exchange Units during the winter period, expressed in kilowatts less that portion of such load carrying ability required for station use; and Capability shall be determined in accord-ance with Section 15.6 of the New England Powcr Pool ("NEP00L") Agrec-nient, dated as of September 1, 1971 and as amended from time to time.
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Presently the Capability of the llELCO Unit is 400,000 kilowatts and the Capability of the CL&P Unit is 410,000 kilowatts.
s The units from which LILCO shall be deemed to provide energy to the NU Companics pursuant to this Agreement shall be the units on LILCO's system whose cost of fuel and operation and maintenance is the incre-mental cost of supplying energy on the LILCO system as described in Section 7 below (the "LILCO Units"). It is expected that the LILCO Units will normally comprise base load, intermediate, or peaking fossil steam units or gas turbine units.
-3. Exchanges As used herein, the term " Weekly Cycle" shall refer to the period of time commencing at 7:00 a.m. on Monday and ending at 6:59 a.m. on the following Monday. An exchange shall take place during each weekly cycle during the Term unicss either the NU Companies or LILCO shall have notified the other to the contrary prior to 7:00 a.m. on the first Monday of any Weekly Cy'cle that no exchange shall take place during that Weekly Cycle. The NU Companies and LILCO shall make such determination based on their expectations of achieving overall dollar savings. The NU Companies will also provide LILCO with information on any transmission limitations that'might limit or prevent an exchange.
For every Weekly Cycle during which there shall be an exchange, the NU Companics and LILCO shall mutually agree upon the amount of system capacity in' kilowatts up to 200,000 kilowatts, to be exchanged (the
" Capacity Exchange Amount"). For each hour during each Weekly Cycle
that an exchange takes place, LILCO shall be entitled to the Capacity Exchange Amount, and providing that the llELCO Unit is expected to be operabic at 85% or more 'of its capability for such hour, LILCO may schedule and is entitled to receive a delivery of encrgy in such hour for any amount up to an amount equal to one-half of the Capacity Exchange Amount, and providing that the CL&P Unit is expected to be operable at 85% or more of its capability for such hour, LILCO may' schedule and is entitled to receive a delivery of energy in such hour for any amount up to an amount equal to one-half of the Capacity Exchange Amount, subject to the condition that the NU Companics can provide transmission service I to deliver such energy to the boundary of the LILCO system ("LILCO Entitlement") . For those hours during such Weekly Cycle that the llELCO Unit is not operabic, or is only capable of operating at a level below 85% of its capability, the NU Companics may, at their sole discretion, provide LILC0 with entitlement (s) of energy up to the Capacity Exchange Amount from the CL&P Unit or from unit (s) on the 11ELCO system which have similar characteristics to those of the IIELCO Unit (" Additional IIELCO Unit (s)"), and for those hours during such Ucekly Cycle that the CL&P Unit is not operable, or is only capable of operating at a level below 85% of its capability, the NU Companics may, at their sole discretion, provide LIL;0 with entitlement (s) of energy up to the capacity Exchange Amount from the llELCO Unit or from unit (s) on the CL&P system which have similar characteristics to those of the CL6P Unit (" Additional CL&P 1
E Unit (s)"). The sum of LILCO's Entitlement in the operabic capability of y the 11ELCO Unit, the CL&P Unit, the Additional llELCO Unit (s) and the Additional CL&P Unit (s) for each hour shall be known as "LILCO's Entiticcent
^
in the Operable Capability of the Units."
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1 The NU Companics shall be entitled to the Capacity Exchange Amount, and may schedule and are entitled to receive a delivery of energy from the LILCO system during each hour in an amount up to LILCO's Entitlement in the Operabic Capability of the Units for such hour subject to the
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- condition that LILCO can provide transmission service to deliver such energy to the boundary of the NU Companics' cystem ("NU Companics Entitle-ments"). The NU Companies and LILCO shall not be obligated to take i deliveries of energy during any hour in a Weekly Cycle that an exchange i takes place. LILCO shall provide the New England Power Exchange ("NEPEX") j with hourly incremental energy cost data during such Weekly CycJe and the NU Companies shall provide LILCO with the applicabic actual replacement energy cost data for the Exchange Units. Such data with respect to the Exchange Units shall be equal to the price (ChBTU) given to NEPEX 'or
! the replacement fuel prices and such prices are used by NEPEX for scheduling generation and pricing energy for interchange purposes ("NEPEX Replacement Fuel Price").
1 When an exchange has commenced for a Weekly Cycle, the exchange I will continue for the duration of that W a kly Cycle regardless of whether or not the HELCO Unit or the CL&P Unit shall subsequently operate at a reduced level of operation or be out of service.
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t Providing the NU Companics can provide transmission to deliver the u4 9 Entitlement, then the LILCO Entitlenent shall be deemed to be I
I available to LILCO to provide spinning or assured reserve.,
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.Providing LILCO can provide transmission service to deliver the NU Entitiement, then the NU Entitlement shall be deemed to be available to j
f -
cr0fbimAireor assured reserve.
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- 4. Notification with Respect to Exchange LILCO shall notify the New York Power Pool ("NYPP") when the first exchange will start and the NU Companics shall notify NEPEX of such fact. Thercafter, the'NU Companies and L1LCO shall notify NEPEX and NYPP respectively of the status and amount of the exchange for the next ,
Weekly Cycle prior to the commencement of such Weekly Cycle. Instruc-tions as to the exact procedure to be followed in giving all such notifications will be determined by mutual agreement of cht parciaa n.id
'a copy of such instructions will be sent to NYPP and NEPEA.
- 5. Authority of Northeast Utilitics Service Company The NU Companies hereby appoint and authorize the Northeast Utilities Service Company ("NUSC0") to represent and act for each of them in all matters relating to this Agreement.
