Deficiency Usage Clause Samples
The Deficiency Usage clause defines how any shortfall or deficiency—such as a lack of funds, resources, or performance—will be addressed under the agreement. Typically, this clause outlines the procedures for identifying, reporting, and remedying deficiencies, and may specify the responsibilities of each party in covering or correcting the shortfall. Its core practical function is to ensure that any gaps or failures are managed transparently and efficiently, thereby minimizing disputes and maintaining the integrity of the contractual relationship.
Deficiency Usage. A Transaction Agreement may specify that Customer will pay EESI a per kWh amount in addition to the applicable EESI Energy Price if the Actual Usage at the applicable Facilities during a specified time period is less than the Minimum Usage established for such time period.
Deficiency Usage. In the event that for any Billing Cycle, the aggregate Actual Usage within a Facility Group is less than the aggregate Minimum Usage for such Billing Cycle for such Facility Group (such difference being the "Deficiency Usage"), Sysco Corporation will pay EESI the applicable compensation provided in Section 2.12.1.1 for all of the Facility Group’s aggregate Actual Usage, such payment to be made as set forth in Section 2.3, plus, for each kWh of Deficiency Usage, EESI shall be entitled to charge Sysco Corporation an amount equal to the positive difference, if any, derived by subtracting (i) the Average Energy Price for the Facility Group for the applicable Billing Cycle from (ii) the EESI Energy Price. EESI shall credit Sysco Corporation for each kWh of Deficiency Usage, an amount equal to the negative difference, if any, derived by subtracting (x) the Average Energy Price for the Facility Group for the applicable Billing Cycle from (y) the EESI Energy Price. Credits and charges under this Section 2.2.2 shall be netted out and paid by the Party owing same to the Party to which such net amount is owed on an annual basis and reflected on the next EESI Invoice. Notwithstanding the foregoing, in no event shall the Sysco Parties or the Sysco Corporation be responsible for any Deficiency Usage which is caused by (i) EESI’s energy management activities, including without limitation a change to the Billing Cycle, a voluntary curtailment or EESI’s failure to deliver to the Utility, (ii) a Utility, or (iii) Force Majeure.
Deficiency Usage. In the event that for any Billing Cycle, the aggregate Actual Usage within a Facility Group is less than the aggregate Minimum Usage for such Billing Cycle for such Facility Group (such difference being the "Deficiency Usage"), Sysco Corporation will pay EESI the applicable compensation provided in Section 2.1 for all of the Facility Group’s aggregate Actual Usage plus, for each kWh of Deficiency Usage, an amount equal to the positive difference, if any, derived by subtracting (i) the weighted average Spot Energy Price for the Facility Group for the applicable Billing Cycle from (ii) the EESI Energy Price. EESI shall credit Sysco Corporation for each kWh of Deficiency Usage, an amount equal to the negative difference, if any, derived by subtracting (x) the weighted average Spot Energy Price for the Facility Group for the applicable Billing Cycle from (y) the EESI Energy Price.
Deficiency Usage. [% off pricing] In the event that for any Contract Year [other than the first Contract Year], REMOVE IF BASELINE IS 12 MONTH HISTORICAL Customer's Actual Usage is less than the Minimum Usage for such Contract Year ("Deficiency Usage"), Customer will pay EESI the applicable compensation provided in Section 2.1 for all of Customer’s Actual Usage plus, for each kWh of Deficiency Usage, an amount equal to the positive difference, if any, derived by subtracting (i) the sum of (a) the average Spot Energy Price for the applicable Contract Year and (b) the average per kWh Distribution Charges for the Facilities for such Contract Year; from (ii) the Average Energy Rate. [meter fixed price] In the event that for any Contract Year [other than the first Contract Year], Customer's Actual Usage is less than the Minimum Usage for such Contract Year ("Deficiency Usage"), Customer will pay EESI the applicable compensation provided in Section 2.1 for all of Customer’s Actual Usage plus, for each kWh of Deficiency Usage, an amount equal to the positive difference, if any, derived by subtracting (i) the sum of (a) the average Spot Energy Price for the applicable Contract Year and (b) the average per kWh Distribution Charges for the Facilities for such Contract Year; from (ii) the EESI Energy Price. [fixed price, generation only] In the event that for any Contract Year [other than the first Contract Year], Customer's Actual Usage is less than the Minimum Usage for such Contract Year ("Deficiency Usage"), Customer will pay EESI the applicable compensation provided in Section 2.1 for all of Customer’s Actual Usage plus, for each kWh of Deficiency Usage, an amount equal to the positive difference, if any, derived by subtracting (i) the average Spot Energy Price for the applicable Contract Year; from (ii) the EESI Energy Price.
