Detailed terms & conditions for bottler
- Eligibility criteria
Land owner willing to establish his own business with a steady return and capable to handle operations of plant and capability to deal with the state government’s organizations.
- Financial requirement
Total investment is about Rs. 3 Crore except the value of land which can be invested in partnership with company’s associate concern, S.O. Gas Products Pvt. Ltd., MSME company of 1984 (A JV between the two). Min 10% investment by land owner is mandatory in partnership. The market value can be taken in L.L.P (Limited Liability Partnership), if agreed by the associate concern otherwise rent for the land will be paid from L.L.P as expenses. The Minimum rent will be 3% to 4% per annum of the value of land. The market value will be assessed by 2 Govt./ Bank approved valuer However, it can be decoded mutually at the time of execution of LLP, if required by the applicant.
For bottling plant land will be required up to 3 acre (12041 Sq. meters) for 100 MT storage capacities. Office will be built up at the land as per specification and rules.
- Security deposit
Rs. 10,00,000/- (Rupees ten lac) against 8% simple interest per annum returnable at the time of maturity of the agreement.
- Franchisee fee
₹. 1.00 lac (Rupees one lac) only one time payable with 1st order(Non Refundable)..
- Terms of appointment
The terms will be for the period of lease executed. The renewal will be at the sole discretion of the company. The company will have a right to terminate the agreement earlier, if violation of any of the contractual terms is brought to its notice, and in that case, his security will be forfeited.
250 KMs radius from the location of plant.
- Statutory provisions
The Company has complied with mandatory requirements required for LPG business as per gazette notification no 293 dated 24th May, 2000 issued by the Ministry of Petroleum, Govt. of India banning the use of domestic cylinder for commercial purpose. The applicant will He comply with applicable statutory requirements i.e. shop establishment, GST registration and insurance of the stock in trade etc. The company will get approval of all valid licenses from Chief Controller of Explosives, Nagpur. The applicant will local permissions/NOC from District Magistrate of the area and other compliances of the state's government.
The company has tied up with Aegis Gas Pvt. Ltd., Mumbai and Indian oil Petronas Private Limited, Kolkata ensuring product consistency, quality, and safety with international standards for regular supply of LPG as per specification. The company have the right to purchase LPG from any other party. Bottler will make arrangement of tankers for procurement at plant from nearest facility assigned by the company.
To control, manage and run the plant as per the safety guidelines of the licenses issued by Chief Controller of Explosives, Nagpur. NOC from District Magistrate as well as compliances of state's government and civil work of the proposed plant
- Return on investment
Bottling charges @ Rs. 1.00 per kg; cylinder purging Rs. 5/- per cylinder; Valve change charges; Rs. 10/- per cylinder; Bulk supply Rs. 200 M.T.; with a minimum guarantee of 60% of 1.20 Cr. i.e. ₹. 72.00 lacs per annum per year as given by the PSU’s in their tenders invited for private Bottling assistance in the year 2018-19.
- Support from the company
- Training to plant supervisor, accountant, clerk and any other staff appointed by the bottler at business associate/company’s office.
- Provide printed stationery at reasonable rates, if desired by the bottler.
- Allow bottler to recommend associates in his area as per terms and conditions framed by the company.
- Already offered joint venture with financially sound associate company mentioned above having all working experience in the trade.
- Submission of report/returns
Submit periodical reports/returns in timely to the company
- Surrender of Associationship
Either party shall give at least 3 months notice, if did not want to renew the period of agreement or as per terms of partnership with the concern associates. The notice to be given to either party shall be deemed to have been served if sent by registered post at the address entered in this agreement or the changed address duly communicated. In case of notice prematurity, no interest on security deposit will be given.
- Arbitration clause
In case, any differences or dispute arises between the parties, it will be referred to the sole arbitrator to be appointed by managing director of the company. The arbitration proceedings shall be governed by the provisions of arbitration and conciliation act as applicable at the prevailing time. Language of the proceedings shall be in English and venue for arbitration shall be in Delhi. The decision of the arbitrator will be binding on both the parties. Courts of Delhi only shall have jurisdiction to adjudicate upon the findings of sole arbitrator.
- Miscellaneous provisions
- All terms and conditions have been framed in English language and translation options are for understanding purposes and facilitate the visitors only. In case any difference is found in translation, English version shall be final and binding.
- These are general terms and conditions; the contract/agreement executed between the parties after negotiations shall be final and have an overriding effect on these general terms and conditions.
- These terms and conditions may be changed, altered, modified depending upon the change in governing rules and regulations issued by the Government of India from time to time.
- The acceptance or rejection of the application is at the sole discretion of the company. After rejection, no correspondence will be entertained in this regard.
- The company reserves the right to change, amend, add or delete any/all clauses at any time without prior notice.
- All disputes are subject to jurisdiction of Delhi courts only.
He will return the duplicate copy of these detailed terms and conditions duly signed in token of acknowledgement and acceptance to the company.