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(D) Transmission Coord Agreement

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Sectors: Services
Effective Date: January 01, 1997
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EXHIBIT 10(d)


TRANSMISSION COORDINATION AGREEMENT


Between


Central Power and Light Company,
West Texas Utilities Company,
Public Service Company of Oklahoma,
Southwestern Electric Power Company


and


Central and South West Services, Inc.


Dated as of January 1, 1997
Revised as of October 29, 1999


TABLE OF CONTENTS
Page


ARTICLE I


TERM OF AGREEMENT...................................................2


1.1 Effective Date.............................................2
--------------
1.2 Periodic Review............................................2
---------------


ARTICLE II


DEFINITIONS.........................................................3


2.1 Agreement..................................................3
---------
2.2 Ancillary Services.........................................3
------------------
2.3 Company Demand.............................................3
--------------
2.4 Company Peak Demand........................................3
-------------------
2.5 Control Area...............................................3
------------
2.6 Coordinating Committee.....................................3
----------------------
2.7 Designated Agent...........................................4
----------------
2.8 Direct Assignment Facilities...............................4
----------------------------
2.9 Generating Unit............................................4
---------------
2.10 Hour.......................................................4
----
2.11 Month......................................................4
-----
2.12 Network Integration Transmission Service...................4
----------------------------------------
2.13 Open Access Transmission Tariff............................4
-------------------------------
2.14 Point-to-Point Transmission Service........................4
-----------------------------------
2.15 PUCT.......................................................5
----
2.16 Scheduling, System Control and Dispatch Service............5
-----------------------------------------------
2.17 Transmission Customer......................................5
---------------------
2.18 Transmission Provider......................................5
---------------------
2.19 Transmission Service.......................................5
--------------------
2.20 Transmission System........................................5
-------------------
2.21 Transmission System Operator...............................5
----------------------------


ARTICLE III


OBJECTIVES..........................................................6


3.1 Purposes...................................................6
--------


ARTICLE IV


COORDINATING COMMITTEE..............................................7


4.1 Coordinating Committee.....................................7
4.2 Responsibilities of the Coordinating Committee.............7
4.3 Delegation and Acceptance of Authority.....................8
4.4 Reporting..................................................8


ARTICLE V


PLANNING............................................................9


5.1 Transmission Planning......................................9
---------------------


ARTICLE VI


TRANSMISSION.......................................................10


6.1 Delegation to the Transmission System Operator............10
----------------------------------------------
6.2 Transmission Facilities...................................10
-----------------------
6.3 Direct Assignment Facilities..............................10
----------------------------
6.4 Transmission Service Revenues.............................10
-----------------------------
6.5 Payment of Costs for Network Use..........................12
--------------------------------
6.6 Payment of Costs for Point-to-Point Transmission Service..13
--------------------------------------------------------


ARTICLE VII


ANCILLARY SERVICES.................................................14


7.1 Ancillary Services........................................14
------------------


ARTICLE VIII


GENERAL............................................................15


8.1 Regulatory Authorization..................................15
------------------------
8.2 Effect on Other Agreements................................15
--------------------------
8.3 Waivers...................................................15
-------
8.4 Successors and Assigns; No Third Party Beneficiary........15
--------------------------------------------------
8.5 Amendment.................................................16
---------
8.6 Independent Contractors...................................16
-----------------------
8.7 Responsibility and Liability..............................16
----------------------------


SCHEDULE A


ALLOCATION OF TRANSMISSION REVENUES................................18


SCHEDULE B


ANNUAL TRANSMISSION REVENUE REQUIREMENTS RATIOS....................20


SCHEDULE C


ALLOCATION OF ANCILLARY SERVICE REVENUES...........................22


TRANSMISSION COORDINATION AGREEMENT


Between


Central Power and Light Company,
West Texas Utilities Company,
Public Service Company of Oklahoma,
Southwestern Electric Power Company


and


Central and South West Services, Inc.


This TRANSMISSION COORDINATION AGREEMENT, hereinafter called "Agreement," is made and entered into as of the first day of January, 1997, by and among Central Power and Light Company (CPL), West Texas Utilities Company (WTU), Public Service Company of Oklahoma (PSO), and Southwestern Electric Power Company (SWEPCO), hereinafter separately referred to as "Company" and jointly as "Companies," and Central and South West Services, Inc. (CSWS).


