Florida Public Service Commission native order document 07342-2024

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FILED 7/8/2024
DOCUMENT NO. 07342-2024
FPSC - COMMISSION CLERK

BEFORE THE FLORIDA PUBLIC SERVICE COMMISSION

In re: Petition for approval of renewable DOCKET NO. 20240055-EQ
energy tariff and standard offer contract, by ORDER NO. PSC-2024-0231-PAA-EQ
Florida Power & Light Company. ISSUED: July 8, 2024

The following Commissioners participated in the disposition of this matter:

MIKE LA ROSA, Chairman
ART GRAHAM
GARY F. CLARK
ANDREW GILES FAY
GABRIELLA PASSIDOMO

NOTICE OF PROPOSED AGENCY ACTION
ORDER APPROVING FLORIDA POWER & LIGHT COMPANY’S REVISED
RENEWABLE ENERGY TARIFF AND STANDARD OFFER CONTRACT

BY THE COMMISSION:

NOTICE is hereby given by the Florida Public Service Commission (Commission) that
the action discussed herein is preliminary in nature and will become final unless a person whose
interests are substantially affected files a petition for a formal proceeding, pursuant to Rule 25-
22.029, Florida Administrative Code (F.A.C.).

Background

Section 366.91(3), Florida Statutes (F.S.), requires each investor-owned utility (IOU) to
continuously offer to purchase capacity and energy from renewable generating facilities (RF) and
small qualifying facilities (QF). Commission Rules 25-17.200 through 25-17.310, F.A.C.,
implement the statute and require each IOU to file with us, by April 1 of each year, a revised
standard offer contract based on the next avoidable fossil-fueled generating unit of each
technology type identified in the utility’s current Ten-Year Site Plan (TYSP). On April 1, 2024,
Florida Power & Light Company (FPL) filed a petition for approval of its amended standard
offer contract based on its 2024 TYSP. This Commission has jurisdiction over the amended
standard offer contract, pursuant to Sections 366.04 through 366.055, and 366.91, F.S.

Analysis

Section 366.91(3), F.S., and Rule 25-17.250, F.A.C., require that an IOU continuously
make available a standard offer contract for the purchase of firm capacity and energy from RFs
and small QFs with design capacities of 100 kilowatts (kW) or less. Pursuant to Rules 25-

ORDER NO. PSC-2024-0231-PAA-EQ
DOCKET NO. 20240055-EQ
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17.250(1) and (3), F.A.C., the standard offer contract must provide a term of at least 10 years,
and the payment terms must be based on the utility’s next avoidable fossil-fueled generating unit
identified in its most recent TYSP or, if no avoided unit is identified, its next avoidable planned
purchase. While FPL’s 2024 TYSP does not feature an avoidable fossil-fueled generating unit or
planned purchases that could be deferred during the planning period, FPL has identified a 1,991
megawatt (MW) combined cycle unit with a projected in-service date of June 1, 2034, as the next
avoidable planned generating unit based on its current planning process. In order to comply with
the Rule, we have previously approved using a unit outside of the TYSP planning period as the
avoided unit for standard offer contract purposes.1
Under FPL’s standard offer contract, the RF/QF operator commits to certain minimum
performance requirements based on the identified avoided unit, such as being operational and
delivering an agreed upon amount of capacity by the in-service date of the avoided unit. In this
way, the RF/QF thereby becomes eligible for capacity payments, in addition to payments
received for energy. The standard offer contract may also serve as a starting point for negotiation
of contract terms by providing payment information to an RF/QF operator in a situation where
one or both parties desire particular contract terms other than those established in the standard
offer.
In order to promote renewable generation, this Commission requires each IOU to offer
multiple options for capacity payments, including the options to receive early or levelized
payments. If the RF/QF operator elects to receive capacity payments under the normal or
levelized contract options, it will receive as-available energy payments only until the in-service
date of the avoided unit (in this case June 1, 2034). Thereafter, they begin receiving capacity
payments in addition to firm energy payments. If either the early or early levelized option is
selected, then the operator will begin receiving capacity payments earlier than the in-service date
of the avoided unit. However, payments made under the early capacity payment options tend to
be lower in the later years of the contract term, because the net present value (NPV) of the total
payments must remain equal for all contract payment options.
Table 1 below contains FPL’s estimates of the annual payments for each payment option
available under the revised standard offer contract to an operator with a 50 MW facility
operating at a capacity factor of 94 percent, which is the minimum capacity factor required under
the contract to qualify for full capacity payments. Normal and levelized capacity payments begin
with the projected in-service date of the avoided unit (June 1, 2034) and continue for 10 years,
while early and early levelized capacity payments begin four (4) years prior to the in-service
date, or 2030 in this case.
1 E.g., In re: Petition for approval of renewable energy tariff & standard offer contract, by Fla. Power & Light Co.,
Docket No. 20180083-EQ, Order No. PSC-2018-0316-PAA-EQ (Fla. PSC June 20, 2018); see also In re: Petition
for approval of revised standard offer contract & a revised accompanying rate schedule QS-2, by Fla. Power &
Light Co., Docket No. 20220072-EQ, Order No. PSC-2022-0203-PAA-EQ (Fla. PSC June 9, 2022); In re: Petition
for approval of renewable energy tariff & standard offer contract, by Fla. Power & Light Co., Docket No.
20200114-EQ, Order No. PSC-2020-0212-PAA-EQ (Fla. PSC June 26, 2020); In re: Petition for approval of new
standard offer for purchase of firm capacity & energy from renewable energy facilities or small qualifying facilities
& rate schedule QS-2, by Gulf Power Co., Docket No. 20200115-EQ, Order No. PSC-2020-0213-PAA-EQ (Fla.
PSC June 26, 2020).

