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Power Purchase Agreement Energy Storage

Power Purchase Agreement Energy Storage Template for United Arab Emirates

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Key Requirements PROMPT example:

Power Purchase Agreement Energy Storage

"I need a Power Purchase Agreement Energy Storage for a new 50MW lithium-ion battery storage facility in Dubai, UAE, with commercial operations starting March 2025, including specific provisions for grid frequency regulation services and peak load management."

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Document background
The Power Purchase Agreement Energy Storage template is designed for use in the United Arab Emirates, specifically tailored to the country's evolving energy landscape and regulatory framework. This document is essential when establishing long-term contractual relationships for energy storage services, typically used between facility owners/operators and power purchasers such as utility companies. The agreement encompasses crucial elements including technical specifications, operational parameters, performance requirements, payment structures, and regulatory compliance measures. It aligns with the UAE's Energy Strategy 2050 and relevant federal and emirate-level energy regulations, making it particularly relevant for projects contributing to grid stability and clean energy integration. The document addresses both traditional and emerging storage technologies, incorporating flexibility for technological advancement while maintaining compliance with UAE legal requirements.
Suggested Sections

1. Parties: Identification of the contracting parties including the facility owner/operator and the power purchaser

2. Background: Context of the agreement, including project overview and relevant regulatory framework

3. Definitions: Detailed definitions of technical and commercial terms used throughout the agreement

4. Term and Conditions Precedent: Duration of the agreement and conditions that must be satisfied before the agreement becomes effective

5. Storage Facility Specifications: Technical specifications of the energy storage facility including capacity, response time, and operational parameters

6. Operating Procedures: Detailed procedures for charging, discharging, maintenance, and emergency operations

7. Performance Requirements: Specific performance metrics, availability requirements, and response times

8. Dispatch and Scheduling: Procedures for scheduling storage services and dispatch instructions

9. Metering and Testing: Requirements for measuring stored energy, delivered energy, and facility performance testing

10. Payment Provisions: Payment structure, rates, and calculations for storage services

11. Force Majeure: Events constituting force majeure and their consequences

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

13. Insurance: Required insurance coverage for the facility and operations

14. Default and Termination: Events of default, cure periods, and termination rights

15. Dispute Resolution: Procedures for resolving disputes, including reference to UAE courts or arbitration

Optional Sections

1. Construction and Commissioning: Required if the storage facility is not yet built, covering construction milestones and commissioning procedures

2. Grid Connection: Required if new grid connections need to be established, detailing connection requirements and responsibilities

3. Environmental Credits: Include if the project generates environmental attributes or clean energy certificates

4. Technology Upgrade Provisions: Include for long-term agreements where technology updates may be necessary

5. Local Content Requirements: Include if there are UAE local content requirements applicable to the project

6. Refinancing Provisions: Include if project financing arrangements may need to be modified during the term

7. Interface with Other Facilities: Required if the storage facility interfaces with other power generation or transmission facilities

Suggested Schedules

1. Technical Specifications: Detailed technical parameters of the storage facility including capacity, efficiency, and response characteristics

2. Operating Procedures Manual: Detailed procedures for daily operation, maintenance, and emergency response

3. Testing Procedures: Procedures for conducting performance tests and measuring compliance

4. Payment Calculations: Detailed formulas and examples for calculating payments

5. Form of Performance Security: Template for performance bonds or other security instruments

6. Interconnection Requirements: Technical requirements for grid connection and interface

7. Environmental and Safety Requirements: Environmental compliance requirements and safety procedures

8. Communication Protocols: Procedures for operational communications and notifications

9. Permitted Planned Outage Schedule: Schedule of allowed maintenance periods and procedures

10. Key Performance Indicators: Detailed metrics for measuring facility performance and availability

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 Storage Capacity
Availability Factor
Billing Period
Capacity Payment
Charging Energy
Commercial Operation Date
Contract Year
Degradation Rate
Discharge Energy
Dispatch Instruction
Effective Date
Emergency Condition
Energy Management System
Energy Storage Facility
Environmental Attributes
Facility Site
Force Majeure Event
Good Industry Practice
Grid Code
Grid Connection Point
Guaranteed Availability
Guaranteed Response Time
Interconnection Agreement
Loss Factor
Maximum Charging Rate
Maximum Discharge Rate
Metering System
Minimum Storage Level
Operating Parameters
Operating Procedures
Performance Security
Planned Maintenance
Point of Delivery
Power Purchase Rate
Project Company
Qualified Operator
Rated Power
Required Permits
Response Time
Round Trip Efficiency
Storage Capacity
Storage Control System
Storage Duration
Storage Service
Storage Unit
System Emergency
System Operator
Technical Limits
Term
Testing Procedures
UAE Grid Code
Unplanned Outage
Clauses
Definitions
Term
Conditions Precedent
Technical Specifications
Operating Requirements
Performance Standards
Testing and Commissioning
Dispatch Rights
Metering
Payment
Invoicing
Security
Insurance
Force Majeure
Change in Law
Representations and Warranties
Covenants
Events of Default
Termination
Liability and Indemnification
Assignment
Confidentiality
Dispute Resolution
Governing Law
Environmental Compliance
Health and Safety
Emergency Procedures
Maintenance
Grid Connection
Regulatory Compliance
Record Keeping
Notices
Intellectual Property
Amendments
Waiver
Severability
Relevant Industries

Energy & Utilities

Renewable Energy

Infrastructure

Power Generation

Clean Technology

Grid Services

Energy Trading

Project Finance

Construction & Engineering

Relevant Teams

Legal

Commercial

Operations

Technical

Regulatory Affairs

Finance

Risk Management

Business Development

Engineering

Procurement

Project Management

Energy Trading

Compliance

Asset Management

Relevant Roles

Energy Storage Project Manager

Power Plant Manager

Commercial Director

Legal Counsel

Energy Trading Manager

Grid Operations Manager

Technical Director

Regulatory Compliance Officer

Business Development Manager

Contract Manager

Chief Technical Officer

Energy Storage Engineer

Risk Manager

Finance Director

Operations Manager

Industries
Federal Law No. 2 of 2014: Main federal legislation regulating small-scale power generation and water desalination in the UAE, providing the framework for power generation and distribution
UAE Energy Strategy 2050: National strategy document setting targets for clean energy integration and energy storage development, crucial for understanding regulatory context and future requirements
Federal Law No. 24 of 1999: Environmental Protection and Development Law, relevant for environmental compliance aspects of energy storage facilities
UAE Civil Code (Federal Law No. 5 of 1985): Governs contractual relationships and obligations, providing the basic framework for commercial contracts including PPAs
UAE Commercial Transactions Law (Federal Law No. 18 of 1993): Regulates commercial transactions and provides framework for business relationships and commercial contracts
Electricity and Water Supply Regulations: Various emirate-level regulations governing power supply, grid connection, and utility operations
DEWA/ADWEA/SEWA Standards: Technical standards and requirements set by respective emirate utility authorities for grid connection and energy storage systems
UAE Cabinet Resolution No. 31 of 2021: Regulations concerning clean energy certificates, relevant for renewable energy storage and trading
Federal Law No. 19 of 2018: Foreign Direct Investment Law, relevant if the energy storage project involves foreign investment or ownership
UAE Competition Law (Federal Law No. 4 of 2012): Relevant for market competition aspects and pricing mechanisms in power purchase agreements
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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