SPECIAL CONDITIONS OF SUPPLY
1. Scope of Supply
Supplier (i.e. NTPC BADARPUR) would be in a position to make available allocated
quantity subject to availability, Force Majeure conditions and unplanned outage of the 2 x
210MW thermal units of NTPC BADARPUR.
The supplier reserves the right to supply the quantity not lifted by the buyers to any other
party at the sole discretion of the supplier.
Quantity: - 1000 MT/month
Period: - 12 WORKING MONTHS (in case the ash supply is stopped by NTPC Badarpur
for all the days in a particular month, the same shall not be counted for the contract period
i. e, it will be counted as non working month.)
Price: The price of Fly Ash is Rs.600/MT (exclusive of all taxes& duties).
Validity of price : till the expiry of the existing contract for sale of ash from where the rate is
arrived at.
2. Working Hours
Delivery of fly ash is intended to be given on all days excluding national holidays or as per
Engineer-in-Charge.
3. Delivery Point
i. NTPC BADARPUR would deliver fly ash from the discharge chute of
designated ash Silo of 2x210 MW stg II & III units of the plant.
ii. Fly ash shall be considered to have been delivered as it passes into the
buyer’s vehicle at the loading point.
4. Quality of fly ash
NTPC BADARPUR would deliver Dry Fly Ash from designated delivery point on “as available
basis”. Fly Ash shall be issued based on actual weighing. Weight so recorded shall be
considered final. No dispute or complaint for quality or quantity will be entertained at a later
stage.
5. Period of Supply
Duration of Supply of fly ash from NTPC BADARPUR Station will be for a period of 12
WORKING MONTHS (in case the ash supply is stopped by NTPC Badarpur for all the days
in a particular month, the same shall not be counted for the contract period i. e, it will be
counted as non working month.)
Upward Quantity Flexibility
If requested by the Buyer the Supplier may consider supply of additional quantity over &
above the allocated quantity subject to availability and at the sole discretion of the supplier.
6. Payment Terms & Bank Charges
6.0 Delivery shall be made against advance payment
6.1 Buyer shall pay the form of Demand Draft/ RTGS/ Bank Transfer
6.2 The amount of advance shall be equivalent to value of one month of off-take quantity.
Advance shall be adjusted against delivery on daily basis.
6.3 Buyer will be required to deposit the advance payment by 20
th
of every month for
deliveries of the next month.
6.4 All bank charges shall be borne by the buyer.
7. Commencement of first off take
Commencement of first off take for bidders of fly ash should not exceed beyond 15 days
from the date of issue of award letter unless specifically agreed by the Supplier.
8. Weighment for invoicing
Fly ash shall be issued based on actual weighment. Weight so recorded shall be considered
final.
9. Compensation against shortfall during regular off take
a. After commencement of first off take, buyer will be required to lift fly ash on regular
basis in accordance with agreed quantity as per contracted schedule. The buyer
shall have to lift at least 90% of annual contracted quantity / annual adjusted quantity
(in case of short supply). In case buyer fails to lift the minimum quantity (90% of
annual contracted quantity / annual adjusted quantity), compensation amount @
Rs.75/MT will be charged on the shortfall quantity (90% of annual contracted /
annual adjusted quantity – Actual quantity lifted for the year).
b. For the purpose of calculation of provisional compensation, quarterly breakup of the
total contracted quantity or the adjusted quarterly quantity (in case of short supply)
will be done and compared with actual quantity lifted by the buyer.
Final compensation will be calculated after final reconciliation and adjustments, if
any will be made. However, gross compensation amount will be limited to the CPG
amount.
Compensation due on a buyer, if not deposited separately will be deducted from the
advance available or recovered from the CPG of the buyer.
c Quarterly quantity shall be considered from the scheduled date of start till completion
of quarter and subsequently so on till expiry of contract.
10. Review and Termination of Contract
a) In case, fly ash off take falls below 80% of the contracted or adjusted quantity
(whichever is lower), during any consecutive three months on cumulative basis, NTPC
BADARPUR will have the right to review the continuance of the contract. Reasons /
justifications for lower offtake is to be explained by the awardees and shall be assessed by
NTPC BADARPUR. If the same is not acceptable, NTPC BADARPUR may at its option
terminate the same by giving one month notice in writing of their intentions to do so and in such
an event the buyer shall not be entitled to any compensation from the supplier. In the event of
termination of contract, the liquidated damages will be payable by the buyer at the aforesaid
rate mentioned in Clause 9 i.e @ Rs.75/- PMT for the short fall quantity below 90% of the
contracted / adjusted quantity and the gross amount of liquidated damages / compensation
shall be limited to the CPG amount.
