Common use of Design and Operation Clause in Contracts

Design and Operation. ‌ 2.1 Design and Construction of the Facility (a) The Supplier agrees to design and build the Facility using Good Engineering and Operating Practices and meeting all relevant requirements of the IESO Market Rules, Transmission System Code, Distribution System Code, the Connection Agreement, in each case, as applicable, and all other Laws and Regulations. The Supplier shall ensure that the Facility is designed, engineered and constructed to operate in accordance with the requirements of this Agreement.‌ Draft (b) Subject to Section 4.3, the Supplier shall at no time after the Contract Date modify, vary, or amend in any material respect any of the features or specifications of the Facility outlined in Exhibit A, including, for greater certainty any material change to the Duration Capability, (the “Facility Amendment”) without first notifying the Buyer in writing and obtaining the Buyer’s consent in writing, which consent shall not be unreasonably withheld, provided that it shall not be unreasonable for the Buyer to withhold its consent to any modification, variation or amendment which would, or would be likely to, materially adversely affect the ability of the Supplier to comply with its obligations under this Agreement. Any Facility Amendment that has not been consented to by the Buyer (other than in instances where such consent has been unreasonably withheld) shall, if not removed within ten (10) Business Days after such Facility Amendment occurred, constitute a Supplier Event of Default. Notwithstanding the foregoing, the Buyer’s consent to a Facility Amendment that results in an increase or a decrease to the Contract Capacity shall be subject to the Buyer’s sole and absolute discretion. Notwithstanding anything to the contrary in this Section 2.1(b), for an Electricity Storage Facility, the replacement of battery cells, inverters or any other equipment of the Facility listed in Exhibit A on a like-for-like or substantially similar basis for the purpose of maintaining, preserving or restoring the capability of the Facility shall not be considered a Facility Amendment.‌‌ (c) If the Buyer’s consent in writing has been given in relation to a reduction in the Contract Capacity pursuant to Section 2.1(b), the Contract Capacity shall be deemed to be reduced to the lower amount, effective at the time stated in such notice. If the Buyer’s consent has been given in relation to an increase in the Contract Capacity pursuant to Section 2.1(b) the Contract Capacity shall be increased to the higher amount, effective as of the time stated in such notice, provided that:‌ (i) such increase shall not be effective until the Supplier performs a Capacity Check Test confirming the increased amount of the Monthly Contract Capacity; and‌‌ (ii) the Supplier has delivered to the Buyer an amount of Completion and Performance Security corresponding to the increased amount of the Maximum Contract Capacity as calculated in accordance with Section 6.1.‌

Appears in 1 contract

Samples: Long Term Reliability Services Contract

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Design and Operation. 2.1 Design and Construction of the Facility (a) The Supplier agrees to design and build the Facility using Good Engineering and Operating Practices and meeting all relevant requirements of the IESO Market Rules, Transmission System Code, Distribution System Code, the Connection Agreement, in each case, as applicable, and all other Laws and Regulations. The Supplier shall ensure that the Facility is designed, engineered and constructed to operate in accordance with the requirements of this Agreement.‌ DraftAgreement during the Term.‌‌ (b) Subject to Section 4.3, the The Supplier shall at no time after the Contract date of this AgreementContract Date modify, vary, or amend in any material respect any of the features or specifications of the Facility outlined in Exhibit A, including, for greater certainty any material change to the Duration Capability, (the “Facility Amendment”) without first notifying the Buyer in writing and obtaining the Buyer’s consent in writing, which consent shall not be unreasonably withheld, provided that it shall not be unreasonable for the Buyer to withhold its consent to any modification, variation or amendment which would, or would be likely to, materially adversely affect the ability of the Supplier to comply with its obligations under this AgreementAgreement or that seeks to reduce the Contract Capacity. Any Facility Amendment that has not been consented to by the Buyer (other than in instances where such consent has been unreasonably withheld) shall, if not removed within ten (10) Business Days after such Facility Amendment occurred, constitute a Supplier Event of Default. Notwithstanding the foregoing, the Buyer’s consent to a Facility Amendment that results in an increase or a decrease to the Contract Capacity shall be subject to the Buyer’s sole and absolute discretion. Notwithstanding anything to the contrary in this Section 2.1(b), for an Electricity Storage Facility, the replacement of battery cells, inverters or any other equipment of the Facility listed in Exhibit A on a like-for-like or substantially similar basis for the purpose of maintaining, preserving or restoring the capability of the Facility shall not be considered a Facility Amendment.‌‌discretion.‌‌‌ Draft (c) If the Buyer’s consent in writing has been given in relation to a reduction in the Contract Capacity pursuant to Section 2.1(b), the Contract Capacity shall be deemed to be reduced to the lower amount, effective at the time stated in such notice. If the Buyer’s consent has been given in relation to an increase in the Contract Capacity pursuant to Section 2.1(b) the Contract Capacity shall be increased to the higher amount, effective as of the time stated in such notice, provided that:‌ (i) such increase shall not be effective until the Supplier performs a Capacity Check Test confirming the increased amount of the Monthly Maximum Contract Capacity; and‌‌and‌‌‌‌ (ii) the Supplier has delivered to the Buyer an amount of Completion and Performance Security corresponding to the increased amount of the Maximum Annual AverageMaximum Contract Capacity as calculated in accordance with Section 6.1.‌sectionSection 6.1.‌‌‌‌

