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Contract For Differences PPA
"I need a Contract for Differences PPA for a 100MW solar project in Queensland, where my company will be the generator selling to a large industrial offtaker, with commercial operations expected to commence in March 2025."
1. Parties: Identification of the contracting parties including the generator/seller and buyer
2. Background: Context of the agreement, including facility details and purpose of the CFD arrangement
3. Definitions and Interpretation: Defined terms, interpretation rules, and hierarchy of documents
4. Term and Conditions Precedent: Contract duration, start date, and any conditions that must be met before the agreement becomes effective
5. CFD Payment Calculations: Methodology for calculating difference payments, including reference price, strike price, and settlement mechanics
6. Billing and Settlement: Process and timing for invoicing, payments, and dispute resolution for settlements
7. Metering and Data: Requirements for metering, data collection, and reporting
8. Credit Support: Requirements for providing and maintaining credit support or security
9. Market Operations: Obligations regarding NEM participation, bidding, and dispatch
10. Force Majeure: Definition of force majeure events and consequences
11. Default and Termination: Events of default, cure periods, and termination rights
12. Dispute Resolution: Process for resolving disputes between parties
13. Confidentiality: Obligations regarding confidential information
14. Representations and Warranties: Standard and specific representations and warranties of each party
15. General Provisions: Boilerplate clauses including notices, governing law, and assignment
1. Construction and Commissioning: Required if the generating facility is not yet built, covering construction milestones, testing, and completion requirements
2. Environmental Products: Include if the agreement covers renewable energy certificates or other environmental attributes
3. Forecast and Planning: Include if specific forecasting obligations are required beyond standard market requirements
4. Interface with Retail Arrangements: Required if the CFD needs to align with retail supply arrangements
5. Change in Law: Detailed provisions for handling regulatory changes if standard force majeure provisions are insufficient
6. Insurance: Specific insurance requirements beyond standard requirements
7. Performance Guarantees: Include if specific performance metrics are required beyond standard availability
8. Network Connection: Required if the agreement needs to address specific network connection obligations
1. Facility Description: Technical details of the generating facility including location, capacity, and technology
2. Testing Procedures: Procedures for performance testing and commissioning
3. Pricing and Settlement: Detailed pricing mechanisms, calculations, and worked examples
4. Credit Support Requirements: Detailed requirements for credit support including forms and calculations
5. Operating Parameters: Technical parameters for facility operation including minimum performance requirements
6. Metering Specifications: Detailed metering requirements and specifications
7. Form of Direct Agreement: Standard form of direct agreement for financiers
8. Generation Forecasting Requirements: Detailed forecasting obligations and procedures
9. Form of Guarantee: Standard form of parent company guarantee or performance guarantee
10. Interface Procedures: Procedures for coordination between parties' operational teams
Authors
Agreed Quantity
Availability
Billing Period
Business Day
Capacity
Change in Law
Commencement Date
Commercial Operation Date
Compensating Amount
Confidential Information
Contract Capacity
Contract Price
Contract Quantity
Contract Year
Credit Rating
Credit Support
Defaulting Party
Delivery Point
Dispatch
Effective Date
Eligible Generation
Event of Default
Facility
Financial Close
Force Majeure Event
Generator Performance Standards
Good Industry Practice
Governmental Authority
Grid
Initial Credit Rating
Insolvency Event
Interconnection Agreement
Invoice
Large-scale Generation Certificates (LGCs)
Loss Factor
Market Operator
Market Price
Maximum Contract Quantity
Metering Data
Metering Installation
Minimum Credit Rating
NEM
NEM Spot Price
Network
Network Service Provider
Non-Defaulting Party
Operating Parameters
Planned Maintenance
Project
Project Documents
Reference Price
Regulatory Requirements
Related Body Corporate
Required Commercial Operation Date
Required Credit Rating
Settlement Amount
Settlement Period
Strike Price
System Operator
Term
Trading Interval
Trading Period
Transmission Network
Unplanned Outage
Definitions and Interpretation
Conditions Precedent
Term
CFD Settlement
Payment and Billing
Market Participation
Metering
Credit Support
Representations and Warranties
Force Majeure
Default and Termination
Liability and Indemnity
Assignment
Change in Law
Dispute Resolution
Confidentiality
Notices
Governing Law
Operation and Maintenance
Testing and Commissioning
Environmental Attributes
Performance Standards
Security Interest
Insurance
Records and Audit
Regulatory Compliance
Network Connection
Generation Forecasting
Anti-corruption
Waiver
Severability
Entire Agreement
Costs
Counterparts
Energy & Utilities
Renewable Energy
Financial Services
Infrastructure
Manufacturing (as potential offtakers)
Mining (as potential offtakers)
Power Generation
Energy Trading
Legal
Energy Trading
Risk Management
Treasury
Commercial
Operations
Regulatory Compliance
Finance
Sustainability
Business Development
Project Management
Energy Trading Manager
Commercial Manager
Legal Counsel
Risk Manager
CFO
Energy Markets Director
Sustainability Manager
Power Plant Manager
Corporate PPA Manager
Treasury Manager
Regulatory Compliance Officer
Business Development Manager
Project Finance Manager
Operations Director
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