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DOCKET NO. 20240055-EQ
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Table 0 - Estimated Annual Payments to a 50 MW Renewable Facility
(94% Capacity Factor)
Year
Energy
Payment
Capacity Payment
Normal 	Levelized 	Early Early
Levelized
$(000) 	$(000) 	$(000) 	$(000) 	$(000)
2025 	12,342 	- 	- 	- 	-
2026 	14,585 	- 	- 	- 	-
2027 	15,291 	- 	- 	- 	-
2028 	15,058 	- 	- 	- 	-
2029 	17,741 	- 	- 	- 	-
2030 	15,811 	- 	- 	1,779 	1,989
2031 	13,216 	- 	- 	3,086 	3,409
2032 	13,126 	- 	- 	3,151 	3,409
2033 	14,806 	- 	- 	3,216 	3,409
2034 	15,877 	3,075 	3,336 	3,283 	3,409
2035 	16,332 	5,336 	5,718 	3,352 	3,409
2036 	15,161 	5,447 	5,718 	3,421 	3,409
2037 	16,969 	5,560 	5,718 	3,493 	3,409
2038 	18,061 	5,676 	5,718 	3,565 	3,409
2039 	20,314 	5,794 	5,718 	3,639 	3,409
2040 	20,694 	5,915 	5,718 	3,715 	3,409
2041 	21,951 	6,038 	5,718 	3,793 	3,409
2042 	22,091 	6,164 	5,718 	3,872 	3,409
2043 	23,705 	6,292 	5,718 	3,952 	3,409
2044 	26,567 	2,644 	2,383 	1,661 	1,420
Total 	349,700 	57,944 	57,183 	48,978 	47,728
Total (NPV) 	157,383 	18,252 	18,252 	18,252 	18,252
Source: FPL’s Response to Commission Staff’s First Data Request2
FPL’s 	amended 	standard 	offer 	contract, 	in 	type-and-strike 	format, 	is 	included 	as
Attachment A to this Order. The changes made to FPL’s tariff sheets are consistent with the
updated avoided unit. Revisions include updates to calendar dates and payment information,
which reflect the current economic and financial assumptions for the avoided unit.
Decision
We find that the provisions of FPL’s renewable energy tariff and amended standard offer
contract conform to the requirements of Rules 25-17.200 through 25-17.310, F.A.C. The
amended standard offer contract offers multiple payment options so that a developer of
renewable generation may select the payment stream best suited to its financial needs. Therefore,
we approve the renewable energy tariff and amended standard offer contract.
2 In re: Petition for approval of renewable energy tariff & standard offer contract, by Fla. Power & Light Co.,
Docket No. 20240055-EQ, Document No. 02229-2024 (filed Apr. 22, 2024).

ORDER NO. PSC-2024-0231-P AA-EQ
DOCKET NO. 20240055-EQ
PAGE4
Based on the foregoing, it is
ORDERED by the Florida Public Service Commission that Florida Power & Light
Company's Petition for Approval of a Renewable Energy Tariff and Standard Offer Contract is
GRANTED. The revised renewable energy tariff and amended standard offer contract are
approved as set forth herein. It is further
ORDERED that the provisions of this Order, issued as proposed agency action, shall
become finaJ and effective upon the issuance of a Consummating Order unless an appropriate
petition, in the form provided by Rule 28-106.20 I, F.A.C., is received by the Commission Clerk,
2540 Shumard Oak Boulevard, Tallahassee, Florida 32399-0850, by the close of business on the
date set forth in the "Notice of Further Proceedings or Judicial Review" attached hereto. lt is
fu rther
CMM
ORDERED that in the event this Order becomes final , this docket sha ll be closed.
By ORDER of the Florida Public Service Commission this 8th day of July, 2024.
~~mm~~AN
Florida Public Service Commission
2540 Shumard Oak Boulevard
Tallahassee, Florida 32399
(850) 4 I 3-6770
www .floridapsc.com
Copies furnished: 	A copy of this document is
provided to the parties of record at the lime of
issuance and, if applicable, interested persons.

