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Project Management

INTRODUCTION

Sound Project Management from concept to commissioning is the key to


success. When any project is taken up, each and every phase right from
inception till the final completion must be thoroughly, effectively and
tightly controlled so that each successive milestone achieved in time
contributes to building the blocks of ultimate success in fulfillment of
desired objectives. Leading organizations in the world achieve success in
Project management by controlling the following four factors through all
phases of a project in order of priority.
1. Safety,
2. Quality,
3. Time and
4. Cost.
Basics of a Project:
1. Eco Friendly: Every project must incorporate required
environment protection measures and meet the norms.
2. Competitive: The project must be competitive when compared
against similar projects being done by others in the field.
3. Project Cycle Time: With borrowed capital, reduction in project
cycle – time goes a long way in reducing the project cost by way of
reduction in interest during construction.
4. Efficiency in Operations: Basic design of the project must aim at
highest levels of efficiency in operations to fully justify time money
and effort put in to build the project.
5. Quality and Safety: Without the high standards of quality and
safety in execution, no project can be successful.
6. Customer Expectations: Above all, ultimately, a project must be
able to meet expectation of its Techno-economical viability.
Projects must clearly establish this basic requirement.
7. Reliable Technology: Use of proven and reliable technology is
essential for any project, to be called successful.
Trends, Issues and Critical Success Factors:
Following factors contribute to success of projects.
1. Clear Vision and Project Objectives: aims and objectives of the
project need to be clearly defined to set the right direction and
tone to enable accurate assessment of benefits derived on project
completion.
2. Strategic and Detailed Project Planning: Detailed work
breakdown structure and integrated work plans need to be developed in
the beginning itself. Care is to be taken so that time estimation for
different activities remains as accurate as possible.

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3. Dynamic Leadership: Similar to importance of the role of a good
captain in any game, role of dynamic leadership for a project is
important. Positive, bold, timely and quality decisions taken by
them to steer a project towards success are very important factors.
4. Committed, Dedicated and Competent Team: Every project
requires teamwork, close coordination and unidirectional efforts to
create a synergy. Along with hard work, required level of technical
and managerial competence in team members is essential.
5. Integrated Project Management Systems: Putting a sound
project management system, which is capable of integrating
multifarious, and multi agency activities being done in parallel is
required to ensure synchronism and converging of activities
towards one common goal of project completion. This system
should be able to organize, multi level planning and monitoring of
project activities as per the requirement.
6. Project Cost Control: Effective built in measures to ensure
control of cost both in design and execution phases of a project are
essential.
7. Owner's Involvement: Deep involvement of owner at every step
to see that above system functions to its full potential is must in
any project management. Elaborate systems and procedures alone
cannot guarantee any results unless they are effectively
implemented and every step is followed till its logical conclusion.
8. Handling of Emergencies and Surprises: Mid course
corrections would be required to take care of any interim delays.
Applying ‘what if’ logic to anticipate project surprises, assessment
of risks and putting in place a “Risk Control and Mitigation
Plan” is necessary. Adequate safety and fire protection measures
should also be a part of project execution.
Clarity in Contract Management: Large projects require handling of
major contracts. Following aspects are crucial to manage these
contracts.
• Optimization of contract packages for effective and faster
implement-tation. Here, scope of entire project is covered
under mutually exclusive packages.
• Framing of qualification requirements to ensure competition
from competent agencies.
• Broad based specifications to generate competition.
• Clearly defined evaluation criteria and selection of agencies
based on price and capability consideration.
• Tie up of work programme and quality plans with
commitment of matching resources as part of contract.
• Dispute resolution mechanism, introduction of incentives and
penalties.
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• Mechanism for early closing of contracts after work
completion.
Sound Engineering Practices: Major projects require a very strong
engineering support. Aspects related to engineering to be taken care
include
• Up front engineering to maximum possible extent,
• Standardization of plants and layouts,
• Standardization of equipment,
• Design automation,
• Design simplification and reduction in number of components
and
• High reliability of overall process, sub systems and
components.
Quality Assurance:
• Control of quality from raw material stage.
• Control of quality during manufacturing stages for major and
critical equipment with stage and final inspections at pre
determined check-points.
• Quality assurance for field activities.
Strong Infrastructure Base: Many projects have been delayed due to
weak
infrastructure. It needs to be ensured that basic infrastructure of roads;
power, water, and tie up for raw material like steel and cement are made
before start of main construction for large projects. Project team and
team leader should be in position well in time. This will ensure
expeditious completion of the project.
Construction Technology: Choice of latest construction technology
helps both in safe execution as well as results in substantial saving in
terms of time. It also helps in improving quality of construction and
ultimately results in saving of costs. It is better if methodology to be
adopted for construction and erection is worked out, discussed and
decided in advance.
Resources: Inadequate resources spell certain delay for any project
execution. Adequate resources of men and material are essential in all
the phase of project like engineering, procurement and construction.
Manufacturing and Production: Detailed manufacturing plans,
advance tie up for raw material, timely engineering inputs, adequate in-
house facilities for manufacturing, outsourcing as per need are some of
the important factors that control timely supplies. Following can further
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help in this stage of project.
• Timely procurement of bought out items,
• Improved productivity through technology up gradation,
• Dispatch of modular units in place of individual components,
• Improved packing to minimize transit damages and
• Faster transportation tie ups.
Control and Monitoring: Close follow up and expediting at all levels
based on exception is essential in all the phases of the project. Every
team member must do it in his respective area with a sense of urgency
and ownership. Increased use of “Information technology” in this
area will help in faster work. Effective implementation of integrated
project management systems is essential for the desired output. Regular
audit and continuous improvement of these systems is essential for the
desired output and to keep pace with the changes.
Fund Management: Interruption in flow of adequate funds will
jeopardize the progress of any project. Performance linked budget
projections and “their regular monitoring helps in better management.
Safety in Construction: During execution of any project, accidents of
any type will lead to delays, Danger or loss of human lives is to be
avoided at any cost. It can be checked with the following measures.

• Built in safety clauses in contracts.

• Adequacy of required skills in workers for that particular type


of job.

• Availability of protective equipment.

• Proper working conditions.

• Adequate supervision.

• Owner’s insistence for importance of safety.

• Suitable incentives and penalties.


Smooth Transition to Normal Operation: A project is complete only
when it goes in normal operation phase and desired level of output in all
parameters is achieved on a sustained basis. Hence, momentum of first
start up of any project is required to be carried forward till this is
achieved.
Backward and Forward Integration: Completing a project in
isolation may not deliver results if it is a part of chain of projects. In such
cases, backward and forward integration to march the schedules of other
connected projects is essential to be constantly monitored.

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External Perspective: Any project, which enjoys active support of
authorities as well as general public and is in harmony with its
surroundings, always, has better chances of success as risk of
interruptions on this account is eliminated.
Various Phases of Project Management:
Any project during implementation has to pass through the following
phases, some of which may have overlapping periods. Issues given
above are to be applied and addressed at each of these phases in order
to ensure success of the project.
• Project initiation and proposal,
• Project appraisal and approval,
• Project packaging and ordering,
• Procurement, manufacturing and delivery,
• Construction, installation,
• Commissioning and transition to normal operation,
• Performance testing and project evaluation against set objectives
and
• Project feedback, lessons learnt.
For project feedback and assessment, opinion of project authorities
alone is not enough. Assessment by customer whether the project fulfills
all objectives or not is the most important factor. Also, opinion of other
parties involved including public is very important to determine the
success of any project. Lessons learnt when documented well will help in
improving similar projects to be taken up in future.
Types of Contract:
The contracts may be for
1. Supply of major equipment separately (Eg. Transformers, Circuit
breakers, Instrument transformers etc.),
2. Supply of major material separately (Eg. Structures, Conductor,
Insulators, Illumination, and Fire fighting equipment etc. separately),
3. Erection works including required minor material (cement, sand, steel,
clamps connectors etc.) and
4. Turn-key contract includes all materials and erection.
Method of Tendering:
1. Open Tenders: Competitive tenders can be obtained.
2. Selective Tendering / Limited Tenders: Tenders from reputed
firms save time.
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3. Nominated Tenders: For minor works at rate contract rates or
approved schedule Rates from reputed firms.
Important Terms and Conditions of Open Competitive Bids:
Extracts of Instructions to Bidders (ITB), General Conditions of Contract, and
General Conditions of Erection (GCE) are given in the Annexure-3. The project
managers shall go through the terms of contract and if any clarifications are
required the same shall be obtained from the owner before tendering for the
work. The terms of contract shall be considered while tendering and planning
the works for completion as per the targets given.