Appears in 1 contract

Samples: E Lt 1 Contract

Design and Operation. ‌ 2.1 Design and Construction of the Facility (a) The Supplier agrees to design and build the Facility using Good Engineering and Operating Practices and meeting all relevant requirements of the IESO Market Rules, Transmission System Code, Distribution System Code, the Connection Agreement, in each case, as applicable, and all other Laws and Regulations. The Supplier shall ensure that the Facility is designed, engineered and constructed to operate in accordance with the requirements of this Agreement.‌ DraftAgreement.‌ (b) Subject to Section 4.3, the Supplier shall at no time after the Contract Date modify, vary, or amend in any material respect any of the features or specifications of the Facility outlined in Exhibit A, including, for greater certainty certainty‌ any material change to the Duration Capability, (the “Facility Amendment”) without first notifying the Buyer in writing and obtaining the Buyer’s consent in writing, which consent shall not be unreasonably withheld, provided that it shall not be unreasonable for the Buyer to withhold its consent to any modification, variation or amendment which would, or would be likely to, materially adversely affect the ability of the Supplier to comply with its obligations under this Agreement. Notwithstanding the foregoing, where the Supplier requests a Facility Amendment within twelve (12) months after the Contract Date to change the location of the Project Site to a location that is no more than two (2) kilometres from any boundary of the Project Site described in Exhibit A at the time of such request, the Buyer will consent to such request, provided that the Connection Point does not change and provided that the provisions of Section 2.14 shall apply to any additional or substituted Local Municipality with authority over the revised Project Site. Any Facility Amendment that has not been consented to by the Buyer (other than in instances where such consent has been unreasonably withheld) shall, if not removed within ten (10) Business Days after such Facility Amendment occurred, constitute a Supplier Event of Default. Notwithstanding the foregoing, the Buyer’s consent to a Facility Amendment that results in an increase or a decrease to the Contract Capacity shall be subject to the Buyer’s sole and absolute discretion. Notwithstanding anything to the contrary in this Section 2.1(b), for an Electricity Storage Facility, the replacement of battery cells, inverters or any other equipment cells of the Facility listed in Exhibit A on a like-for-like or substantially similar basis for the purpose of maintaining, preserving or restoring the capability of the Facility shall not be considered a Facility Amendment.‌‌Amendment.‌‌‌‌ (c) If the Buyer’s consent in writing has been given in relation to a reduction in the Contract Capacity pursuant to Section 2.1(b), the Contract Capacity shall be deemed to be reduced to the lower amount, effective at the time stated in such notice. If the Buyer’s consent has been given in relation to an increase in the Contract Capacity pursuant to Section 2.1(b) the Contract Capacity shall be increased to the higher amount, effective as of the time stated in such notice, provided that:‌ (i) such increase shall not be effective until the Supplier performs a Capacity Check Test confirming the increased amount of the Monthly Contract Capacity; and‌‌and‌ (ii) the Supplier has delivered to the Buyer an amount of Completion and Performance Security corresponding to the increased amount of the Maximum Contract Capacity as calculated in accordance with Section 6.1.‌

