What is a “Bona Fide” AMA - CommPartners
What is a “Bona Fide” AMA - CommPartners
What is a “Bona Fide” AMA - CommPartners
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The good news …<br />
• FERC concluded that <strong>AMA</strong>s are desirable and lead to more<br />
efficient allocation of capacity<br />
• In Order No. 712, FERC Granted exemptions to address the<br />
barriers to <strong>AMA</strong>s<br />
� Capacity Tying Prohibition – bona fide <strong>AMA</strong>s are expressly<br />
exempted from the tying prohibition<br />
� Maximum Rate – fees and profit sharing associated with bona fide<br />
<strong>AMA</strong>s are not applied to the rate paid for purposes of compliance<br />
with the maximum rate cap<br />
� Bidding Requirement – bona fide <strong>AMA</strong>s must be posted, but they<br />
are exempt from bidding, regardless of the term or rate<br />
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