TO PURCHASE, OR PURCHASE, AN AGGREGATE AMOUNT OF ADDITIONAL RECS AND
CARBON OFFSETS IN ANY CONTRACT YEAR FOR AN AGGREGATE AMOUNT IN EXCESS OF
$500,000.
(B)
CONTRACT PRICE FOR ENERGY, ENERGY SWAPS AND
ENERGY OPTIONS.
(I)
EXCEPT WITH RESPECT TO SLEEVE
TRANSACTIONS (WHICH SHALL BE PRICED IN ACCORDANCE WITH PART 7(E)(III)) AND
EXCEPT AS SPECIFIED IN PART 7(B)(II) WITH RESPECT TO LOCATIONAL BASIS SWAPS, THE
CONTRACT PRICE FOR ENERGY PURCHASED BY PARTY B FROM PARTY A PURSUANT TO ANY
TRANSACTION SHALL BE THE SUM OF (A) THE QUOTED PRICE, PLUS (B) THE APPLICABLE
ENERGY ADDER.
THE FIXED AND FLOATING PRICES FOR ANY ENERGY SWAPS SHALL BE THE
APPLICABLE QUOTED PRICES, PLUS AN ENERGY ADDER, IF APPLICABLE.
PARTY A HEREBY
AGREES THAT IT WILL PROVIDE QUOTED PRICES FOR ENERGY AT VARIOUS DELIVERY POINTS
TO PARTY B, UPON PARTY B'S REASONABLE REQUEST.
ONCE PARTY A HAS PROVIDED PARTY
B WITH A QUOTED PRICE WITH RESPECT TO A TRANSACTION AND PARTY B HAS NOT OBJECTED
TO SUCH QUOTED PRICE WHEN SUCH QUOTE IS GIVEN, THE QUOTED PRICE FOR SUCH
TRANSACTION SHALL BE FINAL AND BINDING.
(II)
FOR THE AVOIDANCE OF DOUBT, THE CONTRACT
PRICE FOR ANY LOCATIONAL BASIS SWAP, AS DETERMINED BY PARTY A, SHALL BE THE
PRICE QUOTED BY PARTY A AND SHALL NOT INCLUDE AN ENERGY ADDER.
PURCHASES OF
ENERGY TO HEDGE LOCATIONAL BASIS RISK SHALL NOT BE CREDITED TOWARD THE MINIMUM
ENERGY QUANTITY FOR ANY CONTRACT YEAR.
(III)
FOR THE AVOIDANCE OF DOUBT, PARTY A AND PARTY
B ACKNOWLEDGE AND AGREE THAT AN ENERGY ADDER SHALL NOT BE ADDED TO AMOUNTS
PAYABLE BY PARTY A UNDER ANY TRANSACTION.
(C)
PRICE CREDITS.
FOR ALL SALES OF ENERGY BY
PARTY B TO PARTY A AND FOR ALL ENERGY SWAPS THAT PARTY A AGREES UNWIND EXISTING
POSITIONS, PARTY A WILL CREDIT TO PARTY B AN AMOUNT EQUAL TO $0.625/MWH IN
ADDITION TO THE QUOTED PURCHASE PRICE(S) FOR SUCH TRANSACTIONS; PROVIDED,
HOWEVER, THAT SUCH CREDIT SHALL NOT APPLY TO (I) PROMPT MONTH AND INTRA-MONTH
TRANSACTIONS AND (II) LOCATIONAL BASIS SWAPS.
ONCE PARTY A HAS PROVIDED
27
PARTY B WITH A QUOTED PURCHASE PRICE WITH RESPECT TO A TRANSACTION AND PARTY B
HAS NOT OBJECTED TO SUCH QUOTED PURCHASE PRICE WHEN SUCH QUOTE IS GIVEN, THE
QUOTED PURCHASE PRICE FOR SUCH TRANSACTION SHALL BE FINAL AND BINDING.
THE
QUANTITY OF ENERGY PURCHASED BY PARTY A FROM PARTY B SHALL BE SUBTRACTED FROM
THE AGGREGATE VOLUME OF ENERGY PURCHASED HEREUNDER DURING THE RELEVANT CONTRACT
YEAR FOR PURPOSES OF DETERMINING WHETHER THE APPLICABLE MINIMUM ENERGY QUANTITY
HAS BEEN PURCHASED BY PARTY B.
(D)
APPLICABILITY OF ENERGY ADDER.
IF THE FIXED
PRICE FOR ANY ENERGY SWAP INCLUDES AN ENERGY ADDER, PARTY B SHALL NOT BE
OBLIGATED TO PAY AN ENERGY ADDER WITH RESPECT TO THAT PORTION OF ANY POWER
TRANSACTION WHICH AT THE TIME OF DETERMINATION IS HEDGED BY SUCH ENERGY SWAP.
(E)
SLEEVE TRANSACTIONS.
(I)
PARTY B SHALL HAVE THE RIGHT TO OBTAIN
PRICE QUOTES FROM THIRD PARTIES FOR PHYSICALLY SETTLED ENERGY PURCHASE
TRANSACTIONS WHERE PARTY