ORDER NO. PSC-2024-0231-PAA-EQ
DOCKET NO. 20240055-EQ
PAGE 5
NOTICE OF FURTHER PROCEEDINGS OR JUDICIAL REVIEW
The Florida Public Service Commission is required by Section 120.569(1), Florida
Statutes, to notify parties of any administrative hearing that is available under Section 120.57,
Florida Statutes, as well as the procedures and time limits that apply. This notice should not be
construed to mean all requests for an administrative hearing will be granted or result in the relief
sought.
Mediation may be available on a case-by-case basis. If mediation is conducted, it does
not affect a substantially interested person's right to a hearing.
The action proposed herein is preliminary in nature. Any person whose substantial
interests are affected by the action proposed by this order may file a petition for a formal
proceeding, in the form provided by Rule 28-106.201, Florida Administrative Code. This petition
must 	be 	received 	by 	the 	Office 	of 	Commission 	Clerk, 	2540 	Shumard 	Oak 	Boulevard,
Tallahassee, Florida 32399-0850, by the close of business on July 29, 2024.
In the absence of such a petition, this order shall become final and effective upon the
issuance of a Consummating Order.
Any objection or protest filed in this docket before the issuance date of this order is
considered abandoned unless it satisfies the foregoing conditions and is renewed within the
specified protest period.

ORDER NO. PSC-2024-0231-PAA-EQ
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Sbteenth Seventeenth Revised Sheet No, 9.030
FLORIDA POWER & LIGHTCOMPANY Cancels Sixteenth 4feenth Revised Sheet No. 9.030

STANDARD OFFER CONTRACT FOR THE PURCHASE OF
CAPACITY AND ENERGY FROM A RENEWABLE ENERGY FACILITY OR AQUALIFYING
FACILITY WITH A DESIGN CAPACITY OF 100 KW OR LESS (2033-20344 VOIDEDUNIT)

THIS STANDARD OFFER CONTRACT (the “Contract”’) is made and entered___ this day of
. by and between (herein after “Qualified

by the FPSC.

NOW, THEREFORE, for mutual consideration the Parties agree as follows:

(Continued on Sheet No. 9.031)

Issued by: Tiffany Cohen, Exeeuti-eDircetor-Rate Develop +-&-Stratesy VP Financial Planning and Rate Strategy
Effective: dome+3 i

ORDER NO. PSC-2024-0231-PAA-EQ
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Second Revised Sheet No. 9.031
FLORIDA POWER & LIGHTCOMPANY Cancels First Revised Sheet No. 9.031

(Continued from Sheet No.9.030)

1. QS Facility
The QS contemplates, installing operating and maintaining a
KVA generating facility located
at. (hereinafter called the “Facility”). The Facility is designed to
produce a maximum of. kilowatts (“KW”) of electric power at an 85% lagging to 85% leading power factor. The

Facility’s location and generation capabilities are as described in the table below.

Maximum Capability (QW)

Minimum Load

Peaking Capability

Net Output (KW)

Power Factor(%)
Operating Voltage (kV)
Peak Internal Load KW

The following sections (a) through (e) are applicable to Renewable Energy Facilities (“REFs”) and section (e) is only
applicable to Qualifying Facilities with a design capacity of 100 KW or less:

(a) Ifthe QS isa REF, the QS represents and warrants that (1) the sole source(s) of fuel or power used by the Facility
to produce energy for sale to FPL during the term of this Contract shall be such sources as are defined in and

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Hiehteenth Nineteenth Revised Sheet No. 9.032
FLORIDA POWER & LIGHTCOMPANY Cancels EighteenthSeventeenth Revised Sheet No. 9.032

(Continued from Sheet No, 9.031)

(c) If the OS is a REF, the QS shall, on an annual basis and within thirty (30) days after the armiversary date of this Contract
and on an annual basis thereafter for the term of this Contract, deliver to FPL a report certified by an officer of the QS:
ii) stating the type and amount of each source of fuel or power used by the OS to produce energy during the twelve-
month period prior to the anniversary date (the “Contract Year"); and (ii) verifying that one hundred percent (100%)
of all energy sold by the QS to FPL during the Contract Year complies with Sections l(a) and (b) of this
Contract,

“Effective Date”) and shall have the termination date stated in Appendix E, unless terminated earlier in accordance with the provisions
hereof Notwithstanding the foregoing, if the Capacity Delivery Date (as defined in Section 5.5) of the Facility is not accomplished by the
in-service date of the avoided unit, or such later date as may be permitted by FPL pursuant to Section 5 of this Contract, FPL will be
permitted to terminate this Contract consistent with the terms herein without further obligations, duties or hability to the QS.
3 Minimum Specifications

Following are the minimum specifications pertaining to thisContract:

L. The avoided umt (“Avoided Unit”) options on which this Contract is based are detailed in Appendix A.

This offer shall expire on April 126242025.

