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<div class=Section1>
<p class=MsoNormal><font size=2 color=navy face=Arial><span style='font-size:
10.0pt;font-family:Arial;color:navy'>Carl,<o:p></o:p></span></font></p>
<p class=MsoNormal><font size=2 color=navy face=Arial><span style='font-size:
10.0pt;font-family:Arial;color:navy'>At Solar Power 2008, <span class=SpellE>Stoel</span>
Rives, a law firm had a booth and they were giving out a free workbook guide on
PPA terms and conditions. They also offered this publication on their website
which I downloaded, but I couldn’t find the link just now. So, if you
would like the guide let me know offline and I will send it to you.<o:p></o:p></span></font></p>
<p class=MsoNormal><font size=2 color=navy face=Arial><span style='font-size:
10.0pt;font-family:Arial;color:navy'><o:p> </o:p></span></font></p>
<p class=MsoNormal><font size=2 color=navy face=Arial><span style='font-size:
10.0pt;font-family:Arial;color:navy'>Good luck.<o:p></o:p></span></font></p>
<p class=MsoNormal><st1:PersonName><font size=2 color=navy face=Arial><span
style='font-size:10.0pt;font-family:Arial;color:navy'>Randy</span></font></st1:PersonName><font
size=2 color=navy face=Arial><span style='font-size:10.0pt;font-family:Arial;
color:navy'><o:p></o:p></span></font></p>
<p class=MsoNormal><font size=2 color=navy face=Arial><span style='font-size:
10.0pt;font-family:Arial;color:navy'><o:p> </o:p></span></font></p>
<div>
<p class=MsoNormal><st1:PersonName><font size=2 color=navy face=Arial><span
style='font-size:10.0pt;font-family:Arial;color:navy;mso-no-proof:yes'>Randy</span></font></st1:PersonName><font
size=2 color=navy face=Arial><span style='font-size:10.0pt;font-family:Arial;
color:navy;mso-no-proof:yes'> Sadewic</span></font><font color=navy><span
style='color:navy;mso-no-proof:yes'><o:p></o:p></span></font></p>
<p class=MsoNormal><font size=2 color=navy face=Arial><span style='font-size:
10.0pt;font-family:Arial;color:navy;mso-no-proof:yes'>Positive Energy</span></font><font
color=navy><span style='color:navy;mso-no-proof:yes'><o:p></o:p></span></font></p>
<p class=MsoNormal><font size=3 color=navy face="Times New Roman"><span
style='font-size:12.0pt;color:navy;mso-no-proof:yes'> <o:p></o:p></span></font></p>
<p class=MsoNormal><font size=2 color=navy face=Arial><span style='font-size:
10.0pt;font-family:Arial;color:navy;mso-no-proof:yes'>Office: 505 424-1112</span></font><font
color=navy><span style='color:navy;mso-no-proof:yes'><o:p></o:p></span></font></p>
<p class=MsoNormal><font size=2 color=navy face=Arial><span style='font-size:
10.0pt;font-family:Arial;color:navy;mso-no-proof:yes'>Cell:
505 570-0137</span></font><o:p></o:p></p>
</div>
<p class=MsoNormal style='margin-left:.5in'><font size=2 face=Tahoma><span
style='font-size:10.0pt;font-family:Tahoma'>-----Original Message-----<br>
<b><span style='font-weight:bold'>From:</span></b>
re-wrenches-bounces@lists.re-wrenches.org
[mailto:re-wrenches-bounces@lists.re-wrenches.org] <b><span style='font-weight:
bold'>On Behalf Of </span></b>Matt Lafferty<br>
<b><span style='font-weight:bold'>Sent:</span></b> Monday, December 15, 2008
9:55 PM<br>
<b><span style='font-weight:bold'>To:</span></b> 'RE-wrenches'<br>
<b><span style='font-weight:bold'>Subject:</span></b> Re: [RE-wrenches] Sample
Power Purchase Agreements</span></font></p>
<p class=MsoNormal style='margin-left:.5in'><font size=3 face="Times New Roman"><span
style='font-size:12.0pt'><o:p> </o:p></span></font></p>
<p class=MsoNormal style='margin-left:.5in'><font size=2 color=blue face=Arial><span
style='font-size:10.0pt;font-family:Arial;color:blue'>Hi Carl,</span></font><o:p></o:p></p>
<p class=MsoNormal style='margin-left:.5in'><font size=3 face="Times New Roman"><span
style='font-size:12.0pt'> <o:p></o:p></span></font></p>
<p class=MsoNormal style='margin-left:.5in'><font size=2 color=blue face=Arial><span
style='font-size:10.0pt;font-family:Arial;color:blue'>Actual PPA
contracts are rather complex instruments. To start with, the PPA is
actually a contract between the PPA Provider/System Owner (think of this
as the "bank") and the Host Customer. These are the parties that
will have the enduring relationship because, under a PPA, the Host Customer
pays the System Owner for the electricity generated for many
years. A 3rd party integrator <em><i><font face=Arial><span
style='font-family:Arial'>(I'm guessing that's your role)</span></font></i></em> doesn't
generally end up with a direct contractual relationship with the Host Customer.
Basically, you end up working for the System Owner and maybe getting a
"finder's fee". In some cases, the PPA provider will pay you a
finder's fee and have their preferred installer(s) do it. It's also common for
the integrator to never see the actual PPA contract that gets executed either
way. </span></font><o:p></o:p></p>
<p class=MsoNormal style='margin-left:.5in'><font size=3 face="Times New Roman"><span
style='font-size:12.0pt'> <o:p></o:p></span></font></p>
<p class=MsoNormal style='margin-left:.5in'><font size=2 color=blue face=Arial><span
style='font-size:10.0pt;font-family:Arial;color:blue'>Each PPA
provider has their own requirements and standard contracts. Some offer
"buy-outs" and some don't. Some offer both. Some offer longer terms
than others. Some have severe "early termination" clauses and some
don't. Some "pay for" or "credit back" environmental
credits and some just take them and say that's why their rate is as low as it
is if asked. Etc. The requirements vary by state as well. This is an <strong><b><font
face=Arial><span style='font-family:Arial'>extremely</span></font></b></strong>
short list of the many variables that go into the structure and costs of a PPA.
