GENERATION LICENCE Clause Samples
A Generation Licence clause grants a party the legal right to generate electricity or other forms of energy, typically within a specified jurisdiction or under certain regulatory conditions. This clause outlines the scope of the licence, including any technical, safety, or environmental requirements the licensee must meet, and may specify the duration and renewal terms of the licence. Its core practical function is to ensure that energy generation activities are authorized and regulated, thereby promoting compliance with relevant laws and standards while managing risks associated with unauthorized or unsafe energy production.
GENERATION LICENCE. 12.1. The Customer must ensure that it complies with the requirements of the Law, including the relevant regulations published by NERSA from time to time, in respect of any Consent required in relation to the generation of electricity and the connection of the Embedded Generator to the Distribution Network.
12.2. The Customer is liable for any Claims which might arise from any change or clarification made by Minister of Energy or NERSA. The Customer hereby indemnifies, defends and holds harmless the Municipality from and against all Claims made against or suffered by the Municipality under any Law arising out of the failure by the Customer to comply with any requirement to obtain a Consent in relation to the generation of electricity and the connection to the Distribution Network.
12.3. Should the Municipality become aware of a breach of such requirements by the Customer, it will constitute a breach of this Contract and will be handled according to Clause 18.
GENERATION LICENCE. The Customer must ensure that it complies with the requirements of the Law, including the relevant regulations published by NERSA from time to time, in respect of any Consent required in relation to the generation of electricity and the connection of the Embedded Generator to the Distribution Network. The Customer is liable for any Claims which might arise from any change or clarification made by Minister of Energy or NERSA. The Customer hereby indemnifies, defends and holds harmless the Municipality from and against all Claims made against or suffered by the Municipality under any Law arising out of the failure by the Customer to comply with any requirement to obtain a Consent in relation to the generation of electricity and the connection to the Distribution Network. Should the Municipality become aware of a breach of such requirements by the Customer, it will constitute a breach of this Contract and will be handled according to Clause 18. The Municipality has the right to instruct the Customer, and the Customer shall respond to such an instruction, to reduce peak generation or disconnect the Embedded Generator entirely during abnormal system conditions or low load periods.
GENERATION LICENCE. The Electricity Regulation Act stipulates that municipal electrical grid connected generators shall obtain a generating licence. “Generating for own use” is excluded from this requirement. It is recorded that clarification is still required from the National Energy Regulator of South Africa whether generators who are net customers are considered to be “generating for own use”. The customer bears all the risk regarding any liability which might arise from any change or clarification made by NERSA in this regard, and specifically indemnifies the Municipality with regard to any such risk or liability.
GENERATION LICENCE. The Customer must ensure that it complies with the requirements of the Law, including the relevant regulations published by ***Regulator from time to time, in respect of any Consent required in relation to the generation of electricity and the connection of the Distributed Generator to the Distribution Network. The Customer is liable for any Claims which might arise from any change or clarification made by ***Ministry or Regulator. The Customer hereby indemnifies, defends and holds harmless the Utility from and against all Claims made against or suffered by the Utility under any Law arising out of the failure by the Customer to comply with any requirement to obtain a Consent in relation to the generation of electricity and the connection to the Distribution Network. Should the Utility become aware of a breach of such requirements by the Customer, it will constitute a breach of this Contract and will be handled according to Clause 18.
GENERATION LICENCE. The Customer must ensure that they are compliant with the Department of Energy’s (DoE) requirements regarding licensing of embedded generators, as well as with relevant regulations published by the National Energy Regulator of South Africa (NERSA). The Customer bears all the risk regarding any liability which might arise from any change or clarification made by DoE or NERSA in this regard, and specifically indemnifies the Municipality with regard to any such risk or liability. Should the Municipality become aware of a breach of such requirements by the Customer, it will constitute a breach of this contract and will be handled in accordance with Clause 19.
GENERATION LICENCE. In the event that the Generator ceases to hold the Generation Licence and has not, within a period of 28 days from the date of such cessation, obtained a replacement or substitute generation licence, SONI may, by notice to the Generator, forthwith terminate this Agreement.
