Dear Traders:

  Please be advised that the following worksheet is an estimated summary of transmission ancillary charges.  These charges are above and beyond the normal price for transmission and do not include transmission reservation charges in them.  To figure approximately how much each MW of transmission will cost when all charges have been applied, use the following worksheet, adding each of the 4 ancillary charges that apply to the transmission cost.

  For example:  

   I reserve 55 MW's of Sierra Pacific transmission.
 
  Scheduling Fees:   			(55 MW's x 0.1649) =   9.07
  Reactive Supply and Voltage fees: 	9.1692 x (0.45 x 55) x 0.0234 = 5.31
  Line Losses:				0.0234 x 55 MW's x (anticipate average energy cost so far this month; circa $45) = 57.92
				**Please note that if energy prices are higher, this line loss charge will be higher too;  ie - if prices are at $300, this charge will be 386.10**
 
   TOTAL ANCILLARY:			$ 72.30 for 55 MW's  = $ 1.315 per MW hour of transmission


   

Attached is the worksheet:

                             
Please ask me if you have any questions.


  Virginia