A common arrangement in the power supply process is joint ownership of power plants. Joint ownership arrangements involve two or more owners of a power plant, with one of the owners called the operator owner, who operates the power plant, bills the owners for operating costs, and all owners partake of the power supply. The joint ownership is governed by an overall power supply agreement, which designates various committees (management, operating, and finance) that are charged with the governance and management of the contract.

The contracts generally have audit provisions that allow any owner to audit billings under the contract, using their own personnel or through an independent party such as an accounting firm. Regular audits are beneficial to all owners - we’ll discuss the areas why.