Common use of Annual Contracted Quantity (ACQ) Clause in Contracts

Annual Contracted Quantity (ACQ). 3.1.1 The Annual Contracted Quantity of Coal agreed to be supplied by the Seller and undertaken to be purchased till the normative date of production by the Purchaser, shall be lakh tonnes per Year from the Seller’s mines and/ or through import as per Schedule I. After the Normative Date of production or the actual date of production, whichever is earlierthe ACQ shall taper to 75% of the ACQ in the first 12 months (1st year), then to 50% of the ACQ in the next 12 months (2nd year) and 25% of the ACQ in the next 12 months (3rd year) i.e the last year of the tapering linkage period, subject to the ceiling of quantities approved by ministry of coal/ coal controller’s organisation as mentioned in Annexure-A and Schedule-I. For part of Year, during the above period the ACQ shall be prorated accordingly. The ACQ shall be in the proportion of the percentage of Generation covered under long term Power Purchase Agreement(s) executed by the Purchaser with the DISCOMs either directly or through PTC(s) who has/have signed back to back long term PPA(s) with DISCOMs. Whenever, there is any change in the percentage of PPA(s), corresponding change in ACQ shall be effected through a side agreement. Such changes shall be allowed to be made only once in a year and shall be made effective only from the beginning of the next quarter. However, in no case ACQ should exceed the LOA quantity subject to ceiling of quantity entitled during the tapering period. 3.1.2 The Purchaser shall in advance under the Schedule I provide firm annual coal requirement for the initial years required for phasing of the Power Plant after the completion of Build-Up Period, quantities subject to maximum of Annual Contract 1.1. Such quantities shall be considered binding and deemed to be Annual Contract Quantities for the respective years and be used for provisions under this Agreement. 3.1.3 It is expressly clarified that the Annual Contracted Quantity (ACQ) shall be valid for each Power Station (EUP) separately, as mentioned in Schedule I, and all the provisions of this Agreement related to ACQ shall be applicable mutatis mutandis.

Annual Contracted Quantity (ACQ). 3.1.1 4.1.1 The Annual Contracted Quantity of Coal agreed to be supplied by the Seller and undertaken to be purchased till the normative date of production by the Purchaser, shall be [•] lakh tonnes (against LOA quantity of [•] Lakh Tones) per Year from the Seller’s mines and/ or through import from import, as per Schedule I. After the Normative Date of production or the actual date of production, whichever is earlierthe ACQ shall taper to 75% of the ACQ in the first 12 months (1st year), then to 50% of the ACQ in the next 12 months (2nd year) and 25% of the ACQ in the next 12 months (3rd year) i.e the last year of the tapering linkage period, subject to the ceiling of quantities approved by ministry of coal/ coal controller’s organisation as mentioned in Annexure-A and Schedule-I. For part of Year, during the above period the ACQ shall be prorated accordingly. The ACQ shall be in the proportion of the percentage of Generation covered under long term Power Purchase Agreement(s) executed by the Purchaser with the DISCOMs either directly or through PTC(s) who has/has/ have signed back to back long term PPA(s) with DISCOMsDISCOMs plus an additional 10% of the quantity covered under long term PPA on account of transmission loss and auxiliary consumption within the overall ceiling of LOA quantity. To clarify, if the PPA furnished is 60% the ACQ shall be 66% of the LOA quantity, but, where the PPA furnished is 92% the ACQ shall be limited to the LOA quantity. TPPS already having 100% PPA shall have no scope for any increase beyond LOA quantity. Whenever, there is any change in the percentage of PPA(s), corresponding change in ACQ shall be effected through a side agreement. Such changes shall be allowed to be made only once in a year and shall be made effective only from the beginning of the next quarter. However, in no case ACQ should exceed the LOA quantity subject to ceiling of quantity entitled during as mentioned in Schedule I, for which the tapering periodFSA is executed. 3.1.2 4.1.2 The Purchaser shall in advance under the Schedule I provide firm annual coal requirement for the initial years required for phasing of the Power Plant after the completion of Build-Up Period, quantities subject to maximum of Annual ContractContract Quantity mentioned under Clause 4. 1.1. Such quantities shall be considered binding and deemed to be Annual Contract Quantities for the respective years and be used for provisions under this Agreement. 3.1.3 4.1.3 It is expressly clarified that the Annual Contracted Quantity (ACQ) shall be valid for each Power Station (EUP) separately, as mentioned in Schedule I, and all the provisions of this Agreement related to ACQ shall be applicable mutatis mutandis.