I 6. Payments to the NU Companies
- a. Capacity Charre LILCD shall pay to NUSCO monthly a Capacity Charge for each hour of every Weekly Cycle completed during the month during which
- an exchange takes place, regardless of whether or not LILCO actually
.b requests energy during such hour. The Capacity Charge shall be the g
product of (1) the Capacity Exchange Aner nt times (2) $0.002740 except that for any hour during which LILCO calls for delivaries for en amount of energy up to the amount of the Capacity Exchange T
Amount and due to limitations on the NU Compnnics' system, the NU 6
Companies cannot economically or are unable to deliver such deliveries, then the Capacity Charge shall be the product of (3) the actual t
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I capacity availabic to LILCO during such hour (ref3ccting such j 1
reductionc) times (4) $0.002740. HELCO and CL&P shall share equally in the Capacity Charges.
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- b. Station Service Energy Charge 1 .
LILCO shall pay to NUSCO, during each month for cach Weekly Cycle completed during the month that an exchange takes place, a Station Service Encyy Charge. The Station Service Energy Charge I shall be equal to the sum of (1) the product of (i) an allowance for energy costs in dollars por kilowatthour determined by dividing the cost in dollars of fossil generation on the Northeast Utilitics system for the prior month by the number of kilowatthours of fossil generation for each month, and (ii) one-half of the Capacity Exchange Amount for the appropriate Ucchly Cycle divided by the capability for the HE'.20 Unit at such time, and (iii) the Station Service Energy provided for the HELCO Unit in kilowatthours metered while the HELCO Unit is not operating during the appropriate Weekly Cycle, and (2) the product of (i) an allowance for energy costs in dollars per kilowatthour determined by dividing the cost in dollars of fossil generation on the Northeast Utilitics system for the
- prior month by the number of kilowatthours of fossil generation for I each month, and (ii) one-half of the Capacity Exchange Amount f or the appropriate Weekly Cycle divided by the capability for the CL&P l
Unit at such time, and (iii) the station scrvice energy provided j Y
a for the CLOP Unit in kilowatthours metered while the CL&P Unit is 1
not operating during the appropriate k'echly Cycle. HELCO and CL&P I shall be entitled to receive the Station Service Energy Charge l
1 ESSoCisted Vith their rcSpectivc units.
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- 6. c. Encrry Charge y LILCO shall pay to NUSCO monthly an Energy Charge for kilowatt-0 hours delivered by the NU Companics pursuant to this Agreement 5
during such month. The Energy Charge chall be the sum of (1) the 7
product of (1) the NEPEX Replacement Fuel Price for the HELCO Unit (expressed in units of $/ BTU), and (ii) 11,000 BTU /kUh (the experienced average heat rate of the HELCO Unit), and ($11) the actual energy in kilowatthours that NYPP shall have scheduled and received (including transmission losses on the NU Companics' system) from the NU Companies and shall have been provided by the HELCO Unit pursuant to this Agreement; and (2) the product of (i) the NEPEX Replacement Fuel Price for the CL&P Unit (expressed in units of $/ BTU), and (ii) 11,000 BTU /kUh, (the experienced average heat rate of the CL&P I Unit), and (iii) the actual energy in kilowatthours that NYPP shad.
have scheduled and received (including trancaission losses on the NU Companies' system) from the NU Companics and shall have been provided by the CL&P Unit pursuant to this Agreement. In the event ~
that the Additional HELCO Unit (s) or the Additional CL&P Unit (s) are used to provide energy to LILCO pursuant to this Agreement, the EnerEy Charge shall be the same as that determined in the i==cdiately preceding sentence. HELCO and CL&P shall receive the aggregate of I
their respeetive Ene'rgy Charges as computed above.
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- 7. Payments Due LILCO l l NUSCO shall pay LILCO a monthly Energy Charge for the energy which t
l LILCO has ptovided to t!ic NU Co=panies from the LILCO Units pursitant to this Agreement during such cionth. Such Energy Charge shall be based on I
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the incremental cost of providing such energy. Such incremental cost shall be determined prior to LILCO's economy or emergency transactions 1
and shall be determined (1) in the case of LILCO's gas turbine units, on the estimated incremental cost for each hour (mills / kUh) as reported to NYPP, and (2) in the case of LILCO's fossil steam u its, on the incre-mental cost for each hour (mills /kWh) as reported to NYPP plus a 10%
, adder, provided, however, that at no time shall the fossil steam incrc-mental cost plus the 10% adder exceed the incremental rate for gas turbinc., during that same hour. Such energy rates will be appropriately applied to all kilowatthours that NEPEX shall have scheduled and received (including transmission losses on LILCO's system) from NYPP purcuant to this Agreement during the month. It is agreed that procedures will be established to regularly provide NEPEX with current rates applicable to (block) amounts of exchange capacity available pursuant to this Agreement.
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- 8. Billing and Payment Bills shall be rendered as soon as practicable after the end of the calendar month. Such bills shall incorporate such information as may be i reasonably necessary or desirable to determine the payments due with respect to the month.
Bills may be based in whole o.r in part upon estimates. Bills shall y be subject to adjustment for any errors in arithmetic, computation, t meter readings, estimating, or otherwise. All payments shown to be due on a bill, subject to subsequent adjustment as heretofore provided, s
shall be due and payabic not later than fifteen days after receipt of 7
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V 1 the bill. Any amount rer.alning unpaid after fiftcen days shall bear interest at the annual rate of 2*: over th2 current interest rate on
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.4 prime commercial loans then in effect at the Connecticut Bank and Trust T
Company, from the date of the invoice to the date of payment, e
v s 9. Delivery Point and Transmission All deliveries of energy scheduled by LILCO for its use pursuant to this Agreement shall normally be effected at the points at which the Exchange Units are metered. LILCO shall be responsibic for all transfor=er and transmission losses with respect to transformation and deliveries of
] energy for LILCO beyond the points at which the Exchange Units are metered.
LILCO shall, where practical, identify the LILCO Units from uhich such deliveries are deemed to be made and such deliveries chall be I effected at the point at which the LILCO Units are metered. The NU Companiec shall be responsibic for all transformer and transmission losses on the LILCO System with respect to transformation and deliveries of energy for the NU Companics pursuant to this Agreement beyond the point at which the LILCO Units are metered.
