2025 Block Energy (AIC, ComEd, and MEC) and Capacity (AIC) RFPs

The Procurement Administrator posted the presentation materials and the audio recording from the bidder information webcast held on July 24, 2025 to the Final Materials page of the Block Energy and Capacity section of the procurement website.

A contract comment process is expected to be held in Spring 2026 on the draft supplier contracts for the Spring 2026 Block Energy and Capacity RFP prior to the supplier contracts being finalized. At that time an announcement will be sent to website registrants and a Calendar will be posted on the procurement website for deadlines regarding this expected comment process.

Each year the IPA submits its Electricity Procurement Plan (“Plan”) to the Illinois Commerce Commission (“ICC”) in compliance with Public Act 95-0481 (the “Act”), which includes the Illinois Power Agency Act (“IPA Act”). Starting with the 2018 Procurement Plan, the IPA has conducted two energy procurements and two capacity procurements each year, one in the spring and one in the fall.

On September 29, 2025, the IPA filed its 2026 Electricity Procurement Plan (“2026 Plan”) to the Illinois Commerce Commission (“ICC”). The 2026 Plan proposes for two energy procurements and two capacity procurements in 2026, one each in the spring and one each in the fall. The ICC is required to enter its Order confirming or modifying the 2026 Plan on or before December 29, 2025.

Please visit the Illinois Power Agency’s website for more information on the 2026 Electricity Procurement Plan: https://ipa.illinois.gov/electricity-procurement/electricity-procurement-plan.html

The Block Energy and Capacity (“BEC”) RFP is for the purchase of wholesale power by the utilities, Ameren Illinois Company (“AIC”), Commonwealth Edison Company (“ComEd”), and MidAmerican Energy Company (“MEC”), and capacity by AIC. It is not a developer-specific or facility-specific procurement. A Product in the procurement of Block Energy is a constant quantity of energy to be supplied to a Company at the delivery point specified by that Company in either the On-peak Segment or the Off-Peak Segment of a specific month. The Target for a Product is expressed in 25 MW blocks. A Product in the procurement of capacity for AIC’s portfolio is a Zonal Resource Credit (“ZRC”), as such term is defined in MISO’s Business Practice Manuals and MISO’s Open Access Transmission, Energy and Operating Reserve Market Tariff, for a Season. One ZRC in the procurement event of capacity for AIC represents one megawatt of Seasonal Accredited Capacity for a given Season of a Planning Year and is either “MISO-Delivered” or “Financially-Settled”.

A Bidder that submits a Proposal to the BEC RFP must meet the qualification requirements described in the BEC RFP Rules published prior to the specific spring or fall procurement events. As a reference, the governing documents from the Spring 2025 BEC RFP and the Fall 2025 BEC RFP are posted to the procurement website and include the supplier contract documents. Capitalized terms are defined in the governing documents: https://www.ipa-energyrfp.com/block-energy-and-capacity/final-materials/

If you have not done so already, please register to join our mailing list to receive updates and information regarding the Block Energy and Capacity RFP here: https://www.ipa-energyrfp.com/contact-us/register/

The Illinois Commerce Commission (“ICC”) is scheduled to render its decision on the results of the AIC Capacity procurement event on October 2, 2025. By the seventh (7th) business day after the ICC decision, Bidders that had Bids approved by the ICC must have completed payment of the Supplier Fees due to the IPA. The Supplier Fees are due to the IPA by Monday, October 13, 2025.

Two electronic methods of payment, ACH or E-Pay, will be accepted by the IPA for the payment of the required supplier fees. The Procurement Administrator will distribute detailed instructions for payment of the supplier fees to Bidders that had Bids approved by the ICC after the ICC renders its decision.

For clarity, a Product in the procurement of capacity for AIC’s portfolio is a Zonal Resource Credit (“ZRC”), as such term is defined in MISO’s Business Practice Manuals and MISO’s Open Access Transmission, Energy and Operating Reserve Market Tariff, for a Season. One ZRC in the procurement event of capacity for AIC represents one megawatt of Seasonal Accredited Capacity for a given Season of a Planning Year and is either “MISO-Delivered” or “Financially-Settled”. The Supplier Fees are levied on a “per ZRC” basis and are levied only on Bidders that have Bids approved by the ICC.

For example, given the Supplier Fee for Capacity Products under the Fall 2025 BEC RFP is $20 per ZRC, if a Bidder has winning Bids for 100 ZRCs of the Summer 2026-2027 Product, and winning Bids for 100 ZRCs of the Fall 2026-2027 Product, the Bidder will pay $4,000 (considering the 100 ZRCs on Summer and the 100 ZRCs on Fall), i.e., $20/ZRC x (100 ZRCs + 100 ZRCs), to the Illinois Power Agency by the seventh business day after the ICC decision.

An “Annual Combination” is a grouping of all four Products in a Planning Year. In the case of winning Bids approved by the Commission for an Annual Combination, the Bidder will be required to pay the Supplier Fee amount times the number of ZRCs times the number of Products (four) in the Annual Combination.

For example, given the Supplier Fee for Capacity Products under the Fall 2025 BEC RFP is $20 per ZRC, if a Bidder has winning Bids for 100 ZRCs of the 2026-2027 Annual Combination, the Bidder will pay $8,000, i.e., $20/ZRC x (100 ZRCs * 4), i.e., 100 ZRCs for each of the four Products in the Annual Combination, to the Illinois Power Agency by the seventh business day after the ICC decision.

