Each regulated vendor (electricity distributor and investor supplier) must submit price reports to FERC (submitted by WSPP) indicating prices and margins for each transaction. The price data is public. Margin data is confidential for a one-year period. Confirmation contracts of one year or less should not be submitted to FERC. FERC-regulated sellers who enter into confirmation contracts of more than one year must submit these agreements to ferC. The seller is required to sell and deliver the delivery point (s) in accordance with the WSPP agreement and the applicable confirmation agreement. The buyer is required to receive and purchase at the delivery point in accordance with the WSPP agreement and the current confirmation agreement. The right and risk of loss are transferred to the buyer at the place of delivery. The seller guarantees a good title, free of any right to pledge or foreclosure, but opposes any other guarantee, including any guarantee of accessibility or suitability for a particular purpose. Confirmation agreements include transaction-specific terms, including changes to the basic agreement that the parties mutually approve. Oral confirmation agreements are allowed for transactions of less than one week. For transactions of a week or more, written confirmations are required.
At the buyer`s request or at the seller`s choice, the seller must provide written confirmation within five days of the request or agreement. The buyer has five days to respond. If the buyer does not react, the seller`s written confirmation is considered final. If the seller does not provide written confirmation, the buyer can submit a written confirmation within five days of the expiry of the deadline for filing a written confirmation. If the seller does not react within five business days, the buyer`s confirmation is considered final. If a party declares at any time that it will not accept changes to the WSPP agreement proposed by a party, those amendments will be rejected. Parties to a transaction may, by mutual agreement, amend many of the key terms of the WSPP agreement for that transaction. Such a change must be defined in a confirmation agreement. The only provisions that can be amended are those that can be explicitly described as amended in the WSPP agreement. In general, the parties ensure that they have the power to carry out transactions and execute the terms of the agreements.
Each party also maintains that it is solvent and that this presentation is maintained until the opposite is communicated.