MANUFACTURING FACILITY POWER PURCHASE AGREEMENT
(Industrial Customer with Co-Generation)
THIS POWER PURCHASE AGREEMENT (hereinafter referred to as the "Agreement") is made
and entered into as of October 25, 2024
BY AND BETWEEN:
INDUSTRIAL POWER SOLUTIONS CORPORATION, a Delaware corporation with its principal
offices located at 100 Energy Plaza, Houston, TX 77002 (hereinafter referred to as "Provider")
AND
PRECISION MANUFACTURING INDUSTRIES, INC., a Texas corporation with its manufacturing
facility located at 2500 Industrial Boulevard, Houston, TX 77015 (hereinafter referred to as
"Customer")
RECITALS:
WHEREAS, Provider operates and maintains electrical generation and distribution facilities
and is authorized to conduct business as a retail electric provider in the State of Texas;
WHEREAS, Customer operates a manufacturing facility with significant electrical load
requirements and on-site co-generation capabilities;
WHEREAS, Customer desires to purchase electricity from Provider to supplement its co-
generation output and ensure reliable power supply for its manufacturing operations;
NOW THEREFORE, for good and valuable consideration, the receipt and sufficiency of which
are hereby acknowledged, the parties agree as follows:
ARTICLE 1: SUPPLY SPECIFICATIONS
1.1 Base Load Supply. Provider shall supply Customer's base load requirements not met by
Customer's co-generation facility, estimated at 15 megawatts (MW) of continuous load.
Provider shall maintain sufficient generation and transmission capacity to serve Customer's
full requirements in the event of co-generation facility outage.
1.2 Supplemental Power. In addition to base load supply, Provider shall make available
supplemental power of up to 5 MW for peak demand periods or during planned maintenance
of Customer's co-generation facility. Such supplemental power shall be provided upon
twenty-four (24) hours advance notice from Customer.
ARTICLE 2: PRICING AND PAYMENT TERMS
2.1 Base Load Rate Structure. Customer shall pay for electricity according to the following
tiered rate structure:
First 10,000,000 kWh per month: $0.0825 per kWh
Next 5,000,000 kWh per month: $0.0785 per kWh
All additional kWh: $0.0745 per kWh
2.2 Demand Charges. A demand charge of $9.75 per kW shall apply to Customer's monthly
peak demand measured in any fifteen (15) minute interval during the billing period.
2.3 Supplemental Power Rate. All supplemental power provided pursuant to Section 1.2 shall
be billed at the real-time market rate plus $0.015 per kWh.
ARTICLE 3: CO-GENERATION INTERFACE
3.1 Operational Coordination. Customer shall provide Provider with daily generation
schedules for its co-generation facility and shall notify Provider immediately of any
unplanned outages or reductions in output.
3.2 Net Metering. Provider shall install and maintain bi-directional metering equipment
capable of measuring both power supplied to Customer and any excess power generated by
Customer's co-generation facility and delivered to Provider's distribution system.