I The NU Companics and LILCO recogni c that the HU Companics, ability to provide transmission service is subject to a number of constraints involving the availability of generating units and their loading together
" with the availability of th2 115 kV transmicsion system supplying the i '
Southwest arca of Connecticut. The NU Companies shall provide trans-mission cervice for LILCO to deliver or rcccive energy between the Exchange I
" d Units and the 138 kV Long Icland cabic interconnection ,at the Connecticut-Ncv Erk border between the Norvalk llarbor Generating Station of CI.6P g
td and the Northport Cencrating Station of LILCO (the " point of intercon-ner cion") subject to the following conditions:
O$
w (i) Transmission service shall be provided subject to the trans-p nicsion requirements of the Northeast Utilitics Companics including u
delivery of power sold to wholesale customers under normal and emergency a
g conditions and in accordance with good utility operating practice.
(ii) The Northeast Utilitics Companies shall determine in their sole discretion whether or not to operate generating units out of rate at times uhen transmission cervice would otherwise be reduced or cur-tailed to provide additional transmission service to effect the exchange g and it is agreed that the NU Companies chall not have incurred any EO obligations pursuant to this Agreement to undertake such operation.
LILCO shall be r.ol'ely reaponsible for arrangements for transmitcion service on its system from the point of interconnection.
I rm LILCO shall provide transmission service for the,NU Co=panies to deliver energy from the L LCO Units to the point of interconnection. l The NU Companics chall be solely responcible for arrai gements for trans-mission acrvice on their system from the point of interconnection.
Determination of the transformer and transmission losses shall be by mutual agreement of the parties and in accordance with good utility operating practice.
3 The NU Companics and LILCO recognize that at certain times when transmission service is limited betucen the NU Companiec system and the LILCO system via the point of interconnection it cay be advantageous to all parties if the NU Companies were to roccive or deliver energy 1
pursuant to this Agreement at either th 345 kV interconnection betvcen Frost Bridge Substation of CL&P and the Pleasant Valley substation of ,
Consolidated Edison Company of New York, Inc., or the Northfield switch-IE ing station of WMECO and the Ncv Scotland substation of Niagara Mohawk Powcr Corporation (" alternative points of interconnection") . The NU Companies and LILCO may mutually agree to receive or deliver energy pursuant to the Agreement at the alternative points of interconnection.
LILCO shall be responsibic for making arrangements with intervening electric utilities in New York State and with NYPP for providing trans-mission service from the alternative points of interconnection to the
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h LILCO system, and shall also be recponcible for any additional trans-mission losses or for the payment of any transmission chargcc required by such intervening electric utilitics.
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- 10. Metering The output of the HELCO Unit will be metered at the Middletown the U
- k. Cencrating Station, the output of the CL&P Unit will be metered at
- Montville Generat,ing Station, and the output (s) of the Additional HELCO 3
- 2. Unit (s) and the Additional CL&P Unit (s), will be metered at their g respective generating stations. The output of the LILCO Units will bc metered where practicable at the LILCO Units. Metering equipment
' required for the LILCO Units, shall be furnished by LILCO.
- Met.cring i equipment required for the Exchange Units, the Additional HELCO Unit (s) 5
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- and the Additional CL&P Unit (s) shall be furnished by the NU Companies.
l All actcring equipment shall be maintained by the furniching party (s) in h
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- accordance with good utility operating practice.
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ry 11. Priority, E
LII: *ees that entitlements from the LILCO Unitt: to other utili-7 ties shall not carry a higher priority of availability than the entitle-j?
ments to the NU Companics under this Agreement, and the NU Companies
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I ag'ree that entitlements from the Exchange Units to other utilitics shall
not carry a higher priority of avsilability than the entitlements to
.E LILCO hereundcr.
T h
, 12. Scheduled Maintenance The NU Companies agree to maintain the Exchange Units in accordance
[ with good utility operating practice and to the extent practicable in s
accordance with the schedules established by NEPEX. Normal periodic w
$ inspection, maintenance and overhaul of the ' Exchange Units will be gp planned and undertaken 'as far as practicable in accordance, and at times L consistent, with planned maintenance schedules determined from time to time by NEPEX and approved by the NEF00L Operations Commit. tee. Other maintenance, including emergency maintenance on 7x~hange Units, W
will be undertaken at times and in a manner deterraicacd by the owner in
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consultation with NEPEX and, as far as practicable, consistent with the i
objectives of NEPEX and the interests of the other party or parties or
- However, any other utilitics having entitlements in the Exchange Units.
T
the NU Companica reserve the right, in their sole discretion, to deter-mine at all times the extent to which the Exchange Units are Ishysically operabic and their operation and dispatch is otherwise practicable.
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- 13. Liability and Insurance No party shall be responsibic to any other party for any dacages whatsoever, including damages resulting from the negligence of any '
party, which may result from any interruption or failure of service or deficiencies in the quality of service hereunder, unicss such inter-ruption or failure or deficiency ir the result of willful default in the provisions of this Agreement by such party, it being the intent of this provision that all parties shall assume the risks of Interruption, failure or deficiency in quality or quantity of scr" ice on the system of ;
j the othcr(s) caused by the hazards of the business to the sate extent as if they were them'sc1ves operating such system for the purpose of supply- ;
ing themselves with electricity.
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Each party will indemnify and save the others har-less rom and against all costs and damage by reason of bodily injury, death or damage g to property <:aused by or sustained on facilities owned or controlled by r,
such party, except that each party shall be solely responsible for and F
B shall bear all costs of claitis by its own cmployees or contractors l
growing out of any woriscn's compensation law. Each party shall fur-nish, at its sole expense, such insurance coverage and such evidence
" thereof as any other party cay reasonably require with respect to its i t obli Cation under this paragraph.
