Definition
The mechanism under Section 3.7.1.2 of the LGIP that governs how Withdrawal Penalty funds are allocated among remaining Interconnection Customers. The penalty amount is first used to offset actual study costs incurred due to the withdrawal; any remaining funds are then distributed to customers experiencing a net increase in their shared Network Upgrade cost assignments as a result of the withdrawing customer's exit, proportional to each customer's MW capacity.
Topic Deck
Generator Interconnection
Source
FERC Pro Forma OATT / LGIP
Explore more
All games · Transmission Planner · Docket Defender · Energy Persona quiz