RSP N-13
Rate Schedules and Rate Application Guidelines

Large Industrial Rate Schedule - Cont'd

Schedulable Energy (continued)

Customers who fail to interrupt will be billed an additional charge which is the higher of:

(i) two times the monthly demand charge per kilowatt for the Large Industrial rate classification multiplied by the kilowatts that were interrupted plus any incremental cost of supplying the energy, or

(ii) the costs incurred by Maritime Electric for replacement energy to supply financially firm export obligations.

The price is based on Maritime Electric's incremental cost of providing such energy. Incremental cost is defined as Maritime Electric's incremental generation or purchased power costs after supplying in-province firm load and other firm supply commitments.

Pricing of Schedulable Energy

Schedulable Energy price will be:
On peak price = incremental cost during on peak hours +1.23¢/kWh.
Off peak price = incremental cost during on peak hours +0.41¢/kWh.

The on peak period is defined as 0800 to 2400 hours Atlantic Prevailing Time on all weekends, except statutory holidays in Prince Edward Island. All other hours are considered to be off peak.

Maritime Electric will provide a week ahead forecast and day ahead firm quotes of the one and off peak prices to be paid by the Customer. When Maritime Electric has insufficient generation to supply its loads, the price of Schedulable Energy will be quoted and updated on an hourly basis.

Schedulable Energy Customers can arrange for a third party outside of Prince Edward Island to supply energy to Maritime Electric. In such an event, Maritime Electric would pay the supplier 0.06¢/kWh less than the incremental cost used in determining the price of Schedulable Energy and the Customer would still pay Maritime Electric the full price of Schedulable Energy including the adders.


Energy Cost Adjustment Mechanism: This rate is subject to the Energy Cost Adjustment Mechanism

RSP N-14
Rate Schedules and Rate Application Guidelines

Large Industrial Rate Schedule - Cont'd

Rental Charges

At the customer's request, Maritime Electric will supply, own and maintain the substation facilities from the high voltage switches to the low voltage terminals of the step-down transformers, provided such transformation satisfies Maritime Electric Standards. The charge for such rental facilities is 15/6% per month of the installed costs. The Customer will supply the low voltage switch gear, concrete substation foundation pads and necessary protective fencing.

Losses Charge

At the discretion of Maritime Electric, electricity may be supplied at a primary service voltage between 4 kV and 25 kV. In such cases, the monthly demand and energy consumption will be increased by 1½% to compensate for transformation losses.


Transformation Charge

When a customer is provided service at voltages less than 69 kV, the customer will also be charged an "equivalent kVA rental" charge equal to 15/6% per month of the costs of the equivalent substation kVA utilized by the Customer's electrical load. The equivalent kVA charge is the Customer's kVA demand multiplied by $1.15 per kVA per month.

Contracts

A customer supplied at the Large Industrial Rate is required, and is deemed, to have entered a firm contract providing for the payment of the rate, for an initial term of five (5) years, in the case of a customer considered by Maritime Electric to be a new customer, and for an initial term of one year for a customer considered by Maritime Electric to be an existing customer. The contract will continue thereafter on a firm basis subject to termination by either the customer or Maritime Electric at the end of the initial term, or any date thereafter by either party giving at least twelve month's notice in writing.

When a Customer's operations are jeopardized because of a failure of its electricity generating equipment, the Customer can apply to suspend any portion of its curtailable power contract and/or firm up all or part of interruptible purchases for a period of at least six months and not more than one year.

Metering

The metering point shall be at or near the transmission line terminals (69 kV).


Energy Cost Adjustment Mechanism: This rate is subject to the Energy Cost Adjustment Mechanism