ANNEXURE “R”
DELIVERY, SHIPMENTAND HANDLING
1.
Delivery Instructions:
(a)
The Equipment shall be delivered in accordance with INCOTERMS
2000 subject to the special terms specified in the Agreement/Purchase
Order and the provisions stipulated below in this Annexure “R”.
(b)
Special Requirements per Delivery Terms:
(i)
Reserved.
(ii)
Reserved.
(iii)
Reserved.
(iv)
In the case of D.D.P deliveries the Equipment shall be unloaded
by the Purchaser at Purchaser’s risk and cost inside Purchaser’s
warehouse, On Site or elsewhere as designated by Purchaser.
(v)
In the case of Ex-Works deliveries the Equipment shall be
loaded by the Contractor at Contractor's risk and cost onto
Purchaser's transportation vehicles.
(vi)
Reserved.
(vii)
Notice of Readiness for Delivery shall be given to the
Purchaser’s Supplies and Stores Division at least seven (7)
working days prior to such delivery.
(viii) Notices required under Sub-paragraph (vii) above shall include
an estimation of the number of packages, and weights, volumes
and values of the packages. Such aforesaid notice shall also
emphasize and give details of any shipment which contains
Equipment which is perishable or hazardous or have a limited
life span. The delivery of any and all such shipment(s) shall be
especially coordinated with the Purchaser.
(ix)
The Purchaser shall not be obliged to accept early deliveries,
and unless otherwise specified in the Summary of Prices and
Delivery Schedule, Annexure “C1”, each actual delivery should
not be made earlier than one (1) month prior to the date
specified therein as the latest date of delivery.
(x)
Reserved.
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ANNEXURE “R”
2.
Shipping Documents:
Each delivery shall be accompanied by Shipping Documents in accordance
with the distribution list (Attachment R1) and as described herein below:
(a)
Types of Shipping Documents:
(i)
Invoices:
All invoices shall be issued in accordance with Article 8 of
Annexure “A”.
(ii)
Packing Lists:
Packing lists shall bear the Contract number, Purchase Order
number, Package number, and Order Item number and shall
include a detailed description of all items, consistent with the
Bill of Materials and the appropriate catalogue number
appearing in the relevant Purchase Order.
If full details of contents, weights and measures of each case or
package, are shown on the invoice and description is as required
above, an independent packing list is not required provided
copies of said invoice are eventually distributed to the recipients
of the of the packing list as required in Attachment R1.
(iii)
Reserved.
(iv)
Reserved.
(v)
Quality Control Certificates:
Quality Control Certificates shall be issued in the format of
Form 5 attached hereto.
(vi)
Reserved.
(vii)
Reserved.
(viii) Delivery Notes (to Purchaser's designated store):
Delivery Notes shall be issued by the Contractor in case of
deliveries DDP Purchaser’s store and shall be countersigned by
an authorized representative of the Purchaser against receipt of
the Equipment as detailed in the packing list.
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ANNEXURE “R”
(ix)
Certificate of Milestone Completion:
A Certificate of Milestone Completion in the format of
Attachment R5 shall be issued by the Contractor, to be
countersigned by the Purchaser’s authorized Project Manager,
confirming readiness for shipment and delivery of all the
Equipment forming part of said milestone, as detailed in the
Summary of Prices and Delivery Schedule, Annexure “C1”.
(b)
Recipients of Shipping Documents:
(i)
Reserved.
(ii)
Reserved.
(iii)
Reserved.
(iv)
Accounting Department:
Purchaser's Accounting Department, attention designated
person to contact.
The Purchaser’s Accounting Department is the Recipient of
Shipping Documents for payment to Contractor.
(c)
Distribution of Shipping Documents:
Shipping Documents shall be distributed and attached to the delivered
packages under the various delivery terms specified in this Contract in
the quantities of originals/copies stipulated in Attachment R1 attached
hereto.
(d)
3.
Reserved.
Shipping and handling instructions:
In order to avoid dislocation, delay and damage to the Purchaser in taking
delivery of Equipment, and its subsequent erection or installation, the
Contractor shall comply with the following provisions:
(a)
Contractor shall make no delivery earlier than one (1) month in
advance of the contractually specified delivery dates, without first
obtaining Purchaser’s written approval.
(b)
(i)
Reserved.
(ii)
The Contractor shall insure safe inland transportation to the
Purchaser’s designated point of delivery.
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ANNEXURE “R”
(iii)
Unless otherwise agreed upon, packaging shall also be suitable
for open storage at the Purchaser’s designated site taking into
consideration high humidity and salty atmosphere for a period
of up to twelve (12) months after delivery, provided that the
protective packaging remains intact during such time period.
For Equipment which is not suitable for open storage, special
storage instructions shall be provided by the Contractor to the
Purchaser’s Supply and Stores Division, Divisional Project
Management, with a copy to the engineering Project Manager,
at least ninety (90) days before its delivery.
