Fuel Management Fee Sample Clauses
The Fuel Management Fee clause establishes a charge related to the management, procurement, or usage of fuel within a contractual arrangement. Typically, this fee may be calculated based on actual fuel consumption, a fixed rate, or as a percentage of operational costs, and is often applied in agreements involving vehicle rentals, equipment leasing, or transportation services. Its core function is to clearly allocate the costs and responsibilities associated with fuel usage, ensuring transparency and preventing disputes over fuel expenses between the parties.
Fuel Management Fee. Energy Manager shall be paid an annual Fuel Management Fee, in consideration for Energy Manager's performance of the Fuel Services contemplated herein. The amount of such Fuel Management Fee shall be agreed upon by the parties not later than the Closing Date and shall reflect a fee of $750,000 and an allowance for certain costs. These costs included in the Fuel Management Fee shall be comprised of an appropriate allocation of compensation paid to employees and expenses of the Energy Manager, an appropriate allocation of such costs of employees and expenses of the Energy Manager's parent or affiliates to the extent such employees provide service pursuant to this Agreement and an appropriate allocation of depreciation and return on the undepreciated balance of Energy Manager and its parent or affiliates owned assets. The cost component of the initial Fuel Management Fee, once established and approved by Authority, will be indexed in the same manner as the Direct Cost Budget under the Management Services Agreement until the termination of the Management Services Agreement and thereafter subject to mutually agreeable adjustments. Authority shall pay the Fuel Management Fee to Energy Manager in twelve equal monthly installments, payable in accordance with the provisions of Section 3.4.
Fuel Management Fee. The Owner shall pay Operator a management fee (the "Fuel Management Fee") commencing in the first month of the Effective Date. The Management Fee will be $125,000.00 per year, payable in monthly installments of $10,416.
Fuel Management Fee. 3.1 Base Fee - In consideration of the Gas procurement, sale and management services provided by Marketer pursuant to this Agreement, Company shall pay Marketer a fuel management fee each month following the Effective Date equal to one thousand dollars ($1,000.00), escalated each Annual Period by CPI (the "Base Fee").
3.2 Renegotiation of Base Fee - Within ninety (90) Days prior to the beginning of the fourth Annual Period, Marketer or Company may request in writing a redetermination of the Base Fee. Following the receipt of such request, Marketer and Company shall negotiate in good faith to attempt to mutually agree upon a revised Base Fee, taking into consideration, among other things, any changes in (a) the staffing and costs associated with providing the marketing services under this Agreement (including the ability of the staff assigned to administering this Agreement to also provide similar services under other fuel management services arrangements with Affiliates of Company) and (b) the risks that Marketer assumes in purchasing the Gas and other services under this Agreement. If the Parties are unable to mutually agree upon a revised Base Fee, then either Party shall have the right to terminate this Agreement at the beginning of the fourth Annual Period upon providing the other Party written notice on or before the beginning of the fourth Annual Period. Marketer agrees to (a) continue to provide fuel management services under the terms of this Agreement and (b) to provide transitional support to any replacement fuel management services provider, in each case, for a period of up to three (3) months following the termination of this Agreement if requested by Company.
Fuel Management Fee. The Owner shall pay Operator a management fee (the "Fuel Management Fee") commencing in the first month of the Effective Date. The Fuel Management Fee will be $25,000 per year, payable in monthly installments of $2,083. [The Fuel Management Fee shall be $25,000 per year prorated based upon the fuel BTU's purchased in the year prior to the exercise of the Second Option Agreement with respect to the Plant.] In addition, Owner shall pay Operator for the cost of Fuel and fuel related taxes, as well as third party fuel related fees and costs prudently incurred consistent with existing practice under the Energy Management Agreement and Appendix D to this Agreement.
Fuel Management Fee