Default Security is defined in Section 8.2.1.

Default Security unless otherwise agreed to by the Parties in writing, means the amount of either a Letter of Credit or cash placed in an escrow account sufficient to replace twelve (12) average months of replacement power costs over the term of this Agreement, and shall be calculated by taking the average, over the term of this Agreement, of the positive difference between (a) the monthly forward power prices at [specify POD] (as determined by PacifiCorp in good faith using information from a commercially reasonable independent source), multiplied by 110%, minus (b) the average of the Fixed Avoided Cost Prices specified in Schedule 37, and multiplying such difference by (c) the Minimum Annual Delivery; provided, however, the amount of Default Security shall in no event be less than the amount equal to the payments PacifiCorp would make for three (3) average months based on Seller’s average monthly volume over the term of this Agreement and utilizing the average Fixed Avoided Cost Prices specified in Schedule 37. Such amount shall be fixed at the Effective Date of this Agreement.

Default Security means a Guaranty or a Letter of Credit, in each case, in an amount equal to [ ] per kW of the Nameplate Capacity Rating.

Examples of Default Security in a sentence

To the extent PacifiCorp receives payment from the Default Security, Seller shall, within fifteen (15) days, restore the Default Security as if no such deduction had occurred.
Seller shall deposit in an escrow account established by PacifiCorp in a banking institution acceptable to both Parties, the Default Security.
However, as of the Commercial Operation Date, Seller may elect to apply the Project Development Security toward the Default Security required by Section 8.2, including by the automatic continuation (as opposed to the replacement) thereof.
To the extent Idaho Power receives payment from the Default Security, Seller shall, within fifteen (15) days, restore the Default Security as if no such deduction had occurred.
Seller shall post and maintain in an amount equal to the Default Security: (a) a guaranty from a party that satisfies the Credit Requirements, in a form acceptable to PacifiCorp in its discretion, or (b) a Letter of Credit in favor of PacifiCorp.

More Definitions of Default Security

Default Security. A dollar amount computed by the annual On-Peak Hours multiplied by the (On-Peak price less Off-Peak price) multiplied by Annual Net Energy Amount divided by 8,760 where the On-Peak price and Off-Peak price are the applicable prices specified in Appendix E.

Default Security is an amount equal to fifty dollars ($50) per kW of the final Nameplate Capacity Rating.

Default Security means a Guaranty or a Letter of Credit, in each case, in an amount equal to One Hundred Dollars ($100) per kW of the Nameplate Capacity Rating.

Default Security is an amount equal $25 per KW of Nameplate Capacity Rating.

Default Security unless otherwise agreed to by the Parties in writing, means the amount of either a Letter of Credit or cash placed in an escrow account sufficient to replace twelve (12) average months of replacement power costs over the term of this Agreement, and shall be calculated by taking the average, over the term of this Agreement, of the positive difference between (a) the monthly forward power prices at [specify POD] (as determined by PacifiCorp in good faith using information from a commercially reasonable independent source), multiplied by 110%, minus (b) the average of the Fixed Avoided Cost Prices specified in the Standard Avoided Cost Rates Schedule, and multiplying such difference by (c) the Minimum Annual Delivery; provided, however, the amount of Default Security shall in no event be less than the amount equal to the payments PacifiCorp would make for three (3) average months based on Seller’s average monthly volume over the term of this Agreement and utilizing the average Fixed Avoided Cost Prices specified in the Standard Avoided Cost Rates Schedule. Such amount shall be fixed at the Effective Date of this Agreement.

Default Security means the Cash Deposit Security or Letter of Credit Security acceptable to NorthWestern in the amount set forth in Section 7.1 for a potential or actual default of this Agreement.

Default Security. A dollar amount computed by multiplying the (Annual On Peak Hours) multiplied by the (On Peak Price less Off Peak Price) multiplied by (Annual Net Energy Amount divided by 8,760) where the On Peak Price and Off Peak Price are the prices specified in the Schedule 85 option the Seller has selected in paragraph 7.1 of this Agreement