Replacement Costs

Replacement Costs. Means with respect to a period of time, the difference between (a) the actual costs, including without limitation related penalties and transmission costs, incurred by Buyer to replace any shortfall between (1) the Supply Amount and (2) the Delivered Amounts of Energy (or in the case of Ancillary Services the Supplier's schedule of Ancillary Services) during such period and (b) the payments the Supplier would have been entitled to in respect of such shortfall in delivery; provided that... Replacement Costs shall also be subject to the annual true-up mechanism set forth in Section 7.5. View More