Please see the “Block Energy Procurement Events Results (September 11, 2025)” posted to the Results page of the Block Energy and Capacity section of the procurement website.

In accordance with the Act and ICC Orders, the following information is made public at the time of ICC approval of a procurement event for Energy Products for a Company: (i) the names of successful Bidders; (ii) the load-weighted average of the winning Bids for each Segment of each month; (iii) the load-weighted average of the winning Bids for each Product and for each Combination; (iv) the number of megawatts awarded for each Segment of each month, provided that there are at least three (3) successful Bidders; and (v) the number of megawatts awarded for each Product and for each Combination, provided that there are at least three (3) successful Bidders.

Additionally, the expected fuel mix data related to winning Bids for a procurement event for Energy Products is aggregated across successful Bidders and made public at the time of ICC approval of a procurement event for Energy Products.

The Companies will directly notify winning suppliers of the amount of any required performance assurance that is due by 12pm CPT on the third business day after the ICC decision.

Pursuant to the Illinois Power Agency Act, 20 ILCS 3855/1-5, et seq., and the Illinois Public Utilities Act, 220 ILCS 5/1-101, et seq., on September 30, 2024, the IPA filed its 2025 Electricity Procurement Plan (“2025 Plan”) to the Illinois Commerce Commission (“ICC”) in compliance with Public Act 95-0481 (the “Act”), which includes the Illinois Power Agency Act (“IPA Act”). The ICC issued an Order on December 19, 2024 approving the 2025 Plan. As detailed in Section 8 of the 2025 Plan, Section 16-111.5(e) of the Public Utilities Act specifies several components of the procurement process, including the selection of “bids”. Please see the following excerpt quoting Section 16-111.5(e) of the Public Utilities Act found on document page 110 of the 2025 Plan:

“(4) Request for proposals competitive procurement process. The procurement administrator shall design and issue a request for proposals to supply electricity in accordance with each utility’s procurement plan, as approved by the Commission. The request for proposals shall set forth a procedure for sealed, binding commitment bidding with pay-as-bid settlement, and provision for selection of bids on the basis of price.”

The Illinois Commerce Commission (“ICC”) is scheduled to render its decision on the results of the procurement events for Energy Products on September 11, 2025. By the seventh (7th) business day after the ICC decision, Bidders that had Bids approved by the ICC must have completed payment of the Supplier Fees due to the IPA. The Supplier Fees are due to the IPA by Monday, September 22, 2025.

Two electronic methods of payment, ACH or E-Pay, will be accepted by the IPA for the payment of the required supplier fees. The Procurement Administrator will distribute detailed instructions for payment of the supplier fees to Bidders that had Bids approved by the ICC after the ICC renders its decision.

The contract execution process is fully described in Paragraph VI.2.18 of the RFP Rules and summarized below.

By 12 PM CPT (1 PM Eastern Prevailing Time) on the third business day after the ICC decision, winning bidders must execute the signature pages of the partially executed applicable supplier contracts and related documents and send such fully executed signature pages to the Company electronically. Upon execution of the applicable supplier contracts and related documents in counterparts by both parties, such supplier contracts and related documents are fully executed.

Winning bidders must also meet the creditworthiness requirements under the applicable supplier contracts by 12 PM CPT on the third business day after the ICC decision.

Winning bidders in the AIC Energy procurement event wishing to rely on the financial standing of a Guarantor must provide a fully executed guaranty to AIC electronically by 12 PM CPT on the third day after the ICC decision. Bidders must use the standard form of guaranty, “Form of Guaranty”, and may incorporate the optional changes for AIC. The optional changes for AIC are in the documents named “Schedule 1 to the Form of Guaranty” and “Schedule 2 to the Form of Guaranty”. If this bidder is already a supplier to AIC from a prior procurement event, they may not amend their existing Guaranty and must issue a new Guaranty.

Winning bidders in the ComEd procurement event wishing to rely on the financial standing of a Guarantor must use the standard form of guaranty, “Schedule 2 to Collateral Annex (Guaranty)”, and may incorporate the optional changes for ComEd. The optional changes for ComEd are in the document named “Optional Changes to the Form of Guaranty”. If the winning bidder is already a supplier to ComEd from a prior procurement event, they can amend their existing Guaranty and are not required to issue a new Guaranty provided the Guaranty remains in effect.

A Bidder may also meet the collateral requirements of the (AIC) Confirmation Agreement and (ComEd) Master Agreement by posting cash or using one of two options for the Post-Bid Letter of Credit available under each of the applicable supplier contracts. All documents referenced are posted to the Final Materials page of the procurement website.

If you would like to the modify the amount of the Pre-Bid Letter of Credit for a procurement event for Energy Products to increase the number of blocks you are eligible to bid for a Company, you must submit an amendment to the Pre-Bid Letter of Credit. The amendment must modify the amount of the Pre-Bid Letter of Credit to an amount no less than $5,000 times the total number of blocks that the Bidder intends to bid across all Segments and months for the Company or $250,000, whichever is greater. The electronic PDF file of the amendment to the Pre-Bid Letter of Credit must be sent from the issuing bank to the email addresses provided in the instructions for the submission of Bid Assurance Collateral that were provided to Bidders by email on August 12, 2025. The amendment must be received and accepted prior to the close of the Bid Window on the Bid Date.

