Florida Public Service Commission native order document 03727-2023

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FILED 6/21/2023
DOCUMENT NO. 03727-2023
FPSC - COMMISSION CLERK

BEFORE THE FLORIDA PUBLIC SERVICE COMMISSION

In re: Petition for approval of revisions to DOCKET NO. 20230041-EQ
standard offer contract and rate schedule COG- | ORDER NO. PSC-2023-0179-PAA-EQ
2, by Tampa Electric Company. ISSUED: June 21, 2023

The following Commissioners participated in the disposition of this matter:

ANDREW GILES FAY, Chairman
ART GRAHAM
GARY F. CLARK
MIKE LA ROSA
GABRIELLA PASSIDOMO

NOTICE OF PROPOSED AGENCY ACTION
ORDER APPROVING TAMPA ELECTRIC COMPANY’S
AMENDED STANDARD OFFER CONTRACT AND RATE SCHEDULE

BY THE COMMISSION:

NOTICE is hereby given by the Florida Public Service Commission (Commission) that
the action discussed herein is preliminary in nature and will become final unless a person whose

interests are substantially affected files a petition for a formal proceeding, pursuant to Rule 25-
22.029, Florida Administrative Code (F.A.C.).

Background

Section 366.91(3), Florida Statutes (F.S.), requires each investor-owned utility (IOU) to
continuously offer to purchase capacity and energy from renewable generating facilities and
small qualifying facilities. Commission Rules 25-17.200 through 25-17.310, F.A.C., implement
the statute and require each IOU to file with the Commission, by April 1 of each year, a revised
standard offer contract based on the next avoidable fossil-fueled generating unit of each
technology type identified in the utility’s current Ten-Year Site Plan. On March 31, 2023, Tampa
Electric Company (TECO) filed a petition for approval of its amended standard offer contract
based on its 2023 Ten-Year Site Plan. We have jurisdiction over this amended standard offer
contract pursuant to Sections 366.04 through 366.055, and 366.91, F.S.

Review and Decision
Section 366.91(3), F.S., and Rule 25-17.250, F.A.C., require that an IOU continuously

make available a standard offer contract for the purchase of firm capacity and energy from
renewable generating facilities (RF) and small qualifying facilities (QF) with design capacities of

ORDER NO. PSC-2023-0179-PAA-EQ
DOCKET NO. 20230041-EQ
PAGE 2
100 kilowatts (kW) or less. Pursuant to Rules 25-17.250(1) and (3), F.A.C., the standard offer
contract must provide a term of at least 10 years, and the payment terms must be based on the
utility’s next avoidable fossil-fueled generating unit identified in its most recent Ten-Year Site
Plan, or if no avoided unit is identified, its next avoidable planned purchase.
TECO has identified an 18.7 megawatt (MW) natural gas-fueled reciprocating engine
(RE) as the next avoidable planned generating unit in its 2023 Ten-Year Site Plan. The projected
in-service date of the avoided RE is January 1, 2030, with planned construction beginning in
January 2028. This unit is one of two REs due in-service in 2030 for a total of approximately 37
MW. There are no preset subscription limits under Rule 25-17.260, F.A.C., and an RF/QF may
contract for more than the amount of the avoided unit. TECO must petition the Commission if it
receives a standard offer contract that is not needed for reliability or would increase costs to the
general body of ratepayers. Pursuant to Rule 25-17.250, F.A.C., when this unit is no longer
available to be used for the standard offer contract, such as when the utility commences
construction, TECO must file a revised standard offer contract based on the next unit of the same
generating type, if any. Based on TECO’s 2023 Ten-Year Site Plan there are currently no further
avoidable fossil-fueled generating units identified.
Under TECO’s standard offer contract, the RF/QF operator commits to certain minimum
performance requirements based on the identified avoided unit, such as being operational and
delivering an agreed upon amount of capacity by the in-service date of the avoided unit, and
thereby becomes eligible for capacity payments in addition to payments received for energy. The
standard offer contract may also serve as a starting point for negotiation of contract terms by
providing payment information to an RF/QF operator, in a situation where one or both parties
desire particular contract terms other than those established in the standard offer.
In order to promote renewable generation, we require each IOU to offer multiple options
for capacity payments, including the options to receive early or levelized payments. If the RF/QF
operator elects to receive capacity payments under the normal or levelized contract options, it
will receive as-available energy payments only until the in-service date of the avoided unit (in
this case January 1, 2030), and thereafter, begin receiving capacity payments in addition to firm
energy payments. If either the early or early levelized option is selected, then the operator will
begin receiving capacity payments earlier than the in-service date of the avoided unit. However,
payments made under the early capacity payment options tend to be lower in the later years of
the contract term because the net present value (NPV) of the total payments must remain equal
for all contract payment options.
Table 1 contains TECO’s estimates of the annual payments for the normal and levelized
capacity payment options available under the revised standard offer contract to an operator with
a 50 MW facility, operating at a capacity factor of 80 percent, which is the minimum capacity
factor required under the contract to qualify for full capacity payments. Normal and levelized
capacity payments begin with the projected in-service date of the avoided unit (January 1, 2030),
and continue for 10 years, while early and early levelized capacity payments begin 5 years prior
to the in-service date, or 2024 for this example.

ORDER NO. PSC-2023-0179-PAA-EQ
DOCKET NO. 20230041-EQ
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Table 0 - Estimated Annual Payments to a 50 MW Renewable Facility
(80% Capacity Factor)
Year
Energy
Payments
Capacity Payment
Normal 	Levelized 	Early Early
Levelized
$(000) 	$(000) 	$(000) 	$(000) 	$(000)
2024 	12,639 	- 	- 	5,121 	5,967
2025 	12,566 	- 	- 	5,225 	5,967
2026 	13,135 	- 	- 	5,331 	5,967
2027 	11,835 	- 	- 	5,440 	5,967
2028 	12,746 	- 	- 	5,550 	5,967
2029 	12,253 	- 	- 	5,663 	5,967
2030 	12,240 	9,748 	10,902 	5,779 	5,967
2031 	13,079 	9,946 	10,902 	5,896 	5,967
2032 	13,360 	10,148 	10,902 	6,016 	5,967
2033 	15,269 	10,355 	10,902 	6,139 	5,967
2034 	14,496 	10,566 	10,902 	6,263 	5,967
2035 	15,376 	10,781 	10,902 	6,391 	5,967
2036 	16,902 	11,000 	10,902 	6,521 	5,967
2037 	17,591 	11,224 	10,902 	6,654 	5,967
2038 	19,783 	11,453 	10,902 	6,789 	5,967
2039 	23,338 	11,686 	10,902 	6,928 	5,967
2040 	23,365 	11,924 	10,902 	7,069 	5,967
2041 	24,918 	12,166 	10,902 	7,212 	5,967
2042 	25,73 	12,414 	10,902 	7,359 	5,967
2043 	27,256 	12,667 	10,902 	7,509 	5,967
Total 	337,878 	156,076 	152,629 	124,854 	119,331
Total (NPV) 	171,076 	67,027 	67,027 	67,027 	67,027
Source: TECO’s Response to Staff’s First Data Request1
TECO’s standard offer contract, in type-and-strike format, is included as Attachment A to
this Order. The changes made to TECO’s tariff sheets are consistent with the updated avoided
unit. Revisions include updates to calendar dates and payment information which reflect the
current economic and financial assumptions for the avoided unit.
The provisions of TECO’s amended standard offer contract and associated rate schedule
COG-2 conform to the requirements of Rules 25-17.200 through 25-17.310, F.A.C. The
amended standard offer contract offers multiple payment options so that a developer of
renewable generation may select the payment stream best suited to its financial needs.
1Document No. 03029-2023, filed May 2, 2023, in Docket No. 20230041-EQ.

ORDER NO. PSC-2023-0179-PAA-EQ
DOCKET NO. 20230041-EQ
PAGE 4

Based on the foregoing, it is

ORDERED by the Florida Public Service Commission that the amended standard offer
contract and associated rate schedule COG-2 filed by Tampa Electric Company are hereby
approved. It is further

ORDERED that the provisions of this Order, issued as proposed agency action, shall
become final and effective upon the issuance of a Consummating Order unless an appropriate
petition, in the form provided by Rule 28-106.201, F.A.C., is received by the Commission Clerk,
2540 Shumard Oak Boulevard, Tallahassee, Florida 32399-0850, by the close of business on the
date set forth in the “Notice of Further Proceedings” attached hereto. Potential signatories should
be aware that, if a timely protest is filed, Tampa Electric Company’s standard offer contract my
subsequently be revised. It is further

ORDERED that in the event this Order becomes final, this docket shall be closed.

By ORDER of the Florida Public Service Commission this 21st day of June, 2023.

ADAM J. 1 hah
ADAM 1. TE
Florida Public Service Commission

2540 Shumard Oak Boulevard
Tallahassee, Florida 32399
(850) 413-6770

www .floridapsc.com

Copies furnished: A copy of this document is
provided to the parties of record at the time of
issuance and, if applicable, interested persons.

JDI

ORDER NO. PSC-2023-0179-PAA-EQ
DOCKET NO. 20230041-EQ
PAGE 5
NOTICE OF FURTHER PROCEEDINGS OR JUDICIAL REVIEW
The Florida Public Service Commission is required by Section 120.569(1), Florida
Statutes, to notify parties of any administrative hearing or judicial review of Commission orders
that is available under Sections 120.57 or 120.68, Florida Statutes, as well as the procedures and
time limits that apply. 	This notice should not be construed to mean all requests for an
administrative hearing or judicial review will be granted or result in the relief sought.
As identified in the body of this order, our action is preliminary in nature. 	Any person
whose substantial interests are affected by the action proposed by this order may file a petition
for a formal proceeding, in the form provided by Rule 28-106.201, Florida Administrative Code.
This petition must be received by the Office of Commission Clerk, at 2540 Shumard Oak
Boulevard, Tallahassee, Florida 32399-0850, by the close of business on July 12, 2023. If such a
petition is filed, mediation may be available on a case-by-case basis. If mediation is conducted,
it does not affect a substantially interested person's right to a hearing. 	In the absence of such a
petition, this order shall become effective and final upon the issuance of a Consummating Order.
Any objection or protest filed in this docket before the issuance date of this order is
considered abandoned unless it satisfies the foregoing conditions and is renewed within the
specified protest period.
Any party adversely affected by the Commission's final action in this matter may request:
(1) reconsideration of the decision by filing a motion for reconsideration with the Office of
Commission Clerk, within fifteen (15) days of the issuance of this order in the form prescribed
by Rule 25-22.060, Florida Administrative Code; or (2) judicial review by the Florida Supreme
Court in the case of an electric, gas or telephone utility or the First District Court of Appeal in
the case of a water or wastewater utility by filing a notice of appeal with the Office of
Commission Clerk and filing a copy of the notice of appeal and the filing fee with the
appropriate court. This filing must be completed within thirty (30) days after the issuance of this
order, pursuant to Rule 9.110, Florida Rules of Appellate Procedure. The notice of appeal must
be in the form specified in Rule 9.900(a), Florida Rules of Appellate Procedure.

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A
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PAGE 6

| EIGHFEENTH-NINTEENTH REVISED SHEET NO. 8.010
y_N CANCELS SEVENTFEENTH-EIGHTEENTH REVISED

Da "TECO. SHEET NO. 8.010
TAMPA ELECTRIC

4N EMERA COMPANY

COGENERATION and SMALL POWER PRODUCTION

Title Sheet No.
Evaluation Procedure for Standard Offer Contracts 8.266
Schedule COG-2: Standard Offer Contract Rate for the Purchase of 8.284

Contracted Capacity and Associated Energy

Appendix A: Value of Deferral Methodology 8.328

Appendix B: Methodology to be Used in Calculation of Avoided 8.344
Energy Cost

Appendix C: 2028-2030 Reciprocating Engine 8.406

Appendix D: Reserved for Future Use .

| ISSUED BY: A. D. Collins, President DATE EFFECTIVE: June4 2022

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A

DOCKET NO. 20230041-EQ Page 2 of 114
PAGE 7
Agreement Adopting Standard Interconnection Agreement for Tier 1, 8.1031
Tier 2 or Tier 3 Renewable Generator Systems
Standard Interconnection Agreement for Tier 2 Renewable Generator 8.1035
Systems
Standard Interconnection Agreement for Tier 3 Renewable Generator 8.1070
Systems
Standard Interconnection Agreement for Non-Export Parallel Operators 8.1110

10MVA or Less

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A
DOCKET NO. 20230041-EQ Page 3 of 114

PAGE 8

described by the Florida Public Service Commission (FPSC) Rule 25-17.0825, Florida
Administrative Code (F.A.C.), and is energy produced and sold by a Qualifying Facility on an
hour-by-hour basis for which contractual commitments as to the time, quantity, or reliability of
delivery are not required. Because of the lack of assurance as to the quantity, time, or
reliability of delivery of As-Available Energy, no Capacity Payment shall be made to a
Qualifying Facility for delivery of As-Available Energy. Criteria for achieving Qualifying Facility
status shall be those set out in FPSC Rule 25-17.080.

CHARACTER OF SERVICE

Purchases within the territory served by the Company shall be, at the option of the Company,
single or three phase, 60 hertz, alternating current at any available standard Company voltage.
Purchases from outside the territory served by the Company shall be three phase, 60 Hertz,
alternating current at the voltage level available at the interchange point between the Company

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PAGE 9

Continued to Sheet No. 8.040

ISSUED BY: W. N. Cantrell, President DATE EFFECTIVE: March 9, 2004

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A
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PAGE 10

Continued to Sheet No. 8.050

ISSUED BY: J. B. Ramil, President DATE EFFECTIVE: March 30, 1999

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PAGE 11

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A
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PAGE 12

Zz. wnen a rirm Vapacity and Energy contract expires Or Is lawtully terminatea py
either the Qualifying Facility or Tampa Electric Company; or

3. when the Qualifying Facility is selling As-Available Energy and has not changed
billing methods within the last twelve months; and

4. when the election to change billing methods will not contravene the provisions of

Rule 25-1 7.0832 or any contract between the Qualifying Facility and Tampa
Electric Company.

If the Qualifying Facility elects to change billing methods in accordance with FPSC Rule 25-
17.082, such a change shall be subject to the following provisions:

1. upon at least thirty (80) days advance written notice;

Continued to Sheet No. 8.061

ISSUED BY: J. B. Ramil, President DATE EFFECTIVE: March 30, 1999

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PAGE 13

TAMPA ELECTRIC COMPANY THIRD REVISED SHEET NO. 8.061
CANCELS SECOND REVISED SHEET NO. 8.061

Continued from Sheet No. 8.060

2. upon the installation by Tampa Electric Company of any additional metering
equipment reasonably required to effect the change in billing and upon
payment by the Qualifying Facility for such metering equipment and its
installation; and

Continued to Sheet No. 8.070

ISSUED BY: W. N. Cantrell, President DATE EFFECTIVE: March 9, 2004

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Continued to Sheet No. 8.080

ISSUED BY: J. B. Ramil, President DATE EFFECTIVE: March 30, 1999

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PAGE 16

ee me tee eee ge

A)

B)

In the first year of operation, the security deposit shall be based upon the singular
month in which the Qualifying Facility's projected purchases from the utility
exceed, by the greatest amount, the utility's estimated purchases from the
Qualifying Facility. The security deposit should be equal to twice the amount of
the difference estimated for that month. The deposit shall be required upon

interconnection.
For each year thereafter, a review of the actual sales and purchases between the

Qualifying Facility and the utility shall be conducted to determine the actual month
of maximum difference. The security deposit shall be adjusted to equal twice the
greatest amount by which the actual monthly purchases by the Qualifying Facility
exceed the actual sales to the utility in that month.

