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<br />Hoover Power P1 ant Act sti pu1 ates that the requi red contract art i cl e <br />shall: contain time schedules for meeting program goals, but did not <br />find a basis for making the conservation and renewable energy program <br />a precondition of the power sales contract. <br /> <br />Western further believes that the best conservation program is one <br />that provides for an ongoing evaluation of the cost effectiveness of <br />various technologies and methods in a variety of utility and consumer <br />environments. The 1985 G&AC provide for these eventualities, while a <br />denial of Federal power will not encourage prospective C&RE <br />activities. It is further noted that the existing contract article <br />requi~es the customer to submit an acceptable conservation program to <br />Weste~n within 12 months after the date of execution of the <br />contract. Western fully intends to complete the contract negotiations <br />for these allocations at least 1 full year before delivery of the <br />actua l' power bei ng all ocated, thus for those recei vi ng all ocati ons <br />little real benefit in terms of the timing of required customer <br />conservation programs would actually be realized from a precontract <br />conservation requirement. <br /> <br />Western concludes that the existing conservation requirements are <br />appropriate, consistent with the requirements of the Hoover Power <br />Plant Act of 1984 and will continue to be successful in meeting the <br />objectives of an effective conservation and renewable energy <br />program. However. approximately 65 GWh of firm energy with roughly 30 <br />MW of firm capacity in both seasons have been set aside for use in a <br /> <br />29 <br />