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<br />Mr. A. M. Gabiola <br />August 2, 1982 <br />Page Three <br /> <br />4. Contract Term <br />Contracts represent uti 1 i ty resources. Resources in thi s era can <br />not be integrated into planning and truly considered long-term or <br />firm if they have less than 20 years of availability and duration. <br />In addition, the administrative burden of this process on Western <br />and the customers is such that a twenty year contract term would be <br />more effi ci ent. <br />Twenty year contracts with a pro rata adjustment of all CRSP <br />allocations at the end of ten years, based on projected changes in <br />hydrological conditions for .the second ten-year period of the <br />contract term, should be admi"istratively satisfactory to Western <br />and the contractors. <br /> <br />5. Classes of Service <br />Hydro generated energy in excess of contract commitments should be <br />made available to all existing preference contractors of CRSP power <br />and energy, at the then current CRSP firm energy rate. <br /> <br />6. CRSP Load Factor <br />CRSP power should be marketed at a seasonal load factor of at least <br />58.2%. Existing CRSP customers rely on the 58.2% load f}ctor energy <br />to serve a portion of their loads. <br /> <br />11 <br />