Annual generation
 3. (1) For the purposes of section 92.1 of the Act, a station’s annual generation for a year is the amount of electricity generated by the station during the year, other than electricity that is consumed directly in the generation of electricity at the station without being conveyed through a transmission or distribution system.  O. Reg. 124/02, s. 3 (1). (2) Despite subsection (1), if the generator of the station engages in the transfer of water to or from another station during the year and compensation is payable to or by the generator in respect of water transferred, the station’s annual generation for the year is the amount of electricity calculated using the formula, A + B + C – D – E in which, “A”  is the amount that would be the station’s annual generation for the year under subsection (1) if this subsection did not apply, “B”  is the total of all amounts of electricity received by the generator during the year from other generators, in compensation for the use of water associated with the station, “C”  is the amount of electricity determined for the station for the year under subsection (3), “D”  is the total of all amounts of electricity generated at the station and conveyed during the year to other generators in compensation for the use of water that is associated with a station of the other generators, and “E”  is the amount of electricity determined for the station for the year under subsection (4). O. Reg. 124/02, s. 3 (2). (3) For the purposes of subsection (2), “C” for a station for a year is the amount of electricity calculated using the formula, F × G/H in which, “F”  is the amount that would be determined under subsection (2) to be the station’s annual generation for the year if each of “C” and “E” in that subsection were nil, “G”  is the total value of all compensation, other than electricity, that is received by the generator of the station from other generators in compensation for the use in the year of water associated with the station, and “H”  is the amount that would be the station’s gross revenue for the year if the amount of the station’s annual generation for the year were determined on the basis that each of “C” and “E” in subsection (2) were nil. O. Reg. 124/02, s. 3 (3). (4) For the purposes of subsection (2), “E” for a station for a year is the amount of electricity calculated using the formula, F × I/H in which, “F”  has the same meaning as in subsection (3), “I”  is the total value of all compensation, other than electricity, that is paid by the generator of the station to other generators in compensation for the use in the year of water associated with stations of the other generators, and “H”  has the same meaning as in subsection (3). O. Reg. 124/02, s. 3 (4). (5) Despite subsections (1) and (2), if a station does not generate electricity at any time in a year, the station’s annual generation for the year, if any, is the sum of, (a)  the number of gigawatt hours of electricity determined by dividing the total value of all compensation, other than electricity, that is received by the generator of the station from other generators in compensation for the use in the year of water associated with the station by a price of $40,000 per gigawatt hour; and (b)  the total of all amounts of electricity delivered to the generator of the station during the year from other generators, in compensation for the use of water associated with the station.  O. Reg. 124/02, s. 3 (5). (6) Despite subsection (1), the annual generation for a year of each of the following stations on the Ottawa River is one-half of the annual generation for the year that would otherwise be determined under that subsection in respect of the station: 1.  The Des Joachims Generating Station. 2.  The Otto Holden Generating Station. 3.  The Chenaux Generating Station.  O. Reg. 124/02, s. 3 (6).