Common use of Delay in Commercial Operation Date Clause in Contracts

Delay in Commercial Operation Date. If the Commercial Operation Date is not achieved on or before the Target Commercial Operation Date, other than due to an Event of Deemed Availability, Force Majeure, Government Action then the Seller shall pay the Buyer the Delay Liquidated Damages. The Delay Liquidated Damages shall be paid at a rate of 0.25% of the total EPC cost (including all contractors, equipment suppliers and service providers), as included in the Base Case Financial Model, for every week or part thereof from the Target Commercial Operation Date to the Commercial Operation Date, such weekly sum to be applied pro rata for any portion of a week between the Target Commercial Operation Date and the Commercial Operation Date. The maximum aggregate payment of the Delay Liquidated Damages under this clause 6.2 (Delay in Commercial Operation Date) shall not exceed 5% of the agreed EPC Contract amount. The Parties acknowledge that the Delay Liquidated Damages are a reasonable and genuine pre-estimate of the likely extent of the damages suffered by NamPower as a result of such delays. The Parties agree that the Delay Liquidated Damages shall be the full and final compensation to be paid in respect of a failure of the Seller to meet the Target Commercial Operation Date as stipulated in this Clause 6.2. In the case of a delay to the Commercial Operation Date as envisioned by this Clause 6.2 (Delay in Commercial Operation Date), the Seller shall keep NamPower informed of the date upon which it anticipates that it will be able to achieve the Commercial Operation Date. If due to any delay, default or circumstance caused by an Event of Deemed Availability, the Seller’s construction and commissioning of the Power Project by the Target Commercial Operation Date is prevented, hindered or delayed as a result of such Event of Deemed Availability, then the Seller, as soon as the Seller becomes aware thereof or should reasonably have become aware thereof, shall give notice to NamPower as soon as practicable after the delay, default or circumstance has occurred setting out the full particulars thereof, its net effect on the Power Project, including any anticipated performance delays, and any measures undertaken or proposed to be undertaken in relation thereto, provided that the Seller shall use its reasonable efforts to minimise any delay, in as far as it is in the Seller’s ability, and the effect of any such delay, default or circumstance acting in accordance with Prudent Industry Practice. Following the occurrence of any delay, default or circumstance as contemplated in this Clause 6.2, the Parties shall confer as to the effect, if any, of such delay, default or circumstance, and the Target Commercial Operation Date shall be extended by a period agreed by the Parties taking into account:

Delay in Commercial Operation Date. If the Commercial Operation Date is not achieved on or before the Target Commercial Operation Date, other than due to an Event of Deemed Availability, Force Majeure, Government Action then the Seller shall pay the Buyer the Delay Liquidated Damages. The Delay Liquidated Damages shall be paid at a rate of 0.25% of the total EPC cost (including all contractors, equipment suppliers and service providers), as included in the Base Case Financial Model, for every week or part thereof from the Target Commercial Operation Date to the Commercial Operation Date, such weekly sum to be applied pro rata for any portion of a week between the Target Commercial Operation Date and the Commercial Operation Date. The maximum aggregate payment of the Delay Liquidated Damages under this clause 6.2 (Delay in Commercial Operation Date) shall not exceed 5% of the agreed EPC Contract amount. The Parties acknowledge that the Delay Liquidated Damages are a reasonable and genuine pre-estimate of the likely extent of the damages suffered by NamPower XxxXxxxx as a result of such delays. The Parties agree that the Delay Liquidated Damages shall be the full and final compensation to be paid in respect of a failure of the Seller to meet the Target Commercial Operation Date as stipulated in this Clause 6.2. In the case of a delay to the Commercial Operation Date as envisioned by this Clause 6.2 (Delay in Commercial Operation Date), the Seller shall keep NamPower informed of the date upon which it anticipates that it will be able to achieve the Commercial Operation Date. If due to any delay, default or circumstance caused by an Event of Deemed Availability, the Seller’s construction and commissioning of the Power Project by the Target Commercial Operation Date is prevented, hindered or delayed as a result of such Event of Deemed Availability, then the Seller, as soon as the Seller becomes aware thereof or should reasonably have become aware thereof, shall give notice to NamPower as soon as practicable after the delay, default or circumstance has occurred setting out the full particulars thereof, its net effect on the Power Project, including any anticipated performance delays, and any measures undertaken or proposed to be undertaken in relation thereto, provided that the Seller shall use its reasonable efforts to minimise any delay, in as far as it is in the Seller’s ability, and the effect of any such delay, default or circumstance acting in accordance with Prudent Industry Practice. Following the occurrence of any delay, default or circumstance as contemplated in this Clause 6.2, the Parties shall confer as to the effect, if any, of such delay, default or circumstance, and the Target Commercial Operation Date shall be extended by a period agreed by the Parties taking into account: