DNV KEMA Energy & Sustainability

Power Plant Project Development

A service offering by DNV KEMA

Hemweg 8 coal-fired power plant (right) of Vattenfall, Amsterdam, the Netherlands

Arnhem, August 2013

KEMA International B.V. Utrechtseweg 310, 6812 AR Arnhem P.O. Box 9035, 6800 ET Arnhem The Netherlands
T +31 26 3 56 9111 F +31 26 442 8388 contact@kema.com www.kema.com Handelsregister Arnhem 09076333
DNV KEMA Energy & Sustainability

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Power Plant Project Development

DNV KEMA Energy & Sustainability

CONTENTS
Page

1 Introduction..........................................................................................................................4

2 Why DNV KEMA as your power plant consultant? ...........................................................4

3 Client benefits ......................................................................................................................4

4 services in power plant project development .......................................................................4

4.1 Feasibility study ...................................................................................................................5
4.1.1 Likelihood of granting .........................................................................................................5
4.1.2 Location factors ...................................................................................................................5
4.1.3 Generation technology .........................................................................................................6
4.1.4 Fuel, consumables and residues ...........................................................................................6
4.1.5 Risks and show stoppers ......................................................................................................6
4.1.6 Business case .......................................................................................................................6
4.1.6.1 Levelized cost of electricity (LCoE) ....................................................................................7
4.1.6.2 Market simulation ................................................................................................................8
4.1.6.3 Evaluation of risks ...............................................................................................................9
4.2 Permitting process................................................................................................................9
4.3 Tendering process (Owners Engineer)...............................................................................10
4.3.1 Preparation of conceptual design .......................................................................................10
4.3.2 Preparation of tender documents .......................................................................................10
4.3.3 Tendering procedure ..........................................................................................................12
4.3.4 Bid evaluation and selection ..............................................................................................12
4.3.4.1 Check on compliance .........................................................................................................13
4.3.4.2 Appraisal ............................................................................................................................13
4.3.4.3 Techno-economical considerations ....................................................................................13
4.3.4.4 Final evaluation..................................................................................................................13
4.3.5 Negotiations with the selected bidder ................................................................................14
4.4 Project assessment (Bankers/Lenders Engineer) ...............................................................14
4.4.1 Verification of the design ..................................................................................................14
4.4.2 Environmental and regulatory analysis ..............................................................................15
4.4.3 Review contractual interfaces ............................................................................................16
4.4.4 Verification of the financial model parameters .................................................................16
4.4.5 Review of project development plans ................................................................................16
4.5 Construction phase.............................................................................................................16
4.5.1 Construction monitoring ....................................................................................................16
4.5.2 Commissioning and pre-operational testing ......................................................................17
4.5.3 Guarantee and performance testing ...................................................................................17

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1 INTRODUCTION

DNV KEMA Energy & Sustainability, with more than 2,300 experts in over 30 countries around the
world, is committed to driving the global transition toward a safe, reliable, efficient, and clean energy
future. With a heritage of nearly 150 years, we specialize in providing world-class, innovative
solutions in the fields of business & technical consultancy, testing, inspections & certification, risk
management, and verification. As an objective and impartial knowledge-based company, we advise
and support organizations along the energy value chain: producers, suppliers & end-users of energy,
equipment manufacturers, as well as government bodies, corporations and non-governmental
organizations. DNV KEMA Energy & Sustainability is part of DNV, a global provider of services for
managing risk with more than 10,000 employees in over 100 countries.

2 WHY DNV KEMA AS YOUR POWER PLANT CONSULTANT?

In the field of power generation, we have over 80 years of experience. DNV KEMA offers
consultancy and new concepts for reliable, efficient and environmentally friendly power generation.
One of DNV KEMA’s strengths is a broad experience in all power generation related disciplines and
complicated integrated designs. DNV KEMA as your partner assures high quality services.

3 CLIENT BENEFITS

You can expect the following benefits when choosing DNV KEMA as your consultant:
 objective feasibility analyses and definition studies
 independent advice in state-of-the-art or new power plant developments, focusing on profitability,
efficiency, availability, operability and maintainability
 integrated services covering all project stages and future O&M aspects
 quality assurance during all project stages on electrical, mechanical, control & instrumentation
aspects, as well as environmental and project control matters
 availability of a large pool of consultancy professionals covering thermodynamic, electrical,
mechanical, chemical, process control, environmental and financial aspects supported by high tech
Research and Development programs.

