Common use of Project Implementation Clause in Contracts

Project Implementation. 4.1 Prior to implementing a project, the Market Actor shall verify fund availability on the AEP Texas web site. Projects can be submitted until the Market Actor cap is reached or all program funds have been expended. The Market Actor shall install all Measures and record those installations via the website. All Measure installations must be submitted within 45 days of installation. Market Actor must submit Projects documenting the installation information to AEP Texas via the AEP Texas web site by the last day of each month. All Projects shall be completed and submitted by November 30, 2024. 4.2 Upon receipt of all necessary documentation, AEP Texas shall complete an inspection of a statistically significant sample of the Measure installations at the Project Site. For Projects involving less than thirty (30) installations, AEP Texas may aggregate the Projects for purposes of inspection, provided, however, that Market Actor shall not be penalized for the inspection failure rate of another Market Actor. This inspection shall be used to determine whether the Measures were installed and are capable of performing their intended function of producing Energy Savings and Peak Demand Savings. If AEP Texas reasonably determines that the Measures at the Project Site(s) have been installed, tested and inspected to the extent required by AEP Texas and found to be capable of providing Peak Demand Savings and Energy Savings in material compliance with the Contract Documents, the Incentive will be approved as submitted. If AEP Texas is unable to inspect Measure installations at the Project Site, those Measures may be counted as failures. 4.3 The Market Actor’s progress towards completing the Project shall be determined independently by AEP Texas, who will evaluate the inspected, installed Measures on a measure-by-measure basis to calculate an adjustment factor for Energy Savings and incentives. This adjustment factor will consider the ratio of savings of the Measures that were inspected and pass the inspection to the total incentive for Measures tagged for inspection. The adjustment factor will then be applied to the entire incentive amount for payment. Failure of the Market Actor to timely complete or report a Project shall constitute an Event of Default, and may, in AEP Texas’ discretion, result in disqualification of the Project. As described in Chapter 4 of the SOP Manual, AEP Texas may withhold or deny payment for Measures installed at Project sites to the extent that customer identification information is not provided or is incorrectly reported. 4.4 AEP Texas’ payment of Incentive Payment(s) to Market Actor is expressly and specifically conditioned upon AEP Texas receiving all required notices, submittals and materials from market actor within the applicable period specified in this Agreement. Failure by market actor to deliver any required notice, submittal, or material within the applicable period specified in this Agreement shall be deemed a material breach of this Agreement.

Project Implementation. 4.1 Prior Project Sponsors will not have to implementing complete a project, the Market Actor shall verify fund availability on the AEP Texas web sitereservation process to perform installations. Projects can be submitted until the Market Actor Project Sponsor cap is reached or all program funds have been expendedused. The Market Actor shall install all Measures Funds will be taken out of the program budget upon the submission of a project. Please note that when funds have run out in the program, there is no guarantee that Utility will be able to pay incentives on non-submitted projects. It is the sponsor’s responsibility to monitor the program budget and record those installations via the websitetheir project sponsor budget to determine if there are ample funds before implementing installations. All Measure installations must be submitted within 45 days of installation. Market Actor must submit Projects documenting the installation information to AEP Texas via the AEP Texas web site by the last day of each month. All Projects shall be completed and submitted by November 30, 2024. 4.2 Upon Within forty-five (45) days of receipt of all necessary documentationan invoice, AEP Texas SWEPCO shall complete an inspection of a statistically significant sample of the Measure installations at the Project Site. For Projects involving less than thirty (30) installations, AEP Texas SWEPCO may aggregate the Projects for purposes of inspection, provided, however, that Market Actor Project Sponsor shall not be penalized for the inspection failure rate of another Market Actorproject sponsor. This inspection shall be used to determine whether the Measures were installed and are capable of performing their intended function of producing Energy Savings and Peak Demand Savings. If AEP Texas SWEPCO reasonably determines that the Measures at the Project Site(s) have been installed, tested and inspected to the extent required by AEP Texas SWEPCO and found to be capable of providing Peak Demand Savings and Energy Savings in material compliance with the Contract Documents, the Incentive invoice will be approved as submitted. As set forth in the SOP Manual, a Load Factor cap governs the total payment allowed, based on the ratio between demand and energy savings from a Project. If AEP Texas SWEPCO is unable to inspect Measure installations at the Project Site, those Measures may be counted as failures. 4.3 The Market ActorProject Sponsor’s progress towards completing the Project shall be determined independently by AEP TexasSWEPCO, who will evaluate the inspected, installed Measures on a measure-by-measure basis to calculate an adjustment factor for Energy Savings and incentives. This adjustment factor will consider the ratio of savings of the Measures that were inspected and pass the inspection to the total incentive for Measures per Measure tagged for inspectioninspection on the invoice. The adjustment factor will then be applied to the entire incentive invoice amount for payment. Failure of the Market Actor Project Sponsor to timely complete or report a Project shall constitute an Event of Default, and may, in AEP Texas’ SWEPCO’s discretion, result in disqualification of the Project. As described in Chapter 4 of the SOP Manual, AEP Texas SWEPCO may withhold or deny payment for Measures installed at Project sites to the extent that customer identification information is not provided or is incorrectly reportedreported on the invoice. 4.4 AEP Texas’ payment of Incentive Payment(sSWEPCO’S PAYMENT OF INCENTIVE PAYMENT(S) to Market Actor is expressly and specifically conditioned upon AEP Texas receiving all required noticesTO PROJECT SPONSOR IS EXPRESSLY AND SPECIFICALLY CONDITIONED UPON SWEPCO RECEIVING ALL REQUIRED NOTICES, submittals and materials from market actor within the applicable period specified in this AgreementSUBMITTALS AND MATERIALS FROM PROJECT SPONSOR WITHIN THE APPLICABLE PERIOD SPECIFIED IN THIS AGREEMENT. Failure by market actor to deliver any required noticeFAILURE BY PROJECT SPONSOR TO DELIVER ANY REQUIRED NOTICE, submittalSUBMITTAL, or material within the applicable period specified in this Agreement shall be deemed a material breach of this AgreementOR MATERIAL WITHIN THE APPLICABLE PERIOD SPECIFIED IN THIS AGREEMENT SHALL BE DEEMED A MATERIAL BREACH OF THIS AGREEMENT.