Annual Contracted Quantity (ACQ). 3.1.1 4.1.1 The Annual Contracted Quantity of Coal agreed to be supplied by the Seller and undertaken to be purchased by the Purchaser till the normative date of production by or the Purchaseractual date of production, whichever is earlier, shall be [•] lakh tonnes per Year from the Seller’s mines and/ or through import import., as per Schedule I. After the Normative Date of production or the actual date of productionproduction , whichever is earlierthe the ACQ shall taper to 75% of the ACQ in the first 12 months (1st year), then to 50% of the ACQ in the next 12 months (2nd year) and 25% of the ACQ in the next 12 months (3rd year) i.e the last year of the tapering linkage period, period subject to the ceiling of quantities approved by ministry Ministry of coal/ coal controllerCoal/ Coal Controller’s organisation Organization as mentioned in Annexure-A and Schedule-I. For part of Year, during the above period the ACQ shall be prorated accordingly. The ACQ shall be in the proportion of the percentage of Generation covered under long term Power Purchase Agreement(s) executed by the Purchaser with the DISCOMs either directly or through PTC(s) who has/have signed back to back long term PPA(s) with DISCOMs. Whenever, there is any change in the percentage of PPA(s), corresponding change in ACQ shall be effected through a side agreement. Such changes shall be allowed to be made only once in a year and shall be made effective only from the beginning of the next quarter. However, in no case ACQ should exceed the LOA quantity subject to ceiling of quantity entitled during the tapering period... 3.1.2 4.1.2 The Purchaser shall in advance under the Schedule I provide firm annual coal requirement for the initial years required for phasing of the Power Plant after the completion of Build-Up Period, quantities subject to maximum of Annual ContractAnnual 1.1. Such quantities shall be considered binding and deemed to be Annual Contract Quantities for the respective years and be used for provisions under this Agreement. 3.1.3 4.1.3 It is expressly clarified that the Annual Contracted Quantity (ACQ) shall be valid for each Power Station (EUP) separately, as mentioned in Schedule I, and all the provisions of this Agreement related to ACQ shall be applicable mutatis mutandis.