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PLANNING

Activities involved in substation erection and the approximate


duration required:
Year- 1 Year-2 Year-3
Sl.No Major Activity Months Months Months
.
1 to 12 1 to 12 1 to 12
Pre-award Activities
A Project Planning
1. System studies 1-2
2. Land acquisition 1-3
3. Leveling and compacting 2-5
4. Finalize design and specifications 2-5
5. Award of contract 5-10
Post-award Activities
B Civil works
6. Civil drawings 10-12
7. Site office and store 10-12
8. Marking layout 11-12
9. Roads 11-12 1-2
10. Fence and gate 11-12
11. Foundations of buildings 11-12 1-2
12. Control room and other buildings 10-12 1-6
Foundations for transformer
13. 10-12
and structures
14. Earth mat work 10-12 1-2
15. Cable trenches 1-4
16. Finishing and interface work 1-4
C Supply of Materials
17. Supply of structures 10-12 1-4
18. Equipment manufacture and supply 10-12 1-8
19. Storage of materials received 10-12 1-8
20. Erection Activities
21. Transformer erection 1-4
22. Main structure 10-12 1-6
23. Overhead shielding 6-8
24. Busbar stringing 6-10
25. Equipment support structures 4-8
Station auxiliaries
i. Station transformer
ii. Diesel generator
iii. Communication facilities
26. iv. Personal computer facility 10-12 1-6
v. Battery and charger
vi. AC/DC distribution boards
vii. Illumination
viii. Fire fighting system etc.
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Equipment erection in the
27. 8-12 1-2
switch yard
28. Earth risers 10-12 1-3
Equipment erection in the
29. 8-12 1-4
control room
30. Jumpering to equipment 2-3
31. Cable laying and terminations 8-12 1-4
32. Testing and commissioning 3-5
Handing over for operation and
33. 6
maintenance

PERT (Programme Evaluation and Review Techniques) and


Critical Path Analysis:
For construction of 220 /132 kV Substation with 2 Nos. 100 MVA
Transformers, 2 In-coming and 2 Out-going 220 kV feeders, and 4
Nos. 132 kV feeders. The project completion period given is 18 months.
Analysis of Activities (AOA):
Activit
Immediat
Activit y Early
e
y Activity Description Duratio Finish
Precedin
Name n Time
g Activity
Months
Pre-award activities
(1, 2) A Land Acquisition 3 2
(2, 3) B. Infra Structure Facilities A (1, 2) 3 2
(2, 4) C. Design and Engineering B (2, 3) 2 2
(2, 5) D. Leveling C (2, 4) 3 2
(4, 6) E. Tendering & Award of
contracts
C (2, 4) 5 4
for materials and erection
works
Post -award activities
(6, 7) F. Works on Control room and
E (4, 6) 8 8
other buildings
(6, 8) G. Supply of structures
(Towers ,
Booms ,and Equipment E (4, 6) 6 6
structures) and earthing
material
(6, 9)
H. Foundations in Switch yard E (4, 6) 8 5

(6, 10) I. Erection of Towers , Booms


and G (6, 8 ) 9 4
equipment structures
(6, 11) J. Supply of out-door and
E (4, 6) 8 8
in-door Equipment
(9, 12)
K. Earth mat laying H (6,9) 2 2

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(10,
L. Stringing and clipping I (6, 10) 2 2
13)
(14, M. Erection of Out-door
J (6, 11) 4 3
15) Equipment
(15,
N. Jumpering L (14, 15) 2 1
16)
(7, 17)
O. Erection of in-door Equipment J (6, 11) 5 3
(17,
P. Cable laying and terminations O (7, 17) 3 3
18)
(18,19)
Q. Testing and commissioning P (17, 19) 2 2

Analysis of Activities (AOA):

Time Analysis: Forward Pass

Time Analysis: Backward Pass

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Time Analysis: Critical path:

PRE AWARD ACTIVITIES

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RESOURCES REQUIRED 19
28

Tools and
Men Money Materials
Plant
Engineers for Funds Tools and 1. Cement,
1. Planning, required for plant 2. Coarse &fine
2. Designing, 1. Procuremen required for aggregate,
3. Material t of required 1. Leveling 3. Reinforcement steel
procurement, tools and 2. Excavation, 4. Foundation Bolts with
4. Supervision of plant foundations nuts
Works, 2. Procuremen 3. Erection of 5. Structures
5. Testing and t of required Structures 6. Bolts & nuts
commissioning, materials 4. Erection of 7. Earth wire &
6. Monitoring. 3. Salaries to Equipment accessories
regular 5. Stringing
Accountants for 8. Conductor &
employees 6. Testing
1. Arranging funds accessories
4. Regular equipment
2. Billing 9. Insulators & hardware
flow of Vehicles
3. Accounting funds for 10.Earthing materials
Trucks, 11.Transformers
Construction payments
Tractors with
gangs for to 12.Circuit breakers
Trailers, Mobile
1. Leveling. construction 13.Isolators
crane
gangs 14.CTs
2. Excavation,
foundations. 15.PTs
3. Erection of 16.CVTs
structures. 17.LAs
4. Stringing. 18.Control and Relay
5. Equipment panels
erection. 19.AC /DC distribution
6. Testing and boards
commissioning. 20.Batteries and chargers
21.Marshalling boxes
22. Cables Lighting
23. fixtures-In-door and
out-door
24.Fire fighting system
Resource Analysis
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Personnel:
Required number of
Activit Gangs
y Activity Description Skilled
Enginee with 10
Name Worke
rs Person
rs
s
Pre-award Activities
(1, 2) A Land Acquisition 1 10
(2, 3) B. Infra Structure Facilities 2 10 10
(2, 4) C. Design and Engineering 3 - -
( 2, 5) D. Leveling 1 5 5
( 4, 6) E. Tendering & Award of
contracts for materials and 3 - -
erection works
Post -award Activities
(6, 7) F. Works on Control room and
2 10 10
other buildings
(6, 8) G. Supply of structures (Towers ,
Booms, and Equipment
2 2 2
structures) and earthing
material
(6, 9) H. Foundations in Switch yard 5 5
(7, 10) I. Erection of Towers , Booms 2
and 3 3
equipment structures
(11, J. Supply of Out-door and
1 2 2
12) in-door Equipment
(9, 13)
K. Earth mat laying 5 5
(10,
L. Stringing and clipping 4 4
14)
3
(15, L. Erection of Out-door
5 5
16) Equipment
(16,
M. Jumpering 2 2
17)
(7, 18)
O. Erection of In-door Equipment 2 4 4
(17,
P. Cable laying and terminations 5 5
19)
3
(19,20)
Q. Testing and commissioning 10 3

Cost Estimates:
The cost estimates per bay of different bays in the EHV Substations are
given in the Annexure-2 for reference. These may be updated as and
when required. Based on the same the total cost of substation is worked
out and funds requirement is analyzed.
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Cost Estimate (in Rs. Lakhs):

Sl.N Cost per


Details of Bay No. of Bays Total Cost
o. Bay
1. 220 kV Transformer
2 300 600
bay
2. 220 kV Feeder bay
4 130 520
3. 132 kV Feeder bay
4 60 240
4. Bus coupler bay and
other substation
350 350
equipment ,materials
etc.
5. Total estimated cost
1710

FUNDS REQUIRED

Activit Requiremen Funds


y Activity Description t pattern - needed
Name months (Rs. Lakhs)
(1, 2) A Land Acquisition 1-2 40
(2, 3) B. Infra Structure Facilities 2-3 40
(2, 4) C. Design and Engineering 2-3 10
(2, 5) D. Leveling 2-4 10
(4, 6) E. Tendering & Award of
contracts for materials
and
2-5 10
erection works, approval
of manufacturing quality
plans.
(6, 7) F. Works on Control room
and other buildings 6-12 60
(6, 8) G. Supply of structures
(Tower Booms, and
Equipment 6-14 100
structures) and earthing
material
(6, 9) H. Foundations in Switch
6-16 50
yard
(7, 10) I. Erection of Towers,
Booms and equipment 9-18 50
structures
(11, J. Supply of out-door and
8-20 1200
12) in-door Equipment
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(9, 13) K. Earth mat laying 9-16 20
(10, L. Stringing and clipping
18-21 20
14)
(15, L. Erection of Out-door
20-24 30
16) Equipment
(16, M. Jumpering
21-22 10
17)
(7, 18) O. Erection of in-door
Equipment 18-24 20
(17, P. Cable laying and
24-26 20
19) terminations
(19, Q. Testing and
26-28 20
20) commissioning
Funds Flow Analysis:
Funds
Mont Required
h (Rs.Lakh
s)
1. 15
2. 50
3. 20
4. 20
5. 20
6. 20
7. 100
8. 100
9. 100
10. 100
11. 100
12. 100
13. 100
14. 100
15. 100
16. 100
17. 100
18. 100
19. 40
20. 40
21. 40
22. 40
23. 40
24. 40
25. 40
26. 40
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27. 40
28. 15
Sources of Finance:
Owner’s Support:
1. Advance payment: The OWNER shall support the contractor
by paying advance to cover contract ‘front end’ expenditure such
as mobilization, early engineering work, and payments to
subcontractors, commission and insurances. Such advances will
be of the order of 10% to 20%.
2. Progressive payments: Payments for the supplies made and
erection works shall be made within stipulated time without
delays to enable the contractor achieve progress to meet the
targets. The measurements of work, passing of the bills shall not
be delayed by the OWNER in the interest of smooth progress of
works.
3. Retention amounts: The retention amounts kept by the
OWNER from the progressive bills may be released to the
contractor as per the contractual terms without delay, as this will
act as incentive for the contractor to finish the works.
4. Redemption of Bank Guarantees: The contractor will be
furnishing the Bank guarantee for 5 to 10% value of the contract
towards proper performance of the contract. The contractor shall
be cautious while signing the guarantee and avoid wordings
which enable the OWNER to get the BG redeemed “on first
demand” without referring the contractor.
5. Documentation for payments: The documents to be
presented for payment shall be as simplified as possible to
avoid delays in release of payments due to misunderstanding.
Export Credits:
Export credit agencies are generally set up or sponsored by the
government with the primary function of encouraging the export of
manufactured goods.
The criteria to be satisfied for obtaining support from export credit
agencies:
• Majority of equipment and services originate from the
agency country,
• Financial soundness and reputation of contracting
organization,
• Financial soundness and reputation of OWNER organization
and
• The category status (based on the GNP per capita inflation,
stability etc.) of the Owner’s country.
Commercial Loans:
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These are often linked to export credits.
Development Aid:
In the case of developing countries Asian Development Bank, European
Development Bank, World Bank etc. provide Funding for the approved
projects to the utilities with certain conditions. The Bank may pay
directly to the contractor against documents.
It is important to see that the payments towards the supplies
made and the erection works completed are received from the
OWNER promptly for meeting the expenditure incurred so that
the works will progress uninterrupted.

