Tolling Agreement Power Generation

The Decatur Energy Center is a natural gas-fired guD plant in Decatur, Ala. It sells the capacity and energy to the Tennessee Valley Authority as part of a toll deal. The contract was initially for 10 years and was due to expire in December 2022. According to the DOJ, agreements that transfer economic ownership and are executed before the notification of the RSH and the expiration of the waiting period can, under the HSR Act, be assimilated to a jump of arms if they are concluded while a buyer intends to acquire the destination. [5] This type of agreement allows a buyer to take control of an objective and obtain effects of the concentration before the regulatory authorities have completed their anti-dominant examination. The DOJ therefore argued that the term sheet and the combined toll agreement had removed Calpine as an independent competitive presence in the market and that Duke could make all competitive decisions for the Osprey facility from the date of entry into force of the toll agreement and well before RSH`s application was filed. A joint venture between VPower Group and China National Technical Import & Export Corp. has been acquired by synergy Marine Group the floating natural gas storage unit CNTIC VPower Energy as part of an LNG-to-Power project in Myanmar. Toll agreements are a common feature of the energy sector. Through these agreements, a buyer supplies fuel to an electric generator and, in exchange, the generator will return electricity to the buyer. Feldman said these deals have started an important cog in the risk allocation in the sector and are based on a different profitability than the initial independent power generation projects. Capital Power Corp. .