Project Implementation. 4.1 Prior 5.1 Project Sponsor agrees on and after the Effective Date to implementing use all reasonable efforts to implement the Project without undue delay and otherwise in accordance with the terms of the Contract Documents. 5.2 Measures shall be designed, constructed and installed in a projectgood and workmanlike manner only with materials and equipment of appropriate quality, and, in any event, in accordance with Prudent Electrical Practices. 5.3 Project Sponsors treating multiple Project Sites must complete and submit Project Implementation Reports to TNMP on a monthly basis. 5.4 If the Project involves multiple Project Sites, the Market Actor Project Sponsor must complete sufficient Measure installations, Project Implementation Reports and invoices to comply with the following milestone schedule:1 50% by June 1, 2013, 80% by September 30, 2013 and 100% of the project installations completed by November 15, 2013. 5.5 Project Sponsor shall verify fund availability notify TNMP of Measure installation at each Project Site by submitting a report documenting the Measures actually installed at the Project Site (the "Project Implementation Report"). Each Project Implementation Report must be completed electronically on official TNMP Project Implementation Report (PIR) forms. A PIR for each month during the AEP Texas web site. Projects can Project implementation period shall be submitted until to TNMP by the Market Actor cap is reached or all program funds have been expended10th of each succeeding month. The Market Actor shall install all Measures and record those installations via the website. All Measure installations must be submitted within 45 Within thirty (30) days of installation. Market Actor must submit Projects documenting the installation information to AEP Texas via the AEP Texas web site by the last day of each month. All Projects shall be completed and submitted by November 30, 2024. 4.2 Upon receipt of all necessary documentationthe Project Implementation Report, AEP Texas TNMP shall complete an a random sample inspection of a statistically significant sample of the Measure installations at the Project Site. For Projects involving less than thirty (30) installations, AEP Texas may aggregate the Projects for purposes of inspection, provided, however, that Market Actor shall not be penalized for the inspection failure rate of another Market ActorSite(s). This inspection shall be used to determine whether the Measures were installed and are capable of performing their intended function of producing Energy Savings and Peak Demand Savings. If AEP Texas TNMP reasonably determines that the Measures at the Project Site(s) have been installed, tested and inspected to the extent required by AEP Texas TNMP and found to be capable of providing Peak Demand Savings and and/or Energy Savings in material compliance with the Contract Documents, the Incentive Project Implementation Report will be approved as submitted. The Estimated Savings attributable to the Measures documented in the approved Project Implementation Report will be used for purposes of calculating the Incentive Payment in Section 7.3. 5.6 TNMP may inspect measures or a sample of measures installed as part of a Project. These inspections shall be used to determine whether the Measures were installed and are capable of performing their intended function of producing Energy Savings and Peak Demand Savings. If AEP Texas is unable to inspect Measure installations TNMP determines that the Measures at the Project SiteSite have been installed, those tested and inspected to the extent required by TNMP and found to be capable of providing Peak Demand Savings and/or Energy Savings in material compliance with the Contract Documents, the Project Implementation Report will be approved as submitted. The Estimated 1 TNMP reserves the right to immediately withdraw part or all of the remaining incentive reservation from Project Sponsor if Project Sponsor fails to satisfy the implementation milestone. For the purpose of reducing a Project Sponsor’s budget reservation, TNMP will include 100% of incentives associated with both Deemed Savings and Measured Savings included in any one invoice. Savings attributable to the Measures documented in the approved Project Implementation Report will be used for purposes of calculating the Incentive Payment in Section 7.3. 5.7 If TNMP determines that any of the Measures installed at the Project Site are not capable of providing Peak Demand Savings and/or Energy Savings in material compliance with the Contract Documents, a reduction of Estimated Savings may be counted as failures. 4.3 required for purposes of calculating the Incentive Payment in Section 7.3. The Market Actor’s progress towards completing Estimated Savings attributable to the Measures documented in the Project shall Implementation Report may be determined independently reduced by AEP Texas, who will evaluate the inspected, installed percentage of Measures on a measure-by-measure basis that failed to calculate an adjustment factor for Energy Savings and incentivespass inspection. This adjustment factor will consider may also be expressed as follows: ▇▇ = the ratio amount of savings Incentives associated with the Estimated Savings to be used for calculation of the Implementation Payment in Section 7.4 PMES = the amount of Incentives associated with the Estimated Savings attributable to Measures that passed inspection ▇▇▇▇ = the amount of Incentives associated with the Estimated Savings attributable to all Measures that were inspected ▇▇▇▇▇ = the amount of Incentives associated with the Estimated Savings attributable to all Measures documented in the Project Implementation Report Summary. 5.8 Within thirty (30) days of the conclusion of the Performance Period, the Project Sponsor shall submit a report to TNMP documenting the Measured Peak Demand Savings and/or Measured Energy Savings for the Performance Period (the “Performance Report”). If the Performance Report is deficient, TNMP will notify Project Sponsor of the deficiency and pass Project Sponsor shall correct the deficiency and submit a revised Performance Report within the period of time specified by TNMP in the notice of deficiency. 