4. Price and Payment Terms
There are 3 potential outcomes from an Investment Grade Audit:
a. Project does not meet financial criteria – Cost on The ESCO.
b. Project meets financial criteria and customer Proceeds the project which total value above
2,000,000 baht – Cost included in job
c. Project meets financial criteria and customer Aborts – Cost on Customer (Walk away fee)
The walk away fee established for this project is 661,200 THB. If the project meets the financial criteria
and the Customer decides not to move forward, customer agrees to pay The ESCO the walk away fee within
30 days after the delivery to the Customer of the documentation described under paragraph 1 of this
Agreement.
Financial Criteria
1. The limit of investment cost of the bundled project is not applied for this agreement.
2. The combined annual energy & operational savings of the bundled project should not be less than
6,000,000 baht/year. The energy and operational savings will be calculated based on Life Cycle
Approach and will be measured, verified and guaranteed by The ESCO.
3. The bundled project should meet the following parameters:
a. Simple Payback of less than 5 Years.