Continued to Sheet No. 8.090

ISSUED BY: J. B. Ramil, President

DATE EFFECTIVE: March 30, 1999

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A
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PAGE 17

Agreement or a negotiated Interconnection Agreement. Ine Qualitying Facility snall
recognize that its generation facility may exhibit unique interconnection requirements
which will be separately evaluated, and may require modifications to the Company's
General Standards for Safety and Interconnection where applicable.

6) Service under this rate schedule is subject to the rules and regulations of the Company
and the Florida Public Service Commission.

SPECIAL PROVISIONS
1) Negotiated contracts deviating from the above standard rate schedule are allowable

provided they are agreed to by the Company and approved by the Florida Public
Service Commission.

2) In accordance with the provision in Rule 25-17.0883, the Company is required to
provide transmission and distribution service to enable a retail customer to transmit

Pot ey ig rep ee wre mrp ng ewe ee ee eee were rere

Continued to Sheet No. 8.100

ISSUED BY: J. B. Ramil, President DATE EFFECTIVE: March 30, 1999

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PAGE 18

ISSUED BY: J. B. Ramil, President DATE EFFECTIVE: March 30, 1999

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PAGE 19

SIXTH REVISED SHEET NO. 8.101
CANCELS FIFTH REVISED SHEET NO. 8.101

TAMPA ELECTRIC

METHODOLOGY TO BE USED
IN THE CALCULATION OF
AVOIDED ENERGY COST

SCHEDULE COG-1
APPENDIX A

The methodology Tampa Electric (TEC) has implemented in order to determine the
appropriate avoided energy costs and any payments thereof to be rendered to qualifying
facilities (QFs) is consistent with the provisions of Order No. 23625 in Docket No.891049-EU,
issued on October 16, 1990, and with the Amendment of Rules 25-17.080 et seq, Florida
Administrative Code.

The avoided energy costs methodology used to determine payments to Qualified Facilities
(QFs) on an hourly basis is based on the incremental cost of fuel using the average price of
replacement fuel purchased in excess of contract minimums. Generally, avoided energy costs
are defined to include incremental fuel, identifiable variable operation and maintenance
expenses, identifiable variable purchase power cost, and an adjustment for line losses
reflecting delivery voltage.

Under normal conditions the Company will have additional generation resources available
which can carry its native load and firm interchange sales without the QF's contribution. When
this is the case and the QF is present, the incremental fuel portion of the avoided energy cost
is equal to the difference between TEC's production cost at two load levels, with and without
the QFs' contribution.

In those situations where the Company's available maximum generation resources not
including its minimum operating reserves are insufficient to carry its native load and firm
interchange sales, in the absence of the QF contribution, TEC’s incremental fuel component of
the avoided energy cost will be determined by:

1) system lambda - if “off-system purchases" are not being made and all
available generation has been dispatched; or

2) the highest incremental cost of any “off-system purchases’ that are being
made for native load.

Examples of these situations are found in Exhibits 1-4.

Continued to Sheet No. 8.102

ISSUED BY: G. L. Gillette, President DATE EFFECTIVE: June 19, 2012

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PAGE 20

THIRD REVISED SHEET NO. 8.102
CANCELS SECOND REVISED SHEET NO. 8.102

TAMPA ELECTRIC

Continued from Sheet No. 8.101

The as-available avoided energy cost, as determined by this methodology, is priced at a level
not to exceed Tampa Electric's incremental fuel and identifiable variable operating and
maintenance (O&M) expenses including the cost of any off-system purchases for native load.

PARAMETERS FOR DETERMINING AS-AVAILABLE AVOIDED ENERGY COSTS

1.

2.

Tampa Electric Company uses production costing methods for determining avoided energy
cost payments to qualifying facilities (QFs). Computerized production costing is accomplished
onan hourly basis. The parameters used are as follows:

The system load is the actual system load at the Hour Ending with the clock hour (HE).

The first allocation of load for production costing is to those units that are base loaded at
a certain level for operating reasons. The remainder of the load is allocated to units
available for economic dispatch through the use of incremental cost curves.

The fuel costs associated with each of Tampa Electric's units operating at their allocated
level of generation are determined by using the individual units input/output equation, its
heat rate performance factor, and the composite price of supplemental fuel.

The Company's own production cost for each hour of operation at a particular
generation level equals the sum of the individual units’ fuel cost for that hour. The
production cost, thus determined, consists of the composite price of replacement fuel
based on supplemental purchases and the incremental heat rate for the generating
system.

The Company's total cost equals its own production cost (4. above), identified variable
O&M, plus the cost of any off-system purchases to serve native load.

Native load includes all firm and non-firm retail load.

The cost of off-system firm and non-firm variable purchases is defined as the highest
energy cost energy block purchased for native load during the hour.

Firm interchange sales are included in production cost calculations.

Continued to Sheet No. 8.103

ISSUED BY: G. L. Gillette, President DATE EFFECTIVE: July 13, 2010

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PAGE 21

FOURTH REVISED SHEET NO. 8.103
CANCELS THIRD REVISED SHEET NO. 8.103

TAMPA ELECTRIC

Continued from Sheet No. 8.102

9. The Company's available maximum generation resources in this methodology is defined
as the maximum capacity less operating reserve requirements.

10. The "Standard Tariff Block" is defined to be an x-megawatt (XMVWV) block equivalent to
the combined actual hourly generation delivered to Tampa Electric from all QFs making
as-available energy sales to Tampa Electric. In the absence of metered information on
exports from a QF making as-available energy sales to Tampa Electric, an estimate of
the hourly exports from that Facility will be used, rounded to the nearest 5 MW and then
added to the sum of all other known as-available energy purchases for that hour.

SUPPLEMENTAL FUEL

The term “supplemental fuel” refers to the variable cost for additional fuel to be delivered to
Tampa Electric's generation facilities. The supplemental fuel price includes the cost of the fuel
commodity at market prices plus the variable cost to deliver the commodity to the generation
facility. Market prices for coal, oil and natural gas are based on published indexes or current
market activity for commodities of comparable quality to those used in Tampa Electric’s
generation facilities.

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PAGE 22

The procedure used to deterministically calculate the incremental avoided energy cost
associated with as-available energy on an hour-by-hour basis when no off-system purchases
are taking place is as follows:

In these instances, the price per megawatt hour ($/MWH) that Tampa Electric will pay the QFs
is determined by calculating the production cost at two load levels.

This first calculation determines TEC's production cost "without" the benefit of cogeneration.
The second calculation determines TEC's production cost "with" the benefit of cogeneration.

After each of the two calculations are made, the avoided energy cost rate is calculated by
dividing the difference in production cost between the two calculations described above by the
"Standard Tariff Block." [The "Standard Tariff Block" is defined to be an x-megawatt (XMVV)
block equivalent to the combined actual hourly generation delivered to TEC from all QFs
making as-available energy sales to Tampa Electric. In the absence of metered information on
exports from a QF making as-available energy sales to Tampa Electric an estimate of the
hourly exports from that Facility will be used, rounded to the nearest 5 MWs and then added to
the sum of the other as-available purchases for that hour. Prior to the in-service date of the
appropriate designated avoided unit, firm energy sales will be equivalent to as-available sales.
Beginning with the in-service date of the appropriate designated avoided unit, firm energy
purchases from QFs shall be treated as "as-available" energy for the purposes of determining
the XMW block size only during the periods that the appropriate designated avoided unit would
not be operated.] The difference in production costs divided by the XMW block determines the
As-Available Energy Payment Rate (AEPR) for the hour. The AEPR will be applied to the
"Actual" QF megawatts purchased during the hour to determine payment to each QF supplying
as-available energy, and each QF supplying firm energy in those instances where the avoided
unit would not have been operated during the hour. See Exhibit 1.

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PAGE 23

INe Proceauie USEU LO GELETITMINISUCAIY CalCUldle WE INCIEMEeEMlldal avOoluUeU ENeMgy CUSL
associated with as-available energy on an hour by hour basis whenever Tampa Electric is not
purchasing off-system interchange is as follows:

In this instance, the avoided energy cost that Tampa Electric will pay the QFs will be
determined by calculating the production cost at the last MW load level. The avoided energy
cost is the production cost at system lambda. See Exhibit 2.

In the situation where TEC's generation is not fully dispatched, and additional generation
capability is available to price a portion of the QF block, then the QF block will be priced at a
combination of the difference between TEC's production cost at two load levels as previously
defined and at system lambda. See Exhibit 3.

Example 3: Off-System Purchases Are Being Made To Serve Native Load.

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PAGE 24

pasyoee we ee meee ee eee:

1.0561
The Actual Incremental hourly avoided Energy Cost adjusted for avoided line losses

associated with as-available energy provided to Tampa Electric would then become, in
this example, $15.63/MWH.

“IDENTIFIABLE” INCREMENTAL VARIABLE 0&M

Tampa Electric's methodology for determining incremental avoided energy costs associated with
as-available energy includes a procedure for calculating "identifiable" incremental variable O&M
(VOM) expense.

A VOM rate ($/MWH) is calculated annually for each Tampa Electric generating group. A
generating group comprises units of the same type with similar size and operating
characteristics (e.g., Big Bend coal units, Bayside CCs, Polk IGCC, all 180 MW CTs, etc.). The
VOM rate for a generating group is calculated by dividing the previous year's identifiable VOM
expenses for the group by the previous year's generation in megawatt-hours for the group.

The incremental avoided energy cost associated with as-available energy is adjusted in each
hour by the applicable VOM group rate(s) for the generation being avoided in that hour.

Continued to Sheet No. 8.107

ISSUED BY: W. N. Cantrell, President DATE EFFECTIVE: March 9, 2004

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ORDER NO. PSC-2023-0179-PAA-EQ Attachment A
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PAGE 27

or
As-Available Energy Payment Rate (AEPR) = $18.20/MWH

Note: ' In this example, System Lambda is the production cost for the last MW segment to meet
the load after dispatching all available generation capacity.

Continued to Sheet No. 8.112

ISSUED BY: G. L. Gillette, President DATE EFFECTIVE: June 19, 2012

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A
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PAGE 28

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A
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PAGE 29

ORIGINAL SHEET NO. 8.202

TAMPA ELECTRIC

STANDARD OFFER CONTRACT FOR THE PURCHASE OF
CONTRACTED CAPACITY AND ASSOCIATED ENERGY FROM
A RENEWABLE GENERATING FACILITY OR A SMALL QUALIFYING FACILITY

This standard offer contract (“Contract”) is made and entered into this__ day of ,

by and between , the owner and/or operator of a Facility,
as defined below, hereinafter referred to as the "Capacity and Energy Provider” or “CEP" and
Tampa Electric Company, a private utility corporation organized under the laws of the State of
Florida (hereinafter referred to as the “Company”). The following documents are attached to
this Contract and incorporated herein by reference: Appendix |, Evaluation Procedure for
Standard Offer Contracts; Appendix II, COG -2 Standard Offer Contract Rate for Purchase of
Contracted Capacity and Associated Energy, including all attached appendices thereto; and
Appendix Ill, Interconnection Agreement. The CEP and the Company are also identified
hereinafter individually, as a "Party" and collectively, as the "Parties". This Contract may also
be referred to herein as the “Standard Offer Contract.”

WITNESSETH:
WHEREAS, the CEP is the owner and/or operator of a Facility; and

WHEREAS, the CEP desires to sell Contracted Capacity and Associated Energy, as
those terms are defined below; and

WHEREAS, the Company desires to purchase Contracted Capacity and Associated
Energy in accordance with Chapter 366.91 F.S. and Florida Public Service Commission
(FPSC) Rules 25-17.080 through 25-17.310, Florida Administrative Code (F.A.C.) and the
Company's Rate Schedule COG-2; and

WHEREAS, the CEP has signed an Interconnection Agreement with the transmission
service provider that serves the CEP's Facility, as defined below; and

WHEREAS, such Interconnection Agreement is attached and incorporated hereto as
Appendix III; and

ISSUED BY: C. R. Black, President DATE EFFECTIVE: May 22, 2007

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A
DOCKET NO. 20230041-EQ Page 25 of 114
PAGE 30

FIRST REVISED SHEET NO. 8.204
CANCELS ORIGINAL SHEET NO. 8.204

TAMPA ELECTRIC

WHEREAS, the Florida Public Service Commission (“FPSC”) has approved the form of
this Contract for the purchase of Contracted Capacity and Associated Energy from the CEP;

NOW, THEREFORE, in consideration of the mutual covenants and promises set forth
herein and other good and valuable considerations the receipt and adequacy of which are

Voluw.

c. Associated Energy: “Associated Energy” shall mean the energy generated at the
Facility, as defined below, by the generating source designated to supply Contracted
Capacity and which is delivered to the Company at the Delivery Point, as defined
below.

d. Company Transmission Service: “Company Transmission Service” shall mean
the network transmission service required through the Company’s transmission
system to deliver Associated Energy from the Delivery Point to the Company’s
native load customers.

e. Construction Commencement Date: “Construction Commencement Date” shall
mean the date on which the CEP’s: (1) on-site activity is coordinated and
continuous; and (2) active construction efforts are undertaken and on-going relative
to the actual construction of major project features other than site preparation work;
provided, however, that such date shall occur no later than

ISSUED BY: C. R. Black, President DATE EFFECTIVE: July 29, 2008

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A
DOCKET NO. 20230041-EQ Page 26 of 114

PAGE 31

. Delivery Point: “Delivery Point’ shall mean: (1) the Interconnection Point, as

described below, if the Facility is directly interconnected to the Company’s
transmission system; or (2) a point on the Company’s transmission system, mutually
agreed to by the Parties, at which the CEP shall deliver Contracted Capacity and
Associated Energy via a third-party transmission service provider, if the Facility is
not directly interconnected to the Company’s transmission system.

. Designated Avoided Unit: “Designated Avoided Unit.” shall mean the generating

unit, from among those units identified in the Appendices C through F to the
Company's COG-2 Tariff as the Company’s avoided units, selected by the CEP as
the unit the CEP wishes to help avoid, or defer, and upon which capacity and energy
payments to the CEP will be based. The CEP selects the Designated Avoided Unit
from Appendix of Rate Schedule COG-2.

Eastern Prevailing Time: “Eastern Prevailing Time” or “EPT” shall mean the time in
effect in the Eastern Time Zone of the United States of America, whether Eastern
Standard Time or Eastern Daylight Time.

Evaluation Procedure: “Evaluation Procedure” shall mean the procedure used by
the Company to evaluate each eligible standard offer contract received by the
Company as to its technical reliability, viability and financial stability, as well as other
relevant information, in accordance with FPSC Rule 25-17.0832, F.A.C., and the
Company's Procedure for Processing Standard Offer Contracts as defined in Rate
Schedule COG-2 The criteria used to evaluate standard offer contracts are attached
hereto as Appendix I.

. Extended Facility In-Service Date: “Extended Facility In-Service Date” shall mean

an extension of the Facility In-Service Date, as defined below, for a period not to
exceed five (5) months which may be granted in accordance with Section 7 below.

ISSUED BY: C. R. Black, President DATE EFFECTIVE: July 29, 2008

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A
DOCKET NO. 20230041-EQ Page 27 of 114

PAGE 32

YIVEI! HVUT, UU We al CINEIYeivy CYIIMILIVIT, VI ally YUIItl CYIIUIUVIVIC Aull. Hic
Company shall adjust the Dispatch Schedule, as defined below, as soon as practical
to reflect the amount of Non-Dispatched Capacity, or ignore scheduled capacity
levels altogether (if conditions require immediate action to protect the integrity and/or
reliability of the Company’s generating system and/or transmission system);
however, the Company shall make reasonable efforts to minimize departures from
the Dispatch Schedule.

