Guidance Note: The Commercial Principles illustrated in this Schedule 1 will need to be amended as necessary by the Project Owner to reflect the specific Commercial and Legal Framework developed for the Project. |
The Project Owner is committed to achieving commercial and business outcomes that will provide value for money to the State. There are a number of commercial principles which inform the Commercial and Legal Framework.
∙ all Participants are jointly responsible for achieving the Project Objectives;
∙ 100% open and transparent accounting;
∙ actual cost reimbursement;
∙ performance that fails to achieve MCOS Performance leads to liability under the Risk or Reward Regime;
∙ collective assumption of risk in accordance with the Risk or Reward Regime;
∙ the Non-Owner Participants remuneration is commensurate with their performance; and
∙ the Non-Owner Participants are incentivised to achieve the Project Objectives.