Common use of PRICE OF CONTRACTED GRADE OF COAL Clause in Contracts

PRICE OF CONTRACTED GRADE OF COAL. The price to be paid by the Purchaser with respect to the Contracted Grade of Coal delivered shall be computed on the basis of the following: ▪ Wholesale Price Index (WPI) will be used for indexing of the basic price of NRS Linkage auction by applying on prevailing Modulated Price as on 31st March of the year(for the first year of indexing i.e. on 1st April 2023, WPI will be applicable on Notified Price to arrive Modulated Price). Indexation of basic price may be done to the extent of 25%(1/4th) of the movement of WPI. ▪ The change in price with WPI(Indexed Price) over previous year shall have an cap of +5%/- 2.5% at the upper end and lower end. ▪ The Modulated Price, applicable for supply, shall be the Indexed Price or and the prevailing notified price for NRS consumers, whichever is higher. In case of revision in Notified Price anytime during the year, the new Modulated Price shall be arrived by taking the Notified price or the prevailing Modulated Price, whichever is higher. The new Modulated Price will be effective from the date of such revision. The Modulated Price, so arrived, will be rounded off to the next higher integer. ▪ The Modulated Price will be calculated on the basis of movement of final WPI index of December every year vis a vis December last year and will be made effective from 1st of April of the following year, starting from 1st April 2023. ▪ The Winning Premium fetched at the time of auction (over Reserve Price ) will remain constant and shall be applicable as a percentage over the Modulated Price. ▪ In case there is change in Modulated Price during the course of auction of a subsector, either due to change in notified price or application of new Modulated Price(in April), the ongoing auction will continue with the earlier modulated price. However, during actual supply, the new Modulated Price will be applicable. ▪ CIL reserves the right to change/amend/modify the above mentioned indexation methodology/parameters and the same shall be binding on Seller and Purchaser for all commercial and operational provisions under this agreement. ▪ As Delivered Price of Coal = [aggregate of the (Modulated Price) and (the Winning Premium multiplied by Modulated Price)] multiplied by [the relevant quantity of the Contracted Grade of Coal supplied]. ▪ The As Delivered Price of Coal computed pursuant to the above shall exclude sizing charges, transportation charges up to the Delivery Point, rapid loading charges, statutory charges, levies and other charges as may be applicable from time to time, which shall be additionally payable by the Purchaser. • All royalties, taxes, duties, cess, and such statutory levies payable to the State Government, Central Government and/ or to any other statutory authority on the supply, dispatch and delivery of Contracted Grade of Coal under this Agreement shall be borne by the Purchaser. • In all cases the entire freight charges, irrespective of the mode of transportation of the Coal supplied, shall be borne by and to the account of the Purchaser. • Notwithstanding anything to the contrary contained herein, the Purchaser shall be liable to make payment to the Seller in terms of this Agreement, on the basis of Contracted Grade with respect to all quantity of Coal supplied, irrespective of when and in what condition the loaded wagons/ xxxxx/ road transport vehicles reach or do not reach the destination. For Cost Plus source: ▪ The supply price( based on Modulated Price) of cost plus source[name of source] shall be fixed by WCL using applicable indexation mechanism for the source. The price shall be notified by WCL at periodic intervals [mention the periodicity] as per the indexation mechanism. Indexation Mechanism of Cost plus mine: [To be filled up by concerned coal company] ▪ The Modulated Price, applicable for supply, shall be calculated based on Indexed Price of Cost Plus Mine applicable for NRS Linkage auction consumers. ▪ The Winning Premium fetched at the time of auction (over Reserve/Floor Price ) will remain constant and shall be applicable as a percentage over the Modulated Price, applicable at the time of supply of coal. ▪ CIL/WCL reserves the right to change/amend/modify the above mentioned indexation methodology/parameters and the same shall be binding on Seller and Purchaser for all commercial and operational provisions under this agreement. ▪ As Delivered Price of Coal = [aggregate of the Modulated Price based on cost plus source specific price notified by WCL) and (the Winning Premium(%) multiplied by Modulated Price)] multiplied by [the relevant quantity of the Contracted Grade of Coal supplied]. ▪ The As Delivered Price of Coal computed pursuant to the above shall exclude sizing charges, transportation charges up to the Delivery Point, rapid loading charges, statutory charges, levies and other charges as may be applicable from time to time, which shall be additionally payable by the Purchaser. ▪ All royalties, taxes, duties, cess, and such statutory levies payable to the State Government, Central Government and/ or to any other statutory authority on the supply, dispatch and delivery of Contracted Grade of Coal under this Agreement shall be borne by the Purchaser. ▪ In all cases the entire freight charges, irrespective of the mode of transportation of the Coal supplied, shall be borne by and to the account of the Purchaser. ▪ Notwithstanding anything to the contrary contained herein, the Purchaser shall be liable to make payment to the Seller in terms of this Agreement, on the basis of Contracted Grade with respect to all quantity of Coal supplied, irrespective of when and in what condition the loaded wagons/ xxxxx/ road transport vehicles reach or do not reach the destination.

