Section IV Special Conditions of Contractsjvn.nic.in/writereaddata/Portal/Tender/684_1/4_Section_IV_SJVN_SCC... · special conditions of contract (scc) (rev-1) development of 70mw

SPECIAL CONDITIONS OF CONTRACT (SCC) (Rev-1)

DEVELOPMENT OF 70MW BHADLA SOLAR

PV PROJECT

SPECIAL CONDITIONS OF CONTRACT

SJVN/SOLAR/70MW/RJ/NIT/002-2015

SECTION -IV Page 1 of 26

Section – IV

Special Conditions of Contract (BID DOCUMENT NO. – SJVN/SOLAR/70 MW/RJ/NIT/002-2015)

SJVN LIMITED

(A Joint Venture between the Govt. of India & Govt. of Himachal Pradesh)

SJVN Limited 707-709, DLF South Court Mall,

District Center Saket,

New Delhi-110017



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Contents

1. Project description ....................................................................................................... 4

2. Project Site .................................................................................................................. 4

3. Appointing Authority ..................................................................................................... 4

4. Project Manager ........................................................................................................... 4

5. Scope of Services ........................................................................................................ 4

6. Trainings ...................................................................................................................... 4

7. Performance Guarantee ............................................................................................... 5

8. Project Time lines: ....................................................................................................... 6

9. Mode of Execution ....................................................................................................... 7

10. Programme of Work ................................................................................................. 7

11. Starting of Work ........................................................................................................ 8

12. Completion Schedule ............................................................................................... 8

13. Site Inspection & Basis of Bid ................................................................................... 8

14. Terms of Payment .................................................................................................... 9

14.1. Plant and Equipment (Supply Contract) ............................................................. 9

14.3. Installation Services ......................................................................................... 10

14.4. Civil Works and Allied Works etc. ..................................................................... 10

14.5. Operation and Maintenance Charges .............................................................. 11

15. Price Escalation ...................................................................................................... 12

16. Taxes and Duties:................................................................................................... 12

17. Procurement of Materials ........................................................................................ 13

18. Samples ................................................................................................................. 13

19. Notice of Operation ................................................................................................. 13

20. Rejection of Materials ............................................................................................. 13

21. Construction Power & Water Supply ....................................................................... 13

22. Labour Engagement ............................................................................................... 14

23. Handing Over –Taking Over ................................................................................... 14

24. Liquidated Damages on delay in completion........................................................... 15

25. Liquidated Damages for PR and CUF deviations .................................................... 15

25.1. Liquidated Damages for PR deviation ............................................................. 15

25.2. Liquidated damages for CUF deviation ............................................................ 15

26. Miscellaneous ......................................................................................................... 16

27. Insurance during O&M Period ................................................................................ 16

27.1 Fire & Allied Peril insurance during O&M period. ................................................. 16



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27.2 Workmen’s Compensation Insurance .................................................................. 16

27.3 Comprehensive Automobile Insurance ................................................................ 16

27.4 Comprehensive General Liability Insurance ........................................................ 17

28 Trial Run ............................................................................................................. 17

29 On Completion of O&M Period ............................................................................ 17

30 Risk allocation Between SJVN and EPC player...................................................18

Schedule 1 List of Banks……………………………………………………………………… 21

Schedule 2 Insurance to be taken by contractor……………………………………………..22



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1. Project description

The main objective of this project is Engineering, Procurement, Construction, Transportation,

handling at Site, Storage, Erection, Testing of 70MW (AC) Grid-Connected Solar

Photovoltaic Power Plant with all associated infrastructure and with associated 10 (Ten)

years comprehensive operation & maintenance after commissioning and successful

demonstration of PR Test with trial run and the same 10 years O&M Contract can be further

extended till the expiry of 25 years after every 5 years based on mutual terms as per the

discretion of the SJVN.

2. Project Site

Project site shall be Solar Park, Bhadla, Jodhpur, in the state of Rajasthan. Details of the

Project Site are mentioned under Volume II Section III Technical Specifications.

3. Appointing Authority

Appointing Authority of Adjudicator and arbitrator is The CMD, SJVN.

4. Project Manager

Project Manager will be appointed and will be intimated after award of the contract.

5. Scope of Services

Engineering, Procurement, Construction, Transportation, handling at Site, Storage, Erection,

Testing, Commissioning of 70 MW (AC) Solar Photovoltaic Grid Connected Power Plant on

turnkey basis, evacuation arrangement as per NTPC & SPIA document along with its route

survey in accordance with Technical Specifications.

Arranging to repair and/or re-order and supply all damaged or short-supply items.

Final check-up of equipment and pre – commissioning, commissioning and putting the

system into successful operation for performance demonstration while feeding power to

the grid.

Comprehensive Operation and Maintenance of the plants for 10(ten) years after the

successful demonstration of PR test and trial run as per the procedure laid down in

Technical Specifications.

