• Lambda (I)

    The measure of the rate at which fuel is consumed relative to electric output, expressed in Btu's per kWh.

  • Lateral

    A pipe that branches away from the central and primary part of the system.

  • Lease

    Any instrument that gives a producer the right to drill for, produce, and dispose of oil and natural gas in, under, and from the lands described therein.

  • Levelized Life-Cycle Cost

    The present value of the cost of a resource, including capital, financing and operating costs, converted into a stream of equal annual payments.

  • Leverage Ratio

    The ratio of total debt to total assets; i.e. a measure that indicates the financial ability to meet debt service requirements.

  • Liability

    An amount payable in dollars or by future services to be rendered.

  • Life Line Rates

    A charge for a specified basic block of residential .electricity followed by a higher rate for use beyond that block. Such rates are to assure that certain categories of customers have enough electricity for basic uses.

  • Light-Handed Regulation

    Regulatory approval of rate levels resulting from arm's length negotiations, rather than calculated on a cost of service basis, and subject to challenge only under a complaint proceeding.

  • Light Load Hours

    Generally speaking, the term for that time of day on a system that could be considered off peak. Actual hours will vary with each power system.

  • Light Oil

    Lighter fuel oils distilled off during the refining process. Virtually all petroleum used in internal combustion and turbine engines is light oil.

  • Lignite

    Low-rank, brown coals which are distinctly brown and woody or claylike in appearance, and which contain relatively high moisture contents of between 30 and 70 percent of the fuel by weight. Sulfur may range from low to high and heating value may range from 3,500 to 7,000 Btu/lb.

  • Limit

    In a futures trading session, the maximum advance or decline in a futures price.

  • Limit Order

    A contingent order in futures trading specifying a maximum or minimum price.

  • Limiting Element

    The device in a system that has the lowest energy rating, there by setting the maximum amount of energy that can be transferred.

  • Line Loss

    The reduction in the quantity of natural gas flowing through a pipeline that results from leaks, venting, and other physical and operational circumstances on a pipeline system.

  • Line Pack and Draft

    Packing the line increases the amount of gas in the system by adding gas and/or increasing pressure and drafting the line decreases the amount of gas in the system by decreasing gas and/or decreasing pressure.

  • Liquidation

    The closing of futures positions.

  • Liquidity

    A high level of trading activity.

  • Liquids, Natural Gas

    Those liquid hydrocarbon mixtures that are gases at reservoir temperatures and pressures, but can be recovered by condensation or absorption. Natural gasoline and liquefied petroleum gases fall in this category.

  • Load

    The amount of electric power delivered or required at any specific point or points on a system. The requirement originates at the energy-consuming equipment of the consumers. The load of an electric utility system is effected by many factors and changes on a daily, seasonal, and annual basis, typically following a pattern. Electric System load is usually measured in megawatts (MW). Also, to "load" a governor is to set the governor to maintain a given pressure as the rate of gas flow through the governor varies. Compare DEMAND. .

  • Load (Base)

    See Base Load.

  • Load Building

    Refers to programs that are aimed at increasing the usage of existing electric equipment or the addition of electric equipment.

  • Load Centers

    A geographical area where large amounts of power are drawn by end users.

  • Load Curve

    A curve of power versus time showing the level of a load for .each time period covered.

  • Load Cycle

    Time period spanning one peak load.

  • Load Density

    The concentration of natural gas load for a given area expressed as an amount of natural gas per unit of time and per unit of area.

  • Load Duration Curve

    A curve of loads, plotted in descending order of magnitude, against time intervals for a specified period. The curve indicates the period of time load was above certain magnitude. Load duration curves are profiles of system demand that can be drawn for specified periods of time (e.g., daily, monthly, yearly). The coordinates may be absolute quantities or percentages.

  • Load Factor

    The ratio of average load to peak load during a specific period of time, expressed as a percent. The load factor indicates to what degree energy has been consumed compared to maximum demand or the utilization of units relative to total system capability. An electric system's load factor shows the variability in all customers' demands.

  • Load Following

    An electric system's or plant's ability to regulate its generation to follow the instantaneous changes in its customers' demand.

  • Load Management

    The management of load patterns in order to better utilize the facilities of the system. Generally, load management attempts to shift load from peak use periods to other periods of the day or year.

  • Load Shape

    The variation in the magnitude of the power load over a daily, weekly or annual period.

  • Load Shedding

    Removal of pre-selected customer demand from a power system, asa result of the occurrence of an abnormal condition, in a effort to maintain the integrity of the system and minimize overall customer outages.

  • Load-Shifting

    DSM programs designed to shift load from on -peak times of the day to off-peak times.

  • Load Valley

    A period of reduced load, as contrasted with peak load.

  • Local Distribution Company (LDC)

    A company that obtains the major portion of its revenues from the operations of a retail distribution system for the delivery of electricity or gas for ultimate consumption.

  • Long (or long position)

    The position of a party who has bought and is holding futures or options contracts or owns a commodity that has not been settled by sale or delivery.

  • Long Position

    A position of a futures contract buyer which requires the buyer to accept a delivery unless the contract is liquidated with an offsetting 'sale.

  • Long Run Marginal Costs

    All costs associated with the lowest cost incremental unit including variable production costs, fixed O&M, and capital costs.

  • Longwill Miner

    A deep mining machine that uses a steel plow or rotating drum, which is pulled mechanically back-and-forth across a long face of coal. The loosened coal falls onto a conveyor for removal from the mine.

  • Longwill Mining

    An underground mining process in which a panel or block of coal is completely extracted.

  • Lookback Option

    An option that allows the buyer the right, retroactively to buy (sell) the underlying commodity or security at its minimum (maximum) price within the look back period.

  • Loop Flow

    The tendency of electricity to flow along the path of least resistance, which may not necessarily be the same as that intended in the contract between the two transmitting entities. If power sold along a contractual path utilizes a different physical path, the power-flow may interfere with control of the systems which were unaware of the contractual power transfer.

  • Looping

    Laying additional pipeline beside and connected to an existing pipeline in order to increase the capacity of the system.

  • Loss of Load Probability (LOLP)

    A measure of expectation that system demand will exceed capacity during a given period, often expressed as the expected number of days per year (e.g., one day in ten years).

  • Loss Supply

    An ancillary service where the wheeling utility provides supplemental power to compensate for losses incurred in the power system during transmission.

  • Lot

    The standard unit of futures trading specifying a definite quantity of the commodity of uniform grade.

  • LP Gas-Air Mixture

    Mixture of liquefied petroleum gas and air to obtain a desired Btu value, capable of being distributed through a distribution system; also used for standby and peak shaving by natural gas utilities.