4 SERVICES IN POWER PLANT PROJECT DEVELOPMENT

DNV KEMA has developed an effective approach for rendering services for turnkey supplied power
plants. It is which is based upon the following project phases:
1 feasibility investigations
2 tendering

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3 Construction and Commissioning.

DNV KEMA also provides services during the operational phase of a project. This, however, is not the
subject of this particular service offering.

4.1 Feasibility study

A good feasibility study is paramount in the development of a power plant project. A badly executed
one may lead to unexpected cost and delays in the development and could result in loss-making
operation, if not abortion of the project. A DNV KEMA power plant feasibility study addresses the
following topics:
 likelihood of granting
 location factors
 generation technology
 fuel, consumables, residues
 risks and show stoppers
 business case.

4.1.1 Likelihood of granting

The project will be checked for the likelihood on granting the initiative. The location and the
emissions are major factors which influence the likelihood on the granting the initiative by the
competent authorities.

4.1.2 Location factors

The intended or already selected location is important in power plant development. It determines the
length – and therefore the cost – of the high voltage line or cable to connect to the grid. It determines
whether and how much cooling water and make up water is available1. The location determines in
what way and at what cost the fuel (e.g. lignite) and consumables (e.g. limestone) will be supplied to
the power plant, and how residue is removed. Further the general accessibility of the location is
important in the construction phase. Finally, local regulations may impact on the feasibility of the
power plant. DNV KEMA addresses all these aspects in the feasibility study and quantifies them
financially in the business case (section 4.1.6).

1
If not available, alternative means of cooling need to be applied (e.g. cooling tower or air condensers)

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4.1.3 Generation technology

DNV KEMA assesses the feasibility of the intended generation technology. Optionally DNV KEMA
can provide suggestion for alternative technology or select the best technology for the circumstances.
We consider:
 fitness of technology the for the intended fuel (section 4.1.4), dispatch and location2
 state of development of the technology and number of potential suppliers
 required consumables and their availability
 type and amount of residue produced
 means of utilization or disposal of the residues
 performance
 availability and reliability
 efficiency
 flexibility
 emissions
 capital and operational expenditures.

4.1.4 Fuel, consumables and residues

DNV KEMA looks at the availability, cost3 and properties of the intended fuel (e.g. natural gas, hard
coal, lignite, and oil), consumables (such as limestone and water) and residues such as fly ash, bottom
ash and gypsum. Likely developments in time will be taken into account.

4.1.5 Risks and show stoppers

DNV KEMA draws up a list of the risks associated with the development of the power plant project.
In the Business Case (section 4.1.6) these risks will be expressed in financial terms. Any show
stoppers4 will be reported, as well as the reasons why.

4.1.6 Business case

DNV KEMA will draw up a business case for the development and operation of the power plant.

2
To be confirmed in the tendering process
3
Of purchase and transport to the location
4
Single condition that renders the whole project non-feasible

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2 * 540 MWe coal-fired power plant Maasvlakte, E.ON, the Netherlands

Exhaust plumes originate from new stacks on the FGD units

4.1.6.1 Levelized cost of electricity (LCoE)

In its simplest form the business case is a calculation of the levelized integral and marginal cost of
electricity of the plant at several capacity factors. The client's experience in the market would then
determine whether a viable business case exists at this cost of electricity.

