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<br />. . <br />of a) the appraised value of (he right (0 so use the Pipeline rights-of-way at <br />that time or b) one-half of tbe acrual cost of aCQuisition of the permanent <br />Pipeline righes-of-way plus all carrying coses including interest at nine <br />percent (9%) from the date of acquisition of the rights-of-way through the <br />date of conveyance. The payment shall be divided among the Participanes <br />based upon their contributions to the original coSt of the Pipeline righes-of- <br />way as established in the percentages set forth in Exhibit B. <br /> <br />11. Hydroelectric Power Potential. The SWSP Enterprise shall own all righes <br />to generate hydroelectric power at any location along the Pipeline; provided, <br />however, that generauon of hydroelectric power shall in no way interfere with <br />the delivery of water to the Allottee. Tne Participanes shall have the right to <br />participate in the construction. operation and maintenance of any <br />hydroelectric power generating facilities along the Pipeline by the SWSP <br />Enterprise. and to the extent they do. they shall be entitled to receive revenues <br />generated thereby, but Allottee shall otherwise have no obligation to pay any <br />pan of the cost of construction. operation or maintenance of any such <br />facilities. Allottee shall own all rights to generate hydroelectric power at <br />locations along Allonee' s pipelines which are connecred to but not pan of the . <br />Pipeline. Allottee shall not construct pipelines, hydroelectric power . <br />generating facilities, or any other facilities which are hydraulically connected <br />to the Pipeline without flfSt obtaining prior technical approval for such <br />facilities in writing from the SWSP Enrerprise to ensure thar such facilities <br />do not interfere with the hydraulic characteristics or operations of the <br />Pipeline, or otherwise potentially damage the Pipeline. Should the Allonee' s <br />generation of hydroelectric power or operation of any other facilities which <br />are hydraulically connected to the Pipeline interfere with the intended <br />operation of the Pipeline, Allottee shall cease operation of those facilities <br />upon receiving wrinen notification of interference by the SWSP Enterprise <br />until modifications can be made to eliminate any interference. Except as <br />provided in paragraph l.c. above, Allonee shall not construCt or install any <br />modifications to facilities which are hydraulically connected to the Pipeline <br />without flfSt obtaining prior technical approval for such modifications in <br />writing from the SWSP Enterprise to ensure thar such facilities do not <br />interfere with the hydraulic characteristics or operations of the Pipeline, or <br />otherwise potentially damage the Pipeline. <br /> <br />5. Cost Allocation Methodolol?:V. All coses for. planning, design, right-of-way <br />acquisition, construction, administration, operation, maintenance. repair and rehabilitation of the <br />Pipeline will be called General Pipeline Coses. Allocree's share of General Pioeline Costs is <br />Allonee's share ofehe capacity of the Pipeline as set forth on Schedule B. Allonee;s Construction <br />COStS shall be the amount detennined to be due hereunder from Allocree after calculating AJlocree' s <br /> <br />,VlANAGEMENT/AGREEME'ITS/ALLOTMNT.FMG 8 <br />