Development Security. If Seller is required to post Development Security, Seller shall post such Development Security in accordance with the following terms and conditions: Seller shall post a development fee (the “Development Security”) in the amount of $20 per kW of Net Contract Capacity on or before the 30th day following the Effective Date. Seller shall post additional Development Security in the amount of $40 per kW of Net Contract Capacity (for a total posted amount of $60 per kW of Development Security) at the end of the 18th month following the Effective Date. The Development Security shall be held by Buyer and shall be in the form of either a cash deposit or a Letter of Credit; and If Seller establishes the Development Security by means of a Letter of Credit, such Letter of Credit shall be substantially in the form of Exhibit P. Forfeiture of Development Security for Failure to Commence Term by the Term Start Date; Extension of the Term Start Date. Failure to Meet the Term Start Date. Subject to Seller’s right to extend the Term Start Date as provided in Section 4(c)(ii) of this Exhibit F or as a result of a Force Majeure as to which Seller is the Claiming Party (subject to Section 5.03), if the Term does not commence on or before the Term Start Date, Buyer may retain the entire Development Security (if applicable) and, if not already terminated, terminate this Agreement, and neither Party shall have liability for damages for failure to deliver or purchase the Product after the effective date of such termination.
Development Security. 6.1.1. Seller shall, for the performance of its obligations hereunder during the Development Period and Construction Period, provide to CEB no later than 30 (thirty) days from the date of this Agreement, an irrevocable and unconditional guarantee from an Acceptable Financial Institution operating in Mauritius for a sum equivalent to […….] MUR [Please insert amount in words] (Amount to be 3 million MUR/ Maximum capacity, MW) million in the form set forth in Schedule B (“Development Security”). Until such time the Development Security is provided by Seller pursuant hereto and the same comes into effect, the Bid Security shall remain in force and effect up to 45 (forty-five) days after the date of the Agreement, and upon such provision of the Development Security pursuant hereto, CEB shall release the Bid Security without any interest to Seller.
6.1.2. Notwithstanding anything to the contrary contained in this Agreement, in the event that the Development Security is not provided by Seller within a period of 30 (thirty) days from the date of this Agreement, CEB may encash the Bid Security and appropriate the proceeds thereof, and thereupon all rights, privileges, claims and entitlements of Seller under or arising out of this Agreement shall be deemed to have been waived by, and to have ceased with the concurrence of Seller, and this Agreement shall be deemed to have been terminated by mutual agreement of the Parties.
Development Security. “Development Security” shall have the definition set forth in the Power Purchase Agreement.
Development Security. Seller shall post such Development Security in accordance with the following terms and conditions:
(i) Seller shall post a development fee (the “Development Security”) in the amount of $20 per kW of the As-Available Contract Capacity on or before the 30th day following the Effective Date. The Development Security shall be held by Buyer and shall be in the form of either a cash deposit or a Letter of Credit; and
(ii) If Seller establishes the Development Security by means of a Letter of Credit, such Letter of Credit shall be substantially in the form of Exhibit L.
Development Security. If the Facility has not achieved Commercial Operation by the Effective Date, Seller shall post and thereafter maintain development security equal to two percent (2%) of the Nominal Contract Value upon execution of this Agreement. The Development Security shall be held by COMPANY as security for Seller meeting the Commercial Operation Date or any other Significant Milestone Schedule as provided in Section 4.3. The Development Security shall be in the form of either a cash deposit or a Letter of Credit as provided for in Section 6.4. The following provisions shall govern disposition of the Development Security: In the event that the Facility achieves Commercial Operation on or prior to the Commercial Operation Date established on the Effective Date, the entire Development Security shall be returned to Seller upon Seller’s posting of credit support as further discussed herein in Article 6. In the event that the Commercial Operation Date is extended pursuant to the provisions of Section 4.4 for a period of 30 days or less and the Facility achieves Commercial Operation on or prior to such extended date, Seller shall be entitled only to a portion of the Development Security equal to the Development Security, multiplied by (1 – (the number of calendar days that the Commercial Operation Date is delayed beyond the original Commercial Operation Date, not to exceed 30 days) divided by 180). The portion of the Development Security retained by COMPANY shall be kept as liquidated damages. In the event that the Commercial Operation Date is not extended pursuant to the provisions of Section 4.4, but the Facility is resized pursuant to the provisions of Section 4.5, Seller shall be entitled only to a portion of the Development Security equal to (i) two percent (2%) times the Nominal Contract Value multiplied by (ii) the ratio of the revised Contract Amount resulting from the resizing to the original Contract Amount prior to the resizing, provided such ratio does not exceed 100%. The remainder of the Development Security shall be kept by COMPANY as liquidated damages. In the event that the Commercial Operation Date is extended pursuant to the provisions of Section 4.4 for a period of 30 days or less and the Seller meets such extended date but the Facility is resized pursuant to the provisions of Section 4.5, Seller shall be entitled only to a portion of the Development Security equal to (i) two percent (2%) times the Nominal Contract Value multiplied by (ii) the ratio of th...
