Service contract

The Service Agreement specifies the prices and terms of delivery of the entire list of consumables and spare parts that may be required during the operation of the power plant.

In addition, the cost of the work of the SINAPSE service personnel to perform scheduled preventive maintenance of the equipment of the cogeneration power plant in accordance with the recommendations of the manufacturer is stipulated.
Additionally, the following may be specified:

• maximum response time of SINAPSE service personnel to the Customer’s call;
• providing round-the-clock access to the “hot line” of the emergency service.

The Service Agreement does not contain any obligations of the Customer.

ADVICE:

• The conclusion of a service agreement simultaneously with a contract for the construction of a cogeneration power plant allows you to accurately plan future operating costs and, thereby, dramatically increase the investment attractiveness of the project.
• The labor cost calculation uses the time standards recommended by the manufacturer. Even if the mechanic actually spends more time than the standard, the Customer pays only the amount specified in the Service Agreement.

This type of contract includes all preventive maintenance required for your power plant. For a set low price fixed at signing.

The standard preventive maintenance program for a natural gas cogeneration plant includes:

every 2 thousand working hours: checking the performance of all systems, replacing oil and air filters; checking valve clearances; checking the ignition system; checking the resistance of the exhaust gas/water heat exchanger;

checking/replacing the natural gas filter; checking the level of acid in batteries; checking/replacing the filter of the crankcase deaeration system; as well as other works in accordance with the regulations;

every 10 thousand operating hours, in addition to the scope of work every 2 thousand hours: check / clean deposits in the turbocharger on the compressor and turbine side; checking the axial and radial clearance (beat) of the turbocharger;

repair (replacement of seals) of the water pump; starter check/repair; checking/repairing the throttle, carburetor, turbo bypass; as well as other works in accordance with the regulations;

every 30 thousand working hours, in addition to the scope of work every 10 thousand hours: repair (replacement of seals) of the oil pump;

change of cylinder heads; replacement of pistons in the kit; replacement of cylinder liners;

change of connecting rods with bearings;

change of camshaft and pushers; replacement of the exhaust manifold and dampers in the exhaust tract; as well as other works according to the regulations.

Additionally, the Agreement may stipulate:

• allowable response time of the SINAPSE service personnel to the Customer’s call;
• training of the Customer’s operating personnel;
• overhaul;
• oil management: supply of fresh and disposal of used lubricating oil; carrying out chemical analyses.

This Service Agreement does not include:

• возможные ремонтные работы вне графика планового обслуживания;
• ежедневный и еженедельный осмотр, ведение операционного журнала, и другие работы, связанные с текущей эксплуатацией;
• гарантии определенного коэффициента готовности оборудования (относительного времени, в течение которого, оборудование исправно и готово к работе).

All work is carried out in accordance with the requirements of the current legislation in Ukraine (DSTU 3649-97), as well as in strict accordance with the instructions of the manufacturer.

ADVICE:

• With sufficient qualifications, the operating personnel of your power plant can independently carry out a preventive maintenance program in the amount of every 2 thousand operating hours, as well as oil change work. This will reduce the cost of scheduled (preventive) maintenance by 15-20%. Self-performing more in-depth preventive maintenance does not justify itself, since this requires a specialized tool and special skills; in addition, the warranty will be removed for installed components: pistons, liners, connecting rods, cylinder heads, etc.;
• Scheduled maintenance at official 2G Energy service centers will significantly increase the value of your cogeneration power plant when it is sold or pledged.
• Conscientious implementation of all recommendations of the manufacturer for the operation of gas piston modules significantly increases the reliability and efficiency of the power plant, reduces equipment downtime for repairs.

This Agreement includes the full scope of preventive maintenance according to the manufacturer’s recommendations, as well as the entire scope of unscheduled maintenance (repairs) necessary to maintain the power plant in good condition.

For a set low price, fixed upon signing, which is calculated for 1 working hour of the module.

The cost of the Agreement includes:

• the work of service personnel, as well as all the necessary consumables for scheduled preventive maintenance in accordance with the recommendations of the manufacturer;
• the work of service personnel, as well as the necessary consumables, spare parts, components and assemblies to perform all necessary repairs (unscheduled maintenance) in order to maintain the power plant in good condition;

Additionally, the Agreement may stipulate:

• guarantee of the operability (serviceability) of the cogeneration power plant. The Agreement guarantees a certain module availability factor (usually from 92% to 95% and higher). The availability factor determines how much time during the year the module must be in good condition. If the availability factor specified in the Agreement is not reached, the owner receives the agreed compensation;
• allowable response time of the SINAPSE service personnel to the Customer’s call;
• training of the Customer’s operating personnel;
• oil management: supply of fresh and disposal of used lubricating oil; carrying out chemical analyses.

