Common use of Payment Security Mechanism Letter of Credit Clause in Contracts

Payment Security Mechanism Letter of Credit. (LC): 10.4.1 SECI shall provide to the SPD, in respect of payment of its Monthly Bills and/or Supplementary Bills, a monthly unconditional, revolving and irrevocable letter of credit (“Letter of Credit”), opened and maintained which may be drawn upon by the SPD in accordance with this Article. 10.4.2 Before the start of supply, SECI shall, through a scheduled bank, open a Letter of Credit in favour of the SPD, to be made operative from a date prior to the Due Date of its first Monthly Bill under this Agreement. The Letter of Credit shall have a term of twelve (12) Months and shall be renewed annually, for an amount equal to: i) for the first Contract Year, equal to 110% of the estimated average monthly billing; ii) for each subsequent Contract Year, equal to 110% of the average of the monthly billing of the previous Contract Year. 10.4.3 Provided that the SPD shall not draw upon such Letter of Credit prior to the Due Date of the relevant Monthly Bill and/or Supplementary Bill, and shall not make more than one drawal in a Month. 10.4.4 Provided further that if at any time, such Letter of Credit amount falls short of the amount specified in Article 10.4.2 due to any reason whatsoever, SECI shall restore such shortfall before next drawl. 10.4.5 SECI shall cause the scheduled bank issuing the Letter of Credit to intimate the SPD, in writing regarding establishing of such irrevocable Letter of Credit. 10.4.6 SECI shall ensure that the Letter of Credit shall be renewed not later than its current expiry date. 10.4.7 All costs relating to opening, maintenance of the Letter of Credit shall be borne by SECI. 10.4.8 If SECI fails to pay undisputed Monthly Bill or Supplementary Bill or a part thereof within and including the Due Date, then, subject to Article 10.4.6 & 10.5.2, the SPD may draw upon the Letter of Credit, and accordingly the bank shall pay, an amount equal to such Monthly Bill or Supplementary Bill or part thereof, in accordance with Article 10.4.3 above, by presenting to the scheduled bank issuing the Letter of Credit, the following documents: i) a copy of the Monthly Bill or Supplementary Bill (only for energy related bills) which has remained unpaid to SPD and; ii) a certificate from the SPD to the effect that the bill at item (i) above, or specified part thereof, is in accordance with the Agreement and has remained unpaid beyond the Due Date;

Payment Security Mechanism Letter of Credit. (LC): 10.4.1 SECI shall provide to the SPDRPD, in respect of payment of its Monthly Bills and/or Supplementary Bills, a monthly unconditional, revolving and irrevocable letter of credit (“Letter of Credit”), opened and maintained which may be drawn upon by the SPD RPD in accordance with this Article. 10.4.2 Before the start of supply, SECI shall, through a scheduled bank, open a Letter of Credit in favour of the SPDRPD, to be made operative from a date prior to the Due Date of its first Monthly Bill under this Agreement. The Letter of Credit shall have a term of twelve (12) Months and shall be renewed annually, for an amount equal to: i) for the first Contract Year, equal to 110% of the estimated average monthly billing; billing ii) for each subsequent Contract Year, equal to 110% of the average of the monthly billing of the previous Contract Year. 10.4.3 Provided that the SPD RPD shall not draw upon such Letter of Credit prior to the Due Date of the relevant Monthly Bill and/or Supplementary Bill, and shall not make more than one drawal drawl in a Month. 10.4.4 Provided further that if at any time, such Letter of Credit amount falls short of the amount specified in Article 10.4.2 due to any reason whatsoever, SECI shall restore such shortfall before next drawl. 10.4.5 SECI shall cause the scheduled bank issuing the Letter of Credit to intimate the SPDRPD, in writing regarding establishing of such irrevocable Letter of Credit. 10.4.6 SECI shall ensure that the Letter of Credit shall be renewed not later than its current expiry date. 10.4.7 All costs relating to opening, maintenance of the Letter of Credit shall be borne by SECI. 10.4.8 If SECI fails to pay undisputed Monthly Bill or Supplementary Bill or a part thereof within and including date as on the Due Date, then, subject to Article 10.4.6 & 10.5.2, the SPD RPD may draw upon the Letter of Credit, and accordingly the bank shall pay, pay an amount equal to such Monthly Bill or Supplementary Bill or part thereof, in accordance with Article 10.4.3 above, by presenting to the scheduled bank issuing the Letter of Credit, the following documents: i) a copy of the Monthly Bill or Supplementary Bill (only for energy related bills) which has remained unpaid to SPD RPD and; ii) a certificate from the SPD RPD to the effect that the bill at item (i) above, or specified part thereof, is in accordance with the Agreement and has remained unpaid beyond the Due Date;

Payment Security Mechanism Letter of Credit. (LC): 10.4.1 SECI shall provide to the SPDWPD, in respect of payment of its Monthly Bills and/or Supplementary Bills, a monthly unconditional, revolving and irrevocable letter of credit (“Letter of Credit”), opened and maintained which may be drawn upon by the SPD WPD in accordance with this Article. 10.4.2 Before the start of supply, SECI shall, through a scheduled bank, open a Letter of Credit in favour of the SPDWPD, to be made operative from a date prior to the Due Date of its first Monthly Bill under this Agreement. The Letter of Credit shall have a term of twelve (12) Months and shall be renewed annually, for an amount equal to: i) for the first Contract Year, equal to 110% of the estimated average monthly billing; ii) for each subsequent Contract Year, equal to 110% of the average of the monthly billing of the previous Contract Year. 10.4.3 Provided that the SPD WPD shall not draw upon such Letter of Credit prior to the Due Date of the relevant Monthly Bill and/or Supplementary Bill, and shall not make more than one drawal in a Month. 10.4.4 Provided further that if at any time, such Letter of Credit amount falls short of the amount specified in Article 10.4.2 due to any reason whatsoever, SECI shall restore such shortfall before next drawl. 10.4.5 SECI shall cause the scheduled bank issuing the Letter of Credit to intimate the SPDWPD, in writing regarding establishing of such irrevocable Letter of Credit. 10.4.6 SECI shall ensure that the Letter of Credit shall be renewed not later than its current expiry date. 10.4.7 All costs relating to opening, maintenance of the Letter of Credit shall be borne by SECI. 10.4.8 If SECI fails to pay undisputed Monthly Bill or Supplementary Bill or a part thereof within and including the Due Date, then, subject to Article 10.4.6 & 10.5.2, the SPD WPD may draw upon the Letter of Credit, and accordingly the bank shall pay, an amount equal to such Monthly Bill or Supplementary Bill or part thereof, in accordance with Article 10.4.3 above, by presenting to the scheduled bank issuing the Letter of Credit, the following documents: i) a copy of the Monthly Bill or Supplementary Bill (only for energy related bills) which has remained unpaid to SPD WPD and; ii) a certificate from the SPD WPD to the effect that the bill at item (i) above, or specified part thereof, is in accordance with the Agreement and has remained unpaid beyond the Due Date;

Payment Security Mechanism Letter of Credit. (LC): 10.4.1 SECI NTPC shall provide to the SPD, in respect of payment of its Monthly Bills and/or Supplementary Bills, a monthly unconditional, revolving and irrevocable letter of credit (“Letter of Credit”), opened and maintained which may be drawn upon by the SPD in accordance with this Article. 10.4.2 Before Not later than one (1) Month before the start of supply, SECI shall, NTPC through a scheduled bank, bank at New Delhi open a Letter of Credit in favour of the SPD, to be made operative from a date prior to the Due Date of its first Monthly Bill Xxxx under this Agreement. The Letter of Credit shall have a term of twelve (12) Months and shall be renewed annually, for an amount equal to: i) for the first Contract Year, equal to 110% of the estimated average monthly billing; ii) for each subsequent Contract Year, equal to 110% of the average of the monthly billing of the previous Contract Year. 10.4.3 Provided that the SPD shall not draw upon such Letter of Credit prior to the Due Date of the relevant Monthly Bill Xxxx and/or Supplementary BillXxxx, and shall not make more than one drawal in a Month. 10.4.4 Provided further that if at any time, such Letter of Credit amount falls short of the amount specified in Article 10.4.2 due to any reason whatsoever, SECI NTPC shall restore such shortfall before next drawlwithin seven (7) days. 10.4.5 SECI NTPC shall cause the scheduled bank issuing the Letter of Credit to intimate the SPD, in writing regarding establishing of such irrevocable Letter of Credit. 10.4.6 SECI NTPC shall ensure that the Letter of Credit shall be renewed not later than thirty (30) days prior to its current expiry dateexpiry. 10.4.7 All costs relating to opening, maintenance of the Letter of Credit shall be borne by SECINTPC. 10.4.8 If SECI NTPC fails to pay undisputed a Monthly Bill Xxxx or Supplementary Bill Xxxx or a part thereof within and including the Due Date, then, subject to Article 10.4.6 & 10.5.210.4.6, the SPD may draw upon the Letter of Credit, and accordingly the bank shall paypay without any reference or instructions from NTPC, an amount equal to such Monthly Bill Xxxx or Supplementary Bill Xxxx or part thereof, if applicable, in accordance with Article 10.4.3 10.3.3 above, by presenting to the scheduled bank issuing the Letter of Credit, the following documents: i) a copy of the Monthly Bill Xxxx or Supplementary Bill (only for energy related bills) Xxxx which has remained unpaid to SPD and; ii) a certificate from the SPD to the effect that the bill xxxx at item (i) above, or specified part thereof, is in accordance with the Agreement and has remained unpaid beyond the Due Date;

