Common use of Cessation of Operation Clause in Contracts

Cessation of Operation. If the Customer, for any reason, ceases to be responsible for operating the Embedded Generating Unit, the Customer must: (a) advise the proposed operator that it must not take electricity in excess of the Maximum Import Capacity; (b) give notice to the Distributor specifying the proposed date of cessation; and (c) where another person will become responsible for operating the Embedded Generating Unit, subject to first obtaining the Distributor’s consent in accordance with clause 13.2, procure the person who will become responsible for operating the Embedded Generating Unit to execute a Agreement of novation under which it becomes bound by this Agreement.

Appears in 2 contracts

Sources: Generator Agreement, Generator Agreement