WHEREAS, Companies are the owners and operators of interconnected generation, transmission and distribution facilities with which they are engaged in the business of transmitting and selling electric power to the general public, to other entities and to other electric utilities; and


WHEREAS, Companies achieve economic benefits for their customers through coordinated planning, operation and maintenance of their transmission facilities;


NOW, THEREFORE, the Companies and CSWS mutually agree as follows:


2


ARTICLE I


TERM OF AGREEMENT


1.1 Effective Date


This Agreement shall become effective as of January 1, 1997, or such later date as is established by the Federal Energy Regulatory Commission. This Agreement shall continue in force and effect until December 31, 2001, and continue from year to year thereafter until terminated by written notice given by any Company to the other Companies and to CSWS.


1.2 Periodic Review


This Agreement will be reviewed periodically by the Coordinating Committee, as defined herein, to determine whether revisions are necessary to meet changing conditions. In the event that revisions are made by the Companies pursuant to Section 8.5, and after requisite approval or acceptance for filing by the appropriate regulatory authorities, the Coordinating Committee may thereafter, for the purpose of ready reference to a single document, prepare for distribution to the Companies an amended document reflecting all changes in and additions to this Agreement with notations thereon of the date amended.


3


ARTICLE II


DEFINITIONS


For purposes of this Agreement, the following definitions shall apply:


2.1 Agreement shall mean this Transmission Coordination Agreement including all attachments and schedules applying thereto and any amendments made hereafter.


2.2 Ancillary Services shall mean those services that are necessary to support the transmission of capacity and energy from resources to loads while maintaining reliable operation of the Companies' transmission facilities in accordance with Good Utility Practice, as that term is defined in the Open Access Transmission Tariff.


2.3 Company Demand shall mean the demand in megawatts of all retail and wholesale power customers on whose behalf the Company, by statute, franchise, regulatory requirement, or contract, has undertaken an obligation to construct and operate its transmission system to meet the reliable electric needs of such customers, integrated over a period of one hour, plus the losses incidental to that service.


2.4 Company Peak Demand for a period shall be the highest Company Demand for any hour during the period.


2.5 Control Area shall mean an electric power system or combination of electric power systems to which a common automatic generation control scheme is applied for the purposes specified in the Open Access Transmission Tariff.


2.6 Coordinating Committee shall mean the organization established pursuant to Section 4.1 of this Agreement and whose duties are more fully set forth herein.


4


2.7 Designated Agent shall mean any entity that performs actions or functions on behalf of the Transmission Provider, an Eligible Customer (as that term is defined in the Open Access Transmission Tariff), or the Transmission Customer required under the Open Access Transmission Tariff.


2.8 Direct Assignment Facilities shall mean facilities or portions of facilities that are constructed by the Transmission Provider for the sole use or benefit of a particular Transmission Customer requesting service under the Open Access Transmission Tariff.


2.9 Generating Unit shall mean an electric generator, together with its prime mover and all auxiliary and appurtenant devices and equipment designed to be operated as a unit for the production of electric capacity and energy.


2.10 Hour shall mean a clock-hour.


2.11 Month shall mean a calendar month consisting of the applicable 24-Hour periods as measured by Central Standard Time.


2.12 Network Integration Transmission Service shall mean the transmission service provided under Part III of the Open Access Transmission Tariff.


2.13 Open Access Transmission Tariff shall mean the Open Access Transmission Tariff filed with the Federal Energy Regulatory Commission on behalf of the Companies as it may be amended from time to time.


2.14 Point-to-Point Transmission Service shall mean the reservation and transmission of capacity and energy on either a firm or non-firm basis from the points of receipt to the points of delivery under Part II of the Open Access Transmission Tariff.


5


2.15 PUCT shall mean the Public Utility Commission of Texas.


2.16 Scheduling, System Control and Dispatch Service shall mean the service required to schedule the movement of power through, out of, within, or into a Control Area, as specified in Schedule 1 of the Open Access Transmission Tariff.


2.17 Transmission Customer shall mean any Eligible Customer as defined in the Open Access Transmission Tariff (or its Designated Agent) that (i) executes a Service Agre
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