2.1 The Monthly Unitary Payment
2.1.1 Subject to the terms of the Project Agreement, the Contractor will be entitled to payment for the provision of the Services under this Agreement, calculated in accordance with paragraph 2.1.2.
2.1.2 The Monthly Unitary Payment in respect of a Payment Period, being Payment Period (m), shall be calculated by deducting the Unavailability Deductions for Payment Period (m-1) and the Service Failure Deductions in respect of Payment Period (m-1) from the Monthly Unitary Payment for Payment Period (m) and by adding the Monthly Utilities Payment for Payment Period (m), adding or deducting (as the case may be) the Annual Utilities Adjustment and adding the Payment Adjustment for Payment Period (m), in accordance with the following formula:
UPm | = | (UCm - UDm-1 - PDm-1) + MUPm +/- AUA + PAm |
where: | ||
UPm | = | the Monthly Unitary Payment in respect of Payment Period (m) |
UCm | = | the Monthly Unitary Charge in respect of Payment Period (m) which is the Annual Unitary Charge (APy) as stated in the Schedule of Charges relevant to the year in which the Payment Period (m) falls and divided by 12. |
UDm-1 | = | the Unavailability Deductions for Payment Period (m-1) |
PDm-1 | = | the Service Failure Deductions in respect of Payment Period (m-1) |
MUPm | = | the Monthly Utilities Payment in respect of Payment Period (m) |
AUAm | = | any Annual Utilities Adjustment as may be applicable in respect of the previous Contract Year |
PAm | = | any other payment adjustments relevant to the Payment Period (m).8 |
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8 These could include regular Pass Through Costs for additional services outside the Annual Unitary Charge based on Authority requests or ad hoc payments arising from Third Party Revenue, Refinancing Gains, or adjustments arising through application of the Dispute Resolution Procedure or change implemented under clause 60 (Authority and Contractor Changes).