Climate Contract Playbook Edition 3
21
Green Termination
1.1
Without affecting any other right or remedy available to it, the Customer may terminate this agreement by giving [1 month OR [NUMBER] month’s] written notice to the other party: (a) if the Customer, [acting in good faith OR having made a reasonable comparison of the Supplier and other available suppliers], has decided to switch to an alternate supplier to achieve a reduction in the carbon footprint or emissions attributable to the Customer as a result of the Supplier’s performance of the agreement, provided: • the potential reduction is [supported by reasonable evidence and is] at least [PERCENTAGE]% less than the carbon footprint or emissions relating to this agreement at the time of the comparison [(with that calculation meeting the requirements of [INSERT CARBON MEASUREMENT METHODOLOGY USED BY THE CUSTOMER])]; [and] • the proposed obligations of the alternate supplier are at least as onerous as those of the Supplier under this agreement; [and]
• [the proposed price of the alternate supplier is not significantly different to the price of the Supplier in aggregate over an equivalent period;]
(b) if the Supplier’s environmental practices or negative environmental impacts may bring the Customer’s reputation materially into disrepute as a result of conflicting with the Customer’s published [net zero/carbon reduction] targets from time to time; or (c) if the Supplier acts persistently and materially in such a manner as [to reasonably justify the opinion that its business operations or other conduct] is inconsistent with good environmental practice and policy [, as exemplified in [INSERT INDUSTRY ACCEPTED GUIDANCE OR STANDARD]]; or (d) if the Supplier fails within [30] days to respond fully to a request for information made by the Customer to allow the Customer to assess the carbon footprint, emissions, environmental practices and policies of the Supplier that relate to activity under this agreement.
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