Examples of Monthly Capacity Payment in a sentence
Commencing on the last day of the month in which the Commercial Operation Date occurs, Buyer shall, subject to Section 5.1.4, pay to Seller in arrears a Capacity Payment equal to the greater of (i) the Monthly Capacity Payment as determined in Section 5.1.2, or (ii) the Minimum Monthly Capacity Payment as determined in Section 5.1.3.
The Capacity Payment Shortfall shall be increased by interest at the Prime Rate divided by 365 on the maximum amount of the Capacity Payment Shortfall on that day and shall be recovered by Buyer as a credit against the otherwise applicable Monthly Capacity Payment owed to Seller for such month and by drawing on the Carry-Over-Letter of Credit as provided below.
During any month, the “Minimum Monthly Capacity Payment” shall equal the amount determined by the following formula: Minimum Monthly Capacity Payment = CC × 1000 × CPR × [●%], where: CC = the Contract Capacity; CPR = Capacity Payment Rate; and % = [●].
With respect to any month in which the calculated Monthly Capacity Payment is less than the Minimum Monthly Capacity Payment, the difference between the two payment amounts shall be set forth in a separate account (the amount in such account is referred to herein as the “Capacity Payment Shortfall”).