The delivery point under the (AIC) Confirmation Agreement is the Ameren Illinois Company Load Zone (MISO CP Node AMIL.BGS6, or any successor thereto). The delivery point under the (ComEd) Master Agreement is the ComEd Residual Aggregate Pnode ID 116472935 (“COMED_RESID_AGG”) or its successor.

The evaluation procedure is described in Section VI.2 of the Fall 2025 Block Energy and Capacity RFP Rules. The evaluation of Bids for the procurement of Energy Products for a Company proceeds in two steps. In the first step, all Bids that fail to meet the benchmarks are eliminated. In accordance with the Act, the benchmarks are established by the Procurement Administrator, in consultation with the IPA, the Procurement Monitor, and the ICC Staff. The benchmarks are confidential and subject to review and approval by the ICC. In the second step, the Procurement Administrator evaluates all Bids that meet or beat the benchmarks and selects a package of Bids (across blocks for individual Products as well as blocks for Combinations that include that Product) that procures all needed blocks, if possible, for the Company at the lowest average cost per MWh. This package of Bids is called the Least Cost Package (for that Company).

It is the responsibility of each bidder to review the terms and conditions of the RFP Rules posted to the Block Energy and Capacity Procurement section of the procurement website. Each bidder accepts these terms as a condition of its participation in the BEC RFP.

If you are a winning bidder in the upcoming procurement events, for a given Company, you must execute a new supplier contract regardless of whether you are a winning supplier or not from a prior procurement event.

The Bid Form(s), Confidential Information for Training (blue background), and Confidential Information for the Bid Date (light purple background for the procurement events for Energy Products and light green background for the procurement event for AIC Capacity Products), were distributed with the Part 1 Notification via the application website on August 18, 2025. A Bidder can access these files using the same login credentials used to access the online Part 1 and Part 2 Forms. Please see the “My Documents” section.

For clarity, a block represents 25 MWs in each hour of a Product. A “Product” is a constant quantity of energy to be supplied to a Company at the delivery point specified by that Company in either the On-Peak Segment or the Off-Peak Segment of a specific month. All on-peak hours in a given month constitute the “On-Peak Segment” for that month. All off-peak hours constitute the “Off-Peak Segment” for that month. Thus, the amount supplied (25 MWs) in each hour does not vary based on the Product. The Supplier Fees are levied on a “per on-peak block” and “per off-peak block” basis and do not depend on the number of days or hours in the month.

For example, given the Supplier Fee for Energy Products under the Fall 2025 BEC RFP is $417 per on-peak block, if a Bidder has a winning Bid for one block of the On-Peak Jun 2026 Product, the Bidder will pay $417 ($417 x 1 block) to the Illinois Power Agency by the seventh business day after the ICC decision.

A “Combination” is a grouping of two or more Products in a given Segment (and for a given Company). In the case of winning Bids approved by the Commission for a Combination, the Bidder will be required to pay the Supplier Fee amount times the number of blocks times the number of Products in the Combination.

For example, given the Supplier Fee for Energy Products under the Fall 2025 BEC RFP is $417 per on-peak block, if a Bidder has a winning Bid for one block of the On-Peak Jun26 to May27 Combination, the Bidder will pay $5,004 ($417 x 12 blocks (1 block for each of the 12 Products)) to the Illinois Power Agency by the seventh business day after the ICC decision.

The website for the Secure Bid Transfer interface is listed in the Confidential Information for Training (blue background) and the Confidential Information for the Bid Date (light purple background for the procurement events for Energy Products and light green background for the procurement event for AIC Capacity Products), which were distributed with the Part 1 Notification via the application website on August 18, 2025. A Bidder can access these files using the same login credentials used to access the online Part 1 and Part 2 Forms. Please see the “Documents” section.

Bidder Training is done via the Procurement Administrator’s Secure Bid Transfer interface and is not conducted via a webcast. As such, there will be no recording available related to Bidder Training.

Bidder Training consists of time set aside for Bidders to practice all aspects of the bid submission procedures. The Procurement Administrator is available at that time to answer questions regarding the completion of the Bid Form(s) and to evaluate the Bid Form(s).

Please have on hand the Invitation(s) to Bidder Training, the Bid Form(s), the Confidential Information for Training (blue background), and the Bid Form Guide(s). These documents were distributed with the Part 1 Notification via the application website on August 18, 2025. A Bidder can access these files using the same login credentials used to access the online Part 1 and Part 2 Forms. Please see the “Documents” section.

If you are unable to practice the bid submission procedures during the designated timeframe, please contact the Procurement Administrator to schedule an alternate time to practice the bid submission procedures.

All bid assurance collateral remains in place until the Commission has rendered a decision on the results of a procurement event. For Bidders with Bids approved by the Commission, bid assurance collateral remains in place until full execution of the applicable supplier contract and related documents, until the Bidder has met the credit requirements under the applicable supplier contract, and until payment of the Supplier Fee due to the Illinois Power Agency is received. Return of cash tendered as bid assurance to a Company is not initiated until the Bidder sends to a Company the fully executed request for the return of cash in a form acceptable to that Company. Bidders participating in a procurement event for AIC who are not yet set up on AIC’s vendor portal used for the return of cash should note that account set up may take six (6) business days after the Commission’s decision on the results of a procurement event.