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CRASHING ANALYSIS

Thus crashing involves crashing the critical activities.


Crashing of the project time may be required when the Transmission
Lines are ready to get benefits from the project early. It involves
additional funds and men at appropriate time.
Time estimate in the Critical Path Method does not take into account
the uncertainties or probabilities. The time estimates are single time
estimates and no range of time duration is considered. Considering the
uncertainties the expected time for an activity can be worked out as
below.
Expected Time (Te) = (T0+4 Tml+Tp) / 6
Where T0=Optimistic time
Tml=Most likely time
Tp=Pessimistic time

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Standard deviation σ = (Tp- T0) /6

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PROJECT REVIEW

The following schedules are also to be made for monitoring the works
1. Schedule for finalizing sub-contracts,
2. Cash inflow and cash outflow schedules,
3. Billing schedules,
4. Schedule of submission and approval by concerned
i) Drawings
ii) Field quality plans
iii) Documents
5. Schedule of receipt of equipment at site,
6. Schedule for inputs from other sources,
7. Communication facilities, Telephone, Telex, Wireless, Fax and
8. Personal computer facility

The process flow chart of various activities relating to the substation is


at Annexure – 4.
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The progress achieved against the programme shall be received and
noted on the Bar chart prepared for the specific project. The typical bar
chart for a 220 kV substation is at Annexure - 1.

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ADMINISTRATIVE WORKS

The project execution comprises the following important administrative works


i Finalizing contractual terms and conditions,
ii Arranging bank guarantees required,
iii Sub-contracting, obtaining manufacturing quality plans from
the suppliers and finalizing,
iv Inspection of equipment during manufacture and witnessing
tests before dispatch,
v Getting test reports for the equipment and material, obtaining
approvals from the customer and obtaining dispatch instructions from
the customer,
vi Documentation,
vii Resource mobilization,
viii Work supervision,
ix Coordination with consultant, customer, sub-contractors, and
project managers at site and
x Wages, housing and personnel matters.
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Documentation:
The project management group shall look after the documentation work
as it is the most important activity. Following are the important
documents.
• List of drawings of civil works
• List of tools and plant for erection
• List of material and equipment
• Substation single line drawing
• Detailed structural lay out drawing
• Plan showing the Cable trenches, earth mat, earth pits and
Foundations for structures
• Drawings and bills of material for the main structures and
equipment support structures
• Guaranteed technical particulars of equipment and materials
• Manuals for equipment erection and testing
• Field quality plans for civil and electrical works
• Standard specifications for all equipment, materials and works

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RECEIVING EQUIPMENT/MATERIALS AND STORAGE AT


SITE

The equipment and materials are generally transported to site by road


by lorries and tractor trailers. Special precautions are to be taken in
transporting heavy over dimensional consignments. Necessary prior
permits are to be taken from the road transport authorities for
transporting the following heavy and over dimensioned equipment.
 Transformer tanks
 Reactor tanks
 Air- core reactors
 400 kV bushings
 Diesel generator set
 Tanks for oil storage
 Cooling equipment
 Large welded structures etc
In case of galvanized steel structures, short simple members are
resistant to transit damage. Large welded structures are likely to be
bent during transit, unloading. These can be straightened easily at site.
A 100% bolted design is more resistant to transport damage than
welded designs or semi-bolted (ladder) designs.
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When transporting steel structures, these must be loaded in such a
way that white rust will not develop. This is best done by avoiding deck
loading and by using spacers to allow air circulation between the layers.
Unloading:
The following equipment is required at site for unloading the equipment/
materials from the truck or tractor trailer.
• Mobile crane
• Fork lifters
• Derrick crane
• Slings, pulley blocks
The unloading and storage shall be supervised carefully to avoid damages.
Inspection on Arrival at Site and Insurance Claims:
The packing cases are inspected for transit damage. In case of any
damage, the matter is reported to the supplier and insurance company.
The insurance claim is lodged. The surveyors of the insurance company
conduct survey and assess the extent of the transit damage.
Transport damages should be attended within one week of arrival at
site. It is advisable to decide in advance which insurance inspection
authority one has to report to.
Insurance policies are taken by Project Management Group from head
quarters from experienced insurance company. For substation contracts
“All Risk storage-cum-Erection Policy” is preferred. It covers entire “civil,
erection, commissioning” work up to handing over to customer. All the
equipment, civil works are covered. Equipment insurance claims are
identified as
• During Transport (Generally in separate transit policy)
• During Storage
• During Erection
• During Commissioning
Damaged items should be segregated and kept for insurance survey.
Packing case no., item no., date of arrival, transport truck no., details of
damages should be noted and kept for surveyors. Photographs of
damaged packages should be taken.
Storage:
Three categories of stores are necessary for substation equipment:
Outdoor Fenced Store:
The outdoor storage area should be above maximum flood level, and
free from damp, mud etc. The approached road from the main road and
to the substation should be firm and adequate. The necessary handling
equipment should be available.

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Indoor Closed Store:
Indoor storage building should have sufficiently large storage area and
sufficiently large doors on road side and substation side. It should be
well ventilated and well lighted. There should be proper watch and
ward. Transformer oil brought in tankers should be stored in specially
built tanks. The oil drums should be stored as per recommendations of
the supplier.
Storage room for instruments and special equipment should also be
planned.
Fire fighting arrangements must be adequate. Guidelines by insurance
company shall be followed.

INTERFACE BETWEEN CIVIL WORKS AND COORDINATION


BETWEEN VARIOUS ERECTION WORKS

The following activities have a close interaction between civil works and
erection works. Very close liaison between various groups is essential
from design to handing-over stages.
• Foundation drawings
• Cable trench drawings
• Wall openings for air conditioning work
• Piping through wall
• Illumination work
• Sound absorption techniques used
• Vibration control
• Earthing system
• Piping for Fire Fighting System etc.
There must be coordination between various works as mentioned below
so as to meet the target date of commissioning the substation.

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i) Foundations for main structures and equipment support structures
shall be completed in order to take up erection of structures.
ii) The transformer plinth shall be completed before the transformer
tank arrives at site so as to keep the transformer on the plinth directly.
iii) Temporary yard lighting must be done to facilitate erection works
during nights if necessary
iv) All the structural parts, bolts, nuts and washers for columns shall
be received before the other structural materials.
v) By the time the columns are erected, the booms must be available
in complete shape at site for erection.
vi) The ground wire, insulators, hardware, clamps & connectors,
busbar conductor must be available by the time erection of main
structures is completed.
vii) The cable trenches and the marshalling boxes must be completed
before laying the earth mat.
viii) The equipment structures shall be erected after erection of main
structures in order to erect the equipment on the structures.
ix) After all the equipment is erected in a bay, jumpering shall be
made from equipment to equipment and equipment to the cross bus
/main bus/transfer bus.
x) In the control room the cable trenches and cable racks shall be
ready for taking up the cable laying.
xi) The battery and battery charger are to be erected and
commissioned. The AC/DC distribution boards shall be erected and
necessary connections made from the incoming sources and to the
various substation equipment.
xii) The earth mat shall be ready by the time the equipment is erected
so that risers are given to the equipment and structures.
xiii) All the control and relay panels are to be erected for cabling. On
completing the cable trenches the cables are to be laid and
terminations made as per the approved drawings.
xiv) Fire fighting equipment shall be available even before the
materials arrive at site and the fire fighting system for protection
of main substation equipment shall be installed before
commissioning the switch yard.
xv) Testing of equipment can be taken up after cable terminations to
control and relay panels and AC/DC panels.

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Transmission Substation Manual 27


ANNEXURE - 1
BAR CHART Project Management

Bar chart showing Programme and Progress of 220 kV Substations


Duration in Quarters
Sl.No
Task Name 1 2 3 4 5 6 7 8 9 10
.
1
. Land acquisition

2
. Leveling

3
. Infrastructure

4
Design and
.
Engineering
5
. Tendering

6
. Foundations

7
Supply of
.
structures
8
Erection of
.
structures
9
. Earth mat

1
0
Stringing
.

1
1 Supply of
. Equipment

1 Control room and

Transmission Substation Manual 28


Project Management
other buildings
1
Equipment
3
erection in out
.
-door yard
1
4
Jumpering
.

1
5
Earth risers
.

