2.  PARTIES TO DISCUSS

2.1.  As soon as practicable after the Authority receives the Estimate the Parties shall discuss and agree the issues set out in the Estimate including:

(a)  providing evidence that the Contractor has used reasonable endeavours (including (where practicable) the use of competitive quotes) to oblige the Sub-Contractors to minimise any increase in costs and maximise any reduction in costs;

(b)  providing evidence that where the Contractor does not intend to use its own resources to implement the Authority Change it shall comply with Good Industry Practice with the objective of ensuring that it obtains the best value for money when procuring nay works, supplies, materials or equipment;

(c)  demonstrating how any Capital Expenditure to be incurred or avoided is being measured in a cost effective manner, including showing that when such expenditure is incurred or would have been incurred, foreseeable Changes in Law at that time have been taken into account by the Contractor;

(d)  demonstrating that any expenditure that has been avoided, which was anticipated to be incurred to replace or maintain assets that have been affected by Authority Change concerned, has been taken into account in the amount which in its opinion has resulted

(e)  providing evidence that the Contractor has used reasonable endeavours to pass any increase in costs to the existing or future customers of the Contractor or Operating Sub-Contractor as the case may be and has demonstrated to the reasonable satisfaction of the Authority that it is more likely than not able to pass any increase in costs to the customers of the Contractor other than the Authority.