. Non-Dispatched Energy: ‘“Non-Dispatched Energy” shall mean the energy

associated with Non-Dispatched Capacity and which the Company declines to
accept during any given hour, due to an emergency condition, or any other
condition/reason.

Qualifying Facility: "Qualifying Facility” shall mean a cogeneration facility, or small
power production facility, that satisfies the definition of, and qualifies as, a Qualifying
Facility in accordance with the provisions of Subpart B of Subchapter K, Part 292 of
Chapter I, Title 18, Code of Federal Regulations (C.F.R.), promulgated by the FERC,
as the same may be amended from time to time, and must be “new capacity”
pursuant to the Public Utilities Regulatory Policies Act of 1978 (PURPA),
construction of which began on or after November 9, 1978.

ISSUED BY: C. R. Black, President DATE EFFECTIVE: July 29, 2008

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A
DOCKET NO. 20230041-EQ Page 28 of 114

PAGE 33

VYUHUVITU WY SAUSTY UIC HMCIMOVIIIC UVTI IO YUNCHICINS VI UI WUIIPAly > UWAMSIIISSIVIT
system or the third-party transmission service provider that serves the Facility, as
applicable. The Facility shall: (a) satisfy the Company’s Open Access Transmission
Tariff “OATT”) requirements and/or all non-FERC jurisdictional interconnection and/or
transmission service agreements required by the CEP to deliver Contracted Capacity
and Associated Energy to the Company, as applicable, to be designated a Company
network resource and receive network transmission service from the Company; (b) be
fully dispatchable in the manner set forth in Appendix __ of Rate Schedule COG-2; and
(c) be an existing Renewable Generating Facility or a Small Qualifying Facility or a
Renewable Generating Facility or a Small Qualifying Facility that the CEP proposes to
construct and operate.

Term: The “Term” of this Contract shall commence immediately upon its execution by
the Parties and shall terminate at 12:01 A.M. on the later of: (a) the last day of the tenth
year following the in-service date of the avoided unit, or (b) (a date
selected by the CEP provided that such date is no later than the day after the last day of
the life of the avoided unit identified in Section 1h above).

ISSUED BY: C. R. Black, President DATE EFFECTIVE: July 29, 2008

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A
DOCKET NO. 20230041-EQ Page 29 of 114

PAGE 34

emissions control and monitoring equipment, fuel handling equipment, etc.) and all
transmission system losses incurred by the CEP to effect delivery of Contracted
Capacity and Associated Energy to the Delivery Point.

Non-Dispatched Capacity and Non-Dispatched Energy Restriction: To the extent
that there is Non-Dispatched Capacity and Non-Dispatched Energy during a given hour,
such Non-Dispatched Capacity and Non-Dispatched Energy shall not be made available
or sold by the CEP, or otherwise used in any way or disposed of, without the
Company’s prior written consent.

Responsibilities for Interconnection Service, Third-Party Transmission Service
and Company Transmission Service: It is the responsibility of the CEP to request
and secure the required interconnection service from the transmission service provider
that serves the CEP's Facility, whether a third-party transmission service provider or the

Camnanu tranaminninan nanan nvauicar If thn DCanilihs in nat laanntad saithin tha

responsibility of the Company to request and secure the network transmission service
required to deliver Contracted Capacity and Associated Energy from the Delivery Point
to the Company’s native load customers. It is the responsibility of the Company to
request and secure network transmission service in a timely manner to satisfy the
provisions of this Contract.

ISSUED BY: C. R. Black, President DATE EFFECTIVE: July 29, 2008

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A
DOCKET NO. 20230041-EQ Page 30 of 114
PAGE 35

SIXTEENTH REVISED SHEET NO. 8.215
CANCELS FIFTEENTH REVISED SHEET NO. 8.215

TAMPA ELECTRIC

Continued from Sheet No. 8.214

re Extension of Facility In-Service Date: The CEP may request and the Company may
grant, at its sole discretion, an Extended Facility In-Service Date provided, however,
that the CEP shall be subject to the applicable provisions of the Completion Security
subsection of the Security Guarantees section of this Contract. If the Facility In-Service

Data in Aaland ana an Dvutanaad Caanilihe ln OQansinn Data han nat haan avantad av tha

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A
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PAGE 36

CHCIYY PAYIICIIL VMLUIVIIS, Lalo ds, ANU PIYVECUUITS LVI HE Nate OUNCE UUIS VY
attached hereto as Appendix II.

i. Standard Energy Payments: Associated Energy payments made prior to
, Shall be based on the Company's actual avoided
energy costs as defined in Appendix B of Rate Schedule COG-2.

Beginning , to the extent that the Designated Avoided
Unit would have been operated had it been installed by the Company, the
CEP's Associated Energy payments will be based on the Company's
Designated Avoided Unit's energy costs as calculated in Appendix -__ of Rate
Schedule COG-2, otherwise the CEP's Associated Energy payment will be
based on the Company's actual avoided energy costs. The determination of
which energy cost shall be applied will be made hourly.

=-- = nm « ~~ Arr

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A
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PAGE 37

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A
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10.

11.

vy ule cu VUSINITSS Uday IVIYWIIY UI Udy WIS HI! I 1eau Vi UIe aVUlil Vi
Associated Energy delivered via the third-party transmission service provider
is confirmed by the Company.

Other Contracted Capacity Payment Security Guarantees: If the CEP selects
Option 5 under the Contracted Capacity Payment Options, the following security
guarantees will be required:

Construction and Performance Security Guarantees: The Company requires
certain security guarantees to ensure the completion of construction and performance
under this Contract in order to protect its ratepayers in the event the CEP fails to deliver
Contracted Capacity and Associated Energy in the amount and times specified in this
Contract, which shall be in form and substance as described herein. Such security may
be refunded in the manner described in Sections 11.a. and 11.6. Pursuant to FPSC

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A
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PAGE 39

Service Date. Such security will be required within sixty (60) days of execution of
this Contract. Such security shall be in the form of cash deposited in an interest
bearing escrow account mutually acceptable to the Company and the CEP; an
unconditional and irrevocable direct pay letter of credit in form and substance
satisfactory to the Company; or a performance bond in form and substance
satisfactory to the Company. The form of security required will be in the sole
discretion of the Company and will be in such form as to allow the Company
immediate access to the funds in the event that the CEP fails to complete the
construction and achieve commercial in-service status by the Facility In-Service
Date.

If the Facility In-Service Date is achieved, then the entire deposit and any interest

therein, if applicable, shall be refunded to the CEP upon payment by the CEP of the
Performance Security as required in Section 11.b.

provide the Company rights and remedies as against CEP because of its failure to
meet the Construction Commencement Date or the Facility In-Service Date.

Continued to Sheet No. 8.226

ISSUED BY: C. R. Black, President DATE EFFECTIVE: June 30, 2009

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A
DOCKET NO. 20230041-EQ Page 35 of 114
PAGE 40

HUE Val VaIUe IVE MULT LI IVIVITLINY AVCIAMIILyY PALLY AI LIt IWIVIITLY Wapavily
Factor again fail to achieve the MPS, for the most recent 12-month period, then the
Company shall be entitled to retain the remainder of the security and to terminate
this Contract. However, if at the end of the 24'n month, the Facility's 12-month
average of each month's numerical value for both the Monthly Availability Factor and
the Monthly Capacity Factor meet the MPS, for the most recent 12-month period,
then the CEP shall be entitled to a refund of the remaining deposit.

For the purpose of this calculation, the 12-month average of a parameter shall be
defined to equal the sum of each month's average numerical value for that
parameter, for the most recent 12-month period, divided by 12.

12. Liquidated Damages: The Parties hereto agree that the Company would be
substantially damaged in amounts that would be difficult or impossible to ascertain in
the event that the CEP fails to satisfy the Facility In-Service Date or to provide a Facility
which meets the MPS. In the event that the Company terminates this Contract for the
CEP’s failure to achieve the Facility In-Service Date or achieve the MPS once in
service, the Company may retain all of the Completion or Performance Security as
liquidated damages, not as penalty, in lieu of actual damages and the CEP hereby
waives any defenses as to the validity of any such liquidated damages. In the event the

ISSUED BY: C. R. Black, President DATE EFFECTIVE: July 29, 2008

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A
DOCKET NO. 20230041-EQ Page 36 of 114

PAGE 41

following:

a. The CEP shall provide the Company in writing prior to April 1st of each calendar

year an estimate of the amount of electricity to be generated by the CEP and
delivered to the Company for each month of the following calendar year, including
the time, duration and magnitude of any planned outages of the Facility or
reductions to the amount of Contracted Capacity that the CPE can make available at
the Delivery Point.

. By July 1st of each calendar year, the Company shall notify the CEP in writing

whether the requested scheduled maintenance period(s) for the Facility are
acceptable. If the Company cannot accept any of the requested period(s), the
Company shall advise the CEP of the time period closest to the requested period(s)
when the outage(s) can be scheduled. The CEP shall only schedule outages during
periods approved by the Company and such approval shall not be unreasonably
withheld. Once the schedule has been established and approved, either Party
requesting a subsequent change in such schedule, except when such event is due
to Force Majeure, must obtain approval for such change from the other Party. Such
approval shall not be unreasonably withheld or delayed.

. During the Term, the CEP shall employ qualified personnel for managing, operating

and maintaining the Facility and for coordinating such with the Company. The CEP
shall ensure that operating personnel are on duty at all times, twenty-four (24) clock
hours per calendar day and seven (7) calendar days per week. Additionally, during
the Term, the CEP shall operate and maintain the Facility in such a manner as to
ensure compliance with its obligations hereunder.

. The Company shall not be obligated to purchase and may require curtailed or

reduced deliveries of Associated Energy, to the extent necessary to maintain the
reliability and integrity of any part of the Company's system, or if the Company
determines that a failure to do so is likely to endanger life or property, or is likely to
result in significant disruption of electric service to the Company's Customers. The
Company shall give the CEP prior notice, if practicable, of its intent to refuse, curtail
or reduce the Company's acceptance of Associated Energy pursuant to this
subsection and will act to minimize the frequency and duration of such occurrences.

ISSUED BY: C. R. Black, President DATE EFFECTIVE: July 29, 2008

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A
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PAGE 42

14.

practicable of its intent not to accept Associated Energy pursuant to this subsection.

f. The CEP shall promptly update the yearly generation schedule and maintenance
schedule of the Facility as soon as any change to such schedules are determined to
be necessary;

g. The CEP shall comply with reasonable requirements of the Company regarding day-
to-day or hour-by-hour communications between the Parties relative to the
performance of this Contract.

Dispatch Procedure: Commencing on the calendar day prior to the Facility In-Service
Date or the Extended Facility In-Service Date, as applicable, and continuing each
calendar day thereafter during the Term, by 7:00 A.M. EPT, the CEP shall electronically
transmit the hour-by-hour amounts of Contracted Capacity expected to be available
from the Facility the next day (“Available Schedule”). Commencing on the calendar day
prior to the Facility In-Service Date or the Extended Facility In-Service Date, as
applicable, and continuing each calendar day thereafter during the Term, by 3:00 P.M.
EPT, the Company shall electronically transmit the hour-by-hour amounts of Contracted
Capacity that the Company desires the CEP to dispatch from the Facility the next day
based on the Available Schedule supplied at 7:00 A.M. EPT by the CEP (“Dispatch
Schedule”). The CEP’s Available Schedule and the Company’s Dispatch Schedule for
Fridays will include Saturday, Sunday, and Monday schedules. The CEP’s Available
Schedule and the Company’s Dispatch Schedule during holiday periods will be similarly
adjusted to include the holiday period. The CEP shall control and operate the Facility in
accordance with the Company's Dispatch Schedule.

From time to time, the Company may be required to adjust the Dispatch Schedule, as

described in the definition of Non-Dispatched Capacity, and/or the CEP may be required to
adjust the Dispatch Schedule due to an unscheduled or forced outage of all, or a portion of, the

Facility; however, each Party shall make reasonable efforts to minimize departures from the
Dispatch Schedule.

ISSUED BY: C.R. Black, President

DATE EFFECTIVE: July 29, 2008

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A
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PAGE 43

17.

VYULLAYS ICYUIAlVY IDS HITSTIVILE, CALE PL al SULIT UNOS WHT! UPCIAUVITA! LVIISUAIINS UI UIt
equipment prevent AGC operation.

CEP’s Obligation if the CEP Receives Payments Pursuant to Contracted Capacity
Payment Options 2, 3, 4, or 5: The Parties recognize that Rule 25-17.0832, F. A. C.,
may require the repayment by the CEP of all, or a portion of any, Capacity Payments
made to the CEP pursuant to Contracted Capacity Payment Options 2, 3, 4, or 5 of
Section 9.b.iii if the CEP fails to perform pursuant to the terms and conditions of this
Contract. To ensure that the CEP will satisfy its obligation to make any such
repayments, the following provisions will apply:

The Company shall establish a Repayment Account to accrue the sum of the capacity
payments that may have to be repaid by the CEP to the Company. Amounts shall be

added to the Repayment Account each month through , in the amount
of the Company's payments to the CEP for capacity delivered prior
to . Beginning on , the difference between the

ISSUED BY: C. R. Black, President DATE EFFECTIVE: July 29, 2008

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A
DOCKET NO. 20230041-EQ Page 39 of 114
PAGE 44

| ym % "TECQO MANFH-TENTH REVISED SHEET NO. 8.236

, ff CANCELS EIGHFH-NINTH REVISED SHEET NO. 8.236
TAMPA ELECTRIC

AN EMERA COMPANY

Continued from Sheet No. 8.234

Contracted Capacity payment made to the CEP and the "normal" Contracted Capacity
payment calculated pursuant to Contracted Capacity payment option 1 (Value of Deferral
Payments) in COG-2 will also be added each month to the Repayment Account, so long
as the payment made to the CEP is greater than the monthly payment the CEP would
have received if it had selected Contracted Capacity Payment Option 1 in Section 6.b.iii.
The annual balance in the Repayment Account shall accrue interest at an annual rate of
6-8927.132%

Also beginning on , at such time that the Monthly Contracted Capacity
Payment made to the CEP, pursuant to the Contracted Capacity Payment Option
selected, is less than the "normal" Monthly Contracted Capacity Payment in Capacity
Payment Option 1 in COG-2, there shall be debited from the Repayment Account an
Early Payment Offset Amount to reduce the balance in the Repayment Account. Such
Early Payment Offset Amount shall be equal to the amount which the Company would

Continued to Sheet No. 8.238

ISSUED BY: A. D. Collins, President DATE EFFECTIVE: June 42022

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A
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PAGE 45

SECOND REVISED SHEET NO. 8.238
CANCELS FIRST REVISED SHEET NO. 8.238

TAMPA ELECTRIC

18.

19.

20.

Prior to receipt of Contracted Capacity Payments pursuant to Contracted Capacity
Payment Options 2, 3, 4, or 5, the CEP shall secure its obligation to repay any balance in
the Repayment Account in the event the CEP defaults pursuant to this Contract. Such
security shall be in the form of cash deposited in an interest bearing escrow account
mutually acceptable to the Company and the CEP; an unconditional and irrevocable
direct pay letter of credit in form and substance satisfactory to the Company; or a
performance bond in form and substance satisfactory to the Company. The form of
security required will be in the sole discretion of the Company and will be in such form as
to allow the Company immediate access to the funds in the event of default by the CEP.
Florida Statute 377.709(4) requires the local government to refund Early Contracted
Capacity Payments should a Municipal Solid Waste Facility owned, operated by or on the
behalf of a local government be abandoned, closed down or rendered illegal. Therefore a
utility may not require risk-related guarantees from a Municipal Solid Waste Facility as
required in FPSC Rule 25-17.0832(2)(c) and (3)(e)(8), F.A.C. However, at its option, a
Municipal Solid Waste Facility may provide such risk-related guarantees.

