Residual System Capability Clause Samples

The Residual System Capability clause defines the minimum level of functionality or performance that a system must retain after certain events, such as partial failure, maintenance, or upgrades. In practice, this clause specifies which core features or services must remain operational even if other parts of the system are compromised or offline; for example, a power grid might require that essential safety mechanisms continue to function during a blackout. Its core purpose is to ensure continuity of critical operations and to mitigate risks associated with system downtime or degradation, thereby protecting users and stakeholders from complete service loss.
Residual System Capability. C. Hydro shall make the Residual System Capability available exclusively to Powerex to support the sale and purchase to or from third parties of electricity products and services by Powerex. For greater certainty, B.C. Hydro is not providing any storage services to Powerex under this Agreement.