JOINT OPEN ACCESS TRANSMIS SION TARIFF OF …

1 JOINT . open ACCESS TRANSMISSION TARIFF . OF. DUKE ENERGY CAROLINAS, LLC. DUKE ENERGY FLORIDA, LLC. AND. DUKE ENERGY PROGRESS, LLC. TABLE OF CONTENTS. I. COMMON SERVICE PROVISIONS .. 1 Affiliate .. Ancillary Services .. Annual Period .. Annual Transmission Costs .. Application .. Commission .. Completed Application .. Control Curtailment .. DEF .. Delivering Party .. DEP .. Designated Agent .. Direct Assignment Facilities .. Eligible Customer .. Facilities Firm Point-To-Point Transmission Service .. FRCC .. Generator Good Utility Practice .. Hourly Period .. Interruption .. Load Ratio Load Shedding .. Long-Term Firm Point-To-Point Transmission Service .. Monthly Period .. Native Load NERC .. Network Contract Demand Customer .. Network Contract Demand Transmission Service.

2 Network Customer .. Network Integration Transmission Service .. Network Load .. Network Operating Agreement .. Network Operating Committee .. Network Resource .. Network Upgrades .. Non-Firm Point-To-Point Transmission Service .. Non-Firm Sales .. open ACCESS Same-Time Information System (OASIS) .. Part I .. Part II .. Part III .. Part IV .. Parties .. Point(s) of Point(s) of Receipt .. Point-To-Point Transmission Service .. Power Pre-Confirmed Application .. Receiving Party .. Regional Transmission Group (RTG) .. Reserved Capacity .. Service Agreement .. Service Commencement Date .. Short-Term Firm Point-To-Point Transmission Service .. System Condition .. System Impact Study .. Third-Party Sale .. Time Periods .. Transmission Customer .. Transmission Provider.

3 Transmission Provider's Monthly Transmission System Peak .. Transmission Service .. Transmission System .. Weekly Period .. Zone .. 2 Initial Allocation and Renewal Initial Allocation of Available Transmission Capability .. Reservation Priority for Existing Firm Service Customers .. 3 Ancillary Services and Generator Services .. Scheduling, System Control and Dispatch Reactive Supply and Voltage Control from Generation or Other Sources Service .. Regulation and Frequency Response Service .. Energy Imbalance Service .. Operating Reserve - Spinning Reserve Service .. Operating Reserve - Supplemental Reserve Service .. Generator Imbalance Service .. Credits for Energy and Generation Imbalance Penalty Revenues .. 4 open ACCESS Same-Time Information System (OASIS).

4 Terms and Conditions .. NAESB WEQ Business Practice Standards .. 5 Local Furnishing Bonds .. Transmission Providers That Own Facilities Financed by Local Furnishing Bonds Alternative Procedures for Requesting Transmission Service .. 6 Reciprocity .. 7 Billing and Payment .. Billing Procedure .. Interest on Unpaid Balances .. Customer Default .. 8 Accounting for the Transmission Provider's Use of the TARIFF .. Transmission Revenues .. Study Costs and Revenues .. 9 Regulatory Filings Federal Power Act Rights Retained .. Annual Informational Filings .. 10 Force Majeure and Indemnification .. Force Majeure .. Indemnification .. 11 Creditworthiness .. 12 Dispute Resolution Procedures .. Internal Dispute Resolution External Arbitration Procedures.

5 Arbitration Decisions .. Rights Under the Federal Power Act .. II. POINT-TO-POINT TRANSMISSION SERVICE .. Preamble .. 13 Nature of Firm Point-To-Point Transmission Service .. Term .. Reservation Priority .. Use of Firm Transmission Service by the Transmission Provider .. Service Agreements .. Transmission Customer Obligations for Facility Additions or Redispatch Costs .. Curtailment of Firm Transmission Service .. Classification of Firm Transmission Service .. Scheduling of Firm Point-To-Point Transmission Service .. 14 Nature of Non-Firm Point-To-Point Transmission Service .. Term .. Reservation Priority .. Use of Non-Firm Point-To-Point Transmission Service by the Transmission Provider .. Service Agreements .. Classification of Non-Firm Point-To-Point Transmission Service.

