Performance Guarantee

The SMPR suppliers were asked to send their responses on the type of guarantees and warranties offered on plant safety, performance and completion schedule. The responses received vary from precise answers to more general conditions such as Linked with customers demands or scope of supply or Usual guarantees or current practice . Table 3.9 shows these responses. 

A key factor to be evaluated when considering a nuclear power programme is the infrastructure requirements which the IAEA has defined in the following four categories  

It must be recognized that an SMPR will have essentially the same Infrastructure requirements as a larger plant, with the exception that it can be introduced into a smaller electric grid. An SMPR is likely to be considered as a first plant to introduce nuclear power in countries with very weak Infrastructures. The following sections review those aspects which are specific to SMPR procurement in this context, with references made to the relevant IAEA guidebooks for general background and more detailed discussion of these topics. 

The electrical power system of a country or utility consists of two principal components, the electricity generating system and the high-voltage transmission system or the electric grid. Both systems must be kept in-step , since the quality of the electric power provided to the users requires both available generation and reliable dispatching of the electrical output. 

The power grid is a fundamental consideration in the sizing and siting of new power generating units. A general rule-of-thumb states 

Those given by different manufacturers shall be compared for maximum degree of couversiou, miuimum attritiou loss, less susceptibility to impurities in feed streams, overload operations (permissible minimiim/maximiim operating temperamres), 

Overall impact of using a particular catalyst on the operations  

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Statement of performance guarantee. Compressor performance at the rated or design point is normally guaranteed with an allowable variation of 4% on speed and horsepower. 

Once the operation of the unit has lined out, it is time to conduct a series of test runs to compare performance and economic bend its of the unit with what was projected as part of the original project justification. The results can also be used to determine if the unit s performance meets or exceeds the engineering contractor s performance guarantee. 

The choice of the feed injection system should be based on the vendor s experience in similar units with similar feeds and on his yield projection and/or performance guarantee. However, it may be difficult to substantiate the guarantee when other changes are being made in the unit. 

The steam purity limit represents an achievable level if other tabulated water quality values are maintained. ASME points out that the limit is not intended to be, nor should it be construed to represent, a boiler performance guarantee. 

Both standardization and modularization of plants are needed in order to optimize costs and provide schedule and performance guarantees. 

Pneumatic or hydraulic fracturing can occasionally be used to enhance the effective porosity (permeability) of unsaturated zones for SVE or air sparging. Successful soil fracturing is as much an art as a science. Pilot testing by experienced professionals is strongly recommended before performance guarantees are granted. 

C.4.1 The HPRT should receive a performance test at the manufacturer s test facility. Hydraulic and mechanical performance guarantees shall be based on water testing. 

The separator would be handling approximately 420 tons/day of a turbulent mixture of oil and gas. It separates this mixture into a stream of essentially pure gas and a stream of essentially pure liquid. The widely used oilfield separator performance guarantee of a maximum liquid carryover of 0.1 gal of liquid per MMSCF of gas allows a maximum of about 10 parts of liquid carried over per million parts of material handled. This is also approximately equivalent to the loss of a I-lb chunk of coal fcom a 100,000-1b railway car filled with coal. 

A widely used performance guarantee specified that carryover of liquid particles in excess of 10 microns in diameter will not exceed 0.1 gal/MMSCF of gas. A panicle diameter of 10 microns has such little volume that there could be 724.000 liquid panicles of this size in each I standard cu ft of gas and still not exceed this performance guarantee. 

The vessel size and Internals need to be properly designed to enable process performance guarantees to be met under the specified notion conditions. Due to the complexity of motions and Internals there 1s no effective analytical approach and consequently proper design relies heavily on empirical methods. This requires either costly trial and error work on the actual marine vessel or motion simulation. 

Performance guarantee audits measure the extent to which the PBM has complied with any performance guarantees included as part of the contract, such as ID card production turnaround time, mail service turnaround time, dispensing accuracy, customer service response time, and member satisfaction. 

In most cases, the manufacturer s own calibration procedures should be acceptable as they form part of the manufacturer s own performance guarantees and/or quality certification. If special calibration is required, then companies with custom-built test facilities must be used (e.g., a magnetic flowmeter that requires a specific certification will require calibration in a flow rig that has been certified by an approved certifying authority). 

