- 67 -
The interchange contract specifically required FPL to
construct a 230-kV transmission line from its Duval substation
near Baldwin, Florida, to a point on the Florida-Georgia State
line.74 FPL completed the 230-kV transmission line required by
the interchange contract between November 1979 and January 1980.
In addition, the contract required FPL to provide communications,
telemetering, and automatic generation control equipment,
together with such other facilities as may be required for load
dispatching purposes and for control of power flow and reactive
plan. FPL claims ITCs for the acquisition and construction of
equipment associated with the Southern company supply contract in
the 1988, 1989, and 1990 taxable years.
Subsequent to establishing the interconnection with the
Southern companies under the interchange contract, FPL was
interested in buying more power from the Southern companies.
Effective February 19, 1981, the Southern companies and FPL
entered into a unit power sales agreement (power agreement) under
which the Southern companies sold power to FPL. The power
agreement continued until May 31, 1995, “or such extended period
agreed to by the parties under the provisions” of the contract.
Also, on February 19, 1981, the Southern companies and FPL
entered into amendment No. 1 to the interchange contract.
74 The Southern companies were required to construct a 230-
kV transmission line on their side of the Florida-Georgia State
line to deliver the power.
Page: Previous 57 58 59 60 61 62 63 64 65 66 67 68 69 70 71 72 73 74 75 76 NextLast modified: May 25, 2011