Payment Security Mechanism Letter of Credit. (LC): 10.4.1 SECI shall provide to the SPDHPD, in respect of payment of its Monthly Bills and/or Supplementary Bills, a monthly unconditional, revolving and irrevocable letter of credit (“Letter of Credit”), opened and maintained which may be drawn upon by the SPD HPD in accordance with this Article. 10.4.2 Before the start of supply, SECI shall, through a scheduled bank, bank open a Letter of Credit in favour of the SPDHPD, to be made operative from a date prior to the Due Date of its first Monthly Bill under this Agreement. The Letter of Credit shall have a term of twelve (12) Months and shall be renewed annually, for an amount equal to: i) for the first Contract Year, equal to 110% of the estimated average monthly billing; ii) for each subsequent Contract Year, equal to 110% of the average of the monthly billing of the previous Contract Year. 10.4.3 Provided that the SPD HPD shall not draw upon such Letter of Credit prior to the Due Date of the relevant Monthly Bill and/or Supplementary Bill, and shall not make more than one drawal in a Month. 10.4.4 Provided further that if at any time, such Letter of Credit amount falls short of the amount specified in Article 10.4.2 due to any reason whatsoever, SECI shall restore such shortfall before next drawl. 10.4.5 SECI shall cause the scheduled bank issuing the Letter of Credit to intimate the SPDHPD, in writing regarding establishing of such irrevocable Letter of Credit. 10.4.6 SECI shall ensure that the Letter of Credit shall be renewed not later than its current expiry date. 10.4.7 All costs relating to opening, maintenance of the Letter of Credit shall be borne by SECI. 10.4.8 If SECI fails to pay undisputed Monthly Bill or Supplementary Bill or a part thereof within and including the Due Date, then, subject to Article 10.4.6 & 10.5.2, the SPD HPD may draw upon the Letter of Credit, and accordingly the bank shall pay, an amount equal to such Monthly Bill or Supplementary Bill or part thereof, in accordance with Article 10.4.3 above, by presenting to the scheduled bank issuing the Letter of Credit, the following documents: i) a copy of the Monthly Bill or Supplementary Bill (only for energy related bills) which has remained unpaid to SPD HPD and; ii) a certificate from the SPD HPD to the effect that the bill at item (i) above, or specified part thereof, is in accordance with the Agreement and has remained unpaid beyond the Due Date;

Payment Security Mechanism Letter of Credit. (LC): 10.4.1 SECI shall provide to the SPDHPD, in respect of payment of its Monthly Bills and/or Supplementary Bills, a monthly unconditional, revolving and irrevocable letter of credit (“Letter of Credit”), opened and maintained which may be drawn upon by the SPD HPD in accordance with this Article. 10.4.2 Before the start of supply, SECI shall, through a scheduled bank, bank open a Letter of Credit in favour of the SPDHPD, to be made operative from a date prior to the Due Date of its first Monthly Bill under this Agreement. The Letter of Credit shall have a term of twelve (12) Months and shall be renewed annually, for an amount equal to: i) for the first Contract Year, equal to 110% of the estimated average monthly billing; ii) for each subsequent Contract Year, equal to 110% of the average of the monthly billing of the previous Contract Year. 10.4.3 Provided that the SPD HPD shall not draw upon such Letter of Credit prior to the Due Date of the relevant Monthly Bill and/or Supplementary Bill, and shall not make more than one drawal in a Month. 10.4.4 Provided further that if at any time, such Letter of Credit amount falls short of the amount specified in Article 10.4.2 due to any reason whatsoever, SECI shall restore such shortfall before next drawl. 10.4.5 SECI shall cause the scheduled bank issuing the Letter of Credit to intimate the SPDHPD, in writing regarding establishing of such irrevocable Letter of Credit. 10.4.6 SECI shall ensure that the Letter of Credit shall be renewed not later than its current expiry dateexpiry. 10.4.7 All costs relating to opening, maintenance of the Letter of Credit shall be borne by SECI. 10.4.8 If SECI fails to pay undisputed Monthly Bill or Supplementary Bill or a part thereof within and including the Due Date, then, subject to Article 10.4.6 & 10.5.2, the SPD HPD may draw upon the Letter of Credit, and accordingly the bank shall pay, an amount equal to such Monthly Bill or Supplementary Bill or part thereof, in accordance with Article 10.4.3 above, by presenting to the scheduled bank issuing the Letter of Credit, the following documents: i) a copy of the Monthly Bill or Supplementary Bill (only for energy related bills) which has remained unpaid to SPD HPD and; ii) a certificate from the SPD HPD to the effect that the bill at item (i) above, or specified part thereof, is in accordance with the Agreement and has remained unpaid beyond the Due Date;

Payment Security Mechanism Letter of Credit. (LC): 10.4.1 SECI shall provide to the SPDRPD, in respect of payment of its Monthly Bills and/or Supplementary Bills, a monthly unconditional, revolving and irrevocable letter of credit (“Letter of Credit”), opened and maintained which may be drawn upon by the SPD RPD in accordance with this Article. 10.4.2 Before the start of supply, SECI shall, through a scheduled bank, open a Letter of Credit in favour of the SPDRPD, to be made operative from a date prior to the Due Date of its first Monthly Bill under this Agreement. The Letter of Credit shall have a term of twelve (12) Months and shall be renewed annually, for an amount equal to: i) for the first Contract Year, equal to 110% of the estimated average monthly billing; billing ii) for each subsequent Contract Year, equal to 110% of the average of the monthly billing of the previous Contract Year. 10.4.3 Provided that the SPD RPD shall not draw upon such Letter of Credit prior to the Due Date of the relevant Monthly Bill and/or Supplementary Bill, and shall not make more than one drawal drawl in a Month. 10.4.4 Provided further that if at any time, such Letter of Credit amount falls short of the amount specified in Article 10.4.2 due to any reason whatsoever, SECI shall restore such shortfall before next drawl. 10.4.5 SECI shall cause the scheduled bank issuing the Letter of Credit to intimate the SPDRPD, in writing regarding establishing of such irrevocable Letter of Credit. 10.4.6 SECI shall ensure that the Letter of Credit shall be renewed not later than its current expiry date. 10.4.7 All costs relating to opening, maintenance of the Letter of Credit shall be borne by SECI. 10.4.8 If SECI fails to pay undisputed Monthly Bill or Supplementary Bill or a part thereof within and including the Due Date, then, subject to Article 10.4.6 & 10.5.2, the SPD RPD may draw upon the Letter of Credit, and accordingly the bank shall pay, pay an amount equal to such Monthly Bill or Supplementary Bill or part thereof, in accordance with Article 10.4.3 above, by presenting to the scheduled bank issuing the Letter of Credit, the following documents: i) a copy of the Monthly Bill or Supplementary Bill (only for energy related bills) which has remained unpaid to SPD RPD and; ii) a certificate from the SPD RPD to the effect that the bill at item (i) above, or specified part thereof, is in accordance with the Agreement and has remained unpaid beyond the Due Date;

Payment Security Mechanism Letter of Credit. (LC): 10.4.1 SECI shall provide to the SPDRPD, in respect of payment of its Monthly Bills and/or Supplementary Bills, a monthly unconditional, revolving and irrevocable letter of credit (“Letter of Credit”), opened and maintained which may be drawn upon by the SPD RPD in accordance with this Article. 10.4.2 Before Subject to Article 10.4.1, not later than one (1) Month before the start of supply, SECI shall, through a scheduled bank, bank open a Letter of Credit in favour of the SPDRPD, to be made operative from a date prior to the Due Date of its first Monthly Bill Xxxx under this Agreement. The Letter of Credit shall have a term of twelve (12) Months and shall be renewed annually, for an amount equal to: i) for the first Contract Year, equal to 110(85% of the estimated average monthly billingX 720Hrs X Commissioned Contracted Capacity X Applicable Tariff); ii) for each subsequent Contract Year, equal to 110% of the average of the monthly billing of the previous Contract Year. 10.4.3 Provided that the SPD RPD shall not draw upon such Letter of Credit prior to the Due Date of the relevant Monthly Bill Xxxx and/or Supplementary BillXxxx, and shall not make more than one drawal in a Month. 10.4.4 Provided further that if at any time, such Letter of Credit amount falls short of the amount specified in Article 10.4.2 due to any reason whatsoever, SECI shall restore such shortfall before next drawl. 10.4.5 SECI shall cause the scheduled bank issuing the Letter of Credit to intimate the SPDRPD, in writing regarding establishing of such irrevocable Letter of Credit. 10.4.6 SECI shall ensure that the Letter of Credit shall be renewed not later than its current expiry date. 10.4.7 All costs relating to opening, maintenance of the Letter of Credit shall be borne by SECI. 10.4.8 If SECI fails to pay undisputed Monthly Bill Xxxx or Supplementary Bill Xxxx or a part thereof within and including date as on the Due Date, then, subject to Article 10.4.6 & 10.5.2, the SPD RPD may draw upon the Letter of Credit, and accordingly the bank shall paypay without any reference or instructions from SECI, an amount equal to such Monthly Bill Xxxx or Supplementary Bill Xxxx or part thereof, in accordance with Article 10.4.3 above, by presenting to the scheduled bank issuing the Letter of Credit, the following documents: i) a copy of the Monthly Bill or Supplementary Bill (only for energy related bills) which has remained unpaid to SPD and; ii) a certificate from the SPD to the effect that the bill at item (i) above, or specified part thereof, is in accordance with the Agreement and has remained unpaid beyond the Due Date;Article