5.9 Any review, inspection, or acceptance by TNMP of any Project Site or of the design, construction, installation, operation and maintenance of the Measures is solely for the information of TNMP. In performing any such inspection or review or in accepting the Measures, TNMP makes no representation or warranty whatsoever as to the total incentive for Measures tagged for inspection. The adjustment factor will then be applied to the entire incentive amount for payment. Failure economic or technical feasibility, capability, safety or reliability of the Market Actor to timely complete Measures, their installation by Project Sponsor or report a Project shall constitute an Event of Default, and may, in AEP Texas’ discretion, result in disqualification of their compatibility with the Project. As described in Chapter 4 of the SOP Manual, AEP Texas may withhold or deny payment for Measures installed at Project sites to the extent that customer identification information is not provided or is incorrectly reportedHost Customer's facilities. 4.4 AEP Texas’ payment of Incentive Payment(s) to Market Actor is expressly and specifically conditioned upon AEP Texas receiving all required notices, submittals and materials from market actor within the applicable period specified in this Agreement. Failure by market actor to deliver any required notice, submittal, or material within the applicable period specified in this Agreement shall be deemed a material breach of this Agreement.

Project Implementation. 4.1 Prior 5.1 Project Sponsor agrees on and after the Effective Date to implementing a projectuse all reasonable efforts to implement the Project without undue delay and otherwise in accordance with the terms of the Contract Documents. To the extent of any conflict between this Agreement and other Contract Documents, the Market Actor terms of this Agreement shall verify fund availability on the AEP Texas web siteprevail. 5.2 Measures shall be designed, constructed and installed in a good and workmanlike manner only with materials and equipment of appropriate quality, and, in any event, in accordance with Prudent Electrical Practices. Projects can be submitted until the Market Actor cap is reached or Installation of Measures at all program funds have been expended. The Market Actor shall install all Measures and record those installations via the website. All Measure installations Project Sites must be submitted within 45 days of installation. Market Actor must submit Projects documenting the installation information to AEP Texas via the AEP Texas web site by the last day of each month. All Projects shall be completed and an Installation Report, as defined below, shall be submitted to SWEPCO within six (6) months of the Effective Date, BUT NOT LATER THAN Sample 5.3 Within fifteen (15) business days of completing installation of Measures at a Project Site, Project Sponsor shall so notify SWEPCO by November submitting a report for review and approval documenting the Measures actually installed (the “Installation Report”). The Installation Report shall be submitted to SWEPCO pursuant to the notice provisions of Section 15.1. Within thirty (30, 2024. 4.2 Upon ) business days of receipt of all necessary documentationthe Installation Report, AEP Texas shall SWEPCO may complete an inspection of a statistically significant sample all or some of the Measure installations at the Project Site. For Projects involving less than thirty (30) installations, AEP Texas may aggregate the Projects for purposes of inspection, provided, however, that Market Actor shall not be penalized for the inspection failure rate of another Market Actor. This inspection shall be used to determine whether the Measures were installed and are capable of performing their intended function of producing Energy Savings and Peak Demand Savings. If AEP Texas Approval of the Installation Report shall be granted if SWEPCO reasonably determines that the Measures at the Project Site(s) Site have been installed, tested and inspected to the extent required by AEP Texas SWEPCO and found to be capable of providing Energy Savings and Peak Demand Savings and Energy Savings in material compliance with the Contract Documents, the Incentive will be approved as submitted. If AEP Texas Measures are rejected, SWEPCO will set forth the written reasons for such rejection and Project Sponsor may attempt to remedy the deficiencies and resubmit its Installation Report. If any Measure is unable to inspect Measure installations at the Project Siterejected a second time, those Measures may be counted as failures. 4.3 The Market Actor’s progress towards completing the Project shall be determined independently by AEP Texas, who will evaluate the inspected, installed Measures on a measure-by-measure basis to calculate an adjustment factor for Energy Savings and incentives. This adjustment factor SWEPCO will consider the ratio of savings of the Measures that were inspected and pass the inspection to the total incentive for Measures tagged for inspection. The adjustment factor will then be applied to the entire incentive amount for payment. Failure of the Market Actor to timely complete or report a Project shall constitute an Event of Default, and may, in AEP Texas’ discretion, result in disqualification of the Project. As described in Chapter 4 of the SOP Manual, AEP Texas may withhold or deny payment for Measures installed at Project sites to the extent that customer identification information is not provided or is incorrectly reported. 4.4 AEP Texas’ payment of Incentive Payment(s) to Market Actor is expressly and specifically conditioned upon AEP Texas receiving all required notices, submittals and materials from market actor within the applicable period specified in this Agreement. Failure by market actor to deliver any required notice, submittal, or material within the applicable period specified in this Agreement shall be deemed it a material breach of this AgreementAgreement and will not pay any incentive for such Measure. The Estimated Savings attributable to the Measures documented in the approved Installation Report will be used for purposes of calculating the Installation Payment in Section 7.3. 