Common use of Renewable Resources Clause in Contracts

Renewable Resources. Western supports the installation of renewable sources of energy but recognizes that certain operational constraints exist in managing the significant fluctuations that are a normal part of their operation. Western has marketed the maximum practical amount of power from each of its projects, leaving little or no flexibility for provision of additional power services. Consequently, provided that Western-UGP is able to purchase additional power resources delivered into its WAUW to provide Regulation and Frequency Response Service to intermittent renewable generation resources serving load within WAUW, costs for these regulation resources will become part of Western- UGP’s Regulation and Frequency Response Service. However, pursuant to Western-UGP’s rate schedules, Western-UGP will not regulate for the difference between the output of an intermittent generator located within WAUW and a delivery schedule from that generator serving load located outside of WAUW. Intermittent generators taking transmission service from SPP within the Western Interconnection inside the WAUW and serving load outside WAUW will be required to pseudo-tie or dynamically schedule their generation to another Balancing Authority Area. An intermittent resource, for the limited purpose of Western-UGP’s rate schedules, is an electric generator that is not dispatchable and cannot store its fuel source and, therefore, cannot respond to changes in demand or respond to transmission security constraints.