Annual Contracted Quantity (ACQ). 3.1.1 I. The Annual Contracted Quantity of Coal agreed to be supplied by the Seller shall supply and undertaken to be purchased till the normative date of production by the Purchaser, shall be lakh tonnes per Year from the Seller’s mines and/ or through import as per Schedule I. After the Normative Date of production or the actual date of production, whichever is earlierthe ACQ shall taper to 75% of the ACQ in the first 12 months (1st year), then to 50% of the ACQ in the next 12 months (2nd year) and 25% of the ACQ in the next 12 months (3rd year) i.e the last year of the tapering linkage period, subject to the ceiling of quantities approved by ministry of coal/ coal controller’s organisation as mentioned in Annexure-A and Schedule-I. For part of Year, during the above period the ACQ shall be prorated accordingly. The ACQ shall be in the proportion of the percentage of Generation covered under long term Power Purchase Agreement(s) executed by the Purchaser with the DISCOMs either directly or through PTC(s) who has/have signed back to back long term PPA(s) with DISCOMs. Whenever, there is any change in the percentage of PPA(s), corresponding change in ACQ shall be effected through a side agreement. Such changes shall be allowed to be made only once in a year and shall be made effective only from the beginning of the next quarter. However, in no case ACQ should exceed the LOA quantity subject to ceiling of quantity entitled during the tapering period. 3.1.2 The Purchaser shall in advance under the Schedule I provide firm annual coal requirement for the initial years required for phasing of the Power Plant after the completion of Build-Up Period, quantities subject to maximum of Annual Contract 1.1. Such quantities shall be considered binding and deemed to be Annual Contract Quantities for the respective years and be used for provisions under this Agreement. 3.1.3 It is expressly clarified that purchase the Annual Contracted Quantity (ACQ) of Coal per annum, as decided by CIL within the recommendation of the State Government. Such Coal shall be valid for each Power Station (EUP) separatelysupplied by the Seller from own sources of the Seller. The mode-wise, as mentioned coal field-wise break- up of ACQ is indicated in Schedule I- III to this Agreement. In the event of a truncated Year, the ACQ shall be prorated accordingly. II. Further Purchaser may opt for an ACQ lesser than the quantity allocated by CIL for the Year, subject to submission of a written communication from the nominating authority to that effect. The ACQ can be subsequently revised upward within the quantity allocated by CIL for the Year. Such upward revision will be subject to consent of the Seller and all the provisions of this Agreement related to will be allowed only once in a Year. The revised ACQ shall be applicable mutatis mutandison pro-rata basis with effect from the date of amendment in the Agreement. Further, any downward revision of original/revised ACQ will not be permitted. III. Coal sold and purchased under Agreement shall only be sold / distributed by the Purchaser to End Users as defined herein. Further, the Purchaser shall sell Coal to such End Users at the "As declared price of Coal" plus up to 5% margin over Base Price as service charges. The Purchaser shall be also entitled to charge any taxes, levies and any other statutory dues as may be applicable to the sale to the End User in the State of The Purchaser shall ensure that the Coal is sold only to an End User and shall not be re-sold or traded. IV. The Purchaser shall submit to the State Government, a Quarterly Return giving month-wise, consumer-wise, unit-wise details of Coal sold. Such details should essentially include name, address and contact no. of consumer, type & location of unit, quantity lifted during the month and the price at which Coal was supplied for evaluation of genuine consumption and monitoring of the same by the State Government. Such particulars shall be hosted by the Purchaser and the State Nominating Authority in their respective websites on regular basis. V. Its mandatory for Purchaser to ensure that Coal will be sold only to the end user. In the event of any breach or any complaint from any quarter received by the Seller/CIL, the same shall be referred to the State Government for examination and suitable action, if any, against the Purchaser. On receipt of any advice from the State Government for action against the Purchaser, the Seller shall be entitled to take appropriate action against the Purchaser including termination of this Agreement. Such termination, however, shall not absolve the Purchaser from its obligations and liabilities under the Agreement

Annual Contracted Quantity (ACQ). 3.1.1 4.1.1 The Annual Contracted Quantity of Coal agreed to be supplied by the Seller and undertaken to be purchased by the Purchaser till the normative date of production by or the Purchaseractual date of production, whichever is earlier, shall be [•] lakh tonnes per Year from the Seller’s mines and/ or through import from import., as per Schedule I. After the Normative Date of production or the actual date of productionproduction , whichever is earlierthe the ACQ shall taper to 75% of the ACQ in the first 12 months (1st year), then to 50% of the ACQ in the next 12 months (2nd year) and 25% of the ACQ in the next 12 months (3rd year) i.e the last year of the tapering linkage period, period subject to the ceiling of quantities approved by ministry Ministry of coal/ coal controllerCoal/ Coal Controller’s organisation Organization as mentioned in Annexure-A and Schedule-I. For part of Year, during the above period the ACQ shall be prorated accordingly. The ACQ shall be in the proportion of the percentage of Generation covered under long term Power Purchase Agreement(s) executed by the Purchaser with the DISCOMs either directly or through PTC(s) who has/has/ have signed back to back long term PPA(s) with DISCOMs. Whenever, there is any change in the percentage of PPA(s), corresponding change in ACQ shall be effected through a side agreement. Such changes shall be allowed to be made only once in a year and shall be made effective only from the beginning of the next quarter. However, in no case ACQ should exceed the LOA quantity subject to ceiling of quantity entitled during the tapering period. 3.1.2 4.1.2 The Purchaser shall in advance under the Schedule I provide firm annual coal requirement for the initial years required for phasing of the Power Plant after the completion of Build-Up Period, quantities subject to maximum of Annual ContractAnnual 1.1. Such quantities shall be considered binding and deemed to be Annual Contract Quantities for the respective years and be used for provisions under this Agreement. 3.1.3 4.1.3 It is expressly clarified that the Annual Contracted Quantity (ACQ) shall be valid for each Power Station (EUP) separately, as mentioned in Schedule I, and all the provisions of this Agreement related to ACQ shall be applicable mutatis mutandis.