5.4 Project Sponsor acknowledges that any review, inspection, or acceptance by SWEPCO of any Project Site or of the design, construction, installation, operation and maintenance of the Measures is solely for the information of SWEPCO. In performing any such inspection or review or in accepting the Measures, SWEPCO makes no representation or warranty whatsoever as to the economic or technical feasibility, capability, safety or reliability of the Measures, their installation by Project Sponsor or their compatibility with the Customer's facilities. 5.5 Within thirty (30) business days of the conclusion of the Performance Period, Project Sponsor shall submit a report to SWEPCO documenting the Measured Energy Savings and Measured Peak Demand Savings for the Performance Period (the “Savings Report”). If the Savings Report is deficient, SWEPCO will provide, in writing, notice of the deficiency, and Project Sponsor shall revise and resubmit the Savings Report until it is approved by SWEPCO. Any necessary revisions shall be performed in the time-period specified by SWEPCO in the notice of deficiency.

Project Implementation. 4.1 Prior 5.1 Project Sponsor agrees on and after the Effective Date to implementing use all reasonable efforts to implement the Project without undue delay and otherwise in accordance with the terms of the Contract Documents. 5.2 Measures shall be designed, constructed and installed in a projectgood and workmanlike manner only with materials and equipment of appropriate quality, and, in any event, in accordance with Prudent Electrical Practices. 5.3 If the Project involves multiple Project Sites, the Market Actor shall verify fund availability on the AEP Texas web site. Projects can be submitted until the Market Actor cap is reached or all program funds have been expended. The Market Actor shall install all Measures Project Sponsor must complete sufficient Measure installations, Project Implementation Reports and record those installations via the website. All Measure installations must be submitted invoices to earn 100% of incentive reservation within 45 ninety (90) days of installation. Market Actor must submit Projects documenting the installation information to AEP Texas via the AEP Texas web site by the last day of each month. All Projects shall be completed and submitted by November 30, 2024incentive request. 4.2 Upon receipt 5.4 Project Sponsors shall notify TNMP of all necessary documentation, AEP Texas shall complete an inspection installation of Measures by submitting a statistically significant sample of report (“Project Implementation Report”) basis that documents the Measure installations Measures actually installed at the Project Site. For Projects involving less than thirty Project Sponsors shall submit an invoice and Customer Acknowledgements associated with the installed Measures with the Project Implementation Report. TNMP must receive the Project Implementation Report within sixty (3060) installationsdays of initial incentive request. If a Project Implementation Report or accompanying invoice or Customer Certificate is deficient, AEP Texas TNMP will notify Project Sponsor of the deficiency and Project Sponsor shall correct the deficiency within the period of time specified in the notice of deficiency. 5.5 TNMP may aggregate the Projects for purposes inspect measures or a sample of inspection, provided, however, that Market Actor shall not be penalized for the inspection failure rate measures installed as part of another Market Actora Project. This inspection These inspections shall be used to determine whether the Measures were installed and are capable of performing their intended function of producing Energy Savings and Peak Demand Savings. If AEP Texas reasonably TNMP determines that the Measures at the Project Site(s) Site have been installed, tested and inspected to the extent required by AEP Texas TNMP and found to be capable of providing Peak Demand Savings and and/or Energy Savings in material compliance with the Contract Documents, the Incentive Project Implementation Report will be approved as submitted. The Estimated Savings attributable to the Measures documented in the approved Project Implementation Report will be used for purposes of calculating the Incentive Payment in Section 7.3. 5.6 If AEP Texas is unable to inspect Measure installations TNMP determines that any of the Measures installed at the Project SiteSite are not capable of providing Peak Demand Savings and/or Energy Savings in material compliance with the Contract Documents, those Measures a reduction of Estimated Savings may be counted as failures. 4.3 required for purposes of calculating the Incentive Payment in Section 7.3. The Market Actor’s progress towards completing Estimated Savings attributable to the Measures documented in the Project shall Implementation Report may be determined independently reduced by AEP Texas, who will evaluate the inspected, installed percentage of Measures on a measure-by-measure basis that failed to calculate an adjustment factor for Energy Savings and incentivespass inspection. This adjustment factor will consider may also be expressed as follows: ▇▇ = the ratio amount of savings Incentives associated with the Estimated Savings to be used for calculation of the Implementation Payment in Section 7.3 PMES = the amount of Incentives associated with the Estimated Savings attributable to Measures that passed inspection ▇▇▇▇ = the amount of Incentives associated with the Estimated Savings attributable to all Measures that were inspected ▇▇▇▇▇= the amount of Incentives associated with the Estimated Savings attributable to all Measures documented in the Project Implementation Report Summary. 