The Contractor shall secure the right of Purchaser to retain the
containers in which the Equipment is stored, for the full period
of storage On Site, without extra cost to the Purchaser, in order
to meet the above stated transportation and storage On Site
requirements.
(c)
(d)
Weights and Sizes:
(i)
The Equipment shall be delivered so that no component will
have an “as lifted” weight in excess of 35 metric tons. If this
limitation can not be met, Contractor shall provide a list of
Equipment exceeding 35 metric tons, and special arrangements
for shipment and unloading shall be agreed upon between the
Contractor and the Purchaser.
(ii)
To the greatest extent possible whenever Equipment is
delivered on pallets, same should be the size of 1.0 x 1.2 meters
and weight not exceeding 1500 kg.
Marks:
Each case/package shall be clearly marked and labeled for easy
identification on the outside as follows:
(i)
Specification No.; (i.e. ABC1234 and Contract number)
(ii)
Equipment Assembly and consecutive package nos.; (e.g. 1/3
for Unit Number 1, package number 3)
(iii)
I.E.C.
(iv)
Reserved.
(v)
designated Site (e.g. Alon Tabor/Gezer/Eshkol)
(vi)
weights and measurements.
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ANNEXURE “R”
4.
Insurance:
Without derogating from the Contractor’s obligation to insure the Equipment
in accordance with Article 26 (Insurance) of Annexure “A” and Annexure “L”,
the Purchaser may for its own convenience and interest, insure the Equipment
from the time it leaves the manufacturer’s plant until its arrival at ultimate
destination. Contractor is required, therefore, to advise Purchaser by e-mail or
facsimile in good time but not less than seven (7) working days before
delivery, of the following particulars required for insurance:
5.
(a)
Contractor's full name and address of manufacturer's plant/warehouse;
(b)
Purchaser's Contract and/or Purchase Order Number;
(c)
Power Station Unit Number/Code Number appearing in the relevant
Purchase Order;
(d)
Number of items to be shipped;
(e)
Number of packages;
(f)
Exact weight (gross) of consignment;
(g)
Total D.D.P. value of Equipment shipped;
(h)
Estimated Contractor's costs of ocean/air freight and inland
transportation (where applicable);
(i)
Date on which Equipment leave manufacturer's plant;
(j)
Name of vessel/air carrier (if applicable);
(k)
Name of port/airport of export (if applicable).
(l)
Name of port/airport of import (if applicable).
Delivery of Short Shipped or Damaged Items:
(a)
Equipment or any parts thereof which Contractor has failed to include
in the main shipment, or in the event any items are included in the
packing list but are not actually included in the package, shall be
delivered D.D.P. as soon as possible to the site indicated by Purchaser.
(b)
In the event the Equipment after having been delivered in accordance
with Article 13 (Delivery) of Annexure "A" is lost or damaged during
shipment and the value (including price adjustment, if any) stated in the
invoice or notified to the Purchaser is less than the related Contract
Price of the Equipment or the related portion thereof (the difference
being hereinafter referred to as the "Amount of Undervalue"), the
Contractor shall bear such proportion of loss or damage to the
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ANNEXURE “R”
Equipment as the Amount of Undervalue bears to said related Contract
Price of the Equipment or the related portion thereof.
6.
Reserved
7.
Reserved
8.
Annexure “C1”, Annexure “I” (including Purchaser’s Catalogue
Numbers, Purchase Orders and special instructions for partial deliveries)
and Bills of Materials:
(a)
Annexure “C1” - Summary of Prices and Delivery Schedule:
Annexure “C1” is a summary in tabular form of the prices, mode of
delivery, delivery schedule and payment terms applicable for all
deliverables under this Contract. Annexure “C1” is also used to form a
common basis for the reports to be provided by Contractor
(Contractor’s Project Schedule, Equipment Shipment Schedule,
Progress Report and Cash Flow Report). Annexure “C1” is subject to
all the relevant provisions of the Agreement and these General
Conditions and in any case of inconsistency, the Agreement and these
General Conditions shall prevail. In the event of inconsistency
between Annexure “C1” and the Equipment Shipment Schedule and/or
any of the other reports described below, Annexure “C1” shall prevail.
(b)
Annexure “I” - Equipment Shipment Schedule and Purchase Orders:
(i)
Annexure “I” is a report of actual deliveries to be prepared by
the Contractor and to be used by the Contractor and the
Purchaser as a mechanism of electronically exchanging data
with respect to such deliveries (preferably as an Excel file).
(ii)
Annexure “I” shall contain all components, assemblies and
parts comprising the Equipment which are individually
identifiable for shipment, and any special (usually On Site)
services to be rendered.
(iii)
An item for delivery as appearing in the Equipment Shipment
Schedule may be a component of a larger piece of the
Equipment, or a complete item of Equipment, or a package
containing several pieces of the Equipment and/or components,
or it may be services payable in a lump sum, services payable at
an hourly or per diem rate, or portions of Work as defined by
milestones, etc. (hereinafter each of such components, packages
or Services shall be individually referred to in this Article as a
”Deliverable Item”).