The Commission renders its decision on the results of the procurement events for Energy Products on Thursday, September 11, 2025. The Commission renders its decision on the results of the procurement event for AIC Capacity Products on Thursday, October 2, 2025.

The Issuing Bank may request that the Pre-Bid Letter of Credit for a Company be cancelled before the Expiration Date but after the ICC renders its decision on the results of a procurement event if either: 1) the Bidder is a winning Bidder, the applicable supplier contract and related documents have been executed, the Bidder has met the credit requirements under the applicable supplier contract, and the Bidder has completed payment of the Supplier Fees due to the Illinois Power Agency; or 2) the Bidder is not a winning Bidder. Please see Paragraph VI.2.18 for additional information on deadlines related to the Post-Bid Process.

The Issuing Bank should send such request for cancellation by email to the email addresses provided in the applicable Pre-Bid Letter of Credit for a Company. A Company will cancel the Pre-Bid Letter of Credit by sending an electronic PDF file of Annex 3 Certificate of Cancellation executed by an Authorized Officer of the Company.

If you would like to the modify the Expiration Date of the Pre-Bid Letter of Credit for a procurement event for Energy Products, you must submit an amendment to the Pre-Bid Letter of Credit. The amendment must modify the Expiration Date of the Pre-Bid Letter of Credit to no earlier than October 1, 2025. The electronic PDF file of the amendment to the Pre-Bid Letter of Credit must be sent to the email addresses provided in the instructions for the submission of Bid Assurance Collateral that were provided to Bidders by email on August 12, 2025.

Bidders must use the contract documents issued under this Fall 2025 BEC RFP, including the Post-Bid Standard Form of Letter of Credit (Option 1 or Option 2) should the bidder wish to use a letter of credit for performance assurance purposes. These documents were posted to the Final Materials page of the Block Energy and Capacity Procurement section of the procurement website on July 22, 2025. Any required performance assurance may also be posted in the form of cash.

Neither the Procurement Administrator nor the Companies review draft language for the Pre-Bid Letters of Credit.

A Bidder that is submitting Bids for the Fall 2025 Block Energy procurement event for a Company must, in its Part 2 Proposal, submit financial guarantees by providing either cash or a Pre-Bid Letter of Credit for that Company. The Pre-Bid Letter of Credit must be in the form of the Standard Pre-Bid Letter of Credit for a Company or incorporate only modifications approved by that Company as posted to the procurement website. The modifications approved by each Company were posted to the Final Materials page of the Block Energy and Capacity Procurement section of the procurement website on June 27, 2025.

Please see Paragraph VI.2.14 of the RFP Rules, which states “[f]or each Segment of each month, the price paid to the winning Bidder is the average of the Bidder’s own winning Bids for all blocks of that Product and for all blocks of a Combination that includes that Segment of that month.”

A bank issuing a Pre-Bid Letter of Credit must meet the requirements listed in Paragraph 14 of the Standard Pre-Bid Letters of Credit or incorporate only modifications approved by a Company and posted to the procurement website. The final Standard Pre-Bid Letters of Credit and the final lists of acceptable modifications to the Pre-Bid Letters of Credit are posted to the Final Materials page of the Block Energy and Capacity section of the procurement website.

No. A Pre-Bid Letter of Credit executed for the Fall 2025 BEC RFP may not be used for a future BEC RFP.

The Pre-Bid Letter of Credit expires on the date stated as part of its terms. In the case that the Bidder is not a winning Bidder, the Issuing Bank may request that the Pre-Bid Letter of Credit for a Company be cancelled before the Expiration Date, but only after the ICC renders its decision on the results of a procurement event. The Issuing Bank should send such request for cancellation by email to the email addresses provided in the applicable Pre-Bid Letter of Credit for a Company.

The Bid Assurance Collateral Instructions for each Company were distributed to Bidders on August 12, 2025. The instructions will include both information on how to submit cash as bid assurance collateral to the Companies as well as how to transmit the Pre-Bid Letter of Credit to the Companies.

The final Targets for ComEd for each month are found in the first table on page two in the document labeled “Final BEC Targets” posted to the procurement website on August 12, 2025. The “Target” for a Product is the quantity of that Product that this RFP seeks to procure expressed in numbers of 25 MW blocks. Thus, the number of MWs to be procured for October 2025 in the On-Peak segment for ComEd, for example, is 125 MW (5 x 25 MW). The second table on that page is the number of blocks available for each Combination for ComEd, which is set to the minimum Target for the Products in that Combination.

The evaluation of Bids for the procurement of Energy Products for a Company, described in Section VI.2 of the RFP Rules, proceeds in two steps. In the first step, all Bids that fail to meet the benchmarks are eliminated. In the second step, the Procurement Administrator evaluates all Bids that meet or beat the benchmarks and selects a package of Bids (across blocks for individual Products as well as blocks for Combinations that include that Product) that procures all needed blocks, if possible, for the Company at the lowest average cost per MWh. This package of Bids is called the Least Cost Package (for that Company).

It is the responsibility of each bidder to review the terms and conditions of the RFP Rules posted to the Block Energy and Capacity Procurement section of the procurement website. Each bidder accepts these terms as a condition of its participation in the BEC RFP.

