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Virtual PPA
"I need a Virtual PPA agreement for a technology company buying renewable energy from a 75MW wind farm in County Cork, with commercial operations starting in March 2025, targeting a 15-year term with quarterly settlements and specific provisions for environmental attributes transfer."
1. Parties: Identification of the parties: typically the renewable energy generator (seller) and the corporate buyer
2. Background: Context of the agreement, including project details and parties' objectives
3. Definitions: Detailed definitions of technical, financial, and legal terms used throughout the agreement
4. Term and Conditions Precedent: Duration of the agreement and conditions that must be met before the agreement becomes effective
5. Financial Settlement Mechanism: Core vPPA provisions including strike price, reference price, settlement calculations, and payment terms
6. Metering and Reporting: Requirements for measuring and reporting energy generation and calculations
7. Representations and Warranties: Standard and specific warranties from both parties regarding capacity, authority, and compliance
8. Force Majeure: Events excusing performance and related procedures
9. Change in Law: Provisions addressing regulatory changes and their impact on the agreement
10. Default and Termination: Events of default, cure periods, and termination rights
11. Dispute Resolution: Procedures for resolving disputes, including governing law and jurisdiction
12. Confidentiality: Provisions protecting confidential information and permitted disclosures
13. Notices: Communication procedures and contact details
14. General Provisions: Standard boilerplate clauses including assignment, amendments, and entire agreement
1. Credit Support: Required when either party needs to provide financial security; includes guarantees or credit requirements
2. Environmental Attributes: Optional section for handling renewable energy certificates or other environmental benefits
3. Insurance: Detailed insurance requirements, included when specific coverage needs to be mandated
4. Project Financing Cooperation: Include when the generator requires support for project financing arrangements
5. Forecasting and Scheduling: Required when specific generation forecasting obligations need to be imposed
6. Market Changes: Include when operating in evolving markets or where significant market changes are anticipated
7. ESG Reporting: Optional section for environmental, social, and governance reporting requirements
8. Anti-Gaming Provisions: Include when there's a need to prevent manipulation of generation or pricing
1. Schedule 1 - Project Details: Technical specifications of the renewable energy facility
2. Schedule 2 - Financial Settlement Calculations: Detailed methodology for calculating settlements, including formulae and examples
3. Schedule 3 - Metering Specifications: Technical requirements for metering and measurement
4. Schedule 4 - Form of Generation Report: Template for periodic generation and settlement reports
5. Schedule 5 - Contact Details: Detailed contact information for various notice types and purposes
6. Schedule 6 - Form of Direct Agreement: Standard form for lender direct agreements if required
7. Appendix A - Form of Parent Company Guarantee: Standard form of parent company guarantee if required
8. Appendix B - Initial Settlement Price: Details of price calculations and adjustment mechanisms
9. Appendix C - Operating Parameters: Technical operating parameters and requirements
Authors
Affiliate
Agreement Date
Annual Contract Quantity
Applicable Law
As-Generated Profile
Availability
Balancing Market
Billing Period
Business Day
Change in Law
Commercial Operation Date
Commissioned
Competent Authority
Confidential Information
Contract Price
Credit Rating
Credit Support
Curtailment
Day-Ahead Market
Deemed Generated Energy
Delivery Point
Directive
Effective Date
Electric Energy
Environmental Attributes
EMIR
Event of Default
Expected Commercial Operation Date
Facility
Financial Close
Force Majeure Event
Generator Performance Security
Good Industry Practice
Governmental Authority
Grid
Grid Code
Grid Connection Agreement
Grid Operator
Guaranteed Commercial Operation Date
Index
Initial Settlement Price
Insolvency Event
Insurance Requirements
Interconnected
Interest Rate
Invoice
Irish Governmental Authority
Lenders
Liquidated Damages
Market Operator
Market Price
Material Adverse Effect
Metering Device
MiFID II
Minimum Credit Rating
Monthly Settlement Amount
Net Generated Output
Notices
Operating Parameters
Parent Company Guarantee
Party/Parties
Payment Date
Performance Security
Planned Maintenance
Project
Project Documents
Reference Price
Regulatory Approvals
Related Agreements
Renewable Energy Source
Representatives
Required Commercial Operation Date
Security Interest
Settlement Period
Single Electricity Market
Strike Price
System Operator
Tax
Term
Termination Date
Trading Period
Transmission System
Unit Contingent
VAT
Conditions Precedent
Term
Project Development
Facility Operation
Metering
Energy Generation
Settlement and Payment
Market Participation
Price Adjustment
Regulatory Compliance
Environmental Attributes
Force Majeure
Change in Law
Representations and Warranties
Covenants
Credit Support
Default
Termination
Liability and Indemnification
Insurance
Assignment
Confidentiality
Dispute Resolution
Notices
Anti-Corruption
Data Protection
Tax
Governing Law
Boilerplate
Renewable Energy
Manufacturing
Technology
Financial Services
Industrial
Retail
Healthcare
Data Centers
Telecommunications
Food and Beverage
Legal
Finance
Sustainability
Procurement
Risk Management
Treasury
Corporate Development
Environmental Compliance
Energy Trading
Operations
Chief Sustainability Officer
Energy Procurement Manager
Legal Counsel
Chief Financial Officer
Risk Manager
Sustainability Director
Energy Trading Manager
Corporate Development Director
Environmental Compliance Manager
Treasury Manager
Power Purchase Agreement Manager
Renewable Energy Project Manager
Chief Legal Officer
Head of Energy Strategy
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