5.7 Within thirty (30) days of the conclusion of the Performance Period, the Project Sponsor shall submit a report to TNMP documenting the Measured Peak Demand Savings and/or Measured Energy Savings for the Performance Period (the “Performance Report”). If the Performance Report is deficient, TNMP will notify Project Sponsor of the deficiency and pass Project Sponsor shall correct the deficiency and submit a revised Performance Report within the period of time specified by TNMP in the notice of deficiency. 5.8 Any review, inspection, or acceptance by TNMP of any Project Site or of the design, construction, installation, operation and maintenance of the Measures is solely for the information of TNMP. In performing any such inspection or review or in accepting the Measures, TNMP makes no representation or warranty whatsoever as to the total incentive for Measures tagged for inspection. The adjustment factor will then be applied to the entire incentive amount for payment. Failure economic or technical feasibility, capability, safety or reliability of the Market Actor to timely complete Measures, their installation by Project Sponsor or report a Project shall constitute an Event of Default, and may, in AEP Texas’ discretion, result in disqualification of their compatibility with the Project. As described in Chapter 4 of the SOP Manual, AEP Texas may withhold or deny payment for Measures installed at Project sites to the extent that customer identification information is not provided or is incorrectly reportedHost Customer's facilities. 4.4 AEP Texas’ payment of Incentive Payment(s) to Market Actor is expressly and specifically conditioned upon AEP Texas receiving all required notices, submittals and materials from market actor within the applicable period specified in this Agreement. Failure by market actor to deliver any required notice, submittal, or material within the applicable period specified in this Agreement shall be deemed a material breach of this Agreement.

Project Implementation. 4.1 Prior Project Sponsors will not have to implementing complete a project, the Market Actor shall verify fund availability on the AEP Texas web sitereservation process to perform installations. Projects can be submitted until the Market Actor Project Sponsor cap is reached or all program funds have been expendedused. The Market Actor shall install all Measures Funds will be taken out of the program budget upon the submission of a project. Please note that when funds have run out in the program, there is no guarantee that Utility will be able to pay incentives on non-submitted projects. It is the sponsor’s responsibility to monitor the program budget and record those installations via the website. All Measure installations must be submitted within 45 days of installation. Market Actor must submit Projects documenting the installation information their project sponsor budget to AEP Texas via the AEP Texas web site by the last day of each month. All Projects shall be completed and submitted by November 30, 2024determine if there are ample funds before implementing installations. 4.2 Upon Within forty-five (45) days of receipt of all necessary documentationan invoice, AEP Texas SWEPCO shall complete an inspection of a statistically significant sample of the Measure installations at the Project Site. For Projects involving less than thirty (30) installations, AEP Texas SWEPCO may aggregate the Projects for purposes of inspection, provided, however, that Market Actor Project Sponsor shall not be penalized for the inspection failure rate of another Market Actorproject sponsor. This inspection shall be used to determine whether the Measures were installed and are capable of performing their intended function of producing Energy Savings and Peak Demand Savings. If AEP Texas SWEPCO reasonably determines that the Measures at the Project Site(s) have been installed, tested and inspected to the extent required by AEP Texas SWEPCO and found to be capable of providing Peak Demand Savings and Energy Savings in material compliance with the Contract Documents, the Incentive invoice will be approved as submitted. As set forth in the SOP Manual, a Load Factor cap governs the total payment allowed, based on the ratio between demand and energy savings from a Project. If AEP Texas SWEPCO is unable to inspect Measure installations at the Project Site, those Measures may be counted as failures. 4.3 The Market ActorProject Sponsor’s progress towards completing the Project shall be determined independently by AEP TexasSWEPCO, who will evaluate the inspected, installed Measures on a measure-by-measure basis to calculate an adjustment factor for Energy Savings and incentives. This adjustment factor will consider the ratio of savings of the Measures that were inspected and pass the inspection to the total incentive for Measures per Measure tagged for inspectioninspection on the invoice. The adjustment factor will then be applied to the entire incentive invoice amount for payment. Failure of the Market Actor Project Sponsor to timely complete or report a Project shall constitute an Event of Default, and may, in AEP Texas’ SWEPCO’s discretion, result in disqualification of the Project. As described in Chapter 4 of the SOP Manual, AEP Texas SWEPCO may withhold or deny payment for Measures installed at Project sites to the extent that customer identification information is not provided or is incorrectly reportedreported on the invoice. 4.4 AEP Texas’ payment of Incentive Payment(sSWEPCO’S PAYMENT OF INCENTIVE PAYMENT(S) to Market Actor is expressly and specifically conditioned upon AEP Texas receiving all required noticesTO PROJECT SPONSOR IS EXPRESSLY AND SPECIFICALLY CONDITIONED UPON SWEPCO RECEIVING ALL REQUIRED NOTICES, submittals and materials from market actor within the applicable period specified in this AgreementSUBMITTALS AND MATERIALS FROM PROJECT SPONSOR WITHIN THE APPLICABLE PERIOD SPECIFIED IN THIS AGREEMENT. Failure by market actor to deliver any required noticeFAILURE BY PROJECT SPONSOR TO DELIVER ANY REQUIRED NOTICE, submittalSUBMITTAL, or material within the applicable period specified in this Agreement shall be deemed a material breach of this AgreementOR MATERIAL WITHIN THE APPLICABLE PERIOD SPECIFIED IN THIS AGREEMENT SHALL BE DEEMED A MATERIAL BREACH OF THIS AGREEMENT.

