Common use of Capacity Pricing Clause in Contracts

Capacity Pricing. (1) The Parties agree that the monthly price for the 100 MW Use Limited System Capacity (the “Monthly Capacity Price”) required to be made available pursuant to Section 2.1(2) shall for each given Contract Year during the Firm Product A Contract Term Time Period be US [TRADE SECRET DATA EXCISED] per MW-month, escalated using the following formula: The Monthly Capacity Price for a Contract Year as determined using the foregoing formula shall remain fixed during that Contract Year. The Parties acknowledge that: (a) notwithstanding the application of this escalation provision, the Monthly Capacity Price shall not be reduced at anytime below US [TRADE SECRET DATA EXCISED] per MW-month; and (b) for each applicable Contract Year, the [TRADE SECRET DATA EXCISED] used in the price escalation formula shall be determined using the most recently published [TRADE SECRET DATA EXCISED] for the relevant calendar years as of the date that is thirty (30) calendar days before the first day of that Contract Year.