3. The cate by which firm capacity and energy deliveries from the QS to FPL shall commence is the in-service date of the

Avoided Unit (or such later date as may be permitted by FPL pursuant to Section 5 of this contract) unless the QS chooses a capacity

payment option that provides for early capacity payments pursuant to the terms of this Contract.

4, The period of time over which firm capacity and energy shall be delivered from the OS to FPL is as specified in
Appendix E; provided, such period shall be no less than a minimum of ten (10) years after the in-service date of the Avoided Unit.

5. The following are the minimum performance standards for the delivery of firm capacity and energy by the QS to qualify
for full capacity payments under this Contract:

On Peak * All Hours
Availability 94.0% 94.0%

“8 Performance and On Peak hours shall be as measured and/or deseribed in FPL’s Rate Schedule Q8-2 attached hereto as Appendix

(Continued on Sheet No.9.032.1)

ssue

= -
Effective: Junet3,2623

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FLORIDA POWER & LIGHT COMPANY Original Sheet No.9.033.1

(Continue from Sheet No. 9.033)

5.5.1 Acertificate addressed to FPL from a Licensed Professional Engineer (reasonably acceptable to FPL in all
respects) stating: (a) the nameplate capacity rating of the Facility at the anticipated time of commercial operation,
which must be at least 94% of the Expected Nameplate Capacity Rating; (b) that the Facility is able to generate
electric energy reliably in amounts expected by this Agreement and in accordance with all other terms and
conditions hereof; (c) that Start-Up Testing of the Facility has been completed; and (d) that, pursuant to Section 8.4,
all system protection and control and Automatic Generation Control devices are installed and operational.

ete ey ep pte te eee Ley NE tt Sey a te Nene nat En ee te et aE te tty See ee ete, nba eee tiny

mortgages, deeds of trust, and other writings described in Section 9.7.

5.5.5 FPL has received the Completion/Performance Security ((a) through (e), the “Commercial Operation
Conditions”).

FPL shall have ten (10) Business Days after receipt either to confirm to QS that all of the Delivery Date Conditions
have been satisfied or have occurred, or to state with specificity what FPL reasonably believes has not been
satisfied.

5.6 The QS shall be entitled to receive capacity payments beginning on the Capacity Delivery Date,
provided, the Capacity Delivery Date occurs on or before the in-service date of the Avoided Unit (or such later date
permitted by FPL pursuant to the following sentence). If the Capacity Delivery Date does not occur on or before
the Guaranteed Capacity Delivery Date, FPL shall be entitled to the Completion/Performance Security (as set forth
in Section 9) in full, and in addition, has the right but not the obligation to allow the QS up to an additional five (5)
months to achieve the Capacity Delivery Date. If the QS fails to achieve the Capacity Delivery Date either by (a)

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ore CnOLO ECCT COCO EWS COR EC ICTS, SERCIOTOIOIPED pM ARR Cpa Ce AR en ee ee epee ke ee ey Re Meee Ne ane tee aee

capacity and energy to FPL. One elected by the QS, the capacity payment option cannot be changed during the term of this Contract.

7.3 Payments
Payments due the QS will be made monthly and normally by the twentieth business day following the end of the billing period. A

statement of the kilowatt-hours sold by the QS and the applicable avoided energy rate at which payments are being made shall
accompany the payment to the QS.

(Continued on Sheet No. 9.035)

Issued by: Tiffany Cohen, Director, Rates and Tariffs
Effective: June 9, 2020

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First Revised Sheet No. 9.038
FLORIDAPOWER & LIGHT COMPANY Cancels Original Sheet No. 9.038

(Continued from Sheet No. 9.037)

97 In lieu of any interest, dividends or other amounts paid or deemed to have been paid with respect to Cash Collateral held
by FPL (all of which may be retained by FPL), FPL will transfer to the QS on a monthly basis the Interest Amount, as calculated by FPL.