They aren't exactly generic, if you know what I mean.</span></font><o:p></o:p></p>
<p class=MsoNormal style='margin-left:.5in'><font size=3 face="Times New Roman"><span
style='font-size:12.0pt'> <o:p></o:p></span></font></p>
<p class=MsoNormal style='margin-left:.5in'><font size=2 color=blue face=Arial><span
style='font-size:10.0pt;font-family:Arial;color:blue'>I know it sounds like a
good idea to show them a sample, and in principle it is. If you have to do
this, I suggest that you find a PPA provider(s) that you want to do
business with and will feel good about leaving the non-profit in their
hands, first. Get a sample from them. It will have their boilerplate in
it, which is what you really want to show the customer.</span></font><o:p></o:p></p>
<p class=MsoNormal style='margin-left:.5in'><font size=3 face="Times New Roman"><span
style='font-size:12.0pt'> <o:p></o:p></span></font></p>
<p class=MsoNormal style='margin-left:.5in'><font size=2 color=blue face=Arial><span
style='font-size:10.0pt;font-family:Arial;color:blue'>It gets really sticky
later when they call you up during the negotiations <em><i><font face=Arial><span
style='font-family:Arial'>(which you aren't involved in unless you have a
consulting arrangement)</span></font></i></em> and they ask you why the
contract they are being asked to sign is so much different than the sample you
originally showed them. I've seen numerous deals fall apart for
reasons just like this. Simple matter of trust. The Host Customer ends up
feeling like they can't trust anybody involved and ends up not going solar at
that time.</span></font><o:p></o:p></p>
<p class=MsoNormal style='margin-left:.5in'><font size=3 face="Times New Roman"><span
style='font-size:12.0pt'> <o:p></o:p></span></font></p>
<p class=MsoNormal style='margin-left:.5in'><font size=2 color=blue face=Arial><span
style='font-size:10.0pt;font-family:Arial;color:blue'>An alternative is to
contact a public agency in your neck of the woods who has signed up for one of
these and see if you can get a copy of theirs. Freedom of information and
all.... Beware of this route for the reasons stated above, but at least it's
easier to explain because they are a government agency, yada yada yada.</span></font><o:p></o:p></p>
<p class=MsoNormal style='margin-left:.5in'><font size=3 face="Times New Roman"><span
style='font-size:12.0pt'> <o:p></o:p></span></font></p>
<p class=MsoNormal style='margin-left:.5in'><font size=2 color=blue face=Arial><span
style='font-size:10.0pt;font-family:Arial;color:blue'>No matter what sample you
show them, make sure you are clear that it's ONLY A SAMPLE and the final
version WILL be different. Depending on what you show them and who they end up
dealing with as a PPA provider, the differences can be huge.</span></font><o:p></o:p></p>
<p class=MsoNormal style='margin-left:.5in'><font size=3 face="Times New Roman"><span
style='font-size:12.0pt'> <o:p></o:p></span></font></p>
<p class=MsoNormal style='margin-left:.5in'><font size=2 color=blue face=Arial><span
style='font-size:10.0pt;font-family:Arial;color:blue'>Best of luck!</span></font><o:p></o:p></p>
<p class=MsoNormal style='margin-left:.5in'><font size=3 face="Times New Roman"><span
style='font-size:12.0pt'> <o:p></o:p></span></font></p>
<p class=MsoNormal style='margin-left:.5in'><font size=2 color=blue face=Arial><span
style='font-size:10.0pt;font-family:Arial;color:blue'>$02001,</span></font><o:p></o:p></p>
<div>
<p class=MsoNormal style='margin-left:.5in'><font size=3 face="Times New Roman"><span
style='font-size:12.0pt'> <o:p></o:p></span></font></p>
</div>
<p class=MsoNormal style='margin-left:.5in'><strong><b><i><font size=4
face="Monotype Corsiva"><span style='font-size:13.5pt;font-family:"Monotype Corsiva";
font-style:italic'>Matt Lafferty</span></font></i></b></strong><o:p></o:p></p>
<p class=MsoNormal style='margin-left:.5in'><font size=2 face=Arial><span
style='font-size:10.0pt;font-family:Arial'><a href="mailto:gilligan06@gmail.com">gilligan06@gmail.com</a></span></font><o:p></o:p></p>
<div>
<p class=MsoNormal style='margin-left:.5in'><font size=3 face="Times New Roman"><span
style='font-size:12.0pt'> <o:p></o:p></span></font></p>
</div>
<div>
<p class=MsoNormal style='margin-left:.5in'><font size=3 face="Times New Roman"><span
style='font-size:12.0pt'> <o:p></o:p></span></font></p>
</div>
<div>
<p class=MsoNormal style='margin-left:.5in'><font size=2 color=blue face=Arial><span
style='font-size:10.0pt;font-family:Arial;color:blue'> > </span></font>I'm
interested in sample PPAs. I'd like to set one of these up for a local
non-profit customer and would appreciate any examples, etc you are willing to
share<br>
<br>
With REgards<br>
<font color="#888888"><span style='color:#888888'>Carl Adams<br>
NABCEP Certified Installer</span></font> <o:p></o:p></p>
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