Principles
According to Section 2.3, this approach ensures that OPG and Andritz function as a unified entity to achieve project goals
What is the One Team Approach?
This is the ideal appendix that the Parties would choose to get a large piece of equipment manufactured
What is Appendix 3?
Procurement of Engineered Equipment
As described in Section 3.2, this is the phase of the Agreement that is different than the way we've done business before and involves collaboration between OPG and Andritz to develop potential scope options and recommendations to determine the best return on investment
What is Phase 1?
Preliminary Engineering and Overhaul Value Assessment
Discussed in Section 9, this document formalizes the agreed-upon changes to the project scope, cost, or timeline when unexpected challenges arise
What is a Change Order?
As described in section 2.6, the Parties will establish and manage in an open and transparent manner the amount and drawdown of this important project management tool that is determined based on a joint project risk assessment
What is Contingency?
If you're seeking to only do professional services, such as design and engineering, you would choose this appendix
What is Appendix 4?
General Sevices
This item on the worksheet identifies the duration that OPG has to respond to each submittal by Andritz, which defaults to 10 business days unless otherwise stated on the worksheet
What is the OPG Review Period?
There's a need for a change in scope, and without the change there will likely be an impact to the project schedule. OPG is eager to move forward quickly even if both Parties have not yet agreed to the cost and schedule impacts. This document is what OPG will send to Andritz to get the work started, with the understanding that cost and schedule will be jointly agreed to in good faith
What is a Change Directive?
OPG and Andritz have agreed to proactively complete this core principle of the Agreement, which has the Parties collaborating together to identify and implement opportunities for reducing project expenses throughout all Work activities and across all Phases of the Project
What is Cost Optimization?
(Section 2.8)
This appendix specifies that Andritz is required to submit the notice of project to the Ministry of Labour
What is Appendix 2?
Engineering, Procurement and Construction with OPG as owner-only (Andritz as constructor)
This item on the Worksheet specifies whether minimum requirements for runner performance are required to be met and what those requirements are
What is item 12.1, Runner Performance Guarantee?
This Ontario applicable law specifies that payment must be made by OPG to Andritz for undisputed amounts on a proper invoice within 28 days of the receipt of the invoice, along with the regulations relating to a legislative holdback of 10%
What is the Construction Act (Ontario)?
This report, jointly developed by Andritz and OPG, summarizes the best prioritization of overhauls using analysis from unit condition assessments, synergy assessments across units, and the potential opportunities for common procurements and scheduling optimization
What is the Programmatic Bundle Assessment Report?
(Section 2.1)
What is Appendix 1?
Engineer, Procure, Construct with OPG as constructor
For all pricing models under the agreement, selecting yes to this item on the worksheet has the potential to adjust the amount of profit paid by OPG to Andritz if the work is completed with a large enough variance to the selected key milestone
What is item 3.2, Target Completion Date
(Will also accept Schedule Incentive Work)
Applicable under each Appendix, such as appendix 1 section 2.5, this is the specific minimum dollar threshold where OPG must provide approval prior to Andritz issuing the purchase order for Goods procured or other Work to be performed by a single Subcontractor
What is $250,000?
Open, fair and transparent procurement process