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Docket No. 170077 -EQ Date: June 29, 2017 (Continued from Sheet No.10.303) Eighth Revised Sheet No. 10-304 Cancels Seventh Attachment A Page 26 of 42 For any Dispatch Hour the firm energy rate shall be, on an hour -by -hour basis, the Company's Avoided Unit Eneigy Cost. For any other period during which energy is delivered by the QS to FPL, the firm energy rate in cents per kilowatt hour (d)KWh) shall be the following on an hour -by -hour basis: the lesser of (a) the as -available energy tate calculated by FPL in accordance with FPSC Rule 25-17.0825, FAC, and FPL's Rate Schedule COG -1, as they may each be amended from time to time and (b) the Company's Avoided Unit Energy Cost. The Company's Avoided Unit Energy Cost, in cents per kilowatt-hour (p/KWh) shall be defined as the product oe (a) the fuel price in S n triM as determined fmm gas prices published in Platts Inside FERC Gas Market Report, first of the month posting for Florida Gas Transmission Zone 3, plus all charges, surcharges and percentages that are in effect from time to time for service under Gulfshcam Natural Gas System's Rate Schedule FTS; and (b) the average annual heat rate of the Avoided Unit, plus (c) an additional payment for variable operation and maintenance expenses which will be escalated based on the actual Producer Price Index. All energy purchases shall be adjusted for losses from the point of metering to the Delivery Point. The calculation of the Company's avoided energy cost reflects the delivery of energy from the geographical area of the Company in which the Delivery Point of the QS is located. Oration D- Fixed Firm lincrmv Payments Sartiag as early as the In Service Date of tlt� Fceiiiri Thecalculation of payments to the QS for energy delivered to FPL may include an adjustment at the election of the QS in order to implement the provisions of Rule 25-17.250 (6) (b), F.A.C. Subsequent to the determination of full avoided cost and subject to the provisions of Rule 25-17.0832(3) (a) through (d), F.A.C., a portion of the base energy costs associated with the avoided unit, mutually agreed upon by the utility and renewable energy generator, Shall be fixed and amortised on a present value basis over the term of the contract starting, at the election of the QS, as early as the in-savice date of the QS. "Base energy costs associated with die avoided unit means the energy costs of the avoided unit to the extent the unit would have operated. The portion of the base energy costs mutually agreed to by the Company and the QS shall be specified in Appendix E. The Company will provide the QS with a schedule of "Fixed Energy Payments" over the term of the Standard Offer Contract based on the applicable information specified in Appendix E ESTIMATED AS -AVAILABLE ENERGY COST As required in Section 25-17.0832,, F.A.C. as -available energy cost projections until the in-service date of the avoided unit will be provided within 30.days of receipt by FPL of a written request for such projections by any interested person. ESTIMATED UNIT FUEL COST As required in Section 25-17.0832, F.A.C. the estimated unit fuel costs associated with The Company's Avoided Unit and based on current estimates of the price of natural gas will, be provided within 30 days of s written request for such an estimate. (Continued on Sheet No. 10.305) Issued by: S. L. Romig, Director, Rates and Tariffs Effective: September 13,2016' -31- 1.3-7