The Owner's proposed Commercial Framework should be included in the EOI/RFP document together with its rationale and guidance on where innovation from Proponents would be welcome.
The Proponent's response should be part of the selection criteria which demonstrates their understanding of the:
• Commercial Framework and its mechanics;
• Owner's objectives; and
• project challenges.
The feedback should also demonstrate the Proponent's openness in challenging the Commercial Framework productively. This feedback will also provide a solid basis for a productive discussion topic with Proponents after submission of their written responses to the RFP.
As part of their response, Proponents should provide their proposed distribution of gainshare/painshare amongst individual corporations so that the Owner can assess the commercial alignment of the parties to the Project Proposal.
The Commercial Framework needs to be agreed (apart from non-material matters) with each Proponent as part of the selection and assessment process. The Commercial Framework should not be developed after executing the PAA since the final Commercial Framework should be a fundamental mechanism to evaluate the Proponents.