6. Trainings

Training of Employer’s Personnel

On successful commissioning of the plant, the Contractor shall provide training on

Plant erection, testing, commissioning and operations & maintenance to 10 (ten)



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personnel (Engineers and Technician/Operators) as nominated by SJVN.

Training to O&M personnel

It is the absolute responsibility of vendor to ensure imparting of necessary training to

their O&M personnel to get them acquainted with the operations of various electrical

and mechanical equipment of the power plant. For this purpose, vendor shall identify

the O&M personnel well in advance and involve them during installation and

commissioning stages so that they become well versed with various functional

aspects of the power plant.

7. Performance Guarantee

7.1. The plant performance will be estimated based on plant performance guarantee

(PR) as per IEC 61724) and Capacity Utilization Factor, as per the formulas given

below:

Performance Ratio (PR) = YA / YR

YA = Measured output (kWhAC)/ Solar radiation Received on plane of Array (kWh/m2)

YR = Installed plant capacity (kWDC) / Standard radiation (1000 W/m2)

Capacity Utilization Factor (CUF) = (Number of unites generated) / (Installed DC

Capacity of plant in kW * 8760)

7.2. The minimum acceptable PR of the plant is 0.80.

7.3. As the PR of the Plant is dependent on the quality of plant equipment and optimum

design of the plant, the bidders shall demonstrate the PR of 0.80 during

commissioning for acceptance of the plant as per the procedure mentioned in

Technical Specifications.

7.4. The initial performance of the plant will be evaluated during commissioning by

measuring PR for continuous 7 days. However, contractor must demonstrate the PR

for a period of 30 days as per the PR test procedure specified in Technical

Specifications.

7.5. Not used

7.6. During O&M contract, the plant performance will be evaluated based on annual

Capacity Utilization Factor i.e. based on minimum CUF of 19% demonstrated at the

end of one year from the date of commissioning. Bidder has to maintain CUF of 19%

at the end of first year or more than that subject to the condition that if during first

year CUF falls below 19% then penalty would be imposed as per clause 25.2 of



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SCC. However bidder has to maintain the CUF between 14-19% from second year

onwards till the expiry of the 25 years . If during any contract year it is found out

that CUF is below 14%as specified in NTPC Tender then EPC contractor shall be

liable for non compliance of its obligation and in that case all the penalties of NTPC

would be fully passed on to EPC contractor.

7.7. During O&M the bidders need to maintain 99% uptime of the plant to achieve the

proposed CUF at the end of each year. Any repair, replacement, overhauling, etc.,

are to be performed during night times so that no generation loss will be there in day

time.

7.8. Bidders are expected to make their own study of solar profile and other related

parameters of the area & make sound commercial judgment about the Performance

ratio. It shall be the responsibility of the Bidder to access the corresponding solar

insolation values and related factors of solar plant along with expected grid

availability. The Bidder should access all related factors about the selected Site for

the Project before giving commitments of PR and CUF of the proposed Project.

7.9. The Contractor shall be responsible for achieving PR and CUF. For any shortfall in

achieving PR and CUF, compensation shall be recovered from the Contractor as per

SCC Clause 25.

8. Project Time lines:

The time lines for execution of the contract is 300 days from the date of award of LOI and

as per the indicative milestones mentioned below.

Timelines for Scope of work

S. No. Stage Reference from D

1 Issue of LOI/LOA Zero Date (D)

2

Submission of Detailed design, data, Plant layout plan, drawing

and project execution program (PERT) and other document

listed at places in the Bid documents

D+30

3 Commencement of Civil work at project site D+30

4 Approval of Major drawings/ data/ plan D+45

5(a) Commencement of supply at project site of major equipment

like SPV modules(including structure for the above), Power

Conditioning Units, transformers, cables and all other misc

items etc.

To be indicated by the Bidder but shall not exceed 3 months from zero Date .



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5(b)

Completion of supply at project site of major equipment like

SPV modules(including structure for the above), Power

Conditioning Units, transformers, cables and all other misc

items etc

To be indicated by the Bidder but shall not exceed 6 months from zero Date

6 Installation of all major equipment To be indicated by Bidder

7 Completion of Interconnection of all major equipment and

completion of installation

To be indicated by Bidder

8 Completion, testing and commissioning of Solar PV power

plant D+270

9 Operational Acceptance including demonstration of guaranteed

PR D+300

9. Mode of Execution

The entire work shall be executed on turnkey basis. Any minor item(s) not included in the

schedule but required for completion of the work shall have to be carried out/supplied

without any extra cost. Such works, not listed in the schedule of works but elaborately

described to perform or to facilitate particular operation(s) required for completion of the

project shall deemed to have been included in the scope of this work and the Contractor

shall supply, install the same without any extra cost.

10. Programme of Work

The Contracts/ entire scope of work to be entered into between the Employer and the

successful bidder shall be in four contracts as under:

10.1. First - Supply Contract: F.O.R. supply of all plant and equipment including Freight

and Insurance.

