Exhibit 10.11.5
AMENDMENT NO. 8
TO
POWER CONTRACT
AMENDMENT NO. 8, dated as of the 1st day of June 2003, to the Power
Contract dated June 30, 1959, as heretofore amended and revised effective
June 2, 1975, October 1, 1980, April 1, 1985, May 6, 1988, June 26, 1989,
July 1, 1989 and February 1, 1992, between Yankee Atomic Electric Company
("Yankee"), a Massachusetts corporation, and ______________("Customer"),
a Massachusetts corporation (the "Power Contract").
WITNESSETH
WHEREAS, pursuant to the Power Contract, Yankee supplied to the
Customer and, pursuant to separate power contracts substantially identical
to the Power Contract except for the names of the parties, to the other
stockholders of Yankee, each of whom is contemporaneously entering into an
amendment to its power contract which is identical hereto except for the
necessary changes in the names of the parties, all of the capacity and
electric energy available from the nuclear generating unit owned by Yankee
t a site in Rowe, Massachusetts (such unit, together with the site and all
related facilities owned by Yankee, being herein referred to as the "Plant");
and
WHEREAS, the parties to the Power Contract and the Federal Energy
Regulatory Commission, which has regulatory jurisdiction over the Power
Contract, have consistently recognized that the cost of the capacity and
electric energy sold under the Power Contract necessarily included the costs
of shutting down, removing from service and decommissioning the Plant after
its useful life had ended and the parties have heretofore incorporated in the
Power Contract provisions designed to achieve that result, whether or not the
Plant produced electricity and whether or not the Plant operated for the full
term of the Facility Operating License; and
WHEREAS, Section 6 of the Power Contract allows Yankee to collects
its costs of decommissioning the Plant from the Customer and the
other stockholders of Yankee through accruals to a reserve fund, with
accruals made over a period extending to July 9, 2000; and
WHEREAS, Section 11 of the Power Contract provides that, upon
authorization by its board of directors of a uniform amendment to all customer
power contracts, Yankee shall have the right to amend the provisions of Section
6 of the Power Contract by serving an appropriate statement of such amendment
upon the Customer and filing the same with the Federal Energy Regulatory
Commission, and that the amendment shall thereupon become effective on the date
specified therein, subject to any suspension order duly issued by such agency;
and
WHEREAS, the estimated costs of completing the decommissioning of the
Plant have increased such that Yankee has determined that additional funding
under Section 6 of the Power Contract is required to pay for projected future
decommissioning costs; and
WHEREAS, the parties to the Power Contract desire to amend Section 6 of
the Power Contract to allow for accruals to be made to the decommissioning fund
established under the Power Contract to extend to January 1, 2011 so that the
costs of decommissioning the Plant can be met through the fund.
NOW, THEREFORE, in consideration of the above, the parties hereto agree
that the Power Contract is hereby amended as follows:
1. Terms used herein and not defined shall have the meanings set forth
in the Power Contract.
2. Section 6 of the Power Contract is hereby amended as follows: The
phrase "provided, however, that if a decision is made to cease electricity
production at the plant prior to July 9, 2000, then the accruals to the reserve
referred to in clause (b) shall be made over a period extending to July 9,
2000" is amended to read: "provided, however, that if a decision is made to
cease electricity production at the plant prior to July 9, 2000, then the
accruals to the reserve referred to in clause (b) shall be made over a period
extending to January 1, 2011."
3. Section 6 of the Power Contract is hereby amended as follows: The
sentence "The aggregate amounts of the annual accrual to the decommissioning
reserve shall be as from time to time approved by the Federal Energy Regulatory
Commission, such amounts to be accrued in equal monthly installments" is
amended to read: "The amounts of the accrual to the decommissioning reserve
shall be as from time to time approved by the Federal Energy Regulatory
Commission. The levels of such accruals may vary from year to year, but for
each such year the accruals will be collected in equal monthly installments."
4. This Amendment shall become effective as of the date first above
written, subject to any suspension order duly issued by the Federal Regulatory
Commission.
5. This Amendment may be executed in any number of counterparts, all of
which together shall constitute one and the same instrument.
WITNESS WHEREOF, the parties hereto have caused their respective duly
authorized representative to execute this Amendment on their behalf as of the
date first above written.
YANKEE ATOMIC
ELECTRIC COMPANY PURCHASER
_____________________________ ____________________________
Name: Name:
Title: Title:
Address: Address: