REC Contract Committee: Organization and Status

1
REC Contract Committee Organization and Status

• David W. South
• Presented at
• REC Workshop
• ACORE Phase 2 Meeting
• October 18, 2005

2
Why Committee Formed?

• Recognition that
• REC transactions via bilateral contracts
• Unnecessary risks
• Slow, cumbersome, costly
• REC market transitioning from voluntary to
  compliance
• Balkanization emerging
• Contract standardization needed to facilitate
  market growthakin to gas, electric and emission
  markets

3
Committee Objective

• Draft and promulgate a standard form of agreement
  that is
• Technology-neutral
• Useable in both voluntary and compliance markets
• Legally robust regardless of jurisdiction

4
Committee Administered by 3 Organization Co-Chairs

• EMA Jeremy Weinstein
• Dan Chartier/Becca Dietrich Admin Support
• ABA David South, Roger Feldman
• ACORE Michael Eckhart

5
Composition of Committee

• Greater than 50 expert stakeholders
  representing
• Utilities
• RE project developers
• RE marketers
• State/Federal regulators
• Certification agencies
• Traders/Brokers

6
Work Groups

• Contracts
• Transaction, Transfer, Payment, Taxes
• (WG1/Art 12 R. Saines/Baker McKenzie)
• Reps Warranties, Financial Responsibility
• (WG2/Art 34 J. Zengierski/Citigroup)
• Default/Remedies
• (WG3/Art 5 M. Unik/Ameren)
• Force Majeure, Govt Actions, Governing Law
• (WG4/Art 6-8 J. Weinstein/Pacificorp)
• Misc.
• (WG5/Art 9 Baird Brown/Ballard et. al)
• Product Definitions
• (WG6 C. Smoots/Perkins Coie, LLP)
• Subject Matter

7
Timeline

• Work GroupsArticles drafted
• Internal Review
• Integration
• Outreach
• Renewable Energy Finance Forum (23-24 June)
• ACORE Phase 2 (18 October)
• EMA Fall Meeting (7-8 November)
• Winterfinalize/release draft agreement
• Circulate to stakeholders for comment
• Organize Workshop

8
Follow-Up

• Contact David South
• Pace Global Energy Services
• P 703-227-1042
• E-Mail SouthD_at_PaceGlobal.com
• Committee E-Mail recs.chairs_at_emissions.org