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- 14. Arbit. ration
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Any dispute between the parties with respect to this Agreement O
- shall be submitted to arbitration at the request of -ny party. Ccpics f of any such request shall be served on all parties and such request a
shall specify the issue or issues in dispute and summarize the complain-r s
L ing party's claim with respect thereto. Within ten days after receipt of such a request, authorized representatives of the parties shall r
confer and attempt to agree upon appointment of a single arbitrator. If such agrecret,t is not accomplished, any party may request the American Arbitration Association to appoint an arbitrator in accordence with its
- Commercial Arbitration Rules, which rules shall govern the conduct of I the arbitration in the absence of contrary agreement by the parties.
t The arbitrator shall conduct a hearing and within thirty days there-after, unless such time is extended by agreement of the parties, shall notify the parties in writing of his decision, stating his reasons for such decision and separately listing his findings of fact and conclu-I sions of law. The arbitrator shall not have power to amend or add to I
this Agreement. Subject to such limitation, the decision of the arbi-trator shall be final and binding except that any party may petition a court of competent jurisdiction for review of errors of law. The decision of the arbitrator shall determine and specify how the expenses of the arbitrntion shall be borne. I I
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- 15. Laws, Regulations, Orders, Approvals and Permits This Agreement is cade subject to present and future local, state 1
and federal laws and to the regulations or orders of any local, state or i federal regulatory authority having jurisdiction over the mattera set l
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3, forth herein; and performance hereunder is conditioned upon securing and retaining sucli local, stnte or federal approvo]s, grants or permits as I
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may from tine to time be necessary with respect to such performance.
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All parties agree to use their best efforts to secure and retain all u
such approvals, grants, or pernits.
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- 16. Ansignment Recognizing that the number and timing of the ex:hanges provided
'or herein are uncertain, it is agreed that this Agree cnt and/or the f
rights of any party under this Agreement shal'1 not be assigned, pledged I or otherwise transferred without the prior written consent of all other pari.ies hereto except that any party may assign or transfer this Agree-ment without obtaining such consent if such ansignment or transfer is either (a) incident to a merger, consolidatio'n or acquisition of all or substantially all of the electric utility property or generating faci-litics of the transferor or (b) to a party's wholly-owned parent or subsidiary or to any utility which is under co= mon ownership or control with it, including but not limited to a transfer by one of the NU Com-I panics to another of the NU Companics or another wholly-owned direct or indirect subsidiary of Northeast Utilities. Any assignee or transferee shall be required to assume all the obligations of the assignor or transferor under this Agrecsent.
- 17. Interpreestion
$ The interpretation and performance of this Agreement shall be in l si accordance with and controlled by the laws of Connecticut.
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- 13. Severability of Provisions C- A holding by nny court or Covernmental agency having jurisdiction that any provision of this Agreement is invalid shall not result in l invalidation of the entire Agreement but all remaining terms shall remain in full force and effect.
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- 19. ' Miscellaneous A. Each party shall execute and deliver any documents reasonably l V required to implement any provision hereof.
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B. Any nunber of counterparts of this Agreement may be executed l and each shall have the same force and effect as the original.
IN UITNESS WHEREOF, the parties hnvc caused this Agreement to be si';ned by their respective authorized officers and their respective corporate seals to be affixed hereto as of the date first above written.
EU COMPANIES:. THE CONNECTICUT LIGHT AND POWER'C01TANY By Its Address THE HARTFORD ELECTRIC LIGHT COMPANY
[ By Its Address T LILCO: LONG ISLAND LIGHTING COMPANY By 'N %" ~> (% 5 5- Y Its (facs ?tts orteT~ J
/AflCW Address l15 E/M7~ CLh CournR V RNO
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Obs lltCl!S VILL e , N. y. ll 9YI o :L ,
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ATTACHMENT B-5 D'O F D /R' nnr '
oof o ~])
.J_ Alft,
'F b)).c ictfit Clit:aGY l'EoPLC DRAMSE Al'dD ROCKLAND UTIL! TIES,!NC.
IM iCDy P 75 WEST ROUTE 59 SPRING VALLEY NEW YORK 10977 914-3SP 6 coo April 27, 1976 Federal Power Co= mission 825 North Capitol Street, Northeast Washington, D.C. 20426 ATTENTI0ti: Honorable Mr.neth F. Plumb. Secratarv Gentlemen:
Enclosed herewith for filing with the Feceral Power Commission as an initial rate schedule are six copies of an Adreement bet. ween Orange and Rockland Utilities, Inc.
("O&R") and Long Island Lighting Company ("Lilco") providing for the exchange of electric Cenerating capability between O&R and Lilco and for associated energy transactions during the 1976 Summer Capability Period.
The following information with respect to the en-closed Agreement is submitted in compliance with Section 3512 of the Commission's Regulations Under the Federal Power
.. Act.
t (1) ~ Both parties will render service under the enclosed Agreem'ont from April 25, 1976 until the Agreement is terminated by either party as per terms of the Exchange Agree-g ment. An application requesting waiver of the notico require-i g monts of the Commission's Regulations is made herewith. It is our understanding that Lilco will file a Certificate of Concurrence in this filing as required by Section 35 l(a) of
- the Commission's Regulations.
(2) The name and addreds of tho' corporati% to which the enclosed Agreement and this letter and" request for waiver of the notice requirements under the Commission's Regulations have been mailed (being all thosc rendcring or 8
receiving service under such rate schedule) is cs follows:
I Long Island Lighting Company 250 Old Country Road j Mineola, New York 11501 i
Federal l'owcr Commissicn Page E J April 21, 1976 (3) The enclosed Agreement provides for the ex-change of electric generating capability and associated energy Under the enclosed Agreement, pursuant I between O&R and Lilco.
to prior agreement cach day as to the mutual desienbility of' capability and energy transactions during the forthcoming day, 5 the parties will exchange up to 100 MW of generating capability di available from their systems and the encrgy associated therewith.
(4) This sale of capability is a function of the market available for the service to be rendered and, therefore, of the alternatives available to the buyer and seller. O& R offered to enter into similar arrangements with the other members I of the New York Power Pool or with utilities operating in I
New Jersey and New England, but none accepted tha offer except Lilco.
1 There will be no capability charge under the enclosed Agreement. Energy transactions will be priced cm a typical economy
" share the savings" basis. Savings will be chsred mqually. The l
i transaction is advantageous to OiR because it gives reasonable assurance of a market for excess generation, not available through New York Power Pool transactions, and revenues frem those trans-actions will part'lally offset the fixed charges en generating capability which is not required to meet O&R's petk load and reserve requirements during the 1976 Summer Capability Period. Moreover, O&R will be able to purchase energy associated with the capability exchanged without paying a capability charge to bvc that energy availabl9 at Lilco's incremental energy cost plus one-half the savings developed by the transaction.
