3.  EFFECT OF MARKET TESTING ON ANNUAL SERVICE PAYMENT

3.1  For the purposes of paragraph 2.2.1 (Annual Service Payment) of this Section B, the adjustment to be made to ASPo shall be the addition of a figure in pounds sterling (whether positive or negative) calculated in accordance with the formula:

where:

3.1.1  A is the adjustment to be made to ASPo;

3.1.2  NAP is the aggregate of the new annual prices for the Market Tested Services arising from the Market Testing;

3.1.3  OPVT is the aggregate of the original annual prices for the Market Tested Services, as set out in the second column of Appendix B to this Part 18 of the Schedule (Payment Mechanism);

3.1.4  RPIn is the value of the RPI published or determined with respect to the month of February in the Contract Year in which the Market Testing Date falls; and

3.1.5  RPIo is the value of the RPI published or determined with respect to the Indexation Base Month.