Principles of Project Finance

Input Supply Contract; however, this risk may remain with the Input

Supplier, or be passed on to the Offtaker under the Offtake Contract;

if force majeure prevents the Input Supplier from completing its connec-

tions to the project site, the Input Supplier should not have to pay any

penalties for this, but again the risk may be passed on to the Offtaker who

thus has to start paying the Availability Charge. (It may also be feasible for

the Project Company to store back-up supplies of fuel or raw materials,

and so use these to start operation.)

Temporary force majeure causing an interruption in availability. As with

delay in completion, the effect of a force majeure event affecting project

availability has to be tracked through the various Project Contracts: ...