Australia: EPC Contracts In the Australian Renewable Energy Sector – Wind Farms, part 7

Last Updated: 28 October 2012
Article by Damian McNair
This article is part of a series: Click EPC Contracts In The Australian Renewable Energy Sector – Wind Farms, part 6 for the previous article.
  1. Subject to the provisions of this GC [ ], the Contractor is entitled to an extension of time to the Date for Commercial Operation as the Project Company assesses, where a delay to the progress of the Works is caused by any of the following events, whether occurring before, on or after the Date for Commercial Operation:
    1. any act, omission, breach or default by the Project Company, the Project Company?s Representative and their agents, employees and contractors;
    2. a Variation, except where that Variation is caused by an act, omission or default of the Contractor or its Subcontractors, agents or employees;
    3. a suspension of the Works pursuant to GC [ ], except where that suspension is caused by an act, omission or default of the Contractor or its Subcontractors, agents or employees;
    4. an Event of Force Majeure; or
    5. a Change of Law.
  1. Despite any other provisions of this GC [ ], the Project Company may at any time make a fair and reasonable extension of the Date for Commercial Operation.
  2. The Contractor must constantly use its best endeavours to avoid delay in the progress of the works.
  3. If the Contractor fails to submit the notices required under GCs [ ].1, [ ].2 and [ ].3 within the times required then:
    1. the Contractor has no entitlement to an extension of time;
    2. the Contractor must comply with the requirements to perform the Works by the Date for Commercial Operation; and
    3. any principle of law or equity (including those which might otherwise entitle the Contractor to relief and the "prevention principle") which might otherwise render the Date for Commercial Operation immeasurable and liquidated damages unenforceable, will not apply.
  1. It is a further condition precedent of the Contractor?s entitlement to an extension of time that the critical path noted on the Program is affected in a manner which might reasonably be expected to result in a delay to the Works reaching Commercial Operation by the Date for Commercial Operation.
  2. If there are two or more concurrent causes of delay and at least one of those delays would not entitle the Contractor to an extension of time under this GC [ ] then, to the extent of that concurrency, the Contractor is not entitled to an extension of time.
  3. The Project Company may direct the Contractor?s Representative to accelerate the Works for any reason including as an alternative to granting an extension of time to the Date for Commercial Operation.
  4. The Contractor will be entitled to all extra costs necessarily incurred, by the Contractor in complying with an acceleration direction under GC [ ].11, except where the direction was issued as a consequence of the failure of the Contractor to fulfil its obligations under this Contract. The Project Company must assess and decide as soon as reasonably practical, the extra costs necessarily incurred by the Contractor.

Part III - Grid Access Regime

  1. The Contractor must co-ordinate the connection of the Facility to the Transmission Line and provide, in a timely manner, suitable termination facilities in accordance with Appendix 1. The Contractor must liaise with the Network Service Provider, Government Authorities and other parties to avoid delays in connecting the Facility to the Transmission Line.
  2. On the Date for First Synchronisation the Project Company must ensure that there is in place a Transmission Network which is capable of receiving the generated output the Facility is physically capable of producing at any given time.
  3. The Project Company?s obligation to ensure that the Transmission Network is in place is subject to the Contractor being able (physically and legally) to connect the Facility to the Transmission Line and import and/or export power to the Transmission Network.
  4. If the Contractor notifies the Project Company that First Synchronisation is likely to take place before the Date for First Synchronisation, the Project Company must endeavour, but is under no obligation to ensure that the Transmission Network is in place, to enable First Synchronisation to take place in accordance with the Contractor?s revised estimate of First Synchronisation.
  5. At the time of and following First Synchronisation the Project Company will ensure that the Contractor is permitted to export to the Transmission Network power which the Facility is physically capable of exporting, provided that:
    1. it is necessary for the Contractor to export that amount of power if the Contractor is to obtain Commercial Operation;
    2. the Contractor has complied in all respects with its obligations under GC [ ].7; and
    3. in the reasonable opinion of the Project Company and/or the Network Service Provider the export of power by the Facility will not pose a threat to the safety of persons and/or property (including the Transmission Network).
  1. For the avoidance of doubt, the Project Company will not be in breach of any obligation under this Contract by reason only of the Contractor being denied permission to export power to the Transmission Network in accordance with the Grid Code.
  2. The Contractor must carry out the testing of the Works, in particular in relation to the connection of the Facility to the Transmission Network so as to ensure that the Project Company and the Contractor as a Participant (as defined in the Electricity Code) comply with their obligations under the Electricity Code in respect of the Testing of the Works,
  3. The Contractor must carry out the Testing of the Works, in particular in relation to the connection of the Facility to the Transmission Network, so as to ensure that:
    1. any interference to the Transmission Network is minimised; and
    2. damage to the Transmission Network is avoided.
  1. The Contractor must promptly report to the Project Company?s Representative any interference with and damage to the Transmission Network which connects with the Facility.
  2. Without derogating from the Contractor?s obligations under this Contract, in carrying out any test which requires the Contractor to supply electricity to the Transmission Network, the Contractor must:
    1. issue a notice to the Project Company?s Representative at least 24 hours prior to the time at which it wishes to so supply, detailing the testing or commissioning and including the Contractor?s best estimate of the total period and quantity (in MWh per half-hour) of that supply;
    2. promptly notify the Project Company?s Representative if there is any change in the information contained in such notice; and
    3. do all things necessary to assist the Project Company (including but not limited to cooperating with the Network Service Provider and complying with its obligations under GC 20.15), so that the Project Company can comply with its obligations under the National Electricity Code.

