Power purchase and energy trading

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Joint, several, and joint and several liability

ContractWhere a contract is made by two or more parties it may contain a promise or obligation made by two or more of those parties. Any such promise...

Conditions precedent in commercial contracts

This Practice Note considers the meaning and use of conditions precedent in commercial arrangements. It also considers typical conditions precedent...

The Offshore Transmission Owner (OFTO) regime

What are OFTOs?Offshore Transmission Owners (OFTOs) are the owners of offshore transmission assets which connect offshore wind farms to the onshore...

A company’s constitution

What is a company's constitution?A company’s 'constitution' is defined under the Companies Act 2006 (CA 2006) as including:•the company’s articles of...

Practice notes

Declaration of a director's interests—the statutory provisions

A director who is in any way, directly or indirectly, interested in:•a proposed transaction or arrangement with the company of which they are a...

9th Nov

Practice notes

Supplier of last resort—key features

What is the ‘supplier of last resort’?When the Office of Gas and Electricity Markets (Ofgem) revokes a supply licence (usually because of insolvency),...

Produced in partnership with Matthew Collinson 9th Nov

Practice notes

Rome Convention—introduction and interpretation

Brexit: The UK's departure from the EU on exit day, ie Friday 31 January 2020, has implications for practitioners considering applicable law. For...

9th Nov

Practice notes

Introduction to retained EU law

This Practice Note provides an introduction to retained EU law, which is an entirely new legal concept introduced to UK domestic law in preparation...

9th Nov

Brexit

Practice notes

Model ADR clauses

Brexit: The UK's departure from the EU on exit day ie Friday 31 January 2020 has implications for practitioners considering the use of ADR as it may...

9th Nov

Precedents

Execution clause—company—deed

Option 1—deed executed by a company under its common seal (model articles, where the authorised signatory is an...

9th Nov

In-house

Practice notes

Overview of the EU legal system

Brexit: This Practice Note contains guidance on subjects impacted by the UK’s withdrawal from the EU. As of 31 January 2020 (exit day), the UK is no...

Produced in partnership with Laura Bolado 9th Nov

Brexit

Practice notes

Investment treaty arbitration—an introduction

STOP PRESS: This Practice Note is being reviewed in light of the 5 May 2020 agreement by most EU Member States to terminate their intra-EU bilateral...

Produced in partnership with Joe Tirado, Partner of Garrigues UK LLP and Elisa Vicente, Senior Associate of J&A Garrigues, S.A. 9th Nov

Practice notes

Applicable law clauses

Brexit: The UK's departure from the EU on exit day, ie Friday 31 January 2020, has implications for practitioners considering applicable law. For...

9th Nov

Practice notes

Decommissioning—decommissioning security agreement

Decommissioning security agreementsOil and gas companies are expected to return the seabed to its original state (subject to certain exceptions) by...

Produced in partnership with Isla Stewart of Matheson 9th Nov

Precedents

Month definition

Month means a calendar month; Close This is a suggested definition for the term 'month', which...

9th Nov

Practice notes

Wind Turbine Supply Agreement

What is a Turbine Supply Agreement (TSA)?The Turbine Supply Agreement (TSA) is a critical component of the contractual framework for a wind farm. This...

Produced in partnership with James Bruce of Gowling WLG and Aniela Foster-Turner of Siemens Gamesa 9th Nov

Most recent Power purchase and energy trading content

Practice notes

An introduction to standard form energy trading documents

Energy Trading in Great BritainElectricity and gas in Great Britain is traded through bilateral markets. There is no prescribed form regarding trades....

Produced in partnership with James Stanier of Gowling WLG 28th Nov

Practice notes

Corporate Power Purchase Agreements—an introduction to structuring power purchase arrangements between large energy users and remotely located generators

What is a Corporate PPA?A corporate power purchase agreement (PPA) is an agreement under which a corporate entity purchases electricity (usually...

Produced in partnership with James Stanier of Gowling WLG 28th Nov

Practice notes

An introduction to REMIT

Brexit impactThis Practice Note contains information on subjects impacted by the UK’s withdrawal from the EU at 11 pm on 31 January 2020 (exit day)....

Produced in partnership with Addleshaw Goddard 28th Nov

Practice notes

An introduction to take-or-pay clauses in energy contracts

This Practice Note introduces take-or-pay clauses in the energy sector and considers some of the regulatory and competition law issues regularly...

