Capacity Payments Clause Samples
A Capacity Payments clause establishes the obligation for one party, typically a purchaser or utility, to pay another party, such as a power generator, for maintaining the ability to supply a specified amount of capacity, regardless of whether that capacity is actually used. In practice, this means the generator receives payments for being available to deliver electricity up to an agreed limit, even if the actual energy delivered is less. This clause ensures that sufficient resources are reliably available to meet demand, addressing the risk of power shortages and incentivizing investment in generation infrastructure.
Capacity Payments. Seller shall sell to Edison and Edison shall purchase from Seller capacity pursuant to the Capacity Payment Option selected by Seller in Section 1.11. The Capacity Payment Schedules will be based on Edison's full avoided operating costs as approved by the Commission throughout the life of this Contract. Data used to derive Edison's full avoided costs will be made available to the Seller, to the extent specified by Seller upon request.
Capacity Payments. Commencing on the last day of the month in which the Commercial Operation Date occurs, Buyer shall, subject to Section 5.1.4, pay to Seller in arrears a Capacity Payment equal to the greater of (i) the Monthly Capacity Payment as determined in Section 5.1.2, or (ii) the Minimum Monthly Capacity Payment as determined in Section 5.1.3.
5.1.1 All Capacity Payments shall be billed on a calendar month basis. In the event that Commercial Operation Date does not occur at the start of a calendar month, the first month’s Capacity Payment shall be prorated to reflect the actual number of days of Commercial Operation in such month.
Capacity Payments. Each month during the Term, Buyer shall pay Seller a capacity payment (the "Capacity Payment") for the Committed Capacity calculated as follows: Capacity Payment = Committed Capacity × Capacity Rate Where: $ 11,825/MW-mo Contract Year 1 $ 12,120/MW-mo Contract Year 2 $ 11,285/MW-mo Contract Year 3 $ 10,400/MW-mo Contract Year 4 $ 10,400/MW-mo Extension Term
Capacity Payments. From and after the Supply Commencement Date, BPDB shall pay the Capacity Payment to the Company, in accordance with Section 12.2(a). If the Supply Commencement Date occurs on a date which is not the first Day of a Month, the Capacity Payment for the period from the Supply Commencement Date through the last Day of the Month in which the Supply Commencement Date occurs, shall be multiplied by a fraction the numerator of which is the number of Days remaining in the Month from and including the Supply Commencement Date and the denominator of which is the number of Days in such Month. If the Term ends on a date which is not the last Day of a Month, the Capacity Payment for the Month in which the Term ends shall be calculated by multiplying the full Capacity Payment for that Month by a fraction, the numerator of which is the number of Days in the Month occurring on or prior to the Day the Term ends and the denominator of which is the number of Days in such Month.
Capacity Payments shall be calculated as the relevant tariff stipulated for the relevant year, multiplied by the volume of Reserved Capacity that such Shipper has contracted (expressed as (Nm³(0°C)/h)), multiplied by the distance of such capacity booking (distance is calculated as the distance (in km) between the entry point on the pipeline that the Shipper has committed to deliver gas to, and the exit point on the pipeline that the Shipper has requested Nabucco International Company to deliver the gas to). For clarification, the following formula defines the monthly Capacity Payment: P m = fr * T 12 n * d , where: fr = Shipper contracted capacity volume (expressed as hourly flow rate of gas) d = distance expressed in km (between Shipper contracted entry and exit point) Pm = Payment for Transportation Services in Euro/Month Tn = the adjusted transportation tariff for year “n”, in EURO / ((Nm 3 /h)*km) / y. Further details of the current version of the tariff formula are set out below and Nabucco International Company and the National Nabucco Companies shall apply these for use in the Open Season, other capacity allocation procedures and in the definitive Transportation Contracts:
Capacity Payments. Subject to Section 4.5 (b), commencing on the Service Commencement Date and for the balance of the Term, Buyer shall pay Seller during each Contract Year, in accordance with the billing and payment provisions of Section 4.5, the sum of (a) Buyer's Divided Share of the Central Plant Capacity Payment, as defined and determined in accordance with Schedule 4.1(A) and (B) the Other Facilities Capacity Payment, as defined and determined in accordance with Schedule 4.1(B); provided however that in the event that the Term of this Agreement is extended pursuant to Section 2.5, the Central Plant Capacity Payment and the Other Facilities Capacity Payment applicable during each such Renewal Term shall be determined in accordance with Schedule 4.1(C).
Capacity Payments. The Company shall pay the Seller for the Firm Capacity under Company Dispatch subject to a Legally Enforceable Obligation that the Seller is obligated to deliver to the Company pursuant to ATTACHMENT B TO THE FOURTH AMENDMENT Paragraph 3 of this Appendix B as provided for by Paragraph B of Appendix D of this Contract.
Capacity Payments. The monthly payment from Con Edison to ABC for Installed Capacity ("Capacity Payment") shall equal the product of (a) the ICAP, (b) a daily per-MW rate which, on an annualized basis, is equivalent to $105/kW-Year and (c) the number of days in the applicable month (or portion thereof, if applicable). "
Capacity Payments. For each month beginning with the Contract Service Commencement Date and continuing through the remaining Term, unless excused by an Excused Force Majeure Event, LEM shall make a Monthly Capacity Payment to Georgia Power in the amounts set forth on Exhibit A.
Capacity Payments. (a) Subject to Section 2.2(b) and Section 9.6(c), from and after the Commercial Operations Date, the Power Purchaser shall pay the Company the Capacity Payments, in accordance with the procedures specified in Section 9.6, for the Available Capacity for each Month (or part-Month), such payments being calculated in accordance with this Section 9.1 and the provisions of Schedule 1.
(b) For the purposes of calculating Capacity Payments in Section 9.1(a) and Schedule 1, the “Available Capacity” shall in any hour be the Declared Available Capacity, unless:
(i) the Company has informed the Power Purchaser of a Revised Declared Available Capacity in accordance with Section 5.3(c) that is less than the Declared Available Capacity of the Company prevailing at the Declaration Deadline, in which case the Available Capacity for that hour shall be the Revised Declared Available Capacity (at the Reference Site Condition prevailing at the time of the declaration),
(ii) the Company has informed the Power Purchaser of a Revised Declared Available Capacity in accordance with Section 5.3(c)(ii) that is greater than the Declared Available Capacity of the Company prevailing at the Declaration Deadline, in which case the Available Capacity for that hour shall be the Revised Declared Available Capacity (at the Reference Site Condition prevailing at the time of such declaration) notified at least four (4) hours prior to the start of the relevant hour as per Section 5.3(c)(ii);
(iii) the Net Electrical Output is less than the Despatched Net Electrical Output due to reasons other than those described in Section 5.4(d), in which case the Available Capacity for the applicable hour shall be the capacity, in MW, as determined by the Net Electrical Output for such hour; or
(iv) Notwithstanding anything to the contrary contained in this Agreement, should the Complex be Despatched up to the Declared Available Capacity or the Revised Declared Available Capacity and the Net Electrical Output is more than the Despatched Net Electrical Output for that hour then in that case the Available Capacity for that hour shall be the capacity, in MW, as determined by the Net Electrical Output for such hour subject to a maximum upper limit of one hundred and one and one fifth percent (101.2%) of the Despatched Net Electrical Output.
(c) In addition to the payment by the Power Purchaser of Capacity Payments for the Available Capacity pursuant to Section 9.1(a), from and after the Commercial Operations Date...