Every waiver will be charged an administrative fee:
Methanol waiver application fee = £2,400 per waiver.
All other waiver application fee = £2,180 per waiver.
Breach waiver fee = £3,190 per breach notified within 24 hours or £5,310 if notified after 24 hours.
Short notice waiver fee = £110 in addition to waiver application fee above.
Late close out waiver fee = £110 in addition to waiver application fee above.
These fees are applicable from 1 January 2017 and will be reviewed and updated annually.
All fees quoted are exclusive of VAT.
H2S Scavenger Fees
No processing fee applicable.
Methanol Category 1 Fees
The category 1 methanol fee is a pre-estimate of the incremental costs incurred due to the increased frequency of replacing the molecular sieve beds; These include the cost of the materials as well as cost of flaring off-specification propane during each bed change out.
The fee is £4,250 per cubic metre of methanol exported in FPS.
For waivers not closed out in time, customers will be charged for volume requested rather than volume used. This is because capacity is sterilised in the system and cannot be used by others.
Methanol Category 2 Fees
Customers will be charged a Methanol Category 1 Fee (as above) and in addition:
- the cost of replacing molecular sieve bed(s) that have been damaged by the methanol;
- if the methanol causes any gas products to go out with its redelivery specification then the customer will be charged the additional costs associated with this, which will include but are not limited to: the cost of disposing of off-specification propane, either as fuel gas, distressed sale to INEOS or flaring; environmental costs associated with additional flaring additional admin costs associated with making hydrocarbon accounting adjustment and accounting entries relating to the off-specification gas products.
- if the methanol is predicted to cause the Kinneil effluent treatment plant to go off specification then the customer will be charged for the additional costs associated with a consent variation to SEPA, which includes extra BOD ( Biological Oxygen Demand) and COD (Chemical Oxygen Demand) sampling to comply with this variation.
INEOS estimates these additional category 2 methanol costs to be in the region of £2m per waiver. However, we stress that the customers will be charged the full costs associated with volume of methanol received at Kinneil. INEOS will not raise any additional charges if costs are not incurred.
Water Volume Fees
The fee is £0.1592/bbl chargeable per barrel of water exported into FPS.
No processing fee is applicable. These fees are applicable from 1 January 2017 and will be reviewed and updated annually.
FPS will invoice customers for the appropriate waiver fee 2 months in arrears. The invoice will state the quantity and types of waiver that the customer has applied for during the relevant month.