10.2. Second - Erection Contract: for providing all the services i.e., unloading, storage,

handling at site, installation, testing & commissioning including performance testing

in respect of all the Plant and Equipment supplied under the 'First Contract' and all

other services as specified in the Contract Documents.

10.3. Third - Works Contract: For all the associated civil works required to complete the

facility to achieve completion and operational acceptance

10.4. Fourth – O&M Contract: For comprehensive O&M for 10 years after successful

operational acceptance.



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All the four Contracts will have cross-fall breach clause i.e. a breach in one contract will

automatically be construed as breach of the other Contract which will confer us the right to

terminate the other Contract also at contractor’s risk and cost.

The Contractor/ Successful Bidder shall submit the programme of work within 30 days from

the date of receipt of Letter of Intent. The programme shall include a Bar Chart indicating

there in the starting position and completion date of each of the major items of work.

The Contractor shall supply to the Employer and the Project Manager a chart showing the

proposed organization to be established by the Contractor for carrying out work on the

Facilities. The chart shall include the identities of the key personnel together with the

curricula vitae of such key personnel to be employed within fifteen (15) days of the

Effective Date. The Contractor shall promptly inform the Employer and the Project

Manager in writing of any revision or alteration of such an organization chart.

11. Starting of Work

The Contractor shall be required to start the work within 14(fourteen) days from the date of

issue of Letter of Intent (LOI) and shall thereof, report to the SJVN accordingly.

12. Completion Schedule

12.1. The time of completion schedule under the contract i.e successful commissioning and

demonstration of performance guarantee tests with trial run 300 days from the date of

issue of LOI. Thereafter, 10 years of comprehensive O&M Contract after the

successful completion of PR demonstration with trial run. It is to note that the

responsibility of O&M of the plant after commissioning till the operational acceptance

is achieved, is the responsibility of the bidder.

12.2. The Contractor shall inform the Employer through advance information at least 30

days in advance in written notice, and a final notice 7days in advance to enable the

Employer inform the commissioning committee of the date on which it intends to

synchronize the Power Project to the Grid System.

12.3. The Contractor shall prepare the completion schedule accordingly and inconformity

with provisions of technical specifications and carry out the work as per this schedule

subject to “Force Majeure” conditions. The Contractor shall mobilize resources

keeping in view, the above scheduled completion period.

13. Site Inspection & Basis of Bid



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The volume and quantity of work indicated in schedule of works may vary. The Contractor

should visit the Site before quoting rate for civil works. After taking in to consideration all

aspects of the site, condition of soil etc., the Contractor should quote for civil works. No extra

claim will be entertained at post bidding stage. The foundation design of module structure

and the building shall have to be approved by the Employer. In case of any defects arising in

the building during guarantee period, the Contractor shall have to rectify the same at its own

cost.

14. Terms of Payment

The Employer shall pay the Contractor in the following manner and at the following times, on

the basis of the Price Break down given in the Section on Price Schedules. Application for

payment in respect of part deliveries may be made by the Contractor as work proceeds.

14.1. Plant and Equipment (Supply Contract)

In respect of plant and equipment supplied the following payments shall be made:

For Ex-works Price component of plant and Equipment

14.1.1. Ten Percent (10%) of the total Ex-works Price component shall be made after

following:

(i) Acceptance of Letter of Award and Signing of the Contract Agreement.

(ii) Completion of the detailed engineering data and drawings, with completion

schedule and quality control plan for facilities as per the technical

specifications.

(iii) Submission of unconditional Bank Guarantees of 10 % of contract value

towards Contract Performance Securities in respect of all Contracts, initially

valid up to ninety (90) days after the end of scheduled Defect Liability Period of

the last equipment covered under the package as per the clause 12.3.1 of

GCC. The Format of Bank Guarantee is enclosed in DATA FORM 5A – BID

Forms and formats .

14.1.2. Sixty percentage (65%) of Total Ex-works price component on pro-rata basis on

receipt of facilities/ plant & equipment at site and physical verification and

certification by the Project Manager for plant and equipment received and stored at

site.

14.1.3. Fifteen percentage (10%) of total Ex-works price component on pro-rata basis on

completion of erection of facilities on certification by the Project Manager for the

quantum of work completed and by the certification of Project Manager’s field



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quality assurance & surveillance representative for the successful completion of

quality check points involved in the quantum of work billed.

14.1.4. Five percentage (5%) of total Ex-works price component on successful

commissioning

14.1.5. Five percentage (5%) of total Ex-works price component on successful completion

of Power plant performance guarantee test (PR test and trial run) as specified in

Data Form 17 of Forms and Formats Section VI.

14.1.6. Five percentage (5%) of total Ex-works price component on successful

demonstration of PR and CUF of Power plant after one year.