(5) An estimate of the revenue to be received by O&R from the sale of energy hereunder is set forth c: Schedule 1. In view of the" fact that daily transactions are subject to conditions unknown at this time there is a strong likelihoof that actual results will depart from the estimates on Schedule 1.
(6) O&R is rendering a somewhat similar wholesale for resale service to Consolidated Edison Company of New York, Inc.
under O&R F.P.C. Rate Schedule No. 34. which will terminate by its own terms on A'pril 24, 1976 and under a proposed rate schedule for service to Con Edison filed with the Commission r/ letter dated April , 1976. Ilowever, the transactions arc net identical in nature. The exchange proposed with Con Edison centemplates firm sales on a wockly cycle from a specific sencrati:3 unit; and, thus, the sales carry a capability charge as well as at energy charge based upon the energy costs of that unit. The er.closco Acrecaent
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4 Federal Power Commission Page April 21, 1976 is more closely akin to an assured economy transaction, terminable at will; and based upon the availability of ecsources on the seller's overall system.
(7) No new facilitics have been installed by O&R or Lilco for the purpose of rendering service under the enclosed agrec-ment; nor has any special consideration of rate design entered therein.
(8) O&R respectfully requests that the Commission enter an appropriate order under Section 3511 of its Regulations waiving
. the notice requirements of Section 35 3 thereof, and, after an appro-priate period for Staff review and public notice, permit the enclosed Agreement to become effective as an initial rate schedule, as of April 25, 1976. As indicated by the date on the enclosed agreement, the parties have just reached agreement upon the proposed transactions, and the filing of the enclosed Agreement was not possible prior to this time.
The granting of a waiver of the Commission's notico requirements will have no effect on purchasers under other rate schedules, and, we submit, would be in the interest of both parties to the Agreement and to the customers they serve.
I . l Pursuant to Section 36.2(f) of the Commission's Regulations, I we have enclosed 6ur check in the amount of $600, payable to the l Treasurer of the United States, in payment of the required filing I fee.
I Very truly yours, ORANGE AND ROCK',AND UTILITIES, INC.
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BV "# - M Thomas A. Griffin, Jr.///[
Executive Vice President Enclosure cc: Long Island Lighting Company l l
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UNITED STF."E3 0F At1CHICA 3
- FEDCHA1 POWER COMilISSIOff 1
ORANCE AND ROCKLAND UTILITIE3, )
- INC. )
Docket No.
- a. LONG ISLAND LIGl! TING ) l COMPANY )
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, NOTICE OF IHlTIAL RATE FILING I -
1 Take notice that Orance and Rockland Utilities, Inc. and Long. Island A Lighting Company on April 27, 1976, tendered for filing as an Initial Rate I
Schedule an Electric Generated Capability Exchange Agreement. .The Agreement e
provides for the daily exchanCe of up to 100 MW of electric cc,ncrating cap-ability and associate'd energy between Orange and Rockland Utilities, Inc. and Long Island Lighting Company during the period April 25, 1976 and continuing !
I until terminated by either party upon thirty days notice of its intent to terminate this Agreement.
Any person desiring to be heard or to protest said application should file a petition to intervene or protest with the Federal Power Commission, 825 North Capitol Street, NE. , Washincton, D.C. 20!I26, in accordance with Sections 1.8 and 1.10 of the Commission's rules of practice and procedure (18 CFR 1.8, 1.10). All such petitions or protests should be filed on or before ,
Protests will be considered by the Commission.in det.er-I mining the appropriate action to bc taken, but will not serve to make protestants parties tir the proceeding. Any person wishing to become a party must file a petition to intervene. Copics of this application arc on filo with the Co= mission 1 and are available for public inspection.
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FILING PUBLIC UTILITY:
E ORAL!CE MID ROCKLMID UTILITIES, INC.
A E NAME OF OT!!ER UIILITIES RENDEltING SERVICE UIIDER T1 TIS E
RATE SC11EDULE:
Y LOllG ISLAND LIGIITING COMPNIY O
NAME OF UTILITIES RECEIVING SERVICE UNDER THIS RATE
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SCl!EDULE:
OPWIGE NID ROCKLMID UTILITIES, I:iC.
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LOIIG ISLMID LICllTING COMPMiY BRIEF DESCRIPTION OF SERVICE PROVIDED:
ELECTitIC GE!!ERATING CAPADILITY EXCifAiGE AGREEI4ENT BETWEEN ORAf!GE AND ROCKLAllD UIILITIES, INC.
AND L0i!G ISLAND LIGIITING COMPANY 4
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CERTIFICATE OF C0tlCURRE!!CE OF LONG ISLAND LIGilTING C0!TN!Y This is to certify that Long Island Lighting Company assents to and concurs in the agreement described belov, hich Orange and Rockland Utilities, Inc. is filing concurrently herewith, and here-by files this certificate of concurrence in lieu of t.he filing of the agreement specified.
Exchange Agreement dated April 27, 1976 between Orange and Rockland Utilities, Inc. and.Long Island Lighting Company.
Long Island Li 6hting Company . joins in the request for an early effective date and assents to and concurs in the information and supporting data which Grange and Rockland Utilities, Inc. is filing with such rate schedule, insofar as such information and supporting data relates to Long Island Lighting Company; and respectfully re-quests that such information and supporting data be deemed to be l
submitted by Long Island Lighting Company.
LONG ISLAND LIGHTING C0!4PANY sy S;$h %~.,, d.( '\1 s.) L. .)
