Performance Bank Guarantee (PBG) Clause Samples

Performance Bank Guarantee (PBG). Performance Bank Guarantee shall be applicable @ 5% of the total value of the contract. You are required to deposit by Demand Draft/ Bank Guarantee or E -Bank Guarantee as per pro-forma enclosed in the Bidding document, towards initial security deposit within 10 (ten) days of date of LOA / Outline Agreement / PO. On non-submission of Demand Draft/ Bank Guarantee or E -Bank Guarantee equivalent amount shall be hold by Bina Refinery till contractual period + warranty period (if any) + defect liability period (if any) + 6 months claim period.

Performance Bank Guarantee (PBG). 2.5.1. The Performance Bank Guarantee furnished under this Agreement shall be for guaranteeing the successful commissioning of the Project for power up to the Contracted Capacity within the time specified in this Agreement. 2.5.2. The failure on the part of the SPG to furnish and maintain the Performance Bank Guarantee shall be a material breach of the term of this Agreement on the part of the SPG. 2.5.3. The PBG shall be initially valid from the date of issue until 2 months (i.e. sixty (60) days) beyond the 9 months from the date of signing of Power Purchase Agreement (PPA). 2.5.4. The PBG will be returned to the SPG after successful commissioning of Solar power plant, after taking into account any penalties due to delay in commissioning as per terms and conditions of RfS. 2.5.5. The Performance Bank Guarantee shall be distinct from and in addition to the Bank Guarantee equivalent to Central Financial Assistance(CFA) to be submitted by SPG. 2.5.6. On declaration of commercial operation date (COD), the successful bidder shall have to submit Bank Guarantee equivalent to CFA amount. Bank Guarantee shall be in favor of PGVCL and to be submitted at the office of Chief Engineer (Project), PGVCL, _ _ _ _ _ _ _ _ within 15 days of COD. The release of CFA to RESCO developer is subject to submission of bank guarantee equivalent to CFA amount. Bank Guarantee will be released in four lots of 25% each on successful operation of plant after 2.5 years, 5 years, 7.5 years and 10 years from CoD.

Performance Bank Guarantee (PBG). Original Clause Revised Clause a. The PBG should be valid for the entire contract period from the date of its submission to LIC and an additional -----months from the date of notification. b. In case of extension of the contract by LIC, the vendor should submit fresh PBG of the same amount or extend the validity period of the submitted PBG to cover the extended validity period of the tender. This should happen within one month prior to the expiry of the earlier PBG, unless otherwise intimated by LIC. c. Format for submitting the Bank Guarantee is attached herewith as Annexure I and should be executed by a Nationalized/ Scheduled bank acceptable to LIC and having Branches in Mumbai. d. The PBG will not carry any interest. e. The PBG may be required to be submitted in multiple numbers, if required by LIC. f. The PBG may be invoked for entire amount if the vendor backs-out of his obligations as per this tender or if the fresh PBG is not received by LIC one month prior to the expiry of the earlier PBG; apart from other actions that may be decided by LIC. g. The PBG will be invoked in full or part (to be decided by LIC) in any of following eventualities during the period of contract: i. The bidder fails to honour expected deliverables or part as per this RFP after issuance of PO ii. Any legal action is taken against the bidder restricting its operations iii. Any action taken by statutory, legal or regulatory authorities for any breach or lapses which are directly attributable to the bidder. iv. LIC incurs any loss due to Vendor„s negligence in carrying out the project implementation as per the agreed terms & conditions h. The performance guarantee will be discharged by LIC and returned to the issuing Bank with intimation to the Vendor not later than 60 days following the date of completion of the Vendor‟s performance obligations including any warranty obligations under the contract. i. In the event of any contract amendment, the Vendor shall, within seven days of agreeing to such amendment, furnish the amended performance guarantee, valid for 60 days beyond the duration of the Contract as amended, including warranty obligations.

Performance Bank Guarantee (PBG). (a) The Concessionaire shall, for due and punctual performance of its obligations hereunder relating to the SLF, deliver to MCS, simultaneously with the execution of this Agreement, a bank guarantee from a scheduled bank in the form as set out in Schedule 7, (“Performance Security”) for a sum of Rs.

