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<br />Noncompliance with the contractual provision may <br />result in a penalty of the loss of all or a part <br />of that entity's contract rate of delivery and <br />associated energy. <br /> <br />-----... <br /> <br />(4) Other special eligibility requirements. One of <br />the comments Western has received on the issue of <br />eligibility requirements is centered on the <br />encouragement of conservation and the development <br />of renewable energy resources. The Environmental <br />Defense Fund and the National Wildlife Federation <br />have suggested that Federal hydropower be sold to <br />those preference entities that develop the best <br />conservation and renewable energy programs. Under <br />their approach, conservation would become an <br />eligibility criterion rather than a goal to be <br />encouraged after an allocation is made and a <br />contract signed. <br /> <br />Western shares with these commentors a desire to <br />encourage meaningful conservation efforts and the <br />development of alternative methods for the <br />generation of power. However, Western is <br />convinced at the present time that its existing <br />conservation and renewable energy program is <br />effective in attaining national and agency <br />conservation goals. In the absence of an <br /> <br />75 <br />