1
6 Erection of in-
. door equipment

1
7 Cable laying and
. terminations

1
8 Testing and
. Commissioning

PROGRAMME
PROGRESS

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Project Management
ANNEXURE - 2
400 kV Substation Detailed Quantities and Cost Estimates

Per Bay Quantities Per Bay Costs - Rs Lakhs

Rs Lakhs Requi- 400 400 Requir 400 400 220 <33


400/22 220 kV 400/220
Item red kV kV <33 kV ed kV kV kV kV
Description of Work 0 kV Line kV
Rate Per Per Line Reac Equip. Per Line Reac- Line Equip
TF Bay Bay TF Bay
S/S Bay -tor S/S Bay tor Bay .

1 315 MVA, 400/220 kV 400.0


Each 1 400
transformer 0
Spare 3.00% 12
s
CST 4.00% 16
Transport and 6.00% 24
insurance
Erection charges 10.0% 40
2a 50 MVAR, 400 kV 200.0
Each 1 200
reactor with NGR 0
Spare 3.00% 6
s
CST 4,00% 8
Transport and 6.00% 12
insurance
Erection charges 10.0% 20
2b 63 MVAR, 400 kV 250.0
Each 0 0
reactor with NGR 0
Spares 3.00% 0

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Project Management

400 kV Substation Detailed Quantities and Cost Estimates

Per Bay Quantities Per Bay Costs - Rs Lakhs

Rs Lakhs Requi 400 400 220 <33 Requi 400 400 220 <33
400/22 400/22
Item Description of -red kV kV kV kV red kV kV kV kV
0 kV 0 kV
Work Per Line -Rea Line Equi Per Line Reac Line Equi
Rate Per TF Bay TF Bay
S/S Bay ctor Bay p S/S Bay tor Bay p
4.00 0
CST %
Transport and 6.00 0
insurance %
Erection 10.0 0
charges %
2c
80 MVAR, 400 kV
315.0 Each 0 0
reactor with NGR
Sp 3.00 0
ares %
4.00 0
CST %
Transport and 6.00 0
insurance %
Erection 10.0 0
charges %
3
Switchgear including
cable connections
a Circuit breakers
i 400 kV 60.00 Each 2 1 1 1 120 60 60 60 0 0
)
ii 220 kV 15.00 Each 2 1 1 30 15 0 0 15 0
)
b
Current Transformers

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Project Management
400 kV Substation Detailed Quantities and Cost Estimates

Per Bay Quantities Per Bay Costs - Rs Lakhs


Rs Lakhs
Description of Requi 400 400 220 <33 Requi 400 400 220 <33
Item 400/22 400/22
Work -red kV kV kV kV -red kV kV kV kV
Rat 0 kV 0 kV
Per Per Line Reac Line Equi Per Line Reac Line Equi
e TF Bay TF Bay
S/S Bay - tor Bay p S/S Bay tor Bay p
i) 400 kV 6.00 Each 9 3 3 3 54 18 18 1 0 0
8
ii) 220 kV 3.00 Each 9 3 3 27 9 0 0 9 0
Capacitor Voltage
c
Transformers
i) 400 kV 4.00 Each 9 3 36 0 12 0 0 0
ii) 220 kV 3.00 Each 6 1 3 18 3 0 0 9 0
d potential Transformers
i) 220 kV 2.50 Each 0 0 0 0 0 0 0
ii) 33 kV 0.50 Each 6 0 0 0 0 0 3
e Isolators
400 kV Pantograph w/o
i a) 5.00 Each 5 3 3 3 25 15 15 15 0 0
E/S
i b) 400 kV HCB c/w E/S 5.00 Each 1 1 1 0 5 5 5 0 0
220 kV Pantograph w/o
ii a) 3.00 Each 5 3 3 15 9 0 0 9 0
E/S
ii b) 220 kV HCB c/w E/S 3.00 Each 1 1 0 3 0 0 3 0
iii) 33 kV 0.40 Each 6 0 0 0 0 0 2
f Lightning Arresters

i) 400 kV 1.80 Each 3 3 3 0 5 5 5 0 0

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Project Management
400 kV Substation Detailed Quantities and Cost Estimates

Per Bay Quantities Per Bay Costs - Rs Lakhs


Requi 400 400 220 <33 Requi 400 400 220
Rs Lakhs 400/22 400/22 <33k
Description of red kV kV kV kV red kV kV kV
Item 0 kV 0 kV TF V
Work Per Line Reac Line Equi Per Line Reac Line
Rate Per S/S TF Bay Bay tor Bay p S/S
Bay
Bay - tor Bay
Equip.

ii) 220 kV 1.00 Eac 0 3 3 0 3 0 0 3 0


h
iii) 132 kV 0.40 Eac 6 0 0 0 0 0 2
h
iv) 54 kV 0.15 Eac 6 0 0 0 0 0 1
h
v) 39 kV 0.12 Eac 6 0 0 0 0 0 1
h
vi) 33 kV 0.15 Eac 6 0 0 0 0 0 1
33 kV surge h
g 0.60 Eac 6 0 0 0 0 0 4
capacitors h
33 kV supporting Eac
h 0.20 2 0 0 0 0 0 0
structures h
i 33 kV HC fuses 0.02 Eac 6 0 0 0 0 0 0
h
Metering equipment Eac
j 0.20 15 0 0 0 0 0 0
with LVCTs h
k Busbar earthing 4.00 Eac 6 24 0 0 0 0 0
switch h
Control and relay
l
panels
400 kV side
Line bay with D.R.
i) 23.00 Set 1 0 0 23 0 0 0
&F.L.
ii) Transformer ICT 9.00 Set 1 0 9 0 0 0 0
iii) Bus coupler bay 5.70 Set 1 6 0 0 0 0 0

iv) Transfer bus bay 4.80 Set 1 5 0 0 0 0 0

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Project Management
400 kV Substation Detailed Quantities and Cost Estimates

Bay Costs - Rs
Rs Lakhs Per Bay Quantities Per
Lakhs
Requi 400 400 220 <33 Requi 400 400 220 <33
Item Description of Work 400/22 400/22
Rate red kV kV kV kV red kV kV kV kV
0 kV 0 kV
Per Per Line Reac Line Equi Per Line Reac Line Equi
TF Bay TF Bay
S/S Bay tor Bay p S/S Bay tor Bay p.
v) Busbar protection 7.80 Set 1 8 0 0 0 0 0

vi) Shunt reactor 2.00 Eac 1 0 0 0 2 0 0


h
220 kV side

i) Line control relay 12.0 Set 1 0 0 0 0 12 0


panels 0
ii) Busbar protection 8.00 Set I 8 0 0 0 0 0

iii) Transfer bus bay 3.50 Set 1 4 0 0 0 0 0

iv) Bus coupler bay 3.50 Set 1 4 0 0 0 0 0

v) Event logger (500 9.00 Set 1 9 0 0 0 0 0


points)
Busbar, jumpers,
isolators, earth
n
connectors, clamps,
connectors, etc.
i) 400 kV bays 15.0 Bay 2 1 1 1 30 15 15 15 0 0
0
ii) 220 kV bays 4.00 Bay 2 1 8 0 0 0 4 0

iii) 33 kV bays 0.25 Bay 2 0 0 0 0 0 1

Spares 3.00 13 5 5 4 2 0
%
4.00
CST 17 7 6 5 3 1
%

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Project Management
400 kV Substation Detailed Quantities and Cost Estimates

Per Bay Quantities Per Bay Costs - Rs Lakhs


Requi 400 400 220 <33 Requ 400 400 220 <33
400/220 400/22
red kV kV kV kV i red kV kV kV kV
Rs Lakhs kV TF 0 kV
Per Line Reac Line Equip Per Line Reac Line Equi
Item Description of Work Bay TF Bay
S/S Bay tor Bay . S/S Bay tor Bay p

Rate Per

Transport and 6.00% 26 10 9 7 4 1


insurance
Erection charges 10.00 43 17 15 12 6 1
%
4 Scada & Telecom
a) 400 kV Bays
Optical Fibre terminal
i) 33.00 3ay 1 0 0 33 0 0 0
equipment
ii) PLCC 30.00 Bay 1 0 0 30 0 0 0
b) 220 kV Bays: PLCC 20.00 Bay 1 0 0 0 0 20 0
0
Spares 3.00% 0 0 2 0 1 0
CST 4.00% 0 0 3 0 1 0
Transport and 6.00% 0 0 4 0 1 0
insurance
Erection charges 10.0% 0 0 6 0 2 0

5 Other Material

Power and control


a)
cables

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Project Management
400 kV Substation Detailed Quantities and Cost Estimates

Per Bay Quantities Per Bay Costs - Rs Lakhs

Rs Lakhs Requi 400/22 400 400 220 <33 Requi


400/22
400 400 220 <33
red kV kV kV kV red kV kV kV kV
Item Description of Work 0 kV 0 kV
Per Line Reac Line Equi Per Line Reac Line Equi
TF Bay TF Bay
Rat S/S Bay tor Bay p S/S Bay tor Bay p
Per
e

i) 400 kV bays 12.0 Bay 2 1 1 1 24 12 12 12 0 0


0
ii) 220 kV bays 2.00 Bay 2 1 4 0 0 0 2 0
iii) 33 kV bays 0.15 Bay 2 0 0 0 0 0 0
b) Steel structures
i) 400 kV bays (MT) 0.32 MT 124 62 62 62 40 20 20 20 0 0
ii) 220 W bays (MT) 0.32 MT 86 43 28 0 0 0 14 0
iii) 33 kV bays (MT) 0.32 MT 2 0 0 0 0 0 1
c) Grounding and
earthing
400 kV bays 4.00 Bay 2 1 1 1 8 4 4 4 0 0
220 kV bays 1.20 Bay 2 1 2 0 0 0 1 0
33 kV bays 0.25 Bay 2 0 0 0 0 0 1
d) Battery 15.0 Set 2 30 0 0 0 0 0
0
Spares 3.00 4 1 1 1 1 0
%
CST 4.00 5 1 1 1 1 0
%
Transport and 6.00 8 2 2 2 1 0
insurance %

