Download 1e-ALCOA Contract - Exh A.pdf

Contents : December 16 2008 Exhibit 1e-A NEW YORK POWER AUTHORITY 30 South Pearl Street 10th Floor Albany New York 12207-3425 AGREEMENT FOR THE SALE OF FIRM AND INTERRUPTIBLE HYDROELECTRIC POWER AND ENERGY FROM THE ST. LAWRENCE-FDR POWER PROJECT TO ALCOA INC. Service Tariff No. 22 - Schedule of Rates for Sale of Firm and Interruptible Hydroelectric Power Service NEW YORK POWER AUTHORITY 30 South Pearl Street 10th Floor Albany New York 12207-3425 AGREEMENT FOR THE SALE OF FIRM AND INTERRUPTIBLE POWER AND ENERGY TO ALCOA INC. Alcoa Inc. ( Alcoa or Customer ) hereby enters into this Agreement with the New York Power Authority ( Authority or NYPA and collectively with Customer the Parties ) for the sale of firm and interruptible power and energy for its facilities at 194 County Route 45 ( East Plant ) and at Park Avenue East ( West Plant ) Massena New York 13662 as follows: WHEREAS the existing contracts (1) between Customer f/k/a Aluminum Company of America and Authority for the sale of 174 000 kilowatts ( kW ) of firm power and energy and 65 000 kW of interruptible power and energy by Authority to Customer and (2) between Customer s Reynolds Metals Company subsidiary ( Reynolds ) and Authority for the sale of 200 000 kW of firm power and energy and 39 000 kW of interruptible power and energy by Authority to Reynolds are both set to expire on June 30 2013 and WHEREAS the Parties seek to replace the existing contracts with a single contract that will provide to Customer from the Authority s St. Lawrence-FDR Project 374 000 kW of firm power and energy and 104 000 kW of interruptible power and energy to be used by Customer at both its own facility and its Reynolds facility as it sees fit and WHEREAS such Allocations shall be sold by the Authority to Customer under this Agreement for the Sale of Firm and Interruptible Power and Energy ( Agreement ) and WHEREAS such Allocations are subject to the tariffs of the New York Independent System Operator Inc. ( NYISO ) NOW THEREFORE the Parties hereto agree as follows: I. Definitions A. Agreement means this Agreement. B. Allocation(s) means the allocation(s) of Firm and Interruptible Power and Energy to Customer on the terms set forth herein. C. Authority is the New York Power Authority. 1 D. Contract Demand will be the amount set forth in Article II or such other amount as may be determined in accordance with the provisions of this Agreement. E. Customer is Alcoa. F. Electric Service is Power and Energy sold to Customer in accordance with this Agreement and applicable Service Tariffs and Rules. G. Firm and Interruptible Power and Energy is power and associated energy from the Project as provided in Service Tariff No. 22 and allocated by Authority for business use as Preservation Power pursuant to Section 1005 (13) of the New York Public Authorities Law ( NY PAL ). H. FERC means the Federal Energy Regulatory Commission (or any successor organization). I. FERC License means the license issued by FERC to Authority for the continued operation and maintenance of the Project pursuant to Section 15 of the Federal Power Act. J. Hydro Projects is a collective reference to the Project (defined below) and Authority s Niagara Project FERC Project No. 2216. K. NYISO means the New York Independent System Operator or any successor organization responsible for the transmission and the reliable supply of electricity in the State of New York. L. Project means Authority s St. Lawrence-FDR Project FERC Project No. 2000. M. Rate Year means a twelve (12) month period starting July 1 and ending June 30 for which Electric Service is provided under this Agreement. N. Rebuilding of the East Plant means the decommissioning of the existing Soderberg smelting technology and facilities at the East Plant the construction of new prebake smelting technology and facilities at the East Plant and the addition of new supporting facilities at the West Plant. O. Rules are the applicable provisions of Authority's Rules and Regulations for Power Service (Part 454 of Chapter X of Title 21 of the Official Compilation of Codes Rules and Regulations of the State of New York) as they are modified from time to time. P. Service Tariffs are schedules or tariffs of Authority establishing rates and other conditions for sale of Electric Service to Customer including Service Tariff No. 22 as it may be modified from time to time except as noted herein. 2 Q. II. Unforced Capacity shall have the same meaning as set forth in the NYISO Market Services Tariff as it may be modified from time to time. Electric Service to be Provided A. Contract Demands. Authority shall provide Electric Service pursuant to Service Tariff No. 22 ( ST-22 ) for Power and/or Energy to enable the Customer to receive its Allocation of Firm and In

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