PRICE OF CONTRACTED GRADE OF COAL. The price to be paid by the Purchaser with respect to the Contracted Grade of Coal delivered shall be computed on the basis of the followingfollowingformula: ▪ Wholesale Price Index (WPI) will be used for indexing of the basic price of NRS Linkage auction by applying on prevailing Modulated Price as on 31st March of the year(for the first year of indexing i.e. on 1st April 2023, WPI will be applicable on Notified Price to arrive Modulated Price). Indexation of basic price may be done to the extent of 25%(1/4th) of the movement of WPI. ▪ The change in price with WPI(Indexed Price) over previous year shall have an cap of +5%/- 2.5% at the upper end and lower end. ▪ The Modulated Price, applicable for supply, shall be the Indexed Price or and the prevailing notified price for NRS consumers, whichever is higher. In case of revision in Notified Price anytime during the year, the new Modulated Price shall be arrived by taking the Notified price or the prevailing Modulated Price, whichever is higher. The new Modulated Price will be effective from the date of such revision. The Modulated Price, so arrived, will be rounded off to the next higher integer. ▪ The Modulated Price will be calculated on the basis of movement of final WPI index of December every year vis a vis December last year and will be made effective from 1st of April of the following year, starting from 1st April 2023. ▪ The Winning Premium fetched at the time of auction (over Reserve Price ) will remain constant and shall be applicable as a percentage over the Modulated Price. ▪ In case there is change in Modulated Price during the course of auction of a subsector, either due to change in notified price or application of new Modulated Price(in April), the ongoing auction will continue with the earlier modulated price. However, during actual supply, the new Modulated Price will be applicable. ▪ CIL reserves the right to change/amend/modify the above mentioned indexation methodology/parameters and the same shall be binding on Seller and Purchaser for all commercial and operational provisions under this agreement. ▪ As Delivered Price of Coal = {[aggregate of the (Modulated Price) and (the Winning Premium multiplied by Modulated Price)Annual Contracted Quantity] multiplied by [the relevant quantity sum of the Contracted Grade Notified Price (or the latest Indexed Notified Price, as the case may be) and Winning Premium multiplied by (Notified Price (or the latest Indexed Notified Price, as the case may be))]}. The Winning Premium shall remain constant during the tenure of Coal supplied]the Agreement. ▪ The Notified Price or the Indexed Notified Price, as the case may be, shall be reviewed by SCCL semi-annually, and it may make such modifications as may be deemed appropriate. The price pursuant to any such modification (“Indexed Notified Price”) shall be notified by SCCL and such modification shall be regarded as an indexation. The Notified Price, or the Indexed Notified Price, as the case may be, shall be payable in the manner contemplated in Clause 11.1 over the tenure of the Agreement. In addition to the As Delivered Price of Coal computed pursuant to the above Clause11.1,the Purchaser shall exclude have to pay sizing charges, transportation charges up to the Delivery Point, rapid loading charges, facility charges for third party sampling, statutory charges, levies and other charges as may be applicable from at the time to time, which shall be additionally payable by the Purchaserof delivery. • All royalties, taxes, duties, cesscesses, and such statutory levies payable to the State Government, Central Government and/ or to any other statutory authority on the supply, dispatch and delivery of Contracted Grade of Coal under this Agreement shall be borne by the Purchaser. • In all cases the entire freight charges, irrespective of the mode of transportation of the Coal supplied, shall be borne by and to the account of the Purchaser. • Notwithstanding anything to the contrary contained herein, the Purchaser shall be liable to make payment to the Seller in terms of this Agreement, on the basis of Contracted Grade with respect to all quantity of Coal supplied, irrespective of when and in what condition the loaded wagons/ xxxxx/ road transport vehicles reach or do not reach the destination. For Cost Plus source: ▪ The supply price( based on Modulated Price) of cost plus source[name of source] shall be fixed by WCL using applicable indexation mechanism for the source. The price shall be notified by WCL at periodic intervals [mention the periodicity] as per the indexation mechanism. Indexation Mechanism of Cost plus mine: [To be filled up by concerned coal company] ▪ The Modulated Price, applicable for supply, shall be calculated based on Indexed Price of Cost Plus Mine applicable for NRS Linkage auction consumers. ▪ The Winning Premium fetched at the time of auction (over Reservexxxxx/Floor Price ) will remain constant and shall be applicable as a percentage over the Modulated Price, applicable at the time of supply of coal. ▪ CIL/WCL reserves the right to change/amend/modify the above mentioned indexation methodology/parameters and the same shall be binding on Seller and Purchaser for all commercial and operational provisions under this agreement. ▪ As Delivered Price of Coal = [aggregate of the Modulated Price based on cost plus source specific price notified by WCL) and (the Winning Premium(%) multiplied by Modulated Price)] multiplied by [the relevant quantity of the Contracted Grade of Coal supplied]. ▪ The As Delivered Price of Coal computed pursuant to the above shall exclude sizing charges, transportation charges up to the Delivery Point, rapid loading charges, statutory charges, levies and other charges as may be applicable from time to time, which shall be additionally payable by the Purchaser. ▪ All royalties, taxes, duties, cess, and such statutory levies payable to the State Government, Central Government and/ or to any other statutory authority on the supply, dispatch and delivery of Contracted Grade of Coal under this Agreement shall be borne by the Purchaser. ▪ In all cases the entire freight charges, irrespective of the mode of transportation of the Coal supplied, shall be borne by and to the account of the Purchaser. ▪ Notwithstanding anything to the contrary contained herein, the Purchaser shall be liable to make payment to the Seller in terms of this Agreement, on the basis of Contracted Grade with respect to all quantity of Coal supplied, irrespective of when and in what condition the loaded wagons/ xxxxx/ road transport vehicles reach or do not reach the destination.