6.10.12  Attachment 6 – Rate Mechanism for the Recovery by LIPA

6.10.12.1  Applicability

This Attachment 6 to Rate Schedule 10 of the ISO OATT sets forth the LIPA RTFC charge and reports the annual transmission revenue requirement (“ATRR”) for the recovery of costs for projects undertaken by the Long Island Power Authority (“LIPA”) which, in accordance with procedures set forth in Section 31.5.5.4.5 of Attachment Y to the ISO OATT, have been calculated using the rate recovery mechanism reviewed and approved by the LIPA Board of Trustees, pursuant to Article 5, Title 1-A of the New York Public Authorities Law, Section 1020-f(u) and 1020-s.  The projects for which LIPA is recovering costs under this Attachment 6 to Rate Schedule 10 of the ISO OATT are as follows:

• LIPA’s Designated Public Policy Project(s) that are part of the Public Policy Transmission Project selected by the ISO Board of Directors as identified in the Long Island Offshore Wind Export Public Policy Transmission Plan dated June 13, 2023, and any Designated Network Upgrade Facilities associated with such Public Policy Transmission Project selected by the ISO Board of Directors and for which LIPA is the Designated Entity (“LIPA Long Island PPTN Project Facilities”).

For purposes of this Attachment 6 to Rate Schedule 10 of the ISO OATT, each project identified above (including all applicable components and facilities of each such identified project) shall each constitute an applicable “Eligible Project” and LIPA is solely recovering costs for each such Eligible Project through the LIPA RTFC.

6.10.12.2  Project Revenue Requirement

The ATRR for each Eligible Project is determined using the formula rate template and formula rate implementation protocols approved by the LIPA Board of Trustees, pursuant to Article 5, Title 1-A of the New York Public Authorities Law, Section 1020-f(u) and 1020-s.  The formula rate template and formula rate implementation protocols will be posted on the LIPA website.

The ATRR for each Eligible Project will be stated separately within Table 1 of Section 6.10.12.4 below and there will be no duplicative recovery of costs as between the revenue requirements included in the LIPA RTFC, the LIPA Wholesale TSC revenue requirement or any other LIPA project-specific revenue requirement for projects planned and constructed through LIPA’s participation in the Comprehensive System Planning Process.  The ATRR for each Eligible Project will be applicable for a given rate year (i.e., July 1 of a given calendar year through June 30 of the succeeding calendar year).  The ATRR for each Eligible Project will be updated annually through an informational filing submitted to the Commission on or prior to June 30.

6.10.12.3  Project Cost Allocation 

 The costs of each Eligible Project shall be allocated to Responsible LSEs as follows:

• Long Island PPTN Project Facilities: For LIPA Long Island PPTN Project Facilities, the default load ratio share methodology cost allocation applies, and eligible costs will be allocated volumetrically based on Actual Energy Withdrawals by all Load Serving Entities, but excluding Withdrawal Billing Units for Exports and Wheels Through. 

6.10.12.4  LIPA RTFC Calculation Information

Table 1 – LIPA RTFC Calculation Information