(a) Where the Equipment Modification is in respect of an item of Group 3 Equipment, subject to section 6.3(b), any changes in relation to the Group 3 Purchase Cost will be payable from (or credited to) the Group 3 Limit and the Modification Amount will only relate to ancillary costs calculated in accordance with the formula below:
MA = (DCE - DCS) + (AW - RW)
where:
MA = Modification Amount;
DCE = the cost of delivery, relocation, transport, installation, connection, commissioning and testing (to the extent that such costs, or any component of those costs, are not expressly specified in the Equipment List as being included in the Purchase Cost for the relevant item of Group 3 Equipment) which is incurred as a result of the Equipment Modification;
DCS = the cost of delivery, relocation, transport, installation, connection, commissioning and testing (to the extent that such costs, or any component of those costs, are not expressly specified in the Equipment List as being included in the Purchase Cost for the relevant item of Group 3 Equipment) which is avoided as a result of the Equipment Modification;
AW = the Construction Base Costs for the additional Works (excluding DCE), required to be undertaken as a direct consequence of the Equipment Modification; and
RW = the Savings from any reduction in Works (excluding DCS) as a direct consequence of the Equipment Modification.
(b) No Margins or Agreed Margins are payable on the Modification Amount save where the aggregate Purchase Cost for Group 3 Equipment exceeds the Group 3 Limit, then the Construction Margin set out in Table 2 will apply to and be added to the amount by which the aggregate Purchase Cost exceeds the Group 3 Equipment Limit. No Margins or Agreed Margins will be payable on DCE or DCS or the net of (DCE - DCS).