Consecutive three months shall be considered from the scheduled date of start till completion
of three months and subsequently so on till expiry of contract.
b) The Supplier also reserves the right to terminate the contract in the event of breach of contract
by the buyer giving one month notice in writing of their intentions to do so and in such an event
the buyer shall not be entitled to any compensation from the supplier. In the event of
termination of contract for any reasons of breach of contract, liquidated damages as arrived
under Clause 10 a) above shall be payable by the buyer.
11. Following will constitute breach of contract:
a. Delay in first off-take by Buyer from committed date by more than three months.
b. Buyer is not complying with operational and safety requirements and neglecting
instructions of Engineer-In-Charge.
c. Buyer has failed to discharge his obligations according to the terms & conditions of
contract.
12. Shortfall in supply by Supplier
a. Fly Ash is a product of coal combustion, which again is subject to the demand of
electricity in the areas allocated by the regulatory authorities. Scheduled and
unscheduled shutdowns also affect generation of electricity and thus generation of Fly
Ash. Though all efforts will be made to maintain contracted quantity of Fly ash
available, Supplier does not guarantee availability of Fly Ash as per contracted
quantity regularly and will not be liable for any compensation or damages for non
delivery of required quantity of the fly ash.
b. In case Supplier is unable to provide average quarterly contracted quantity of fly ash
due to any reasons including forced outages of the plant, congestions etc. supplier in
respect of each buyer shall accordingly adjust the quarterly contracted quantity
downward. Under such circumstances the determination of compensation referred at
Clause 9 above shall be computed with respect to adjusted yearly / quarterly quantity.
c . Determination of quarterly quantity for termination of Contract in case of short supply
by the Supplier shall also be computed w.r.t quantity made available to the buyer for
the year / quarter as stated in Clause 10 (b)
d. Supplier may offer additional quantity of fly ash at a later date subject to availability, if
agreed by buyer. The quantity so offered and agreed by buyer at a later stage, will
form a part of the annual contracted/adjusted quantity.
13. Taxes, Duties, Levies etc.
a. The Bidder shall be liable and responsible for payment of all statutory levies in the
form of taxes, duties, octroi etc. on the Supply. Such statutory liabilities, if any, shall
be paid by bidder extra at actual.
b. Regarding exports, it is the responsibility of the buyer to fulfill their export obligations as
may be required, and any shortfall in this regard shall be to the account of the buyer
only. The buyer indemnifies the seller against all such liabilities and losses on failure
to fulfill the export obligations, if any.
14. Delivery
a. Buyer should depute his authorized representative to the power station for co-
ordination and taking delivery of fly ash.
b. Delivery will be from Silo Chutes to bulkers or closed trucks only, which are suitable
for loading from designated silos. Open trucks will not be allowed to take delivery.
c. Supplier has right to suspend the delivery of Fly Ash if advance amount is not
available with the supplier by the required date and such suspension of delivery shall
be to the account of buyer.
15. Responsibility during Transportation
The buyer will be responsible for any kind of injuries or accidents caused to their employees
or labourers or any other person and seller will not be liable in the matter. If any action is
brought against the seller for payment of damages or compensations, the buyer shall
indemnify the seller from all such action or claim from damages/compensation. If the seller is
held liable for any compensation, buyer shall forthwith compensate the seller if any, such
claim arose after expiry of the contract period.
The Buyer’s transporter(s) shall have valid license of statutory, State Govt. / Central Govt.
Authority for transportation of specified goods if required.
16. Billing
Supplier will issue Exit gate pass on daily basis and invoices on weekly/fortnightly basis and
shall deliver to the Buyer(s) an invoice showing the value of the fly ash delivered for each
day, along with applicable duty/taxes/cess etc. and shall be adjusted against the advance
payment made by the buyer(s) as per Clause 7.
17. Pollution Control & Transportation of Fly Ash:
All possible measures would be taken by buyer to avoid pollution to the satisfaction of the
plant officials. Similarly, while transporting, no spillage of Fly Ash would be permitted to avoid
air pollution. If the process adopted by the buyer is found deficient, NTPC BADARPUR
retains the right to stop the supply forthwith.
18. Safety:
The buyer would be responsible for the safety of its people for which the buyer should provide
necessary safety gear to its workers.
The buyer shall be fully responsible for maintaining all the insurance covers as per law of land at
its own cost.
19. Authorized Person:
A proper authorization in the format prescribed by EIC must be presented to Engineer-in-Charge, if
the buyer wants to depute an agent/transporter on its behalf.
20. End Use Certificate:
Buyer shall invariably submit the certificate of the end use of Fly Ash on yearly basis and also
furnish any information required by NTPC BADARPUR related to ash lifting.
21. Buyer and its transporter would be entirely responsible towards MVI/RTO for overloading of Fly
Ash. NTPC BADARPUR in any case will not be held responsible for the same.
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