“Interest Amount” means, with respect to each monthly period, the aggregate sum of the amounts of interest calculated for each day
in that monthly period on the principal amount of Cash Collateral held by FPL on that day, determined by FPL for each such day as
follows:

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Fourth Revised Sheet No. 9.040
FLORIDAPOWER & LIGHT COMPANY Cancels Third Revised Sheet No. 9.040

(Continued from Sheet No. 9.039)

12. Default

Notwithstanding the occurrence of any Force Majeure as described in Section 16, each of the following shall constitute an Event of
Default:

12.1 The QS fails to meet the applicable requirements specified in Section 1 of this Contract.;

hereunder or the delivery or sale of any such energy and firm capacity to an entity other thanFPL.

12.15 The QS fails to perform any material covenant or obligation under this Contract not specifically mentioned in this Section

12.16 If at any time after the Capacity Delivery Date, the QS reduces the Committed Capacity due to an event of Force Majeure
and fails to repair the Facility and reset the Committed Capacity to the level set forth in Section 5.1 (as such level may be
reduced by Section 5.3) within twelve (12) months following the occurrence of such event of Force Majeure.

(Continued on Sheet No. 9.041)

Issued by: S. E. Romig, Director, Rates and Tariffs
Effective: September 13, 2016

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PAGE 20

Page 15 of 42

DULL UAV ALIAULLILY DLL UL VULDULULS Gil Le VCIL UL I7CLQUIL UUCL UD WUILUALL, UUL Ds alu WIS Wo DILL CISL LILY LISyUUAWULDd LU USYCLUp

substitute protection which the Parties in their reasonable judgment deem adequate.

15.4 To the extent that the QS Insurance is on a “claims made” basis, the retroactive date of the policy(es) shall be the effective
date of this Contract or such other date as may be agreed upon to protect the interests of the FPL Entities and the QS Entities. Furthermore, to
the extent the QS Insurance is on a “claims made” basis, the QS’s duty to provide insurance coverage shall survive the termination of this
Contract until the expiration of the maximum statutory period of limitations in the State of Florida for actions based in contract or in tort. To
the extent the QS Insurance is on an “occurrence” basis, such insurance shall be maintained in effect at all times by the QS during the term of
this Contract.

15.5 The QS Insurance shall provide that it may not be cancelled or materially altered without at least thirty (30) calendar days’
written notice to FPL. The QS shall provide FPL with a copy of any material communication or notice related to the QS Insurance within ten

(10) business days of the QS’s receipt or issuance thereof.

15.6 The QS shall be designated as the named insured and FPL shall be designated as an additional named insured under the QS
Insurance. The QS Insurance shall be endorsed to be primary to any coverage maintained by FPL

16. Force Majeure

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of any environmental law or permit which would materially and adversely affect the operation of the Facility as contemplated by this
Contract.

17.6.2 Ownership and Offering For Sale Of Renewable Energy Attributes

The QS retains any and all rights to own and to sell any and all environmental attributes associated with the electric generation of
the Facility, including but not limited to, any and all renewable energy certificates, “green tags” or other tradable environmental interests
(collectively “RECs”), of any description.

(Continued on Sheet No. 9.045)

Issued by: S. E. Romig, Director, Rates and Tariffs
Effective: August 18,2009

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For the Qs:
For FPL:
Florida Power & Light Company
700 Universe Boulevard

Juno Beach, FL 33408
Attn: EMT Contracts Department

This signed Contract and all related documents may be presented no earlier than 8:00 a.m. EST on the effective date of the Standard
Offer Contract, as determined by the FPSC. Contracts and related documents may be mailed to the address below or delivered during

mins ate A ec tdci tem ane LORD anas TROD A MB icansanns THON bien thin eed nd nae Sen anhananinncn tb dlnn A das mn nDmeees

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First Revised Sheet No. 9.047
Cancels Original Sheet No. 9.047

FLORIDAPOWER& LIGHT COMPANY

(Continued from Sheet No. 9.046)

18.9. Waiver of Jury Trial. EACH PARTY ACKNOWLEDGES AND AGREES THAT ANY CONTROVERSY WHICH MAY
ARISE UNDER THIS CONTRACT IS LIKELY TO INVOLVE COMPLICATED AND DIFFICULT ISSUES, AND THEREFORE EACH
PARTY HEREBY IRREVOCABLY AND UNCONDITIONALLY WAIVES ANY RIGHT A PARTY MAY HAVE TO A TRIAL BY
JURY IN RESPECT OF ANY LITIGATION RESULTING FROM, ARISING OUT OF OR RELATING TO THIS CONTRACT OR THE
TRANSACTIONS CONTEMPLATED HEREBY. EACH PARTY CERTIFIES AND ACKNOWLEDGES THAT (a) NO
REPRESENTATIVE, AGENT OR ATTORNEY OF THE OTHER PARTY HAS REPRESENTED, EXPRESSLY OR OTHERWISE,

TLIAT CTIOLU ATUTD DADTV WOATITD MAT TAI TUE CVENT AL TITIGAATION CORY TA EPNEADAD THT PADEPAAINIA UATULD

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PLUBRIWVA FUWER ®@ Lil CVIVIFAIN I

WITNESS:

Date

WITNESS: (QS)

Date.