Performance Bank Guarantee (PBG). 19.1 Contractor shall stand guarantee to the work for a period of 6 months from the date of installation of outfitting items as mentioned in the scope of work. 19.2 The successful bidder has to submit Performance Bank Guarantee for 10 % value of each invoice, excluding Taxes, Duties, etc. (or alternatively 10% amount of each invoice may be retained as mentioned in clause 15.1) towards guarantee requirement as per

Performance Bank Guarantee (PBG). 19.1 Contractor shall stand guarantee to the work for a period of 6 months from the date of installation of outfitting items as mentioned in the scope of work. 19.2 The successful bidder has to submit Performance Bank Guarantee for 10 % value of each invoice, excluding Taxes, Duties, etc. (or alternatively 10% amount of each invoice may be retained as mentioned in clause 15.1) towards guarantee requirement as per clause 18. The PBG shall be valid for a period of 06 months plus one-month claim period post inspection clearance on board each yard. 19.3 PBG should be submitted in the form of Bank Guarantee drawn in favor of MAZAGON DOCKSHIPBUILDERS LIMITED from the list of banks approved by SBI/ Canara bank published on MDL website. The BG should be valid up to four weeks beyond the end of 06 months the contractual / completion / Order validity period. Bidders to advise their bank/banker to send PBG directly to Outsourcing Department to dispense with additional step of verification of authenticity of signatories. No change/modification in the text of the prescribed format of the BG is permissible. Format of Bank Guarantee for PBG is available on MDL Website. 19.4 PBGs will be returned to the Contractor on completion of 06 months after successful execution of work applicable to this tender.

Performance Bank Guarantee (PBG). (a) The Successful bidder shall submit PBG of value equivalent to value 3% of the of the completed work and validity covering the guarantee period of the completed work against invoice in lieu of 3% payment retention valid for 12 months +one-month claim period on completion of the contract in the payment terms to avail 100% payment or to release the 3% retained payment against respective invoice. (b) Performance Bank Guarantee shall be (as per Format OTS-F-09) drawn in favor of MAZAGON DOCK SHIPBUILDERS LIMITED and valid guarantee period plus one-month claim period. Bank Guarantee should be drawn on reputed Nationalized / Scheduled Banks excluding co-operative banks and shall be Payable at Mumbai. On satisfactory completion of performance Guarantee obligation, the PBG will be returned without interest. Bidders should advise their bank/banker to send the BG directly to OTS department in sealed envelope to dispense with additional step of verification of authenticity of signatories.

Performance Bank Guarantee (PBG). 19.1. The successful bidder has to submit Performance Bank Guarantee for 3% value of each invoice, excluding Taxes, Duties, etc. (or alternatively 3% amount of each invoice may be retained as mentioned in clause 15.1) towards guarantee requirement as per clause 18. The PBG shall be valid for a period of 12 months plus one-month claim period from the date of completion of work as per WDC. PBG should be submitted from the list of banks approved by SBI/ Canara bank published on MDL website. Bidders to advise their bank/banker to send PBG directly to commercial department to dispense with additional step of verification of authenticity of signatories. No change/modification in the text of the prescribed format of the BG is permissible 19.2. In the event of defects due to poor workmanship leading to non-performance of the Equipment/Item and bidder’s failure to attend the defects within a reasonable period of time, the Bank guarantee will be enchased by MDL. MDL’s decision in this regard shall be final and binding on the bidder.

Performance Bank Guarantee (PBG). PBG will be applicable for a period of 30 months from the date of dispatch of goods + claim period of 03 months, for a value equal to 10% of the basic value of the purchase order. It shall however be noted that PBG is not applicable against supply of Consumables (Gas Cylinders). ▇▇▇▇▇ ▇▇▇▇▇▇ “H” of Instructions to Bidders. Also note that PBG should be in the format specified in Annexure-VII of ITB and no deviation to this format will be allowed.