6 Scheduling of Non-Firm Point-To-Point Transmission Service .. Curtailment or Interruption of Service .. 15 Service Availability .. General Conditions .. Determination of Available Transmission Capability .. Initiating Service in the Absence of an Executed Service Agreement .. Obligation to Provide Transmission Service That Requires Expansion or Modification of the Transmission System .. Deferral of Service .. Other Transmission Service Schedules .. Real Power Losses .. 16 Transmission Customer Responsibilities .. Conditions Required of Transmission Customers .. Transmission Customer Responsibility for Third-Party Arrangements .. 17 Procedures for Arranging Firm Point-To-Point Transmission Service .. Application .. Completed Application .. Deposit.

7 Notice of Deficient Application .. Response to a Completed Application .. Execution of Service Agreement .. Extensions for Commencement of Service .. 18 Procedures for Arranging Non-Firm Point-To-Point Transmission Service .. Application .. Completed Application .. Reservation of Non-Firm Point-To-Point Transmission Determination of Available Transmission Capability .. 19 Additional Study Procedures for Firm Point-To-Point Transmission Service Requests .. Notice of Need for System Impact Study .. System Impact Study Agreement and Cost Reimbursement .. System Impact Study Facilities Study Procedures .. Facilities Study Modifications .. Due Diligence in Completing New Facilities .. Partial Interim Service .. Expedited Procedures for New Facilities.

8 Penalties for Failure to Meet Study Deadlines .. Credits for Late Study Penalty Revenues .. 20 Procedures if the Transmission Provider is Unable to Complete New Transmission Facilities for Firm Point-To-Point Transmission Service .. Delays in Construction of New Facilities .. Alternatives to the Original Facility Additions .. Refund Obligation for Unfinished Facility Additions .. 21 Provisions Relating to Transmission Construction and Services on the Systems of Other Responsibility for Third-Party System Coordination of Third-Party System Additions .. 22 Changes in Service Specifications .. Modifications on a Non-Firm Basis .. Modification on a Firm Basis .. 23 Sale or Assignment of Transmission Service .. Procedures for Assignment or Transfer of Service.

9 Limitations on Assignment or Transfer of Service .. Information on Assignment or Transfer of Service .. 24 Metering and Power Factor Correction at Receipt and Delivery Points(s) .. Transmission Customer Obligations .. Transmission Provider ACCESS to Metering Power Factor .. 25 Compensation for Transmission Service .. 26 Stranded Cost 27 Compensation for New Facilities and Redispatch Costs .. III. NETWORK INTEGRATION TRANSMISSION SERVICE .. Preamble .. 28 Nature of Network Integration Transmission Service .. Scope of Service .. Transmission Provider Network Integration Transmission Service .. Secondary Service .. Real Power Losses .. Restrictions on Use of Service .. 29 Initiating Service .. Condition Precedent for Receiving Service .. Application Procedures.

10 Technical Arrangements to be Completed Prior to Commencement of Service .. Network Customer Facilities .. Filing of Service Agreement .. 30 Network Resources .. Designation of Network Resources .. Designation of New Network Resources .. Termination of Network Resources .. Operation of Network Resources .. Network Customer Redispatch Obligation .. Transmission Arrangements for Network Resources Not Physically Interconnected With the Transmission Limitation on Designation of Network Resources .. Use of Interface Capacity by the Network Customer .. Network Customer Owned Transmission Facilities .. 31 Designation of Network Load .. Network Load .. New Network Loads Connected With the Transmission Provider .. Network Load Not Physically Interconnected with the Transmission New Interconnection Points.