Yes, Bidders with winning Bids for a procurement event for Energy Products for a Company must complete the Fuel Mix Report to provide the expected fuel mix data related to the Bids identified as winning Bids. The Fuel Mix Report template was distributed with the Part 1 Notification via the application website on August 18, 2025. A Bidder can access this file using the same login credentials used to access the online Part 1 Form. Please see the “Documents” section. The report must be submitted in Excel format by email to Illinois-RFP@nera.com by 6 PM CPT on September 9, 2025.

Please refer to FAQ-BEC-10 for additional information.

No, the Collateral Requirement under an applicable supplier contract applies only to the Seller.

For purposes of the (AIC) Confirmation Agreement, the Independent Amount does not apply given the applicable boxes are unchecked in Section III of Paragraph 10 of the Collateral Annex to the Confirmation Agreement. Likewise, for purposes of the (ComEd) Master Agreement, the Independent Amount does not apply given the applicable boxes are unchecked in Section III of Paragraph 10 of the Collateral Annex to the EEI Master Agreement.

The Rounding Amount under the (ComEd) Master Agreement is found in Section V of Paragraph 10 to the Collateral Annex. The Party A Rounding Amount, applicable to the Supplier, is $10,000.

The Final Targets are not available in Microsoft Excel format. Final Targets are posted in PDF format to the Final Materials page of the Block Energy and Capacity section of the procurement website.

The Final Fall 2025 (AIC) Capacity Agreements, namely the (AIC) MISO-Delivered Capacity Agreement and the (AIC) Financially-Settled Capacity Agreement, were posted to the Final Materials page of the Block Energy and Capacity section of the procurement website on July 22, 2025. No comments were solicited on the (AIC) Capacity Agreements under the Fall 2025 BEC RFP.

The Procurement Administrator does not have an exhaustive list of evidence that must be submitted; however, a screenshot of the member list page on PJM’s website clearly showing the Bidder is an Affiliate Member or a Voting Member is an example that would meet the requirement.

Final targets for the Fall 2025 BEC RFP are expected be posted to the Final Materials page of the Block Energy and Capacity section of the procurement website by August 18, 2025.

The Federal Funds Effective Rate is not applicable under the (ComEd) Master Agreement. This is indicated by the checkbox pre-populated with an interest rate of zero (0) percent if a bidder elects for ComEd to hold cash. The only election that a bidder can make is either to allow ComEd to hold cash, in which case the interest rate will be zero (0) percent, or not to allow ComEd to hold cash.

Only minor changes were made to the Confirmation Sheet for ComEd between the Spring 2025 BEC RFP and the Fall 2025 BEC RFP. All other contract documents remain unchanged.

Redlines of these changes are posted to the Final Materials page of the Block Energy and Capacity section of the procurement website.

A Bidder that paid a Bid Participation Fee pursuant to its participation in a prior 2025 procurement event, such as the Spring 2025 Block Energy and Capacity RFP, is not required to pay the Bid Participation Fee for the Fall 2025 BEC RFP.

A Bidder may, but is not required to, specify a MWS for a Product, which is the maximum number of ZRCs, across MISO-Delivered ZRCs and Financially-Settled ZRCs, that the Bidder is willing to win for that Product, across all ZRCs bid on that Product individually as well as all ZRCs bid on the Annual Combination that includes that Product.

A Bid for Financially-Settled ZRCs for a given Season of a Planning Year must be for at least four (4) ZRCs at each price point. A Bid for MISO-Delivered ZRCs for a given Season and Source Zone of a Planning Year must be for at least four (4) ZRCs at each price point. As such, if a Bid for ZRCs has been placed for a given Season, the specified ZRC MWS for that Product must be at least four (4) ZRCs. There is no minimum quantity requirement for a Bid for an Annual Combination.

As there is no minimum quantity requirement for a Bid for an Annual Combination, in certain scenarios, the ZRC Default MWS may be less than four (4) ZRCs. When this is the case, the ZRC MWS should remain equal to the ZRC Default MWS. For instance, for a given Planning Year, if a Bidder only bids for three (3) total ZRCs on the Annual Combination, and no ZRCs on a Season alone, the ZRC Default MWS for a given Season will be three (3) ZRCs. In this scenario, the ZRC MWS should remain equal to the ZRC Default MWS.

If a Bidder does not specify a maximum willingness to supply, it will be assumed, for each Product, that the Bidder is willing to win up to the number of ZRCs bid across MISO-Delivered ZRCs and Financially-Settled ZRCs for that Product and across ZRCs bid on that Product individually and the Annual Combination that includes that Product, or that the Bidder is willing to win up to the ZRC Target for that Product, whichever is smaller.

Please see Section V.10 of the RFP Rules for additional information regarding Bids on Capacity Products and maximum willingness to supply.

The collateral requirement under each of the (AIC) Confirmation Agreement and the (ComEd) Master Agreement for the energy procurement events is based on a mark-to-market methodology. For the (ComEd) Master Agreement, this methodology is described in Schedule 3 (MtM Calculation) to the Collateral Annex. For the (AIC) Confirmation Agreement, relevant information is provided in Exhibit D – Collateral Annex and Exhibit E – Paragraph 10 to the Collateral Annex. There is not a minimum or maximum amount of performance assurance required on a per block basis.