Titic Vice Prc.<ident Dated as of April 27, 1976
SCl!ElsilLU ONE 100 f tW CAPABIT.ITY AflD EllEltrY SAT.E Fit 0*-10?.R TO LII,CO APRIL 25, 1976 THRU OCTOBER ?l,1976
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ESTIMATED REVENUE Net Sellina Price" Days _ L.F. Hours / Day _ [B[ $/MVH Dollars (
26 = $ ~31,200 April 5 x 0.1 x 2h x 100 x x 100 x 26 = $ 193,hh0 May 31 x 0.1 ~ x 2h x 100 x 26 = $ 374,h00 June 30 x 0.2 x 2h x 100 x 26 := $ 483,600 July 31 x 0.25 x 24 x 100 x
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26 = $ 483,600 August 31 x 0.25 x 24 37h,h00 26 = $
September 30 x 0.2 x 2h x 100 x, x 100 x 26 = $ 193,4h0 October 31 x 0.1 x 24
= $ 2,13h,080 Estimated Gro:s Revenue for Period (Fuel + 0+7f)
MWH */MWH
$(1,806,200) 82,100 x 22
= $ 327,880
_For Period Estimated Net Revenue to O&RU Net Selling Price = Lilco Decrement - O&RU Increment 3
+ O&RU Increment 13h-$22 + $22 $26
- Estimated Not Sellina Pricc/MWil 3
Above estimated revenues may vary from actual realized to O&RU because of circumstances beyond O&RU control.
l EXCIIAl1GE ACHEDiENT
)
AGHEEMENT made as o f April 27, 1976 betucen ORANOE AND ROCKLAND ,
l UTILITIES, INC. (0&R) and LONG ISLAND LIGi! TING CC:1PANY (Lilco), both New York coporations.
WHEREAS, O&R and Lilco wish to provide for the mutual exchange of up to 100 llW of electric generating capability availabic on the electric systems of the parties, NOW,' THEREFORE, in consideration of the mutual obligations and undertakin5s set forth herein, it is agreed as follows:
- 1. Is.rs The daily exchanges of generating ca: ability and associated energy provided for herein shall occur between 12:01 a.m. -on Aperl 25, 1976 and continue until terminated by either party upon thirty days notice of its intent to terminate this Agreement. l l
- 2. Exchangea A. O&R a5cces to sell and Lilco agrees to purchase up to 100 !!W of generating capability off O&R's system and the energy ascociated there .
with, and Lilco agrecs to sell and O&R agrees to*purenasc up to 100 MW of generating capability off Lilco's system and the energy associated t' herewith, all pursuant to the terms hercor. The delivery point for ener6Y deliveries to O&R shall be the Ramapo Substation. The delivery point for energy deli-veries to Lilco shall bc designated by Lilco.
B. The foregoing purchases and sales shall tal:c place on a day-to-day basis in accordance with the prior mutual agreement of the parties.
When cither party desires to sell capability and energy on any day during the term of this agrecmont, it shall notify the other party befor c the close of business on the day prior to the proposed salc of the amount of generating capability available for exchange (up to a maximum of 100 MW)
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2 and of the estimated cost of the energy associated with the capability to be sold. If mutual acrecment is reached upon the desirability of a trans-action, it shall proceed. On any day during which a capability exchange is in progress, the purchaser shall be entitled to schedule deliveries of the energy associated with the maximum capability purchased. When a capability exchange has commenced, the exchange shall continue until 12:00 p.m. of that 3
day, unicss terminated by the buyer prior to that time.
3 charces I
A. There shall be r.c capability charge for the generating capabil- l ity sold hereunder.
B. Charges for energy associated with the genera, ting capability purchased hereunder shall be paid for on the basis of scheduled deliveries, as follows:
- (1) The buyer shall pay the seller, Seller's Cost plus one-half of the Energy Savings as defined in Item 3 below.
(2) Buyer shall pay the intervenin$ party for losses and or inter-vening party charges as defined in the New York Power Pool A5rcement.
(3) Energy Savinns to be shared by buyer and sclier shall be the difference between the Buyer's Value and the Sclier's Cost after both have been adjusted for losses and intervening party charges, if any, to the point of receipt on the buyer's system.
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- (21) Buyer's value shall be the estimated decremental fuel and maintenance cost or purchased energy cost, adjusted for locscs on the b'uyer's tracismission, system, which the buyer will avoid by restrictir.G the generation 5 of energy from its own sources or by restricting the purchase of energy under L
contracts with others for the purchase of capability, ar.d by purchasing instead f
-3 the equivalent quantity of cncrgy horcunder. If applicabic, the Duyce's Value shall include the estimated aggregate of all other applicable costs such as start-up and shut-down costs and hourly operating costs, including
- - labor costs, which a buyer will avoid by withholding operable generating facilities fron operation or by restricting their operation or the purchase of operating' capability under other contracts for such purchase.
(5) Seller's cost shall include the estimated incremental fuel
! and maintenance cost or purchased energy cost, adjusted for losses to the point of delivery on the seller's system, which a soller incurs in order l
to generate energy or purchase energy for io-cale hereundcr. If applicable, Seller's Cost shall include the estimated aggregate of,all other applicable
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cost, such as start-up and shut-down costs and hourly operating cost, includ-ing labor costs, incurred by the seller to provide service hereunder.
s (6) Intervening party charges shall be those costs and or share of savings as defined in the t'cw York Power Pool Agreement.
, C. Energy charges shall be determined by the parties and estimates forming the basis for daily transactions shall not be subject 1 to subsequent adjustment.
D. Invoices shall be rendered monthly and payment shall be made within ten. days after receipt of an invoice.
Appropriate metering devices shall be maintained by O&R and Lilco g so as to meter energy deliveries hereunder. Such metering equipment and s
any other metering equipment used to record transactions hereunder shall be read and maintained by the respective owners thereof. Procedures with 1
respect to maintenance, testing, calibration, correction and registration I k records, and presumed tolcrances of all metering equipment shall b'e in accordance with good operating practice.
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4 5 .Mahl114Y The parties shall use reasonable care in the maintenance and operation of the facilities through which generating capability and asso-ciated energy are mado available pursuant to this Agreement, but neither d
party shall be liabic to the other for any interruption or failure of said facilities from any cause, including negligent acts or caissions of its agents or employe,es. Neither O&R nor Lilco shall be liable in damages to the other, nor shall cither party be required to replace the service ron .
dered hereunder as a result of any act, omission or circumstance occasioned by or in consequence of any acts of God, s'trikes, lock-outs, acts of the I public enemy, wars, blockades, insurrections, riots, epidemics, landslides, lightning, earthquakes, fires, storms, floods, washouts, civil disturbances, explosions, equipment failure on any facilities utilized for this trans-action, the binding order of any court or governmental authority which has been resisted in good faith by all reasonabic legal means, any settlement of legal or administrative proceedings to which both Lilco and O&R shall consent, and any other cause, whether of the kind herein enumerated or otherwise, not reasonably within the control of the party claiming dis-I ability and which by the exercise of duc diligence ;uch party is unable to prevent or overcome. Failure to prevent or settle any strike o' strikes shall not be considered to be a matter within the. control of the party claiming suspension.