Deficiency Usage. For each Transaction, in the event that for any Contract Year other than the first Contract Year Customer's Actual Usage is less than the Minimum Usage for such Contract Year ("Deficiency Usage"), Customer will pay EESI the applicable compensation provided in Section 3.1 for all of Customer’s Actual Usage plus, for each kWh of Deficiency Usage, a Deficiency Usage Charge calculated pursuant to the applicable Transaction Agreement.
Deficiency Usage. For each kWh of Deficiency Usage at each Account for each Billing Cycle, we will calculate an amount equal to the difference derived by subtracting (i) the weighted average Spot Energy Price for the applicable Billing Cycle from (ii) the EESI Energy Price. If such amount is a positive number, you will pay us that amount, and if such amount is a negative number, we will pay you the positive value of that amount. While the amounts calculated under this provision will be determined for each Billing Cycle, the Parties will settle amounts due on a net basis every six months during the Transaction Term. As used herein, “Spot Energy Price” means the weighted average (weighted in accordance with the applicable Account's Actual Usage) Hourly Energy Price applicable to the California ISO delivery point plus uplifts such as ancillary services, losses, congestion, ISO and administrative fees, and other non-Utility related costs. WHERE: "Hourly Energy Price" means the product of (i) the DJ Price; multiplied by (ii) the Historical Hourly Price divided by the Historical Block Price, as calculated for the applicable Facility for each hour during each month. "Historical Hourly Price" means, for any particular hour during a particular month, the average of the California Power Exchange day ahead hourly prices for the corresponding hour (regardless of whether such hour is an on peak, off peak, Sunday or North American Electric Reliability Council ("NERC") holiday hour) during each day of the corresponding month in the year 2000. "Historical Block Price" means, for any particular on peak, off peak, Sunday or NERC holiday hour during a particular month, the average of the California Power Exchange day ahead prices for such on peak, off peak, Sunday or NERC holiday hours, as applicable, during the corresponding month in the year 2000. "DJ Price" means any on peak, off peak, Sunday or NERC holiday hour (as applicable) during a particular day of the month, the price for firm electric energy for such on peak, off peak, Sunday or NERC holiday hour, respectively, as published in the Wall Street Journal for such day, which price shall be the NP15 or SP15 prices delivered to the ISO-controlled grid in California, as applicable to each applicable Facility, and shall be exclusive of components for administrative costs, settlements, ancillary services, congestion fees, distribution losses, uplift charges and other similar charges.
Deficiency Usage. In addition to the compensation provided for in Section 2.1, in the event that during any Contract Year after the Billing Cycle commencing in January 2005 Customer's Actual Usage is less than the Minimum Usage for such Contract Year ("Deficiency Usage"), Customer will pay EESI for each kWh of Deficiency Usage an amount equal to the positive difference, if any, derived by subtracting (i) the average Spot Energy Price for the applicable Contract Year from (ii) the EESI Energy Price. During any Contract year in which there is a Deficiency Usage, the minimum usage shall be adjusted to reflect any Tolling Period (as defined in Section 4.3 of this Agreement) during such Contract Year. Notwithstanding the foregoing, the Parties agree that if, at Customer's request and pursuant to a separate agreement, EESI implements Energy efficient technologies at any of the Facilities, including installation of self-generation equipment and implementation of Energy efficiency programs (collectively, “DSM Projects”), and, as a result thereof, Customer’s Energy usage is decreased, then, for purposes of calculating Customer's Deficiency Usage hereunder, the Minimum Usage shall be decreased on a kWh by kWh basis for such decrease in Customer’s Energy consumption resulting from the DSM Projects.
Deficiency Usage. Commencing on April 1, 2002 and continuing through to the end of the Contract Term, if for any Contract Year or prorated portion thereof, SBC’s Actual Usage for all Facilities is less than the Minimum Usage for such Contract Year or prorated portion thereof (the “Deficiency Usage”), then SBC shall pay EESI the applicable compensation provided in Section 2.1 for all of SBC’s Actual Usage; plus, for each kWh of Deficiency Usage, an amount equal to the difference (if the resultant difference is a negative number, then neither party shall be responsible to pay the other party such difference ), if any, of (a) the Generation Rate less (b) the volume weighted Spot Energy Price (weighted over the aggregate Actual Usage for all Facilities) for the applicable Contract Year.