Payments re embedded generator within an embedded distributor
7. (1) In this section,  “J” is the sum of all amounts payable to an embedded distributor by low-volume and designated consumers in the embedded distributor’s service area (other than those low-volume and designated consumers, if any, who have designated contracts with a participating retailer who is using retailer-consolidated billing) for electricity for a month, calculated using the applicable statutory prices for each consumer, for the volume of electricity supplied by an embedded generator to the embedded distributor during the month, adjusted for total losses as required by the Retail Settlement Code, and then distributed to those consumers, “K” is the amount payable by the embedded distributor to the embedded generator for electricity for the same month, calculated under the Retail Settlement Code, for the same volume of electricity distributed by the embedded distributor to the same persons in the same circumstances. O. Reg. 435/02, s. 7 (1); O. Reg. 43/04, s. 7. (2) If there is a difference between an embedded distributor’s “J” in relation to an embedded generator and “K”, (a) the embedded distributor shall give its host distributor such information as the IMO may specify with respect to the payments required by this section and shall do so before the expiry of the period specified by the host distributor; (b) the host distributor shall give the IMO such information as it may specify with respect to those payments, in the form specified by the IMO and before the expiry of the period specified by the IMO; and (c) the IMO shall give the Financial Corporation such information as it may specify with respect to those payments, in the form specified by the Financial Corporation and before the expiry of the period specified by the Financial Corporation. O. Reg. 435/02, s. 7 (2). (3) If an embedded distributor’s “J” in relation to an embedded generator is greater than “K”, an amount equal to the difference between “J” and “K” is payable as follows: 1. The embedded distributor shall pay that amount to its host distributor before the expiry of the period specified by the Board. 2. The host distributor shall pay that amount to the IMO before the expiry of the period specified by the IMO. 3. The IMO shall pay that amount to the Financial Corporation after receiving the information required by clause (2) (b) from the host distributor and before the expiry of the period specified by the Financial Corporation. O. Reg. 435/02, s. 7 (3). (4) If an embedded distributor’s “K” in relation to an embedded generator is greater than “J”, an amount equal to the difference between “J” and “K” is payable as follows: 1. The Financial Corporation shall pay that amount to the IMO after receiving the information required by clause (2) (c) from the IMO. 2. The IMO shall pay that amount to the embedded distributor’s host distributor after receiving the information required by clause (2) (b) from the host distributor. 3. The host distributor shall pay that amount to the embedded distributor before the expiry of the period specified by the Board. O. Reg. 435/02, s. 7 (4). (5) If, under section 12, the Financial Corporation and the IMO establish requirements that provide for interim payments based on estimates and for subsequent adjustments, subsections (1), (2), (3) and (4) apply with necessary modifications with respect to the estimated amounts for “J” and “K”. O. Reg. 435/02, s. 7 (5).