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Project Management
400 kV Substation Detailed Quantities and Cost Estimates

Per Bay Quantities Per Bay Casts - Rs Lakhs

Rs Lakhs Requi 400 400 220 <33 Requi 400 400 220 <33
400/22 400/22
red kV kV kV kV red kV kV kV kV
Item Description of Work 0 kV 0 kV
Per Line Reac Line Equip Per Line Reac Line Equi
Rate Per TF Bay TF Bay
S/S Bay tor Bay . S/S Bay tor Bay p
Erection charges 10.00 14 4 4 4 2 0
%
6 Miscellaneous items

a) Fire fighting equipment 120.00 - LS 120


b) Electricity system 55.00 - LS 55
c) Transformer rail track 4.00 - LS 4
Lighting (sodium vapor
d) lamps) 85.00 - LS 85

e) Diesel set 30.00 - LS 30


0 Mobile crane 15.00 - LS 15
E) A/C plant 30.00 - LS 30
h) Fencing 20.00 - LS 20
i) Concrete for
foundations
i) 400 kV bays 4.30 Bay 2 1 1 9 4 4 0 0 0
ii) 220 kV bays 0.90 Bay 2 1 2 0 0 0 1 0
iii) 33 kV bays 0 40 Bay 2 0 0 0 0 0 1
iv) Foundations for 4.00 Eac 1 0 0 0 4 0 0
reactors h

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Project Management
400 kV Substation Detailed Quantities and Cost Estimates

Per Bay Quantities Per Bay Costs - Rs Lakhs


400 400 220 <33 Requi 400/2 400 400 220 <33
Rs Lakhs Requi 400/22
kV kV kV kV red 20 kV kV kV kV kV
Item Description of Work red 0 kV
Rat Rat S/S TF Bay Line Reac Line Equip Per TF Line Reac Line Equip
e e Bay tor Bay . S/S Bay Bay tor Bay .

j) Synchronizing trolly 0.75 2 2 0 0 0 0 0

k) Station transformer? 3.25 2 7 0 0 0 0 0

Items
(j)
(k)
3.00
Spares 0 0 0 0 0 0
%
4.00
CST 0 0 0 0 0 0
%
6.00
Transport and insurance 0 0 0 0 0 0
%
10.0
Erection charges 1 0 0 0 0 0
%

Land and rights, levelling 100.


7 - LS 100
of site 00

Buildings (Control house, 225.


8a - LS 225
stores, etc.) 00

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Project Management
400 kV Substation Detailed Quantities and Cost Estimates

Per Bay Quantities Per Bay Costs - Rs Lakhs


Description of 400 400 220 <33 Requ 400 400 220
Item Rs Lakhs Require 400/22 400/22 <33
Work kV kV kV kV ired kV kV kV
d per 0 kV Reac Line Equip Per 0 kV kV
Rat Rat Line Line Reac Line
S/S TF Bay tor TF Bay Equip.
e e Bay Bay . S/S Bay tor Bay
Miscellaneous civil
works (enclosures &
siding, roads,
founda-tion for 85.0
b LS 85
structures, cable 0
laying system,
sanitary system, oil
system, etc.)
Colony (staff 100.
c - LS 100
quarters) 00

Total
1584 749 315 442 125 21
Cost
Engineering and
Management 7.8% 123 58 24 34 10 2

Contingencies 3.0% 123 58 24 34 10 2

Total 1830 865 363 511 145 24

Note: The cost for a ‘Substation only’ is 1830+24 = 1854 Rs Lakhs to include the 33 kV equipment.

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Project Management
220 kV Substation Quantities and Detailed Costs Estimates

Per Bay Quantities Per Bay Costs - Rs Lakhs

220/132 220 kV 132 kV Require 220/132 220 132


Rs Lakhs Required
Item Description of Work kV TF Line Line d Per kV TF kV kV Line
per S/S Line
Rate Rat Bay Bay Bay S/S Bay Bay
e Bay
1 TF 100 MVA, 220/132 kV 150.00 Each 1 150
Spares 3.00% 5
CST 4.00% 6
Transport and insurance 6.00% 9
Erection charges 6.00% 9
Switchgear including cable
2
connections
a Circuit breakers
i) 220 kV 15.00 Each 1 1 1 15 15 15 0
ii) 132 kV 8.60 Each 1 1 0 9 0 9
b Current Transformers
0 220 kV 3.00 Each 6 3 3 18 9 9 0
ii) 132kV 1.30 Each 3 3 0 4 0 4
c Capacitor Voltage -
Transformers
i) 220 kV 3.00 Each 6 3 18 0 9 0

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Project Management
220 kV Substation Quantities and Detailed Costs Estimates

Per Bay Quantities Per Bay Costs - Rs Lakhs

Rs Lakhs Require 220/132 220 132 kV Require 220/132 220 132


kV kV kV
Item Description of Work d per kV TF Line d Per kV TF
Line Line Line
Rat S/S Bay Bay S/S Bay
Per Bay Bay Bay
e
ii) 132 kV 1.70 Each 3 0 0 0 5
d Potential Transformers
i) 220 kV 2.50 Each 6 15 0 0 0
ii) 132 kV 1.00 Each 3 3 0 0 0
e Isolators
i a) 220 kV w/o E/S 3.00 Each 2 2 2 6 6 6 0
i b) 220 kV c/w E/S 3.00 Each 2 1 6 0 3 0
ii a) 132 kV w/o E/S 1.90 Each 1 1 0 2 0 2
ii b) 132 kV c/w E/S 1.90 Each 1 1 2 0 0 2
f Lightning Arresters
i) 220 kV 1.00 Each 3 3 0 3 3 0
ii) 132 kV 0.40 Each 3 3 0 1 0 1
g Busbar earthing switch 4.00 Each 6 24 0 0 0
h Control and relay panels
220 kV side
i) Line bay with D.R. & F.L. 12.0 Set 1 0 0 12 0
0

220 kV Substation Quantities and Detailed Costs Estimates


Transmission Substation Manual 41
Project Management

Per Bay Quantities Per Bay Costs - Rs Lakhs

Rs Lakhs Require 220/132 220 132 kV Require 220/132 220 132


kV kV kV
Item Description of Work d kV Line d kV
Line Line Line
Rate Per Per S/S TF Bay Bay Per S/S TF Bay
Bay Bay Bay
ii) Transformer 7.30 Set 1 0 7 0 0
iii) Bus coupler bay 3.50 Set 1 4 0 0 0
v) Busbar protection 8.80 Set 1 9 0 0 0
132 kV side
i) Line control relay panels 4.70 Set 1 0 0 0 5
v) Event logger (500 points) 9.00 Set 0 0 0 0 0
i Busbar, jumpers, isolators, earth
connectors, clamps, connectors,
etc...
i) 220 kV bays 4.00 Bay 1 1 1 4 4 4 0
ii) 132 kV bays 3.00 Bay 1 0 0 0 3

Spares 3.00 4 2 2 1
%
CST 4,00 5 2 2 1
%
Transport and insurance 6.00 7 4 4 2
%
Erection charges 6.00 7 4 4 2
%
3
Scada & Telecom

220 kV Substation Quantities and Detailed Costs Estimates

Transmission Substation Manual 42


Project Management

Per Bay Quantities Per Bay Costs - Rs Lakhs

Rs Lakhs 220 220/1 220 132


Require 220/132 132 kV Require
kV 32 kV kV kV
Item Description of Work d kV TF Line d Per
Rat Line TF Line Line
Per Per S/S Bay
Bay
Bay S/S
Bay Bay Bay
e
Optical Fibre terminal 33.0
a) Bay 0 0 0 0 0
equipment 0

b) 220 kV Bays: PLCC 20.0 Bay 1 0 0 20 0


0

Spares 3.00 0 0 1 0
%
CST 4.00 0 0 1 0
%
Transport and insurance 6.00 0 0 1 0
%
Erection charges 6.00 0 0 1 0
%
4 Other Material

a) Power and control cables


i) 220 kV bays 2.00 Bay 1 1 1 2 2 2 0
ii) 132 kV bays 1.50 Bay 1 0 0 0 2
b) Steel structures
i) 220 kV bays (MT) 0.32 MT 86 43 43 28 14 14 0
ii) 132 kV bays (MT) 0.32 MT 32 0 0 0 10
c) Grounding and earthing

220 kV Substation Quantities and Detailed Costs Estimates

Transmission Substation Manual 43


Project Management

Per Bay Quantities Per Bay Costs - Rs Lakhs

220 220 132


Rs Lakhs Require 220/132 132 kV Require 220/132
kV kV kV
Item Description of Work d kV TF Line d Per kV TF
Rat Line Line Line
Per Per S/S Bay Bay S/S Bay
e Bay Bay Bay
220 kV bays 1.20 Bay 1 1 1 1 1 1 0
132 kV bays 0.90 Bay 1 0 0 0 1
d) Battery & charger 2.50 Set 1 3 0 0 0

