Common use of Retention of Security Clause in Contracts

Retention of Security. Amounts provided by Seller as Contract Security and not refunded pursuant to Section 15.06 above will be retained by NYSERDA as follows: In their entirety, (i) upon termination of this Agreement under Section 14.01(a) of this Agreement due to the occurrence of a Seller Event of Default if such Event of Default remains uncured after the expiration of the applicable cure period, or (ii) upon termination under Section 14.01(c); On a prorated basis if Seller notifies NYSERDA in writing that Seller intends to build the Selected Project such that, once complete, the Operational Installed Capacity will be less than the product of 0.95 and the Offer Capacity (such amount by which the Operational Installed Capacity is less than ninety-five percent (95%) of the Offer Capacity being the “Offer Capacity Reduction”). The amount that will be retained, expressed as a fraction of the total Contract Security held by NYSERDA as of the date of such notification, shall equal the Offer Capacity Reduction divided by the Offer Capacity. In the event that Seller has provided the Contract Security in the form of a Letter of Credit or an Acceptable Guaranty, NYSERDA shall be entitled to draw on the Letter of Credit or obtain payment under the Acceptable Guaranty, respectively, for the prorated amount of the Contract Security calculated in accordance with this Section 15.07(b) as of the date of Seller’s written notification to NYSERDA of Seller’s intent in respect of the Offer Capacity Reduction.

Retention of Security. Amounts provided by Seller as Contract Security and not refunded pursuant to Section 15.06 above will be retained by NYSERDA as follows: In their entirety, (i) upon termination of this Agreement under Section 14.01(a) of this Agreement due to the occurrence of a Seller Event of Default if such Event of Default remains uncured after the expiration of the applicable cure period, or (ii) upon termination under Section 14.01(c); and, On a prorated basis if Seller notifies NYSERDA in writing that Seller intends to build the Selected Project such that, once completeit has reached Commercial Operation, the Operational Installed Capacity will be less than the product of 0.95 and the Offer Capacity (such amount by which the Operational Installed Capacity is less than ninety-five percent (95%) of the Offer Capacity being the “Offer Capacity Reduction”). The amount that will be retained, expressed as a fraction of the total Contract Security held by NYSERDA as of the date of such notification, shall equal the Offer Capacity Reduction divided by the Offer Capacity. In the event that Seller has provided the Contract Security in the form of a Letter of Credit or an Acceptable Guaranty, NYSERDA shall be entitled to draw on the Letter of Credit or obtain payment under the Acceptable Guaranty, respectively, for the prorated amount of the Contract Security calculated in accordance with this Section 15.07(b) as of the date of Seller’s written notification to NYSERDA of Seller’s intent in respect of the Offer Capacity Reduction.

Retention of Security. Amounts provided by Seller as Contract Security and not refunded pursuant to Section 15.06 above will be retained by NYSERDA as follows: In their entirety, (i) upon termination of this Agreement under Section 14.01(a) of this Agreement due to the occurrence of a Seller Event of Default if such Event of Default remains uncured after the expiration of the applicable cure period, or (ii) upon termination under Section 14.01(c); On a prorated basis if Seller notifies NYSERDA in writing that Seller intends to build the Selected Project such that, once complete, the Operational Installed Capacity will be less than the product of 0.95 and the Offer Capacity (such amount by which the Operational Installed Capacity is less than ninety-five percent (95%) % of the Offer Capacity being the “Offer Capacity Reduction”). The amount that will be retained, expressed as a fraction of the total Contract Security held by NYSERDA as of the date of such notification, shall equal the Offer Capacity Reduction divided by the Offer Capacity. In the event that Seller has provided the Contract Security in the form of a Letter of Credit or an Acceptable Guaranty, NYSERDA shall be entitled to draw on the Letter of Credit or obtain payment under the Acceptable Guaranty, respectively, for the prorated amount of the Contract Security calculated in accordance with this Section 15.07(b) as of the date of Seller’s written notification to NYSERDA of Seller’s intent in respect of the Offer Capacity Reduction.