Development Security. Seller shall post such Development Security in accordance with the following terms and conditions: Seller shall post a development fee (the “Development Security”) in the amount of $20 per kW of the As-Available Contract Capacity on or before the 30th day following the Effective Date. The Development Security shall be held by Buyer and shall be in the form of either a cash deposit or a Letter of Credit; and If Seller establishes the Development Security by means of a Letter of Credit, such Letter of Credit shall be substantially in the form of Exhibit L. Forfeiture of Development Security for Failure to Commence Term by the Term Start Date; Extension of the Term Start Date. Failure to Meet the Term Start Date. Subject to Seller’s right to extend the Term Start Date as provided in Section 4(c)(ii) of this Exhibit D or as a result of a Force Majeure as to which Seller is the Claiming Party (subject to Section 5.03), if the Term does not commence on or before the Term Start Date, Buyer may retain the entire Development Security (if applicable) and, if not already terminated, terminate this Agreement, and neither Party shall have liability for damages for failure to deliver or purchase the Product after the effective date of such termination.
Development Security. As a condition of CVEC’s execution of and continuing obligations under this Agreement, Developer shall provide to CVEC, as security for the performance of Developer’s obligations hereunder prior to the Outside Commercial Operation Date a cash deposit (the “Development Security”). The Development Security shall be deposited in the Deposit Control Account within five (5) Business Days after the Effective Date. CVEC shall have the right to draw upon the Development Security, at CVEC’s sole discretion: (i) as a non-exclusive remedy available to CVEC under Section 2.4(b) – (f) (Early Termination by CVEC; or (ii) in the event Developer fails to achieve Commercial Operation by the Outside Commercial Operation Date and fails to pay Delay Liquidated Damages as provided in Section 3.11.; (iii) if Developer fails to make any payments owing under this Agreement after expiration of applicable notice and cure periods; or (iv) if Developer fails to reimburse CVEC for costs that CVEC has incurred or may incur as a result of Developer’s failure to perform its obligations under this Agreement. Unless this Agreement is terminated, any such drawing on the Development Security by CVEC shall give rise to an obligation of Developer to replenish the Development Security to its required amount within three (3) Business Days of the drawing.
Development Security. No later than twenty (20) Business Days after the Effective Date, Seller shall deliver to Buyer security for Seller’s obligations under this Agreement before the achievement of the Commercial Operation Date (the “Development Security”). Development Security may be provided in any one or more of the following forms (as determined by Seller): (i) one or more letters of credit issued by Qualified Issuers in a form substantially similar to Appendix I, (ii) a guaranty from a Qualified Guarantor in a form substantially similar to Appendix J, or (iii) any combination thereof; provided that the total of the Development Security shall equal three million seven hundred fifty thousand dollars ($3,750,000). Seller shall maintain the Development Security until Seller delivers the Performance Security pursuant to Section 5.3(c), or until Buyer is required to return the Development Security under Section 5.3(d) below.
Development Security. To secure its obligations under this Agreement, Seller shall deliver Development Security to Buyer within ten (10) business days of the Effective Date. Seller shall maintain the Development Security in full force and effect; provided Seller shall have no obligation to replenish the Development Security in the event Buyer collects or draws down any portion of the Development Security for any reason permitted under this Agreement. Upon the earlier of (i) Seller’s delivery of the Performance Security, or (ii) sixty (60) days after termination of this Agreement, Xxxxx shall return the Development Security to Seller, less the amounts drawn in accordance with this Agreement. If the Development Security is a Letter of Credit and the issuer of such Letter of Credit (i) fails to maintain the minimum Credit Rating specified in the definition of Letter of Credit, (ii) indicates its intent not to renew such Letter of Credit and such Letter of Credit expires prior to the Commercial Operation Date, or (iii) fails to honor Buyer’s properly documented request to draw on such Letter of Credit by such issuer, Seller shall have ten (10) Business Days to either post cash or deliver a substitute Letter of Credit in an amount equal to the Development Security then held by Xxxxx that otherwise meets the requirements set forth in the definition of Development Security.
Development Security. At Borrower's request, Bank may issue letters of credit (subject to compliance with Bank's standard procedures for issuance of letters of credit and in form and substance satisfactory to Bank) if required by governmental authorities or utilities to secure Borrower's obligations under a Development Agreement, provided that the aggregate amount of all such letters of credit do not exceed the amount of the Loan Budget Amount for the related work as shown on the Budget. The proceeds of the Loan restricted by any such letter of credit shall be available only for the costs covered by, and in accordance with the terms of, the related Development Agreement. Any amounts paid by Bank under any such letter of credit shall be treated for all purposes as an Advance hereunder.
