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Power Generation
Having advised on more than 220 electricity generation projects since 1989, Bond Pearce's energy team has substantial expertise across all the full range of issues affecting such projects throughout their operating lives.
The experience of our team includes all types of trading arrangements relating to power projects, although there has been a natural emphasis on power sales arrangements, whether in the form of short term commodity contracts or long term bespoke agreements that are being used as the basis for the project financing of a new plant.
In addition we have a very substantial body of knowledge surrounding power sales arrangements for renewables projects, including NFFO agreements, but with far greater emphasis now on the Renewables Obligation and the Climate Change Levy. We are keeping a close eye on the plans for the introduction of feed-in tariffs for small scale developments in the UK.
While the trading of Renewables Obligation Certificates is becoming increasingly familiar to many generators operating in the market, the introduction of banding and the move to offshore generation create issues around eligibility and metering of exports, on which we are increasingly asked to advise. Similarly, with the introduction of the new EC directive on renewable energy, we are also advising on the trading of renewable electricity cross border within the EC and from third countries into the EC.
Aside from renewables, we also advise thermal generation projects, both on their export arrangements and on their feedstock requirements. Long term gas supply contracts are a natural extension of our upstream oil and gas practice, and a number of our lawyers have been advising on network code issues since its introduction in the mid-1990's. Similarly, we have also recently been negotiating coal supply agreements with some of the largest coal-fired plants in the UK.
In terms of project development, access to the grid is always a key issue. We have advised a number of projects on their connection arrangements, both to the national transmission system (in England and in Scotland) and to local distribution networks (where we have advised on contestable as well as non-contestable agreements). We have also advised on the implications for project development of the new offshore transmission regime.
The other key element for any electricity project will be compliance with the regulatory regime, whether in terms of the balancing of the system or the settlement of payments between the relevant industry parties. Members of our team have regularly advised on the implications not only of the licensing regime itself, but also the balancing and settlement code, the connection and use of system and the distribution connection and use of system code, as well as the grid code, the distribution code and the network code. From our work with electricity suppliers, we have complete knowledge of the regulatory framework from the moment of generation to the point of supply.
