Fair play in efficiency guarantees
Nov. 12, 2025
Courtesy ofENEXSA GmbH
Fuel efficiency is an important factor in supply agreements.
Purchase agreements for power plants supplying power, steam, water or other utilities to their off taker typically include guarantees to ensure that the plant is operated efficiently and maintained diligently over the contract term. In particular when the fuel is provided by the off taker, the efficiency guarantee must be evaluated continuously, and deviations from the contracted guarantees may lead to significant bonuses or penalties on top of the payments for the supplied products.
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