Recommendation For Contract Approval Sample Clauses

Recommendation For Contract Approval. Based on the review and evaluation of the contract negotiation process and results of the process, the IE believes that the contract was negotiated fairly and reasonably. PG&E also exhibited a reasonable degree of flexibility in the negotiation process given the nature of the resource. Finally, the contract price is competitive with recent bids received from the 2009 RPS Solicitation as well as bilateral contracts offered. Merrimack Energy therefore believes the contract reasonably merits Commission approval.

Recommendation For Contract Approval. The CPUC IE Report Template requires that the IE address the question, “Based on your analysis of the proposals received and available, the bid process, and the overall market does the contract merit Commission approval? Explain.” The resulting contracts from this solicitation include 14 PAs with Demand Response Providers. The agreements resulted from a competitive solicitation process that generated a reasonably robust level of competition for the Demand Response RA products subject to the solicitation. As discussed in the previous sections, the solicitation was conducted consistent with the utility’s protocols and was required to meet the provisions identified in the CPUC Resolution. Since the contracts were essentially standard contracts, there was no formal contract negotiation process with any Respondent. Instead, the process of completing and executing contracts generally involved clean-up items such as the name of the counterparty, contact information, verification of pricing, contract volumes and delivery periods, agreement on the level of credit required, and any issues associated with existing contracts that could be transitioned to a DRAM RFO contract. The contracts executed were selected in rank order and serve to generally meet the DRAM RFO pilot program requirements as contained in the CPUC Resolution with regard to the MW target, registration limit, and residential capacity thresholds. Overall, the 14 contracts executed were reasonably selected and executed, and merit approval. Any issues associated with the appropriate level of procurement for this initial DRAM RFO and whether PG&E should have executed additional contracts does not affect the contracts executed, which should be approved in any case. As a result, the IE concludes that the resulting contracts are reasonable and appropriate.