Spares 3.00 1 1 1 0
%
CST 4.00 1 1 1 1
%
Transport and insurance 6.00 2 I 1 1
%
Erection charges 6.00 2 1 1 1
%
5 Miscellaneous items
a) Fire fighting equipment 8.00 - LS 3
*
b) Electricity system 2.50 - LS 3
c) Transformer rail track 4.00 - LS 4
d) Lighting 1.50 - LS 2
e) Diesel set 9.00 - LS 9

f) Mobile crane 15.0 - 0 0


0

220 kV Substation Quantities and Detailed Costs Estimates

Transmission Substation Manual 44


Project Management

Per Bay Quantities Per Bay Costs - Rs Lakhs

Rs Lakhs 220 220 132


Require 220/132 132 kV
kV Required 220/132 kV kV kV
Item Description of Work d kV TF Line
Rat Line Per S/S TF Bay Line Line
Per Per S/S Bay
Bay
Bay
Bay Bay
e
g) A/C plant 3.00 - LS 3

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Project Management
h) Fencing 0.30 - LS 0
i) Concrete for foundations
i) 220 kV bays 0.90 Bay 1 I 1 1 1 1 0
ii) 132 kV bays 0.70 Bay 1 0 0 0 1
j) Synchronizing (.roily 0.75 0 0 0 0 0
k) Station transformers 1.40 1 1 0 0 0
Items (j)
&
(k)
Spares 3.00 0 0 0 0
%
CST 4.00 0 0 0 0
%
Transport and insurance 6.00 0 0 0 0
%
Erection charges 6.00 0 0 0 0
%
Land and rights, levelling of 20.0
6 - LS 20
site 0

220 kV Substation Quantities and Detailed Costs Estimates

Per Bay Quantities Per Bay Costs - Rs Lakhs

220 220
Rs Lakhs 220/132 132 kV Require 220/132 132 kV
Required kV kV
Item Description of Work kV TF Line d kV TF Line
Rat Per S/S Line Line
Per Bay Bay Per S/S Bay Bay
e Bay Bay

Transmission Substation Manual 46


Project Management
Buildings (Control house, stores, 20.0
7a - LS 20
etc.) 0

Miscellaneous civil works


(enclosures & siding, roads,
21.5
b foundation for structures, cable LS 22
0
laying system, sanitary system,
oil system, etc..)
34.3
c Colony (staff quarters) - LS 34
0

Sub-
313 271 117 52
Total

Engineering and Management 7.8% 24 21 9 4

Contingencies 3.0% 9 8 4 2

Total 346 300 130 58

Transmission Substation Manual 47


Project Management

ANNEXURE - 3
BID DOCUMENTS

INSTRUCTIONS TO BIDDERS (ITB)


1.0 Source of Funds
2..0 Scope of the Bid: The scope of the contract shall be on the basis of
single bidder’s( Lead partner) responsibility completely covering all
the equipment, material, and services specified under the
accompanying technical specification.
Scope of the bid covers Supply, civil & construction, erection,
testing and commissioning, Design, engineering, manufacture,
testing, supply on FOR destination site basis, including transportation
& insurance, storage, erection, testing and commissioning of the
equipments/items, complete in all respects.
(a) Circuit breakers, isolators, current transformers, capacitor
voltage transformers and surge arresters.
(b) Fire protection, Detection and Alarm system.
(c) Illumination, wherever required.
(d) Substation Monitoring System, Remote Transfer Unit (RTU)
(e) Complete Relay and protection system including – Control and
Relay panels.
(f) Power & Control cables along with complete accessories
including cabling between marshalling box, auto transformers
and bay kiosk/control room. Laying of co-axial cable from
yard to control room, laying of cables in HDPE pipes, supply
and laying of control cable from relay panel to carrier room
for protection signaling, supply and laying of copper cable
from 48V DCDB to PLCC, OFC panels.
(g) Aluminum tubes, insulator hardware, spacers for conductors,
bus post insulators, clamps & connectors, bay marshalling
boxes, construction of cable trenches/ cable trays for control
room, trench covers, cabling accessories, junction boxes etc.,
grounding mat – M.S. Rod and earth pipes etc. as specified in
the Bidding documents.
(h) All works relating to supply, preparation of fabrication
drawings for all main structures including lightning masts
and equipment support structures, fabrication,
galvanization, transportation to and storage at site and
erection of these structures as detailed in Section
Structures.
Drawings for the main structures and their
foundations shall be provided by the Purchaser.
Wherever the drawings and designs are provided by the
OWNER, the suitability of these design and drawings shall be
verified by the bidder for design requirements as per
Transmission Substation Manual 48
Project Management

standards, site and soil conditions based on the soil


investigation and furnish the detailed design verification
calculations before execution if sought by the OWNER.
Support structures for circuit breakers shall be as per CB
manufacturer's design.
(i) Bus Post Insulators (including requirement for wave traps),
insulator strings and hardware, clamps & connectors,
(including terminal connectors for Employer supplied Auto
transformers), Aluminum tubes, Bus bar and earthing
materials, Bay marshalling box, spacers, cable
trenches/Cable trays & covers, Cabling accessories, junction
boxes, buried cable trenches, grounding mat, M.S. rod and
earth pipes etc. as specified in the Biding documents.
(j) The Bidder shall take delivery of equipment at substation site
supplied by him directly from his transporter and store them
in his safe custody. However if any of the
equipment/material is diverted from OWNER' stores,
transportation charges from stores to site will be
paid as per SSR rates prevailing on the date of
transport.
(k) Any other equipment/material required to complete the specified
scope.
2.1 Design, engineering, manufacture, testing, supply on FADS (Free At
Destination Site) including transportation & insurance, storage at
site of mandatory spares.
2.2 Civil works - The scope of work shall include but shall not be limited
to civil works for the following
(a) Soil investigation including soil resistivity measurement if
required.
(b) Leveling of site, if required.
(c) Foundation of 315 MVA Auto transformers (owner supplied),
and associated SA along with jacking pad and pylon supports,
rail track and fire resistant wall between transformers.
(d) Foundation for Lattice & pipe structures and all equipments.
(e) Foundation for lighting poles, Bay marshalling box,
panels and control cubicles of equipments.
(f) Cable trenches along with covers and sump pits.
(g) Cable trench crossings, rail tracks, culverts etc.
(h) Metal spreading and anti weed treatment as per site
requirement.
(i) Drainage system in the substation, if required.

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(j) Laying of ground mat conductors and connection to the


equipment support structures, lighting masts etc. and then
form a complete earthing system.
(k) Provision of base channels in control house flooring for C&R
Panels, if required.
(l) Final grading and metalling after completing of the
foundations.
2.3 The contract is on TURN KEY basis and hence any other
items not specifically mentioned in the specification but
which are
required for erection, testing and commissioning and
satisfactory operation of the substation are deemed to be
included in the scope of the specification unless
specifically excluded. Quantities wherever indicated in the
Bidding documents are tentative only for the scope of the works
and will be considered only for the evaluation of Bids. Actual
quantity will be as per the approved design and drawings for the
complete scope of the works based on system requirement.
2.4 The list of approved makes of main equipment/ material is
enclosed in the specification and the equipment offered shall be
from the manufacturers given in the list only. The Bought-out
items required for main equipment/ material offered from the sub-
vendors should have been supplied to State TRANSCOs, PGCIL and
have proven performance. The bidder should own/lease/procure
the minimum tools & plants required for the execution of works in
time as per the contract. The required T & P shall be indicated
together with quantity.
2.5 Before proceeding with the construction work of the substation,
the Contractor shall fully familiarize himself with the site
conditions and general arrangements & scheme etc. Though the
Employer shall endeavor to provide the information, it shall not be
binding for the Employer to provide the same. The bidders are
advised to visit the substation sites and acquaint themselves with
the topography, infrastructure and also the design philosophy.
The bidder shall be fully responsible for providing all equipment,
materials, system and services specified or otherwise which are
required to complete the supply, construction and successful
commissioning, operation & maintenance of the substation in all
respects. All materials including cement & steel required for the
Civil and construction/installation work shall be supplied by the
Contractor.
2.6 The complete design (unless specified otherwise in specification
elsewhere) and detailed engineering shall be done by the
Contractor.
2.7 The Contractor shall also be responsible for the overall co-
ordination with internal/external agencies, project management,
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training of Employer's manpower, loading, unloading, handling,


moving to final destination including Employer supplied material
if any for successful erection, testing and commissioning of the
substation/switchyard.
2.8 Design of bay extension works and its associated works including
preparation of single line diagram, electrical layouts, erection
key diagrams, and electrical and physical clearance diagrams,
design calculations for Earth mat, Direct Stroke Lighting
Protection (DSLP), if required as per the site conditions. Control
and protection schematics, wiring and termination schedules,
and other relevant drawings & documents required for
engineering of all facilities within the fencing to be provided
under this contract, are covered under the scope of the
Contractor.
2.10 Specific exclusions:
The following items of work are specifically excluded from the
scope of the specifications for all substations:
(i) Transmission line side insulator string for line termination and
tension clamp for earth wire termination.
(ii) Supply, erection, testing and commissioning of 315
MVA Auto Transformers.
(iii) Drawings for all the structures (booms and columns)
and Lightening masts as required will be furnished to the
contractor by the purchaser.
However, if any modification in design of a particular
structure is required as per site conditions, the
successful bidder has to do it at no additional cost to
the OWNER.
3.0 Submission of Bids:
3.1 Procedure for bid submission: The bidders who are desirous of
participating in ‘e’- procurement shall submit their Technical bids,
Price bids etc., in the standard formats prescribed in Tender
documents, displayed at ‘e’- market place. The bidders should
invariably upload the scanned copies in support of their bids. Bidder
should take care that the scanned copies are clear & visible. The
bidders shall sign on all the statements, documents, certificates,
being uploaded by them, owning responsibility for their correctness /
authenticity. The Department will not hold any risk and
responsibility for the loss in transit during uploading of the scanned
document, for the invisibility of the scanned document online, and
any other problem(s) encountered by the bidders while submitting
his bids online.
The following certificates, documents etc., are to be scanned and
uploaded on to the ‘e’- procurement platform at
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a) Copy of contractor’s registration certificate if