This Service Agreement does not include daily and weekly inspection, maintenance of an operating log, and other work related to ongoing operation.

ADVICE:

• The contract for scheduled maintenance and repair reduces the Customer’s operational risks to a minimum: in case of any breakdown, repairs will be carried out efficiently, quickly and without additional costs; and a performance guarantee will compensate for losses due to equipment downtime during repairs.
• Again, if your plant’s operating personnel are sufficiently trained, they can independently perform a preventive maintenance program every 2,000 operating hours, as well as oil change work. This will reduce the cost of the service contract by 10-15%.
• We recommend this type of Agreement for those Customers who purchase cogeneration equipment on credit or leasing, as well as in cases where unscheduled equipment downtime leads to serious losses. Thus, no matter what happens to the power plant, you will always be able to repay the loan on time and compensate for losses caused by unscheduled downtime of cogeneration equipment.

This Agreement implies the transfer of all concerns related to the operation of the power plant to the personnel of SINAPSE.

You can be sure that only professionally trained personnel work with the power plant, and its operational characteristics – reliability, efficiency, durability – will always be maintained at the highest level.

The cost of the Agreement includes:

• work of service personnel, as well as all necessary consumables for scheduled and unscheduled maintenance;
  guarantee of the operability (serviceability) of the cogeneration power plant. The Agreement guarantees a certain module availability factor (usually from 92%
• to 95% and higher). The availability factor determines how much time during the year the module must be in good condition. If the availability factor specified
• in the Agreement is not reached, the owner receives the agreed compensation;
• oil management: supply of fresh and disposal of used lubricating oil; carrying out chemical analyses;
• operation of the power plant in full compliance with the current Ukrainian regulatory framework;
• maintaining operational logs, performing inspections and visual inspections of the station, documenting events and planning.

ADVICE:

• The operation and maintenance contract allows the owner of the power plant to “forget” about its operation, with the exception of only ensuring the supply of fuel gas.
• We recommend this type of Service Agreement for Customers whose main business is in no way related to the operation of industrial facilities, for example, owners of shopping and office centers, hospitals, airports.

As already mentioned, the basic services included in any of the Agreements can always be supplemented with the necessary options and ensure that the Service Agreement exactly matches your needs.

A significant part of the planned maintenance work can be performed by local operating personnel (if they are sufficiently qualified).

In addition, we recommend that the scope of work under the Contract include scheduled maintenance of auxiliary equipment involved in the operation of the power plant: such as a gas treatment system when operating on mine, coke or biogas, peak boilers, a flare system, etc.

The contract can be concluded at any time and for any period. As a rule, Service Contracts are concluded for the period until the middle or major repairs.

In addition to the above standard Contracts, individual Service Contracts are possible, stipulating, for example, the participation of the Customer’s operating personnel in scheduled maintenance, special conditions for guaranteeing the operation of the power plant.

As a rule, the price of the Service Agreement is tied to the 1st operating hour of the equipment, and payment is made according to the actual operating hours of the power plant for the reporting period (usually a quarter).

The guarantee of operability (serviceability) of a cogeneration power plant is provided only upon conclusion of a Scheduled Maintenance and Repair Contract or an Operation and Repair Contract.

When operating on all types of gas, SINAPSE guarantees and ensures equipment availability of 95% or more on all types of gas and in all applications.

Medium repairs are carried out every 30,000 operating hours on site, and include the replacement of cylinder heads, pistons, liners, connecting rods, camshaft, and other elements.

An overhaul is carried out every 60,000 operating hours, (or according to the schedule of a specific module, see section 2.3. Products 2G). It can be carried out either at the manufacturer’s plant in Heek, Germany, or by replacing the engine with a similar one that has already undergone a major overhaul (or a new one). In any case, an overhauled engine is covered by the same warranty as a new one and provides a life of 60,000 operating hours until the next overhaul.

More details on the overhaul procedure are described in the corresponding section.

As a rule, only equipment supplied by SINAPSE can be included in the Service Agreement. However, within the framework of the Operation and Repair Agreement, the operation of the entire energy complex is proposed.

In order of decreasing cost (but not efficiency):

• training by a 2G Energy specialist trainer at the Customer’s power plant;
• training of the Customer’s operating personnel at the training center at the manufacturing plant in Heek, Germany;
• training of the Customer’s operating personnel by SINAPSE specialists in our office, at the Customer’s facility and (or) at similar operating power plants in Ukraine.