14.2. Transportation and Insurance

Hundred Percent (100%) of Transportation charges (including inland transit insurance

charges) for the plant and equipment covered in SCC sub clause 14.1 shall be paid to the

Contractor pro-rata to the value of the equipment received at site and on production of

invoices by the Contractor. The aggregate of all such pro-rata payments shall, however, not

exceed the total amount identified in the Contract for Transportation. However, where

equipment wise transportation charges (including inland transit insurance charges) have

been identified in the Contract, the payment for the same shall be made after receipt of the

equipment at site, based on the charges so identified in the Contract.

14.3. Installation Services

The Installation Services component of the Equipment Price shall be paid as under: 14.3.1. Eighty percentage (80%) of the Installation Services component of contract price

shall be paid on pro-rata basis on the completion of installation of the facilities.

14.3.2. Ten percentage (10%) of total Installation price of the Contract shall be paid on

successful completion of commissioning, as specified technical specification.

14.3.3. Ten percentage (10%) of total Installation price of the Contract shall be paid on

successful completion of Power plant performance guarantee test with trial run as

specified in Data Form 17 of Forms and Format Section VI.

14.4. Civil Works and Allied Works etc.

14.4.1. Eighty percentage (80%) of the total Civil Works Price Component of Contract Price

shall be paid progressively on certification by the Project Manager for the quantum

of work completed/Milestones achieved and by Project Manager's field quality

surveillance representative for the successful completion of quality check points

involved in the quantum of work / Milestones billed.



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The release of first progressive payment for Civil Works shall also be subject to

submission of documentary evidence by the Contractor towards having taken the

insurance policy (ies) in terms of relevant provisions as mentioned in clause 39 of

GCC “Insurance to be taken by the Contractor” and acceptance of same by the

Project Manager’’.

14.4.2. Ten percentage (10%) of total civil work price component of the Contract shall be

paid on successful completion of commissioning and trial run, as specified technical

specification.

14.4.3. Ten percentage (10%) of total civil work price component of the Contract shall be

paid on successful completion Power plant performance guarantee test with trial run

as specified in Data Form 17 of Forms and Format Section VI.

14.5. Operation and Maintenance Charges

After achieving the Operational acceptance, operation and maintenance charges

including all consumable(s), spares and equipment included in operation and

maintenance charges shall be paid on pro-rata basis every three month i.e.,

quarterly on the certification of completion of work by Project Manager.

Note: 1. Payments pursuant to SCC sub clause 14.1.4, 14.1.5, 14.3 and 14.4 shall be made after

certification by the Project Manager for the quantum of work completed and by the

certification of Project Manager's field quality assurance & surveillance representative

for the successful completion of quality check points involved in the quantum of

work/milestones billed.

2. The Contractor shall prepare and submit to the Employer for approval, a breakup of

the Contract Price. Such breakup of the Contract Price shall indicate the component

of Entry Tax included in the Contract Price Separately. The Contract Price break-up

shall be interlinked with the agreed detailed completion schedule of the Contract

setting forth starting and completion dates for the various key phases of the Facilities.

Any payment under the Contract, subsequent to first ten percentage (10%) payment

pursuant to SCC sub clause 14.1.1, shall be made only after the Contractor's price

break-up is approved by the Employer time to time. The aggregate sum of the

Contractor's price break-up shall be equal to the total Contract price.

3. The payment amount shall be payable after fulfilment of all the conditions laid down in

the Terms of Payment and receipt of the Contractor's invoice along with all necessary

supporting documents for such payment. Employer will make progressive payments

as and when the payment is due as per the Terms of Payment set forth in SCC



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clause 14.0 within twenty one (21) days from the date of receipt of Contractor's

bill/invoice/debit note as per billing breakup (BBU) approved by the Employer,

provided that the documents submitted are complete in all respects.

15. Price Escalation

No Price escalation is allowed. The rate(s) quoted against the work shall remain firm during

the entire Contract period. Any change in Forex rate shall not be considered for price

variation.

16. Taxes and Duties:

16.1. The price quoted shall be inclusive of all applicable taxes, duties, levies as applicable,

which shall be paid on production of proper documentary evidences/tax invoices for

the same.

16.2. Bidder have to quote the rates of taxes & duties based on the concessional exemption

in the same that can be availed by the bidder. Statutory variations in the tax shall be

permitted as under:

(A) Statutory variations during original contractual completion period:

i. If any increase takes place in taxes and duties due to statutory variation, then

SJVN shall admit the same on production of documentary evidences.

ii. If any decrease takes place in taxes and duties due to statutory variation, the same

shall be passed on to SJVN or SJVN shall admit the decreased rate of taxes

and duties while making the payment.

(B) Statutory variations beyond original contractual completion period:

i. If reasons for extension of contractual completion period is attributable solely to

SJVN, the provisions of (A) above shall apply.

ii. If reasons for extension of contractual completion period is attributable to

Bidder, then:

(a) Increase in taxes and duties due to statutory variation, shall not be admissible.

However, taxes and duties at the rate prevailing original contract completion period

will be payable.