Payment Security Mechanism Letter of Credit. (LC): 10.4.1 SECI Buyer shall provide to the SPDWPD, in respect of payment of its Monthly Bills and/or Supplementary Bills, a monthly unconditional, revolving and irrevocable letter of credit (“Letter of Credit”), opened and maintained which may be drawn upon by the SPD WPD in accordance with this Article. 10.4.2 Before Not later than one (1) Month before the start of supply, SECI shall, Buyer through a scheduled bank, bank at ……………. [Identified Place] open a Letter of Credit in favour of the SPDWPD, to be made operative from a date prior to the Due Date of its first Monthly Bill Xxxx under this Agreement. The Letter of Credit shall have a term of twelve (12) Months and shall be renewed annually, for an amount equal to: i) for the first Contract Year, equal to 110% of the estimated average monthly billing; ii) for each subsequent Contract Year, equal to 110% of the average of the monthly billing of the previous Contract Year. 10.4.3 Provided that the SPD WPD shall not draw upon such Letter of Credit prior to the Due Date of the relevant Monthly Bill Xxxx and/or Supplementary BillXxxx, and shall not make more than one drawal in a Month. 10.4.4 Provided further that if at any time, such Letter of Credit amount falls short of the amount specified in Article 10.4.2 due to any reason whatsoever, SECI Buyer shall restore such shortfall before next drawlwithin fifteen (15) days. 10.4.5 SECI Buyer shall cause the scheduled bank issuing the Letter of Credit to intimate the SPDWPD, in writing regarding establishing of such irrevocable Letter of Credit. 10.4.6 SECI Buyer shall ensure that the Letter of Credit shall be renewed not later than its current expiry dateexpiry. 10.4.7 All costs relating to opening, maintenance of the Letter of Credit shall be borne by SECIBuyer. 10.4.8 If SECI Buyer fails to pay undisputed a Monthly Bill Xxxx or Supplementary Bill or a part thereof within and including the Due Date, then, subject to Article 10.4.6 10.4.3 & 10.5.2, the SPD WPD may draw upon the Letter of Credit, and accordingly the bank shall paypay without any reference or instructions from Buyer, an amount equal to such Monthly Bill or Supplementary Bill Xxxx or part thereof, in accordance with Article 10.4.3 above, by presenting to the scheduled bank issuing the Letter of Credit, the following documents: i) a copy of the Monthly Bill Xxxx or Supplementary Bill (only for energy related bills) Xxxx which has remained unpaid to SPD WPD and; ii) a certificate from the SPD WPD to the effect that the bill xxxx at item (i) above, or specified part thereof, is in accordance with the Agreement and has remained unpaid beyond the Due Date;

Payment Security Mechanism Letter of Credit. (LC): 10.4.1 SECI shall provide to the SPDWPD, in respect of payment of its Monthly Bills and/or Supplementary Bills, a monthly unconditional, revolving and irrevocable letter of credit (“Letter of Credit”), opened and maintained which may be drawn upon by the SPD WPD in accordance with this Article. 10.4.2 Before the start of supply, SECI shall, through a scheduled bank, bank open a Letter of Credit in favour of the SPDWPD, to be made operative from a date prior to the Due Date of its first Monthly Bill Xxxx under this Agreement. The Letter of Credit shall have a term of twelve (12) Months and shall be renewed annually, for an amount equal to: i) for the first Contract Year, equal to 110% of the estimated average monthly billing; ii) for each subsequent Contract Year, equal to 110% of the average of the monthly billing of the previous Contract Year. 10.4.3 Provided that the SPD WPD shall not draw upon such Letter of Credit prior to 30 days beyond the Due Date of the relevant Monthly Bill Xxxx and/or Supplementary BillXxxx, and shall not make more than one drawal in a Month. 10.4.4 Provided further that if at any time, such Letter of Credit amount falls short of the amount specified in Article 10.4.2 due to any reason whatsoever, SECI shall restore such shortfall before next drawl. 10.4.5 SECI shall cause the scheduled bank issuing the Letter of Credit to intimate the SPDWPD, in writing regarding establishing of such irrevocable Letter of Credit. 10.4.6 SECI shall ensure that the Letter of Credit shall be renewed not later than its current expiry dateexpiry. 10.4.7 All costs relating to opening, maintenance of the Letter of Credit shall be borne by SECI. 10.4.8 If SECI fails to pay undisputed Monthly Bill Xxxx or Supplementary Bill Xxxx or a part thereof within and including the Due Date, then, subject to Article 10.4.6 & 10.5.2, the SPD WPD may draw upon the Letter of Credit, and accordingly the bank shall pay, an amount equal to such Monthly Bill Xxxx or Supplementary Bill Xxxx or part thereof, in accordance with Article 10.4.3 above, by presenting to the scheduled bank issuing the Letter of Credit, the following documents: i) a copy of the Monthly Bill or Supplementary Bill (only for energy related bills) which has remained unpaid to SPD and; ii) a certificate from the SPD to the effect that the bill at item (i) above, or specified part thereof, is in accordance with the Agreement and has remained unpaid beyond the Due Date;with

Payment Security Mechanism Letter of Credit. (LC): 10.4.1 SECI In case of Category (i) Purchase , namely the sale of power to Discoms through back to back Power Sale Agreement, subject to opening and maintenance of Letter of Credit by the Discom(s) (as per terms of PSA) in favour of NTPC, NTPC shall provide extend to the SPD, in respect of payment of its Monthly Bills and/or Supplementary Bills, a monthly unconditional, revolving and irrevocable letter of credit LC (“Letter of Credit”), opened and maintained which may be drawn upon by the SPD in accordance with this Article.. In case of Category (ii) Purchase, such LC shall be opened by NTPC; 10.4.2 Before Subject to Article 10.4.1, not later than one (1) Month before the start of supply, SECI shall, NTPC through a scheduled bank, open bank shall extend a Letter of Credit in favour of the SPD, to be made operative from a date prior to the Due Date of its first Monthly Bill Xxxx under this Agreement. The Letter of Credit shall have a term of twelve (12) Months and shall be renewed annually, for an amount equal to: i) for the first Contract Year, equal to 110% of the estimated average monthly billing; ii) for each subsequent Contract Year, equal to 110% of the average of the monthly billing of the previous Contract Year. 10.4.3 Provided that the The SPD shall not draw upon such Letter of Credit prior to the Due Date of the relevant Monthly Bill Xxxx and/or Supplementary BillXxxx, and shall not make more than one drawal in a Month. 10.4.4 Provided further that if If at any time, such Letter of Credit amount falls short of the amount specified in Article 10.4.2 due to any reason whatsoever, SECI NTPC shall restore such shortfall before next drawlwithin seven (7) days, however in case of Category (i) Purchase, the same shall be restored on back to back basis upon the Discoms restoring the Letter of Credit. 10.4.5 SECI NTPC shall cause the scheduled bank issuing the Letter of Credit to intimate the SPD, in writing regarding establishing of such irrevocable Letter of Credit. 10.4.6 SECI NTPC shall ensure that the Letter of Credit shall be renewed not later than ten (10) days prior to its current expiry dateexpiry, subject however that in case of Category (i) Purchase, the same shall be renewed on back to back basis upon the Discoms renewing the Letter of Credit. 10.4.7 All costs relating to opening, opening and maintenance of the Letter of Credit shall be borne by SECI.NTPC 10.4.8 If SECI NTPC fails to pay undisputed Monthly Bill Xxxx or Supplementary Bill Xxxx or a part thereof within and including the Due Date, then, subject to Article 10.4.6 & 10.5.210.4.6, the SPD may draw upon the Letter of Credit, and accordingly the bank shall paypay without any reference or instructions from NTPC, an amount equal to such Monthly Bill Xxxx or Supplementary Bill Xxxx or part thereof, if applicable, in accordance with Article 10.4.3 10.3.3 above, by presenting to the scheduled bank issuing the Letter of Credit, the following documents: i) a copy of the Monthly Bill Xxxx or Supplementary Bill (only for energy related bills) Xxxx which has remained unpaid to SPD and; ii) a certificate from the SPD to the effect that the bill xxxx at item (i) above, or specified part thereof, is in accordance with the Agreement and has remained unpaid beyond the Due Date;

