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r f'\ I"'r..... I; V ,j ;) .1(j ~I E THO POL I T .\ N W.\ T E R D 1ST R I C T made by the Secretary of the Interior for the benefit of the Metro- politan Water District. The rate to be paid by Defense Plant Corporation is the current rate for firm energy at Boulder Dam, now 1.172 mills per kwhr, plus generating charges computed in accordance with the general regulations for sale of power at Boulder Dam. When operating at full capacity, the magnesium plant will require approximately 200,000 kw and is expected to use 1,500,000,- 000 kwhr annually. To provide adequate generating and standby capacity, an additional unit designated N-7 will be installed in the Boulder power plant. During the term of the magnesium agree- ment this unit will be pooled with the two present units serving the District's load. The annual charges of the three generator;; are to be allocated to Defense Plant Corporation and the District in proportion to the kilowatthours taken by the respective parties with the obligation of each as a minimum. Upon the termination of the magnesium agreement, the Defense Plant Corporation is to assume all charges for unit N-7 until the unit is required for the service of the District, The District is required to assume the charges for the unit not later than June I, 1966. A con;;iderable amount of energy for the magncsium plant will be transmitted from Parker power plant over the District's tran;;- misoion line which, though adequate for District pumping service, was not de;;igned for the more exacting service of magnesium metallurgy. Service to the magnesium plant requires the installa- tion of ground wires on this line and the Defense Plant Corpora- tion is to pay the cost of such an installation to be designed, installed, and maintained by the District. The estimated cost of this work is $347,000. The cost of voltage regulators at the pump- ing plants, necessitated by the magnesium plant load, also is to be paid by the Defense Plant Corporation. As one of the considera- tions of the agreement, the District permits the United States to use the exces;; capacity of existing District transmission lines for the transmission of power generated at Parker power plant during the period when the United States has the exclusive use and bene- fit of the District's unit No.3 or No.4 in that plant. The Defense Plant Corporation agreement provides that the Southern California Edison Company and the Bureau of Power and Light, Department of Water and Power, of the City of Los Angeles will furnish standby generator service for the magnesium plant, and fixes the compensation to be paid for such service. ~