Renewable Energy Purchase Agreement Generator

What is a Renewable Energy Purchase Agreement?

A Renewable Energy Purchase Agreement (REPA) is a long-term contract between a renewable energy producer (seller) and a buyer (typically a corporation, utility, or government entity) that establishes the terms for purchasing electricity generated from renewable sources such as solar, wind, hydroelectric, or geothermal facilities. This agreement outlines the quantity of energy to be purchased, pricing structure, delivery terms, environmental attributes (such as renewable energy certificates), and performance guarantees. REPAs enable organizations to secure clean energy supply while providing financial stability for renewable energy projects.

Key Sections Typically Included:

• Energy Source and Generation Facility Specifications
• Energy Purchase Quantity and Commitments
• Pricing Structure and Payment Terms
• Delivery Point and Transmission Responsibilities
• Environmental Attributes and Renewable Energy Certificates
• Performance Standards and Guarantees
• Metering, Billing, and Verification Procedures
• Force Majeure and Curtailment Provisions
• Project Development and Commercial Operation Timeline
• Default and Remedies
• Term Length and Extension Options
• Regulatory Compliance Requirements
• Renewable Energy Certificate Tracking and Retirement
• Carbon Reporting and Sustainability Metrics
• Assignment and Change of Control Provisions
• Dispute Resolution Mechanisms

Why Use Our Generator?

Our Renewable Energy Purchase Agreement generator helps organizations create comprehensive, legally sound contracts for procuring clean energy from renewable sources. By addressing critical aspects like energy pricing, delivery obligations, environmental attributes, and performance standards upfront, both buyers and producers can establish clear expectations while supporting renewable energy development and sustainability goals.

Frequently Asked Questions

• Q: How should pricing structures be addressed in the agreement?

  • A: The agreement should specify whether pricing is fixed, indexed, or escalating over the contract term, establish the base price per unit of electricity (kWh or MWh), and outline any time-of-delivery adjustments or peak/off-peak differentials. It should address whether market price fluctuations affect the contract price, specify payment timing and invoicing procedures, and outline penalties for late payments. The agreement should also establish whether environmental attributes are bundled with energy or priced separately, specify whether tax credits or incentives are factored into pricing, and outline procedures for addressing regulatory changes that impact pricing. Additionally, it should address whether volume discounts apply for exceeding purchase commitments, establish procedures for pricing disputes or verification, and outline how pricing is affected by facility expansions or technology upgrades during the contract term.

• Q: What should be included regarding environmental attributes and renewable energy certificates?

  • A: The agreement should clearly establish ownership rights to renewable energy certificates (RECs) and environmental attributes, specify which certification or tracking system will be used (e.g., WREGIS, M-RETS, NAR), and outline procedures for registering, transferring, and retiring RECs. It should address whether RECs are bundled with the energy purchase or handled separately, establish verification procedures to ensure RECs match energy delivery, and outline reporting requirements for environmental attributes. The agreement should also specify acceptable uses for environmental claims based on the purchase, establish requirements for proof of renewable generation, and outline procedures for addressing regulatory changes affecting environmental attributes. Additionally, it should address whether specific environmental certifications are required (Green-e, Low Carbon Fuel Standard, etc.), establish procedures for addressing disputes about attribute qualification, and specify documentation requirements for sustainability and carbon reporting.

• Q: How should performance guarantees and remedies be structured?

  • A: The agreement should establish minimum performance requirements for the renewable energy facility (availability, capacity factor, output), specify remedies if the seller fails to deliver contracted quantities, and outline procedures for verifying and measuring performance. It should address whether liquidated damages apply for performance shortfalls, establish procedures for force majeure events that affect generation, and specify circumstances when curtailment is permitted without penalty. The agreement should also establish whether the seller must provide replacement energy or RECs during underperformance, specify procedures for addressing persistent underperformance, and outline circumstances that constitute default. Additionally, it should address performance reporting frequency and methodology, establish procedures for addressing disputes about performance calculations, and specify whether performance guarantees evolve over the facility lifetime to account for degradation or technological changes. The agreement should also outline whether performance bonuses apply for exceeding minimum requirements, establish notification procedures for expected performance issues, and specify whether third-party verification of performance metrics is required.