Payment Security Mechanism Letter of Credit. (LC): 10.4.1 SECI shall provide to the SPD, in respect of payment of its Monthly Bills and/or Supplementary Bills, a monthly unconditional, revolving and irrevocable letter of credit (“Letter of Credit”), opened and maintained which may be drawn upon by the SPD in accordance with this Article. 10.4.2 Before the start of supply, SECI shall, through a scheduled bank, open a Letter of Credit in favour of the SPD, to be made operative from a date prior to the Due Date of its first Monthly Bill Xxxx under this Agreement. The Letter of Credit shall have a term of twelve (12) Months and shall be renewed annually, for an amount equal to: i) for the first Contract Year, equal to 110% of the estimated average monthly billing; ii) for each subsequent Contract Year, equal to 110% of the average of the monthly billing of the previous Contract Year. 10.4.3 Provided that the SPD shall not draw upon such Letter of Credit prior to the Due Date of the relevant Monthly Bill Xxxx and/or Supplementary BillXxxx, and shall not make more than one drawal drawl in a Month. 10.4.4 Provided further that if at any time, such Letter of Credit amount falls short of the amount specified in Article 10.4.2 due to any reason whatsoever, SECI shall restore such shortfall before next drawl. 10.4.5 SECI shall cause the scheduled bank issuing the Letter of Credit to intimate the SPD, in writing regarding establishing of such irrevocable Letter of Credit. 10.4.6 SECI shall ensure that the Letter of Credit shall be renewed not later than its current expiry dateexpiry. 10.4.7 All costs relating to opening, maintenance of the Letter of Credit shall be borne by SECI. 10.4.8 If SECI fails to pay undisputed Monthly Bill Xxxx or Supplementary Bill Xxxx or a part thereof within and including the Due Date, then, subject to Article 10.4.6 & 10.5.2, the SPD may draw upon the Letter of Credit, and accordingly the bank shall pay, an amount equal to such Monthly Bill Xxxx or Supplementary Bill Xxxx or part thereof, in accordance with Article 10.4.3 above, by presenting to the scheduled bank issuing the Letter of Credit, the following documents: i) a copy of the Monthly Bill Xxxx or Supplementary Bill Xxxx (only for energy related bills) which has remained unpaid to SPD and; ii) a certificate from the SPD to the effect that the bill xxxx at item (i) above, or specified part thereof, is in accordance with the Agreement and has remained unpaid beyond the Due Date;

Payment Security Mechanism Letter of Credit. (LC): 10.4.1 SECI shall provide to the SPD, in respect of payment of its Monthly Bills and/or Supplementary Bills, a monthly unconditional, revolving and irrevocable letter of credit (“Letter of Credit”), opened and maintained which may be drawn upon by the SPD in accordance with this Article. 10.4.2 Before the start of supply, SECI shall, through a scheduled bank, open a Letter of Credit in favour favor of the SPD, to be made operative from a date prior to the Due Date of its first Monthly Bill Xxxx under this Agreement. The Letter of Credit shall have a term of twelve (12) Months and shall be renewed annually, for an amount equal to: i) for the first Contract Year, equal to 110% of the estimated average monthly billing; ii) for each subsequent Contract Year, equal to 110% of the average of the monthly billing of the previous Contract Year. 10.4.3 Provided that the SPD shall not draw upon such Letter of Credit prior to the Due Date of the relevant Monthly Bill Xxxx and/or Supplementary BillXxxx, and shall not make more than one drawal in a Month. 10.4.4 Provided further that if at any time, such Letter of Credit amount falls short of the amount specified in Article 10.4.2 due to any reason whatsoever, SECI shall restore such shortfall before next drawl. 10.4.5 SECI shall cause the scheduled bank issuing the Letter of Credit to intimate the SPD, in writing regarding establishing of such irrevocable Letter of Credit. 10.4.6 SECI shall ensure that the Letter of Credit shall be renewed not later than its current expiry dateexpiry. 10.4.7 All costs relating to opening, maintenance of the Letter of Credit shall be borne by SECI. 10.4.8 If SECI fails to pay undisputed Monthly Bill Xxxx or Supplementary Bill Xxxx or a part thereof within and including the Due Date, then, subject to Article 10.4.6 & 10.5.2, the SPD may draw upon the Letter of Credit, and accordingly the bank shall pay, an amount equal to such Monthly Bill Xxxx or Supplementary Bill Xxxx or part thereof, in accordance with Article 10.4.3 above, by presenting to the scheduled bank issuing the Letter of Credit, the following documents: i) a copy of the Monthly Bill Xxxx or Supplementary Bill Xxxx (only for energy related bills) which has remained unpaid to SPD and; ii) a certificate from the SPD to the effect that the bill xxxx at item (i) above, or specified part thereof, is in accordance with the Agreement and has remained unpaid beyond the Due Date;

Payment Security Mechanism Letter of Credit. (LC): 10.4.1 SECI 10.4.1. GRIDCO shall provide to the SPDSPG, in respect of payment of its Monthly Bills and/or Supplementary Bills, a monthly Monthly unconditional, revolving and irrevocable letter of credit (“Letter of Credit”), opened and maintained which may be drawn upon by the SPD SPG in accordance with this Article. 10.4.2 Before 10.4.2. Not later than one (1) Month before the start of supply, SECI shall, GRIDCO through a scheduled bank, bank open a Letter of Credit in favour of the SPDSPG, to be made operative from a date prior to the Due Date of its first Monthly Bill under this Agreement. The Letter of Credit shall have a term of twelve (12) Months and shall be renewed annually, for an amount equal to: i) a. for the first Contract Year, equal to 110% of the estimated average monthly billing; ii) b. for each subsequent Contract Year, equal to 110% of the average of the monthly billing of the previous Contract Year. 10.4.3 10.4.3. Provided that the SPD SPG shall not draw upon such Letter of Credit prior to the Due Date of the relevant Monthly Bill and/or Supplementary Bill, Bill and shall not make more than one drawal drawl in a Month. 10.4.4 10.4.4. Provided further that if at any time, such Letter of Credit amount falls short of the amount specified in Article 10.4.2 due to any reason whatsoever, SECI GRIDCO shall restore such shortfall before next drawlwithin fifteen (15) days. 10.4.5 SECI 10.4.5. GRIDCO shall cause the scheduled bank issuing the Letter of Credit to intimate the SPDSPG, in writing regarding the establishing of such irrevocable Letter of Credit. 10.4.6 SECI 10.4.6. GRIDCO shall ensure that the Letter of Credit shall be renewed not later than its current expiry dateexpiry. 10.4.7 10.4.7. All costs relating to opening, maintenance of the Letter of Credit shall be borne by SECIGRIDCO. 10.4.8 10.4.8. If SECI GRIDCO fails to pay undisputed Monthly Bill or Supplementary Bill or a part thereof within and including the Due Date, then, subject to Article 10.4.6 & 10.5.2, the SPD SPG may draw upon the Letter of Credit, and accordingly the bank shall paypay without any reference or instructions from GRIDCO, an amount equal to such Monthly Bill or Supplementary Bill or part thereof, in accordance with Article 10.4.3 above, by presenting to the scheduled bank issuing the Letter of Credit, the following documents: i) a. a copy of the Monthly Bill or Supplementary Bill (only for energy related bills) which has remained unpaid to SPD SPG and; ii) b. a certificate from the SPD SPG to the effect that the bill at item (i) above, or specified part thereof, is in accordance with the Agreement and has remained unpaid beyond the Due Date;