Ownership and Offering For Sale of Renewable Energy Attributes: A CEP that owns
and/or operates a Renewable Generating Facility retains any and all rights to own and
sell any and all environmental attributes associated with the electrical generation of such
Renewable Generating Facility, including but not limited to any and all renewable energy
certificates, “green tags”, or other tradeable environmental interests (collectively “RECs’),
of any description. In the event that the CEP decides to sell any such environmental
attributes during the term of this Contract, the CEP shall provide notice to the Company of
its intent to sell such environmental attributes and provide the Company a reasonable
opportunity to offer to purchase such environmental attributes.

Changes in Environmental and Governmental Regulations: This Contract may be re-
opened, at the election of either Party, as a result of new environmental and other
regulatory requirements enacted during the Term that affect the Company’s full avoided
costs of the unit on which this Contract is based.

Non-Performance Provisions: The CEP shall not receive a Contracted Capacity
payment during any month during the Term in which the CEP fails to meet the MPS for
Monthly Availability and Monthly Capacity Factor of the Company's Designated Avoided
Unit as defined in Rate Schedule COG-2, Appendix __. In addition, if for any month
starting , the CEP fails to achieve the MPS, and the
Monthly Contracted Capacity Payment that would have been made to the CEP pursuant

ISSUED BY: C. R. Black, President DATE EFFECTIVE: August 7, 2009

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A
DOCKET NO. 20230041-EQ Page 41 of 114
PAGE 46

liquidator, conservator, receiver, trustee, custodian or other similar official for
it or for all or substantially all its assets; or

Continued to Sheet No. 8.243

ISSUED BY: C. R. Black, President DATE EFFECTIVE: June 30, 2009

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A
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PAGE 47

ORIGINAL SHEET NO. 8.243

TAMPA ELECTRIC

Vi.

Vii.

viii.

Continued from Sheet No. 8.242

has a secured party take possession of all or substantially all its assets or has
a distress, execution, attachment, sequestration or other legal process levied,
enforced or sued on or against all or substantially all its assets and such
secured party maintains possession, or any such process is not dismissed,
discharged, stayed or restrained, in each case within 30 days thereafter; or

fails to perform in accordance with Section 11.b.

fails to maintain its status as a Renewable Energy Facility or small Qualifying
Facility as required herein; or

fails to achieve, on both accounts, a minimum Monthly Availability Factor of
fifty percent (50%) and fails to achieve a minimum Monthly Capacity Factor of
fifty percent, during the same month, for twelve (12) consecutive months
starting .

b. Optional Default: The Company may declare the CEP to be in default if:

at any time prior to , and after Monthly Contracted Capacity
Payments have begun, the Company has sufficient reason to believe that the
CEP is unable to deliver the entire amount of Contracted Capacity; or

after Monthly Capacity Payments have begun, the CEP fails each month, for
twenty-four (24) consecutive months, to meet the MPS; or

the CEP refuses, is unable or anticipatorily breaches its obligation to deliver
the entire amount of Contracted Capacity after

c. Default Remedy: In the event of default by the CEP, the total Repayment Account
balance shall become due and payable within 20 business days of receipt of written
notice, as reimbursement for the Early Capacity Payments made to the CEP by the
Company. The CEP's obligation to reimburse the Company in the amount of the
balance in the Repayment Account shall survive the termination of this Contract.
Such reimbursement shall not be construed to constitute liquidated damages and
shall in no way limit the right of the Company to pursue all its remedies at law or in
equity against the CEP.

Continued to Sheet No. 8.244

ISSUED BY: C. R. Black, President DATE EFFECTIVE: June 30, 2009

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A
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PAGE 48

hereby agrees to seek to obtain, at the CEP's expense, any and all governmental
permits, certifications or other authority the Company is required to obtain as a
prerequisite to engaging in the activities described in this Contract

. Indemnification: The Company and the CEP shall each be responsible for its own

facilities in ensuring adequate safeguards for other Company customers, the
Company and Energy Provider personnel and equipment, and for the protection of
its own generating system. The Company and the CEP shall each indemnify and
save the other harmless from any and all claims, demands, costs, or expense for
loss, damage, or injury to persons or property of the other caused by, arising out of,
or resulting from:

i. any act or omission by a Party or that Party's contractors, agents, servants
and employees in connection with the installation or operation of that Party's
generation system or the operation thereof in connection with the other
Party's system; and

ii. any defect in, failure of, or fault related to a Party's generation system; and

iii. the negligence of a Party or negligence of that Party's contractors, agents
servants and employees; and

iv. any other event or act that is the result of, or proximately caused by a Party.

. Insurance: The CEP shall deliver to the Company, at least fifteen (15) days prior to

the start of any interconnection work, a certificate of insurance certifying the CEP's
coverage under a liability insurance policy issued by a reputable insurance company
authorized to do business in the State of Florida naming the CEP as named insured,
and the Company as an additional named insured, which policy shall contain a
broad form contractual endorsement specifically covering the liabilities accepted
under this Contract arising out of the interconnection to the Facility, or caused by
operation of any of the Facility's equipment or by the CEP's failure to maintain its
equipment in satisfactory and safe operating condition.

ISSUED BY: C. R. Black, President DATE EFFECTIVE: July 29, 2008

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A
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PAGE 49

TEMA py ye py rey Query poe

effective date of any cancellation or material change in said policy.

iv. The CEP shall pay all premiums and other charges due on said policy and
keep said policy in force during the entire period of interconnection with the
Company or the Term if the Facility is not interconnected to the Company’s
transmission system.

d. Force Majeure: If either Party shall be unable, by reason of Force Majeure, to carry
out its obligations under this Contract, either wholly or in part, the Party so failing
shall give written notice and full particulars of such cause or causes to the other
Party as soon as possible after the occurrence of any such cause; and such
obligations shall be suspended during the continuance of such hindrance, which,
however, shall be remedied with all possible dispatch; and the obligations, terms and
conditions of this Contract shall be extended for such period as may be necessary

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A
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PAGE 50

duly authorized by all necessary action on the part of the CEP, does not
require any approval, except as has been heretofore obtained, of the
(shareholders, partners, or others, as applicable) of the CEP or any consent
of or approval from any trustee, lessor or holder of any indebtedness or other
obligation of the CEP, except for such as have been duly obtained, and does
not contravene or constitute a default under any law, the (articles of
incorporation, bylaws, or other as applicable) of the CEP, or any agreement,

ISSUED BY: C. R. Black, President DATE EFFECTIVE: May 22, 2007

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A
DOCKET NO. 20230041-EQ Page 46 of 114

PAGE 51

es oe od OC) Oo

proceedings pending or being contemplated by it or, to its knowledge,
threatened against it which would result in it being or becoming bankrupt;

f. Conditions Precedent: Notwithstanding any other provisions of this Contract
including the provisions of Section 20.b, the Company shall have the right to
terminate this Contract by notice to the CEP, without cause, liability or obligation, if

Continued to Sheet No. 8.254

ISSUED BY: C. R. Black, President DATE EFFECTIVE: June 30, 2009

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A
DOCKET NO. 20230041-EQ Page 47 of 114

PAGE 52

ORIGINAL SHEET NO. 8.254

TAMPA ELECTRIC

i.

ii.

vi.

Vii.

one or more of the following conditions, after reasonable effort by the CEP, shall not
have been or cannot be satisfied in the Company's good faith judgment, and in the
time periods described below. The Company in its sole discretion may extend the
CEP's time for satisfying these conditions if one or more of the events described
below is pending as of such date and it is reasonable to expect that such event will
be accomplished within sixty (60) days:

The CEP satisfies the Construction Commencement Date;

If the Facility is a small Qualifying Facility, on or before the Facility In-Service
Date: The CEP secures certification of the Facility as a Qualifying Facility as
defined herein and as certified by the FERC.

If the Facility is a small Qualifying Facility, on or before the Facility In-Service
Date, and at all times throughout the remaining Term, such Facility shall
maintain its status as a Qualifying Facility as defined herein and as certified
by the FERC. By the end of the first quarter of each calendar year, the CEP
shall furnish the Company a notarized certificate by an officer of the CEP
certifying that the Facility has continuously maintained qualifying status on a
calendar year basis since the commencement of the Term.

Within 9 months after the effective date of this Contract: The CEP secures
any and all land use and zoning approvals reasonably necessary to obtain
construction financing and authorizes the commencement of construction of
the Facility on a basis not substantially adverse to the Company;

Within 9 months after the effective date of this Contract: The CEP has
secured all other environmental and construction permits and other
governmental approvals reasonably necessary to obtain construction
financing and to begin construction of the Facility on a basis not substantially
adverse to the Company;

Within 9 months after the effective date of this Contract: The CEP achieves
closing of financing for construction of the Facility;

On or before , the CEP provides to the Company
written evidence of the rights to adequate fuel supply for the Facility in a form
satisfactory to the Company;

ISSUED BY: C. R. Black, President DATE EFFECTIVE: May 22, 2007

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A
DOCKET NO. 20230041-EQ Page 48 of 114
PAGE 53

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A
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PAGE 54

such court does not have any jurisdiction over such party. Nothing shall prevent the
Beneficiary from enforcing any related judgment against the Guarantor in any other
jurisdiction.

k. Waiver of jury trial: Each party waives, to the fullest extent permitted by
applicable law, any and all rights it may have to a trial by jury in respect of any suit,
action or proceeding relating to this agreement or any credit support document.
Each party (i) certifies that no representative, agent or attorney of the other party or
any credit support provider has represented, expressly or otherwise, that such other
party would not, in the event of such a suit, action or proceeding, seek to enforce the
foregoing waiver and (ii) acknowledges that it and the other party have been induced
to enter into this agreement and provide for any credit support document, as
applicable, by, among other things, the mutual waivers and certifications in this
section.

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A
DOCKET NO. 20230041-EQ Page 50 of 114
PAGE 55

SECOND REVISED SHEET NO. 8.258
CANCELS FIRST REVISED SHEET NO. 8.258

TAMPA ELECTRIC

Continued from Sheet No. 8.257

|. Taxation: In the event that the Company becomes liable for additional taxes,
including interest and/or penalties arising from an Internal Revenue Services
determination, through audit, ruling or other authority, that the Company's payments
to the CEP for capacity under Options B, C, or D are not fully deductible when paid
(additional tax liability), the Company may bill the CEP monthly for the costs,
including carrying charges, interest and/or penalties, associated with the fact that all
or a portion of these capacity payments are not currently deductible for federal
and/or state income tax purposes. The Company, at its option, may offset these
costs against amounts due the CEP hereunder. These costs would be calculated so
as to place the Company in the same economic position in which it would have been
if the entire capacity payments had been deductible in the period in which the
payments were made. If the Company decides to appeal the Internal Revenue
Service's determination, the decision as to whether the appeal should be made
through the administrative or judicial process or both, and all subsequent decisions
pertaining to the appeal (both substantive and procedural), shall rest exclusively with
the Company.

m. Severability: If any part of this Contract, for any reason, be declared invalid, or
unenforceable by a court or public authority of appropriate jurisdiction, then such
decision shall not affect the validity of the remainder of this Contract, which
remainder shall remain in force and effect as if this Contract had been executed
without the invalid or unenforceable portion.

n. Complete Contract and Amendments: All previous communications or
agreements between the Parties, whether verbal or written, with reference to the
subject matter of this Contract are hereby abrogated. No amendment or
modification to this Contract shall be binding unless it shall be set forth in writing and
duly executed by both Parties to this Contract.

0. Incorporation of Rate Schedule: The Parties agree that this Contract shall be
subject to all of the provisions contained in the Company's published Rate Schedule
COG-2 as approved and on file with the FPSC. The Rate Schedule is incorporated
herein by reference.

p. Survival of Contract: This Contract, as it may be amended from time to time, shall

be binding and inure to the benefit of the Parties' respective successors-in-interest
and legal representatives.

Continued to Sheet No. 8.262

ISSUED BY: C. R. Black, President DATE EFFECTIVE: June 30, 2009

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A
DOCKET NO. 20230041-EQ Page 51 of 114
PAGE 56

SECOND REVISED SHEET NO. 8.262
CANCELS FIRST REVISED SHEET NO. 8.262

TAMPA ELECTRIC

Continued from Sheet No. 8.258

q. Record Retention: The CEP agrees to retain for a period of five (5) years from the
date of termination hereof all records relating to the performance of its obligations
hereunder, and to cause all CEP entities to retain for the same period all such

records.

assessment of the CEP’s internal controls as required by the Sarbanes-Oxley Act of
2002 and in performing any audit procedures necessary for the independent auditors
to issue their opinion on the consolidated financial statements of the Company. The
Company will treat any information provided by the CEP in satisfying Section 22(s)
as confidential information and shall only disclose such information to the extent
required by accounting and SEC rules and any applicable laws.

Continued to Sheet No. 8.264

ISSUED BY: C. R. Black, President DATE EFFECTIVE: June 30, 2009

ORDER NO. PSC-2023-0179-PAA-EQ
DOCKET NO. 20230041-EQ

PAGE 57

By:

Its:

Attachment A
Page 52 of 114

ISSUED BY: C.R. Black, President

DATE EFFECTIVE: May 22, 2007

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A
DOCKET NO. 20230041-EQ Page 53 of 114
PAGE 58

ORIGINAL SHEET NO. 8.266

TAMPA ELECTRIC

EVALUATION PROCEDURE
FOR STANDARD OFFER CONTRACTS

Standard Offer Contracts shall be evaluated and then accepted based on meeting specific
criteria. This Evaluation Procedure will insure the acceptance of Standard Offer Contracts that
meet the Company’s needs and are in the best interest of customers.

Each eligible Standard Offer Contract received by the Company will be evaluated as to its
technical reliability, viability and financial stability, as well as other relevant information, in
accordance with FPSC Rule 25-17.0832, F.A.C., and the Company’s Procedure for Processing
Standard Offer Contracts as defined in Rate Schedule COG-2.

Energy Providers submitting Standard Offer Contracts to the Company should, at the same
time, submit specific information for each of the following evaluation criteria. Failure to provide
this information may result in a determination of non-viability by the Company. Each eligible
Standard Offer Contract received will be evaluated based upon the information provided in
response to the following list of parameters:

EVALUATION PARAMETERS:
1 Technical Viability:

a. What is the technology being proposed?

b. Has the technology been demonstrated or commercially applied? Please explain.

c. Has the CEP previously utilized this technology elsewhere?

Construction: Please provide performance record and experience with project
technology.

Operations: Please provide operator's experience and performance record in
comparable facilities.

d. Has a project feasibility study been conducted by an Independent Engineer to
assess the project technology and its potential effect on the project's financial
results? Please explain.

e. What thermal efficiency must be maintained by the unit(s) in order to retain status as
a qualifying facility (“QF”)?

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A
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PAGE 59

e. Permits: What permits or licenses will be required for the project? Have the
necessary permits or licenses been secured? What specific environmental

considerations must the project meet?
f. Construction Schedule: Has a construction schedule including milestones been

formulated? Please provide detail.

ISSUED BY: C. R. Black, President DATE EFFECTIVE: May 22, 2007

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A
DOCKET NO. 20230041-EQ Page 55 of 114

PAGE 60

FIRST REVISED SHEET NO. 8.278
CANCELS ORIGINAL SHEET NO. 8.278

TAMPA ELECTRIC

4.

Continued from Sheet No. 8.268

g. Site Control: Has the project's location been identified? Has the site been secured?
Does the site require specific environmental considerations, i.e. wetlands, etc.?
Please explain.

