Malaysia legislation

Section 5

of Sabah Renewable Energy Renewable Energy Power Purchase Agreement Rules 2024

Section 5

(2)

of the Schedule.

(2)

The substance of each type of the renewable energy power purchase agreement as specified in subrule (1) shall contain the following minimum provisions:

(a)

that the renewable energy power purchase agreement shall remain in effect throughout the effective period as specified in the feed-in approval, unless the agreement is terminated earlier in accordance with the provisions of such agreement;

(b)

that the feed-in approval holder shall sell and deliver, and the distribution licensee shall purchase and accept, the renewable energy generated by the feed-in approval holder’s renewable energy installation and metered by the distribution licensee at the connection point;

(c)

that the price to be paid by the distribution licensee to the feed-in approval holder for the renewable energy generated and delivered by the feed-in approval holder’s renewable energy installation shall be the feed-in tariff rate as determined by the Commission in accordance with the Enactment and the Sabah Renewable Energy (Feed-In Approval and

Feed-In Tariff Rate) Rules 2024;

(d)

that the feed-in approval holder shall operate his or its renewable energy installation utilizing the renewable resource as specified in his or its feed-in approval;

(e)

that the reading of revenue meters, the preparation and issuance of payment advices and the payments made pursuant to such payment advices shall be made in accordance with the Sabah Renewable Energy

(Technical and Operational Requirements) Rules 2024;

(f)

that either party to the renewable energy power purchase agreement may terminate the agreement in accordance with the provisions of the agreement if the other party has breached the agreement where the breach is of a type which, as provided for in the agreement, entitles the first-mentioned party to terminate the agreement; and

5

(g)

that the renewable energy power purchase agreement shall be governed by and construed in accordance with the laws of Malaysia.

(3)

The substance of each type of the renewable energy power purchase agreement as specified in subrule (1) in respect of a renewable energy installation referred to in paragraph 4(b) shall contain the following additional provisions:

(a)

that if the distribution licensee terminates the renewable energy power purchase agreement as a result of a breach of the agreement by the feed-in approval holder where the breach is of a type which, as provided for in the agreement, entitles the distribution licensee to terminate the agreement, the distribution licensee shall have the option to purchase the renewable energy installation in the manner and for the purchase price as determined in accordance with the provisions of the agreement; and

(b)

that if the feed-in approval holder terminates the renewable energy power purchase agreement as a result of a breach of the agreement by the distribution licensee where the breach is of a type which, as provided for in the agreement, entitles the feed-in approval holder to terminate the agreement, the feed-in approval holder shall have the option to sell the renewable energy installation to the distribution licensee in the manner and for the purchase price as determined in accordance with the provisions of the agreement.

(4)

Each type of the renewable energy power purchase agreement as specified in subrule (1) shall be in the form of agreement dated 3 January 2024.

(5)

The form of agreement referred to in subrule (4) shall be made available by the Commission at any of its offices and on the official website of the Commission.

Deviation from the form of agreement

Section 5 — Sabah Renewable Energy Renewable Energy Power Purchase Agreement Rules 2024