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Residential Solar Power Purchase Agreement Template for England and Wales

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Key Requirements PROMPT example:

Residential Solar Power Purchase Agreement

"I need a Residential Solar Power Purchase Agreement for a 10kW solar system installation in Surrey, where my company will retain ownership and sell power to the homeowner at £0.14/kWh, with a system purchase option available after 5 years."

Document background
The Residential Solar Power Purchase Agreement serves as a comprehensive legal framework for implementing solar energy solutions in residential properties across England and Wales. This document is essential when homeowners wish to benefit from solar power without the upfront costs of system purchase and installation. The agreement details the responsibilities of both parties, including installation, maintenance, performance guarantees, and payment structures, while ensuring compliance with relevant UK energy regulations, consumer protection laws, and technical standards. It provides a clear framework for long-term solar energy provision while protecting the interests of both the system provider and the homeowner.
Suggested Sections

1. Parties: Identification and details of the system owner/provider and the homeowner

2. Background: Context of the agreement and brief description of the solar PPA arrangement

3. Definitions: Defined terms used throughout the agreement including technical, financial, and legal terminology

4. System Description: Technical specifications of the solar PV system and installation location

5. Term and Termination: Duration of agreement, renewal options, and circumstances for early termination

6. Payment Terms: Pricing structure, billing frequency, payment methods, and late payment provisions

7. Installation: Installation process, timeline, access requirements, and completion criteria

8. Maintenance and Operation: Ongoing maintenance responsibilities, access rights, and performance monitoring

9. Warranties and Guarantees: Performance guarantees, equipment warranties, and remedy provisions

10. Liability and Indemnification: Allocation of risks, limitation of liability, and indemnification obligations

11. Force Majeure: Events outside parties' control and their impact on obligations

12. Governing Law: Specification of English and Welsh law as governing law and jurisdiction

Optional Sections

1. Purchase Option: Terms for customer purchase of the system, including pricing structure and transfer process

2. Property Sale Provisions: Procedures and options available when the property is sold, including transfer or termination rights

3. Insurance Requirements: Specific insurance obligations beyond standard coverage requirements

4. Grid Connection: Specific provisions relating to grid connection and export arrangements

5. Data Protection: Specific provisions for handling personal and system performance data

Suggested Schedules

1. Schedule 1 - System Specification: Detailed technical specifications of the solar PV system including equipment details

2. Schedule 2 - Payment Schedule: Detailed pricing structure, payment terms, and rate escalators if applicable

3. Schedule 3 - Performance Guarantee Parameters: Specific performance metrics, measurement methodology, and guarantee calculations

4. Schedule 4 - Installation Timeline: Projected installation schedule, milestones, and completion criteria

5. Schedule 5 - Maintenance Schedule: Regular maintenance requirements, scheduling, and access provisions

6. Schedule 6 - Property Details: Specific information about the installation property including roof specifications

7. Schedule 7 - Form of Notices: Template forms for various notices required under the agreement

Authors

Alex Denne

Head of Growth (Open Source Law) @ ¶¶Òõ¶ÌÊÓÆµ | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Relevant legal definitions







































Clauses






























Industries

Energy Act 2013: Primary UK legislation governing energy market reform, electricity market arrangements, and nuclear regulation

Electricity Act 1989: Fundamental legislation governing electricity generation, transmission, and supply in the UK

Climate Change Act 2008: Sets framework for UK carbon reduction targets and climate change adaptation

Energy Performance of Buildings Regulations 2012: Regulations concerning energy performance certificates and building energy efficiency standards

Consumer Rights Act 2015: Key legislation protecting consumer rights in contracts for goods and services

Consumer Contracts Regulations 2013: Regulations governing distance selling and off-premises contracts, including cancellation rights

Unfair Contract Terms Act 1977: Legislation controlling unfair terms in contracts, particularly limiting liability exclusions

Consumer Protection from Unfair Trading Regulations 2008: Prohibits unfair commercial practices between traders and consumers

Feed-in Tariffs Order 2012: Regulations governing the feed-in tariff scheme for small-scale renewable electricity generation

Smart Export Guarantee (SEG) Regulations: Requirements for electricity suppliers to pay small-scale generators for exported electricity

Microgeneration Certification Scheme: Standards for small-scale renewable energy installations and installers

Renewable Energy Consumer Code: Industry code of practice for small-scale renewable energy installations

Law of Property Act 1925: Fundamental property law governing real estate and property rights

Town and Country Planning Act 1990: Planning permission requirements and development control

Building Regulations 2010: Standards for building work, including structural and safety requirements

Listed Buildings and Conservation Areas Act 1990: Special controls for historic buildings and conservation areas

Health and Safety at Work Act 1974: Primary legislation for workplace safety and health requirements

Electricity at Work Regulations 1989: Safety requirements for electrical systems and work activities

Working at Height Regulations 2005: Safety requirements for work at height, relevant for solar panel installation

UK General Data Protection Regulation: Post-Brexit data protection requirements in the UK

Data Protection Act 2018: UK's implementation of data protection requirements

Financial Services and Markets Act 2000: Regulation of financial services and markets, relevant if financing is offered

Consumer Credit Act 1974: Regulation of consumer credit agreements and related consumer protection

Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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