Renewable Energy Projects: Structuring REC Purchase and Sale Agreement, Interconnection Agreement

Negotiating Key Provisions, Navigating Regulatory Timelines and Requirements

A live 90-minute premium CLE video webinar with interactive Q&A


Tuesday, November 9, 2021

1:00pm-2:30pm EST, 10:00am-11:30am PST

Early Registration Discount Deadline, Friday, October 15, 2021

or call 1-800-926-7926

This CLE course will examine key considerations for counsel advising on renewable energy projects before entering renewable energy certificate (REC) purchase and sale agreements, net metering credit purchase agreements, and interconnection agreements. The panel will discuss key components of each agreement and offer their perspectives and best practices for negotiating and structuring the agreements.

Description

RECs offer project developers an increasingly important revenue stream to support renewable energy facility project development, especially as states increasingly mandate renewable portfolio standards (RPS) to implement clean energy objectives. Such RECs can be created and sold in voluntary markets or become a mandatory compliance tool in states with mandatory RPS programs.

When negotiating and structuring REC purchase and sale agreements, counsel should consider voluntary and mandatory REC programs that create markets for RECs, how RECs can be sold and to whom, parties' termination rights, the buyer's commitment to pay, and the applicable state regulatory structures and requirements for RECs, including the state's use of alternative compliance payment mechanisms as an alternative to RECs. Counsel must also understand the state's long-term RPS outlook and how supply/demand economics impacts future market values for RECs.

Interconnection is essential in the delivery of energy to the grid and the generation of RECs. When structuring interconnection agreements, counsel should know the regulatory considerations and implications of whether the project operator is the site owner or the customer and the complexities that arise for REC transactions depending on the answer.

Counsel should also consider the circumstances under which the utility can disconnect the renewable energy project from the grid, and if disconnected, how the project can deliver to the end user. When selling energy directly to a utility under the Public Utility Regulatory Policies Act, a related issue is whether the utility acquires associated RECs from the qualifying facility (QFs) automatically or whether the project developer can sell RECs separately from the energy generated from such QFs.

Counsel must carefully negotiate key provisions in each agreement and evaluate considerations, including regulatory obligations, before advising clients on executing the documentation.

Listen as our authoritative panel of energy counsel discusses navigating the regulatory and transactional structures involved in REC purchase and sale agreements. The panel will offer strategies for effectively negotiating the agreements.

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Outline

  1. REC purchase and sale agreements
    1. Considerations
    2. Provisions
    3. Regulatory requirements
  2. Interconnection agreements
    1. Key considerations
    2. Key provisions
    3. PURPA QF issues
    4. Regulatory requirements
  3. Best practices for negotiating and structuring the agreements

Benefits

The panel will review these and other key issues:

  • Key provisions that should be addressed when structuring REC purchase and sales agreements and interconnection agreements
  • Recognizing important regulatory structures by state and the role of PURPA in such transactions
  • Long-term considerations for parties and their counsel entering these agreements
  • Strategies counsel should employ in drafting and negotiating both REC purchase and sales agreements and interconnection agreements

Faculty

Coates, Graham
Graham T. Coates

Attorney
Holland & Knight

Mr. Coates is an energy, environmental, and public utility attorney in Holland & Knight's New York office....  |  Read More

Thall Peters, Kristen
Kristen Thall Peters

Partner
Cooper White & Cooper

Ms. Peters has extensive knowledge and experience with renewable energy projects having aided her clients in...  |  Read More

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Early Discount (through 10/15/21)

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Early Discount (through 10/15/21)

You may pre-order a recording to listen at your convenience. Recordings are available 48 hours after the webinar. Strafford will process CLE credit for one person on each recording. All formats include course handouts.

To find out which recorded format will provide the best CLE option, select your state:

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