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ANNEXURE “R”
(iv)
To enable Purchaser maximum review and control of the
financial aspects of the Contract, the Purchaser, utilizing a
central computerized data base, shall attribute a unique
catalogue number of no more than eight digits to each such
Deliverable Item and shall insert the information and data
contained in Annexure “I”, as well as certain pertinent
provisions of the payment clause, Article 18, into Purchaser’s
internal computerized purchase order forms (the “Purchase
Orders”).
(v)
The Purchaser shall indicate the catalogue number on the
Equipment Shipment Schedule and shall provide the Contractor
with a copy of the Purchase Orders for review and
confirmation. To enable timely processing of invoices and
release of payment, the Contractor shall provide the Equipment
and services and submit invoices in strict conformity with the
terminology and the catalogue numbering issued by Purchaser
and used in the Purchase Orders.
(vi)
Annexure “I” in its initial version (version 0) which conforms
with Annexure “C1” is attached to the Contract. Two (2)
months after signing of the Contract or six (6) months before
first shipment, whichever occurs later, the Contractor shall
submit, for review and approval, to the Purchaser’s Project
Manager with a copy to Purchase's Supply and Stores Division
(Attention Divisional Project Manager), an updated version of
Annexure “I”, reflecting if necessary further division of
shipments.
The Purchaser shall confirm the receipt and contents of
Annexure “I” within 14 calendar days of receipt thereof and
will allocate in its confirmation the applicable catalogue
numbers. Thereafter a monthly report shall be submitted
containing actual shipment data and Contractor’s confirmation
of its intention and ability to meet the delivery requirements of
the balance of items to be shipped, until all delivery
requirements under the Contract have been fulfilled.
(vii)
In case the Contractor intends to further subdivide shipments
after submission of the most current updated version of
Annexure “I”, then the Contractor shall, at least forty-five (45)
days prior to the delivery date specified in the latest version of
the report, submit for Purchaser’s review and approval, a
request for Annexure “I” revision. The approval shall be given
within ten (10) working days and shall not be unreasonably
withheld.
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ANNEXURE “R”
Upon approval, the Purchaser shall issue new catalogue
numbers and revised Purchase Orders to the Contractor. The
new catalogue numbers and the revised Purchase Orders shall
form from then on the basis for the balance of deliveries. The
same procedure shall apply in the event of the issuance of any
Change Order.
(viii) For the avoidance of doubt, the payment pro-rata Deliverable
set out in Subarticle 18(c) of Annexure “A” should
reasonably/normally be invoiced once only per Deliverable (as
identified in the price breakdown in Annexure “C1” or later on
in Annexure “I”) upon completion of delivery of such
Deliverable.
On an exceptional basis, subject to the provisions of Subarticle
8(b)(vii) above, in the event the Contractor wishes to effect and
invoice partial deliveries per Deliverable, the Contractor shall
issue the invoices for such partial deliveries ensuring that the
net amount of said invoices reflects a proportional deduction of
the amounts paid as Down/Advance payment on account of said
Deliverable.
(ix)
(c)
Notwithstanding any other remedy available to Purchaser under
the Contract, failure by Contractor to provide Annexure “I” in
compliance with the foregoing within ten (10) working days
from the date of Purchaser’s written notification of noncompliance shall be deemed to constitute delay in submitting a
Critical Document.
Bill of Materials:
(i)
Along with the updated Equipment Shipment Schedule required
above, Contractor shall issue a Bill of Materials. The Bill of
Materials shall allocate all the components, assemblies and subassemblies to be delivered to the relevant Deliverable Item and
to the appropriate shipment. The Bill of Materials shall contain
such cross-reference data as shall allow the Purchaser to verify
compliance with the scope of Work and to locate and identify
items during erection.
The Bill of Materials shall be issued on an agreed upon
magnetic media (preferably as an Excel file) in the format of
Attachment R2 attached hereto, giving the following details in
conformance with the Equipment Shipment Schedule and the
packing lists: name of Power Station, Contract Number, Unit
Number, Purchase Order number, related product tree number,
related Purchaser’s catalogue number, item description,
reference drawing number and revision, quantity ordered,
dimensions, weight and type of storage.
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(ii)
The Contractor shall submit to the Purchaser’s Supply and
Stores Division (Divisional Project Management) with the
monthly Equipment Shipment Schedule reports, updates of the
Bill of Materials, reflecting the actual scope of Work as soon as
the relevant design was completed. The Contractor shall verify
that all the items included in a packing list are properly listed in
the Bill of Materials and if necessary shall issue special updates
not later than three (3) working days prior to actual shipment.
(iii)
The Bill of Materials and each update thereof is considered to
be a Critical Document and the provisions of Subarticle 2(c)
shall apply thereto.
- Final -
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