Carbon Dioxide Emissions Payment Sample Clauses

Carbon Dioxide Emissions Payment. If Buyer elects to financially compensate Seller for Buyer’s Carbon Dioxide Emissions, or if Buyer makes no election, a Carbon Dioxide Emissions Payment, made on a monthly basis and payable to Seller, shall be calculated by Buyer for each Unit and on each day of the month as follows: (Daily GHG Gas) x (Carbon Dioxide Emission Rate) x (GHG Price) Daily GHG Gas shall equal the lesser of Daily Actual Gas or Daily Qualified Gas as determined in Section 3.3(f) (“Gas True-Up”) for a given day. Carbon Dioxide Emission Rate (metric ton per MMBtu) shall equal the lower of (i) 0.05302 metric ton per MMBtu, or (ii) the Actual Annual Emissions Rate based on the most recent Facility Emissions Report. GHG Prices shall be calculated by Buyer based on available market-based quotes for the least-cost combination of allowed GHG Compliance Instruments taking into consideration the allowed percentage of a given GHG Compliance Instrument from a given vintage year as permitted by CARB at the time of calculation to fulfill Seller’s GHG Compliance Obligations with respect to Buyer’s Carbon Dioxide Emissions. See Appendix XXVII for a sample calculation of Carbon Dioxide Emissions Payments pursuant to this term. Buyer shall select GHG Prices to be used for settlement, which may include daily settlement prices from Intercontinental Exchange (ICE) and/or GreenEx, for applicable products. If a GHG Price is not available on any one day, GHG Price would become previous day’s GHG Price used and if no index is suitable for use as determined by Buyer, the GHG Price used for a given day would be the lesser of: a) the last CARB Auction clearing price for Allowances, or b) the lowest priced tier in the Allowance Price Containment Reserve that contained Allowances for sale at the time of the last CARB Auction.
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