Payment Security Mechanism Letter of Credit. (LC): 10.4.1 SECI shall provide to the SPDHPD, in respect of payment of its Monthly Bills and/or Supplementary Bills, a monthly unconditional, revolving and irrevocable letter of credit (“Letter of Credit”), opened and maintained which may be drawn upon by the SPD HPD in accordance with this Article. 10.4.2 Before Subject to Article 10.4.1, not later than one (1) Month before the start of supply, SECI shall, through a scheduled bank, bank open a Letter of Credit in favour of the SPDHPD, to be made operative from a date prior to the Due Date of its first Monthly Bill Xxxx under this Agreement. The Letter of Credit shall have a term of twelve (12) Months and shall be renewed annually, for an amount equal to: i) for the first Contract Year, equal to 110% of the estimated average monthly billing; ii) for each subsequent Contract Year, equal to 110% of the average of the monthly billing of the previous Contract Year. 10.4.3 Provided that the SPD HPD shall not draw upon such Letter of Credit prior to 30 days beyond the Due Date of the relevant Monthly Bill Xxxx and/or Supplementary BillXxxx, and shall not make more than one drawal in a Month. 10.4.4 Provided further that if at any time, such Letter of Credit amount falls short of the amount specified in Article 10.4.2 due to any reason whatsoever, SECI shall restore such shortfall before next drawlwithin fifteen (15) days. 10.4.5 SECI shall cause the scheduled bank issuing the Letter of Credit to intimate the SPDHPD, in writing regarding establishing of such irrevocable Letter of Credit. 10.4.6 SECI shall ensure that the Letter of Credit shall be renewed not later than its current expiry dateexpiry. 10.4.7 All costs relating to opening, maintenance of the Letter of Credit shall be borne by SECI/HPD. 10.4.8 If SECI fails to pay undisputed Monthly Bill Xxxx or Supplementary Bill Xxxx or a part thereof within and including the date as on 30 days beyond the Due Date, then, subject to Article 10.4.6 & 10.5.2, the SPD HPD may draw upon the Letter of Credit, and accordingly the bank shall paypay without any reference or instructions from SECI, an amount equal to such Monthly Bill Xxxx or Supplementary Bill Xxxx or part thereof, in accordance with Article 10.4.3 above, by presenting to the scheduled bank issuing the Letter of Credit, the following documents: i) a copy of the Monthly Bill Xxxx or Supplementary Bill (only for energy related bills) Xxxx which has remained unpaid to SPD HPD and; ii) a certificate from the SPD HPD to the effect that the bill xxxx at item (i) above, or specified part thereof, is in accordance with the Agreement and has remained unpaid beyond the Due Date;

Payment Security Mechanism Letter of Credit. (LC): 10.4.1 SECI shall provide to the SPDHPD, in respect of payment of its Monthly Bills and/or Supplementary Bills, a monthly unconditional, revolving and irrevocable letter of credit (“Letter of Credit”), opened and maintained which may be drawn upon by the SPD HPD in accordance with this Article. 10.4.2 Before the start of supply, SECI shall, through a scheduled bank, bank open a Letter of Credit in favour of the SPDHPD, to be made operative from a date prior to the Due Date of its first Monthly Bill Xxxx under this Agreement. The Letter of Credit shall have a term of twelve (12) Months and shall be renewed annually, for an amount equal to: i) for the first Contract Year, equal to 110% of the estimated average monthly billing; ii) for each subsequent Contract Year, equal to 110% of the average of the monthly billing of the previous Contract Year. 10.4.3 Provided that the SPD HPD shall not draw upon such Letter of Credit prior to the Due Date of the relevant Monthly Bill Xxxx and/or Supplementary BillXxxx, and shall not make more than one drawal in a Month. 10.4.4 Provided further that if at any time, such Letter of Credit amount falls short of the amount specified in Article 10.4.2 due to any reason whatsoever, SECI shall restore such shortfall before next drawl. 10.4.5 SECI shall cause the scheduled bank issuing the Letter of Credit to intimate the SPDHPD, in writing regarding establishing of such irrevocable Letter of Credit. 10.4.6 SECI shall ensure that the Letter of Credit shall be renewed not later than its current expiry dateexpiry. 10.4.7 All costs relating to opening, maintenance of the Letter of Credit shall be borne by SECI. 10.4.8 If SECI fails to pay undisputed Monthly Bill Xxxx or Supplementary Bill Xxxx or a part thereof within and including the Due Date, then, subject to Article 10.4.6 & 10.5.2, the SPD HPD may draw upon the Letter of Credit, and accordingly the bank shall pay, an amount equal to such Monthly Bill Xxxx or Supplementary Bill Xxxx or part thereof, in accordance with Article 10.4.3 above, by presenting to the scheduled bank issuing the Letter of Credit, the following documents: i) a copy of the Monthly Bill Xxxx or Supplementary Bill Xxxx (only for energy related bills) which has remained unpaid to SPD HPD and; ii) a certificate from the SPD HPD to the effect that the bill xxxx at item (i) above, or specified part thereof, is in accordance with the Agreement and has remained unpaid beyond the Due Date;

Payment Security Mechanism Letter of Credit. (LC): 10.4.1 SECI shall provide to the SPDHPD, in respect of payment of its Monthly Bills and/or Supplementary Bills, a monthly unconditional, revolving and irrevocable letter of credit (“Letter of Credit”), opened and maintained which may be drawn upon by the SPD HPD in accordance with this Article. 10.4.2 Before the start of supply, SECI shall, through a scheduled bank, bank open a Letter of Credit in favour of the SPDHPD, to be made operative from a date prior to the Due Date of its first Monthly Bill Xxxx under this Agreement. The Letter of Credit shall have a term of twelve (12) Months and shall be renewed annually, for an amount equal to: i) for the first Contract Year, equal to 110% of the estimated average monthly billing; ii) for each subsequent Contract Year, equal to 110% of the average of the monthly billing of the previous Contract Year. 10.4.3 Provided that the SPD HPD shall not draw upon such Letter of Credit prior to the Due Date of the relevant Monthly Bill Xxxx and/or Supplementary BillXxxx, and shall not make more than one drawal in a Month. 10.4.4 Provided further that if at any time, such Letter of Credit amount falls short of the amount specified in Article 10.4.2 due to any reason whatsoever, SECI shall restore such shortfall before next drawl. 10.4.5 SECI shall cause the scheduled bank issuing the Letter of Credit to intimate the SPDHPD, in writing regarding establishing of such irrevocable Letter of Credit. 10.4.6 SECI shall ensure that the Letter of Credit shall be renewed not later than its current expiry dateexpiry. 10.4.7 All costs relating to opening, maintenance of the Letter of Credit shall be borne by SECI. 10.4.8 If SECI fails to pay undisputed Monthly Bill Xxxx or Supplementary Bill Xxxx or a part thereof within and including the Due Date, then, subject to Article 10.4.6 & 10.5.2, the SPD HPD may draw upon the Letter of Credit, and accordingly the bank shall pay, an amount equal to such Monthly Bill Xxxx or Supplementary Bill Xxxx or part thereof, in accordance with Article 10.4.3 above, by presenting to the scheduled bank issuing the Letter of Credit, the following documents: i) a copy of the Monthly Bill Xxxx or Supplementary Bill Xxxx (only for energy related bills) which has remained unpaid to SPD HPD and; ii) a certificate from the SPD HPD to the effect that the bill xxxx at item (i) above, or specified part thereof, is in accordance with the Agreement and has remained unpaid beyond the Due Date;

Payment Security Mechanism Letter of Credit. (LC): 10.4.1 SECI shall provide to the SPDRPD, in respect of payment of its Monthly Bills and/or Supplementary Bills, a monthly unconditional, revolving and irrevocable letter of credit (“Letter of Credit”), opened and maintained which may be drawn upon by the SPD RPD in accordance with this Article. 10.4.2 Before Subject to Article 10.4.1, not later than one (1) Month before the start of supply, SECI shall, through a scheduled bank, bank open a Letter of Credit in favour of the SPDRPD, to be made operative from a date prior to the Due Date of its first Monthly Bill Xxxx under this Agreement. The Letter of Credit shall have a term of twelve (12) Months and shall be renewed annually, for an amount equal to: i) for the first Contract Year, equal to 110% of the estimated average monthly billing; iixxxx xx) for each subsequent Contract Year, equal to 110% of the average of the monthly billing of the previous Contract Year. 10.4.3 Provided that the SPD RPD shall not draw upon such Letter of Credit prior to the Due Date of the relevant Monthly Bill Xxxx and/or Supplementary BillXxxx, and shall not make more than one drawal in a Month. 10.4.4 Provided further that if at any time, such Letter of Credit amount falls short of the amount specified in Article 10.4.2 due to any reason whatsoever, SECI shall restore such shortfall before next drawl. 10.4.5 SECI shall cause the scheduled bank issuing the Letter of Credit to intimate the SPDRPD, in writing regarding establishing of such irrevocable Letter of Credit. 10.4.6 SECI shall ensure that the Letter of Credit shall be renewed not later than its current expiry date. 10.4.7 All costs relating to opening, maintenance of the Letter of Credit shall be borne by SECI. 10.4.8 If SECI fails to pay undisputed Monthly Bill Xxxx or Supplementary Bill Xxxx or a part thereof within and including date as on the Due Date, then, subject to Article 10.4.6 & 10.5.2, the SPD RPD may draw upon the Letter of Credit, and accordingly the bank shall paypay without any reference or instructions from SECI, an amount equal to such Monthly Bill Xxxx or Supplementary Bill Xxxx or part thereof, in accordance with Article 10.4.3 above, by presenting to the scheduled bank issuing the Letter of Credit, the following documents: i) a copy of the Monthly Bill or Supplementary Bill (only for energy related bills) which has remained unpaid to SPD and; ii) a certificate from the SPD to the effect that the bill at item (i) above, or specified part thereof, is in accordance with the Agreement and has remained unpaid beyond the Due Date;Article

