MBH POWER PRIVATE LIMITED

Annexure-A

MBH
P O W E R

Document No.: MBH-DOC-STC-03-IND Other Terms & Conditions The terms of the Purchase Order are our standard Purchase Order Terms and form integral part of the purchase order. Where there is deviation between the below terms and main Purchase Order, later shall be applicable. Condition of this purchase order supersedes the conditions mentioned in your quotation/offer 1 Bank Charges: Your bank charges to your account and our bank charges to our account. 2. Freight Where Price basis is CFR, Freight charges will be paid by you to our nominated shipping line/Agency providing 21/30 days demurrage free days at the port of unloading. Where Price basis is FOB, Shipping Line and Freight Forwarder will be arranged and paid by us. For local deliveries, prices are indicated project site basis delivery unless stated otherwise. 3. Insurance: CFR/FOB shipment: Shipment upto Port of Shipment is to your account. Marine Insurance thereafter will be provided by us. Local orders: Insurance is to your account. 4. Taxes and Duties incurred at the place of dispatch for CFR/FOB shipment: Nil and necessary form H and CT-1/ARE-1 will be provided by us after receipt of your proforma in accordance with the PO. For domestic supplies, taxes are included in the price schedule. If paid extra, these are separately indicated in the price schedule. 5. Currency of Contract: INR 6. Partial Shipment and Trans-Shipment : Not Allowed. 7. Mandatory Spares and accessories which are essential for connection and satisfactory working of the equipment during guarantee period must be supplied by the supplier together with the item/goods at no extra cost. 8. Warranty /Guarantee: Product should be guaranteed & warranted for satisfactory performance as well as against any manufacturing / workman-ship defect for a period of 24 months from the date of receipt of equipment at site or 18 months from the date of S/s handing over by us to PHCN whichever is earlier. In case of any defect, rectification should be carried out in all the equipments affected and at site by the supplier. Warranty and Guarantee will be at zero cost to the Purchaser. 9. Supply Shortages : Quantity received by MBH representative (at destination) shall govern & short supply if any will have to be supplied by the supplier/manufacturer. 10. Advance Bond: Advances if any are paid against receipt of Advance Payment Guarantee only. 11. Performance Bond : Bank Guarantee from a First Class acceptable Bank for 10% amount of contract shall be provided along with Advance Bank Guarantee. The PBG to be remain valid till the Guarantee period as mentioned above. 12. Penalty : Timely delivery is an essence of the contract. In case of any delay in delivery beyond the specified delivery schedule, penalty shall be charged to supplier @ 0.5% (half percent) per each week of delay of undelivered portion of work, subject to a max. 10% (Ten percent) of the contract price. When Prices is variable, no positive variation will be allowed to the supplier during late delivery period. However if prices reduce due to reduction in base index prices, invoice will be at reduced prices to us. Delay in remittance of Advance due to delayed submission of drawings and GTPs or due to delayed submission of original proforma Invoice in line with the PO by you will not alter the delivery schedule. 13. Force Majeure : INCOTERMS 2000 shall apply for force majeure conditions. 14. Governing Law & Arbitration : In case of Arbitration or disputes arising in the contract, the same shall be ruled Governing Law within the Purchasers Country. 15. Technical Specifications & Drawings : Seller to provide us with copies of all relevant drawings of all items & Governing IEC/BS Specifications copies. The manufacturing clearance will be given by the Purchaser separately upon receipt & review of the product drawings. Necessary GTP also to be provided of each item and duly stamped by you. 16. Manuals: One copy of Product manual should be dispatched with each item. The manual should be for the product supplied and general Manual is not applicable. Approved Item Construction drawing, routine test certificate and handling and unpacking instruction may be supplied before dispatch to us. 17. Inspection : Pre-shipment inspection at manufacturers works shall be carried out by the Purchaser / Final Clients inspecting officer at your works. Supplier should provide inspection call minimum 3 weeks before the material readiness date enabling us to arrange timely client inspection at your works. Also the manufacturer may be required to furnish the Internal test reports to us before carrying out final preshipment inspection. 18. Acceptance Tests : All Acceptance tests in accordance with applicable IEC/BS standard to be carried out in presence of the deputed Inspecting Officer. 19. Standard Manufacturing Quality Plan : Please submit us with your SMQP of all the items describing the Manufacturing & testing plan in detail. The SMQP should also include a complete list of Acceptance tests (& applicable standards) to be carried out on the materials & should be submitted along with the items drawings. 20. Export Benefits: Export benefits will be claimed by us. 21. Packing & Marking : a. All the items must be clearly marked with indelible ink in respect to the item description / rating. b. All the items must be marked with proven sea-worthy packing material when goods are dispatched by ship. All wooden packing boxes/crates must be fumigated before dispatch & the fumigation certificate should also form a part of Shipping documents. c. Each individual Packing unit must bear a clear and indelible marking plate indicating Packing unit Sr. no., Item, Description & Quantity packed. Marking by nailing of paper on the wooden crate will not be accepted. d. Alongwith the packing list, please also send us type / dimension of each packing, no. of packing etc, as well as the container loadability information viz. qty. per container & total no. of containers required to ship the entire order e. The size of the packing should be computed & devised such so as to ensure the optimum utilization of a container space. The spare items/qty. must be separately packed & Marked clearly as Spares. f. .The spare item\qty must be separately packed & marked clearly as spares.