170 Ind. Admin. Code 4-4.1-9
Authority: IC 8-1-1; IC 8-1-2; IC 8-1-2.4
Affected: IC 8-1-2; IC 8-1-2.4
Sec. 9.
Where: C = Unadjusted monthly capacity payment per kilowatt of contracted capacity year of completion of unit.
D = Present value of carrying charges for one dollar ($1) of investment over n years with carrying charges assumed to be paid at the end of each year.
V = Investment amount in year of completion, including allowance for funds used during construction, of the avoidable or deferrable unit, stated on a per kilowatt basis and including rated share of common costs.
n = Expected life of the avoidable or deferrable unit.
ip = Annual escalation rate associated with the avoidable or deferrable unit.
io = Annual escalation rate associated with the operation and maintenance expenses, less fuel and fuel-related expenses, of the avoidable or deferrable unit.
r = Purchasing utility's after tax cost of capital.
O = Expected total fixed and variable yearly operating and maintenance expenses, less fuel and fuel-related expenses, in expected first year of avoidable or deferrable unit's operation stated on a per kilowatt basis.
l = Line losses, expressed as a percentage, for the previous year.
t = Contract term in years, with t = 1 to t.
Where: Ca = Adjusted monthly capacity payment.
[DELTA] t = In-service date of avoidable or deferrable unit less in-service date of qualifying facility.
C, ip, r as previously defined in equation of subsection (a).
Where: F = Capacity payment adjustment factor.
Ep = Kilowatt-hours delivered to the electric utility during the peak period by the qualifying facility.
K = Kilowatts of capacity the qualifying facility contracts to provide.
Tp = Number of hours in peak period.
170 IAC 4-4.1-9