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9. If the on-site generator fails to perform or the load is not reduced to the PDL during <br />any calendar month, the Customer will not receive the monthly demand credit. If this <br />failure to perform occurs during June, July, or August a penalty fee may be assessed. <br />If the on-site generator fails to perform or the load is not reduced to the PDL more <br />than two times in any calendar year, ERMiJ reserves the right to remove the <br />Customer from the Program. <br />10. The generator installation or method used to interrupt load must conform to <br />ERMU service requirements, and must conform to all local and national safety <br />codes. <br />11. The Customer must continue to purchase all electric energy and electric <br />energy delivery services from ERMU for the contract period. <br />INCENTIVE: Customers under contract to intemtpt load down to a PDL, or with operational <br />on-site generation participating in this Program will receive monthly credits based on the amount <br />of electric demand (kW) which can be interrupted or transferred from ERMU's delivery system <br />to the on-site generator. The monthly credit varies by season as follows: <br />Monthly Credit Per KW Transferred* <br />Summer (June, July and Aug) $12.00 per kw <br />Winter (Dec, Jan, and Feb) $ 7.50 per kw <br />Spring/Fall (Sept, Oct, Nov, $ 4.00 per kw <br />Mar, Apr, and May) <br />*Credit applies only during months in which Customer interrupts or can interrupt load <br />down to the PDL or when the Customer's generator is fully operational and/or operates <br />within limits prescribed in the Agreement. <br />CREDIT DETERMINATION: Customer's monthly demand credit shall be based on the <br />amount of load which can be either interrupted or transferred from ERMtJ's delivery system to <br />the Customer's on-site generator at a time specified by ERMU or its designated agent. There <br />must be sufficient load to interrupt or transfer to the standby generator between the hours of 4 <br />PM and 9 PM to allow for a reduction of at least 100 kW. <br />Compensation to Customer shall be paid as a credit applied to Customer's monthly electric bill <br />from ERMU, and shall not be paid to Customer in cash. The monthly credit during control shall <br />be determined by multiplying the coincidental peak demand transferred to the generator or <br />interrupted down to the PDL by the appropriate seasonal rate in effect for that month as stated <br />above. In the event no control is deemed necessary, the monthly credit shall be determined by <br />multiplying the coincidental peak demand that could be transferred to the generator or <br />interrupted down to the PDL by the appropriate seasonal rate in effect for that month as stated <br />above. Coincidental Peak Demand is ERMU's monthly billing peak and is coincidental with <br />ERMU's wholesale power suppliers monthly peak. <br />No other credits or financial incentives will be provided by ERMII to the Customer participating <br />in this Program. <br />METERING: The Basic Monthly Charge will be $ ,and it covers the cost of metering and <br />administrative costs. This charge is subject to change if additional special metering is required <br />by the customer or ERMU's wholesale power supplier. ERMU will retain ownership of and <br />maintenance for. all special metering required to administer this Program. <br />Revised 12/07 <br />