Developer's Qualifications:

a. Project's Financial Stability: The Company will assess the creditworthiness of the
project developer and/or its guarantor, if any, and determine in the Company’s
reasonable sole discretion if the project developer’s level of unsecured credit is
sufficient to provide the required Security to the Company. Please provide detail for
the project developer or its guarantor, if any: (a) audited year-end financial
statements (including balance sheet, income statement, and statement of cash
flows) for the past three fiscal years, and (b) senior unsecured bond ratings from
Moody’s Investors Service and Standard and Poor's, if applicable.

b. Developer's Experience: Has developer any projects in operation? Has developer
any other projects under construction? Please provide details for each previous
Independent Power Production or QF projects undertaken by the developer,
including but not limited to:

i. Financial arrangements and Institutions,
ii. Fuel contracts,

Cnhandiilinalinvainat anntral infarmnatian

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A
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PAGE 61

Oo CAPEVLCY AIIM HICle ru CIS VULVUL,
o Expected annual metered useful thermal output, in Btu/hr X operating hours/year,
o Expected annual metered fuel input, in Btu/hr X operating hours/year

j. Other:

EVALUATION CRITERIA AND SCORING: The Company will accept a Standard Offer
Contract on the basis of the information provided in response to the evaluation criteria and
upon its judgment of other relevant factors. A Standard Offer Contract which has convincingly
demonstrated that the project is financially and technically viable and that the committed
capacity would be available by the date specified in the Standard Offer Contract will be
accepted for further negotiations leading to a contract offer.

ISSUED BY: C. R. Black, President DATE EFFECTIVE: June 30, 2009

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A
DOCKET NO. 20230041-EQ Page 57 of 114
PAGE 62

ORIGINAL SHEET NO. 8.284

TAMPA ELECTRIC

STANDARD OFFER CONTRACT RATE FOR
PURCHASE OF CONTRACTED CAPACITY AND ASSOCIATED ENERGY

SCHEDULE: COG-2, firm capacity and energy

AVAILABLE: Tampa Electric Company, herein after referred to as the “Company,” will
purchase firm capacity and energy offered by renewable generating facilities or qualifying
facilities with a design capacity of 100 kW or less (“small qualifying facility’) to which a
Standard Offer Contract is available under Chapter 366.91 Florida Statutes (F.S) and Florida
Public Service Commission (FPSC) Rules 25-17.080 through 25-17.300, Florida Administrative
Code (F.A.C.). Unless specifically referred to, a renewable generation facility or a small
qualifying facility may be referred to as the “Capacity and Energy Provider’ or “CEP”. The
Company has designated the generating units identified in Appendices C through F, as its
Designated Avoided Units. Pursuant to FPSC Rule 25-17.250(2), the Company will accept firm
capacity and energy offered by any CEP under the provisions of this schedule for a specific
Designated Avoided Unit until:
1. A request for proposals (RFP) pursuant to Rule 25-22.082, F.A.C., is issued for the
specific planned generating unit; or
2. The utility files a petition for a need determination or commences construction for the
specific generating unit not subject to Rule 25-22.082, F.A.C., or
3. The generating unit upon which the standard offer contract was based is no longer part
of the utility's generation plan, as evidenced by FPSC approval of a petition to that
effect filed with the FPSC or by its removal from the utility’s most recent Ten Year Site
Plan.

The Company will negotiate and may contract with any CEP as defined to in Chapter 366.91 F.
S. and FPSC Rule 25-17.080, F.A.C., irrespective of its location, which is either directly or
indirectly interconnected with the Company, for the purchase of firm capacity and energy
pursuant to terms and conditions which deviate from this schedule where such negotiated
contracts are in the best interest of the Company's ratepayers and subject to FPSC approval of
such a contract.

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A
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PAGE 63

VULNS ULC WY LIE WVIIIPAIY S UCAHSINSSIVIT SYSLCIHI! (UYLUTTICIIL PIUVINTU UPYIT Io yUursl aiiu lw
FPSC Rules 25-17.080 through 25-17.091, F.A.C. and are limited to those CEPs which are
defined by FPSC Rule 25-17.082(4)(a), F.A.C. and which:

1. execute a Company Standard Offer Contract for the Company's purchase of firm capacity
and energy; and

2. commit to commence deliveries of firm capacity and energy no later than the in-service
date of the Designated Avoided Unit, and to continue such deliveries through the later of
the last day of the tenth year following the in-service date of the avoided unit or the date
selected by the CEP that is no later than the day after the last day of the life of the avoided
unit.

RATES FOR PURCHASES BY THE COMPANY: firm capacity and energy are purchased at
unit costs, in dollars per kilowatt per month ($/kVWW/month) and cents per kilowatt-hour (¢/kWh),
respectively, based on the value of deferring additional Company generating capacity.

ISSUED BY: C. R. Black, President DATE EFFECTIVE: May 22, 2007

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A
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PAGE 64

Option 2 - Early Capacity Payments:

Payment schedules under this option are based on an equivalent net present value of
the Value of Deferral Capacity Payments for the Designated Avoided Unit. The earliest
date that Early Capacity Payments can be received by the CEP shall be the
Commercial In-service Date of the CEP’s generating facility. The CEP shall select the

ISSUED BY: C. R. Black, President DATE EFFECTIVE: May 22, 2007

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A
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PAGE 65

WT APPEHUMILeES YY UNYVUYII . He Capital PYlLUVIl VI UI Lapyavily PaylIciil UllUel US
option shall consist of equal monthly payments over the term of the contract, calculated
in accordance with FPSC Rule 25-17.0832, F.A.C., as described in Appendix A. The
fixed operation and maintenance expense portion of the capacity payment shall be
equal to the value of the year-by-year deferral of fixed operation and maintenance
expenses associated with the Designated Avoided Unit calculated in conformance with
Appendix A. Where Levelized Capacity Payments are elected, the cumulative present
value of the capacity paid to the CEP over the term of the contract shall not exceed the
cumulative present value of the capacity payments which would have been made to the
CEP had such payments been made pursuant to Option 1.

Option 4 - Early Levelized Capacity Payments:

Early Levelized Capacity Payment schedules under this option are based on an
equivalent net present value of the Value of Deferral Capacity Payments for the
Designated Avoided Unit. The earliest date that Early Levelized Capacity Payments can
be received by the CEP shall be the Commercial In-service Date of the CEP’s
generating facility. The capital portion of the capacity payment under this Option shall
consist of equal monthly payments over the term of the contract, calculated in
accordance with FPSC Rule 25-17.0832, F.A.C., as described in Appendix A. The fixed
operation and maintenance expense portion of the capacity payments shall be equal to

ISSUED BY: C. R. Black, President DATE EFFECTIVE: May 22, 2007

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A
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PAGE 66

POYIIcihs pal WwW VO VV UIC LOM UI UI CUI SHlall MUl CALEY UIC CUIIIUIALVe
present value of the capacity payments which would have been made to the CEP had
such payments been made pursuant to Option 1. A payment schedule for Option 5 will
be developed reflecting the interests of the CEP for front-end loading and will be made
available for review by the CEP within 30 days of the date of the request for Option 5,
and interests of the CEP have been made known to the Company. Any such Option 5
selection may require additional associated security considerations that will be
developed by the Company and presented to the CEP at the same time as the payment
schedule. The payment schedule and security considerations will be subject to mutual
agreement and approval by the FPSC.

The Company will provide the CEP with a schedule of capacity payment rates based on
the month and year in which the delivery of firm capacity and energy are to commence
and the term of the contract. The currently approved parameters used to calculate the
schedule of payments for each Designated Avoided Unit are found in Appendices D
through G of this Schedule.

Regardless of the payment stream elected by the CEP, the cumulative present value of
capital cost payments made to the CEP over the term of this Agreement shall not
exceed the cumulative present value of the capital cost payments which would have

ISSUED BY: C. R. Black, President DATE EFFECTIVE: May 22, 2007

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A
DOCKET NO. 20230041-EQ Page 62 of 114
PAGE 67

part 2 of the section titled “Basis for Monthly Energy Payment Calculation” of the
Designated Avoided Unit Appendices, “C” through “F”.

ISSUED BY: C. R. Black, President DATE EFFECTIVE: July 29, 2008

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A
DOCKET NO. 20230041-EQ Page 63 of 114

PAGE 68

system incremental fuel costs prior to hourly economy energy sales to other utilities,
based on normal weather and fuel market conditions plus a fuel market volatility risk
premium mutually agreed upon by the Company and the CEP and approved by the
FPSC.

. Fixed Base Energy Payments: At the election of the CEP, a portion of the base

energy costs associated with the avoided unit, mutually agreed upon by the
Company and the CEP, may be fixed and amortized on a present value basis over
the term of the contract starting as early as the in-service date of the CEP’s
generating facility pursuant to FPSC Rule 25-17.250(6)(b) F.A.C. “Base energy
costs associated with the avoided unit” means the energy costs of the avoided unit
to the extent the unit would have been operated. The Company shall develop a
schedule of such Fixed Base Energy Payments for the consideration of the CEP
based on the expressed interests of the CEP. Should the CEP select Fixed Base
Energy Payments, the Company may require additional associated security
considerations which will also be mutually agreed upon by the Company and the
CEP and approved by the FPSC.

PERFORMANCE CRITERIA: In addition to the following provisions, payments for firm
capacity are conditioned on the CEP’s ability to meet or exceed the Minimum Performance
Standards (MPS) for each of the Company's Designated Avoided Unit as described for each in
Appendices C through F:

1.

CEP’s Commercial In-Service Date: Capacity Payments shall not commence until the
CEP has attained and demonstrated commercial in-service status. The Commercial In-
Service Date of the CEP shall be defined as the first day of the month following the
successful completion by the CEP of maintaining an hourly kW output for a 24 hour
period, as metered at the point of interconnection with the Company, equal to or greater
than the CEP’s "Contracted Capacity" as designated in the Standard Offer Contract. A
CEP shall coordinate the operation of its facility during this test period with the
Company to insure that the performance of its facility during this 24 hour period is
reflective of the anticipated day to day operation of the CEP.

ISSUED BY: C.R. Black, President

DATE EFFECTIVE: July 29, 2008

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A
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PAGE 69

VU SHSUuIe Ullal WIG VO Will SalidSly MS YVMIIYauUYyIl WW Tan aily Io payliciil wo Wit
Company, the following provisions will apply:

The Company shall establish a Repayment Account to accrue the sum of the capacity
payments that may have to be repaid by the CEP to the Company. Amounts shall be
added to the Repayment Account each month through the month prior to the in-service
month of the avoided unit, in the amount of the Company's Early Capacity Payments
made to the CEP pursuant to the CEP’s chosen payment option.

Beginning on the in-service date of the avoided unit, the difference between the
capacity payment made to the CEP and the "normal" capacity payment calculated
pursuant to Option 1 will also be added each month to the Repayment Account, so long
as the payment to the CEP is greater than the monthly payment the CEP would have
received if it had selected Option 1 in Paragraph 6.b.iii, of the Company's Standard
Offer Contract.

Also beginning on the in-service date of the avoided unit, at such time that the Monthly
Capacity Payment made to the EP, pursuant to the Capacity Payment Option selected,
is less than the "normal" Monthly Capacity Payment in Option 1, there shall be debited
from the Repayment Account an Early Payment Offset Amount to reduce the balance in

ISSUED BY: C. R. Black, President DATE EFFECTIVE: May 22, 2007

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A

DOCKET NO. 20230041-EQ Page 65 of 114
PAGE 70
| B&TECO SECOND-THIRD REVISED SHEET NO. 8.304
a | AviEs RLeerrver CANCELS FIRST-SECOND REVISED SHEET NO. 8.304

the Repayment Account. Such Early Payment Offset Amount shall be equal to the
amount which the Company would have paid for capacity in that month if capacity
payments had been calculated pursuant to Option 1 and the CEP had elected to begin

raraivina ranacity navmante an the in-carnira data af tha awnidead init miniice tha

Repayment Account. The annual balance in the Repayment Account shall accrue
interest at an annual rate of 6-5927.132%. The Company agrees to notify the CEP
monthly as to the current Repayment Account balance.

In the event of default by the EP, the total Repayment Account balance shall become
due and payable within 20 business days of receipt of written notice, as reimbursement
for the Capacity Payments made to the CEP by the Company in excess of “normal
capacity payments.

The CEP’s obligation to reimburse the Company in the amount of the balance in the
Repayment Account shall survive the termination of the CEP’s Standard Offer Contract

with tha Camnanyv Sich raimbhiircamant chall nat ha ennetritad ta eanctitita liniidatad

ISSUED BY: A D. Collins, President DATE EFFECTIVE: June 42022

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A
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PAGE 71

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A
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PAGE 72

+. WHE UIE CICUUIVIT WY LLIANYe VIINIY MICUIVUd WI TUL CLUTIUIAVEHS LUIS PIUVIDIVIIS UIC T OW

Rule 25-17.0832, F.A.C., or any contract between the CEP and the Company.

If the CEP elects to change billing methods in accordance with FPSC Rule 25-17.082, F.A.C.,
such a change shall be subject to the following provisions

1. upon atleast 30 days advance written notice to the Company; and

2. upon the installation by the Company of any additional metering equipment reasonably
required to effect the change in billing methodology and upon payment by the CEP for
such metering equipment and its installation; and

3. upon completion and approval by the Company of any alterations to the interconnection
reasonably required to effect the change in billing methodology and upon payment by
the CEP for such alterations

Should the CEP elect the Simultaneous Purchases and Sales billing option, purchases of
electric service by the CEP from the interconnecting utility shall be billed at the retail rate
schedule under which the CEP load would receive service as a customer of the utility; sales of
electricity delivered by the CEP to the purchasing utility shall be purchased at the utilities
avoided capacity and energy rates, where applicable, in accordance with FPSC Rules 25-
17.0825 and 25-17.0832, F.A.C.

ISSUED BY: C. R. Black, President DATE EFFECTIVE: May 22, 2007

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A
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PAGE 73

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A
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PAGE 74

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A
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ORIGINAL SHEET NO. 8.316

TAMPA ELECTRIC

2. Any electric service delivered by the Company to the CEP shall be metered separately
and billed under the applicable retail rate schedule and the terms and conditions of the
applicable rate schedule shall pertain.

3. A billing security deposit will be required in accordance with FPSC Rules 25-17.082(5)
and 25-6.097, F.A.C., and the following:

a. In the first year of operation, the security deposit should be based upon the
singular month in which the CEP’s projected purchases from the utility exceed,
by the greatest amount, the utility's estimated purchases from the CEP. The
security deposit should be equal to twice the amount of the difference estimated
for that month. The deposit should be required upon interconnection.

b. For each year thereafter, a review of the actual sales and purchases between the
CEP and the utility shall be conducted to determine the actual month of
maximum difference. The security deposit shall be adjusted to equal twice the
greatest amount by which the actual monthly purchases by the CEP exceed the
actual sales to the utility in that month.

4. The Company will, under the provisions of this Schedule, require an agreement with the
CEP upon the Company's filed Standard Offer Contract.

5. Service under this rate schedule is subject to the rules and regulations of the Company
and the FPSC.

SPECIAL PROVISIONS:

1. Negotiated contracts deviating from the above standard rate schedule are allowable
provided they are agreed to by the Company and approved by the FPSC

2. In accordance with the provision in FPSC Rule 25-17.0883, F.A.C., the Company is
required to provide transmission and distribution service to enable a retail customer,
at that customer's request, to transmit electrical power generated at one location to
the customer's facilities at another location when provision of such service and its
associated charges, terms, and other conditions are not reasonably projected to
result in higher cost of electric service to the Company's general body of retail and
wholesale Customers or adversely affect the adequacy or reliability of electric
service to all Customers.

