Common use of Rate Differential Clause in Contracts

Rate Differential. The Parties acknowledge that Bazaar's Energy Service Agreement provides that Bazaar will pay a different rate for Energy Services than the other Parties will pay therefor under their respective Energy Service Agreements. The Parties agree that, to the extent that Bazaar pays higher rates for Energy Services than the other Parties, the portion of the Consumption Charges (as defined in Bazaar's Energy Service Agreement) paid by Bazaar each year attributable to the rate differential between the rates paid by Bazaar for Energy Services and the rates paid by the other Parties for Energy Services (the "Rate Differential Amount") will be credited towards Aladdin's Contract Capacity Charges (as defined in Aladdin's Energy Service Agreement) payable under Aladdin's Energy Service Agreement for the following year. Notwithstanding the foregoing, the following provisions shall apply with respect to all Consumption Charges paid by Bazaar during the term of its Energy Service Agreement (as it may be extended): (a) In the event that the Rate Differential Amount for any calendar year is less than Bazaar's "Contract Maintenance Costs" (defined as Bazaar's share (which shall be determined based upon the respective demands of the Parties, but shall not exceed $110,000 per calendar year) of the maintenance cost of the Plant for such year, based solely upon costs under actual maintenance contracts for the Plant, including bid-out, full coverage maintenance and in-house maintenance contracts, and not including any other Operational Charges as defined in Exhibit C to the Aladdin Energy Service Agreement) or any repair or replacements of any portion of the Plant (other than those specifically attributable to the affirmative actions or, when obligated to act, inaction, of Bazaar)), then Bazaar's monthly Consumption Charges for the subsequent calendar year shall be recalculated and adjusted upward, each by an amount equal to 1/12 of the lesser of the amount by which the Rate Differential Amount is less than Bazaar's Contract Maintenance Costs or $110,000, provided,such upward adjustment shall not exceed $110,000.00 in the aggregate for such year, and Aladdin's Consumption Charges for such year, payable under the Alladin Energy Service Agreement, will be adjusted downward in an amount equal to the upward adjustments of Bazaar's Consumption Charges. Such adjustment shall take into consideration and be based upon the final Market Rate for Chilled Water Services, as provided in Exhibit "C" of Bazaar's Energy Service Agreement. (b) In the event that for any calendar year during the term of Bazaar's Energy Service Agreement: (a) the percentage obtained by dividing (i) the aggregate Contract Capacity Charges actually paid by the Parties other than Bazaar (i.e., excluding the Rate Differential Amount credited towards such Contract Capacity Charges as provided above) during such year, by (ii) the aggregate of all Contract Capacity Charges paid by all of the Parties plus the Rate Differential Amount (the "Actual Percentage") during such year (b) is less than 66.67%, then Aladdin shall pay to Bazaar, within sixty (60) days after the date such amount is determined by the Energy Provider, an amount equal to: (a) the percentage resulting from 66.67% minus the Actual Percentage, multiplied by (b) the aggregate during such year of all Contract Capacity Charges paid by all of the Parties plus the Rate Differential Amount. The Parties shall cause the Energy Provider to undertake the foregoing calculation and to inform the Parties of the results thereof, and the amounts, if any, owed by Aladdin to Bazaar, within thirty (30) days after end of each calendar year during the term of Bazaar's Energy Service Agreement.

Rate Differential. The Parties acknowledge that Bazaar's Energy Service Agreement provides that Bazaar will pay a different rate for Energy Services than the other Parties will pay therefor under their respective Energy Service Agreements. The Parties agree that, to the extent that Bazaar pays higher rates for Energy Services than the other Parties, the portion of the Consumption Charges (as defined in Bazaar's Energy Service Agreement) paid by Bazaar each year attributable to the rate differential between the rates paid by Bazaar for Energy Services and the rates paid by the other Parties for Energy Services (the "Rate Differential Amount") will be credited towards Aladdin's Contract Capacity Charges (as defined in Aladdin's Energy Service Agreement) payable under Aladdin's Energy Service Agreement for the following year. Notwithstanding the foregoing, the following provisions shall apply with respect to all Consumption Charges paid by Bazaar during the term of its Energy Service Agreement (as it may be extended): (a) In the event that the Rate Differential Amount for any calendar year is less than Bazaar's "Contract Maintenance Costs" (defined as Bazaar's share (which shall be determined based upon the respective demands of the Parties, but shall not exceed $110,000 per calendar year) of the maintenance cost of the Plant for such year, based solely upon costs under actual maintenance contracts for the Plant, including bid-out, full coverage maintenance and in-house maintenance contracts, and not including any other Operational Charges as defined in Exhibit C to the Aladdin Energy Service Agreement) or any repair or replacements of any portion of the Plant (other than those specifically attributable to the affirmative actions or, when obligated to act, inaction, of Bazaar)), then Bazaar's monthly Consumption Charges for the subsequent calendar year shall be recalculated and adjusted upward, each by an amount equal to 1/12 of the lesser of the amount by which the Rate Differential Amount is less than Bazaar's Contract Maintenance Costs or $110,000, provided,provided such upward adjustment shall not exceed $110,000.00 in the aggregate for such year, and Aladdin's Consumption Charges for such year, payable under the Alladin Aladdin Energy Service Agreement, will be adjusted downward in an amount equal to the upward adjustments of Bazaar's Consumption Charges. Such adjustment shall take into consideration and be based upon the final Market Rate for Chilled Water Services, as provided in Exhibit "C" of Bazaar's Energy Service Agreement. (b) In the event that for any calendar year during the term of Bazaar's Energy Service Agreement: (a) the percentage obtained by dividing (i) the aggregate Contract Capacity Charges actually paid by the Parties other than Bazaar (i.e.I.E., excluding the Rate Differential Amount credited towards such Contract Capacity Charges as provided above) during such year, by (ii) the aggregate of all Contract Capacity Charges paid by all of the Parties plus the Rate Differential Amount (the "Actual Percentage") during such year (b) is less than 66.67%, then Aladdin shall pay to Bazaar, within sixty (60) days after the date such amount is determined by the Energy Provider, an amount equal to: (a) the percentage resulting from 66.67% minus the Actual Percentage, multiplied by (b) the aggregate during such year of all Contract Capacity Charges paid by all of the Parties plus the Rate Differential Amount. The Parties shall cause the Energy Provider to undertake the foregoing calculation and to inform the Parties of the results thereof, and the amounts, if any, owed by Aladdin to Bazaar, within thirty (30) days after end of each calendar year during the term of Bazaar's Energy Service Agreement.