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PLUBRIWVA FUWER ®@ Lil CVIVIFAIN I

WITNESS:

Date

WITNESS: (QS)

Date.

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PAGE 28

Page 22 of 42

A UII GU HL DUI GY DULLER Ue ty kU Le Gu a Ue ee Ug a ey

F.A.C., and 25-17.200 through 25-17.310 F.A.C and are limited to those Facilities which:
A. Commit to commence deliveries of firm capacity and energy no later than the in-service date of the Avoided
Unit, as detailed in Appendix II, and to continue such deliveries for a period of at least 10 years up to a
maximum of the life of the avoided unit;
B. Are not currently under contract with the Company or with any other entity for the Facility’s output for the

period specified above

(Continued on Sheet No. 10.301)

Issued by: Tiffany Cohen, Senior Director, Regulatory Rates, Cost of Service and Systems
Effective: January 1, 2022

ORDER NO. PSC-2024-0231-PAA-EQ
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PAGE 29

(Continued on Sheet No. 10.302)

Attachment A
Page 23 of 42

Issued by: S.E. Romig, Director, Rates and Tariffs
Effective: June 25, 2013

ORDER NO. PSC-2024-0231-PAA-EQ

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PAGE 30 Page 24 of 42
FLORIDA POWER & LIGHT COMPANY Original Sheet No. 10.302

(Continued from Sheet No. 10.301)

Option B - Fixed Value of Deferral Payments - Early Capacity

Payment schedules under this option are based upon the early capital cost component of the value of a year-by-year
deferral of the Company's Avoided Unit provided; however, that under no circumstances may payments begin before
the QS is delivering firm capacity and energy to the Company pursuant to the terms of the Standard Offer Contract.
When this option is selected, the capacity payments shall be made monthly commencing no earlier than the Capacity
Delivery Date of the QS and calculated using the methodology shown on AppendixI.

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a anak < saan annel

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 a written request for such an estimate.

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ORDER NO. PSC-2024-0231-PAA-EQ

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FLORIDA POWER & LIGHT COMPANY Original Sheet No. 10.307

(Continued from Sheet No. 10.306)

TERMS OF SERVICE

(1) _ It shall be the QS's responsibility to inform the Company of any change in its electric generation capability.

(2) Any electric service delivered by the Company to a QS located in the Company's service area shall be subject to the
following terms and conditions:

(a) A QS shall be metered separately and billed under the applicable retail rate schedule(s), whose terms and

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ORDER NO. PSC-2024-0231-PAA-EQ

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FLORIDA POWER & LIGHT COMPANY Original Sheet No. 10.309

(Continued from Sheet No. 10.308)
CALCULATION OF FIXED VALUE OF DEFERRAL PAYMENTS— EARLY CAPACITY-—OPTION B

Normally, payments for firm capacity shall not commence until the in-service date of the Company's Avoided Unit(s). At the option of the QS, however,
the Company may begin making payments for early capacity consisting of the capital cost component of the value of a year-by-year deferral of the
Company's Avoided Unit starting as early as the in-service date of the QS facility. When such payments for early capacity are elected, the avoided capital
cost component of capacity payments shall be paid monthly commencing no earlier than the Capacity Delivery Date of the QS, and shall be calculated as

; \(m-1)
+ _ym-1)
, Uti} +4, (1 + io J

A = far m= 1 tnt

ORDER NO. PSC-2024-0231-PAA-EQ

DOCKET NO. 20240055-EQ Attachment A
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FLORIDA POWER & LIGHT COMPANY Original Sheet No. 10.310

(Continued from Sheet No. 10.309)

CALCULATION OF FIXED VALUE OF DEFERRAL PAYMENTS — LEVELIZED AND EARLY LEVELIZED CAPACITY —
OPTION C & OPTION D, RESPECTIVELY

Monthly fixed value of deferral payments for levelized and early levelized capacity shall be calculated as follows:
P r . dK

payments, caicuatea in accordance with caicuation OF the Lixed value or
deferral payments for the levelized capacity or the early levelized
capacity options.