ISSUED BY: C. R. Black, President DATE EFFECTIVE: May 22, 2007

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A
DOCKET NO. 20230041-EQ Page 71 of 114

PAGE 76

TILL TA A SR. Ay UP Le SUI Vy > SAT) oS aiSu
posted at the address: http:/Awww.enx.com/FOA/teco_home.html.

6. If the CEP is located outside of the Company's transmission area, then the CEP
must arrange for long term firm 3™-party transmission, ancillary services and an
Interconnection Agreement on all necessary external transmission paths for the term
of the contract.

PROCEDURE FOR PROCESSING STANDARD OFFER CONTRACTS: Within 60 days of
the receipt of a signed, completed Standard Offer Contract, the Company shall either accept
and sign the Standard Offer Contract and return it within 5 days to the CEP or petition the
Commission not to accept the Standard Offer Contract and provide justification for the refusal.

All Standard Offer Contracts received will be given equal consideration and each will be
reviewed in accordance with the Company's Evaluation Procedure for Standard Offer
Contracts. The criteria and procedure used to evaluate Standard Offer Contracts are attached
to the Standard Offer Contract as Appendix I.

ISSUED BY: C. R. Black, President DATE EFFECTIVE: May 22, 2007

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A
DOCKET NO. 20230041-EQ Page 72 of 114
PAGE 77

ISSUED BY: C. R. Black, President DATE EFFECTIVE: May 22, 2007

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A
DOCKET NO. 20230041-EQ Page 73 of 114
PAGE 78

TECE ORIGINAL SHEET NO. 8.324
rECO

TAMPA ELECTRIC

PROCEDURE FOR PROCESSING STANDARD OFFER CONTRACTS

| FPSC

Annravuac

ISSUED BY: C. R. Black, President DATE EFFECTIVE: May 22, 2007

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A

DOCKET NO. 20230041-EQ Page 74 of 114
PAGE 79
Ss, TECO FWELFTH THIRTEENTH REVISED SHEET NO. 8.326
, ff ; CANCELS ELEVENTH-TWELFTH REVISED SHEET NO.
TAMPA ELECTRIC
4M EMERA COMPANY 8.326
RATE SCHEDULE COG-2
TABLE OF APPENDICES
APPENDIX TITLE SHEET NO.
A VALUE OF DEFERRAL METHODOLGY 8.328
B METHODOLOGY TO BE USED IN THE 8.344
CALCULATION OF AVOIDED ENERGY COST
2028-2030 Reciprocating Engine 8.406
Cc « Minimum Performance Standard
e Parameters for Avoided Unit Capacity Costs
e Exemplary Capacity Payment Schedules
e Parameters for Avoided Unit Energy Costs
D
RESERVED FOR FUTURE USE -

ISSUED BY: A. D. Collins, President DATE EFFECTIVE: June+2022

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A
DOCKET NO. 20230041-EQ Page 75 of 114

PAGE 80

calculate the monthly value of deferring the Designated Avoided Unit referred to in Rate
Schedule COG-2. When used in conjunction with the current FPSC-approved cost parameters
associated with each Designated Avoided Unit contained in Appendices C through E, the CEP
may determine the applicable value of deferral capacity payment rate associated with the
timing and operation of its particular facility should the CEP enter into a Standard Offer
Contract with the Company.

Also contained in Appendix A is a discussion of the types and forms of surety bond
requirements or equivalent assurance of repayment of early, Levelized, Early Levelized, or
front-end loaded Other Capacity Payments acceptable to the Company in the event of
contractual default by the CEP.

CALCULATION OF VALUE OF DEFERRAL: FPSC Rule 25-17.0832(6), F.A.C., specifies
that avoided capacity costs, in dollars per kilowatt per month, associated with firm capacity
sold to a utility by the CEP pursuant to the utility's Standard Offer shall be defined as the value
of a year-by-year deferral of the Designated Avoided Unit and shall be calculated as follows:

VACm = 1/12 [Kln (1-Rp) / (1-Rp ‘) + On]

FPSC Rule 25-17.0832(6)(a), F.A.C., specifies that, beginning with the in-service date
of the Company's Designated Avoided Unit, for a one year deferral:

VACm = Company's monthly value of avoided capacity, $/kW/month, for each
month of year n;

K = present value of carrying charges for one dollar of investment over L years
with carrying charges computed using average annual rate base and
assumed to be paid at the middle of each year and present value to the
middle of the first year;

ISSUED BY: C. R. Black, President DATE EFFECTIVE: May 22, 2007

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A
DOCKET NO. 20230041-EQ Page 76 of 114
PAGE 81

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A
DOCKET NO. 20230041-EQ Page 77 of 114
PAGE 82

Po TV [Ll 7 MNo)s (IT TNO]

Where:

G = _ the cumulative present value in the year that the contractual payments will
begin, of the avoided fixed operation and maintenance expense component of
capacity payments which would have been made had capacity payments
commenced with the anticipated in-service date of the Designated Avoided
Unit(s).

Ro = (1+i)/A+n

ISSUED BY: C. R. Black, President DATE EFFECTIVE: May 22, 2007

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A
DOCKET NO. 20230041-EQ Page 78 of 114
PAGE 83

PL=FM2{r/[1-(1+n) +O

Where:
P. = the monthly levelized capacity payment, starting on or prior to the in-service
date of the Designated Avoided Unit(s);
OQ = _ the monthly fixed operation and maintenance component of the capacity

payments, calculated in accordance with FPSC Rule 25-17.0832, paragraph
6(a) for Levelized Capacity Payments or with paragraph 6(b) for Early
Levelized Capacity Payments, F.A.C.

Currently approved parameters for each Designated Avoided Unit applicable to the formulas
above are found in Appendices C through F.

CALCULATION OF MONTHLY AVAILABILITY AND CAPACITY FACTOR: Pursuant to
FPSC Rule 25-17.0832, F.A.C., and Docket No. 891049-EU, the CEP must meet or exceed,
on a monthly basis, the MPS of the Company's Designated Avoided Unit(s) as described in
Appendices C through F of COG-2 in order to receive monthly capacity payments. At the end
of each Monthly Period, beginning with the Monthly Period specified in Paragraph 6.b.ii of the
Company's Standard Offer Contract, the Company will calculate the CEP’s Monthly Availability
and Monthly Capacity Factor.

REPAYMENT OF EARLY CAPACITY PAYMENTS: FPSC Rule 25-17.0832(3)(c), F.A.C.,
requires that when early, levelized, early levelized, and front-end loaded capacity payments
are elected, the CEP must provide a security deposit for assurance of repayment of Early
Capacity Payments in the event the CEP is unable to meet the terms and conditions of its
contract. Depending on the nature of the CEP’s operation, financial health and solvency of the
CEP or its guarantor, if any, and its ability to meet the terms and conditions of the Company's
Standard Offer Contract: one of the following may constitute an equivalent assurance of

ORDER NO. PSC-2023-0179-PAA-EQ DOCKET NO. 20230041-EQ
Attachment A Page 79 of 114
PAGE 84
TECO
TAMPA ELECTRIC
ORIGINAL SHEET NO. 8.338
1. cash deposited in an interest bearing escrow account mutually acceptable to the Company and the EP; or
2. an unconditional and irrevocable direct pay letter of credit in form and substance satisfactory to the Company; or
3. a performance bond in form and substance satisfactory to the Company.
The form of security required will be in the sole discretion of the Company and will be in such form as to allow the Company immediate access to the funds in the event that the CEP fails to meet the terms and conditions of its contract
The Company will cooperate with each CEP applying for Capacity Payments under Capacity Payment Options 2, 3, 4, or 5 to determine the exact form of an "equivalent assurance of repayment" to be required based on the particular aspects of the CEP. The Company will endeavor to accommodate an equivalent assurance of repayment which is in the best interests of both the CEP and the Company's ratepayers.
Florida Statute 377.709(4), requires the local government to refund Early Capacity Payments should a Municipal Solid Waste Facility owned, operated by or on behalf of a local government be abandoned, closed down or rendered illegal, therefore a utility may not require risk-related guarantees from a Municipal Solid Waste Facility as required in FPSC Rule 25-17.0832(2)(c) and (3)(e)(8), F.A.C. However, at its option, a Municipal Solid Waste Facility may provide such risk-related guarantees.
ISSUED BY: C. R. Black, President
DATE EFFECTIVE: May 22, 2007

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A
DOCKET NO. 20230041-EQ Page 80 of 114
PAGE 85

SECOND REVISED SHEET NO. 8.344
CANCELS FIRST REVISED SHEET NO. 8.344

TAMPA ELECTRIC

RATE SCHEDULE COG-2
APPENDIX B
METHODOLOGY TO BE USED IN THE CALCULATION OF AVOIDED ENERGY COST

The methodology the Company has implemented in order to determine the appropriate
avoided energy costs and any payments thereof to be rendered to CEPs is consistent with
the provisions of Order No. 23625 in Docket No. 891049-EU, issued on October 16,
1990; the Amendment of FPSC Rules 25-17.080 et seq, F.A.C.

The avoided energy costs methodology used to determine payments to CEPs on an hourly
basis is based on the incremental cost of fuel using the average price of replacement fuel
purchased in excess of contract minimums. Generally, avoided energy costs are defined
to include incremental fuel, identifiable variable operation and maintenance expenses,
identifiable variable purchased power costs and an adjustment for line losses reflecting
delivery voltage.

Under normal conditions the Company will have additional generation resources available
which can carry its native load and firm interchange sales without the CEP’s contribution.
When this is the case and the CEP is present, the incremental fuel portion of the avoided
energy cost is equal to the difference between the Company’s production cost at 2 load
levels, with and without the CEP’s contribution.

In those situations where the Company's maximum available generation (not including its
minimum operating reserves) is insufficient to carry its native load and firm interchange
sales, in the absence of the CEP contribution, the Company’s incremental fuel component
of the avoided energy cost will be determined by:

1. system lambda - if “off-system purchases" are not being made and all available
generation has been dispatched; or

2. the highest incremental cost of any "off-system purchases" that are being made for
native load.

ISSUED BY: G. L. Gillette, President DATE EFFECTIVE: June 19, 2012

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A
DOCKET NO. 20230041-EQ Page 81 of 114

PAGE 86

HPAL IAlWS VEMVITNAIIVe lAULY! AIHU UI VYUIIIPUONS VIIVeS VI SUPPITIIITIILal IU.

. The Company's own production cost for each hour of operation at a particular

generation level equals the sum of the individual units’ fuel cost for that hour. The
production cost, thus determined, consists of the composite price of replacement fuel
based on supplemental purchases and the incremental heat rate for the generating
system.

. The Company's total cost equals its own production cost (paragraph 4 above), identified

variable O&M, plus the cost of any off-system purchases to serve native load.

. Native load includes all firm and non-firm retail load.

. The cost of off-system firm and non-firm variable purchases is defined as the highest

energy cost energy block purchased for native load during the hour.

. Firm interchange sales are included in production cost calculations.

ISSUED BY: G. L. Gillette, President DATE EFFECTIVE: June 19, 2012

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A
DOCKET NO. 20230041-EQ Page 82 of 114
PAGE 87

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A
DOCKET NO. 20230041-EQ Page 83 of 114
PAGE 88

SECOND REVISED SHEET NO. 8.376
CANCELS FIRST REVISED SHEET NO. 8.376

TAMPA ELECTRIC

Continued from Sheet no. 8.356
SUPPLEMENTAL FUEL:

The term “supplemental fuel” refers to the variable cost for additional fuel to be delivered to
Tampa Electric's generation facilities. The supplemental fuel price includes the cost of the fuel
commodity at market prices plus the variable cost to deliver the commodity to the generation
facility. Market prices for coal, oil and natural gas are based on published indexes or current
market activity for commodities of comparable quality to those used in Tampa Electric’s
generation facilities.

AVOIDED ENERGY COST CALCULATIONS:

Example: 1 Off-system purchases are not being made. The Company’s generation is
capable of carrying its native load and firm sales.

The procedure used to deterministically calculate the incremental avoided energy cost
associated with As-Available Energy on an hour by hour basis when no off-system purchases
are taking place is as follows:

The 1* calculation determines the Company's production cost without the benefit of
cogeneration.

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A
DOCKET NO. 20230041-EQ Page 84 of 114
PAGE 89

FIRST REVISED SHEET NO. 8.378
CANCELS ORIGINAL SHEET NO. 8.378

TAMPA ELECTRIC

In these instances, the $/MVVH price that the Company will pay the CEPs is determined by
calculating the production cost at 2 load levels.

The 2" calculation determines the Company's production cost with the benefit of cogeneration.

After each of the 2 calculations are made, the avoided energy cost rate is calculated by
dividing the difference in production cost between the 2 calculations described above by the
"Standard Tariff Block." [The "Standard Tariff Block" is defined to be an XMW block equivalent
to the combined actual hourly generation delivered to the Company from all CEPs making As-
Available Energy sales to the Company. In the absence of metered information on exports
from the CEP making As-Available Energy sales to the Company, an estimate of the hourly
exports from that Facility will be used, rounded to the nearest 5 MWs and then added to the
sum of the other as-available purchases for that hour. Prior to the in-service date of the
appropriate Designated Avoided Unit, firm energy sales will be equivalent to as-available
sales. Beginning with the in-service date of the appropriate Designated Avoided Unit(s), firm
energy purchases from CEPs shall be treated as as-available energy for the purposes of
determining the XMW block size only during the periods that the appropriate Designated
Avoided Unit would not be operated.] The difference in production costs divided by the XMW
block determines the As-Available Energy Payment Rate (AEPR) for the hour. The AEPR will
be applied to the "Actual" CEP MWs purchased during the hour to determine payment to each
CEP supplying As-Available Energy, and each CEP supplying firm energy in those instances
where the avoided unit would not have been operated during the hour. See Exhibit 1.

Example 2 Off-system purchases are not being made. The Company’s generation can only
carry its native load and firm sales with the CEP contribution.

The procedure used to deterministically calculate the incremental avoided energy cost
associated with As-Available Energy on an hour by hour basis whenever the Company is not
purchasing off-system interchange is as follows:

In this instance, the avoided energy cost that the Company will pay the CEPs will be
determined by calculating the production cost at the last MW load level. The avoided energy
cost is the production cost at system lambda. See Exhibit 2.

In the situation where the Company's generation is not fully dispatched, and additional
generation capability is available to price a portion of the CEP block, then the CEP block will
be priced at a combination of the difference between the Company’s production cost at 2 load
levels as previously defined and at system lambda. See Exhibit 3.

ISSUED BY: G. L. Gillette, President DATE EFFECTIVE: June 19, 2012

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A
DOCKET NO. 20230041-EQ Page 85 of 114

PAGE 90

YVPIt.OUIVIVVLT

Adjustment Factor for Line Losses:
1.0561

The Actual Incremental Hourly Avoided Energy Cost adjusted for avoided line losses
associated with As-Available Energy provided to the Company would then become, in this
example, $15.63/MWH.

“IDENTIFIABLE” INCREMENTAL VARIABLE O&M: Tampa Electric's methodology for
determining incremental avoided energy costs associated with As-Available Energy includes a
procedure for calculating "identifiable" incremental variable O&M (VOM) expense.

A VOM rate ($/MWH) is calculated annually for each Tampa Electric generating group. A
generating group comprises units of the same type with similar size and operating
characteristics (e.g., Big Bend coal units, Bayside CCs, Polk IGCC, all 180 MW CTs, etc.).
The VOM rate for a generating group is calculated by dividing the previous year's identifiable
VOM expenses for the group by the previous year's generation in megawatt-hours for the

group.

