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Corporate Solar PPA

Corporate Solar PPA Template for United Arab Emirates

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Key Requirements PROMPT example:

Corporate Solar PPA

"I need a Corporate Solar PPA for a 5MW rooftop installation on our Dubai manufacturing facility, with construction starting March 2025 and including battery storage capabilities."

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Document background
The Corporate Solar PPA is essential for businesses in the UAE seeking to transition to renewable energy sources while ensuring regulatory compliance and commercial viability. This document type has gained significance following the UAE's commitment to increase renewable energy adoption and the implementation of specific frameworks in Dubai (Shams Dubai) and Abu Dhabi. The agreement covers the entire spectrum of a solar power purchase arrangement, including technical specifications, performance standards, pricing mechanisms, and risk allocation. It's particularly relevant given the UAE's Energy Strategy 2050, which aims to increase clean energy contribution to 50% of the total energy mix. The Corporate Solar PPA includes provisions for both on-site and off-site installations, grid connection requirements, and compliance with local environmental regulations, while addressing specific requirements of UAE commercial law and energy sector regulations.
Suggested Sections

1. Parties: Identification of the Generator/Seller and the Corporate Buyer, including their legal details and authorized representatives

2. Background: Context of the agreement, including project overview and parties' objectives

3. Definitions and Interpretation: Comprehensive definitions of technical, commercial, and legal terms used throughout the agreement

4. Sale and Purchase Obligations: Core obligations regarding the sale and purchase of electricity, including minimum purchase commitments

5. Term and Termination: Duration of the agreement, conditions for renewal, and termination rights

6. Construction and Installation: Requirements and timeline for constructing and installing the solar facility

7. Testing and Commissioning: Procedures for testing the system and achieving commercial operation

8. Operating Requirements: Standards for system operation, maintenance, and performance

9. Metering and Billing: Specifications for measuring electricity delivery and billing procedures

10. Price and Payment: Tariff structure, payment terms, and adjustment mechanisms

11. Performance Guarantees: Guaranteed output levels and remedies for underperformance

12. Force Majeure: Definition of force majeure events and consequences

13. Insurance: Required insurance coverage for both parties

14. Representations and Warranties: Standard and specific warranties from both parties

15. Liability and Indemnification: Allocation of risks and responsibilities between parties

Optional Sections

1. Grid Connection: Required for off-site installations, covering grid connection requirements and responsibilities

2. Environmental Attributes: Include when trading of renewable energy certificates or carbon credits is part of the agreement

3. Battery Storage: Required when the system includes energy storage components

4. Islamic Finance Provisions: Include when the agreement needs to be Sharia-compliant

5. Change in Law: Include detailed provisions when regulatory framework is uncertain or evolving

6. Site License: Required for on-site installations where the generator needs rights to use the customer's property

7. Buyout Options: Include if the corporate buyer has the option to purchase the system during or at the end of the term

Suggested Schedules

1. Technical Specifications: Detailed technical description of the solar PV system and components

2. Site Description: Details of installation location, including layout plans and access rights

3. Testing and Commissioning Procedures: Detailed procedures for system testing and acceptance

4. Performance Standards: Specific performance metrics, including minimum generation guarantees

5. Tariff and Payment Calculations: Detailed pricing formula and payment calculations

6. Form of Performance Security: Template for performance bonds or bank guarantees

7. Operating Procedures: Detailed procedures for system operation and maintenance

8. Metering Specifications: Technical requirements for metering equipment and procedures

9. Required Permits: List of required governmental and regulatory approvals

10. Form of Direct Agreement: Template for lender's direct agreement if project financing is involved

Authors

Alex Denne

Head of Growth (Open Source Law) @ Genie AI | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Linkedin in social icon imageX social icon image
alex.den.21@genieai.co
Relevant legal definitions
Actual Monthly Generation
Agreement Date
Annual Performance Ratio
Availability
Billing Period
Business Day
Capacity
Change in Law
Commercial Operation Date
Commissioning Tests
Competent Authority
Connection Point
Contract Year
Deemed Generation
Delivery Point
Design Capacity
DEWA
Effective Date
Electrical Installation
Emergency
Energy Management System
Environmental Attributes
Environmental Law
Event of Default
Facility
Force Majeure Event
Generator
Good Industry Practice
Grid
Grid Code
Initial Term
Installation Works
Interconnection Agreement
Invoice
Licensed Network Operator
Maintenance Schedule
Measurement Period
Metering Equipment
Minimum Generation Guarantee
Monthly Payment
Operating Parameters
Operating Procedures
Output Guarantee
Performance Bond
Performance Security
Permitted Purpose
Plant
Power Purchase Price
Premises
Project
Prudent Operating Practice
PV System
Relevant Authority
Renewable Energy Certificate
Required Consents
Site
Solar Energy Facility
Solar Photovoltaic System
Specified Rate
System Acceptance Tests
Technical Specifications
Term
Testing Procedures
Transmission System
UAE Dirham
Clauses
Parties
Recitals
Definitions
Sale and Purchase
Term and Termination
Construction and Installation
Testing and Commissioning
Metering
Billing and Payment
Performance Standards
Operations and Maintenance
Force Majeure
Change in Law
Environmental Compliance
Grid Connection
Site Access
Insurance
Representations and Warranties
Liability and Indemnification
Dispute Resolution
Confidentiality
Assignment
Notices
Governing Law
Health and Safety
Environmental Attributes
Credit Support
Default and Remedies
Technical Requirements
Performance Guarantees
Title and Risk
Permitting and Approvals
Emergency Procedures
Decommissioning
Intellectual Property
Relevant Industries

Energy & Utilities

Manufacturing

Real Estate & Construction

Retail & Commercial

Healthcare

Education

Hospitality & Tourism

Industrial & Logistics

Technology & Data Centers

Financial Services

Relevant Teams

Legal

Procurement

Facilities Management

Finance

Operations

Risk & Compliance

Sustainability

Technical Operations

Environmental

Commercial

Relevant Roles

Chief Sustainability Officer

Energy Manager

Facilities Director

Chief Financial Officer

Legal Counsel

Procurement Manager

Technical Director

Operations Manager

Risk Manager

Sustainability Manager

Commercial Director

Project Manager

Environmental Compliance Officer

Industries
Federal Law No. 2 of 2015: Commercial Companies Law - Governs the establishment and operation of companies in the UAE, relevant for the corporate aspects of the PPA
Federal Law No. 24 of 1999: Protection and Development of the Environment Law - Sets environmental compliance requirements for energy projects
Dubai Law No. 6 of 2011: Regulating the participation of private sector in electricity and water production in Dubai
DEWA Resolution No. 46 of 2014: Implementing regulations for connection of photovoltaic generation systems to Dubai's power distribution grid
Abu Dhabi Law No. 2 of 1998: Regulation of the Water and Electricity Sector in Abu Dhabi, including provisions for private sector participation
UAE Civil Code (Federal Law No. 5 of 1985): Governs contractual relationships and obligations between parties, essential for PPA structuring
Shams Dubai Initiative Regulations: DEWA's regulatory framework for solar PV installations and net metering in Dubai
UAE Energy Strategy 2050: National strategy document setting targets for renewable energy adoption, influencing regulatory requirements
Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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