Payment Security Mechanism Letter of Credit. (LC): 10.4.1 SECI shall provide to the SPD, in respect of payment of its Monthly Bills and/or Supplementary Bills, a monthly unconditional, revolving and irrevocable letter of credit (“Letter of Credit”), opened and maintained which may be drawn upon by the SPD in accordance with this Article. 10.4.2 Before the start of supply, SECI shall, through a scheduled bank, open a Letter of Credit in favour of the SPD, to be made operative from a date prior to the Due Date of its first Monthly Bill under this Agreement. The Letter of Credit shall have a term of twelve (12) Months and shall be renewed annually, for an amount equal to: i) for the first Contract Year, equal to 110% of the estimated average monthly billing; ii) for each subsequent Contract Year, equal to 110% of the average of the monthly billing of the previous Contract Year. 10.4.3 Provided that the SPD shall not draw upon such Letter of Credit prior to the Due Date of the relevant Monthly Bill and/or Supplementary Bill, and shall not make more than one drawal drawl in a Month. 10.4.4 Provided further that if at any time, such Letter of Credit amount falls short of the amount specified in Article 10.4.2 due to any reason whatsoever, SECI shall restore such shortfall before next drawl. 10.4.5 SECI shall cause the scheduled bank issuing the Letter of Credit to intimate the SPD, in writing regarding establishing of such irrevocable Letter of Credit. 10.4.6 SECI shall ensure that the Letter of Credit shall be renewed not later than its current expiry dateexpiry. 10.4.7 All costs relating to opening, maintenance of the Letter of Credit shall be borne by SECI. 10.4.8 If SECI fails to pay undisputed Monthly Bill or Supplementary Bill or a part thereof within and including the Due Date, then, subject to Article 10.4.6 & 10.5.2, the SPD may draw upon the Letter of Credit, and accordingly the bank shall pay, an amount equal to such Monthly Bill or Supplementary Bill or part thereof, in accordance with Article 10.4.3 above, by presenting to the scheduled bank issuing the Letter of Credit, the following documents: i) a copy of the Monthly Bill or Supplementary Bill (only for energy related bills) which has remained unpaid to SPD and; ii) a certificate from the SPD to the effect that the bill at item (i) above, or specified part thereof, is in accordance with the Agreement and has remained unpaid beyond the Due Date;

Payment Security Mechanism Letter of Credit. (LC): 10.4.1 SECI shall provide to the SPD, in respect of payment of its Monthly Bills and/or Supplementary Bills, a monthly unconditional, revolving and irrevocable letter of credit (“Letter of Credit”), opened and maintained which may be drawn upon by the SPD in accordance with this Article. 10.4.2 Before the start of supply, SECI SECI, shall, through a scheduled bank, open a Letter of Credit in favour favor of the SPD, to be made operative from a date prior to the Due Date of its first Monthly Bill Xxxx under this Agreement. The Letter of Credit shall have a term of twelve (12) Months and shall be renewed annually, for an amount equal to: i) for the first Contract Year, equal to 110% of the estimated average monthly billing; ii) for each subsequent Contract Year, equal to 110% of the average of the monthly billing of the previous Contract Year. 10.4.3 Provided that the SPD shall not draw upon such Letter of Credit prior to 30 days beyond the Due Date of the relevant Monthly Bill Xxxx and/or Supplementary BillXxxx, and shall not make more than one drawal in a Month. 10.4.4 Provided further that if at any time, such Letter of Credit amount falls short of the amount specified in Article 10.4.2 due to any reason whatsoever, SECI shall restore such shortfall before next drawl. 10.4.5 SECI shall cause the scheduled bank issuing the Letter of Credit to intimate the SPD, in writing regarding establishing of such irrevocable Letter of Credit. 10.4.6 SECI shall ensure that the Letter of Credit shall be renewed not later than its current expiry dateexpiry. 10.4.7 All costs relating to opening, maintenance of the Letter of Credit shall be borne by SECI. 10.4.8 If SECI fails to pay undisputed Monthly Bill Xxxx or Supplementary Bill Xxxx or a part thereof within and including date as on 30 days beyond the Due Date, then, subject to Article 10.4.6 & 10.5.2, the SPD may draw upon the Letter of Credit, and accordingly the bank shall pay, an amount equal to such Monthly Bill or Supplementary Bill or part thereof, in accordance with Article 10.4.3 above, by presenting to the scheduled bank issuing the Letter of Credit, the following documents: i) a copy of the Monthly Bill or Supplementary Bill (only for energy related bills) which has remained unpaid to SPD and; ii) a certificate from the SPD to the effect that the bill at item (i) above, or specified part thereof, is in accordance with the Agreement and has remained unpaid beyond the Due Date;Article

Payment Security Mechanism Letter of Credit. (LC): 10.4.1 SECI 7.4.1. Beneficiary shall provide to the SPDIntermediary, in respect of payment of its Monthly Bills and/or Supplementary Bills, a monthly Yearly unconditional, revolving revolving, and irrevocable letter of credit (“Letter of Credit”), opened and maintained which may be drawn upon by the SPD in accordance with this Articlefleet service provider. 10.4.2 Before 7.4.2. Not later than one (1) Month before the start of supplyservices, SECI shall, Beneficiary through a scheduled bank, bank open a Letter of Credit in favour favor of the SPDIntermediary, to be made operative from a date prior to the Due Date of its first Monthly Bill under this Agreement. The Letter of Credit shall have a term of twelve (12) Months and shall be renewed annually, for an amount equal toto monthly rate determined in the tender which is INR. : i) for the first Contract Year, equal to 110% of the estimated average monthly billing; ii) for each subsequent Contract Year, equal to 110% of the average of the monthly billing of the previous Contract Year. 10.4.3 7.4.3. Provided that the SPD Intermediary shall not draw upon such Letter of Credit prior to the Due Date of the relevant Monthly Bill and/or Supplementary Bill, Bill and shall not make more than one drawal drawl in a Month. 10.4.4 Provided further that if at any time, such Letter of Credit amount falls short of the amount specified in Article 10.4.2 due to any reason whatsoever, SECI shall restore such shortfall before next drawl. 10.4.5 SECI 7.4.4. Beneficiary shall cause the scheduled bank issuing the Letter of Credit to intimate the SPDfleet service provider, in writing regarding the establishing of such irrevocable Letter of Credit. 10.4.6 SECI 7.4.5. Beneficiary shall ensure that the Letter of Credit shall be renewed not later than its current expiry dateexpiry. 10.4.7 7.4.6. All costs relating to opening, maintenance of the Letter of Credit shall be borne by SECIBeneficiary. 10.4.8 7.4.7. If SECI the Beneficiary fails to pay undisputed Monthly Bill or Supplementary Bill or a part thereof there of within and including the Due Date, then, subject to Article 10.4.6 7.4.3 & 10.5.2, 7.5.2 the SPD Intermediary may draw upon the Letter of Credit, and accordingly the bank shall paypay without any reference or instructions from Beneficiary, an amount equal to such Monthly Bill or Supplementary Bill or part thereof, in accordance with Article 10.4.3 7.4.1 above, by presenting to the scheduled bank issuing the Letter of Credit, the following documents: i) a. a copy of the Monthly Bill or Supplementary Bill (only for energy related bills) which has remained unpaid to SPD and; ii) b. a self-certificate from the SPD Intermediary to the effect that the bill at item (ia) above, or specified part thereof, is in accordance with the Agreement and has remained unpaid beyond the Due Date;

Payment Security Mechanism Letter of Credit. (LC): 10.4.1 SECI shall provide to the SPD, in respect of payment of its Monthly Bills and/or Supplementary Bills, a monthly unconditional, revolving and irrevocable letter of credit (“Letter of Credit”), if opened and maintained by the Buying Utilities (i.e. BSF and/or Distribution Licensee), which may be drawn upon by the SPD in accordance with this Article. 10.4.2 Before Subject to article 10.4.1, not later than one (1) Month before the start of supply, SECI shall, through a scheduled bank, bank at New Delhi open a Letter of Credit in favour of the SPD, to be made operative from a date prior to the Due Date of its first Monthly Bill Xxxx under this Agreement. The Letter of Credit shall have a term of twelve (12) Months and shall be renewed annually, for an amount equal to: i) for the first Contract Year, equal to 110% of the estimated average monthly billing; ii) for each subsequent Contract Year, equal to 110% of the average of the monthly billing of the previous Contract Year. 10.4.3 Provided that the SPD shall not draw upon such Letter of Credit prior to the Due Date of the relevant Monthly Bill Xxxx and/or Supplementary BillXxxx, and shall not make more than one drawal in a Month. 10.4.4 Provided further that if at any time, such Letter of Credit amount falls short of the amount specified in Article 10.4.2 due to any reason whatsoever, SECI shall restore such shortfall before next drawlwithin seven (7) days. 10.4.5 SECI shall cause the scheduled bank issuing the Letter of Credit to intimate the SPD, in writing regarding establishing of such irrevocable Letter of Credit. 10.4.6 SECI shall ensure that the Letter of Credit shall be renewed not later than ten (10) days prior to its current expiry dateexpiry. 10.4.7 All costs relating to opening, opening and maintenance of the Letter of Credit shall be borne by SECI. 10.4.8 If SECI fails to pay undisputed a Monthly Bill Xxxx or Supplementary Bill Xxxx or a part thereof within and including the Due Date, then, subject to Article 10.4.6 & 10.5.210.4.6, the SPD may draw upon the Letter of Credit, and accordingly the bank shall paypay without any reference or instructions from SECI, an amount equal to such Monthly Bill Xxxx or Supplementary Bill Xxxx or part thereof, if applicable, in accordance with Article 10.4.3 10.3.3 above, by presenting to the scheduled bank issuing the Letter of Credit, the following documents: i) a copy of the Monthly Bill Xxxx or Supplementary Bill (only for energy related bills) Xxxx which has remained unpaid to SPD and; ii) a certificate from the SPD to the effect that the bill xxxx at item (i) above, or specified part thereof, is in accordance with the Agreement and has remained unpaid beyond the Due Date;

