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Direct Power Purchase Agreement
"Need a Direct Power Purchase Agreement for our new 50MW solar facility in Texas, selling power to a major tech company's data center, with delivery starting March 2025 and including provisions for renewable energy credits."
1. Parties: Identification and details of the power seller and buyer
2. Background: Context of the agreement and high-level description of the transaction
3. Definitions: Key terms used throughout the agreement including technical, commercial, and legal definitions
4. Sale and Purchase Obligations: Core commercial terms including quantity, price, and delivery obligations
5. Term and Termination: Duration of agreement and termination rights
6. Payment Terms: Billing, invoicing, and payment procedures
7. Performance Security: Credit support and security requirements
8. Force Majeure: Events excusing performance and related procedures
9. Default and Remedies: Events of default and available remedies
10. Representations and Warranties: Standard and specific representations by both parties
11. Governing Law and Dispute Resolution: Choice of law and dispute resolution procedures
1. Environmental Attributes: Treatment of renewable energy credits and other environmental benefits - used for renewable energy projects
2. Capacity Rights: Allocation of capacity rights and related products - used when capacity markets are relevant
3. Development Milestones: Project development timeline and requirements - used for new build projects
4. Interconnection: Grid connection requirements and responsibilities - used for physical PPAs
5. Curtailment: Terms governing reduction in generation output - used for variable renewable resources
1. Schedule A - Facility Description: Technical details of the generating facility including location, technology, and capacity
2. Schedule B - Product Price Schedule: Detailed pricing terms, including any escalators or adjustments
3. Schedule C - Expected Energy Production: Projected generation profile and any performance guarantees
4. Schedule D - Form of Performance Security: Template for letters of credit or other security instruments
5. Schedule E - Operating Procedures: Detailed protocols for day-to-day operations and communications
6. Schedule F - Metering Requirements: Technical specifications for metering and measurement
7. Schedule G - Insurance Requirements: Required insurance coverage and limits
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