(b) If any decrease takes place in taxes and duties due to statutory variation, the same

shall be passed on to SJVN or SJVN shall admit the decreased rate of taxes and

duties while making the payment.

(C) Variation on account of foreign exchange rate will not be payable. Also, no statutory



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variation shall be payable on the input items i.e., raw materials etc.

(D) No statutory variation shall be admitted if the excise duty becomes payable because

of exceeding the prescribed limits for turnover of the Bidder.

17. Procurement of Materials

The Contractor shall procure all necessary material required for the project work and

arrange to store them properly. Test certificate in accordance with the specifications are to

be furnished by the Contractor to the Employer for approval in respect of the materials

procured by the Contractor. Contractor shall furnish all the documents related including

GR/LR/RR along with the supplier invoices as a proof of the purchase along with the bill /

invoice raised by the contractor.

18. Samples

Apart from adhering to special provision made in the specification regarding submission of

samples, the Contractor shall within 15 days of its receipt of Letter of Intent, provide to the

Employer samples along with detailed literature of all materials it proposes to use

irrespective of the fact that specific make/material might have been stipulated. If certain

items proposed to be used are of such nature that samples cannot be presented or

prepared at Site, detailed literature / test certificate of the same shall be provided instead.

The Employer shall check the samples and give his comments and/or approval to the same.

19. Notice of Operation

The Contractor shall not carry out important operation without the consent in writing of the

Employer or his representative. For carrying out such important activity, the Contractor shall

intimate to the Employer at least 72 hours before starting of the job.

20. Rejection of Materials

The Project Manager’s decision in regard to the quality of the material and workmanship will

be final. The Contractors at its own cost and risk without any compensation shall

immediately remove any material rejected by the Project Manager from the Site of work.

21. Construction Power & Water Supply

21.1. The Contractor has to arrange Construction Power and water at the site for

construction purpose at its own cost.

21.2. Cost of electricity required during construction shall be payable by the bidder. For

construction, temporary connection for construction power from DISCOM shall be



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arranged by the bidder as per applicable tariff.

21.3. The Employer shall not provide facility for storage of material, and accommodation for

labours at site. The Contractor shall make his own arrangement for the above.

22. Labour Engagement

The Contractor shall be responsible to provide all wages and allied benefits to its labours

engaged for execution of the project work and also to carry out Operation & Maintenance

service. The Contractor shall remain liable to the authorities concerned for compliance of

the respective existing rules and regulations of the government for this purpose and shall

remain liable for any contravention thereof.

The contractor is encouraged to use local manpower as per the local statutory (labour)

requirement, if any.

23. Handing Over –Taking Over

23.1. The work shall be taken over by the Employer upon successful completion of all the

facilities pertaining to the scope of work. The contractor shall approach the employer

in writing for final take over the plant and facilities completed in all respect pertaining

to scope of the work as specified in technical specifications the Contractor shall

submit the following:

23.1.1 All as- Built Drawings and documents as per the contract coordination procedure set

out for the successful completion of the project.

23.1.2 Detailed Engineering Document with detailed specification, schematic drawing, circuit

drawing, cable routing plans and test results, manuals for all deliverable items,

Operation, Maintenance & Safety Instruction Manual and other information about the

project.

23.1.3 Bill of material.

23.1.4 Inventory of recommended and mandatory spares required for proper O&M of the

plant at projects Site as per contract.

On receipt of such request along with documents pursuant to SCC sub clause 23.1

the employer shall issue to the contractor a taking over certificate as a proof of the

final acceptance of the system. Such certificate shall not relieve the Contractor of any

of his obligations which otherwise survive, by the terms and conditions of the Contract

after issuance of such certificate.



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23.2. Partial or part completion of facilities shall not be accepted or final acceptance

certificate shall be issued only after completion of facilities in all respect pertaining to

scope of the work.

23.3. Immediately after taking over of complete facilities (s), the same will be handed over

to the Contractor for Operation & Maintenance for a period of as mentioned in the

SCC Clause 5.

24. Liquidated Damages on delay in completion

Liquidity damages for the delay in construction of the plant shall be as per the GCC Clause

34

25. Liquidated Damages for PR and CUF deviations

25.1. Liquidated Damages for PR deviation

During the Operational Acceptance any shortfall in the Performance Ration (PR) as

determined through the PR Test Procedure specified in DATA FORM17: Details

Required for Power Plant Performance Guarantee Test will attract liquidity

damages. For every 0.01 shortfall in PR below 0.80 by the contractor a penalty of 1%

of the bid price shall be levied. In case, the Plant PR shortfall is by more than 0.05,

then LD shall be levied at the rate 10% of the total bid price.

25.2. Liquidated damages for CUF deviation

Bidder has to maintain CUF of at least 19% at the end of first year or more than that

subjected to the condition, if there occurs any shortfall in CUF below 19% at the end

of first contract year then EPC contractor shall be liable to pay penalty on account of

non performance calculated as difference in units derived from committed and

achieved CUF x Rs. [PPA signed between SJVN and NTPC] for defect period.

