Contract and Credit Requirements Sample Clauses

Contract and Credit Requirements. If a Generator Interconnection Related Upgrade is required, the Generator Owner requesting such upgrade, at the request of the Transmission Owner or its designee responsible for effecting the construction or modification, shall be obligated to pay to the Transmission Owner or its designee responsible for effecting the Generator Interconnection Related Upgrade an amount equal to its share of the estimated cost of the construction at one time or in monthly or other periodic installments, including, without limitation, all costs associated with acquiring land, rights of way easements, purchasing equipment and materials, installing, constructing, interconnecting, and testing the facilities; O&M and engineering costs; all related overheads; and any and all associated taxes and government fees. In addition to, or in lieu of said payment, the affected Transmission Owner or its designee may require the Generator Owner to provide, as security for its obligation to pay any unfunded balance of the construction costs, a letter of credit or other reasonable form of security acceptable to the Transmission Owner or its designee that will be responsible for the construction equivalent to the cost of the upgrade including taxes and consistent with relevant commercial practices, as established by the Uniform Commercial Code. As soon as reasonably practical, but in any event within 180 days after completion of the construction or modifications, or as otherwise mutually agreed, the Transmission Owner or its designee responsible for the construction or modification will determine the difference, if any, between the estimated cost already paid by the Generator Owner to the Transmission Owner or its designee responsible for the construction or modification and its share of the actual cost of the construction or modification, and will either receive from the Generator Owner, with Interest (if the sum paid is insufficient) or pay to the Generator Owner, with Interest (if the sum paid is surplus) the difference; provided that if, at the time such determination is made, items of construction that remain to be completed and/or some construction costs have not been invoiced and paid, the Transmission Owner or its designee responsible for the construction or modification shall continue to be entitled to recover from the Generator Owner the Generator Owner's share of the costs of such remaining items and may retain a reserve to cover such items. Furthermore, the Transmission Owner shall...