ISSUED BY: G. L. Gillette, President DATE EFFECTIVE: June 19, 2012

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A
DOCKET NO. 20230041-EQ Page 86 of 114
PAGE 91

ISSUED BY: C. R. Black, President DATE EFFECTIVE: May 22, 2007

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A
DOCKET NO. 20230041-EQ Page 87 of 114
PAGE 92

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A
DOCKET NO. 20230041-EQ Page 88 of 114
PAGE 93

SECOND REVISED SHEET NO. 8.398
TECE CANCELS FIRST REVISED SHEET NO. 8.398

TAMPA ELECTRIC

EXHIBIT 2

Example: Off-system purchases are not being made. The Company’s generation can
carry its native load and firm sales only with the CEP contribution.

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A
DOCKET NO. 20230041-EQ Page 89 of 114
PAGE 94

COMposile ACLUAl MOUTIy AVOIGEA CNEMQGy VOSL OI OU WIV DIOCK = (postu F POU) / OV IVIVY
or

As-Available Energy Payment Rate (AEPR) = $18.20/MWH

‘In this example, system lambda is the production cost for the last MW segment to meet the
load after dispatching all available generation capacity.

ISSUED BY: G. L. Gillette, President DATE EFFECTIVE: June 19, 2012

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A
DOCKET NO. 20230041-EQ Page 90 of 114

PAGE 95

ll
Off-System Purchase shall be the highest cost purchased energy block bought during the
hour for native load.

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A

DOCKET NO. 20230041-EQ Page 91 of 114
PAGE 96
SE. FWELFTH-THIRTEENTH REVISED SHEET NO. 8.406
| , ff TECO | CANCELS ELEVENTH TWELFTH REVISED SHEET NO.
AN EMERA COMPANY 8.406

RATE SCHEDULE COG-2
APPENDIX C

| 2028-2030 Reciprocating Engine

This Designated Avoided Unit is a 18.7 MW (winter rating) natural gas-fired Reciprocating
| Engine with a JANUARY 1, 29282030, in-service date.

MINIMUM PERFORMANCE STANDARDS

In order to receive a Monthly Capacity Payment, all Contracted Capacity and Associated
Energy provided by CEPs shall meet or exceed the following MPS on a monthly basis. The

MPS are based on the anticipated peak and off-peak dispatchability, unit availability, and
operatina factor of the Desianated Avoided Unit over the term of this Standard Offer Contract.

Continued to Sheet No. 8.408

ISSUED BY: A. D. Collins, President DATE EFFECTIVE: June42022

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A
DOCKET NO. 20230041-EQ Page 92 of 114

PAGE 97

5.

Schedule or ignore scheduled levels altogether, however, each Party shall make
reasonable efforts to minimize departures from the Dispatch Schedule.

Automatic Generation Control: At the Company's discretion, the CEP will operate
the Facility with Automatic Generation Control (AGC) equipment, speed governors,
and voltage regulators in-service, except at such times when operational constraints
of the equipment prevent AGC operation.

Start-up Time: Upon notification by the Company, the CEP’s Facility shall provide
its capacity within 15 minutes from a cold-start condition to maximum capacity.

Minimum Run Time: Minimum run time for the CEP’s unit shall be 1 hour.

ISSUED BY: C.R. Black, President

DATE EFFECTIVE: July 29, 2008

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A
DOCKET NO. 20230041-EQ Page 93 of 114
PAGE 98

Hours by providing written notice to CEP a minimum of 90 calendar days prior to
such change.

ISSUED BY: C. R. Black, President DATE EFFECTIVE: July 29, 2008

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A
DOCKET NO. 20230041-EQ Page 94 of 114
PAGE 99

Continued on Sheet No. 8.418

ISSUED BY: G. L. Gillette, President DATE EFFECTIVE: July 21, 2015

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A
DOCKET NO. 20230041-EQ Page 95 of 114
PAGE 100

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A

DOCKET NO. 20230041-EQ Page 96 of 114
PAGE 101
y_N FIFFEENTFH-SIXTEENTH REVISED SHEET NO. 8.422
| , ff TECO — CANCELS FOURTEENTH-FIFTEENTH REVISED SHEET
NO. 8.422

AN EMERA COMPANY

Continued from Sheet No. 8.418
PARAMETERS FOR AVOIDED CAPACITY COSTS

Beginning with the in-service date (01/1/20282030) of the Company's Designated Avoided
Unit, a 18.7MW (Winter Rating) natural gas-fired Reciprocating Engine, for a 1 year deferral:

_VALUE
VACm = Company's monthly value of avoided capacity, 143.4516.25
$/kVV/month, for each month of year n
K = present value of carrying charges for one dollar of 4651.72
investment over L years with carrying charges computed
using average annual rate base and assumed to be paid at
the middle of each year and present value to the middle of
the first year
In = total direct and indirect cost, in mid-year $/kW including 4444.05

AFUDC but excluding CWIP, of the Designated Avoided 1505.40
Unit(s) with an in-service date of year n, including all
identifiable and quantifiable costs relating to the
construction of the Designated Avoided Unit that would
have been paid had the Designated Avoided Unit(s) been

constructed

On = total fixed operation and maintenance expense for the year 24-8534.21
n, in mid-year $/kVW/year, of the Designated Avoided
Unit(s);

ip = annual escalation rate associated with the plant cost of the 2.0%

Designated Avoided Unit(s)

lo = annual escalation rate associated with the operation and 2.2%
maintenance expense of the Designated Avoided Unit(s);

r = discount rate, defined as the Company’s incremental after 6-5927.132%
tax cost of capital:

Continued to Sheet No. 4.424

ISSUED BY: A. D. Collins, President DATE EFFECTIVE: June+-2022

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A

DOCKET NO. 20230041-EQ Page 97 of 114
PAGE 102
le, FIFFEENTFH-SIXTEENTH REVISED SHEET NO. 8.424
| , ff TECO | CANCELS FOURTEENTH-FIFTEENTH REVISED SHEET
AN EMERA COMPANY NO. 8.424

Continued from Sheet No. 8.422

L = expected life of the Designated Avoided Unit(s); and 30

n = year for which the Designated Avoided Unit is deferred 20282030
starting with its original anticipated in-service date and
ending with the termination of the contract for the purchase
of firm capacity and energy.

| Am = monthly early capacity payments to be made to the CEP for £878.54
each month of the contract year n, in $/kVW/month, if
| payments start in 20222023

| m = Earliest year in which early capacity payments to the CEP 20222023"
may begin;
| F = the cumulative present value, in the year contractual +266441295.49*

payments will begin, of the avoided capital cost component
of capacity payments over the term of the contract which
would have been made had capacity payments commenced
with the anticipated in-service date of the Designated
Avoided Unit(s);

t = _ the term, in years, of the contract for the purchase of firm 2627"
capacity if early capacity payments commence in year m;

Continued to Sheet No. 8.426

ISSUED BY: A D. Collins, President DATE EFFECTIVE: June 42022

ORDER NO. PSC-2023-0179-PAA-EQ DOCKET NO. 20230041-EQ PAGE 103
TECO TAMPA ELECTRIC AN EMERA COMPANY
FIFTEENTH SIXTEENTH REVISED SHEET NO. 8.426 CANCELS FOURTEENTH FIFTEENTH REVISED SHEET NO. 8.426
Continued from Sheet No. 8.424
2028-2030 RECIPROCATING ENGINE - AVOIDED UNIT MONTHLY CAPACITY PAYMENT RATE ($/KW-MONTH) NON-LEVELIZED PAYMENT OPTIONS
OPTION 1
OPTION 2
NORMAL PAYMENT
EARLY PAYMENT
CONTRACT YEAR
Starting 01/1/2830
Starting 01/1/2729
Starting 01/1/2628
Starting 01/1/2527
Starting 01/01/2426
Starting 01/01/2325
Starting 01/01/2224
Starting 01/01/23
FROM
TO
$/kW-mo
$/kW-mo
$/KW-mo
$/kW-mo
$/kW-mo-
$/kW-mo-
$/kW-mo.
$/kW-mo
1/1/231/1/23
12/31/2312/31/23
8.57
8.03
8.54
1/1/241/1/24
12/31/2412/31/24
9.34
8.74
9.31 8.19
8.71
1/1/251/1/25
12/31/2512/31/25
40.21
9.53
10.18
9.50 8.36
8.89
1/1/261/1/26
12/31/2612/31/26
11.17
10.41
11.14
10.39
9.70 8.53
9.07
1/1/274/1/27
12/31/2742/31/27
12.24
11.39
12.21 10.63
9.93
10.60 9.29
9.89 8.70
9.25
1/1/281/1/28
12/31/2812/31/28
43.45
42.49
13.40
12.46
11.60
10.81
10.10
9.44
1/1/291/1/29
12/31/2912/31/29
13.72
14.74
13.67
12.71
11.83
11.03
10.30
9.63
12.74
11.86
11.06
10.33
9.67
9.06
1/1/301/1/30
12/31/3012/31/30
16.25
15.04
12.97
12.07
11.26
10.51
9.83
1/1/314/1/31
12/31/3142/31/31
16.58
15.35
14.24
13.23
12.32
11.49
10.73
10.03
1/1/321/1/32
12/31/3212/31/32
16.91
15.66
14.53
13.50
12.57
11.72
10.94
10.23
14.57
43.54
42.60
41.75
40.98
40.27
9.62
1/1/331/1/33
12/31/3312/31/33
17.26
15.98
14.82
13.78
12.82
11.96
11.17
10.44
1/1/341/1/34
12/31/3412/31/34
17.61
16.30
15.12
14.06
13.09
12.20
11.39
10.65
1/1/351/1/35
12/31/3512/31/35
17.97
16.63
15.43
14.34
13.35
12.45
11.63
10.87
1/1/361/1/36
12/31/3612/31/36
18.33
16.97
15.74
14.63
13.62
12.70
11.86
11.09
15.80
14.67
13.65
12.73
11.90
11.13
10.43
1/1/374/1/37
12/31/3742/31/37
18.71
17.32
16.07
14.93
13.90
12.96
12.10
11.32
16.12
14.97
13.93
12.99
12.14
11.36
10.64
1/1/381/1/38
12/31/3812/31/38
19.09
17.67
16.39
15.24
14.18
13.23
12.35
11.55
1/1/391/1/39
12/31/3912/31/39 19.48
18.03
16.73
15.55
14.47
13,50
12.60
11.78
1/1/401/1/40
12/31/4012/31/40
19.87
18.40
17.07
15.86
14.77
13.77
12.86
12.02
17.12
15.90
14.80
13.80
12.89
12.06
11.30
1/1/414/1/41
12/31/4112/31/41
20.28
18.77 46.22
17.41 15.10
44.08
43.15
42.31
41.53
1/1/421/1/42
12/31/4212/31/42
20.69
19.15
17.77
16.51
15.37
14.34
13.39
12.52
17.82
16.55
15.41
14.37
13.42
12.56
11.77
1/1/431/1/43
12/31/4312/31/43
21.11
18.13
16.85
15.69
14.63
13.66
12.77
18.18
15.72
14.66
13.69
12.84
42.00
1/1/441/1/44
12/31/4412/31/44
21.54
19.94
18.50
17.19
16.01
14.93
13.94
13.03
18.55
17.23
16.04
14.96
13.97
43.07
12.25
1/1/4501/01/45
12/31/4512/31/45
21.98
20.35
18.88
17.54
16.33
15.23
14.22
13.30
14.87
13.81
12.86
11.99
11.20
40.48
9.82
15.17
14.09
13.12
12.23
11.43
10.69
40.02
15.48
14.38
13.38
12.48
11.66
10.91
10.22
14.00
13.00
13.95 12.10
41.29
10.54
9.86
9.24
14.28
13.27
12.35
11.52
10.76
10.06
9.43
11.63
10.84
10.13
9.48
8.88
8.92
9.73
9.10
11.36
12.38
41.59
10.86
16.44
45.27
44.21
13.26
16.18
15.07
14.05
13.12
12.27
17.47
15.58
14.50
13.53
12.63
11.82
11.08
16.78
19.54 16.89
ISSUED BY: A. D. Collins, President
DATE EFFECTIVE: June 7, 2022
Attachment A Page 98 of 114

ORDER NO. PSC-2023-0179-PAA-EQ

DOCKET NO. 20230041-EQ

PAGE 104

am
7p TESS...

Attachment A
Page 99 of 114

FIEFEENFH-SIXTEENTH REVISED SHEET NO. 8.426

CANCELS FOURTEENTH-FIFTEENTH REVISED SHEET NO.

AN EMERA COMPANY 8.426
TWi/460+/0446 | 12/31 /464284+446 22.43 20,76 19.26 17.90 16.67 15.54 14.51 13.57
VOATOVOH4E | 12/31 /47424e 22.88 21.18 19.65 18.27 17.01 15.86 14.81 13.84
1/1/48 12/30/48 23.35 21.62 20.05 18.64 17,35 16.18 415.11 14.13
4/1/49 12/31/49 23.82 22.06 20.46 19.02 17.70 16.51 15.42 44.44

Continued to Sheet No. 8.427

ISSUED BY: A. D. Collins, President

DATE EFFECTIVE: June-4+2022

ORDER NO. PSC-2023-0179-PAA-EQ DOCKET NO. 20230041-EQ PAGE 105
TECO TAMPA ELECTRIC AN EMERA COMPANY
TENTH-ELEVEENTH REVISED SHEET NO. 8.427 CANCELS NINTH TENTH REVISED SHEET NO. 8.427
Continued from Sheet No. 8.426 203028 RECIPROCATING ENGINE - AVOIDED UNIT MONTHLY CAPACITY PAYMENT RATE (-$/KW-MONTH) LEVELIZED PAYMENT OPTIONS
OPTION 3
OPTION 4
LEVELIZED
NORMAL
EARLY LEVELIZED PAYMENT
PAYMENT
CONTRACT YEAR
Starting 01/1/3028
Starting 01/1/2927
Starting 01/1/2826
Starting 01/1/2725
Starting 01/01/2624
Starting 01/01/2523
Starting 01/01/2422
Starting 01/01/23
FROM
TO
S/KW-mo
$/KW-mo
$/kW-mo
$/KW-mo
S/KW-mo-
S/KW-mo-
$/KW-mo-
$/KW-mo
4/1/22
12/31/22
9.64
10.33
9.54
10.35
1/1/241/1/24
12/31/2412/31/24
11.20
10.33
11.24
10.35
1/1/251/1/25
12/31/2512/31/25
11.24
10.35
1/1/261/1/26
12/31/2612/31/26
13.22
12.16
13.29
12.21
11.24
10.35
1/1/271/1/27
12/31/2712/31/27
14.40
13.22
14.48
13.29
12.21
11.24
10.35
1/1/281/1/28
12/31/2812/31/28
15.72
14.40
15.81 13.22
12.16
11.20
10.33
9.54
1/1/291/1/29
12/31/2912/31/29
15.72
17.28 14.40
15.81
14.48
13.29
12.21
11.24
10.35
1/1/301/1/30
12/31/3012/31/30
18.93
17.28
15.81
14.48
13.29
12.21
11.24
10.35
1/1/311/1/31
12/31/3112/31/31
18.93
17.28
15.81
14.48
13.29
12.21
11.24
10.35
1/1/321/1/32
12/31/3212/31/32
18.93
17.28
15.81
14.48
13.29
12.21
11.24
10.35
1/1/331/1/33
12/31/3312/31/33
18.93
17.28
15.81
14.48
13.29
12.21
11.24
10.35
1/1/341/1/34
12/31/3412/31/34
18.93
17.28
15.81
14.48
13.29
12.21
11.24
10.35
1/1/351/1/35
12/31/3512/31/35
18.93
17.28
15.81
14.48
13.29
12.21
11.24
10.35
1/1/361/1/36
12/31/3612/31/36
18.93
17.28
15.81
14.48
13.29
12.21
11.24
10.35
1/1/371/1/37
12/31/3712/31/37
18.93
17.28
15.81
14.48
13.29
12.21
11.24
10.35
1/1/381/1/38
12/31/3812/31/38
18.93
17.28
15.81
14.48
13.29
12.21
11.24
10.35
1/1/391/1/39
12/31/3912/31/39
18.93
17.28
15.81
14.48
13.29
12.21
11.24
10.35
15.72
14.40
13.22
12.16
11.20
10.33
9.54
1/1/401/1/40
12/31/4012/31/40
18.93
17.28
15.81
14.48
13.29
12.21
11.24
10.35
1/1/414/1/41
12/31/4112/31/41
18.93
17.28
15.81
14.48
13.29
12.21
11.24
10.35
45.72
14.40
13.22
12.16
11.20
10.33
9.54
1/1/421/1/42
12/31/4212/31/42
18.93
17.28 14.40
15.81
14.48
13.29
12.21
11.24
10.35
15.72
43.22
12.16
11.20
10.33
9.54
1/1/431/1/43
12/31/4312/31/43
18.93
17.28
15.81
14.48
13.29
12.21
11.24
10.35
45.72
14.40
13.22
42.16
11.20
10.33
9.54
1/1/441/1/44
12/31/4412/31/44
18.93
17.28
15.81
14.48
13.29
12.21
11.24
10.35
45.72
14.40
13.22
12.16
11.20
10.33
9.54
15.72
14.40
43.22
12.16
11.20
40.33
9.54
45.72
14.40
13.22
42.16
11.20
10.33
9.54
15.72
11.10
13.22
12.16
11.20
10.33
9.54
45.72
14.40
43.22
12.16
11.20
10.33
9.54
45.72
14.40
43.22
12.16
11.20
10.33
9.54
15.72
14.40
43.22
12.16
11.20
10.33
9.54
15.72
14.40
13.22
12.16
11.20
10.33
9.54
15.72
14.40
13.22
12.16
11.20
10.33
9.54
15.72
14.40
13.22
12.16
11.20
10.33
9.54
13.22
12.16
11.20
10.33
9.54
15.72
14.40
13.22
12.16
11.20
10.33
9.54
12.16
11.20
10.33
9.54
11.24
10.35
14.48
13.29
12.21
9.54
12.16
11.20
12.21 10.33
9.54
11.20
10.33
9.54
1/1/231/1/23
12/31/2312/31/23
ISSUED BY: A. D. Collins, President
DATE EFFECTIVE: June 7, 2022
Attachment A Page 100 of 114