Appears in 1 contract

Samples: E Lt 1 Contract

Design and Operation. ‌ 2.1 Design and Construction of the Facility (a) The Supplier agrees to design and build the Facility using Good Engineering and Operating Practices and meeting all relevant requirements of the IESO Market Rules, Transmission System Code, Distribution System Code, the Connection Agreement, in each case, as applicable, and all other Laws and Regulations. The Supplier shall ensure that the Facility is designed, engineered and constructed to operate in accordance with the requirements of this Agreement.‌ DraftThe (b) Subject to Section 4.3, the Supplier shall at no time after the Contract Date modify, vary, or amend in any material respect any of the features or specifications of the Facility outlined in Exhibit A, including, for greater certainty any material change to the Duration Capability, (the “Facility Amendment”) without first notifying the Buyer in writing and obtaining the Buyer’s consent in writing, which consent shall not be unreasonably withheld, provided that it shall not be unreasonable for the Buyer to withhold its consent to any modification, variation or amendment which would, or would be likely to, materially adversely affect the ability of the Supplier to comply with its obligations under this Agreement. Any Facility Amendment that has not been consented to by the Buyer (other than in instances where such consent has been unreasonably withheld) shall, if not removed within ten (10) Business Days after such Facility Amendment occurred, constitute a Supplier Event of Default. Notwithstanding the foregoing, the Buyer’s consent to a Facility Amendment that results in an increase or a decrease to the Contract Capacity shall be subject to the Buyer’s sole and absolute discretion. Notwithstanding anything to the contrary in this Section 2.1(b), for an Electricity Storage Facility, the replacement of battery cells, inverters or any other equipment of the Facility listed in Exhibit A on a like-for-like or substantially similar basis for the purpose of maintaining, preserving or restoring the capability of the Facility shall not be considered a Facility Amendment.‌‌Amendment.‌ (c) If the Buyer’s consent in writing has been given in relation to a reduction in the Contract Capacity pursuant to Section 2.1(b), the Contract Capacity shall be deemed to be reduced to the lower amount, effective at the time stated in such notice. If the Buyer’s consent has been given in relation to an increase in the Contract Capacity pursuant to Section 2.1(b) the Contract Capacity shall be increased to the higher amount, effective as of the time stated in such notice, provided that:‌ that:‌ Draft (i) such increase shall not be effective until the Supplier performs a Capacity Check Test confirming the increased amount of the Monthly Contract Capacity; and‌‌ (ii) the Supplier has delivered to the Buyer an amount of Completion and Performance Security corresponding to the increased amount of the Maximum Contract Capacity as calculated in accordance with Section 6.1.‌

Appears in 1 contract

Samples: Long Term Reliability Services Contract

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Design and Operation. 2.1 Design and Construction of the Facility (a) The Supplier agrees to design and build the Facility using Good Engineering and Operating Practices and meeting all relevant requirements of the IESO Market Rules, Transmission System Code, Distribution System Code, the Connection Agreement, in each case, as applicable, and all other Laws and Regulations. The Supplier shall ensure that the Facility is designed, engineered and constructed to operate in accordance with the requirements of this Agreement.‌ DraftThe (b) Subject to Section 4.3, the Supplier shall at no time after the Contract Date modify, vary, or amend in any material respect any of the features or specifications of the Facility outlined in Exhibit A, including, for greater certainty any material change to the Duration Capability, (the “Facility Amendment”) without first notifying the Buyer in writing and obtaining the Buyer’s consent in writing, which consent shall not be unreasonably withheld, provided that it shall not be unreasonable for the Buyer to withhold its consent to any modification, variation or amendment which would, or would be likely to, materially adversely affect the ability of the Supplier to comply with its obligations under this Agreement. Any Facility Amendment that has not been consented to by the Buyer (other than in instances where such consent has been unreasonably withheld) shall, if not removed within ten (10) Business Days after such Facility Amendment occurred, constitute a Supplier Event of Default. Notwithstanding the foregoing, the Buyer’s consent to a Facility Amendment that results in an increase or a decrease to the Contract Capacity shall be subject to the Buyer’s sole and absolute discretion. Notwithstanding anything to the contrary in this Section 2.1(b), for an Electricity Storage Facility, the replacement of battery cells, inverters or any other equipment of the Facility listed in Exhibit A on a like-for-like or substantially similar basis for the purpose of maintaining, preserving or restoring the capability of the Facility shall not be considered a Facility Amendment.‌‌Amendment.‌ (c) If the Buyer’s consent in writing has been given in relation to a reduction in the Contract Capacity pursuant to Section 2.1(b), the Contract Capacity shall be deemed to be reduced to the lower amount, effective at the time stated in such notice. If the Buyer’s consent has been given in relation to an increase in the Contract Capacity pursuant to Section 2.1(b) the Contract Capacity shall be increased to the higher amount, effective as of the time stated in such notice, provided that:‌ that:‌ Draft (i) such increase shall not be effective until the Supplier performs a Capacity Check Test confirming the increased amount of the Monthly Contract Capacity; and‌‌ (ii) the Supplier has delivered to the Buyer an amount of Completion and Performance Security corresponding to the increased amount of the Maximum Contract Capacity as calculated in accordance with Section 6.1.‌

Appears in 1 contract

Samples: Long Term Reliability Services Contract

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