Under the applicable supplier agreement, the bidder or a guarantor, if applicable, may be granted unsecured credit based on a creditworthiness assessment. The creditworthiness assessment is based on the Bidder’s (or Guarantor’s, as applicable) financial statements and credit ratings submitted with the Part 1 Proposal and the result of the assessment will be provided to the Bidder with the Part 1 Notification. If the Bidder is relying on the creditworthiness of a Guarantor, an executed guaranty acceptable to the Buyer must be provided.

Any required performance assurance may be posted in the form of cash or a letter of credit. The standard forms of the guaranty and the letter of credit are appended to each of the supplier agreements. There is a Minimum Transfer Amount, defined under the applicable supplier agreements, of $100,000 for each of AIC and ComEd (subject to rounding).

Please note that for the (AIC) Confirmation Agreement, a bidder should refer to the front portion of the Confirmation Agreement, and for the (ComEd) Master Agreement, a bidder should refer to the Cover Sheet of the (ComEd) Master Agreement, for amendments and elections to the EEI Collateral Annex and paragraph 10 to the Collateral Annex.

It is the responsibility of each bidder to review the terms of the applicable supplier agreement (for each of AIC and ComEd) posted to the Block Energy and Capacity Procurement section of the procurement website. Each bidder accepts these terms as a condition of its participation in the BEC RFP.

The post-bid process is discussed in Section VI.2 of the RFP Rules, and the contract execution process for each Company is fully described in Paragraph VI.2.18 of the RFP Rules.

Performance Assurance under each of the (AIC) Capacity Agreements (the (AIC) MISO-Delivered Capacity Agreement and the (AIC) Financially-Settled Capacity Agreement) is based on an aggregate amount equal to the Total Exposure Amount less the applicable Collateral Threshold Amount. The requirements for posting, transferring, holding and using Performance Assurance are set forth in Attachment A of each (AIC) Capacity Agreement.

“Total Exposure Amount” means an amount calculated each Business Day reflecting the total credit exposure of the Buyer, on an aggregate basis, consisting of the sum of: (i) the Exposure amount (however so calculated under a Confirmation Agreement and any other Fixed Price Customer Supply Contracts) calculated by the Buyer in a commercially reasonable manner; provided, that if a Fixed Price Customer Supply Contract does not include provisions for margining mark-to-market exposure, then such Fixed Price Customer Supply Contract will not be included for purposes of this calculation; and (ii) any amount required as security from the Seller pursuant to any other Fixed Price Customer Supply Contract that is not collateral posted as margin and treated as part of any Exposure amount; provided, however, that in the event the Total Exposure Amount for any day is a negative number, the Total Exposure Amount shall be deemed to be zero for such day.

“Collateral Threshold Amount” means, with respect to the Seller or its Guarantor, if applicable, the amount determined in accordance with Table B provided in the applicable (AIC) Capacity Agreement.

Under the MISO-Delivered (AIC) Capacity Agreement, “Exposure” means the sum of: (i) 10% of the Remaining Contract Value under the MISO-Delivered (AIC) Capacity Agreement as determined by Buyer in a commercially reasonable manner and (ii) the summation across the applicable Seasons the following calculation: for each Season separately, in the event that the Seasonal Total Reduction is greater than the Seasonal Total, 100% of the positive difference between the Seasonal Total Reduction and the Seasonal Total net of any payment made to Buyer in connection with the Adjusted Seasonal Total. The Seasonal Total, Seasonal Total Reduction, and Adjusted Seasonal Total are described on page 2 to the MISO-Delivered (AIC) Capacity Agreement. The Remaining Contract Value is described on page 14 of the MISO-Delivered (AIC) Capacity Agreement.

Under the Financially-Settled (AIC) Capacity Agreement, “Exposure” means 10% of the Remaining Contract Value under the Financially-Settled (AIC) Capacity Agreement as determined by Buyer in a commercially reasonable manner. The Remaining Contract Value is described on page 12 of the Financially-Settled (AIC) Capacity Agreement.

Any required Performance Assurance may be posted in the form of cash or a letter of credit. The standard forms of the guaranty and the letter of credit are appended to each of the (AIC) Capacity Agreements. There is a Minimum Transfer Amount, defined under the applicable supplier agreements, of $10,000 (subject to rounding). However, if the bidder has entered into one or more energy or swap Fixed Price Customer Supply Contracts for energy in addition to the (AIC) Capacity Agreement(s), the “Minimum Transfer Amount” shall equal $100,000. Please see Attachment A to the (AIC) Capacity Agreements for additional information regarding rounding.

It is the responsibility of each bidder to review the terms of the applicable (AIC) Capacity Agreement (MISO-Delivered Capacity Agreement and/or Financially-Settled Capacity Agreement) posted to the Block Energy and Capacity Procurement section of the procurement website. Each bidder accepts these terms as a condition of its participation in the BEC RFP.

A Bidder that submits a Proposal to the BEC RFP must meet the qualification requirements described in Sections IV and V of the BEC RFP Rules. For the procurement events for Energy Products, as fully described in the BEC RFP Rules, the Part 1 Proposal requirements include, but are not limited to, being a member of PJM in good standing (either as an Affiliate Member or as a Voting Member as those terms are defined by PJM) and/or a Certified Market Participant in MISO (as this term is defined by MISO) as of the opening of the Part 1 Window. A Bidder that is not able to meet this requirement cannot proceed further in the Proposal submission process.

