HomeMy WebLinkAbout2014-182AFPL.
March 26, 2014
INDIAN RIVER COUNTY BOCC
1801 27th St
VERO BEACH FL 32960
ATTN: Terry Southard
8.Q.
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Attention: 2014 rate termination opportunity
As we've discussed, recent changes in Environmental Protection Agency (EPA) rules
require owners of generators to comply with new, more stringent emission standards.
Customers who rely on these generators to participate in Florida Power & Light
Company's commercial load management programs must comply with the new rules.
Compliance may require that a generator be retrofitted with additional emission controls
or may require the purchase of a new generator.
Participants in ,FPL's commercial load management programs receive significant
financial benefits from these programs and we believe most participants will find that
these savings allow for a relatively quick payback for the costs associated with any
EPA -required equipment upgrades.
Normally, these rates require long termination notices — five years for Commercial /
Industrial Load Control (CILC) and Commercial Demand Reduction (CDR) and three
years for Curtailable Service (CS) — for a customer to end participation.
However, we recognize that the new EPA rules may make it cost -prohibitive for some
customers to continue voluntary participation in these programs. We want to reasonably
accommodate customer requests to exit the rate due to the impact of the EPA's new
rules. Therefore, we are offering affected customers an opportunity to discontinue
participation in these rates anytime in 2014 without incurring early termination charges.
Please evaluate your decision very carefully. As stated, your financial savings from
participating in these rates are significant. But, if you believe termination is necessary,
please complete the enclosed form and return it to me no later than December 31, 2014.
Please contact:me if you have any questions. Thank you.
Sincerely,
Tom Kunz
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FPL.
Florida Power & Light
Commercial / Industrial Load Control
Commercial / Industrial Demand Reduction
Curtailable Service
2014 EPA Change in Regulations
Rate
Termination Opportunity and Request Form
Summary
Recent federal regulations require owners of generators to comply with new emission
standards adopted by the Environmental Protection Agency (EPA). The standards are
known as (EPA) 40 CFR Part 63 Subpart 7777 and 40 CFR part 60, subparts 1111
and JJJJ. These new rules impact reciprocating internal combustion engines (RICE) of
all sizes, including generators participating in utility -sponsored demand side
management programs. It is the responsibility of generator owners to review EPA's
RICE rules and ensure that their generators comply with these new rules. If you use a
generator to participate in FPL's voluntary Commercial/Industrial Load Control (CILC),
Commercial Demand Reduction (CDR) or Curtailable Service (CS) rates, you may be
affected by these new rules.
We encourage customers to carefully evaluate their specific circumstances with respect
to the new EPA regulations. Many customers are likely to find that continuing
participation in the CILC/CDR/CS rate will be cost-effective taking into account the
significant annual savings that these rates offer along with the costs of complying with
the new EPA regulations. But, for some customers, the costs of complying with the new
rules may not make continued participation cost-effective. The rates typically require
termination notice of five years for CILC or CDR and three years for CS. In light of the
significant compliance challenges the new rules may present to some customers, FPL is
providing customers an opportunity to exit the rate due to the impact of the new EPA
rules.
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Customers who wish to exit the CILC/CDR/CS rates due to EPA rule compliance issues
may do so in 2014 without incurring early termination charges. If you determine that
termination is necessary, please submit this completed form to your FPL account
manager no later than December 31st, 2014.
If you do not elect the termination option, then:
1. Your service will continue on the currently applicable rate
2. Your generator must comply with all local, state and federal regulations; and
3. All other rights and obligations under FPL's CILC/CDR/CS rates, as specified in
the applicable agreement, remain in effect
Termination Request
The termination option allows you to discontinue participation in FPL's CILC/CDR/CS
rate upon receipt of the request by FPL. If the termination option below is chosen, your
FPL account will be returned to the applicable Firm rate and you will no longer be
subject to participating in FPL load control events.
I choose to Terminate the FPL account(s) listed below from the CILC/CDR/CS rate
and be placed on an applicable Firm service rate effective with the next billing period
following the date of this request. Deadline for submitting this request is
December 31St 2014.
Signature Wesley S. Davis, Chairman
On Behalf Of Indian River County
Board of County Commissioners
FPL Account(s) Number
77- /7 -
4,9�'fR COUNr•••j
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