IN WITNESS WHEHEOF, the partics hereto have caused this Agreement to be executed in their respective corporate names by their respective of-o ;
ficers, thereunto duly authorized, as of the day and year first above written.
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5-1!Y O
ORANGEAllDDOCKLANDUT*p!!"",INC By -mxde - 'cl Title Executive Vice Presic
'f* Attest .
Mg
..f LaT9e April 27, 1976 M
LONG ISLAND LIGHTING CC!4 pally pl By b k h v>< U- \J ee y g VI'cc President Title Attest W Date April 27,1976 v S-sy r
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ATTACHMENT C LILCO-PAStiY TRA"SMISSION AGREEME!!T In accordance with terms of the contract, payments for the use of transmission facilities, LILCO recalculates those rancs for firr interruptible and distribution service on April 1 cach year. The rates being charged effective August 1, 1980 as a result of filing .
with Federal Energy Regulatory Commission, subject to refund, are as follows:
Firm Service $1.93/kW-Mo.
Interruptible $2.64/Mwh Distribution $0.58/kW-Mo.
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' TRAll3M).".0] Dil AGliF.1:f*H11T ATTACHMENT C This Agreement js made and dated as of January 2, 1979, betwoon the Power Authority of the State of Ecu York (PA0!!Y)' and Long Island LichtinC Company (LILCO).
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'WilEREAS, PAS!!Y wishes'to sell firm electric power and enorcy to the Long Island Mu,1cfpalities of Freeport, j Greenport and Rockville Centre (the Municipalities); and l 4
WHEREAS, PASNY also wishes to sell interruptible electric energy to the Municipalities; and i WHEREAS, PASNY wishes to have LILCO transmit such !
power and energy over LILCO's transmission lines; and WHEREAS, LILCO is willing to provide such trans-mission service; 7W THEREFORE, in consideration of the mutual l
ot11 Cations and undertakings set forth herein, it is agreed l-as follows:
- i. 1. ELECTRIC TRANSMISSION SERVICE TO BE RENDERED
!, 1.1 In general, LILCO's transmission obligations fall into a priority structure with internal operation of LILCO's
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system to reliably and economically service its own customers being assigned the highest priority. This highest priority also includes the utilization of LILCO's firm, supplemental (as defined by the most recent New. York Power Pool Agreement),
and/or omergency power purchases including both existing contracts and~any future contracts LILCO may enter into.
F1,rm transmission contracts are next in priority, starting
, with the oldest; LILCO's daily and hourly transactions are
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2 ., f) next; daily and hourly tran::act bns of others are last.
The firm' transmission service to be rendered by LILCO under this Agrecment shall be considered a firm transmission contract in,the'above priority structure. The interruptible trans-mission service to be rendered by LILCO under this' Agreement shall be considered on a when, if, and as available basis; below LILCO's daily and hourly transactions in the above priority structure. These two services shall cover the transmission of power and energy from points of intercon-nection with Consolidated Edison Company of'New York, Inc.
or, as requested by PASNY, any other electric utility to
. which LILCO is interconnected to the point of interconnection with any of the Municipalities. .'
1.2 Transmission capacity to be made available by LILCO to PASNY will be that amount required to transmit power to the Municipalities as scheduled by PASNY, but not more than the 1 actual capability,of LILCO's transmission system serving l l
each Municipality as determined by LILCO. PASHY shall 1
advise LILCO by the first day of April of each year of its
, anticipated scheduled maximum firm kilowatt delivery to each of. the Municipalities for each month through May of the following year, and its estimated summer and winter maximum firm kilowatt delivery and total annual firm kilowatt-hour l delivery to each of the Municipalities for the next succeeding -
five year period. LILCO will then notify PAS!!Y within 60 days if LILCO foresces any restrictions in providing the necessary transmission service. LILCO is not required hereby, without further a6reement of the parties hereto, to
(];
construct or modify its transmission facilities to provide transmission service to the Municipalities.
13 Power and energy to be transmitted hereunder shall be that amount which PASNY makes available at LILCO's points of interconnection with other utilities. LILCO is not required hereby to deliver power and energy to the Municipalities when power and energy is not delivered by PASNY to LILCO or when LILCO must interrupt or curtail transm,ission service to economically service its customers in accord with the priority
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designations in paragraph 1.1 above. If the Municipalities desire to receive power and energy from LILCO at such times,
'LILCO shall sell and deliver such power and energy only
- pursuant to separate agreements between LILCO and each of the individual Municipalities providing for such service.
. As of the date of this agreement, LILCO has entered'into ,
separate agreements with Freeport (NY PSC Contract No. 139) ,
and Rockville Centre (NY PSC Contract No. 96). It is under-stood that those agreements set forth the terms and conditions )
under which ener'gy and power will be sold and delivered to those Municipalities when not transmitted pursuant to this Agreement. It is also understood that unless a separate agreement is executed between LILCO and Greenpor't, LILCO 1W111 not deliver any power and energy to Greenport when PASNY is not delivering power and energy to LILCO or when LILCO must interrupt or curtail transmission service pursuant to paragraph 1.1. ,
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. 1.4 The actual power and energy delivered by LILCO to the Municipalities will be amounts which in LILCO'u sole judg'nent do,not exceed the capacity of LILCO's transmission system from the points of interconnection with other utilities to the places of interconnection between LILCO and the Munici-palitics' systems and in accord with the priority designations in paragraph 1.1 above. Should LILCO be unable to provide sufficient transmission capacity for the total scheduled delivery of power and energy under this contract because of outage of electric transmission facilities, or for any other
, reason beyond LILCO control, PASNY may request LILCO to reschedule its generating facilities so as to restore as much transmission capacity as practicable. In this event, PASNY shall reimburse LILCO for all its incremental generation and transmission costs so incurred. Should PASNY elect not to request rescheduling of LILCO's generating facilities, or in the event that, rescheduling does not restore sufficient transmission capacity for PASNY's total scheduled delivery of power and energy under this contract, LILCO agrees to take delivery of as much of PASNY's scheduled power and energy as LILCO can deliver to the Municipalities under such circumstances.
