Annexure VIII
BANK GUARANTEE PROFORMA FOR INTRA-STATE TRANSMISSION OPEN ACCESS
(To be stamped in accordance with Stamp Act)
Ref
. Bank Guarantee No
Dated
To
The Chief Engineer (Tr-Plg),
Maharashtra State Transmission Company Limited,
Prakash Ganga,
Bandra- Kurla Complex,
Mumbai
Dear Sirs,
In consideration of the Maharashtra State Transmission Company Limited (hereinafter referred to as the MSTCL which expression shall unless repugnant to the context or meaning thereof include its successors, administrators and assigns) having allowed and agreed to provide open access and use of its intra-state transmission system by M/s
..having its Registered Office at
.. (hereinafter referred to as the Transmission System User or the TSU, which expression shall unless repugnant to the context or meaning thereof include its successors, administrators and assigns) in accordance with the Maharashtra Electricity Regulatory Commission (Transmission Open Access) Regulations 2005 through its approval letter dated
.. The said access and use of the MSTCL intra-state transmission system by the TSU for the period from -------- to ----------- is likely to be valued at Rs.
. and whereas the said approval has been unequivocally accepted by the Transmission System User. The TSU having agreed to provide a Bank Guarantee in favour of MSTCL as payment security guarantee to bear the full intra-state transmission charges, scheduling and system operation charges in respect of the said reserved transmission capacity amounting to Rs
for a period of 3 months/ entire open access period whichever is lower.
And whereas,_________Bank, a body incorporated under the Banking Companies (Acquisition and Transfer of Undertakings) Act 1970, having its branch office at____________ & its Head Office at___________hereinafter referred to as the BANK, which expression shall unless repugnant to the context or meaning thereof include its successors, administrators, executors and permitted assigns, do hereby guarantee and undertake to pay MSTCL on its first written demand any and all monies payable by the TSU to the extent of the outstanding liability of the TSU in respect of the said intra-state Transmission Capacity reserved without any demur, reservation, contest, recourse or protest and/or without any reference to the TSU. Any such demand made by the MSTCL on the Bank shall be conclusive and binding notwithstanding any difference between the MSTCL and the Transmission System User or any dispute pending before any Court, Tribunal, Arbitrator or any other authority. The Bank undertakes not to revoke this guarantee during its currency without previous written consent of the MSTCL and further agrees that the guarantee herein contained shall continue to be enforceable till the MSTCL discharges this guarantee.
The decision of the MSTCL declaring the TSU to be in payment default as aforesaid shall be final and binding on the Bank.
The MSTCL shall have the fullest liberty, without affecting this guarantee, to postpone from time to time the exercise of any powers vested in them or of any right which they might have against the TSU, and to exercise the same at any time in any manner, and either to enforce or to forbear to enforce any convenants, contained or implied between the MSTCL and the TSU or any other course or remedy or security available to the MSTCL. The Bank shall not be released of its obligations under these presents by any exercise by the MSTCL or its liberty with reference to the matters aforesaid or any of them or by reason of any other act of omission or commission on the part of the MSTCL or any other indulgences shown by the MSTCL or by any other matter or thing whatsoever which under law would, but for this provision have the effect of relieving the Bank.
The Bank also agrees that the MSTCL at its option shall be entitled to enforce this Guarantee against the Bank as a principal debtor, in the first instance without proceeding against the Transmission System User and notwithstanding any security or other guarantee the MSTCL may have in relation to the Transmission System Users liabilities.
Notwithstanding anything contained herein above the Banks liability under this guarantee is restricted to Rs.
. and it shall remain valid for a period of 3 months after the open access period and shall be extended from time to time for such period, as may be desired by the Transmission System User on whose behalf this guarantee has been given.
These presents shall be governed by and construed in accordance with Indian Laws.
The Bank hereby declares that it has the power to issue this Guarantee and the undersigned has full power to do so.
Dated this
.day of
..2005-06
..at
..
WITNESS
..
(Signature ) (Signature)
..
(Name) (Name)
.
(Official Address) (Designation with Bank Stamp)
