Proposed Steam Rates

S T E A M

PROPOSED
GENERAL STEAM SERVICE
RATE NO. 1

Availability - This rate is available to any customer receiving service from the Board of Water and Light (BWL) steam distribution system with a maximum gauge pressure of fifteen pounds per square inch (15 psi). Steam services at gauge pressures above 15 psi but not exceeding 100 psi, when available, may be supplied at the option of the BWL or upon request by the customer.

Nature of Service - Saturated steam up to a maximum gauge pressure of 15 psi except as indicated above.

Monthly Rate

	8/10/00	9/1/01	9/1/02
Basic Service Charge	$5.00	$6.00	$7.00	per customer per month
Commodity Charge	Billing Months of June through November
	$6.55	$6.75	$6.95	per 1000 lbs. for the first 200,000 lbs.
	$6.90	$7.15	$7.35	per 1000 lbs. for all 1000 lbs. over 200,000 lbs.
	Billing Months of December through May
	$6.65	$6.85	$7.05	per 1000 lbs for the first 200,000 lbs.
	$7.00	$7.25	$7.45	per 1000 lbs. for all 1000 lbs. over 200.000 lbs.

Surcharge - A surcharge of ten (10) percent shall be added to the above rates for steam service supplied upon customer's request for service at gauge pressure above 15 psi but not exceeding 100 psi.

Fuel Cost Adjustment - The fuel cost adjustment shall consist of an increase or decrease of 0.16 ($0.0016) cents per thousand pounds of steam billed for each full 0.1 ($0.001) cent or fraction thereof increase or decrease in the average delivered cost of fuel burned monthly above or below 168.3 ($1.683) cents per million Btu. (A fraction of 0.05 ($0.0005) cents or less will not be considered a full 0.1 ($0.001) cent; a fraction of 0.06 ($0.0006) cents or greater will be considered a full 0.1 ($0.001) cent.) The price per million Btu for each billing month shall be the average delivered cost of fuel consumed during the preceding calendar month.

Amine Treatment Adjustment - The amine treatment adjustment allows for the monthly adjustment of rates to reflect the actual cost incurred due to amine feed. The factor shall be applied to each 1000 pounds (lbs) billed. The factor shall consist of 1.124 times the weighted average amine cost per 1000 lbs treated during the previous month.

Tax Adjustment - Bills shall be increased within the limits of any governmental authority or political subdivision which levies taxes, license fees, franchise fees, or any other charges against the BWL's property, or its operation, or the production and/or sale of steam, to offset any such cost and thereby prevent other customers from being compelled to share such local increases.

Minimum Charge - The Basic Service Charge included in the rate except that Special Minimum Charges shall be billed when the revenue received does not adequately compensate the BWL for the cost of furnishing service.

Delayed Payment Charge - A delayed payment charge of 5% of the unpaid balance, excluding delayed payment charges, shall be added to any bill which is not paid on or before the due date.

Reconnect Charge - A reconnect charge of $25.00 shall be added to any account which discontinues and reconnects service at the same address within a twelve (12) month period.

Rules and Regulations - Service under this rate is subject to the BWL Rules and Regulations for Steam Service which are incorporated herein by this reference.

Adopted: Proposed

Effective: August 10., 2000

INDUSTRIAL STEAM SERVICE
RATE NO. 2

Availability: This rate is available to any customer engaged in mining or manufacturing and receiving steam at any BWL plant wall at a minimum gauge pressure of 250 psi. Service will be provided upon customer entering into a steam supply contract with the BWL. Terms and conditions of the contract may vary due to customer requirements and the impact on BWL facilities.

Monthly Rate:

Demand Charge:	$0.80 per pound per hour (lb/hr) for all lb/hrs of contract demand. $0.70 per pound per hour (lb/hr) for all lb/hrs exceeding contract demand
Commodity Charge:	$3.88 per thousand pounds (Mlb)

Fuel Cost Adjustment: The fuel cost adjustment shall consist of an increase or decrease of 0.16 ($0.0016) cents per thousand pounds of steam billed for each full 0.1 ($0.001) cent or fraction thereof increase or decrease in the average delivered cost of fuel burned monthly above or below 168.3 ($1.683) cents per million Btu. [A fraction of 0.05 ($0.0005) cents or less will not be considered a full 0.1 ($0.001) cent; a fraction of 0.06 ($0.0006) cents or greater will be considered a full 0.1 ($0.001) cent.] The price per million Btu for each billing month shall be the average delivered cost of fuel consumed during the preceding calendar month.

Minimum Charge: Monthly Demand Charge above.

Tax Adjustment: Bills shall be increased within the limits of any governmental authority or political subdivision which levies taxes, license fees, or any other charges against the BWL's property. or its operation, or the production and/or sale of steam, to offset any such cost and thereby prevent other customers from being compelled to share such local increases.

Billing Demand: The billing demand is the maximum demand (lb/hrs) supplied during the 15 minute period of maximum use during the month, but not less than the contract demand.