Payment Security Mechanism Letter of Credit. (LC): 10.4.1 SECI Buyer shall provide to the SPDWPD, in respect of payment of its Monthly Bills and/or Supplementary Bills, a monthly unconditional, revolving and irrevocable letter of credit (“Letter of Credit”), opened and maintained which may be drawn upon by the SPD WPD in accordance with this Article. 10.4.2 Before Not later than one (1) Month before the start of supply, SECI shall, Buyer through a scheduled bank, bank at ……………. [Identified Place] open a Letter of Credit in favour of the SPDWPD, to be made operative from a date prior to the Due Date of its first Monthly Bill Xxxx under this Agreement. The Letter of Credit shall have a term of twelve (12) Months and shall be renewed annually, for an amount equal to: i) for the first Contract Year, equal to 110% of the estimated average monthly billing; ii) for each subsequent Contract Year, equal to 110% of the average of the monthly billing of the previous Contract Year. 10.4.3 Provided that the SPD WPD shall not draw upon such Letter of Credit prior to the Due Date of the relevant Monthly Bill Xxxx and/or Supplementary BillXxxx, and shall not make more than one drawal in a Month. 10.4.4 Provided further that if at any time, such Letter of Credit amount falls short of the amount specified in Article 10.4.2 due to any reason whatsoever, SECI Buyer shall restore such shortfall before next drawlwithin seven (7) days. 10.4.5 SECI Buyer shall cause the scheduled bank issuing the Letter of Credit to intimate the SPDWPD, in writing regarding establishing of such irrevocable Letter of Credit. 10.4.6 SECI Buyer shall ensure that the Letter of Credit shall be renewed not later than thirty (30) days prior to its current expiry dateexpiry. 10.4.7 All costs relating to opening, maintenance of the Letter of Credit shall be borne by SECIBuyer. 10.4.8 If SECI Buyer fails to pay undisputed a Monthly Bill Xxxx or Supplementary Bill Xxxx or a part thereof within and including the Due Date, then, subject to Article 10.4.6 & 10.5.210.4.6, the SPD WPD may draw upon the Letter of Credit, and accordingly the bank shall paypay without any reference or instructions from Buyer, an amount equal to such Monthly Bill Xxxx or Supplementary Bill Xxxx or part thereof, if applicable, in accordance with Article 10.4.3 above, by presenting to the scheduled bank issuing the Letter of Credit, the following documents: i) a copy of the Monthly Bill or Supplementary Bill (only for energy related bills) which has remained unpaid to SPD and; ii) a certificate from the SPD to the effect that the bill at item (i) above, or specified part thereof, is in accordance with the Agreement and has remained unpaid beyond the Due Date;Article

Payment Security Mechanism Letter of Credit. (LC): 10.4.1 SECI shall provide to the SPDWPD, in respect of payment of its Monthly Bills and/or Supplementary Bills, a monthly unconditional, revolving and irrevocable letter of credit (“Letter of Credit”), opened and maintained which may be drawn upon by the SPD WPD in accordance with this Article. 10.4.2 Before the start of supply, SECI shall, through a scheduled bank, open a Letter of Credit in favour of the SPDWPD, to be made operative from a date prior to the Due Date of its first Monthly Bill under this Agreement. The Letter of Credit shall have a term of twelve (12) Months and shall be renewed annually, for an amount equal to: i) for the first Contract Year, equal to 110% of the estimated average monthly billing; ii) for each subsequent Contract Year, equal to 110% of the average of the monthly billing of the previous Contract Year. 10.4.3 Provided that the SPD WPD shall not draw upon such Letter of Credit prior to the Due Date of the relevant Monthly Bill and/or Supplementary Bill, and shall not make more than one drawal in a Month. 10.4.4 Provided further that if at any time, such Letter of Credit amount falls short of the amount specified in Article 10.4.2 due to any reason whatsoever, SECI shall restore such shortfall before next drawl. 10.4.5 SECI shall cause the scheduled bank issuing the Letter of Credit to intimate the SPDWPD, in writing regarding establishing of such irrevocable Letter of Credit. 10.4.6 SECI shall ensure that the Letter of Credit shall be renewed not later than its current expiry dateexpiry. 10.4.7 All costs relating to opening, maintenance of the Letter of Credit shall be borne by SECI. 10.4.8 If SECI fails to pay undisputed Monthly Bill or Supplementary Bill or a part thereof within and including the Due Date, then, subject to Article 10.4.6 & 10.5.2, the SPD WPD may draw upon the Letter of Credit, and accordingly the bank shall pay, an amount equal to such Monthly Bill or Supplementary Bill or part thereof, in accordance with Article 10.4.3 above, by presenting to the scheduled bank issuing the Letter of Credit, the following documents: i) a copy of the Monthly Bill or Supplementary Bill (only for energy related bills) which has remained unpaid to SPD WPD and; ii) a certificate from the SPD WPD to the effect that the bill at item (i) above, or specified part thereof, is in accordance with the Agreement and has remained unpaid beyond the Due Date;

Payment Security Mechanism Letter of Credit. (LC): 10.4.1 SECI shall provide to the SPD, in respect of payment of its Monthly Bills and/or Supplementary Bills, a monthly unconditional, revolving and irrevocable letter of credit (“Letter of Credit”), opened and maintained which may be drawn upon by the SPD in accordance with this Article. 10.4.2 Before the start of supply, SECI shall, through a scheduled bank, open a Letter of Credit in favour of the SPD, to be made operative from a date prior to the Due Date of its first Monthly Bill under this Agreement. The Letter of Credit shall have a term of twelve (12) Months and shall be renewed annually, for an amount equal to: i) for the first Contract Year, equal to 110% of the estimated average monthly billing; ii) for each subsequent Contract Year, equal to 110% of the average of the monthly billing of the previous Contract Year. 10.4.3 Provided that the SPD shall not draw upon such Letter of Credit prior to the Due Date of the relevant Monthly Bill and/or Supplementary Bill, and shall not make more than one drawal in a Month. 10.4.4 Provided further that if at any time, such Letter of Credit amount falls short of the amount specified in Article 10.4.2 due to any reason whatsoever, SECI shall restore such shortfall before next drawl. 10.4.5 SECI shall cause the scheduled bank issuing the Letter of Credit to intimate the SPD, in writing regarding establishing of such irrevocable Letter of Credit. 10.4.6 SECI shall ensure that the Letter of Credit shall be renewed not later than its current expiry dateexpiry. 10.4.7 All costs relating to opening, maintenance of the Letter of Credit shall be borne by SECI. 10.4.8 If SECI fails to pay undisputed Monthly Bill or Supplementary Bill or a part thereof within and including the Due Date, then, subject to Article 10.4.6 & 10.5.2, the SPD may draw upon the Letter of Credit, and accordingly the bank shall pay, an amount equal to such Monthly Bill or Supplementary Bill or part thereof, in accordance with Article 10.4.3 above, by presenting to the scheduled bank issuing the Letter of Credit, the following documents: i) a copy of the Monthly Bill or Supplementary Bill (only for energy related bills) which has remained unpaid to SPD and; ii) a certificate from the SPD to the effect that the bill at item (i) above, or specified part thereof, is in accordance with the Agreement and has remained unpaid beyond the Due Date;