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Year 2010 2011 2012 2013 2014 2015 2026 2027 2028 2029 2030 2031 2032
Project year 1 2 3 4 5 6 17 18 19 20 21 22 23
Operating year 1 2 3 14 15 16 17 18 19 20
Discount factor 1.000 0.935 0.873 0.816 0.763 0.713 0.339 0.317 0.296 0.277 0.258 0.242 0.226
Inflation factor 1.000 1.020 1.040 1.061 1.082 1.104 1.373 1.400 1.428 1.457 1.486 1.516 1.546
Fuel pricing (@plant, USD/GJLHV) 6.64 6.77 6.91 7.05 7.19 7.33 9.12 9.30 9.48 9.67 9.87 10.06 10.27
CO2-pricing (USD/ton) 40.00 40.80 41.62 42.45 43.30 44.16 54.91 56.01 57.13 58.27 59.44 60.63 61.84
CoE (USD/MWh) 75.49 77.00 78.54 80.11 81.71 83.34 103.63 105.70 107.81 109.97 112.17 114.41 116.70
Investment (MUSD)
Total Investment (MUSD) -290.0 -290.0 -290.0 0 0 0 0 -183 0 0 0 0 0
Capacity factor 80% 80% 80% 80% 80% 80% 80% 80% 80% 80%
Elektricity production(GWh) 5 984 5 984 5 984 5 984 5 984 5 984 5 984 5 984 5 984 5 984
Fuel consumption (TJ) 38 207 38 207 38 207 38 207 38 207 38 207 38 207 38 207 38 207 38 207
CO2-emission (kton) 2 155 2 155 2 155 2 155 2 155 2 155 2 155 2 155 2 155 2 155
OpEx (MUSD)
Fuel -269.2 -274.6 -280.1 -348.3 -355.2 -362.3 -369.6 -377.0 -384.5 -392.2
CO2-emission -91.5 -93.3 -95.2 -118.3 -120.7 -123.1 -125.6 -128.1 -130.7 -133.3
O&M fixed -11.4 -11.7 -11.9 -14.8 -15.1 -15.4 -15.7 -16.0 -16.3 -16.7
O&M variable -26.1 -26.7 -27.2 -33.8 -34.5 -35.2 -35.9 -36.6 -37.3 -38.1
Total OpEx (MUSD) -398.3 -406.3 -414.4 -515.2 -525.5 -536.0 -546.8 -557.7 -568.9 -580.2
Electricity revenues @ CoE (MUSD) 479.3 488.9 498.7 620.1 632.5 645.1 658.0 671.2 684.6 698.3
EBITDA (MUSD) 81.0 82.7 84.3 104.8 106.9 109.1 111.3 113.5 115.7 118.1
Corporate tax (MUSD) 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0
Cash flows (MUSD) -290.0 -290.0 -290.0 81.0 82.7 84.3 104.8 -75.8 109.1 111.3 113.5 115.7 118.1
Ditto discounted (MUSD) -290.0 -271.0 -253.3 66.2 63.1 60.1 35.5 -24.0 32.3 30.8 29.3 28.0 26.6
NPV (MUSD2010) -290 -561 -814 -748 -685 -625 -123 -147 -115 -84 -55 -27 0
NPV (MUSD2010) after 20 years 0
LCoE (USD2010/MWh) 75.49

Calculation of integrated levelized cost of electricity (LCoE) at capacity factor of 80%

4.1.6.2 Market simulation

Alternatively DNV KEMA can carry out a market simulation of the electricity market in which the
intended power plant is going to operate. For this stage information is used concerning e.g. demand
development, demand profile over the year, current and future generation portfolio (and its properties)
and fuel price developments. For a number of countries and regions this model is already available,
greatly reducing time and cost of the simulation.

The dispatch of each power plant in the simulation is determined by its marginal cost. One of the
results is the dispatch of the envisaged power plant and its yearly revenues based on the calculated
market clearing prices5. Netting these revenues with the yearly operating cost yields a cash flow
pattern over the evaluation period. Discounting these cash flows, summing the results and subtracting
the investment yield the net present value. This value should be positive for economic feasibility of the
power plant project.

5
N.B. the calculated market clearing price is a cost reflective price, which could only arise in an ideal market.
Generally real market clearing price are higher, meaning that the simulation gives a conservative indication
of the revenues

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4.1.6.3 Evaluation of risks

The risks identified in section 4.1.5 will be evaluated in a so-called sensitivity analysis. The Tornado
chart below indicates the effects of uncertainties in input parameters on the LCoE of a power plant.
The chart is read as follows. The dashed vertical line indicates the base case result (when all the input
parameters are at their expected value): the LCoE is 54.05 EUR/MWh.

The red and blue bars indicate the changes in the LCoE when the input parameters change. E.g. when
the yearly coal price increase changes from its base case value of 0.116 to 0.171 EUR/GJ/a, the LCoE
increases from 54.05 to app 62.5 EUR/MWh. In the same way a yearly coal price increase of 0.062
EUR/GJ/a would lead to a LCoE of app 46.5 EUR/MWh. When the cost of one ton of CO2 emitted
increases from EUR 15 to EUR 30, the LCoE increases to approximately 65 EUR/MWh.

