ISDA Global Financial Power Purchase Agreement Confirmation Template

The ISDA Global Financial Power Purchase Agreement Confirmation Template (“ISDA Global FPPA Confirmation Template”, together with the three Optional Attachments described below, the “ISDA FPPA Template”) is a template confirmation to be used by parties to document the terms of renewable power purchase agreements that do not require the physical delivery of energy between parties (“FPPAs”) under an ISDA Master Agreement and Schedule. The ISDA Global FPPA Confirmation Template is designed to be multicurrency and cross-border and to establish a common starting point to facilitate standardization and growth of FPPAs while providing market flexibility for users to tailor the document to their jurisdictional and entity-specific needs.

Optional Attachments for Use with the ISDA Global Financial Power Purchase Agreement Confirmation Template

• ISDA Global FPPA Optional Attachment (ISDA REC Annex)
  This Optional Attachment to the ISDA Global FPPA Confirmation Template allows users to document the definitions and provisions governing the delivery of environmental attributes under their FPPA (“Environmental Attributes Product”) based on the ISDA U.S. Renewable Energy Certificate Annex (the “ISDA REC Annex”). This Optional Attachment includes base provisions and optional provisions that users can utilize to incorporate by reference the ISDA REC Annex and tailor its terms to the Environmental Attributes Product under the FPPA and the needs of the users.
• ISDA Global FPPA Optional Attachment (Mechanical Availability)
  This Optional Attachment to the ISDA Global FPPA Confirmation Template allows users to document performance guarantee provisions for their FPPA under which the project’s availability is measured in terms of the percentage of time that the project was capable of generating and delivering energy (“Mechanical Availability”). This Optional Attachment provides users with base provisions including key definitions and terms governing the Mechanical Availability performance guarantee, with optional provisions to tailor the Mechanical Availability performance guarantee to the needs of users.
• ISDA Global FPPA Optional Attachment (Proxy Generation)
  This Optional Attachment to the ISDA Global FPPA Confirmation Template allows users to document performance guarantee provisions for their FPPA under which the project’s generation is measured against a benchmark quantity of energy the project was capable of generating based on the available renewable resource (“Proxy Generation”). This Optional Attachment provides users with base provisions including key definitions and terms governing the Proxy Generation performance guarantee, with optional provisions to tailor the Proxy Generation performance guarantee to the needs of users.

User Notes and Further Background

The ISDA FPPA Template includes Notes to Users providing guidance to assist users with drafting. In addition to these Notes to Users, further background is available in the Jones Day commentary entitled “ISDA Publishes ISDA FPPA Template” and the presentation entitled “Overview of ISDA Global Financial Power Purchase Agreement Confirmation Template” published concurrently with the ISDA FPPA Template, which may be updated from time to time.