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Reference
is invited to clause 9(a) about the minimum guarantee
in our form of H.T. Agreement to be executed with
the consumers.
In the case of H.T. Consumers if the annual minimum
charges payable underthetariff (i.e., Demand charge
for 5O% of thecontract demand as billing demand) work
out to be 15% or more of the capital estimate for
service connection to that consumer, clause 9(a) in
the agreement becomes in-appropriate and should therefore
be strikeout and initialled by the consumer ann Board
wile signing the agreement.
Secondly in cases where clause 9(a) is applicable
it should slightly modified to read as follows:
9(a) ''In consideration of the special obligaions
assumed and/or investments made by the supplier for
the benefit of the consumer, the consumer hereby guarantees
that the total annual charges payable by hin for the
electrical energy consumed hereunder shall not be
less than Rs... or the tariff minimum charges payable
under clause 8 which ever is more.
Although the consumer will be billed, for actual energy
consumed every month subject to teh monthly minimum
the difference between the guaranteed minimum charges
and the actual charges paid (if the same are less
than the guaranteed minimum) by the consumer for each
12 months period shall, on presentation of a bill
therefor at te end of each 12 months period, be paid
by the consumer to the supplier at the office of the
Chief Engineer or as may be otherwise required within
15 days from the date of issue of the bill.
Provided that in the event of any increase in contract
demand under clause 7 hereof, the amount of minimum
guarantee stated above shall be liable to be adequately
increased to such extent as may be determined by the
Chief Engineer."
You are requested to note the amendment and incorporate
the same in future wherever it is applicable while
executing agreements.
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