Power Projects and Covid-19: A Practical Analysis of the Relevance of Force Majeure Clauses under the Standardised Power Purchase and Implementation Agreements of Uganda
Pages | 189-193 |
Published date | 01 August 2020 |
DOI | 10.3366/gels.2020.0026 |
Date | 01 August 2020 |
Uganda's liberalised and unbundled power sector's generation installed capacity is 1,252.3MW with an energy mix of over 90% generated from renewable sources.
The relationship between Independent Power Producers (IPP) and the state owned off-taker Uganda Electricity Transmission Company Limited (UETCL), is governed by a standardised Power Purchase Agreement (PPA). Government guarantees the obligations of UETCL under a standardised Implementation Agreement (IA) between the IPP and the Government of Uganda.
On 30th January 2020, the World Health Organisation (WHO) declared COVID-19 a pandemic. Uganda confirmed its first case on 21st March 2020
An analysis is conducted showing the relevance of the FM clauses, and proposals are made for practical considerations to achieve the continuity of renewable energy power projects and policy goals towards energy justice and sustainable development.
Under the agreements, a force majeure event (FME) means an event or circumstance beyond the reasonable control of a party that materially and adversely affects the performance by that party of its obligations. Such material or adverse effect should not...
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