Payment Security Mechanism Letter of Credit. (LC): 10.4.1 SECI 9.4.1. Beneficiary shall provide to the SPDSPG, in respect of payment of its Monthly Bills and/or Supplementary Bills, a monthly Yearly unconditional, revolving and irrevocable letter of credit (“Letter of Credit”), opened and maintained which may be drawn upon by the SPD SPG in accordance with this Article. 10.4.2 Before 9.4.2. Not later than one (1) Month before the start of supply, SECI shall, Beneficiary through a scheduled bank, bank open a Letter of Credit in favour of the SPDSPG, to be made operative from a date prior to the Due Date of its first Monthly Bill under this Agreement. The Letter of Credit shall have a term of twelve (12) Months and shall be renewed annually, for an amount equal to: i) a. for the first Contract Year, equal to the estimated one hundred & ten percent (110% %) of the estimated average monthly billing;. ii) b. for each subsequent Contract Year, equal to the one hundred & ten percent (110% %) of the average of the monthly billing of the previous Contract Year. 10.4.3 9.4.3. Provided that the SPD SPG shall not draw upon such Letter of Credit prior to the Due Date of the relevant Monthly Bill and/or Supplementary Bill, Bill and shall not make more than one drawal drawl in a Month. 10.4.4 9.4.4. Provided further that if at any time, such Letter of Credit amount falls short of the amount specified in Article 10.4.2 9.4 due to any reason whatsoever, SECI Beneficiary shall restore such shortfall before next drawlwithin fifteen (15) days. 10.4.5 SECI 9.4.5. Beneficiary shall cause the scheduled bank issuing the Letter of Credit to intimate the SPDSPG, in writing regarding the establishing of such irrevocable Letter of Credit. 10.4.6 SECI 9.4.6. Beneficiary shall ensure that the Letter of Credit shall be renewed not later than its current expiry dateexpiry. 10.4.7 9.4.7. All costs relating to opening, maintenance of the Letter of Credit shall be borne by SECIBeneficiary. 10.4.8 9.4.8. If SECI Beneficiary fails to pay undisputed Monthly Bill or Supplementary Bill or a part thereof there of within and including the Due Date, then, subject to Article 10.4.6 9.4.6 & 10.5.2, 9.5.2 the SPD SPG may draw upon the Letter of Credit, and accordingly the bank shall paypay without any reference or instructions from Beneficiary, an amount equal to such Monthly Bill or Supplementary Bill or part thereof, in accordance with Article 10.4.3 9.4.3 above, by presenting to the scheduled bank issuing the Letter of Credit, the following documents: i) a. a copy of the Monthly Bill or Supplementary Bill (only for energy related bills) which has remained unpaid to SPD SPG and; ii) b. a certificate from the SPD SPG to the effect that the bill at item (i) above, or specified part thereof, is in accordance with the Agreement and has remained unpaid beyond the Due Date;

Payment Security Mechanism Letter of Credit. (LC): 10.4.1 SECI shall provide to the SPDWPD, in respect of payment of its Monthly Bills and/or Supplementary Bills, a monthly unconditional, revolving and irrevocable letter of credit (“Letter of Credit”), opened and maintained which may be drawn upon by the SPD WPD in accordance with this Article. 10.4.2 Before the start of supply, SECI shall, through a scheduled bank, bank open a Letter of Credit in favour of the SPDWPD, to be made operative from a date prior to the Due Date of its first Monthly Bill under this Agreement. The Letter of Credit shall have a term of twelve (12) Months and shall be renewed annually, for an amount equal to: i) for the first Contract Year, equal to 110% of the estimated average monthly billing; ii) for each subsequent Contract Year, equal to 110% of the average of the monthly billing of the previous Contract Year. 10.4.3 Provided that the SPD WPD shall not draw upon such Letter of Credit prior to the Due Date of the relevant Monthly Bill and/or Supplementary Bill, and shall not make more than one drawal in a Month. 10.4.4 Provided further that if at any time, such Letter of Credit amount falls short of the amount specified in Article 10.4.2 due to any reason whatsoever, SECI shall restore such shortfall before next drawl. 10.4.5 SECI shall cause the scheduled bank issuing the Letter of Credit to intimate the SPDWPD, in writing regarding establishing of such irrevocable Letter of Credit. 10.4.6 SECI shall ensure that the Letter of Credit shall be renewed not later than its current expiry dateexpiry. 10.4.7 All costs relating to opening, maintenance of the Letter of Credit shall be borne by SECI. 10.4.8 If SECI fails to pay undisputed Monthly Bill or Supplementary Bill or a part thereof within and including the Due Date, then, subject to Article 10.4.6 & 10.5.2, the SPD WPD may draw upon the Letter of Credit, and accordingly the bank shall pay, an amount equal to such Monthly Bill or Supplementary Bill or part thereof, in accordance with Article 10.4.3 above, by presenting to the scheduled bank issuing the Letter of Credit, the following documents: i) a copy of the Monthly Bill or Supplementary Bill (only for energy related bills) which has remained unpaid to SPD WPD and; ii) a certificate from the SPD WPD to the effect that the bill at item (i) above, or specified part thereof, is in accordance with the Agreement and has remained unpaid beyond the Due Date;

Payment Security Mechanism Letter of Credit. (LC): 10.4.1 SECI shall provide to the SPDWPD, in respect of payment of its Monthly Bills and/or Supplementary Bills, a monthly unconditional, revolving and irrevocable letter of credit (“Letter of Credit”), opened and maintained which may be drawn upon by the SPD WPD in accordance with this Article. 10.4.2 Before the start of supply, SECI shall, through a scheduled bank, bank open a Letter of Credit in favour of the SPDWPD, to be made operative from a date prior to the Due Date of its first Monthly Bill Xxxx under this Agreement. The Letter of Credit shall have a term of twelve (12) Months and shall be renewed annually, for an amount equal to: i) for the first Contract Year, equal to 110% of the estimated average monthly billing; ii) for each subsequent Contract Year, equal to 110% of the average of the monthly billing of the previous Contract Year. 10.4.3 Provided that the SPD WPD shall not draw upon such Letter of Credit prior to 30 days beyond the Due Date of the relevant Monthly Bill Xxxx and/or Supplementary BillXxxx, and shall not make more than one drawal in a Month. 10.4.4 Provided further that if at any time, such Letter of Credit amount falls short of the amount specified in Article 10.4.2 due to any reason whatsoever, SECI shall restore such shortfall before next drawl. 10.4.5 SECI shall cause the scheduled bank issuing the Letter of Credit to intimate the SPDWPD, in writing regarding establishing of such irrevocable Letter of Credit. 10.4.6 SECI shall ensure that the Letter of Credit shall be renewed not later than its current expiry dateexpiry. 10.4.7 All costs relating to opening, maintenance of the Letter of Credit shall be borne by SECI. 10.4.8 If SECI fails to pay undisputed Monthly Bill Xxxx or Supplementary Bill Xxxx or a part thereof within and including the Due Date, then, subject to Article 10.4.6 & 10.5.2, the SPD WPD may draw upon the Letter of Credit, and accordingly the bank shall pay, an amount equal to such Monthly Bill Xxxx or Supplementary Bill Xxxx or part thereof, in accordance with Article 10.4.3 above, by presenting to the scheduled bank issuing the Letter of Credit, the following documents: i) a copy of the Monthly Bill Xxxx or Supplementary Bill Xxxx (only for energy related bills) which has remained unpaid to SPD WPD and; ii) a certificate from the SPD WPD to the effect that the bill xxxx at item (i) above, or specified part thereof, is in accordance with the Agreement and has remained unpaid beyond the Due Date;

Payment Security Mechanism Letter of Credit. (LC): 10.4.1 SECI shall provide to the SPDBESSD, in respect of payment of its Monthly Bills and/or Supplementary Bills, a monthly unconditional, revolving and irrevocable letter of credit (“Letter of Credit”), opened and maintained which may be drawn upon by the SPD BESSD in accordance with this Article. 10.4.2 Before the start of supply, SECI shall, through a scheduled bank, open a Letter of Credit in favour of the SPDBESSD, to be made operative from a date prior to the Due Date of its first Monthly Bill Xxxx under this Agreement. The Letter of Credit shall have a term of twelve (12) Months and shall be renewed annually, for an amount equal to: i) for the first Contract Year, equal to 110% of the estimated average monthly billing; ii) for each subsequent Contract Year, equal to 110% of the average of the monthly billing of the previous Contract Year. 10.4.3 Provided that the SPD BESSD shall not draw upon such Letter of Credit prior to the Due Date of the relevant Monthly Bill Xxxx and/or Supplementary BillXxxx, and shall not make more than one drawal drawl in a Month. 10.4.4 Provided further that if at any time, such Letter of Credit amount falls short of the amount specified in Article 10.4.2 due to any reason whatsoever, SECI shall restore such shortfall before next drawl. 10.4.5 SECI shall cause the scheduled bank issuing the Letter of Credit to intimate the SPDBESSD, in writing regarding establishing of such irrevocable Letter of Credit. 10.4.6 SECI shall ensure that the Letter of Credit shall be renewed not later than its current expiry dateexpiry. 10.4.7 All costs relating to opening, maintenance of the Letter of Credit shall be borne by SECI. 10.4.8 If SECI fails to pay undisputed Monthly Bill Xxxx or Supplementary Bill Xxxx or a part thereof within and including the Due Date, then, subject to Article 10.4.6 & 10.5.2, the SPD BESSD may draw upon the Letter of Credit, and accordingly the bank shall pay, an amount equal to such Monthly Bill Xxxx or Supplementary Bill Xxxx or part thereof, in accordance with Article 10.4.3 above, by presenting to the scheduled bank issuing the Letter of Credit, the following documents: i) a copy of the Monthly Bill Xxxx or Supplementary Bill Xxxx (only for energy related bills) which has remained unpaid to SPD BESSD and; ii) a certificate from the SPD BESSD to the effect that the bill xxxx at item (i) above, or specified part thereof, is in accordance with the Agreement and has remained unpaid beyond the Due Date;