Photovoltaic power generation solar power generation contract

Do solar projects need an EPC contract?

In our experience, most utility-scale solar projects use an EPC Contract. An operation and maintenance agreement: This is usually a medium- to long-term Operating and Maintenance Agreement (O&M Agreement) with an Operator. The term of the O&M Agreement will vary from project to project.

What is a power purchase agreement (PPA)?

A Power Purchase Agreement (PPA) refers to a contractual agreement between two parties, typically a power producer and a customer. The producer usually arranges the design, gains the necessary permissions and manages the installation of a solar PV system on the customer’s property at little to no cost.

What is a PV installation agreement?

The Installation Agreement is a lump-sum agreement between the project company, as owner of the project, and the installation contractor, the contractor that will be responsible for installing the PV system, providing the balance of plant and commissioning the plant.

What happens when a solar PV contract ends?

When the contracts come to an end the customer can choose to remove the system, extend the PPA or purchase the energy system. On-site solar PV generation can take the form of either a large-scale rooftop installation on a commercial or industrial (C&I) site, or a ground-mount installation on adjacent land.

Will EPC contracts provide for the handover of a solar facility?

EPC Contracts will not provide for the handover of the solar facility to the Project Company, and the PPA will not become effective until all commissioning and reliability trialling has been successfully completed.

What is a generator sale and purchase agreement?

SALE AND PURCHASE The Generator agrees to sell and the Buyer agrees to purchase and pay for all of the Electrical Output generated by the Facility during the applicable Generation Period in accordance with the provisions of this Agreement.