Project Implementation. 4.1 Prior ‌ 5.1 Project Sponsor agrees on and after the Effective Date to implementing use all reasonable efforts to implement the Project without undue delay and otherwise in accordance with the terms of the Contract Documents. 5.2 Measures shall be designed, constructed and installed in a projectgood and workmanlike manner only with materials and equipment of appropriate quality, and, in any event, in accordance with Prudent Electrical Practices. 5.3 Project Sponsors treating multiple Project Sites must complete and submit projects and all required documentation to TNMP in a timely manner. If the Market Actor Project Sponsor can submit the project data along with official TNMP forms of up to 20% of the budget. 5.4 Project Sponsor shall verify fund availability on notify TNMP of homes that measures are to be installed by submitting the AEP Texas web sitehome information into the Work Schedule. Projects can Each project submitted into the Work Schedule is subject to a pre-inspection. Once a project has been input into the database, Project Sponsor will be submitted until contacted to schedule pre-installation inspections. During the Market Actor cap is reached program year, Program Implementer will monitor the number of projects implemented by each project sponsor, and will attempt to conduct a sufficient number of inspections to maintain the percentage at or all program funds have been expendedabove 10%. 5.5 Project Sponsor shall notify TNMP of Measure installation at each Project Site by submitting the project documenting the Measures installed at the Project Site. The Market Actor shall install all Measures and record those installations via the website. All Measure installations Each project must be submitted within 45 electronically along with official TNMP forms. Within forty-five (45) days of installation. Market Actor must submit Projects documenting the installation information to AEP Texas via the AEP Texas web site by the last day of each month. All Projects shall be completed and submitted by November 30, 2024. 4.2 Upon receipt of all necessary documentationthe submitted project, AEP Texas TNMP shall complete an a random sample inspection of a statistically significant sample of the Measure installations at the Project Site. For Projects involving less than thirty (30) installations, AEP Texas may aggregate the Projects for purposes of inspection, provided, however, that Market Actor shall not be penalized for the inspection failure rate of another Market ActorSite(s). This inspection shall be used to determine whether the Measures were installed and are capable of performing their intended function of producing Energy Peak Demand Savings and Peak Demand Energy Savings. If AEP Texas TNMP reasonably determines that the Measures at the Project Site(s) have been installed, tested and inspected to the extent required by AEP Texas TNMP and found to be capable of providing Peak Demand Savings and Energy Savings in material compliance with the Contract Documents, the invoice will be paid as submitted. The savings attributable to the Measures documented in the approved invoice will be used for purposes of calculating the Incentive Payment in Article VI. 5.6 TNMP, its designee or a third-party evaluator may inspect measures or a sample of measures installed as part of a Project. These inspections shall be used to determine whether the Measures were installed and are capable of performing their intended function of producing Peak Demand Savings and Energy Savings. If TNMP determines that the Measures at the Project Site have been installed, tested and inspected to the extent required by TNMP and found to be capable of providing Peak Demand Savings and Energy Savings in material compliance with the Contract Documents, the project will be approved as submitted. If AEP Texas is unable to inspect Measure installations TNMP determines that any of the Measures installed at the Project SiteSite are not capable of providing Peak Demand Savings and Energy Savings in material compliance with the Contract Documents, those Measures a reduction of savings may be counted as failuresrequired for purposes of calculating the Incentive Payment in Section 6. 4.3 The Market Actor’s progress towards completing 5.7 Any review, inspection, or acceptance by TNMP, its designee or any third- party evaluator of any Project Site or of the Project shall be determined independently by AEP Texasdesign, who will evaluate the inspectedconstruction, installed Measures on a measure-by-measure basis to calculate an adjustment factor for Energy Savings installation, operation and incentives. This adjustment factor will consider the ratio of savings maintenance of the Measures that were inspected and pass is solely for the information of TNMP. In performing any such inspection or review or in accepting the Measures, TNMP makes no representation or warranty whatsoever as to the total incentive for Measures tagged for inspection. The adjustment factor will then be applied to the entire incentive amount for payment. Failure economic or technical feasibility, capability, safety or reliability of the Market Actor to timely complete Measures, their installation by Project Sponsor or report a Project shall constitute an Event of Default, and may, in AEP Texas’ discretion, result in disqualification of their compatibility with the Project. As described in Chapter 4 of the SOP Manual, AEP Texas may withhold or deny payment for Measures installed at Project sites to the extent that customer identification information is not provided or is incorrectly reportedHost Customer's facilities. 4.4 AEP Texas’ payment of Incentive Payment(s) to Market Actor is expressly and specifically conditioned upon AEP Texas receiving all required notices, submittals and materials from market actor within the applicable period specified in this Agreement. Failure by market actor to deliver any required notice, submittal, or material within the applicable period specified in this Agreement shall be deemed a material breach of this Agreement.

