Variable Payment and Monthly Reimbursement Components. (a) The calculation of the “Variable Payment” for each month is as follows: Variable Paynent x,X = [Regulation Caeacity Offered n ] × [Oeeortunity Cost Rate + Residual Variable Cost Rate ] Where: ‘Regulation Capacity Offered’ is the actual amount of Regulation Capacity offered by the ASP during the Settlement Period ‘Opportunity Cost Rate’ is the value provided in Table 3 of Schedule 4 ‘Residual Variable Cost Rate’ is the value provided in Table 3 of Schedule 4 ‘k’ is Market Participant ‘k’, the ASP ‘H’ is the set of all Settlement Hours ‘h’ in the applicable Settlement Period. In the first and last month in which payments are due under this Agreement, this may be a period of less than one month ‘m’ is the applicable Delivery Point
Variable Payment and Monthly Reimbursement Components. (a) The calculation of the “Variable Payment” for each month is as follows: Where: ‘Regulation Capacity Offered’ is the actual amount of Regulation Capacity offered by the ASP during the Settlement Period ‘Opportunity Cost Rate’ is the value provided in Table 3 of Schedule 4 ‘Residual Variable Cost Rate’ is the value provided in Table 3 of Schedule 4 ‘k’ is Market Participant ‘k’, the ASP ‘H’ is the set of all Settlement Hours ‘h’ in the applicable Settlement Period. In the first and last month in which payments are due under this Agreement, this may be a period of less than one month ‘m’ is the applicable Delivery Point
