Common use of LBMP Bus Calculation Method Clause in Contracts

LBMP Bus Calculation Method. System marginal costs will be utilized in an ex ante computation to produce Day- Ahead and Real-Time LBMP bus prices using the following equations. Where: The LBMP at bus i can be written as: γi = λR + γLi + γCi γi = LBMP at bus i in $/MWh λR = the system marginal price at the Reference Bus γ L = Marginal Losses Component of the LBMP at bus i which is the marginal γ C = Congestion Component of the LBMP at bus i which is the marginal cost of the equation: Where: γ L = (DFi - 1) λR DFi = delivery factor for bus i to the system Reference Bus and: Where: DFi = ( 1 - ) ∂Pi L = NYCA losses; and Pi = injection at bus i The Congestion Component of the LBMP at bus i is calculated using the equation:

LBMP Bus Calculation Method. System marginal costs will be utilized in an ex ante computation to produce Day- Ahead and Real-Time LBMP bus prices using the following equations. Where: The LBMP at bus i can be written as: γi 𝛾𝑖 = λR 𝜆𝑅 + γLi 𝛾𝐿 + γCi γi 𝛾𝐶 Where: 𝛾𝑖R = LBMP at bus i in $/MWh λR 𝜆𝑅 = the system marginal price at the Reference Bus γ L 𝑖 𝛾𝐿 = Marginal Losses Component of the LBMP at bus i which is the marginal γ C cost of losses at bus i relative to the Reference Bus 𝑖 𝛾𝐶 = Congestion Component of the LBMP at bus i which is the marginal cost of Congestion at bus i relative to the Reference Bus the equation: Where: γ L 𝛾𝐿 = (DFi - 1) λR DFi 𝐷𝐹𝑖 − 1)𝜆𝑅 𝑖 𝐷𝐹𝑖 = delivery factor for bus i to the system Reference Bus and: Where: DFi 𝐷𝐹𝑖 = ( (1 - − 𝜕𝐿 ) ∂Pi L = NYCA losses; and Pi 𝜕𝑃𝑖 𝑃𝑖 = injection at bus i The Congestion Component of the LBMP at bus i is calculated using the equation: 𝑖 𝛾𝑐 = − (� 𝐺𝐹𝑖𝑘𝜇𝑘) except as noted in Sections 17.1.2.2.1 and 17.1.2.3.1 of this Attachment B Where: