16.203-4(a)(2)(99) ECONOMIC PRICE ADJUSTMENT - PUBLISHED MARKET PRICE - ELECTRICITY %u2013 HEAT RATE.
Insert the Clause 52.216-9068 ECONOMIC PRICE ADJUSTMENT - PUBLISHED MARKET PRICE - ELECTRICITY - HEAT RATE (APR 2010) in Energy Supply Chain solicitation/contracts for electricity solicitations/contracts when soliciting under the Heat Rate Block and Index method. This clause may be used in markets where natural gas represents a substantial power generation fuel source and the customer requests that DESC purchase electricity using Heat Rate Pricing. Requires buyer fill-ins at paragraph (b), subparagraphs (i), (ii), (ii)(6), (ii)(7), (ii)(8, (ii)(9), (ii)(10), (ii)(11), and paragraphs (c) and (f). NOTE: The Contracting Officer shall insert the appropriate ceiling percentage in paragraph (f) as determined by the Chief of the Contracting Office or designee. Explicit approval must be obtained for any ceiling exceeding ten (10) percent in accordance with DLAD 16.203-3 (94). The index to be used must be a natural gas futures price from the New York Mercantile Exchange (NYMEX). If any other index is to be used the buyer shall coordinate with the Market Research Section (DLA Energy ( formerly DESC )-RN) before completion of fill in the blank information sections of the clause such as base reference price, and publication dates, to ensure the accuracy of the information and the correct selection of the market (reference price).