Under the terms of the (AIC) MISO-Delivered Capacity Agreement, for a given Source Zone and for a given Season of a Planning Year, the amount paid to the Seller is the average of the Seller’s own approved Bids for all applicable ZRCs, in $/MW-day, multiplied by the number of ZRCs delivered, multiplied by the number of calendar days in the Season for such Planning Year. If any of the ZRCs that are delivered are not located in LRZ 4, which is the zone in which AIC’s capacity obligations reside, the payment to the Seller for a given Season of a Planning Year is adjusted for each Source Zone (as applicable).

If the Bidder were to only win the Annual Combination product for a Planning Year for ZRCs located in LRZ 4, then the average of the Seller’s own approved Bids, in $/MW-day, in this calculation would be the same for all ZRCs delivered regardless of the Season.

Please see FAQ-BEC-1 and FAQ-BEC-2 for examples of the payment adjustment on ZRCs delivered under the (AIC) MISO-Delivered Capacity Agreement if the ZRCS are not from LRZ 4.

Please see FAQ-BEC-5 and FAQ-BEC-6 for examples of the financial settlement amount under the (AIC) Financially-Settled Capacity Agreement.

Please email the Procurement Administrator at Illinois-RFP@nera.com to receive this information.

Please contact the Procurement Administrator at Illinois-RFP@nera.com to receive this information.

When completing the Fuel Mix Report (Appendix 20) for a procurement event for Energy Products for a Company (AIC and/or ComEd), the Bidder should provide the expected fuel mix underlying the bids to the best of the Bidder’s ability. It is expected that the Bidder would not just provide “PJM fuel mix” or “MISO fuel mix” in this report if the Bidder has specific generation resources identified. It is possible that the actual fuel mix may remain to be determined at the point of bidding, and if for a portion this is the case, the Bidder can indicate that within the Fuel Mix Report.

If the energy to be supplied is expected to be sourced from PJM or MISO, then the Bidder should write either “PJM fuel mix” or “MISO fuel mix” in the “Other” column and fill in the applicable percentage for each month, year, and segment (On-Peak or Off-Peak).

It is not a condition of participation in the RFP that the Bidder itself meet a certain credit rating threshold or that the Bidder rely on the financial standing of a Guarantor that meets a certain credit rating threshold.

Under the applicable supplier agreement, the Bidder or a Guarantor, if applicable, may be granted unsecured credit based on a creditworthiness assessment. The creditworthiness assessment, provided to the Bidder with the Part 1 Notification, is based on the Bidder’s (or Guarantor’s, as applicable) financial statements and credit ratings submitted with the Part 1 Proposal. If the Bidder (or Guarantor, as applicable) does not meet the minimum credit ratings, as provided in Table A of the (AIC) Confirmation Agreement, Paragraph 10 of the Coversheet of the (ComEd) Master Agreement, Table B of the (AIC) MISO-Delivered Capacity Agreement, and Table B of the (AIC) Financially-Settled Capacity Agreement, then the Bidder (or Guarantor, as applicable) receives a Collateral Threshold Amount of zero and would not receive unsecured credit under the applicable contract. In this case, the Bidder would be required to post cash or a letter of credit to meet the collateral requirement under the applicable contract.

The minimum quantity requirement, which applies to Bids for both Financially-Settled ZRCs for a given Season of a Planning Year at each price point and MISO-Delivered ZRCs for a given Season and Source Zone of a Planning Year at each price point was introduced to align with the number of months relevant to a Bid for a Planning Year in procurement events held prior to MISO’s change to a seasonal construct. Prior to MISO’s change to a seasonal construct, a Bid for a Planning Year consisted of 12 months and after the change, a Bid for a Season of a Planning Year consisted of three months. A Bid is again relevant to 12 months with the introduction of the minimum quantity requirement.

A “Bid” includes a price, in $/MW-day, for ZRCs for a given Season of a Planning Year for which ZRCs are procured or for an Annual Combination for which ZRCs are procured. A Bid also includes the number of ZRCs to which the price applies and for a MISO-Delivered ZRC only the Source Zone of the ZRCs. A Bidder may not bid on a fraction of a ZRC. A Bid for Financially-Settled ZRCs for a given Season of a Planning Year must be for at least four (4) ZRCs at each price point. A Bid for MISO-Delivered ZRCs for a given Season and Source Zone of a Planning Year must be for at least four (4) ZRCs at each price point. There is no minimum quantity requirement for a Bid for an Annual Combination.

Under the terms of the (AIC) Financially-Settled Capacity Agreement, for a given Season of a Planning Year, the financial settlement amount is equal to the multiplicative product of (a) the result obtained by subtracting the ACP for the AIC Compliance Zone for such Season from the average of the Seller’s own approved Bids for such Season, in $/MW-day, (b) the number of calendar days in the Season, and (c) the number of Financially-Settled ZRCs approved by the Commission for the Season. The financial settlement can only be calculated once the MISO Planning Resource auction is completed for the Planning Year and the ACP for the AIC Compliance Zone is available. If the financial settlement amount is negative, then the Seller shall pay AIC the absolute value of this amount in accordance with the terms of the agreement.

