Document background
The Power Purchase Contract serves as the cornerstone agreement for electricity supply arrangements in Canada, establishing the commercial and operational framework between power generators and purchasers. This document is essential when establishing long-term electricity supply arrangements, whether for renewable energy projects, conventional power generation, or industrial power supply needs. It must comply with both federal energy regulations and specific provincial requirements, as electricity falls primarily under provincial jurisdiction in Canada. The agreement typically includes detailed provisions for pricing, delivery obligations, performance standards, and risk allocation, while also addressing unique Canadian considerations such as provincial utility commission approvals and potential First Nations consultation requirements. It's particularly relevant for new power generation projects, industrial power supply arrangements, and renewable energy initiatives.