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A

DOCKET NO. 20230041-EQ Page 101 of 114
PAGE 106
ys FENFH-ELEVEENTH REVISED SHEET NO. 8.427
TECO CANCELS NINFH-TENTH REVISED SHEET NO. 8.427

a | TAMPA ELECTRIC

AN EMERA COMPANY

T1/45904404445 | 12/91/45428+45 18,93 17.28 15.81 14.48 13,29 12,21 11,24 10.35
SM/460-704+446 | 12/91/4642 8445 18.93 17.28 15.81 14.48 13.29 42.21 41,24 10.35
A/a 7OHOdes | 12/31/4742 18.93 17.28 15.81 14.48 13.29 12.21 11.24 10.35
1/1/48 12/30/48 18.93 17.28 15.81 14.48 13.29 12.21 411,24 10.35
4/1/49 12/31/49 18.93 17.28 15.81 14.48 13.29 12.21 11,24 10.35

Continued to Sheet No. 8.428

ISSUED BY: A. D. Collins, President DATE EFFECTIVE: June4 2022

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A

DOCKET NO. 20230041-EQ Page 102 of 114
PAGE 107
sam FHIRFEENFH-FOURTEENTH REVISED SHEET NO. 8.428
| aa TECO ~ CANCELS FWELFTH-THIRTEENTH REVISED SHEET NO.
4N EMERA CGOMPANY 8.428

Continued from Sheet No. 8.427
BASIS FOR MONTHLY ENERGY PAYMENT CALCULATION:

eo ne

the unit.
2. Unit Energy Payment Rate: Starting the in-service date of the avoided unit, the CEP
will be paid at the UEPR for energy provided in Paragraph 1.a, Paragraph 1.b and that
portion of the energy provided up to the dispatched level in Paragraph 1.c as defined
above. The UEPR, which is based on the Company's Designated Avoided Unit and

Heat Rate value of 84448 ,084 Btu/kWh, will be calculated monthly by the following
formula:

UEPR =FC + Oy
where;

Oy = Unit Variable Operation & Maintenance Expense in $/MWH.

Continued to Sheet No. 8.434

ISSUED BY: A. D. Collins, President DATE EFFECTIVE: June+2922

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A
DOCKET NO. 20230041-EQ Page 103 of 114
PAGE 108

| Fn "TECQO FHIRFEENTFH-FOURTEENTH REVISED SHEET NO. 8.434
, ff 2 CANCELS FWELFTH-THIRTEENTH REVISED SHEET NO.

TAMPA ELECTRIC
AN EMERA COMPANY 8.434

Continued from Sheet No. 8.428
FO = Fuel Component of the Energy Payment in $/MWH as defined
by:
FC = 8 4448tu084Btu/kWh x FP
1,000
where;
FP = Fuel Price in $/MMBTU determined by:
FP = GC/(1-FRP) + TC
where;
aT a — Pmionl Metae ie GUNARAIDY TI I A ataensnin nd bus tablinn tha fient wiikhlianantian af

Continued to Sheet No, 8.436

ISSUED BY: A. D. Collins, President DATE EFFECTIVE: June+2022

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A

DOCKET NO. 20230041-EQ Page 104 of 114
PAGE 109
le, FIFFEENTFH-SIXTEENTH REVISED SHEET NO. 8.436
| , ff TECO | CANCELS FOURTEENTH-FIFTEENTH REVISED SHEET
AN EMERA COMPANY NO. 8.436

Continued from Sheet No. 8.428

PARAMETERS FOR AVOIDED UNIT ENERGY AND VARIABLE OPERATION AND
MAINTENANCE COSTS

Beginning on JANUARY 1, 20282030, to the extent that the Designated Avoided Unit(s) would
have been operated had it been installed by the Company:

VALUE

Oy = total variable operating and maintenance expense, in $/MVVH,
of the Designated Avoided Unit(s), in yearn 2692.81

H = The average annual heat rate, in British Thermal Units (Btus)
per kilowatt-hour (Btu/kWh), of the Designated Avoided Unit(s) 8444084

ISSUED BY: A. D. Collins, President DATE EFFECTIVE: June4+2022

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A
DOCKET NO. 20230041-EQ Page 105 of 114

PAGE 110

specie In tnis Kule to renect tne result OT SuCcn an evaluation.

3. Where the Company refuses to interconnect with a qf or attempts to impose
unreasonable standards pursuant to subsection (2) of this rule, the qf may petition the FPSC for
relief. The Company shall have the burden of demonstrating to the FPSC why interconnection
with the qfs should not be required or that the standards the Company seeks to impose on the
qfs pursuant to subsection (2) are reasonable.

4. Upon a showing of credit worthiness, the qfs shall have the option of making

monthly installment payments over a period no longer than 36 months toward the full cost of
interconnection. However, where the qfs exercises that option, the Company shall charge
interest on the amount owing. The Company shall charge such interest at the 30 day highest
grade commercial paper rate. In any event, no the Company may not bear the cost of
interconnection.

Continued to Sheet No. 8.705

ISSUED BY: J. B. Ramil, President DATE EFFECTIVE: March 30, 1999

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A
DOCKET NO. 20230041-EQ Page 106 of 114
PAGE 111

Continued to Sheet No. 8.710

ISSUED BY: J. B. Ramil, President DATE EFFECTIVE: March 30, 1999

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A
DOCKET NO. 20230041-EQ Page 107 of 114
PAGE 112

Continued to Sheet No. 8.715

ISSUED BY: J. B. Ramil, President DATE EFFECTIVE: March 30, 1999

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A
DOCKET NO. 20230041-EQ Page 108 of 114
PAGE 113

TAMPA ELECTRIC COMPANY ORIGINAL SHEET NO. 8.715
Continued from Sheet No. 8.710

Any of the following conditions shall be cause for disconnection:
i. The Company’s system emergencies and/or maintenance
requirements; Hazardous conditions existing on the qfs generating or protective
equipment as determined by the Company;

ii. Adverse effects of the gf's generation to the Company's other
electric consumers and/or system as determined by the Company;

iii. Failure of the qf to maintain any required insurance; or

iV. Failure of the gf to comply with any existing or future regulations,

rules, orders or decisions of any governmental or regulatory authority having
jurisdiction over the qfs electric generating equipment or the operation of such
equipment.

b. Responsibility and Liability: The Company and the qf shall each be
responsible for its own facilities. The Company and the af shall each be responsible for
ensuring adequate safeguards for other Company customers, the Company and qf
personnel and equipment, and for the protection of its own generating system. The
Company and the qf shall each indemnify and save the other harmless from any and all
claims, demands, costs, or expense for loss, damage, or injury to persons or property of
the other caused by, arising out of, or resulting from:

i. Any act or omission by a party, or that party's contractors, agents,
servants and employees in connection with the installation or operation of that
party's generation system or the operation thereof in connection with the other
party's system;

ii. Any defect in, failure of, or fault related to a party's generation
system;

iii. The negligence of a party or negligence of that party's contractors,
agents, servants or employees; or

Continued to Sheet No. 8.720

ISSUED BY: J. B. Ramil, President DATE EFFECTIVE: March 30, 1999

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A
DOCKET NO. 20230041-EQ Page 109 of 114
PAGE 114

FIRST REVISED SHEET NO. 8.720
CANCELS ORIGINAL SHEET NO. 8.720

TAMPA ELECTRIC

Continued from Sheet No. 8.715

iv. Any other event or act that is the result of, or proximately caused by a
party.

For the purpose of this paragraph, the term party shall mean either the Company or QF,
as the case may be.

With respect to a QF that is the state, a state agency or subdivision (as those terms are
defined in Section 768.28(2), Florida Statutes, or the successor thereto), the obligations
of Customer set forth in Paragraph 6.b above shall be subject to Section 768.28 (or the
successor thereto), including the limitations contained therein. With respect to a QF
that is the United States of America, or agency or subdivision thereof, the obligations
set forth in the first sentence of Paragraph 6.b shall not apply. In either case, the
Company reserves its rights under Section 768.28 (or the successor thereto), and the
Federal Tort Claims Act (or the successor thereto), as applicable, including, but not
limited to, the right to pursue legislative relief.

Cc. Insurance: The QF shall deliver to the Company, at least fifteen (15) days prior
to the start of any interconnection work, a certificate of insurance certifying the QF's
coverage under a liability insurance policy issued by a reputable insurance company
authorized to do business in the State of Florida naming the QF as named insured, and
the Company as an additional named insured, which policy shall contain a broad form
contractual endorsement specifically covering the liabilities accepted under this
agreement arising out of the interconnection to the QF, or caused by operation of any of
the QF's equipment or by the QF's failure to maintain its equipment in satisfactory and
safe operating condition.

i In subsequent years, a certificate of insurance renewal must be provided
annually to the Company indicating the QF’s continued coverage as described
herein. Renewal certification shall be sent to:

Tampa Electric Company

Risk Management Department

P. O. Box 111

Tampa, FL 33601

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A

DOCKET NO. 20230041-EQ Page 110 of 114
PAGE 115

$1,000,000.

iv. The above required policy shall be endorsed with a provision requiring the

insurance company will notify the Company thirty (30) days prior to the effective
date of cancellation or material change in said policy.

V. The QF shall pay all premiums and other charges due on said policy and
keep said policy in force during the entire period of interconnection with the
Company.

vi. As an alternative to the foregoing insurance requirement, the QF may
self-insure upon receiving the Company’s prior written approval. The Company
will provide the QF with written notification of approval or disapproval of a self-
insurance application with 30 business days after the Company’s receipt of all
documentation required to support the application. In the event that the
Company approves QF's request to self-insure, QF shall provide proof of its
continuing ability to self-insure to the Company on an annual basis, or more
frequently if requested by the Company. Notwithstanding the foregoing, the
minimum insurance coverage amount set forth above shall be limited for the
state, a state agency or subdivision (as those terms are defined in Section
768.28(2), or the successor thereto), to the maximum dollar amounts set forth in
Section 768.28(5), or the successor thereto.

7 Protection and Operation: It will be the responsibility of the QF to provide all devices
necessary to protect the QF's equipment from damage by the abnormal conditions and
operations which occur on the Company system that result from interruptions and restorations
of service by the Company's equipment and personnel. The QF shall protect its generator and
associated equipment from overvoltage, undervoltage, overload, short circuits (including
ground fault condition), open circuits, phase unbalance and reversal, over or under frequency
condition, and other injurious electrical conditions that may arise on the Company's system
and any reclose attempt by the Company.

The Company may reserve the right to perform such tests as it deems necessary to ensure
safe and efficient protection and operation of the QF's equipment.

Continued to Sheet No. 8.730

ISSUED BY: G. L. Gillette, President DATE EFFECTIVE: June 25, 2013

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A
DOCKET NO. 20230041-EQ Page 111 of 114
PAGE 116

VYVIMIIUIY EYE OY TIVE VENOM I Yee Ve Im SU IPy Oo oy OUT.

Cc. Electrical characteristics: Single phase generator interconnections with

the Company are permitted at power levels up to 20 KW. For power levels exceeding
20 KW, a three phase balanced interconnection will normally be required. For the
purpose of calculating connected generation, 1 horsepower equals 1 kilowatt. The qf
shall interconnect with the Company at the voltage of the available distribution or
transmission line of the Company for the locality of the interconnection, and shall utilize
one of the standard connections (single phase, three phase, wye, delta) as approved by
the Company.

Continued to Sheet No. 8.735

ISSUED BY: J. B. Ramil, President DATE EFFECTIVE: March 30, 1999

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A
DOCKET NO. 20230041-EQ Page 112 of 114
PAGE 117

d. Exceptions A gf's generator having a capacity rating that can:

i. Produce power in excess of one half of the minimum Company
customer requirements of the interconnected distribution or transmission circuit;
or

ii. produce power flows approaching or exceeding the thermal
capacity of the connected Company distribution or transmission lines or
transformers; or

iii. adversely affect the operation of the Company or other Company
customer's voltage, frequency or overcurrent control and protection devices; or

iV. adversely affect the quality of service to other Company customers;
or

limits for voltage shall be the nominal operating voltage level, plus or minus 5%.

Continued to Sheet No. 8.740

ISSUED BY: J. B. Ramil, President DATE EFFECTIVE: March 30, 1999

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A
DOCKET NO. 20230041-EQ Page 113 of 114
PAGE 118

aesigneq, operateg ana controliea to provide reactive power requirements Irom U.y¥o
lagging to 0.95 leading power factor at the point of interconnection with Company.
Induction generators shall have static capacitors that provide at least 95% of the
magnetizing current requirements of the induction generator field. (Capacitors shall not
be so large as to permit self-excitation of the gf's generator field).

e. DC Generators: Direct current generators may be operated in parallel with
the Company's system through a synchronous invertor. The invertor must meet all
criteria in these rules.

9. Metering: The actual metering equipment required, its voltage rating, number of
phases, size, current transformers, potential transformers, number of inputs and associated
memory is dependent on the type, size and location of the electric service provided. In
situations where power may flow both in and out of the qfs system, power flowing into the gf's
system will be measured separately from power flowing out of the qfs system.

Continued to Sheet No. 8.745

ISSUED BY: J. B. Ramil, President DATE EFFECTIVE: March 30, 1999

ORDER NO. PSC-2023-0179-PAA-EQ Attachment A
DOCKET NO. 20230041-EQ Page 114 of 114
PAGE 119