Back to top

2000 AMENDATORY AGREEMENT

Addendum or Modifications

2000 AMENDATORY AGREEMENT You are currently viewing:
This Addendum or Modifications involves

Connecticut Yankee Atomic Power Company | The Connecticut Light and Power Company

. RealDealDocs™ contains millions of easily searchable legal documents and clauses from top law firms. Search for free - click here.
Title: 2000 AMENDATORY AGREEMENT
Governing Law: Connecticut     Date: 3/17/2005

Search Addendum or Modifications by:

Document Title:

Entire Document: (optional)

50 of the Top 250 law firms use our Products every day
exhibit10.9.2cyamendagt

Exhibit 10.9.2

 

2000 AMENDATORY AGREEMENT

This Agreement, dated as of the 28th day of July, 2000, is entered into by and between Connecticut Yankee Atomic Power Company ("Connecticut Yankee") and The Connecticut Light and Power Company ("Purchaser").

For good and valuable consideration, the receipt of which is hereby  acknowledged, it is agreed as follows:

I.       Basic Understandings

 

On April 7, 2000, upon direction from its Board of Directors, Connecticut Yankee filed an Offer of Settlement in a proceeding before the Federal Energy Regulatory Commission ("FERC"), Docket No. ER97-913-000, to settle the claims related to the collections to be made by Connecticut Yankee over the remaining terms of the Additional Power Contract, between Connecticut Yankee and the Purchaser, dated as of April 30, 1984 ("Additional Power Contract"), the 1987 Supplementary Power Contract between Connecticut Yankee and the Purchaser, dated as of April 1, 1987 (" 1987 Supplementary Power Contract"), and the December 4, 1996 Amendatory Agreement between Connecticut Yankee and Purchaser, which amended the 1987 Supplementary Power Contract and the Additional Power Contract in various respects (the "1996 Amendatory Agreement"). The Offer of Settlement specifies that, if it is approved by FERC, Connecticut Yankee will implement necessary amendments to contracts between Connecticut Yankee and the Purchaser to effectuate the provisions of the Offer of Settlement.  Among the provisions of the Offer of Settlement is a requirement that Connecticut Yankee abandon the use of the net unit investment methodology for calculating collections from its Purchasers for return on remaining equity. The new methodology to be used for each monthly bill to a Purchaser is simply to multiply the remaining equity balance times the monthly equivalent return on equity allowed by FERC. The Offer of Settlement also provides that funds previously collected by Connecticut Yankee for its pre-1983 spent nuclear fuel disposal liability to the U.S. Department of Energy ("DOE") and held in a segregated fund established pursuant to the 1987 Supplementary Power Contract, may be used to pay the costs of storing spent nuclear fuel on-site until the DOE removes it. Finally, the Offer of Settlement provides that Connecticut Yankee must make an informational filing with FERC in advance of any acceleration of recovery of unamortized investment as contemplated under the terms and conditions of Section 3, Part D (iii) of the 1996 Amendatory Agreement.

In order to carry out the obligations undertaken in the Offer of Settlement, Connecticut Yankee and the Purchaser have agreed (a) to authorize the application of monies held in the segregated fund to meet costs of storing spent nuclear fuel and associated high level radioactive materials; (b) to change the methodology employed for calculating collections for return on equity; and (c) to require an advance informational filing be made with FERC prior to acceleration of amortization.

2.       Prior Contracts Preserved

Except as expressly modified by this Agreement. the provisions of the Additional Power Contract. the 1987 Supplementary Power Contract. as amended by the 1996 Amendatory Agreement. as well as the 1996 Amendatory Agreement. remain in full force and effect, recognizing that the mutually accepted decision to shut down the Unit renders

moot those provisions which by their terms relate solely to continuing operation of the Unit.

3.       Amendment of Additional Power Contract

A.     The first paragraph of Section 7 of the Additional Power Contract is hereby

amended to read as follows:

With respect to each month commencing on or after the commencement of the operative term of this contract, whether or not this contract continues fully or partially in effect. the Purchaser will pay Connecticut Yankee as deferred payment for the capacity and output of the Unit provided to the Purchaser by Connecticut Yankee prior to the permanent shutdown of the Unit on December 4, 1996, to the extent not otherwise paid in accordance with the Power Contract, but without duplication: an amount equal to the Purchaser's entitlement percentage of the sum of (a) the Total Decommissioning Costs for the month with respect to the Unit, plus (b) Connecticut Yankee's total operating expenses for the month with respect to the Unit, plus (c) an amount for operating income as determined in accordance with this Section 7.

 

 

B.      The second paragraph of Section 7 of the Additional Power Contract is

hereby deleted.

 

C.       The third paragraph of Section 7 of the Additional Power Contract is hereby deleted.

 

D.       The fourth paragraph of Section 7 of the Additional Power Contract is hereby deleted.

 

E.       The sixth paragraph of Section 7 of the Additional Power Contract is hereby deleted.

search for free browse for free learn more