Wind farm : First agreement for standard aggregation
The FEE aggregation contract was drafted by Norton Rose Fulbright on behalf of France Énergie Eoliennein a concerted manner within the scope of a dedicated working group. France Energie Eolienne brought together every actor in the sector (both members and non-members of FEE – aggregators, lenders and producers) during the working sessions in order to identify the comments and proposals of each one.
Validated by the financial stakeholders, this standard contract gives all producers and aggregators who wish to use it a reliable reference contract for the sale of electricity. It will mainly facilitate the financing of wind projects beyond remuneration, as well as foster competition between aggregators.
As set out in the agreement, a Producer of energy intends to sell to a Buyer and the Buyer intends to buy all the power generated by the Wind Farm and to provide to the Producer related services. The purpose of this Agreement is to set out the terms and conditions of the sale and purchase of power and of the provision of related services by the Buyer to the Producer.
The Producer would be eligible to benefit from the energy premium (legally a “complément de rémuneration”) regime within the meaning of subparagraph 2 of article L.314-19 and article R.314-29 of the French Code de l’énergie (the Energy Premium Regime) and entered into or is to enter into an energy premium contract (contrat de complément de rémuneration relative aux installations de production d’électricité utilisant l’énergie mécanique du vent) with EDF setting forth the terms and conditions under which the Producer shall be entitled to receive the energy premiums (the Energy Premium Contract).
Pursuant to the provisions of this Agreement, the Producer shall supply to the Buyer and the Buyer shall take delivery of the entire Power at the Delivery Point throughout the Supply Period. The Power sold by the Producer to the Buyer shall be sold with full title guarantee, free from all charges, liens, other encumbrances and third-party claims.
The transfer of risks and ownership of the Power by the Wind Farm takes place upon the delivery at the Delivery Point. The amount of Power sold by the Producer to the Buyer is also measured at the Delivery Point and the reading of the meter is done by the Distribution System Operator on a periodical basis.
The Buyer shall pay for the Power generated by the Wind Farm during the Supply Period a price (the Power Purchase Price) equal to the applicable M0 for the relevant delivery month. (b) For the avoidance of doubt, the price determined pursuant to this Clause 5.1 shall decrease to zero Euro (EUR 0) per MWh for each hour where the Day-Ahead Price for the corresponding hour is below zero Euro (EUR 0.00) per MWh, it being understood that the Buyer’s power purchase obligations under this Agreement shall only apply where DayAhead Prices are equal to or higher than zero Euro (EUR 0.00) per MWh unless the Buyer instructs the Producer to produce during those hours.
Should the Day-Ahead Price be negative, the Buyer shall request the Producer to stop the Wind Farm’s power production for a specific period of time (the Reduction Period) by transmitting a notification under the conditions set out in paragraph below, and the Producer shall comply with any such instructions.
The ramp-down instructions referred to hereinabove shall be sent in the event of a Remote Control connected to the Virtual Power Plant, through the Remote Control directly by the Buyer, and otherwise, by email with return receipt by 3pm the Business Day immediately preceding the date on which the ramp-down instructions shall apply.