© DLA Piper

This publication is intended as a general overview and discussion of the subjects dealt with. It is not intended to be, and should not used as, a substitute for taking legal advice in any specific situation. DLA Piper Australia will accept no responsibility for any actions taken or not taken on the basis of this publication.

DLA Piper Australia is part of DLA Piper, a global law firm, operating through various separate and distinct legal entities. For further information, please refer to

To print this article, all you need is to be registered on

Click to Login as an existing user or Register so you can print this article.

This article is part of a series: Click EPC Contracts In The Australian Renewable Energy Sector – Wind Farms, part 6 for the previous article.
Some comments from our readers…
“The articles are extremely timely and highly applicable”
“I often find critical information not available elsewhere”
“As in-house counsel, Mondaq’s service is of great value”

Mondaq Advice Centre (MACs)
Up-coming Events Search
Font Size:
Mondaq on Twitter
Register for Access and our Free Biweekly Alert for
This service is completely free. Access 250,000 archived articles from 100+ countries and get a personalised email twice a week covering developments (and yes, our lawyers like to think you’ve read our Disclaimer).
Email Address
Company Name
Confirm Password
Mondaq Topics -- Select your Interests
 Law Performance
 Law Practice
 Media & IT
 Real Estate
 Wealth Mgt
Asia Pacific
European Union
Latin America
Middle East
United States
Worldwide Updates
Check to state you have read and
agree to our Terms and Conditions

Terms & Conditions and Privacy Statement (the Website) is owned and managed by Mondaq Ltd and as a user you are granted a non-exclusive, revocable license to access the Website under its terms and conditions of use. Your use of the Website constitutes your agreement to the following terms and conditions of use. Mondaq Ltd may terminate your use of the Website if you are in breach of these terms and conditions or if Mondaq Ltd decides to terminate your license of use for whatever reason.

Use of

You may use the Website but are required to register as a user if you wish to read the full text of the content and articles available (the Content). You may not modify, publish, transmit, transfer or sell, reproduce, create derivative works from, distribute, perform, link, display, or in any way exploit any of the Content, in whole or in part, except as expressly permitted in these terms & conditions or with the prior written consent of Mondaq Ltd. You may not use electronic or other means to extract details or information about’s content, users or contributors in order to offer them any services or products which compete directly or indirectly with Mondaq Ltd’s services and products.


Mondaq Ltd and/or its respective suppliers make no representations about the suitability of the information contained in the documents and related graphics published on this server for any purpose. All such documents and related graphics are provided "as is" without warranty of any kind. Mondaq Ltd and/or its respective suppliers hereby disclaim all warranties and conditions with regard to this information, including all implied warranties and conditions of merchantability, fitness for a particular purpose, title and non-infringement. In no event shall Mondaq Ltd and/or its respective suppliers be liable for any special, indirect or consequential damages or any damages whatsoever resulting from loss of use, data or profits, whether in an action of contract, negligence or other tortious action, arising out of or in connection with the use or performance of information available from this server.

The documents and related graphics published on this server could include technical inaccuracies or typographical errors. Changes are periodically added to the information herein. Mondaq Ltd and/or its respective suppliers may make improvements and/or changes in the product(s) and/or the program(s) described herein at any time.


Mondaq Ltd requires you to register and provide information that personally identifies you, including what sort of information you are interested in, for three primary purposes:

  • To allow you to personalize the Mondaq websites you are visiting.
  • To enable features such as password reminder, newsletter alerts, email a colleague, and linking from Mondaq (and its affiliate sites) to your website.
  • To produce demographic feedback for our information providers who provide information free for your use.

Mondaq (and its affiliate sites) do not sell or provide your details to third parties other than information providers. The reason we provide our information providers with this information is so that they can measure the response their articles are receiving and provide you with information about their products and services.

