The Hydrogen Purchase Agreement is a specialized commercial contract used when establishing a formal relationship for the supply and purchase of hydrogen. This agreement, governed by English and Welsh law, is particularly relevant as the UK transitions toward a hydrogen economy. It covers essential elements including supply obligations, specifications, pricing mechanisms, delivery terms, and quality requirements. The agreement is crucial for businesses involved in hydrogen production, distribution, or consumption, and must comply with strict UK safety and environmental regulations. The document typically includes detailed technical specifications and may incorporate provisions for green hydrogen certification where applicable.
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1. Parties: Identification and details of the contracting parties, including registered addresses and company details
2. Background: Context of the agreement, including purpose and high-level commercial intentions
3. Definitions: Defined terms used throughout the agreement, including technical specifications and industry terminology
4. Supply Obligations: Core obligations regarding hydrogen supply, including quantities, delivery schedule, and supply guarantees
5. Price and Payment: Pricing structure, payment terms, invoicing procedures, and price adjustment mechanisms
6. Quality and Specifications: Detailed hydrogen specifications, quality requirements, and compliance with industry standards
7. Delivery: Delivery terms, locations, transfer of title and risk, and transportation responsibilities
8. Safety and Compliance: Safety requirements, regulatory compliance obligations, and incident reporting procedures
9. Force Majeure: Events constituting force majeure and consequences thereof
10. Term and Termination: Duration of agreement, renewal provisions, and termination rights
11. Liability and Indemnification: Allocation of risks, limitation of liability, and indemnification obligations
12. Insurance: Required insurance coverage and minimum policy requirements
13. Dispute Resolution: Procedures for resolving disputes, including jurisdiction and governing law
1. Take-or-Pay Provisions: Minimum purchase obligations and compensation mechanisms for shortfall quantities
2. Carbon Credits: Allocation of environmental attributes and carbon credits from green hydrogen production
3. Technology License: Terms for use of proprietary technology and intellectual property rights
4. Export Controls: Compliance with export control regulations for international transactions
5. Storage: Terms relating to hydrogen storage facilities and responsibilities
1. Technical Specifications: Detailed hydrogen specifications, quality parameters, and testing methods
2. Pricing Schedule: Detailed pricing mechanisms, calculations, and adjustment formulas
3. Delivery Points: Specification of delivery locations, facilities, and technical requirements
4. Testing Procedures: Quality testing protocols, sampling procedures, and certification requirements
5. Safety Procedures: Detailed safety protocols for handling, transfer, and emergency response
6. Form of Performance Security: Template for performance bonds, parent company guarantees, or other security instruments
7. Compliance Requirements: List of applicable regulations, permits, and compliance obligations
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