Common use of Development Security Clause in Contracts

Development Security. Seller shall post such Development Security in accordance with the following terms and conditions: (i) Seller shall post a development fee (the “Development Security”) in the amount of $20 per kW of the As-Available Contract Capacity on or before the 30th day following the Effective Date. The Development Security shall be held by Buyer and shall be in the form of either a cash deposit or a Letter of Credit; and (ii) If Seller establishes the Development Security by means of a Letter of Credit, such Letter of Credit shall be substantially in the form of Exhibit L.

Appears in 5 contracts

Sources: Power Purchase and Sale Agreement, Power Purchase and Sale Agreement, Power Purchase and Sale Agreement