FIDIC EPC TURNKEY PDF

EPC/Turnkey Contract. REGISTER NOW http://fidicepcturnkeyprojects or call (Globe) (Sun). FIDIC – Conditions of Contract for EPC-Turnkey NY 01/03/09 PM. GENERAL CONDITIONS. GUIDANCE. FIDIC EPC/Turnkey Contract, understanding and its implementation in power plant projects in Indonesia. Dr. Sarwono Hardjomuljadi [email protected] id.

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This Second Edition of the FIDIC Silver Book maintains the principles of risk sharing established in the edition, while seeking to build on the substantial experience gained from its use over the past 18 years. Initial Update Task Group: Where example wording is amended, and in all cases where other amendments or additions are made, care must be taken to ensure that no ambiguity is created, either with the General Conditions or between the clauses in the Turnmey Conditions.

Essential items of information which are particular to each individual contract are to be included in the Particular Conditions Part A — Contract Data. Notes on the Preparation of Special Provisions The charts are illustrative, however, and must not be taken into consideration in the interpretation of the Conditions of Contract.

These risk sharing principles have been beneficial for both parties, the Employer signing a contract at a lower price and only having further costs turnkeey particular unusual risks actually eventuate, and the Contractor avoiding pricing such risks which are hard to evaluate. This publication concludes with example forms for the Letter of Tender, the Contract Agreement, and alternatives for the Dispute Adjudication Agreement.

All such matters, when agreed, shall then form part of the signed Contract. In the preparation of the Conditions of Contract to be included in the tender documents for a contract, the following text can be used: This publication also includes a number of sample forms to help both Parties to develop a common understanding of what is required by third parties such as providers of securities and guarantees.

EPC/Turnkey Contract 1st Ed ( Silver Book) | International Federation of Consulting Engineers

Thereafter the Contractor should be given freedom to carry out the work in his chosen manner, provided the end result meets the performance criteria specified by the Employer.

Employers on such turnkey projects are willing to pay more – often considerably more – ffidic their project if they can be more certain that the agreed final price will not be exceeded.

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The General Conditions and the Particular Conditions will together comprise the Conditions of Contract governing the rights and obligations of the parties. Conditions of Contract for EPC Turnkey Projects, which are recommended where one entity takes total responsibility for the design and execution of an engineering project.

The charts are illustrative and must not be taken into consideration in the interpretation of the Conditions of Contract.

For example, this edition provides:. During recent years it has been noticed that much of the construction market requires a form of contract where certainty of final price, and often of completion date, are of extreme importance. Another relevant FIDIC publication is “Tendering Procedure”, which presents a systematic approach to the selection of tenderers and the obtaining and evaluation of tenders.

Apart from the more recent and rapid development of privately financed projects demanding contract terms ensuring increased certainty of price and performance, it has long been apparent that many employers, particularly in the public sector, in a wide range of countries have demanded similar contract terms, at least for turnkey contracts. In the preparation of the Conditions of Contract to be included in the tender documents for a contract, the following text can be used:.

As far as possible, example wording is included, in italics.

EPC Turnkey | International Federation of Consulting Engineers

Among such projects can be found many projects financed by private funds, where the lenders require greater certainty about a project’s costs to the Employer than is allowed for under the allocation of risks provided for by FIDIC’s traditional forms of contracts. In order to clarify the sequence of Contract activities, reference may be made to the charts on the next two pages and to the Sub-Clauses listed below some Sub-Clause numbers are also stated in the charts.

For this publication, the General Conditions were prepared on the following basis: These risk sharing principles are continued in the new updated versions of the Red and Yellow Books. Shopping basket Your shopping basket is empty. Depending on the type of work and the circumstances, this form may also be suitable for contracts of greater value, particularly for relatively simple or repetitive work or work of short duration. Guidance for the Preparation of Conditions Particular Application.

The sub-clauses which were considered to be applicable to many but not all contracts have been included in the General Conditions, which will facilitate their incorporation into each contract.

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Under the usual arrangements for this type of contract, the Contractor constructs the works in accordance with a design provided by the Employer. The guidance hereafter is intended to assist writers of the Particular Conditions by giving options for various sub-clauses where appropriate.

Clearly the Contractor will rightly increase his tender price to account for such extra risks. In the case of BOT Build – Operate – Transfer projects, which are normally negotiated as a package, the allocation of risk provided for in the turnkey construction Contract negotiated initially between the Sponsors and the EPC Contractor may need to be adjusted in order to take into account the final allocation of all risks between the various contracts forming the BOT package.

Electronic version in encrypted PDF. If the Contractor is to carry such risks, the Employer obviously must give him the time and opportunity to obtain and consider all relevant information before the Contractor is asked to sign on a fixed contract price. FIDIC very much appreciates the time and effort devoted by all the above persons.

EPC/Turnkey Contract 1st Ed (1999 Silver Book)

Having studied the variety of options offered by tenderers, the Employer may consider it essential to meet and discuss with them the technical options which the Employer considers preferable. Guidance for the Preparation of Conditions Particular Application. Group Extras Related products.

To obtain increased certainty of the final price, the Contractor is often asked to cover such risks as the occurrence of poor or unexpected ground conditions, and that what is set out in the requirements prepared by the Employer actually will result in the desired objective. If drafters wish to amend the provisions found in the General Conditions, the place for doing this is in the Particular Conditions Part B — Special Provisions, as mentioned above, and not by making changes in the General Conditions as published.

Under the usual arrangements for this type of contract, the Contractor carries out the Engineering, Procurement and Construction, and provides a fully-equipped facility, ready for operation at the “turn of the key”.

Group Extras More information Product code:. In some cases, however, only an aide-memoire is given.