any.
b) Copy of Latest valid Income Tax Clearance
certificate / PAN Card and latest income tax returns.
c) Copy of Sales Tax/VAT Registration certificate.
d) All the relevant certificates / enclosures required
for schedules indicated in Volume.
e) Regarding NIT (Notice Inviting Tender).
Any other condition regarding receipt of tenders in conventional
method appearing in Tender document may be treated as Non-
applicable.
3.2 After uploading the bid documents, the attested hard copies of the
uploaded statements, certificates, documents are to be submitted
by the bidder in a sealed cover to the OWNER so as to reach one day
prior to the date of opening of Pre-Qualification bids. Failure to
furnish any of the uploaded documents, certificates before the
above-mentioned date and time will entail rejection of the bid. If any
bidder uploads the bid without paying BID SECURITY/ Transaction
fee, he will be black listed. Similarly, if any of the certificates,
documents, etc., furnished by the bidder is/are found to be false /
fabricated / bogus, the bidder will be blacklisted and his BID
SECURITY forfeited. The bidder shall submit to the bid a certificate of
Income Tax verification from the appropriate Income Tax Authority
on the form prescribed therefore. If the certificate had already been
produced by the bidder during the calendar year in which the bid is
made, it will be sufficient if particulars of the previous occasion are
given. Bids received without such a certificate as aforementioned
are liable to be rejected.
3.3 Hard copy of the bid offer shall be furnished in the following
manner.
i) One small size envelope for deposition/furnishing the BID
SECURITY. This envelope shall be super scribed “BID SECURITY
IN RESPECT OF FOLLOWING SUBSTATION (name of the work
being bidded for) AGAINST TENDER SPECIFICATION NO.
, TO BE OPENED ON _________ (date specified elsewhere to be
mentioned)”. Below this the following address shall be
indicated
Address of the OWNER:
ii) One medium size envelope for “Techno Commercial Bid”
which must be superscribed, BID OFFER “TECHNO COMERCIAL
BID AGAINST TENDER SPECIFICATION NO. TO BE OPENED
ON ____________ (date specified elsewhere to be mentioned)’’
Below this the following address shall be indicated

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Address of the OWNER:


iii) And the third big size envelope for covering the above two
envelopes which shall be super scribed as follows.
I. Specification No.
II. Name of the bidder:
III. Name of the Work:
IV * Full Bid Security enclosed in the form of Demand Draft
No.
_____ Date_____
(OR)
Bank Guarantee No. ________ Dt. __________
For Rs.________/- valid up to ______________
* Strike-off whichever is not applicable.
V. Bid is valid for 90 days from the date of opening of
the pre-qualification / technical bids as mentioned in
NIT.
(If the validity of the bid is not as per specification it is
liable to be returned unopened at the discretion of the
OWNER.)
VI. OWNER’s terms of payment are accepted.
VII. The bids shall be addressed to
Address of the OWNER:
(All the above envelopes shall be duly sealed
individually.)
iv) On all the three envelopes the Bidder shall clearly indicate the
names of the works for which they intend to participate. The
name of works as indicated on top of each envelope should
tally with the Bid security amount and Bank Guarantee for
these works deposited/furnished by the Bidder. In case the Bid
security amount deposited by the Bidder is found short the
offer shall be liable to rejected / ignored.
v) All Bids and accompanying documents shall be in duplicate
and shall be addressed to the
Address of the OWNER:
vi) The bids shall be submitted in duplicate complete with all
particulars called for in the schedules enclosed to specification.
There shall not be any deviation from the contents of the
schedule
3.5 The dates stipulated in the tender notice are firm and under any
circumstances they will not be relaxed unless officially extended.

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The bidder has to keep track of any changes by viewing the


addendum / corrigendums issued by the Tender inviting Authority
on time-to-time basis in the e-procurement platform. The
Department calling for tenders shall not be responsible for any
claims/ problems arising out of this.
3.6 The bidder should upload scanned copies as specified in checklist
and all enclosures required for the schedules and Appendices and
produce copies (Bid security, & Transaction Fee) one day before
the date of opening of Pre-qualification bid.
Contractor should produce the originals of all documents for
verification if asked for by the Competent Authority within 3
(Three) days.
3.7 The Tender opening Authority will not consider any tender
received after expiry of date and time fixed (As specified in
NIT) for receipt of tenders.
3.8 Transaction fee and Bid Security: The Transaction fee at
0.03% on ECV
(Estimate Contract value) of work with a cap of Rs 10000/-
(Rupees ten thousands only) for all tenders with ECV up to Rs. 50
Crores plus service charges @12.36%,and Rs.25000/- (Rupees
Twenty Five thousand only) plus service charges @ 12.36% for
tenders with Estimated Contract Value (FECV) above Rs.50.00
crores in favour of --------. All the tenderers have to pay the above
non-refundable service charge through Online Payment Gateway
with any MASTER/VISA credit card issued by any bank and through
Net Banking facility with ICICI or HDFC Banks. Bid Security should
be scanned and uploaded on line and the originals handed over to
the ----------
Bid Security shall be paid as indicated in the NIT. Bid
Security must be in form of DD or BG from any scheduled Bank (as
per approved list)/ Nationalized Bank. The Bidder is requested to
submit the DD or BG from the scheduled Banks approved by the
OWNER (List is enclosed). Demand Drafts shall be valid for a
period of 6 months from the date of tender notice. Bid Security
shall be valid 30 days over and above the bid validity of 90 days.
Bid Security will be forfeited:
a) If the bidder withdraws the tender during Tender validity
period.
b) In case of successful bidder if he fails to sign the agreement for
whatever so reason.
c) If he fails to furnish the required performance security.

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The Bid Security of the unsuccessful bidder will be returned to


them either after finalization of the tenders or after the tender
validity period which ever is later.
The BID SECURITY deposited by the bidders will not carry any
interest and it will be dealt with as provided in the conditions
stipulated in the tenders.
3.9 Successful bidder shall pay the Corpus fund to APTS @ 0.03% on
ECV in the form of DD payable at Hyderabad and drawn in favour
of ----- to sustain ‘e’ procurement initiatives, research and
development of software application for automation for process in
user departments.
3.10 The successful bidder is expected to complete the work within the
time period specified in the NIT.
4.0 Bidders Eligible to Tender:
The Bidders / Firms who
i) Possess the valid registration as mentioned in the NIT and
satisfies all the conditions therein.
ii) Are not blacklisted or debarred or suspended by the
Government for what ever the reason, prohibiting them not to
continue in the contracting business
iii) Have complied with the eligibility criteria specified in the NIT
are the eligible bidders/Firms.
5.0 Bidders Ineligible to Tender:
(i) A retired officer of the Govt. of AP or Govt. of India executing
works is disqualified from tendering for a period of two years
from the date of retirement without the prior permission of the
Government.
(ii) The Bidder who has employed any retired officer as mentioned
above shall be considered as an ineligible Bidder.
(iii) The Bidder himself or any of his employee is found to be
Gazetted Officer who retired from Government Service and had
not obtained permission from the Government for accepting
the Bidder’s employ-ment within a period of 2 years from the
date of his retirement.
(iv) The Bidder or any of his employees is found at any time after
award of contract, to be such a person who had not obtained
the permission of the Government as aforesaid before
submission of the tender or engagement in the Bidder’s
service.
6.0 Last date / time for Submission of the Tenders.

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1. Tenders must be submitted online not later than the date


and time specified in NIT.
2. The tender inviting authority may extend the dates for issue
and receipt of Tenders by issuing an amendment in which
case all rights and obligations of the tender inviting authority
and the bidders will remain same as previously.
3. If for any reason the last date of submission of tenders offline
is declared a holiday, the next working day will be treated as
the last date for submission of tenders.
7.0 Late Tenders:
Tenders will not be received after the last date / time prescribed in
NIT.
8.0 Modification to the Tender:
Bidders can modify their Tender percentage online before the last
date/time prescribed in NIT.
No Tender shall be modified after the last date /time of
submission of Tenders.
The successful bidder is expected to complete the work within
the time period specified in the NIT.
9.0 Qualification Requirements of the Bidders:
9.1 The Bidder shall furnish the following particulars in the formats
provided online and supported documentary evidence shall be
uploaded.
Attested copies of documents relating to the Registration of the
firm, Commercial Tax Registration, Latest Income Tax Clearance
certificate /latest IT return and PAN number from IT Department
etc.
Availability of key personnel for administration /site management
and execution viz., technical personnel required for the work.
9.2 Qualification criteria for opening of the price bid: Bidders qualified
in the Technical / Pre qualification Bid are eligible.
9.3 Even though the bidders meet the above qualification
requirements, they are liable to be disqualified / debarred /
suspended / blacklisted if they have Furnished false / fabricated
particulars in the forms, statements and /Annexures submitted in
proof of the qualification requirements and/or Not turned up for
entering into agreement, when called upon within the time
specified in the letter of acceptance.
9.6 Record of poor progress such as abandoning the work, not
properly completing the contract, inordinate delays in completion,
litigation history or financial failures etc. and/or Participated in the
previous bidding for the same work and had quoted unreasonably
high tender percentage.

