Standard Tie-In Agreement

To provide a stable service, a capacity reservation is required. As a rule, the tie-in party provided a life profile for inclusion in the trade agreement. For each year under a hydrocarbon contract (starting on 1 October), the related party confirms its capacity requirements 12 months in advance. There will be some flexibility to change the lifetime of the field profile in this process. For competitive purposes, a monopoly may use forced purchases or “loyal sales” to make sales in other markets in which it is not dominant and to make it more difficult for competitors in those markets to make sales. This may limit consumer choice for buyers wishing to purchase a product (“binding”) by requiring them to also purchase a second product (“linked”). As a general rule, the “tied” product may be related to a less desirable product, which the buyer may not buy, unless it is necessary or it is better to get from another seller. If the seller offering the related products has sufficient market power in the “binding” product, these agreements may be contrary to antitrust law. Many companies had started using loyalty agreements, but the terms between the different agreements were inconsistent. This led to inefficiencies in the review and commentation of the agreements, so the industry asked the VPA to prepare a model agreement.

The tariff is usually indexed each year on the basis of a standard index published by the Statistical Office. TOTAL would normally perform engineering and modification work for these devices on behalf of new users. a well to be addressed to a third party. With regard to costs, liability and exemption, the intention is to fully maintain the operator. The operator retains control of its facilities during connection activities. The commitment is made at the expense, risk and cost of the producer. The Model Tie-In Agreement uses the standard format of the VPA Model Agreement and the standard PJVA definitions, clauses and articles. . .