How It Works: Collateral Drawdowns

The 5% utility collateral and 2.5% CSG collateral (if applicable) will be held for the 15 year contract term for SREC under delivery purposes.

CSG will monitor the system on behalf of the utility and production is based on a 3-year rolling average.  The collateral must be maintained throughout the entire contract period.  If a collateral drawdown occurs, CSG will first deduct the amount from the held bond (# of under delivered RECS x block price).  The customer will then receive an invoice for the same amount to replenish the collateral.   CSG gives the customer the opportunity to pay the invoice with their preferred option of payment.  If payment is not received, CSG will then charge the credit card on file to bring the collateral back up to the required level.  All collateral remaining is returned to the customer upon contract fulfillment.