Delayed Payment Charge: A delayed payment charge of 5% of the unpaid balance, excluding delayed payment charges, shall be added to any bill which is not paid on or before the due date.

Rules and Regulations: Service under this rate is subject to the BWL Rules and Regulations for Steam Service which are incorporated herein by this reference.

Adopted: December 20, 1994

Effective January 13, 1995

GENERAL STEAM SERVICE
RATE N0. 3

Availability - This rate is available to any customer receiving service from the Board of Water and Light (BWL) steam transmission or distribution system with a gauge pressure in excess of 100 psi. Service will be provided upon customer entering into a steam supply contract with the BWL. Terms and conditions of the contract may vary due to customer requirements and the impact on BWL facilities. This service may include both firm and curtailable service.

Monthly Rate - Per contract terms.

Amine Treatment Adjustment - Per contract terms.

Minimum Charge - Per contract terms.

Delayed Payment Charge - A delayed payment charge of 5% of the unpaid balance, excluding delayed payment charges, shall be added to any bill which is not paid on or before the due date.

Rules and Regulations - Service under this rate is subject to the BWL Rules and Regulations for Steam Service which are incorporated herein by this reference, unless superceded by the terms and conditions of the customer contract.

Adopted: July 30, 1996 Effective: August 15, 1994

This Rate is Canceled

~~LANSING CITY ENTERPRISE COMMUNITY REBATE~~

~~Purpose~~ - The primary purpose of this rebate is to encourage investment in the proposed Lansing City Enterprise Community. The Lansing City Enterprise Community is defined as the following 1990 census tracts: Numbers 2,3,5,7,8,12,13,14,15,19,20,21 and 65 or as determined by the City of Lansing.

Availability - This rebate is available for a two year period from the date the Lansing City Enterprise Community is established. All provisions of this rebate are the same as the principal water, electric or steam service rate with the following exceptions:

1. This rebate is available only to customers installing a new water, electric, or steam service in the Lansing City Enterprise Community.

2. This rebate is available only to customers restarting an existing idle water, electric or steam service in the Lansing City Enterprise Community after a period of no consumption.

3. This rebate is not available to Electric Rate 4 or Electric Rate 5 customers who sign a contract for service under the Electric Economic Development Rider.

~~Payment - Upon application by the customer and approval by the City of Lansing and the Board of Water and Light, the customer will be paid a rebate on the previous 12 month’s utility (water, electric, steam) charges. The rebate is ten (10) percent of the total utility charges paid by the customer.~~

Adopted: Proposed

Effective: August 10, 2000

PROPOSED
GENERAL CHILLED WATER SERVICE
RATE NO. 4

Availability – this rate is available to any customer desiring service from the Board of Water and Light (BWL) district cooling system. Service will be provided upon the customer entering into a contract with the BWL. The contract will govern the customer’s contract demand and terms and conditions of service, which may vary due to customer requirements and the impact on BWL facilities. This rate is not available for standby or emergency service.

Monthly Rate – Shall be computed in accordance with the following charges:

Capacity Charge: $40.64 per ton for all tons of billing demand less than or equal to 105% of the contract demand, and $56.90 per ton for all tons of billing demand exceeding 105% of the contract demand.

Commodity Charge: $0.115 per ton-hr

Tax Adjustment – Bills shall be increased within the limits of any governmental authority or political subdivision which levies taxes, license fees, franchise fees, or any other charges against the BWL’s property, or its operation, or the production and/or sale of electrical energy, to offset any such cost and thereby prevent other customers from being compelled to share such local increases.

Minimum Monthly Charge – The capacity charge included in the rate.

Billing Demand – The billing demand shall be the maximum demand (tons) supplied during the 15-minute period of maximum use, but not less than 85% of the contract demand. The General Manager is authorized to waive billing demand in excess of 105% of the contract demand where such billing demand is incurred is the result of emergency conditions on a customer’s system and such emergency condition is caused by equipment or piping failure and the BWL concurs in the existence of an emergency condition.

Temperature Factor Adjustment – During the months of May through October; if the customer’s return water temperature is below 57 degrees Fahrenheit (F), the customer’s commodity charge will be increased by 2.0% for either; (1) each degree Fahrenheit the customer’s supply and return water temperature differential is less than 150 F or, (2) each degree Fahrenheit the customer’s return water temperature is below 570 F, whichever is less. The General Manager is authorized to waive the application of the Temperature Factor Adjustment where warranted in cases of customer hardship where such hardship is caused by facilities constructed prior to the BWL’s District Cooling System.

Metering – All services using chilled water from the BWL chilled water system shall be metered. The BWL shall, through consultation with the customer, determine the form in which the commodity shall be metered.

Delayed Payment Charge – A delayed payment charge of 5% of the unpaid balance, excluding delayed payment charges, shall be added to any bill that is not paid on or before the due date.

Rules and Regulations – Service under this rate is subject to the BWL Rules and Regulations for Chilled Water Service that are incorporated herein by this reference.

Adopted: Proposed

Effective: August 10, 2000