Principles of Project Finance

for reasons of safety or public secu-

rity. See §6.7

enclave project A project whose

products are exported, for which

payment is received outside the Host

Country. See §10.3.1; §11.6.1

Energy Charge The element of a

Tariff intended to cover fuel costs.

See §6.1.5

environmental risks Risk relating to

the environmental effect of the con-

struction or operation of the project.

See §8.6

EPC Contract Engineering, Pro-

curement, and Construction Con-

tract, a fixed-price, date-certain,

turnkey contract under which the

project is designed and engineered,

equipment procured or manufac-

tured, and the project constructed

and erected. See §7.1

EPC Contractor The contractor un-

der the EPC Contract. See §8.5.3

equity The portion of the project’s

capital costs contributed by ...