Long Term Adjustment Account. (a) The existing long term adjustment account ("Long Term Adjustment Account") shall be included in the Mainline System's rate base and amortized at the annual Mainline System composite depreciation rate until December 31, 2020 and at the annual EOT composite depreciation rate after December 31, 2020, and shall include the following items:
(i) the existing Long Term Adjustment Account balance as of December 31, 2014;
(ii) an adjustment to eliminate the existing toll stabilization account ("TSA") account balance as of December 31, 2014 net of the amounts retained by TransCanada to its account in accordance with the incentive mechanism approved in the RH-003-2011 decision; and
(iii) an adjustment to eliminate any and all variances between the actual and forecast Revenue Requirement and actual and forecast revenue during the period from January 1, 2015 to December 31, 2020, net of the amounts retained by TransCanada to its account in accordance with the Incentive Mechanism outlined in Section 15.1.
(b) The Long Term Adjustment Account shall be allocated 100% to the EOT after December 31, 2020.
(c) The amortization of the Long Term Adjustment Account shall continue after the Term until the account balance equals zero.
Long Term Adjustment Account. The Long Term Adjustment Account will be amortized at the annual Mainline composite depreciation rate and will include the following items:
(a) $85 Million, which is the balance from the 2010 Adjustment Account;
(b) $300 Million to be added in 2011, which is the forecast of the aggregate of the 2010 Deferral Accounts;
(c) $29.2 Million to be added in 2012; and
(d) $29.3 Million to be added in 2013.
