The principle behind all PFI/PPP projects is that the Contractor is paid only when the service is provided and the payment is adjusted in accordance with the quality of the service delivered. In waste projects there is also a relationship between the tonnage of Contract Waste and the payment. As a result the Contract will include a sophisticated payment mechanism and performance framework to achieve this end. One of the key functions of the Contract Management Team is to ensure that the payments made to the Contractor are always in accordance with the Contract.
In the WIDP Contract, Clauses 45 to 49 and Schedule 4 are the key contractual provisions.