Common use of Payment of WAF Moneys Clause in Contracts

Payment of WAF Moneys. During the ten-year effective period of the WAF, payment to PG&E for consensually agreed to or FERC approved increased flow releases, and interim instream flow releases which have been taken pending FERC action, will be made in arrears annually. After January 1 following the expiration of the WAF, all uncommitted funds will revert to CALFED, or as otherwise provided by law. During the last year of the WAF, and to the extent that adequate moneys remain in the WAF, funds for agreed to prescribed instream flow releases which will be delivered after expiration of the WAF will be paid to PG&E in one lump-sum based on the net present value of foregone energy for the period inclusive of the realized increased prescribed instream flow releases and expiration date of the current FERC license. The method of valuation of any additional environmentally beneficial prescribed instream flow releases for the purpose of compensation from the WAF shall be similar to that used for estimating the net present value of foregone power in Attachment 1. The annual in arrears payments described above will be calculated by computing the additional energy foregone on a daily basis over the prior year due to increased prescribed instream flow releases multiplied by the weighted daily energy price published by the California Power Exchange. The lump-sum payment described above will be determined based on the average annual additional foregone energy associated with increased prescribed instream flow releases for a typical water year (e.g. water year 1989). The net present value payment will be based on the appropriate power values, escalation factor, and discount rate.