Maine Yankee Atomic Power Company - Page 5




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          flexibility in all of its contracts, the actual number and                  
          specifications of the fuel assemblies ordered were established by           
          purchase order and paid pursuant to invoices.                               
          Power Contracts and Amendments                                              
               In regards to the operation and maintenance of the plant,              
          the power contracts entered into between petitioner and owners,             
          who were also purchasers, state:                                            
                    Maine Yankee [petitioner] will operate and                        
               maintain the Unit [plant] in accordance with good                      
               utility practice under the circumstances and all                       
               applicable law, including the applicable provisions of                 
               the Atomic Energy Act of 1954, as amended, and of any                  
               licenses issued thereunder to Maine Yankee.  Within the                
               limits imposed by good utility practice under the                      
               circumstances and applicable law, the Unit will be                     
               operated at its maximum capability and on a long hour                  
               use basis.                                                             
                    Outages for inspection, maintenance, refueling and                
               repairs and replacements will be scheduled in                          
               accordance with good utility practice and insofar as                   
               practicable shall be mutually agreed upon by Maine                     
               Yankee and the Purchaser.  In the event of an outage,                  
               Maine Yankee will use its best efforts to restore the                  
               Unit to service as promptly as practicable.  [Emphasis                 
               added.]                                                                
               Amendments to the power contracts were made in 1984.  The              
          purpose of “Amendment No. 1 to Power Contract” dated March 1,               
          1984, was to incorporate the costs of decommissioning the plant             
          into the contractual payments from the owners.  The purpose of              
          “Amendment No. 2 to Power Contract” dated January 1, 1984, was to           
          change the formula for computing charges to the purchasers in               
          order to allow for a higher return on equity than was provided in           






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Last modified: May 25, 2011