ORDER NO. PSC-2024-0231-PAA-EQ
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Kighteent Nineteenth Revised Sheet No. 10.311
FLORIDA POWER & LIGHTCOMPANY Cancels EighteenthSeventeenth Revised Sheet No. 10.311

APPENDIX II
TO RATE SCHEDULEQS-2
| 20332034-AVOIDED UNIT INFORMATION

The Company’s Avoided Unit has been determined to be a 1,991 MW Combined Cycle Unit with an in-service date of June 1, 2033-2034
and a contract heat rate of 6,0036,008 Btu/kWh.

EXAMPLE STANDARD OFFER CONTRACT AVOIDED CAPACITY PAYMENTS
| FOR A CONTRACT TERM OF TEN YEARS FROM THE IN-SERVICE DATE OF THE AVOIDED UNIT
($/KW/MONTH)

Option A Option B Option C Option D

Contract Year Normal Capacity Early Capacity Levelized Capacity Early Levelized Capacity

Payment Payment Payment Payment
20242025 $ $ $ $
2625-2026 $ $ $ $
26262027 $ € oa § 5
26272028 $ $e § $
2628-2029 $ $ $ - £2
29202030 $ $ $ - $ 3485.68
26302031 $ $ $ - $ 3485.68
20312032 3 f $ - $ 3485.68
26322033 $ § $ - § 3465.68
20322034 $ $ $ § 3485.68
28342035 $ $ $ $ 3485.08
26352036 $ $ $ $ 3485.68
26262037 $ $ $ $ S-485.08
26322038 $ $ § $ 5485.68
29382039 $ $ $ § 3485.68
26302040 $ $ $ $ 3485.68
29402041 $ $ $ $ S485.68
26442042 § $ $ § 5465.68
20422043 $ $ § $ S48 5.68
2044 $ 8 g $ 5.68

ESTIMATED AS-AVAILABLE ENERGY COST

For informational purposes, the most recent estimated incremental avoided energy costs for the next ten years will be provided within
thirty (30) days of written request.

ESTIMATED UNIT FUEL COSTS ($/MMBtu):
The most recent estimated unit fuel costs for the Company’ savoided unit will be provided within thirty (30) days of written request.

Issued by: Tiffany Cohen, Executive Direetor, Rate Development& Strategy VP Financial Planning and Rate Sirategy
Effective: dunes, 2423-

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Meventh-Twellth Revised Sheet No.10.311.1
FLORIDA POWER & LIGHTCOMPANY Cancels EleventhFenth Revised Sheet No. 10.311.1

| 24632-2034 AVOIDED UNIT FIXED VALUE OF DEFERRAL PAYMENTS
Where, for a one-yeardeferral:

| VACn = Company's value of avoided capacity and O&M. in dollars per kilowatt per month, during month m;
present value of carrying charges for one dollar of investment over L years with carrying
charges computed using average annual rate base and assumed to be paid at the middle of each year

| and present valued to the middle of the first year; 4447414320
total direct and indirect cost, in mid-year dollars per kilowatt including AFUDC but excluding CWIP,

| of the Company's Avoided Unit with an in-service date of year n; $4601 076.36
total fixed operation and mamtenance expense, for the year n, im mid-year dollars

| per kilowatt per year, of the Company's Avoided Unit, $45-4017.20
annual escalation rate associated with the plant cost of the Company's Avoided Unit: 2.00%

annual escalation rate associated with the operation and mamtenance expense of the
Company's Avoided Unit,

annual discount rate, defined as the Company's incremental after-tax cost of capital;

expected life of the Company's Avoided Unit;

year for which the Company's Avoided Unit is deferred starting with its onginal
anticipated in-service date and ending with the termination of the Standard Offer Contract.

FIXED VALUE OF DEFERRAL PAYMENTS - EARLY CAPACITY OPTION PARAMETERS
monthly capacity payments to be made to the QS starting on the year the QS elects to start receiving early
capacity payments, in dollars per kilowatt per month;
annual escalation rate associated with the plant cost of the Company’s Avoided Unit;
annual escalation rate associated with the operation and maintenance expense of
theCompany’s Avoided Unit:

year for which early capacity payments to a QS are to begin; (at the election of the QS early capacity
payments may commence any time after the actual in-service date of the QS facility and before the
anticipated in-service date of the Company savoided unit)

the cumulative present value of the avoided capital cost component of capacity payments
which would have been made had capacity payments commenced with the anticipated in-
service date of the Company's Avoided Unit and continued for a period of 10 years; $342-70636.01

annual discount rate, defined as the Company's incremental after-tax cost of capital; S-008.14%

the term, in years, of the Standard Offer Contract for the purchase of firm capacity commencing in the *
yearthe QS elects to start receiving early capacity payments prior to the in-service date of the Company's
Avoided Unit:

the cumulative present value of the avoided fixed operation and maintenance expense component of
capacity payments which would have been made had capacity payments commenced with the anticipated
in-servicedate of the Company's Avoided Unit and continued for a period of 10 years.

