Common use of Basic Understandings Clause in Contracts

Basic Understandings. Seller and Buyer have agreed to execute this Agreement in order to establish the terms of Seller’s provision and sale of, and Buyer’s acceptance and purchase of NEPOOL-GIS Certificates to meet a portion of the Massachusetts Electric Company’s and Nantucket Electric Company’s requirements to comply with the Renewable Energy Portfolio Standards and Alternative Energy Portfolio Standard, as defined herein. This Agreement sets forth the terms under which Seller shall sell and deliver and the Buyer shall purchase and receive a quantity of NEPOOL-GIS Certificates. It is the intent of Buyer and Seller that the transactions hereunder shall meet the Commodity Futures Trading Commission's criteria for the forward contract exclusion, including that the Parties intend to physically settle the transaction, and is therefore not subject to swap regulation.

Basic Understandings. Seller and Buyer have agreed to execute this Agreement in order to establish the terms of Seller’s provision and sale of, and BuyerXxxxx’s acceptance and purchase of NEPOOL-GIS Certificates to meet a portion of the Massachusetts Electric Company’s and Nantucket Electric Company’s requirements to comply with the Renewable Energy Portfolio Standards and Alternative Energy Portfolio Standard, as defined herein. This Agreement sets forth the terms under which Seller shall sell and deliver and the Buyer shall purchase and receive a quantity of NEPOOL-GIS Certificates. It is the intent of Buyer Xxxxx and Seller that the transactions hereunder shall meet the Commodity Futures Trading Commission's criteria for the forward contract exclusion, including that the Parties intend to physically settle the transaction, and is therefore not subject to swap regulation.