If you do not want us to provide your name and email address you may opt out by clicking here .

If you do not wish to receive any future announcements of products and services offered by Mondaq by clicking here .

Information Collection and Use

We require site users to register with Mondaq (and its affiliate sites) to view the free information on the site. We also collect information from our users at several different points on the websites: this is so that we can customise the sites according to individual usage, provide 'session-aware' functionality, and ensure that content is acquired and developed appropriately. This gives us an overall picture of our user profiles, which in turn shows to our Editorial Contributors the type of person they are reaching by posting articles on Mondaq (and its affiliate sites) – meaning more free content for registered users.

We are only able to provide the material on the Mondaq (and its affiliate sites) site free to site visitors because we can pass on information about the pages that users are viewing and the personal information users provide to us (e.g. email addresses) to reputable contributing firms such as law firms who author those pages. We do not sell or rent information to anyone else other than the authors of those pages, who may change from time to time. Should you wish us not to disclose your details to any of these parties, please tick the box above or tick the box marked "Opt out of Registration Information Disclosure" on the Your Profile page. We and our author organisations may only contact you via email or other means if you allow us to do so. Users can opt out of contact when they register on the site, or send an email to with “no disclosure” in the subject heading

Mondaq News Alerts

In order to receive Mondaq News Alerts, users have to complete a separate registration form. This is a personalised service where users choose regions and topics of interest and we send it only to those users who have requested it. Users can stop receiving these Alerts by going to the Mondaq News Alerts page and deselecting all interest areas. In the same way users can amend their personal preferences to add or remove subject areas.


A cookie is a small text file written to a user’s hard drive that contains an identifying user number. The cookies do not contain any personal information about users. We use the cookie so users do not have to log in every time they use the service and the cookie will automatically expire if you do not visit the Mondaq website (or its affiliate sites) for 12 months. We also use the cookie to personalise a user's experience of the site (for example to show information specific to a user's region). As the Mondaq sites are fully personalised and cookies are essential to its core technology the site will function unpredictably with browsers that do not support cookies - or where cookies are disabled (in these circumstances we advise you to attempt to locate the information you require elsewhere on the web). However if you are concerned about the presence of a Mondaq cookie on your machine you can also choose to expire the cookie immediately (remove it) by selecting the 'Log Off' menu option as the last thing you do when you use the site.

Some of our business partners may use cookies on our site (for example, advertisers). However, we have no access to or control over these cookies and we are not aware of any at present that do so.

Log Files

We use IP addresses to analyse trends, administer the site, track movement, and gather broad demographic information for aggregate use. IP addresses are not linked to personally identifiable information.


This web site contains links to other sites. Please be aware that Mondaq (or its affiliate sites) are not responsible for the privacy practices of such other sites. We encourage our users to be aware when they leave our site and to read the privacy statements of these third party sites. This privacy statement applies solely to information collected by this Web site.

Surveys & Contests

From time-to-time our site requests information from users via surveys or contests. Participation in these surveys or contests is completely voluntary and the user therefore has a choice whether or not to disclose any information requested. Information requested may include contact information (such as name and delivery address), and demographic information (such as postcode, age level). Contact information will be used to notify the winners and award prizes. Survey information will be used for purposes of monitoring or improving the functionality of the site.


If a user elects to use our referral service for informing a friend about our site, we ask them for the friend’s name and email address. Mondaq stores this information and may contact the friend to invite them to register with Mondaq, but they will not be contacted more than once. The friend may contact Mondaq to request the removal of this information from our database.


This website takes every reasonable precaution to protect our users’ information. When users submit sensitive information via the website, your information is protected using firewalls and other security technology. If you have any questions about the security at our website, you can send an email to

Correcting/Updating Personal Information

If a user’s personally identifiable information changes (such as postcode), or if a user no longer desires our service, we will endeavour to provide a way to correct, update or remove that user’s personal data provided to us. This can usually be done at the “Your Profile” page or by sending an email to

Notification of Changes

If we decide to change our Terms & Conditions or Privacy Policy, we will post those changes on our site so our users are always aware of what information we collect, how we use it, and under what circumstances, if any, we disclose it. If at any point we decide to use personally identifiable information in a manner different from that stated at the time it was collected, we will notify users by way of an email. Users will have a choice as to whether or not we use their information in this different manner. We will use information in accordance with the privacy policy under which the information was collected.

How to contact Mondaq

You can contact us with comments or queries at

If for some reason you believe Mondaq Ltd. has not adhered to these principles, please notify us by e-mail at and we will use commercially reasonable efforts to determine and correct the problem promptly.