*From Appendix E

Issued by: Tiffany Cohen, Executive Director, Rate Development & Strategy VP Financial Planning and Rate Strategy
Effective: Junet3,2023

ORDER NO. PSC-2024-0231-PAA-EQ

DOCKET NO. 20240055-EQ

PAGE 41

FLORIDA POWER & LIGHT COMPANY

# Location Penalty Factor
1 Turkey Paint 0.971
pa Dania Beach 1.000
3 West County 0.962
4 Ft. Myers 0.983
5 Riviera 0.958
6 Martin 0.944
ra Okeechobee 0.948
8 St. Lucie 0.940
9 Manatee 0.945
10 | Cape Canaveral 0.948
11 Sanford 0.954
12 Putnam 0.953
13 Scherer 0.940
14 Blue Indigo 0.919
15 Lansing Smith 0.948
16 Eglin 0.991
1? Halley 1.000
18 Crist 0.990

Issued by: Tiffany Cohen, Senior Director, Regulatory Rates, Cost of Service and Systems

Effective: January 1, 2022

*FOR ILLUSTRATIVE PURPOSES ONLY

Attachment A
Page 35 of 42

inal Sheet No. 10.3121

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FLORIDA POWER & LIGHT COMPANY Original Sheet No. 10.314
APPENDIX C
TO THE STANDARD OFFER CONTRACT
TERMINATION FEE

The Termination Fee shall be the sum of the values for each month beginning with the month in which the Capacity Delivery Date occurs through the
month of termination (or month of calculation, as the case may be), computed according to the following formula:

Termination Fee = Termination Fee applicable to Capacity Payment Option plus Termination Fee applicable to Fixed Firm Energy Option
Termination Fee applicable to Capacity Payment Options B, C, D andE

n

se comes | cas | lal

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v WpeLauiy, Wl Lary

e Provide details on all electrical generation facilities which are currently under construction or operational which were
developed by the QS.

e Describe the financing structure for the projects identified above, including the type of financing used, the permanent financing
term, the major lenders, and the percentage of equity invested at financial closing.

(Continued on Sheet No. 10.316)

Issued by: S. E. Romig, Director, Rates and Tariffs
Effective: May 22, 2007

ORDER NO. PSC-2024-0231-PAA-EQ

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FLORIDA POWER & LIGHT COMPANY Original Sheet No. 10.316

(Continued from Sheet No. 10.315)

Ill. FUEL SUPPLY

e Describe all fuels to be used to generate electricity at the Facility. Indicate the specific physical and chemical characteristics
of each fuel type (e.g. Btu content, sulfur content, ash content, etc.). Identify special considerations regarding fuel supply
origin, source and handling, storage and processing requirements.

e Provide annual fuel requirements (AFR) necessary to support the requirements pursuant to Section 366.91, Florida Statutes,

emer (er: eer ererene Leet read A trad seat capasultie wrencaatatioe:

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FLORIDA POWER & LIGHT COMPANY Original Sheet No. 10.317

(Continued from Sheet No. 10.316)

IV. PLANT DISPATCHABILITY/CONTROLLABILITY
e Provide the following operating characteristics and a detailed explanation supporting the performance capabilities indicated.

¢ Ramp Rate (MW/minute)
@ Peak Capability (% above Committed Capacity)

Ratner Puss wu coantiawd Piaawabes’

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FLORIDA POWER & LIGHT COMPANY Original Sheet No. 10.318

(Continued from Sheet No. 10.317)

VIL FINANCIAL
e Provide FPL with assurances that the proposed QS project is financially viable consistent with FPSC Rule 25-17.0832(4) (c)
by attaching a detailed pro-forma cash flow analysis. The pro-forma must include, at a minimum, the following assumptions
for each year of the project.

¢ Annual Project Revenues

e Capacity Payments ($ and $/KW/Mo)

ORDER NO. PSC-2024-0231-PAA-EQ

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FLORIDA POWER & LIGHT COMPANY Original Sheet No. 10.319

APPENDIX E

TO THE STANDARD OFFER CONTRACT
CONTRACT OPTIONS TO BE SELECTED BY QS

Term of Contract

Execution date
Termination date

Firm Capacity Rates
Commencement date for deliveries of Firm Energy and Capacity

Capacity Payment Option Selected (from available Options A through E)
If Option E is selected proposed payment stream:

Schedule of Capacity Payments to be provided by the Company based on applicable parameters follows:

Year $/KW/Month