However bidder has to maintain the CUF between 14-19% from second year onwards

till the expiry of the 25 years . If during any contract year, it is found out that CUF is

below 14% as specified in NTPC Tender then EPC contractor shall be liable for non

compliance of its obligation and in that case all, the penalties of NTPC would be fully

pass on to EPC Contractor.

In case the Project fails to generate any power continuously for 1 month any time

during the O&M period, it shall be considered as “an event of default”. In the case of

default the entire O&M Bank Guarantee will be encashed.



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26. Miscellaneous

26.1 Based on reviewing the Project, if the progress is below expectation as demanded by

the Employer then the employer reserves right to reduce the Scope of the Contractor

in part or full and assign the same to other contractor(s) and get the work done at the

risk and cost of the existing Contractor.

26.2 The Contractor shall continue to provide all the monitoring services, licenses,

software, access to all information (real-time or stored ) that were been used during

the O&M to the Employer.

26.3 The Contractor shall construct a temporary facility/ arrangement at site or otherwise

for the stay of Employer’s employee/ consultant at the time of construction of the Solar

Power Plant.

26.4 Provision for installing any additional monitoring equipment to facilitate on- line

transfer of data shall be provided by the Contractor.

27. Insurance during O&M Period

The Contractor shall at its expense take out and maintain in effect the insurances set

forth below during O&M Period. The insurances provided shall be seamless with the

insurance provided during the construction period by the bidder:

27.1 Fire & Allied Peril insurance during O&M period.

Insurance for theft or pilferage and any act of GOD during the O&M period and it shall

cover defect or fault in design of plant, material and work.

27.2 Workmen’s Compensation Insurance

This insurance shall protect the Contractor against all claims applicable under the

Workmen’s Compensation Act, 1948

Workmen's Compensation Provisions As per Statutory

Employee's Liability Provisions As per Statutory

27.3 Comprehensive Automobile Insurance

This insurance shall be in such a form to protect the Contractor against all claims for

injuries, disability, disease and death to members of public including the Employer’s

men and damage to the property of other arising from the use of motor vehicles



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during on or off the Site operations, irrespective of the Ownership of such vehicles.

The liability covered shall be as herein indicated:

Fatal Injury person Rs.100,000 each

Occurrence Rs.200,000 each

Property Damage occurrence Rs.100,000 each

27.4 Comprehensive General Liability Insurance

The insurance shall protect the Contractor against all claims arising from injuries,

disabilities, disease or death of members of public or damage to property of others, due

to any act or omission on the part of the Contractor, his agents, his employees, his

representatives and Sub Contractors or from riots, strikes and civil commotion.

The hazards to be covered will pertain to all the Works and areas where the Contractor,

his Sub-Contractors, his agents and his employees have to perform work pursuant to the

Contract.

28 Trial Run

“Trial Run” means the continuous running of solar power plant for cumulative 24 hours

within 7 continuous days during the PR test, without intervention due to any fault or

breakdown on the account of plant equipment considered during the last week of the

performance demonstration test (PR Test).

29 On Completion of O&M Period

29.1 After O&M period, SJVN may at its own discretion decide to extend the existing O&M

contract for further period of 5 years till the expiry of 25 years on mutually acceptable

terms & conditions or undertake the O&M of the SPV Plant on its own

29.2 After the expiry of term & extension of term as the case may be, contractor shall hand

over the plant to the employer in excellent and healthy condition without any pending

defect. The contractor shall demonstrate performance test of facilities to ensure

guaranteed generation pursuant to technical specifications. While handing over the

plant the contractor shall hand over all technical documents, literature, instruction

manuals, lists of spare part & tools & tackles. Contractor shall also hand over all the

relevant record/documents, spares and consumable required for two year’s Operation

& Maintenance.

29.3 On completion of O&M term the Contractor shall apply to the Engineer in-charge for

the issue of Handing Over Certificate and the same shall be issued within 1 months of



PV PROJECT




the Handing Over in all respects, after verifying from the documents & tests and

satisfying himself that the Operation & Maintenance has been completed in

accordance with details set out in the control documents & Prudent Utility Practices.

29.4 All the aforesaid safeguards / rights provided for the SJVN shall not prejudice its other

rights / remedies elsewhere provided herein and / or under law.


DEVELOPMENT OF 70MW BHADLA SOLAR PV PROJECT



SECTION-IV Page 19 of 26

30.0 RISK Alllocation between SJVN And EPC Player

S.No Category Risk NTPC Tender Decision of SJVN

Mitigation Methodology

1. Project development

Delayed Land Acquisition for the plant leads to default penalties imposed on non fulfilment of condition subsequent in PPA

In the scope of the developer. Developer would need a separate agreement with SPIA and provide documentary evidence within 210 days from the date of signing of PPA

Pass through to EPC

Land acquisition and facilitation of the

signing of separate land agreement shall be

done by SJVN with SPIA. The bidder shall

coordinate in taking various necessary

approvals from statutory/Govt

Bodies/RSDCL(SPIA) relating to Land acquisition

.