Produced in partnership with Phillip Ashley, Judith Aldersey-Williams, David Rutherford, and Leontine Mathew of CMS Cameron McKenna Nabarro Olswang LLP 28th Nov

Practice notes

Power purchase agreements (PPAs)—key terms and issues

What is a power purchase agreement?A power purchase agreement (PPA) is a contract between an electricity generator (generator) and the party who is...

Produced in partnership with Pinsent Masons 28th Nov

Practice notes

Island of Ireland Single Electricity Market (SEM)—an introduction

Brexit impactThis Practice Note contains information on subjects impacted by the UK’s withdrawal from the EU on 11pm on 31 January 2020 (exit day). As...

Produced in partnership with Evie Doherty and Conall Bolger of Cornwall Insight 28th Nov

Practice notes

Take-or-pay clauses in energy contracts: the rule on penalties

This Practice Note considers the English Court’s attitude to take-or-pay clauses and provides a thorough consideration the rule on penalties in...

Produced in partnership with Phillip Ashley, Judith Aldersey-Williams, David Rutherford, and Leontine Mathew of CMS Cameron McKenna Nabarro Olswang LLP 28th Nov

Practice notes

An Introduction to Oil & Gas Sales and Trading

Governments permit companies to explore for and produce hydrocarbons (crude oil and natural gas) within a defined area under the terms of a...

Produced in partnership with Matthew Stott of Orrick, Herrington & Sutcliffe and Rebecca Downes of Orrick, Herrington & Sutcliffe 28th Nov

Practice notes

ROC Trading Master Agreement—an introduction

What is a ROCTMA?Renewables Obligation Certificates (ROCs) (see Practice Note: Renewables Obligation (RO)—key features) in the UK are traded through a...

Produced in partnership with James Stanier of Gowling WLG 28th Nov

Practice notes

Drafting take-or-pay clauses in energy contracts

This Practice Note considers the common features of take-or-pay clauses and provides some example clauses. It also considers the distinction between...

Produced in partnership with Phillip Ashley, Judith Aldersey-Williams, David Rutherford, and Leontine Mathew of CMS Cameron McKenna Nabarro Olswang LLP 28th Nov

Practice notes

GB Electricity Balancing Services—the Balancing Mechanism

Brexit impactThis Practice Note contains information on subjects impacted by the UK’s withdrawal from the EU on 11pm on 31 January 2020 (exit day). As...

28th Nov

Precedents

Power purchase agreement (PPA)—exempt power supply

This Agreement is made on [date]Parties1[name of the Company] [of [address] OR incorporated in England and Wales with Company registration number...

Produced in partnership with Matthew Collinson of Igloo Energy 28th Nov

Q&As

Does the concept of Supplier of Last Resort (SoLR) apply to an export power purchase agreement (PPA) where the purchaser of energy/electricity is a licensed supplier? If so, which definition of SoLR should be referred to in the agreement?

A Supplier of Last Resort (SoLR), also referred to as an Offtaker of Last Resort, is a licensed supplier that steps in to take on the customers of...

28th Nov

Q&As

What is a power purchase agreement?

A power purchase agreement (PPA) is a contract between an electricity generator (generator) and the party who is purchasing the power (offtaker) which...

28th Nov

Practice notes

Commodity derivatives

BREXIT: As of 31 January 2020, the UK is no longer an EU Member State, but has entered an implementation period during which it continues to be...

25th Nov

Practice notes

Types of derivatives

The main types of derivatives are:•swaps•forwards •futures, and•optionsThis Practice Note explains the key features of each of the above types of...

25th Nov

Practice notes

Energy derivatives

BREXIT: As of 31 January 2020, the UK is no longer an EU Member State, but has entered an implementation period during which it continues to be...

25th Nov

Practice notes

Offtake contracts—key issues for project finance lenders

Most projects are underpinned by a complex web of contractual relationships between all the parties involved in the project (eg the project company,...

25th Nov

Practice notes

Power purchase agreement (PPA)—Checklist

What is/check the duration of the agreement? The term of the power purchase agreement (PPA) should coincide so far as practicable with...

25th Sep

Practice notes

Grid Trade Master Agreement—an introduction

What is a GTMA?Electricity in Great Britain (GB) is traded through a bilateral market. There is no prescribed form regarding trades. However, the Grid...

25th Sep