Guidelines for determination of tariff & SBD for ... - Ministry of Power

Standard PPA for … [Insert ‘medium’ or ‘long’, as applicable] term power procurement under Case -1
11 ARTICLE 11: EVENTS OF DEFAULT AND TERMINATION
11.1 Seller Event of Default
11.1.1 The occurrence and continuation of any of the following events, unless any such event
occurs as a result of a Force Majeure Event or a breach by Procurer(s) of its obligations
under this Agreement or a Procurer Event of Default, shall constitute a Seller Event of
Default:
(i) the failure to commence supply of power to the Procurer(s) up to the Contracted
Capacity, relevant to the Revised Scheduled Delivery Date(s) or the Scheduled Delivery
Date, as the case may be, by the end of ……... [Insert the period specified in the proviso
to Article 4.8.2], or
(ii) after the Delivery Date, the interruption of power supply by the Seller for a continuous
period of ……. [Insert “two (2) Months” in case of long term procurement/ “fifteen (15)
Days” in case of medium term procurement] and such default is not rectified within …….
[Insert “thirty (30) Days ” in case of long term procurement/ “five (05) Days” in case of
medium term procurement] from the receipt of first notice from the Procurer(s) in this
regard, or
(iii) [Insert this in case of base load procurement] After the Delivery Date, the
……………… [Insert “Seller” if Seller is NOT a Trading Licensee, or insert
“Developer” if Seller is a Trading Licensee] fails to achieve Normative Availability for a
period of ………… (………….) [Insert “twelve (12)” incase of long term procurement/
“six (6)” in case of medium-term procurement] consecutive or non-consecutive Months
within any continuous period of …………………… [Insert‘thirty six (36) Months’ in
case of long-term procurement / insert ‘twelve (12) Months’ in case of medium term
procurement]; OR
[Insert this in case of peak load or seasonal load procurement] After the commencement
of supply of power, the ………………. [Insert “Seller” if Seller is NOT a Trading
Licensee, or insert “Developer” if Seller is a Trading Licensee] fails to achieve …..
[Insert “ninety-five percent (95%) of Normative Availability”] for a period of ………..
(……..) Months [Insert number of months separately in the case of medium term or long
term procurement] consecutive or non-consecutive Months within any continuous period
of …………. (………….) Months [Insert number of months separately in the case of
medium term or long term procurement]; or
(iv) the Seller fails to make any payment (a) of an amount exceeding Rupees One (1) Crore in
aggregate required to be made to Procurer(s) under this Agreement, within three (3)
Months after the Due Date of undisputed invoice(s) /demand raised by the said
Procurer(s) on the Seller or (b) of an amount up to Rupees ….. [Insert amount] required
to be made to Procurer(s) under this Agreement within six (6) Months after the Due Date
of undisputed invoice(s)/ demand; or
(v) any of the representations and warranties made by the Seller in Schedule 7 of this
Agreement; being found to be untrue or inaccurate. Further, in addition to the above, any
of representations made or the undertakings submitted by the Successful Bidder at the
time of submission of the Bid being found to be breached or inaccurate, including but not
…….[Insert name of Procurer(s)] 66