ve / 92067 23:39 _9na) -nan-734SCEEE vA = ane vere Ue, PROCEDURES SUGGESTED FOR REGULA “ANG PAYMENTS IN E.P.C.CONTRACTS: + In the E.P.C, Contracts, payments shall be regulated with reference to Components, Sub-components, Milestones and Extension of agreement period «Schedule A in the agrzement should reflect only lump sym firm contre. amount quoted by the bidder but not component wise quantities and rates «= The percentages of proportional cost of each of the components of the work as compared to the overall cost of the project shall be provided in the Annexure-II “Schedule of Payments”, which only forms base for regulating payments Initially, the Chief Engineer, based on 1.B.M quantities and values, should fix these percentages for various components These can be revised appropriately by the Chief Engineer w.rt the detailed quantities based on the detailed survey, investigation and estimation done by the contractor in terms of his agreement provisions + The Employer ie., $.£, in the beginning itself, has to fix the sub- components in percentages, based on which intermediate payments have to be made, in correlation to the components fixed by the C.E * These sub-components can be revised by the §.E in tune with the revision to the components by the C.E, + The Chief Engineer has to fix the milestones in correlation components fixed. + All payments are regulated w.c.t the milestones and the percentoges fixed for various sub-components. Cleay-cut penal provisions for shortfall in achieving presctibed milestones against various components/subs components by the contractor should be incorporated in the agreement. * While fixing milestones, adequate care should be taken that all components of work are appropriately and homogeneously mixed up so that items easier for execution are ngt front-loaded + Extension of contyact period, as per ‘prescribed procedure, has to be obtained well beforehand where it is required to fix the milestones beyond the agreement period. + For any orders in deviation to the above guidelines, prior grant of Government is necessary and no actions in deviation without Government sanction of any officer shall be considered for ratification 4eh i297 23:39 Boal -Ba0-73480666 aan. ¢ fo. 383 /CSP/2006 Chief Secretary ol ‘Dt 30-12.2006 with regard to payrnent for EPC contracts the bid documents should contain the provisiove and procedures as suggested inthe atachment, Ths nay be ensured. In case there is auy difficulty, the ruater may be discussed sith the Finaned and finn view taken. , 0.12.2006 rayan ) Ciel Secretary TVs Prl. Secretary (Irrgn)/Prl.Secy (PR) Prl.Secretary (R&B) Secretary (HS)/ Secretary(RRM)/ Secretary(SC) i irigation Department = Secretary (MA&UD) ENC. (Irvigation)/P.R. /R&B/Public Health UY Chief Engineers of all Irigation Projects (through Secy.lirgn)_ Copy to : Spl.CS (Fin) idl No ! ce/ne] ¥sP/ cee aetaf me we! ee ovforfoe frcorcd & all the cqperinlindng Opie! ebleang i a i dad, ey te nurlcd fo Ace nth ou aydeohin ond U7 4 i bea document ishoold telah He power ae fe aged At pe katy of oye af sl LK EK Dy. Chief Fneinece Nort". ast | ad pascedborsy Visakhapatnam To uy The Gopeulinding Ury,nen “ut pute da Sb afi] aah NE. SEHTPC HEL OBR BM ate! ab axtaTh ak asa