In case of delays in land acquisition after PPA on account of EPC , the penalties of NTPC would pass – through in full as per the NTPC RFS and PPA document.

2 Project development

Delayed

timelines for

commissioning

of the plant

Developer needs to

achieve CoD

within 13 months

from the signing of

PPA

Pass through to EPC

EPC player would be responsible for

implementing the project within 10

months from the date of EPC contract.

Delay in timelines of commissioning is in

the domain of EPC player. NTPC tender

penalties would be fully pass through to

the EPC Contractor as per the NTPC RFS

document.

3 Project development

Delay/Failure

in Performance

Testing of

equipments pre

commissioning

Certification would

be required from

CEA

/agency

Authorised by

central

government for

Quality assessment

pre commissioning

Full pass

through to

EPC


getting a performance test approved from

CEAor any other agency identified by

central Govt. for solar plant.

Any delays in getting clearance by EPC

player would be linked to timeline delays

for the project and adequate penalties as

per the NTPC tender would be applicable.

4.

Project development

Delay in

obtaining third

party

verification of

the project

leading to time

delays in

achieving CoD

The project needs

to be completed

within 13 months

from the date of

signing of PPA

Pass through

to

EPC player


implementation of project within 10

months from the date of award of EPC.

In case of delay in obtaining third party

clearances, time delay penalties would be

imposed on EPC player.

5. Project Delay in Developer to Pass through EPC player would be responsible for






development achievement of

consents/

clearances

leading to

delay in

project

execution

complete the

consents/clearances

with 210 days

from date of PPA

signing

to

EPC player

implementation of project within 10

months from the date of award of EPC.

In case of delay in obtaining third party

clearances, time delay penalties would be

imposed on EPC player.

6 Project operations

Deteriorating

Equipment

performance can

lead to penalties

on SJVN

NTPC assures to

take up guaranteed

units of power @

19% CUF with

scope for 5%

variations on

negative side. Any

negative variation

below that would

be liable to

penalties incurred

on NTPC by

Utilities as per

RPO. This would

not be below 25%

of the applicable

tariff

Pass through

to

EPC player

Any fall in generation from

guaranteed units due to

deteriorating equipments would be

recovered from O&M contractor/

EPC player as per the clause no

4.4.1of NTPC PPA document

7. Project operations

Third Party

Verification

penalties due to

fall in

generation

from the plant

In case the plant

fails to achieve

14% during the

year or is

Developer fails to

achieve 16% CUF

for 3 consecutive

months in a year,

penalties would be

equivalent to

penalties on NTPC

by State utilities.

Pass through

to

EPC player

Any fall in generation from

guaranteed units due to

deteriorating equipments would be

recovered from O&M contractor/

EPC player as given in clause 4.8.3

of NTPC PPA document.

8. Project operations

Reduction in

generation

leading to loss

of PBD by

SJVN

NTPC would take

INR 10 lakhs/MW

which shall be raised

in two years by

deducting payments

to SPDs in 24 equal

installments.

Pass through

to

EPC player

EPC contractor has to provide a module

warranty of 7 crores which shall be valid up

to 90 days after the end of warranty period of

Solar PV Modules initially valid for 10 years

and will be extended by every five years

until the ninety days after the end of the

warranty period for the solar PV Modules.

OR Bidder can submit Insurance from Third






Party for the entire Solar PV modules

supplied for a period of 25 years for any

deterioration in performance below the

Guaranteed Generation committed by the

bidder for the entire life of the project






Schedule-1: List of Banks

SCHEDULED COMMERCIAL BANKS OTHER PUBLIC SECTOR BANKS

SBI AND ASSOCIATES 1. IDBI Bank Ltd.

1. State Bank of India FOREIGN BANKS

2. State Bank of Bikaner & Jaipur 1. Bank of America NA

3. State Bank of Hyderabad 2. Bank of Tokyo Mitsubishi UFJ Ltd.

4. State Bank of Indore 3. BNP Paribas

5. State Bank of Mysore 4. Calyon Bank

6. State Bank of Patiala 5. Citi Bank N.A.

7. State Bank of Travancore 6. Deutsche Bank A.G

NATIONALISED BANKS 7. The HongKong and Shanghai Banking Corpn. Ltd.

