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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Modifications may be required in some jurisdictions, particularly if tidic Conditions are to be used on domestic contracts. Various drafts were reviewed by the following persons or organisations: The document is intended to assist the Employer to receive sound competitive tenders with a minimum of qualifications. Major turnkey projects may require some negotiation between the parties.

EPC Turnkey | International Federation of Consulting Engineers

Further information on these aspects, example wording for other arrangements, and other explanatory material and example wording to assist in the preparation of the Particular Conditions and the other tender documents, are included within this publication as Guidance for the Preparation of the Particular Conditions.

This type of contract is usually negotiated between the parties. Initial Update Task Group: The Employer must also realize that asking serious contractors to price such risks will increase the construction cost and result in some projects not being commercially viable.

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.

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.

A feature of this type of contract is that the Contractor has to prove the reliability and performance of his plant and equipment. Contracts and Agreements Collection English only printed version. Under the usual arrangements for this type of contract, the Contractor constructs the works in accordance with a design provided by the Employer.

FIDIC wishes to record its appreciation of the time and effort devoted by all the above.

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Conditions of Contract for EPC Turnkey Projectswhich are recommended where one entity takes total responsibility for the design and execution of an engineering project. Another relevant FIDIC publication is “Tendering Procedure”, which presents a systematic approach to the selection of tenderers and the obtaining and evaluation of tenders.

For example, this edition provides:. Watermarked Contracts and Agreements Collection English only electronic version.

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

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 concludes with example forms for the Letter of Tender, the Contract Agreement, and alternatives for the Dispute Adjudication Agreement. Watermarked Compilation of all Collections English electronic version.

Guidance for the Preparation of Conditions Particular Application. In the preparation of the Conditions of Contract to be included in the tender documents for a contract, the following text can be used: 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.

This need of many employers has not gone unnoticed, and FIDIC has considered it better for all parties for this need to be openly recognised and regularised.

In some cases, however, only an aide-memoire is given. 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 fidc operation at the “turn of the key”.

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

EPC Turnkey

The guidance hereafter is intended to assist writers of the Particular Conditions by giving options for various sub-clauses where appropriate. Employers on such turnkey projects are willing to pay more – often considerably more – for their project if they can be more certain that the agreed final price will not be exceeded.

Unless it is considered suitable, example wording should not be used without amendment. 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. 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.

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Compilation of all Collections English printed version. As far as possible, example wording is included, in italics. Drafters of contract documents are reminded that the General Conditions of all FIDIC contracts are protected by copyright and trademark and may not be changed without specific written consent, usually in the form of a licence to amend, from FIDIC.

Special Advisers to the Contracts Committee provided invaluable and continued support in the various drafting and revision stages: For such projects it is necessary for the Contractor to assume responsibility for a wider range of risks than under the traditional Red and Yellow Books.

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. Before incorporating any example wording, it must be checked to ensure that it is wholly suitable for the particular circumstances.

Thus the Employer does not have to attempt to alter a standard form intended for another risk arrangement, and the Contractor is fully aware of the increased risks he must bear.

This Dispute Adjudication Agreement provides text for the agreement between the Employer, the Contractor and the person appointed to act either as sole adjudicator or as a member of a three-person dispute adjudication board; and incorporates by reference the terms in the Appendix to the General Conditions. Compilation of all Collections English electronic version.

It is essential that all these drafting tasks, and the entire preparation of the tkrnkey documents, are entrusted to personnel with the relevant expertise, including the contractual, technical and procurement aspects. The Employer’s representative, if there is one, is not required to act impartially.

All such matters, when agreed, shall then form part of the signed Contract.