Fuel Supply Contract

Fuel Supply Contract Template for England and Wales

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Key Requirements PROMPT example:

"I need a Fuel Supply Contract for our fleet management company to secure regular diesel supply from a major distributor, with monthly delivery of 50,000 liters and specific requirements for emergency delivery provisions, starting from January 2025."

Document background

The Fuel Supply Contract is essential for businesses requiring regular fuel supply for their operations. This agreement, governed by English and Welsh law, establishes a framework for consistent fuel delivery while ensuring compliance with UK regulations and industry standards. It is particularly crucial for operations where fuel supply is critical to business continuity, covering aspects from quality specifications to emergency procedures. The contract typically includes detailed provisions for pricing mechanisms, delivery schedules, quality standards, and risk allocation between parties.

Suggested Sections

1. Parties: Details of the supplier and purchaser, including registered addresses and company numbers

2. Background: Context of the agreement and basic commercial understanding

3. Definitions: Key terms used throughout the agreement

4. Supply Obligations: Core obligations regarding fuel supply, including quantities, specifications, and delivery terms

5. Price and Payment: Pricing structure, payment terms, invoicing, and price adjustment mechanisms

6. Quality and Standards: Fuel quality specifications and compliance with industry standards

7. Delivery and Risk: Delivery terms, transfer of risk, and acceptance procedures

8. Term and Termination: Duration of agreement and termination provisions

9. Force Majeure: Events outside parties' control affecting performance

10. Governing Law: Jurisdiction and applicable law

Optional Sections

1. Environmental Compliance: Environmental obligations and reporting requirements for supplies involving environmental risks or reporting obligations

2. Storage Requirements: Specifications for fuel storage when storage is part of the service offering

3. Emergency Response: Procedures for handling emergencies and spills, particularly for high-risk fuel types or large volumes

4. Credit Terms: Special credit arrangements or security requirements for large volume or high-value contracts

Suggested Schedules

1. Schedule 1 - Fuel Specifications: Detailed technical specifications of fuel products

2. Schedule 2 - Pricing Structure: Detailed pricing mechanisms, including any formulae

3. Schedule 3 - Delivery Locations: List of approved delivery points and specific requirements

4. Schedule 4 - Service Level Agreement: Performance metrics and service standards

5. Schedule 5 - HSSE Requirements: Health, safety, security and environmental requirements

6. Schedule 6 - Emergency Procedures: Detailed emergency response procedures

7. Appendix A - Insurance Requirements: Required insurance coverage and limits

8. Appendix B - Quality Control Procedures: Testing and quality assurance procedures

Authors

Alex Denne

Head of Growth (Open Source Law) @ ��Ƶ | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

alex.den.21@genieai.co

Relevant legal definitions

Clauses

Relevant Industries

Relevant Teams

Relevant Roles

Industries

Sale of Goods Act 1979: Primary legislation governing the sale of goods in England and Wales, defining contractual obligations, implied terms, and remedies for breach

Supply of Goods and Services Act 1982: Legislation governing contracts for the supply of goods and services, including implied terms about quality and fitness for purpose

Contracts (Rights of Third Parties) Act 1999: Legislation allowing third parties to enforce terms of contracts in certain circumstances

Competition Act 1998: Regulates anti-competitive behavior and ensures fair market practices in fuel supply

Enterprise Act 2002: Framework for market regulation and competition law enforcement

Energy Act 2011: Key legislation governing energy markets and supply in the UK

Petroleum Act 1998: Regulates the exploration and production of petroleum, including licensing requirements

Gas Act 1986: Regulatory framework for gas supply and transportation if applicable to gas fuel contracts

Environmental Protection Act 1990: Framework for environmental protection, waste management, and pollution control

Climate Change Act 2008: Sets targets for greenhouse gas emission reductions and carbon reporting requirements

Environmental Permitting Regulations 2016: Regulations governing environmental permits for facilities handling fuel and potentially hazardous substances

Health and Safety at Work Act 1974: Primary legislation for workplace health and safety requirements in fuel handling and storage

COMAH Regulations 2015: Control of Major Accident Hazards Regulations governing sites with dangerous substances

DSEAR 2002: Dangerous Substances and Explosive Atmospheres Regulations for handling and storing dangerous substances

Carriage of Dangerous Goods Regulations 2009: Regulations for safe transportation of dangerous goods including fuel

Motor Fuel Regulations 2021: Specifications for composition and content of motor fuels

Consumer Rights Act 2015: Consumer protection legislation applicable to B2C fuel supply contracts

UK GDPR: Data protection requirements for handling personal and business information

Bribery Act 2010: Anti-corruption legislation affecting business contracts and relationships

Modern Slavery Act 2015: Requirements for transparency in supply chains and prevention of modern slavery

EU Withdrawal Act 2018: Brexit-related legislation affecting fuel supply regulations and standards post-Brexit

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Authors

Alex Denne

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