1. Allahabad Bank 8. Standard Chartered Bank

2. Andhra Bank 9. Societe Generale

3. Bank of India 10. Barclays Bank

4. Bank of Maharashtra 11. ABN Amro Bank N.V.

5. Canara Bank 12. Bank of Nova Scotia

6. Central Bank of India 13. Development Bank of Singapore (DBS, Bank Ltd.)

7. Corporation Bank SCHEDULED PRIVATE BANKS

8. Dena Bank 1. Federal Bank Ltd.

9. Indian Bank 2. ING Vysya Bank Ltd.

10. Indian Overseas Bank 3. Axis Bank Ltd.

11. Oriental Bank of Commerce 4. ICICI Bank Ltd.

12. Punjab National Bank 5. HDFC Bank Ltd.

13. Punjab & Sind Bank 6. Yes Bank Ltd.

14. Syndicate Bank

15. Union Bank of India

16. United Bank of India

17. UCO Bank

18. Vijaya Bank

19. Bank of Baroda






Schedule 2- Insurance to be taken by the Contractor:

In accordance with the provisions of GCC Clause 39, the Contractor shall at his expense

take out and maintain in effect, or cause to be taken out and maintained in effect, during

the performance of the Contract, the insurances set forth below in the sums and with the

deductibles and other conditions specified herein. The identity of the insurers and the form

of the policies shall be subject to the approval of the Employer, such approval not to be

unreasonably withheld.

Insurance Amount insured Deductible Conditions

A. Transit

Risk

(i) 110% of F.O.R value in

case of plant & equip-

ment including all spare

parts.

(ii) Applicable taxes and

duties

(iii) Escalation 5% on (i) & (ii)

Not

applicable

i. Employer to be

named as co-insured

ii. Open policy with

inclusion of fragility

cover for total loss.

iii. All risk institute cargo

clause A

iv. War, SRCC,

terrorism. Institute

v. replacement clause,

special replacement

clause (Air duty) and

deferred unpacking

clause

vi. Insurer’s right of

subrogation against

all parties (excluding

carrier) waived.

vii. Warehouse to

warehouse basis.

B. Installation

all risk

(i) 110% of Ex-works value

of plant & equipment

(ii) Applicable taxes and

i. Installation risk,

RSMTD including

Earth quake cover






duties

(iii) Freight and Insurance

(iv) 10% escalation on (i), (ii)

& (iii)

(v) Cost of erection works

(vi) 110% of Civil Works

(including structural steel

Works), Allied Works etc.

Minimum as

per insurance

policy

wind gusting

ii. Air freight cover

iii. Extra charge cover

iv. Maintenance cover

v. Contractor's plant &

machinery

vi. Rs. 100 lakhs.

Cross liability

vii. Additional custom

duty for imported

machine (if any) for

adequate value.

viii. Employer &

Contractor's Sub-

Contractor to be

named as co-

insured.

C. Third Party

Liability

(Extension of

MCE/EAR

Policy)

For any one occurrence Rs. 50

Lakhs

Nil Contractors, sub-

contractors to be named

as co-insured.

D.

Automobile

liability

(i) M.V. policy for motor

vehicles, private cars &

commercial vehicles

(ii) CPM policy for heavy

construction Anything above

heavy construction Rs.100

lakhs covered

(I )As per local M.V. Act.

(ii)under erection all risk

policy

E. Workmen's Compensation_______________________ As per statute

F. Employer's liability_______________As per Cumulative to






statute______________ workmen's

Compensation to cover

liability not covered

thereby.

G. Group personal insurance, for contractor's & sub- contractor's employees.

Note:

1. The Employer shall be named as co-insured under all insurance policies taken out by

the Contractor pursuant to GCC Clause 39 except for Third Party Liability, Workman's

Compensation and Employer's Liability Insurances and the Contractor's Sub-

Contractors shall be named as co-insured under all insurances policies taken out by

the Contractor pursuant to GCC Clause 39, except for the Cargo insurance during

transport, Workman's Compensation and Employer's Liability Insurances. All insurers’

rights of subrogation against such co-insured for losses or claims arising out of the

performance of the Contract shall be waived under such policies.

2. Notwithstanding the insurance requirements mentioned above, it would be the

Contractor's responsibility to take adequate insurance cover as may be pertinent to

protect his interest and interest of the Employer. If at any point of time during execution

of the Contract, the insurance policies are found to be inadequate, the Contractor shall

take fresh insurance policies meeting aforesaid requirements. The Employer reserves

the right to make suitable recovery from the Contractor, if any.

3. Any loss or damage to the plant and equipment during handling, transportation,

storage, installation, Planning, Design & Engineering, commissioning, civil works

(including structural steel works), allied works etc. and all activities to be performed till

the "Completion of Facilities" shall be to the account of the contractor. The contractor

shall be responsible for preference of all claims and make good the damages or loss by

way of repairs and/or replacement of plant and equipment damaged or lost.

Notwithstanding the extent of insurances cover and the amount of claim available from

the underwriter, the contractor shall be liable to make good the full

replacement/rectification of all the equipment/materials and to ensure their availability

as per project requirement without additional financial liability to the Employer.

4. The insurance policy to be taken should be on replacement value basis and/or

incorporating appropriate insurance clause. The Contractor shall follow local acts and

laws as may be prevalent for insurance.






5. Upon grant of extension of time for completion by Employer, the Contractor shall

promptly furnish documentary evidence to Project Manager towards extension of

insurance policies for the period of time extension.