Common use of Mobilization Advance Clause in Contracts

Mobilization Advance. The Authority shall, on request of the Concessionaire, make an advance payment in a sum not exceeding 10% (ten per cent) of the Bid Project Cost (the “Mobilization Advance”). This advance payment shall be made in two equal instalments. The Concessionaire may request the Authority for the first instalment of the advance payment at any time after the Appointed Date, along with furnishing an e-Bank Guarantee in a form satisfactory to the Authority. The Concessionaire may request the Authority for the second instalment of the advance payment at any time, after 60(sixty) days from the Appointed Date, along with furnishing an e-Bank Guarantee in a form satisfactory to the Authority. The first and second instalments of the Mobilization Advance shall be paid by the Authority within 30 (thirty) days of receipt of the respective requests in this behalf from the Concessionaire. The rate of interest on the Mobilization Advance shall be equal to the average of one year MCLR of top 5 Scheduled Commercial Banks9 plus 1.25%, compounded annually. The Mobilization Advance shall be deducted 9 The authority shall declare the list of Top 5 Scheduled Commercial Banks on 1st September every calendar year based on the balance sheet size as declared in their annual reports. The 1 year MCLR of the top 5 scheduled commercial banks shall be taken at the start of every quarter. by the Authority in 8 (eight) equal instalments from each of the payments to be made by the Authority to the Concessionaire in accordance with the provisions of Clause 23.4 and the interest thereon shall be recovered from the 9th (ninth) and 10th (tenth) instalments. As the advance get recovered from the running bills/ stage payments, the e-Bank Guarantee for the amount equivalent to the amount of advance recovered may be released on the request of the Concessionaire. The Concessionaire would be at liberty to either submit a substitute e-Bank Guarantee for the residual amount or multiple e-BGs for such residual amount in replacement of the existing e-BG.

Mobilization Advance. The Authority shall, on request of the Concessionaire, make an advance payment in a sum not exceeding 10% (ten per cent) of the Bid Project Cost (the “Mobilization Advance”). This advance payment shall be made in two equal instalments. The Concessionaire may request the Authority for the first instalment of the advance payment at any time after the Appointed Date, along with furnishing an e-Bank Guarantee in a form satisfactory to the Authority. The Concessionaire may request the Authority for the second instalment of the advance payment at any time, after 60(sixty) days from the Appointed Date, along with furnishing an e-Bank Guarantee in a form satisfactory to the Authority. The first and second instalments of the Mobilization Advance shall be paid by the Authority within 30 (thirty) days of receipt of the respective requests in this behalf from the Concessionaire. The rate of interest on the Mobilization Advance shall be equal to the average of one year MCLR of top 5 Scheduled Commercial Banks9 plus 1.25%, compounded annually. The Mobilization Advance shall be deducted 9 The authority shall declare the list of Top 5 Scheduled Commercial Banks on 1st September every calendar year based on the balance sheet size as declared in their annual reports. The 1 year MCLR of the top 5 scheduled commercial banks shall be taken at the start of every quarter. by the Authority in 8 (eight) equal instalments from each of the payments to be made by the Authority to the Concessionaire in accordance with the provisions of Clause 23.4 and the interest thereon shall be recovered from the 9th (ninth) and 10th (tenth) instalments. As the advance get recovered from the running bills/ stage payments, the e-Bank Guarantee for the amount equivalent to the amount of advance recovered may be released on the request of the Concessionaire. The Concessionaire would be at liberty to either submit a substitute e-Bank Guarantee for the residual amount or multiple e-BGs for such residual amount in replacement of the existing e-BG.