Project Implementation. 4.1 Prior 5.1 Project Sponsor agrees on and after the Effective Date to implementing use all reasonable efforts to implement the Project without undue delay and otherwise in accordance with the terms of the Contract Documents. 5.2 Measures shall be designed, constructed and installed in a projectgood and workmanlike manner only with materials and equipment of appropriate quality, and, in any event, in accordance with Prudent Electrical Practices. 5.3 If the Project involves multiple Project Sites, the Market Actor shall verify fund availability on the AEP Texas web site. Projects can be submitted until the Market Actor cap is reached or all program funds have been expended. The Market Actor shall install all Measures Project Sponsor must complete sufficient Measure installations, Project Implementation Reports and record those installations via the website. All Measure installations must be submitted invoices to earn 100% of incentive reservation within 45 ninety (90) days of installation. Market Actor must submit Projects documenting the installation information to AEP Texas via the AEP Texas web site by the last day of each month. All Projects shall be completed and submitted by November 30, 2024incentive request. 4.2 Upon receipt 5.4 Project Sponsors shall notify TNMP of all necessary documentation, AEP Texas shall complete an inspection installation of Measures by submitting a statistically significant sample of report (“Project Implementation Report”) basis that documents the Measure installations Measures actually installed at the Project Site. For Projects involving less than thirty Project Sponsors shall submit an invoice and Customer Acknowledgements associated with the installed Measures with the Project Implementation Report. TNMP must receive the Project Implementation Report within sixty (3060) installationsdays of initial incentive request. If a Project Implementation Report or accompanying invoice or Customer Certificate is deficient, AEP Texas TNMP will notify Project Sponsor of the deficiency and Project Sponsor shall correct the deficiency within the period of time specified in the notice of deficiency. 5.5 TNMP may aggregate the Projects for purposes inspect measures or a sample of inspection, provided, however, that Market Actor shall not be penalized for the inspection failure rate measures installed as part of another Market Actora Project. This inspection These inspections shall be used to determine whether the Measures were installed and are capable of performing their intended function of producing Energy Savings and Peak Demand Savings. If AEP Texas reasonably TNMP determines that the Measures at the Project Site(s) Site have been installed, tested and inspected to the extent required by AEP Texas TNMP and found to be capable of providing Peak Demand Savings and and/or Energy Savings in material compliance with the Contract Documents, the Incentive Project Implementation Report will be approved as submitted. The Estimated Savings attributable to the Measures documented in the approved Project Implementation Report will be used for purposes of calculating the Incentive Payment in Section 7.4. 5.6 If AEP Texas is unable to inspect Measure installations TNMP determines that any of the Measures installed at the Project SiteSite are not capable of providing Peak Demand Savings and/or Energy Savings in material compliance with the Contract Documents, those Measures a reduction of Estimated Savings may be counted as failures. 4.3 required for purposes of calculating the Incentive Payment in Section 7.4. The Market Actor’s progress towards completing Estimated Savings attributable to the Measures documented in the Project shall Implementation Report may be determined independently reduced by AEP Texas, who will evaluate the inspected, installed percentage of Measures on a measure-by-measure basis that failed to calculate an adjustment factor for Energy Savings and incentivespass inspection. This adjustment factor will consider may also be expressed as follows: ▇▇ = the ratio amount of savings Incentives associated with the Estimated Savings to be used for calculation of the Implementation Payment in Section 7.4 PMES = the amount of Incentives associated with the Estimated Savings attributable to Measures that passed inspection ▇▇▇▇ = the amount of Incentives associated with the Estimated Savings attributable to all Measures that were inspected ▇▇▇▇▇ = the amount of Incentives associated with the Estimated Savings attributable to all Measures documented in the Project Implementation Report Summary. 5.7 Within thirty (30) days of the conclusion of the Performance Period, the Project Sponsor shall submit a report to TNMP documenting the Measured Peak Demand Savings and/or Measured Energy Savings for the Performance Period (the “Performance Report”). If the Performance Report is deficient, TNMP will notify Project Sponsor of the deficiency and pass Project Sponsor shall correct the deficiency and submit a revised Performance Report within the period of time specified by TNMP in the notice of deficiency. 