Base case value is 54.05

LCoE (EUR2009/MWh)
40 45 50 55 60 65 70

Coal price increase (EUR/GJ/a) 0.062 0.171

Cost of one ton of CO2 emitted (EUR2009/ton) 10 30

Uncertainty in specific investment cost power plant (EUR2009/kWe) -200 300

Inflation rate (per annum) 0.03 0.01

Economic lifetime 30 15

WACC (real, post-tax, per annum) 0.04 0.06

Capacity factor 0.85 0.75

Coal transshipment and transport cost (EUR2009/GJ) 0.2 0.4

Variable maintenance cost power plant (EUR2009/MWhfuel) 1.05 1.65

Specific CO2 emission (ton/GWhfuel,LHV)) 319 352

Yearly average efficiency mark-down 0.0025 0.0075

Specific fixed maintenance cost power plant (fraction of investment/a) 0.005 0.008

Specific re-investment cost (fraction of initial) 0.0225 0.0675

Example Sensitivity/risk analysis of levelized cost of electricity

4.2 Permitting process

The ESIA (Environmental and social impact assessment) supports the decision-making on activities that
may have important environmental and social consequences. DNV KEMA has a wide experience in
ESIA in the fields of power generation, including renewable energy, biomass and waste treatment,
recycling and other industrial processes. From a business perspective, the objective of carrying out an

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ESIA is to obtain the required permits as soon as possible. DNV KEMA provides all the necessary
support. This ranges from drawing up all application documents to assistance during the permit
procedures including a possible appeal stage.

All impact assessments that have been drawn up by DNV KEMA in the past have been fulfilled within
the scheduled time and to the satisfaction of our clients. Delays can cause serious consequences for
projects with high investments. Our numerous repetition orders are the best proof of the satisfaction of
our clients. DNV

DNV KEMA have available all environmental, social procedural and technical expertise needed. Our
technical excellence enables us to communicate on an equal level with our clients and advise them
thoroughly on technical issues. This also enables us to compile the ESIA and permit documents in a most
effective and efficient way. We are widely recognized as a high-quality and independent advisor which
significantly contributes to the acceptance of all documents by competent authorities and the public.

4.3 Tendering process (Owners Engineer)

DNV KEMA distinguishes the following stages in the tender process:

 preparation of conceptual design
 preparation of tender documents
 tendering process itself
 bid evaluation and selection
 negotiations with the selected bidder.

4.3.1 Preparation of conceptual design

DNV KEMA will prepare a conceptual design package consisting of process flow diagrams, data
sheets of main equipment, plot plans, single line diagrams and process control philosophy. Further an
indicative material and energy balance will be prepared, including required amount of cooling and
make up water, consumables and rest products. Also an overview of emissions will be supplied.

4.3.2 Preparation of tender documents

The conceptual design is the basis for the preparation of the tender documents. Depending on the
wishes of the client DNV KEMA will use the format of the client or the tender document procedure of
the involved banks such as The World Bank or Asian Development Bank. The standard bidding
documents for procurement of plant design, supply and installation is divided into:

Part 1 Bidding procedures

Section I: Instruction to Bidders (ITB)

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Section II: Bid Data Sheet (BDS)

Section III: Evaluation and Qualification Criteria
Section IV: Bidding forms
Section V: Eligible Countries

Part 2 Employers Requirements

Section VI: Employer’s Requirements

Part 3 Conditions of Contract and Contract Forms

Section VII: General Conditions
Section VIII: Particular Conditions
Section IX: Contract Forms

If a tender document package is not available with the client, DNV KEMA has an in-house tender
package which is divided into:
 Part I Instructions to bidders/Expression of interest
 Part II Commercial volume
 Section 1: Conditions of contract
 Section 2: Particular conditions of contract (of employer)

 Part III Technical volume

 Section 1: Project definition
 Section 2: Scope of work and Functional specifications
 Section 3: Project execution
 Section 4: Standard specifications.

The functional specifications of the main components of the plant will be prepared in such a way, that
on one hand they clearly define functional requirements, main operating parameters and configuration
of the plant, whilst on the other hand they leave open to bidders the opportunity to propose
improvements. The best technologies and deliveries would be based upon proven design, present
status of technology, engineering and manufacturing practice. This is to be demonstrated by good or
excellent operational records.

Functional specifications will be elaborated for the mechanical, electrical, control and instrumentation
and civil and infrastructural parts of the power plant.

In addition a specification for a long term service agreement can be prepared.