For all methods, strict adherence to the testing protocol is crucial to obtaining reliable and repeatable resnlts. However, it is important to recognise that if a fabric passes a particular test, it j ust means that the fabric passed this particnlar test. There are no other performance guarantees. More detailed information on actual flame retardancy test methods and an outlook on their development have been published. ... 

In addition to the deodorizer types described here, there are also other designs including deodorizers custom designed for a specific company. Deodorizers are usuallly purchased as a unit based on performance guarantees, utility requirements, and quahty of finished oil. Furthermore, the engineering competence and technical support of the suppher, as well as the after-sales service and financial credibility, are becoming more and more important factors in the final decision... 

Basic physical and thermodynamic property data are essential for the design and selection of equipment. Further, the state-of-the-art design of many kinds of equipment may require more or less extensive laboratory or pilot plant studies. Equipment manufacturers who are asked to provide performance guarantees require such information. As indicated in Appendix C, typical equipment suppliers questionnaires may require the potential purchaser to have performed such tests. 

Any one (or more) of the following examples of minimum performance guarantees may be adopted. 

Operation of the MTG Plant has been in accordance with very clearly defined process constraints. These were set by Mobil to act as operating parameters so that performance guarantees could be met. The guarantees are being met and the reactors are nearing end of life. With yields high at end of life, the way is open for careful optimisation to extend life as long as possible. 

Performance testing is an experimental procedure to help understand the performance of an evaporation system. Tests can be performed to identify and characterize unsatisfactory performance, and often indicate methods to improve operation. Performance tests may also be required to establish that a new evaporator system has met performance guaranteed by the supplier. Tests may be used to determine evaporator capacity under different operating conditions or to obtain data for designing a new evaporator system. The American Institute of Chemical Engineers has published a procedure entitled Testing Procedure for Evaporators, This procedure covers methods for... 

These risks take on a variety of forms, from lump-sum price risks to schedule and plant performance guarantees. In many cases, engineering contractors are taking on more risks than the rewards they have requested would warrant. Well-executed risk management is a fundamental discipline in the engineering profession today. 

This total approach to the integration of quality takes suppliers and users close to a performance guarantee that materials and processes will perform as specified. 

Chemical companies usually do not attempt the mechanical design of their own process equipment. Their engineers perform the calculations and conduct the experiments required to fill out a vendor s design data sheet such as shown in Fig. 2.1 for a vapor-liquid contactor. The vendor, who very frequently is not told what chemical is to be processed, submits a quotation and a recommended mechanical design. This must then be evaluated by the chemical companies engineers because, even though there may be performance guarantees, plant shutdowns for modification and replacement are costly. 

When a new column is installed it is often covered by a performance guarantee, and even if it is not it is wise for its owner to find at an early stage what separating power it has. This allows a deterioration in performance at some later date to be detected without doubts. A fall-off in performance due to collapsed or displaced trays, blocked distributors or packing that is not wetting properly is difficult to detect without a base from which to make comparisons. 

Competitive Service Note that the performance guarantee enables Caterpillar to convince customers that parts required for any broken products will be provided quickly. Availability of equipment is critical since downtime of earthmovers and other heavy equipment can result in project delay penalties, and costs can be substantial. 

Design of buildings, equipment rain shelters Project performance guarantees... 

Expenses for arrangement for all inputs such as raw materials, spares, fuels, and power till the stabilisation of plant operations till performance guarantee tests are carried out (plant commissioning) ... 

BOX Build, operate, and transfer. The plant is built and operated by external agency till performance guarantee terms are met and then transferred immediately to the purchaser. 

Additional labour will have to be employed (for the duration) till plant is commissioned and performance guarantee terms are hilly met. 

Finance managers may ask for certain conditions to be met before products are dispatched to an overseas client. Some of these could relate to the performance guarantee terms (these must be finalised in consultation with technical persons), payment of an advance amount by the client, credit terms asked for by client, whether client agrees to pay the costs of packing, insurance and transport for the consignments, and any other taxes and levies to be paid to statutory authorities in supplier s country and client s country. 

The performance guarantee test runs are the most important part of such agreements as they represent completion of the project and the handing over to the regular operational team. Guaranteed maximum raw material and utilities consumptions (will not exceed these figures per unit output of saleable quality of finished product),... 

A performance guarantee test shall be included in the contract with the consultants. 

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