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At present, DSI firm load can be restricted under a variety of 

 circumstances. (These restriction rights, as they are called in 

 the existing contracts, create "reserves" for Bonneville.) 

 But some restriction rights are so cumbersome and difficult to 

 interpret that they have only marginal value to Bonneville. 



One option is to create more expansive restriction rights in the 

 new power sales agreements with the DSIs. These rights could 

 allow Bonneville to curtail DSI service in any number of 

 circumstances, including if the Federal Base System shrinks in 

 size. 



This alternative is based on the discretion of the Administrator 

 to sign contracts with the DSIs that are more restrictive than 

 the long-term agreements it signs with public entities and 

 investor-owned utilities. 



Under this option, Bonneville could have the right to restrict 

 the DSIs if Hanford Project No. 2 went off line temporarily or 

 permanently and/or if replacement power was not available at a 

 specified price that was spelled out in the contract (and 

 adjusted each year for inflation). 



Plant delay reserves (Section 7(d) in the existing DSI contracts) 

 attempt to do this, but the restriction rights are so limited — 

 and the language itself so awkward — that Bonneville apparently 

 does not believe these rights have much use. 



To avoid similar probl'^ms in the future, we therefore request 

 that Bonneville draft clear language in the new contracts that 

 allows it under specified circumstances to restrict the DSIs for 

 plant delay reserves and other types of reserves. 



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