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BOUNDARY WALL
JETTY
SECURITY
POST
22
PROPOSED U/G GAS LINE

ROAD ROAD
EXISTING U/G GAS LINE TITAS GAS STN.
GODOWN HOSTEL ABONDED

230KV GIS SUBSTATION

SECURITY TO BE BUILT BY PGCB

U/G GAS PIPE

POST

230KV U/G CABLE

PROPOSED
GAS STATION [RMS] WATER TANK
SECURITY WITH GAS COMPRESSOR
POST

E A
O/H GAS PIPE
GAS STN.
UNIT 5-6 AR
GAS STN. N
UNIT- 1,2,3,4
OW ER
YD
15
NT
20
14
CE
17 LA NG
A NI

LOCAL CONTROL ROOM

OIL TANK TR
R

E
P OL
C.
36
N
R.
E

OW
16
11 39 PROPOSED D
36
GAS STATION [RMS] GO
WITH GAS COMPRESSOR

PP
V

10

CC
W
3 3
0M
45
I

38 36
33
ED
OS
41 37

OP
R

PR
UNIT-3 UNIT-5 UNIT-6
19
WORK SHOP

3
13
29 28 UNIT-4
PIPE RACK
FIRE WATER BOILER
GATE
24 VALVE
PIT
26
21

N
40 2 2
2 2 2

CARPENTER 27
M. REWELDIN
28
23 24
FIG:7.2 B
UNIT-1 UNIT-2
GHORASAL POWER STATION .
TURBINE HALL
1 1 1 1 1 FEASIBILITY STUDY ON REPOWERING OF 210 MW STEAM
INTAKE PUMP HOUSE TURBINE UNITS AT GHORASAL TO CONVERT TO CCPP.

KEMA INTERNATIONAL B.V. THE NETHERLANDS

9 AND
8
ATLANTA ENTERPRISE LIMITED.

LAYOUT FOR FULL REPOWERING OF UNIT-4

HRSG IN PLACE OF EXISTING BOILER

Plot plan for a Repowering project in Bangladesh

4.3.3 Tendering procedure

In the prequalification procedure DNV KEMA invites candidate EPC contractors (bidders) to apply as
intending subscriber. The objective of this procedure is to select the candidates who can offer the best
combination of price and performance and have sufficient financial and technical strength to provide
it.

After selection of companies with the best potential, the tender process is started. The tender document
package is sent to the selected contractors. These will be invited to offer their best technologies and
deliveries that meet the requirements. Bidders have the opportunity to submit questions in writing,
during one simultaneous round. These questions will be registered and all bidders will receipt a
complete set of questions and answers to ensure a fair and uniform procedure.

4.3.4 Bid evaluation and selection

The general objective of the evaluation phase is to determine whether the bids fulfill the requirements
of the tender documents or not, and establish any deviations and shortcomings. When this is carried
out, the bidder(s) with the best combination of price and performance are selected for further
negotiation. In the evaluation procedure the 4 steps described below will be carried out.

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4.3.4.1 Check on compliance

First, the bids are checked on completeness. Second, the bids are checked for compliance with the
requirements as laid down in the tender documents. These checks are carried out for the technical, the
commercial as well as the legal part.

Deviations and shortcomings are discussed with bidders in one or more rounds of questions. If the
contractor does not adjust the bid, the deviations and shortcomings will be laid down in writing and
taken into account in the next phases of evaluation.

4.3.4.2 Appraisal

In the second step appraisal of the bids will be executed in two separate teams, based on quality as
well as quantity aspects:
 review of the technical concepts and solutions (such as scope of work, capacity, availability,
performance, quality level)
 review of the commercial and legal aspects of the bid (e.g. price, conditions, project organization,
time schedule, guarantees).

This separate approach is chosen to avoid that commercial aspects will influence the technical
appraisal and vice versa.

4.3.4.3 Techno-economical considerations

In this step the differences between the bids will be expressed in a financial way. By entering the
relevant properties of the different bids in the business case (section 4.1.6), it becomes clear how
differences in price, performance, availability, construction time schedule; and payment conditions
impact of e.g. cost of electricity.

4.3.4.4 Final evaluation

The evaluation procedure results in a summary report in which an interrelated review of all relevant
data is given, taking into account technical, commercial, legal as well as techno-economical aspects. In
close co-operation with the owner, careful weighing between these aspects will take place. Finally a
ranking of bids is established and the candidate(s) for further negotiation are selected.

