Title
Approval of Modification 21 to the Electric Energy and Power Coordination Agreement (ECA) Between the Incorporated County of Los Alamos and the United States Department of Energy (DOE).
Recommended Action
I move that the Board of Public Utilities approve this Modification 21 to the Electric Coordination Agreement as presented and forward to Council with a recommendation for approval.
Staff Recommendation
Staff recommends approval as presented.
Body
The Power Pool was established through the Electric Energy and Power Coordination Agreement (ECA) between Los Alamos County and The Department of Energy in 1985. (Note: In 2002 the National Nuclear Security Administration was established as a branch of the Department of Energy and took over responsibility for the ECA. The acronyms NNSA, DOE, and LANL may be used interchangeably throughout this discussion). Through the contract, both parties contribute the power from and costs of each of the respective “Pool Approved Resources” into the Pool, and those costs are then allocated back to the parties pro rata according to each party’s usage. The contract has been renewed continuously since 1985. Historically the County has contributed approximately 75% of the resources, while the Lab has accounted for approximately 80% of the load.
Los Alamos is considering entering into a purchased power agreement with Uniper Global Commodities for 15 MW Firm Power. The offering is for a primarily renewable resource, yet is offered as a firm, around the clock product, at a very competitive fixed price point of $36.67/MWh with no escalator for the fifteen year life of the PPA. This project was initially discussed with the Operating Committee at the October 30, 2019 Operating Committee meeting and the attached MOD21 to the Electric Coordination Agreement recognizing the project as a Pool Approved Resource was approved by the Operating Committee on January 7, 2020.
Alternatives
If the proposed MOD 21 is not ap...
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