No. of Financially-Settled ZRCs approved by the Commission for the Seller: 25 ZRCs for the Summer season
Average Winning Bid Price for the Summer season under the (AIC) Financially-Settled Capacity Agreement: $10/MW-day
AIC Compliance Zone ACP = $15/MW-day

Financial Settlement Amount = ($10 – $15) x 92 days x 25 ZRCs = – $11,500 (i.e., payment from Seller to AIC)

Under the terms of the (AIC) Financially-Settled Capacity Agreement, for a given Season of a Planning Year, the financial settlement amount is equal to the multiplicative product of (a) the result obtained by subtracting the ACP for the AIC Compliance Zone for such Season from the average of the Seller’s own approved Bids for such Season, in $/MW-day, (b) the number of calendar days in the Season, and (c) the number of Financially-Settled ZRCs approved by the Commission for the Season. The financial settlement can only be calculated once the MISO Planning Resource auction is completed for the Planning Year and the ACP for the AIC Compliance Zone is available. If the financial settlement amount is positive, then AIC shall pay the Seller this amount in accordance with the terms of the agreement.

No. of Financially-Settled ZRCs approved by the Commission for the Seller: 25 ZRCs for the Summer season
Average Winning Bid Price for the Summer season under the (AIC) Financially-Settled Capacity Agreement: $10/MW-day
AIC Compliance Zone ACP = $5/MW-day

Financial Settlement Amount = ($10 – $5) x 92 days x 25 ZRCs = $11,500

The payment adjustment is based on the difference between the Auction Clearing Price from the MISO Planning Resource Auction (“PRA”) for the Source Zone associated with the ZRCs and the Compliance Zone (LRZ 4). Please see FAQ-BEC-1 and FAQ-BEC-2 for examples of the payment adjustment.

Yes, this is correct. Only ZRCs from outside the compliance zone are subject to payment adjustments under the term of the (AIC) MISO-Delivered Capacity Agreement.

Under the terms of the (AIC) MISO-Delivered Capacity Agreement, payments to Seller will only be adjusted to reflect an increased payment if the Source Zone ACP in a season is greater than the Compliance Zone ACP in that season where the Compliance Zone is LRZ4.

For purposes of the below example, the “ACP” refers to the Auction Clearing Price from the MISO Planning Resource Auction (“PRA”) for the Summer season for the 2026/2027 Planning Year and the Compliance Zone is LRZ4. The example below is hypothetical. The results of the 2026/2027 MISO PRA are not yet available.

No. of ZRCs delivered by Seller: 25 ZRCs for the Summer season from Zone 3
Average Winning Bid Price for the Summer season under the (AIC) MISO-Delivered Capacity Agreement: $10/MW-day
Payment to Seller = $10 x 25 ZRCs x 92 days = $23,000
MISO Summer 2026/2027 PRA Results:
LRZ 4 ACP = $6/MW-day
LRZ 3 ACP = $20/MW-day
Adjustment to Payment = ($20 – $6) x 25 ZRCs x 92 days = $32,200
Adjusted Payment = $23,000 + $32,200 = $55,200

Under the terms of the (AIC) MISO-Delivered Capacity Agreement, payments to Seller will be reduced if the Compliance Zone ACP in a season is greater than the Source Zone ACP in that season where the Compliance Zone is LRZ4. If the amount of the payment reduction is greater than the unadjusted payment, then Seller (not Buyer) will have to pay Buyer under the (AIC) MISO-Delivered Capacity Agreement. We provide 2 examples below to illustrate this point.

For purposes of the below examples, the “ACP” refers to the Auction Clearing Price from the MISO Planning Resource Auction (“PRA”) for the Summer season for the 2026/2027 Planning Year and the Compliance Zone is LRZ4. The examples below are hypothetical. The results of the 2026/2027 MISO PRA are not yet available.

Example 1: Where the adjustment results in a reduced payment from Buyer to Seller.
No. of ZRCs delivered by Seller: 25 ZRCs for the Summer season from Zone 3
Average Winning Bid Price for the Summer season under the (AIC) MISO-Delivered Capacity Agreement: $18/MW-day
Payment to Seller = $18 x 25 ZRCs x 92 days = $41,400
MISO Summer 2026/2027 PRA Results:
LRZ 4 ACP = $20/MW-day
LRZ 3 ACP = $6/MW-day
Adjustment to Payment = – ($20 – $6) x 25 ZRCs x 92 days = – $32,200
Adjusted Payment = $41,400 – $32,200 = $9,200

Example 2: Where the adjustment results in payment from Seller to Buyer.
No. of ZRCs delivered by Seller: 25 ZRCs for the Summer season from Zone 3
Average Winning Bid Price for the Summer season under the (AIC) MISO-Delivered Capacity Agreement: $10/MW-day
Payment to Seller = $10 x 25 ZRCs x 92 days = $23,000
MISO Summer 2026/2027 PRA Results:
LRZ 4 ACP = $20/MW-day
LRZ 3 ACP = $6/MW-day
Adjustment to Payment = – ($20 – $6) x 25 ZRCs x 92 days = – $32,200
Adjusted Payment = $23,000 – $32,200 = – $9,200  (i.e., payment from Seller to Buyer)