- 2. PAYMENTS FOR THE USE OF TRANSMISSION FACILITIES -
- 2' '1 Firm Transmission Service 2.1.1 For use of LILCO's transmission and subtransmission system for deliveries to the villages of Freeport and
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Rockville Centre, PASNY shall 'ony LILCO at the rate of one and sixteen hundredths dollars ($1.16) per kilowatt
- per month of firm demand scheduled for delivery at the points of interconnection betwcon LILCO and the villages of Freeport and Rockville Centre-2.1.2 Since the Village of Greenport will be inter-
- onnected with a LILCO distribution station, a surcharge will be applied for use of this distribution equipment.
In addition to the $1.16 per kilowatt per month charge for use of LILCO's transmission and subtransmission system, PASNY shall pay LILCO a surcharge at the rate of fifty six hundredths dollars ($.56) per kilowatt per month of 1*irm demand delivered to Greenport at its j
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point of interconnection with LILCO, 2.1 3 If LILCo does not provide transmission or distri-bution capability equal to the firm power deliveries )
acheduled to the Municipals in any, hour, and such
- curtailment continues for one hour or longer, PASNY shall receive a credit against the transmission charge
. and surcharge, as anplicable, for that billing period, the amount of which shall be a fraction of the total l
i transmission charge and surcharge, as applicable, for l the billing period determined by the ratio of (i) the l l
sum of the hours in which the rate of delivery was reduced to zero plus the total of the fractional hours l of partially reduced service (,the fraction for each hour being the ratio of the . reduction of the rate of
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- delivery below that scheduled for delivery to the Municipals to the scheduled demand) to (ii) the number of hours in the billing period. PASUY shall not receive any credits for service curtailments caused by PASNY or any other companies providing transmission service for PASNY. -
2.2 Interruptible Transmission Service 2.2.1 PASNY shall pay LILCO at the rate of one and fifty nine hundredths dollars ($1 59) per megawatt-hour of interruptible energy scheduled for delivery to the
. Municipalities over LILCO's facilities under this '
Agreement. This rate will apply to the Villages of Freeport, and Rockville Centre for use of LILCO's trans-mission and subtransmission system. Interruptible energy shall not be delivered to Greenport.
23 LILCO shall recalculate the foregoing charges annually effective June 1, and shall submit any resulting revisions in rates to PASNY. If PASNY, through its Director of Power Operations, does not indicate its acceptance of such revised rates within 30 days from the date of such submittal or the parties cannot agree on alternate rates within that period of time, such revised rates shall be filed by iILCO, on notice to PASHY, with the Federal Energy Regulatory Commission (FERC) for approval, and LILCO may charge such rates subj ect 9
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7_ .J to any suspension period establiched by FERC and subject to refund, with interest as may be detcrmined by FERC, to the extent'that such revised rates mny be found by FERC to be excessive.
2.4 Bills for the charges for services supplied in accordance with this Agreement during each month will be rendered by the tenth day of the following month and will be payable on the first banking day of the month immediately succeeding the month in which they are rendered.
t 25 If PASNY fails to pay any bill when due, PASNY shall pay interest on the principal amount unpaid equal to the rate specified in the most recent revision of LILCO's Schedule for Electric Service, P.S.C. No. 7-Electricity, Leaf No. 19 3 COMPENSATION FOR LOSSES 31 PASNY shall compensate LILCO for any increase in trans- '
mission losses incurred on the LILCO system as a result of I I
, transmission of energy to the Municipalities hereunder.
Transmission losses shall be determined by LILCO, and verified by PASNY, based on an estimate of average conditions. l
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- 4. POWER FACTOR -
LILCO requires the normal power factor at the points of delivery at each of the Municipalities to be no less than 90 percent lagging.
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1 5 METERING The amount of power transmitted hereun'dcr shall be metered at the points of int.orconnection with the Municipal-ities.
- 6. TERM OF AGREEMENT This Agreement shall become effective upon the date of its execution by the parties hereto and shall continue in effect thereafter until termination upon two (2) years prior notice in writing of either party's intention to do So. .
'7 TERMINATION OF PRIOR AGREEMENT The Transmission Agreement between PASNY and LILCO dated June 18, 1976, is hereby cancelled as of the effective
. date of this agreement. .
- 8. OTHER PROVISIONS 8.1 Force Majeure .
Neither party shall be considered to be in default in respect to any obligation hereunder, if prevented from fulfilling such obligation by reason of force majeure, the term force majeure being deemed for the pur, pose of this contract to mean any cause beyond the control of the party affected, ; :-
including but not limited to, failure of facilities, flood,
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. t earthquake, storm, Jichtning, fire, epidemic, war, strikes, riot, civil disturbances, sabotage and restraint by court or pub.lic' authority, which by exercise of duc diligence and foresight such party could not reasonably have t'een expected to avoid. Either party rendered unable to fulfill any obligation by reason of force majeure shall exercise due diligence to remove such inability, i
8.2 Waivers ~
Any waiver at any time by either party of its rightc with 4
, respect to a default or any other mattel- arising in connection with this contract shall be in writing and shall not be deemed to be a waiver with respect to any subsequent default 1 or matter. l 8.3 Notices
- Except where otherwise herein specifically provided, any )
notice, demand or request required or authorized by this contract shall be deemed properly,given if mailed by first '
class mail, postage pr(pa'id, to PASNY at the address of PASNY shown on the signature page. hereof, and to the official signing for LILCO at the address of LILCO shown on the signature page hereof. The designation of the person to be ,
notified or the address of such person may be changed at any time by similar notice.
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.:3 IN WITNESS WilEilEOF, the parties have caused thist Agreement to be signed by.their respective authori zed officcro and their respective ::cals to be affixed hereto as of e th date first above written. .
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10 ColumausL.Circle, New York, New York 10019 By i
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