5.8 Any review, inspection, or acceptance by TNMP of any Project Site or of the design, construction, installation, operation and maintenance of the Measures is solely for the information of TNMP. In performing any such inspection or review or in accepting the Measures, TNMP makes no representation or warranty whatsoever as to the total incentive for Measures tagged for inspection. The adjustment factor will then be applied to the entire incentive amount for payment. Failure economic or technical feasibility, capability, safety or reliability of the Market Actor to timely complete Measures, their installation by Project Sponsor or report a Project shall constitute an Event of Default, and may, in AEP Texas’ discretion, result in disqualification of their compatibility with the Project. As described in Chapter 4 of the SOP Manual, AEP Texas may withhold or deny payment for Measures installed at Project sites to the extent that customer identification information is not provided or is incorrectly reportedHost Customer's facilities. 4.4 AEP Texas’ payment of Incentive Payment(s) to Market Actor is expressly and specifically conditioned upon AEP Texas receiving all required notices, submittals and materials from market actor within the applicable period specified in this Agreement. Failure by market actor to deliver any required notice, submittal, or material within the applicable period specified in this Agreement shall be deemed a material breach of this Agreement.

Project Implementation. th 4.1 Prior to implementing a project, the Market Actor shall verify fund availability on the AEP Texas web site. Projects can be submitted until the Market Actor cap is reached or all program funds have been expended. The Market Actor Project Sponsor shall install all Measures and record those installations via by the websitethirtieth (30P P) day after the date it submits a request to reserve incentive funds for the Project on the SWEPCO web site (▇▇▇▇://▇▇▇.▇▇.▇▇▇▇▇▇.▇▇▇/swepco/Login/Login.aspxH) . All Measure installations must be submitted within 45 days of installation. Market Actor must Project Sponsor shall submit Projects a Project Implementation Report documenting the installation information to AEP Texas SWEPCO via the AEP Texas SWEPCO web site by within 30 days of the last day of each Project Start Date. Project Sponsor shall be limited to one (1) Budget Reservation at a time, and one (1) Invoice per month. All Projects Any Project with a Reservation Date of October 31, 2014 or later shall be completed and submitted by November 30, 20242014, the end of the Implementation Period. 4.2 Upon Within forty-five (45) days of receipt of all necessary documentationan invoice, AEP Texas SWEPCO shall complete an inspection of a statistically significant sample of the Measure installations at the Project Site. For Projects involving less than thirty (30) installations, AEP Texas SWEPCO may aggregate the Projects for purposes of inspection, provided, however, that Market Actor Project Sponsor shall not be penalized for the inspection failure rate of another Market Actorproject sponsor. This inspection shall be used to determine whether the Measures were installed and are capable of performing their intended function of producing Energy Savings and Peak Demand Savings. If AEP Texas SWEPCO reasonably determines that the Measures at the Project Site(s) have been installed, tested and inspected to the extent required by AEP Texas SWEPCO and found to be capable of providing Peak Demand Savings and Energy Savings in material compliance with the Contract Documents, the Incentive invoice will be approved as submitted. As set forth in the SOP Manual, a Load Factor cap governs the total payment allowed, based on the ratio between demand and energy savings from a Project. If AEP Texas SWEPCO is unable to inspect Measure installations at the Project Site, those Measures may be counted as failures. 4.3 The Market ActorProject Sponsor’s progress towards completing the Project shall be determined independently by AEP TexasSWEPCO, who will evaluate the inspected, installed Measures on a measure-by-measure basis to calculate an adjustment factor for Energy Savings and incentives. This adjustment factor will consider the ratio of savings of the Measures that were inspected and pass the inspection to the total incentive for Measures per Measure tagged for inspectioninspection on the invoice. The adjustment factor will then be applied to the entire incentive invoice amount for payment. Failure of the Market Actor Project Sponsor to timely complete or report a Project shall constitute an Event of Default, and may, in AEP Texas’ SWEPCO’s discretion, result in disqualification of the Project. As described in Chapter 4 of the SOP Manual, AEP Texas SWEPCO may withhold or deny payment for Measures installed at Project sites to the extent that customer identification information is not provided or is incorrectly reportedreported on the invoice. 4.4 AEP Texas’ payment of Incentive Payment(s) to Market Actor is expressly and specifically conditioned upon AEP Texas receiving all required notices, submittals and materials from market actor within the applicable period specified in this Agreement. Failure by market actor to deliver any required notice, submittal, or material within the applicable period specified in this Agreement shall be deemed a material breach of this Agreement.