Virginia Precedent Agreement for Firm Natural Gas Storage Service

State:
Multi-State
Control #:
US-OG-1089
Format:
Word; 
Rich Text
Instant download

Description

This form is a precedent agreement for a firm national gas storage service.
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  • Preview Precedent Agreement for Firm Natural Gas Storage Service
  • Preview Precedent Agreement for Firm Natural Gas Storage Service
  • Preview Precedent Agreement for Firm Natural Gas Storage Service
  • Preview Precedent Agreement for Firm Natural Gas Storage Service
  • Preview Precedent Agreement for Firm Natural Gas Storage Service
  • Preview Precedent Agreement for Firm Natural Gas Storage Service
  • Preview Precedent Agreement for Firm Natural Gas Storage Service
  • Preview Precedent Agreement for Firm Natural Gas Storage Service
  • Preview Precedent Agreement for Firm Natural Gas Storage Service
  • Preview Precedent Agreement for Firm Natural Gas Storage Service
  • Preview Precedent Agreement for Firm Natural Gas Storage Service

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FAQ

Take-or-pay structure for PPAs encourage private sector investment by guaranteeing the government agency will pay for a certain amount of power, even if it does not off-take it (for example, due to grid issues).

A gas sale agreement (GSA) is the key agreement documenting the sale and purchase of a quantity of natural gas. This standard document GSA provides for one seller and one buyer and is drafted from a neutral point of view.

What Is Take or Pay? A take-or-pay clause in a contract stipulates that a buyer will take an agreed-upon amount of a commodity from a seller on a certain date or pay a set penalty fee if it does not. The fee is generally less than the full purchase price of the commodity.

Take-or-pay clauses ensure that the buyer will not and may not use the contract to withhold natural gas quantities without the obligation to compensate the seller.

A contract used in the oil & gas industry that obligates the buyer to take an agreed minimum quantity of gas at a set contract price over a given period of time or to pay an agreed-on amount if the minimum gas quantity is not taken.

A payment terms clause in your Terms and Conditions agreement is where you disclose details such as how your business will process transactions electronically, what forms of payment you accept and what happens if the buyer cancels a transaction.

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Virginia Precedent Agreement for Firm Natural Gas Storage Service