Definition of Replacement Costs


Replacement Costs means, with respect to any period of time, the difference between (i) Buyer's costs to replace any Shortfall as calculated in Section 3.5.4, and transmission costs and (ii) the Product Rates multiplied by the cumber of MWhs related to the Shortfall. If the difference is less than zero, then the Replacement Costs shall be equal to zero. 1.100 Schedule or Scheduling means the actions of Supplier, Buyer and/or their designated Operating Representatives of notifying, requesting, and confirming to each other the amount of Energy to be delivered on any given day or days at any given hour at the Delivery Point[s]. 1.101 Shaped Mead Firm Price means an hourly price calculated pursuant to the following procedures. The average Dow Jones Palo Verde Index hourly prices for firm energy will be calculated during the On-Peak and Off-Peak periods as follows: (i) the On-Peak average is calculated by summing the 16 On-Peak hourly values and dividing by 16, (ii) the Off-Peak average is calculated by summing the 8 Off Peak hourly values and dividing by 8, and (iii) for Sunday and NERC holidays, a 24 hour average is calculated by summing the 24 hourly values and dividing by 24. For each hour, an hourly shaping factor is calculated by taking the Dow Jones Palo Verde Index hourly price for firm energy for that hour and dividing by the corresponding On-Peak average, Off-Peak average or 24 hour average determined by the preceding sentence. The Shaped Mead Firm Price is calculated for each hour by taking the hourly shaping factor for the hour multiplied by the On-Peak, Off-Peak or 24 hour Dow Jones Mead/Marketplace Electricity Index price for firm energy that corresponds to that hour. 1.102 Shortfall means the amount, if any, by which the Delivered Amount of Energy is less than the Supply Amount of Energy in any Dispatch Hour. 1.103 Sierra Pacific Power Company means Sierra Pacific Power Company, a Nevada corporation and an operating electric public utility, or any successor entity thereto, subject to the applicable rules of the PUCN, CPUC and the FERC. 1.104 Standard and Poor's or S&P means Standard and Poor's Ratings Group, a division of McGraw Hill, Inc., or any successors thereto. 1.105 Standby Service means the electric service supplied by the Transmission Provider for Station Usage pursuant to the PUCN approved tariff, a copy of which is attached hereto as Exhibit 3, as such tariff may be amended from time to time. 1.106 Station Usage means all Energy used by the Generating Facility. 1.107 Supplier has the meaning set forth in the preamble of this Agreement. 1.108 Supplier's Lenders means any Persons, and their permitted successors and assignees, providing funding in connection with any development, bridge, construction, permanent debt or tax equity financing or refinancing or other financial arrangements for he Generating Facility, the geothermal well field and/or related components. 1.109 Supplier's Required Regulatory Approvals means the approvals, consents, authorizations or permits of, or filings with or notifications to the Governmental Authorities listed on Exhibit 10. 1.110 Supply Amount means, with respect to any Dispatch Hour, the amount of Energy stated in Exhibit 13 unless reduced pursuant to Section 12.1.2 (Planned Outage), Section 11.6 (Emergency), or as may be adjusted pursuant to Section 3.7.1 and Section 3.7.2 (Adjustment to Supply Amount). The Supply Amount is firm Energy.
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Examples of Replacement Costs in a sentence

If, as a result of Producers failure to deliver, Gold incurs costs in replacing such Ethanol or terminating such third-party agreement, Producer shall pay to Gold all such replacement or other costs incurred by Gold in fulfilling or terminating its obligations to the respective end customer (collectively Replacement Costs).
To the extent additions and modifications interfere with the ability of the Generating Facility to provide the Supply Amount beyond the limits for Planned Outage[s] set forth in Section 12 (PIanned Outages), Supplier shall pay Replacement Costs to Buyer pursuant to Section 3.5 (Replacement Costs).
The Buyer shall have the right to draw on the letter of credit, at the Buyer's sole discretion (i) in the event Supplier fails to make any payments owing under this Agreement or to reimburse the Buyer for costs, including Replacement Costs, PC Replacement Costs, and Penalties, that the Buyer has incurred or may incur as a result of the Supplier's failure to perform under this Agreement.
Renewal and Replacement Costs are costs associated with major reconstruction, rehabilitation, renewals, replacements and extraordinary repairs necessary to the sound operation of the Turnpike System or to prevent loss of Revenues, but not costs associated with new construction, additions or extensions.
Such PCs may replace any PCs not delivered by Supplier hereunder and may be provided in Iieu of Supplier's payment of the PC Replacement Costs, provided that (i) such arrangements are reasonably acceptable to Buyer, (ii) such replacement PCs are of a comparable character and have a comparable expiration date as the Delivered PCs, and (iii) such replacement PCs are transferred to Buyer without any expense to Buyer.