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Format For Bank Guarantee Generator BPTA

This document provides a format for a contract performance bank guarantee. It outlines the terms of the guarantee provided by a bank to GETCO to ensure performance of obligations by the power project developer under a transmission agreement. The bank guarantee is valid for 25 years and 3 months and the bank is liable to pay GETCO up to the guaranteed amount if GETCO makes a written demand for payment. The guarantee can only be provided by banks on the list in Annexure 1, which includes major nationalized and private banks in India.

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TAHIR HUSAIN
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664 views

Format For Bank Guarantee Generator BPTA

This document provides a format for a contract performance bank guarantee. It outlines the terms of the guarantee provided by a bank to GETCO to ensure performance of obligations by the power project developer under a transmission agreement. The bank guarantee is valid for 25 years and 3 months and the bank is liable to pay GETCO up to the guaranteed amount if GETCO makes a written demand for payment. The guarantee can only be provided by banks on the list in Annexure 1, which includes major nationalized and private banks in India.

Uploaded by

TAHIR HUSAIN
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as DOC, PDF, TXT or read online on Scribd
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Format for Contract Performance Bank Guarantee

(To be on non-judicial stamp paper of appropriate value as per Stamp


Act relevant to place of execution. To be provided in the name of
Gujarat Energy Transmission Corporation Limited)

In consideration of the ……………………..[Insert name of the ……. Power Project


Developer, Address] agreeing to undertake the obligations under the
Transmission Agreement and Gujarat Energy Transmission Corporation
Limited (herein after referred to as GETCO), agreeing to execute Agreement
for Transmission of power from …… Power Project on long term
basis as per Bulk Power Transmission Agreement signed with GETCO,
the ………………………………. [Insert name and address of the bank issuing the
guarantee and address of the head office] (hereinafter referred to as
“Guarantor Bank”) hereby agrees unequivocally, irrevocably and
unconditionally to pay to the GETCO at Sardar Patel Vidyut Bhavan, Race
Course, Vadodara forthwith on demand in writing from the GETCO or any
Officer authorized by it in this behalf, any amount up to and not exceeding
Rupees ………………………….. only [Insert the amount of the bank guarantee]
with respect to the Contracted Capacity of the GETCO as per the terms of
Agreement on behalf of M/s. …………………………………. [Insert name of
……..Power Project Developer (PPD)].

This guarantee shall be valid and binding on the Guarantor Bank up to


Twenty Five (25) years and three (3) months from scheduled commercial
operation date…………… [Insert date of validity of BG] and shall in no event be
terminable by notice or any change in the constitution of the Bank or the
term of the Agreement or by any other reasons whatsoever and our liability
hereunder shall not be impaired or discharged by any extension of time or
variations or alternations made, given, or agreed with or without our
knowledge or consent, by or between parties to the respective agreement.

Our liability under this Guarantee is restricted to Rupees… (`.


…………………………….. only). Our Guarantee shall remain in force until
……………………………………….. [Insert date of validity BG]. The GETCO shall be
entitled to invoke this Guarantee any time up to thirty (30) days of the last
date of the validity of this Guarantee by issuance of a written demand to
invoke this guarantee.

The Guarantor Bank hereby expressly agrees that it shall not require any
proof in addition to the written demand from the GETCO, made in any
format, raised at the above mentioned address of the Guarantor Bank, in
order to make the said payment to the GETCO at Vadodara.

The Guarantor Bank shall make payment hereunder on first demand without
restriction or conditions and notwithstanding any objection by,
…………………………… [Insert name of Power Project Developer] and/or any other
person.
The Guarantor Bank shall not require the GETCO to justify the invocation of
this BANK GUARANTEE, nor shall the Guarantor Bank have any recourse
against the GETCO in respect of any payment made hereunder.

This BANK GUARANTEE shall be interpreted in accordance with the laws of


India and the courts at Vadodara shall have exclusive jurisdiction.

The Guarantor Bank represents that this BANK GUARANTEE has been
established in such form and with such content that it is fully enforceable in
accordance with its terms as against the Guarantor Bank in the manner
provided herein.

This BANK GUARANTEE shall not be affected in any manner by reason of


merger, amalgamation, restructuring, liquidation, winding up, dissolution or
any other change in the constitution of the Guarantor Bank.

This BANK GUARANTEE shall be a primary obligation of the Guarantor Bank


and accordingly the GETCO shall not be obliged before enforcing this BANK
GUARANTEE to take any action in any court or arbitral proceedings against
the Power Project Developer, to make any claim against or any demand on
the Power Project Developer or to give any notice to the Power Project
Developer or to enforce any security held by the GETCO or to exercise, levy
or enforce any distress, diligence or other process against the Power Project
Developer.

The Guarantor Bank hereby agrees and acknowledges that the GETCO shall
have a right to invoke this Bank Guarantee either in part or in full, as it may
deem fit.

Notwithstanding anything contained hereinabove, our liability under this


Guarantee is restricted to `. ………………….. (`. ………………….. only) and it shall
remain in force until ………………………[Insert date of validity of BG], with an
additional claim period of thirty (30) days thereafter. We are liable to pay the
guaranteed amount or any part thereof under this Bank Guarantee only if the
GETCO serves upon us a written claim or demand.

In witness whereof the Bank, through its authorized officer, has set its hand
and stamp on this …………….. day of ……………………… at …………………….

Witness:
1. ……………………………………. Signature
Name and Address. Name:
2. ………………………………….. Designation with Bank Stamp
Name and Address
Attorney as per power of attorney No.
…………………
For:
……………………………………………. [Insert Name of the Bank]

Banker’s Stamp and Full Address:


Dated this ………………… day of …………… 20…..

Notes:
i. The Stamp Paper should be in the name of the Executing Bank.
ii. Contracted Performance Bank Guarantee shall be provided from any
of the bank listed in Annexure 1 only. Bank Guarantee of any other
Bank will not be accepted.
Annexure 1. - List of Banks

Scheduled Commercial Banks

SBI and Associates


1. State Bank of India
2. State Bank of Bikaner and Jaipur
3. State Bank of Hyderabad
4. State Bank of Indore
5. State Bank of Mysore
6. State Bank of Patiala
7. State Bank of Saurashtra
8. State Bank of Travancore

Nationalised Banks
9. Allahabad Bank
10. Andhra Bank
11. Bank of India
12. Bank of Maharashtra
13. Bank of Baroda
14. Canara Bank
15. Central Bank of India
16. Corporation Bank
17. Dena Bank
18. Indian Bank
19. Indian Overseas Bank
20. Oriental Bank of Commerce
21. Punjab National Bank
22. Punjab and Sind Bank
23. Syndicate Bank
24. Union Bank of India
25. United Bank of India
26. UCO Bank
27. Vijaya Bank

Scheduled Private Banks


1 ICICI Bank Ltd.
2 HDFC Bank Ltd.
3 IDBI Bank Ltd
4 Axis Bank (formerly UTI Bank)

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