Purchase and Sale of Capacity Credits Sample Clauses
The "Purchase and Sale of Capacity Credits" clause establishes the terms under which one party agrees to sell, and another party agrees to buy, capacity credits associated with a power generation facility. This clause typically outlines the quantity of credits to be transferred, the timing and method of delivery, and the price or payment terms. By clearly defining the rights and obligations regarding capacity credits, the clause ensures both parties understand their commitments and helps facilitate compliance with regulatory requirements or market mechanisms that use such credits to ensure adequate electricity supply.
Purchase and Sale of Capacity Credits. (a) Subject to the terms and conditions herein, Seller shall sell and deliver Capacity Credits to Buyer, and, in consideration thereof, Buyer shall make Monthly Payments to Seller in accordance with Section 4.1. Seller shall deliver Capacity Credits from the Facility to satisfy the Contract Quantity unless and to the extent that Seller determines that the Capacity Credits from the Facility will not be sufficient to satisfy the Contract Quantity. In such circumstances, Seller shall have the right to deliver Capacity Credits from any other Planning Resource within MISO South to satisfy its obligations hereunder to deliver the Contract Quantity of Capacity Credits for each Planning Period during the Capacity Credit Term; provided, however, that, if Seller delivers any Capacity Credits from another Planning Resource within MISO South, Seller shall use Commercially Reasonable Efforts to deliver Buyer Capacity Credits from a Planning Resource located within Local Resource Zone 9.
(b) Seller shall, at its own expense, timely execute and file all documents (including any applicable request for qualification as a capacity resource) and take all other actions (including identifying and complying with certification, accreditation, offering, and scheduling procedures) necessary or advisable to obtain all Capacity Credits included in the Contract Quantity for each Planning Period during the Capacity Credit Term. Seller shall transfer to Buyer custody of, and grant Buyer title to, all Capacity Credits included in the Contract Quantity for each Planning Period during the Capacity Credit Term no later than the earliest to occur of: (i) 12:00 p.m. (noon) central time on the March 5th immediately preceding the applicable Planning Period, provided that a Planning Period is the same as a Planning Year, (ii) ten (10) Business Days before any MISO deadline applicable to the filing of any MISO resource adequacy plan for such Planning Period,