Whereas both the parties of the First Part and of the Second Part are, under their respective Memorandum of Association, entitled to carry on the business of producing electricity and supplying the same to any area. 

And whereas the parties hereto have proposed to set up in joint collaboration a plant to produce electricity and supply the same to the town of ... and to enable them to pool together their finances and technical expertise they have therefore proposed to enter into a partnership. 

And whereas the parties have obtained license or permission of the Govt. for producing and supplying electricity to the said town. 

And whereas it is, therefore, proposed to enter into this deed of partnership containing the terms and conditions agreed upon between the parties.