FIDIC Procure

7/31/2019 FIDIC Procure

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FIDIC CONTRACTS ANDBEST PROCUREMENT PRACTICE

Ministry of Electricity and Dams

Dams Implementation Unit

Contracts Directorate

Ministry of Electricity and Dams - Dams Implementation Unit -Contracts Directorate


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FIDIC CONTRACTS

CONSTRUCTION

PLANT AND DESIGN-BUILD /

EPC/TURNK EY PROJECTS

SHORT FORM OF CONTRACT

CLIENT/CONSULTANT MODEL SERVI CES AGREEMENT



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CONDITIONS OF CONTRACT

Guide

published 2001

published 1999



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CONTRACT CONTINUITY

Employer /

consultant

design

Contractor

design

Various formats Uniform format and contentsMinistry of Electricity and Dams - Dams Implementation Unit -Contracts Directorate


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WHICH BOOK TO USE?

STRAIGHTFORWARD

PROJECT ? EMPLOYER DESIGN ?

CONTRACTOR DESIGN

plant and/orhigh

unforeseenrisks

fixed price - lump sum

little employerinvolvement

no major unforeseenrisks

DISCUSS IN DETAIL

Employer srequirements with

the Contractor, andnegotiate a

modified FIDIC

contractMinistry of Electricity and Dams - Dams Implementation Unit -Contracts Directorate


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FEATURES AND ADVANTAGES

fair apportioning of risks, rights and obligations between the parties

BALANCED

WELL TRIED

long case history for earlier contracts

ACCEPTED

known and recognised; in wide use for international contracts

SUPPORTED

recommended or required by development banks, etc.

EFFECTIVE

clear and complete conditions; time limits; provisions foradjudication



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Key points: CONSTRUCTION

Employer designs

Engineer, working for the Employer

Bill of Quantities

Payments based upon measurements

Certification of payments by Engineer



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Key points: PLANT& DESIGN-BUILD

Contractor designs

Engineer, working for the Employer

Lump sum pricing

Payments according to progress

Certification of payments by Engineer



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Key points: EPC/TURNKEY PROJECTS

Contractor designs and takes full responsibility

Employermayappoint a Representative

Fixed price, to cover risks taken on by Contractor

Payments according to progress

No certification of payments



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Key points: SHORT FORM

Simple projects

Design by either

Employermayappoint a Representative

Valuation as appropriate; to be agreed

Payments according to value of Works executed and

Materials and Plant delivered to site

No certification of payments



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Key points: CLIENT/CONSULTANT

Agreed Scope of Services: Appendix A

Normal, Additional and Exceptional Services

Normal Services priced as agreed

Additional and Exceptional Services at rates agreed

Payment schedule as agreed



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FIDIC GUIDES

The FIDIC Contracts Guide

The White Book Guide

Guide for the preparation of particular conditions

(in the major contracts)

Notes for Guidance (in the Short Form of Contract)

Tendering Procedure and Pre-qualification forms

Consultant SelectionMinistry of Electricity and Dams - Dams Implementation Unit -Contracts Directorate


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USE OF FIDIC CONTRACTS

Match contract and project

Decide early on type of contract

Draft by professionals

Do not touch the General Conditions

Buy originals



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PRINCIPLES OF PROCUREMENT

Effectiveness

Economy

Efficiency

Accountability

Transparency / confidentiality /

Strong competition

Publicity, wide participation

Fair and equal conditions

Standard procedures Standard documentation



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PROCUREMENT CATEGORIES

Goods

Works

Consultant services

Other services



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TENDERING PROCEDURES

Development bank / public procurement procedures

Open tendering / International Competitive Bidding

Local tendering / National Competitive Bidding

Restricted tendering / Limited Bidding

Single source

Two stage tendering



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SELECTION PROCEDURES/CRITERIA

Criteria defined and published in advance

Economically most advantageous offer

Quality based selection

Quality and cost based selection



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Establishment Of Project Strategy Comprising:

Procurement method

Form of tendering Time schedules

FIDIC TENDERING PROCEDURE( FOR

CONSTRUCTION CONTRACTS)

