Common use of Decommissioning Assurance Clause in Contracts

Decommissioning Assurance. Upon the issuance of the Notice of Commercial Operation, Contractor shall establish and maintain thereafter adequate financial assurance, in substantially the form set forth in Exhibit G hereto, or another form reasonably acceptable to the User, to fully cover the cost of decommissioning the PV System and restoring the Premises as specified in this Agreement (such assurance, the “Decommissioning Assurance”). Depending on the circumstances, and subject to User’s approval, appropriate forms of financial assurance may include, without limitation, an escrow fund, irrevocable letter of credit, surety bond or third party guaranty; provided, however, that any form of financial assurance must provide User with adequate rights to access the Decommissioning Assurance in the event of Contractor’s failure to comply with its PV System removal and Premises restoration obligations under the Agreement. The guaranteed Decommissioning Assurance amount for the PV System is set forth in Exhibit C.