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4.3.5 Negotiations with the selected bidder

After selection of the winning bid, KEMA assists in negotiating improvements in the bid, so that the
finally offered services and equipment meet full approval of the client. The contract documents will be
drafted based on the Tender documents. The hierarchy of documents in the contract and order
specification is:
 contract agreement
 particular conditions of contract
 general conditions of contract
 Owner's Requirements:
- project definition
- scope of work
- project execution
- standard specifications
- contractors’ bid.

4.4 Project assessment (Bankers/Lenders Engineer)

This section explains the role of Bankers/Lenders Engineer during the development of power plant
project.

4.4.1 Verification of the design

DNV KEMA will review and assess on consistency, design margins, good engineering practice,
operational flexibility, redundancy and maintainability the following contracting documents: process
design, process flow schemes, piping & instrument diagrams, main equipment data sheets and
specifications, area classification diagram, plot plan and lay-out drawings, component designs, process
control philosophy, block diagram of functionality structure, electrical one line diagram and critical
civil constructions.

Material and equipment selection will be checked on proven design and good operational experience
records in reference plants as far as specific operational experience data can be made available and can
be traced.

Special attention will be given to the technical concepts and interfaces (such as civil constructions,
controls, cool water system, and high-voltage system & grid requirements. DNV KEMA will assess
the quality assurance system, quality related codes & standards, applied for the manufacturing and
construction of the power plant.

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DNV KEMA’s knowledge based operational experiences will be used in order to substantiate the
reliability and availability performances; the required plant organization; and operating & maintenance
expenditures as well as the potential and experienced plant failures and sensitivities.

Flue gas desulphurization plant Essent, Amer Power Station, the Netherlands

4.4.2 Environmental and regulatory analysis

DNV KEMA will review and assess: the environmental impact assessment report; the license
application forms; operating permits and correspondence with the regulatory authorities will be
studied. Possible constraints will be identified. The consent allowed will be compared with the
legislation requirements.

Possible future changes in legislation requirements will be specified and the impact upon future
operational constraints or capital investments will be indicated. The availability of an adequate
environmental management system will be verified.

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4.4.3 Review contractual interfaces

The structure and responsibilities of the contracting partners, as outlined in the associated agreements,
will be reviewed on evidence, consistency and completeness. Contractual responsibilities and
restrictions (limitations) affecting the operational behavior and record of the facility will be assessed.

Contractual obligations, as laid down in the engineering, procurement and construction contracts will
affect the performance capability and required reliability level of the plant. Acceptance and
performance test procedures as well as guarantee conditions will be reviewed to assess the plant
capability and back service level.

4.4.4 Verification of the financial model parameters

Plant figures, such as capacity, performance, availability & reliability and operating & maintenance
costs, will be verified. These inputs for the financial analysis scheme as well as for the sensitivity
analysis will be provided.

4.4.5 Review of project development plans

The risks to investors during project development and execution may lead to substantial extra costs
and delays. Risk oriented reviews of project plans and management documents by an independent
engineer will reduce substantially the adverse consequences of oversights substantially.

4.5 Construction phase

4.5.1 Construction monitoring

DNV KEMA monitors the work progress in the engineering, procurement and construction phases
against the detailed project schedule, as proposed by the contractors and accepted by the owner. The
main monitoring points are:
- completion the project within the specified time schedule and contracted price
- maximum results concerning functionality, quality, completeness, operability and
maintainability of the power plant.

Quality control activities performed by DNV KEMA, concentrate on:

 project quality management
 guidance of the contractor in setting-up a quality control plan

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 review on compliance with the quality requirements

 inspection and quality assessment of critical component fabrication.

Quality Assurance and Control during Construction

4.5.2 Commissioning and pre-operational testing

DNV KEMA reviews the document structure and instructions used during commissioning and
functional testing for compliance with the prescribed requirements. The operation and maintenance
procedures will be reviewed on set-up and completeness. A compliance check of the operation
manuals with the DCS functionalities will be performed. Functional test runs, process testing and
measurements will be witnessed and test results will be assessed and evaluated. Inspections will be
performed in the context of acceptance of systems and installations parts.

4.5.3 Guarantee and performance testing

Performance tests and guarantee measurements can be provided by DNV KEMA. We have a
professional team and testing equipment available to execute the performance tests as a third party. If

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another third party executes these performance tests DNV KEMA can supervise the tests and review
the results, as Independent Engineer.

Performance Measurements

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