1.0 ESTABLISHMENT of PROJECT STRATEGY



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Prepare Prequalification Documents Comprising:

Letter of Invitation Information about prequalification procedure

Project information

Prequalification application

2.1 PREPARATION of PREQUALIFICATION

DOCUMENTS



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2.2 INVITATION TO PREQUALIFY

Place Prequalification Advertisement In Press, Embassiesetc. as appropriate stating:

Employer & Engineer Outline of project (scope, location, programme, source of

finance)

Dates for issue of tender documents, & submission of tenders

Instruction for applying for prequalification

Minimum requirements for prequalification

Submission date for contractors prequalification data



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2.3 ISSUE & SUBMISSION OF PREQUALIFICATION DOCUMENTS

Issue prequalification documents & Questionnaires requesting fromeach company/joint venture:

Organisation & structure

Experience in the intended type of work & the region

Resources:

- Managerial

- Technical

- Labour

- Plant

Financial Statement

Current contract commitments

Litigation history



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2.4 ANALYSIS OF PREQUALIFICATION APPLICATIONS

Analysis Prequalification Applications Data:

Company/joint venture structure

Experience

Resources Financial Capability : Annual Turnover, Working

Capital= Ratio of Current Assets to Current

Liabilities ( > 1.0 )General suitability



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2.5 SELECTION OF TENDERERS

Prepare List of Tenderers



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2.6 NOTIFICATION OF APPLICANTS


Notify all selected tenderers


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3.1 PREPARATION OF TENDER DOCUMENTS

Prepare Tender Documents:

Letter of Invitation to tender

Instructions to tenderers Condition of Contract

Form of tender and appendices

Drawings Bill of Quantities

Schedule of additional

information



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3.2 ISSUE OF TENDER DOCUMENTS

Issue tender documents to

contractors on list of tenderers



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3.3 VISIT TO SITE BY TENDERERS

Arrange Date and Time for Visitto Site



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3.4 TENDERERS QUERIES

A) CORRESPONDENCE METHODB) TENDERERS CONFERENCE METHOD

A) Prepare replies

A) Inform tenders present of queries and replies

submitted in writing replies to queries atconference

Send Minutes to all Tenderers ( Parity of

Tendering)


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3.5 ADDENDA TO TENDER

DOCUMENTS

Issue Addenda Including Repliesto queries to all tenderers


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3.6 SUBMISSION AND RECIPT OF TENDERS

Record date and time of receipt

Acknowledge receipt or return unopened

tenders received late


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4.1 OPENING OF TENDERS

Tender opening by public or restricted opening:

announce and record the names of tenderersand price, including price for alternative tenders

if appropriate

announce and record the names of tenderer (if

any) disqualified due to late or non arrival of

tenders


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5.1 REVIEW OF TENDERS

Establish conformity and completeness of tenders:

Reject Substantially Unresponsive Tenders


Reject Substantially Unresponsive Tenders



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5.2 TENDERS CONTAINING DEVIATIONS

Evaluate Deviations, Seek ClarificationsEvaluate Deviations, Seek ClarificationEvaluate Deviations Seek Clarification


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5.3 ADJUDICATION OF TENDERS

Assess tenders in accordance with evaluation criteria .

Raise further points requiring clarification, if any.

Complete evaluation.

Check with funding agency.

Reject non- conforming tenders & advise tenderer(s) concerned.


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6.0 AWARD OF CONTRACT

Decide on contract award, if necessary afterpre- award discussion


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6.1 ISSUE LETTER OF ACCEPTANCE

Issue Letter of Acceptance


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6.2 PERFORMANCE SECURITY

Obtain Performance Security From Contractor


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6.3 PREPARATION OF CONTRACT

AGREEMENT

Prepare Contract Documents

Signing of Contract


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6.4 NOTIFICATION OF UNSUCCESSFUL TENDERERS

Advise Unsuccessful Tenderers And Return TenderSecurity (If Provided)


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Fdration

Internationale

des

Ingnieurs-Conse

ils

FIDIC Tendering Procedure

FIDIC Standard Prequalification Form for Contractors