Common use of Performance Calculations Clause in Contracts

Performance Calculations. Definitions: • Abbreviations: C/P — Charter Party S/B — Sea Buoy • C/P Distance — For a given voyage is the total observed distance, S/B to S/B less any segment of the voyage excluded per agreement in the C/P (such as certain weather conditions, off-hire periods, or Canal transits.) Such segments are referred to as “exclusions” below. Any total observed distance that exceeds that determined from the BP Distance Tables by more than 3 percent will require special review and verification. The S/B to terminal distances must be adjusted out of the BP Distance Table values to determine S/B to S/B distances for the comparison above. • C/P time, in hours, for a given laden or ballast voyage is determined by dividing the C/P distance by the appropriate laden or ballast warranted speed from Clause 24. • Actual hours at sea for the S/B to S/B voyage is to be adjusted to reflect “exclusions”. • Average actual speed is determined by C/P distance divided by actual hours. • Maximum/minimum C/P hours are determined by average actual speed divided by C/P speed +/- margin per Clause 24, times actual hours. • If average actual speed is within maximum and minimum C/P hours, there is no performance claim for speed. • Hours lost/gained are determined by actual hours less maximum/minimum C/P hours. • Formula for calculating hire per hour — Hire Rate x 12 months 365 days x 24 hours Note: Hire rate, referred to above, in $/month, shall include effects of escalation and other costs, if any, allowed for in the C/P for the period in question. • C/P fuel for propulsion for a given voyage is determined by multiplying the C/P time (expressed in days) by the warranted fuel consumption from Clause 24. • Actual and C/P fuel consumption at sea for the S/B to S/B voyage will also be adjusted to reflect “exclusions”. • C/P consumption is determined by C/P days (C/P hours/24) x C/P fuel per Clause 24. • C/P consumption margin is determined by C/P days x C/P fuel margin per Clause 24. • If actual consumption is within the sum and difference of C/P consumption margin, there is no performance claim for propulsion fuel.