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9.8A history of criminal record in which the bidder is involved if any.


9.9 Even while execution of the work, if found that the work was
awarded to the bidder based on false /fake certificates of
experience, the bidder will be blacklisted and work will be
taken over invoking clause 61 of PS to APSS.
9.10 History of litigation with Govt. during the last 5 years in which the
bidder is involved.
10.0 Eligibility of the Bidder
Eligibility of a bidder will be based on meeting the minimum criteria
specified in Part-A below regarding the Bidder’s technical experience and
financial position. The bidder shall also be required to furnish the
information specified in Part-B below in their Bid. Technical experience
and financial resources of any proposed subcontractor shall not be taken
into account in determining the Bidder’s compliance with the qualifying
criteria.
The bid can be submitted by an individual firm or a Joint Venture
of not exceeding three firms (Specific requirements for Joint Ventures
are given under Para 10.1.3 below).
The OWNER reserves the right to waive minor deviations if they do not
materially affect the capability of the Bidder to perform the contract.
The Purchaser may assess the capacity and capability of the bidder, to
successfully execute the scope of work covered under the package
within stipulated completion period. This assessment shall inter-alias
include
i. Document verification;
ii. Bidders
work/manufacturing facilities, manufacturing capacity, details of
works executed, works in hand, anticipated in future & the
balance capacity available for the present scope of work;
iii. Details of plant and
machinery, manufacturing and testing facilities, manpower and
financial resources;
Details of quality systems in place;
Past experience and performance;
Customer feedback;
(viii) Banker’s feedback etc.

Part-A
Technical Experience:

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The bidder must have successfully executed one sub-station or


switchyard of 220/132 kV class or above having atleast 2(two) circuit
breaker bays during last 10 years as on the date of bid opening and
which must be in satisfactory operation for atleast 2 (two) years as on
the date of bid opening, provided.
i. the 400 kV class Circuit breaker being offered are from
manufacturer(s) who have designed, manufactured, type tested
and supplied the Circuit Breaker of 400 kV or above class which
must be in satisfactory operation for atleast 2 (two) years as on
the date of bid opening.
(OR)
ii. the 400kV class Circuit breaker being offered are from
manufacturer(s) who have established production line in India for
these equipments, based on technological support of a parent
company or collaborator for the Circuit Breaker (s) can also be
considered provided
iii. Such manufacturer (s) has designed, manufactured; type tested
and supplied the 220 kV or above class Circuit Breaker.
iv. The parent company (Principals) or collaborator meets qualifying
requirements stipulated above; and
v. The 400 kV class Circuit breaker manufacturer(s) furnishes A
legally enforceable undertaking (jointly with the parent company
or collaborator) to guarantee quality, timely supply, performance
and warranty obligations as specified for the equipment(s); and
vi. A confirmation letter from the parent company or collaborator
along with the bid stating that parent company or collaborator
shall furnish performance guarantee for an amount of 10 % of the
cost of such equipment(s). This performance guarantee shall be
in addition to Contract Performance Guarantee to be submitted
by the Bidder.
(OR)
The bidder shall have satisfactorily completed as a prime contractor or
as a sub-contractor or as a member in a Joint Venture 345/400kV or
higher voltage class transmission line(s) within the last ten (10) years as
on date of bid opening. The bidder should have erected and strung with
tension stringing equipments, not less than 50 km cumulative route
length of transmission line of 345/400kV or higher voltage class,
provided he associates a substation contractor who must have
successfully executed one sub-station or switchyard of 110/132kV class
or above having atleast 2(two) circuit breaker bays during last 10 years
as on the date of bid opening and which must be in satisfactory
operation for atleast 2 (two) years as on the date of bid opening. In such
a case, the bidder shall furnish Joint Deed of Undertaking (Format
enclosed) with the substation contractor. Further, circuit breakers being
offered should meet the requirement.
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For the purpose of qualifying requirement, one no. of circuit breaker bay
shall be considered as a bay used for controlling a line or a transformer
or a reactor or a bus section or a bus coupler and comprising of at least
one circuit breaker, two disconnectors and three nos. of single phase CTs
/ Bushing CTs.
Financial Position:
The bidder should have achieved an Annual Financial Turnover (AFT) of
at least Rs.11.00 crores- in any one year during the last five financial
years. The Bidder shall have Liquid Assets (L.A.) or / and evidence of
access to or availability of credit facilities of Rs 5.5 Crores.
In case bidder is a holding company, AFT & LA referred to in clause
above shall be that of holding company only (i.e. excluding its
subsidiary / group companies). In case bidder is a subsidiary of a holding
company, AFT & LA referred to in clause above shall be that of subsidiary
company only (i.e. excluding its holding company).
Joint Venture Firms:
The figures for each of the partners of the joint venture shall be added
together to determine the bidder’s compliance with the minimum
qualifying criteria set out in para above; however, in order for a joint
venture to qualify, the partner(s) of joint venture must meet the
following minimum criteria:
a. The lead partner shall meet, not less than 50% of the
minimum criteria given at Para (Financial position) and 100% of
criteria (Technical experience) above.
b. Each of the other partner(s) shall meet,
Further, each of the other partner(s) must have successfully executed, at
least one feeder bay and one transformer bay (132/110kV class or
above) including all civil works in the last 10 years which must be in
satisfactory operation for a minimum of 2 years as on the date of bid
opening.
a) One of the partners shall be nominated as Lead Partner, and the Lead
Partner shall be authorized to incur liabilities and receive instructions
for and on behalf of any and all partners of the Joint Venture, and the
entire execution of the Contract shall be done with the Lead Partner
and payment under the contract shall be received by the Lead Partner
on behalf of the Joint Venture as per power conferred to him in the
Power of Attorney. The authorization shall be evidenced by submitting
a Power of Attorney signed by legally authorized signatory of all the
partners. The payment under the Contract can also be received by
other partner(s) based on authorization of Lead Partner.
b) All partners of the Joint Venture shall be liable jointly and separately
for the execution of the Contract in accordance with the Contract

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terms and a copy of the agreement entered into by the joint venture
partners having such a provision shall be submitted with the bid.
A statement to this effect shall be included in the authorization
mentioned under (a) above as well as in the Bid Form and in the Contract
Form (in case of a successful bid).
PART-B :
The Bidder shall also furnish following documents/details with its bid:
A certificate from banker (as per format) indicating various fund
based/non fund based limits sanctioned to the bidder and the extent of
utilization as on date. Such certificate should have been issued not
earlier than three months prior to the date of bid opening. Wherever
necessary OWNER may make queries with the Bidder’s bankers.
The complete annual reports together with Audited statement of
accounts of the company for last five years of its own (separate)
immediately preceding the date of submission of bid.
Note :
I. In the event the bidder is not able to furnish the information of its own
(i.e separate), being a subsidiary company and its accounts are being
consolidated with its group/holding/parent company, the bidder
should submit the audited balance sheets, income statements, other
information pertaining to it only (not of its group/Holding/Parent
Company) duly certified by any one of the authority [ (i) Statutory
Auditor of the bidder /(ii) Company Secretary of the bidder or (iii) A
certified Public Accountant] certifying that such information/
documents are based on the audited accounts as the case may be.
II. Similarly, if the bidder happens to be a Group/Holding/Parent
Company, the bidder should submit the above documents/information
of its own (i.e. exclusive of its subsidiaries) duly certified by any one
of the authority mentioned in Note-I above certifying that these
information/documents are based on the audited accounts, as the
case may be.
III.Bidder shall have adequate sub-station / transmission line design
infrastructure and erection facilities and capacity and procedures
including quality control.
IV.The bidder should own / lease / procure the minimum tools & plants
required for the execution of the works in time as per the contract
period. The required T & P shall be indicated together with quantity.
V. The bidder should indicate number of technical persons along with
their qualifications available with him for execution of the works as
follows.

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Project Manager – 1 No. Graduate Engineer.


Site Incharge – 2 Nos. Graduate Engineers (1 No Electrical and 1 No.
Civil) with Five Years of experience in similar project.
Technical persons – 3 Nos. each Electrical & Civil Diploma holders OR
3 Nos. each ITI holders Electrical & Civil with experience of five years in
similar project.
Any of the joint ventures contractors in one bid shall not associate with
any other bidders as Joint venture for the same tender.
Litigation History:
The bidder should provide detailed information on any litigation or
arbitration arising out of contracts completed or under execution by it
over the last five years. A consistent history of awards involving
litigation against the Bidder or any partner of JV may result in rejection of
Bid.
One Tender per Bidder: Each Bidder shall submit only one Tender for
the work. A Bidder who submits more than one Tender will cause
disqualification of all the Tenders submitted by the Bidder.
Language of the Bidding Documents:
Bids shall be submitted in English language only.
Cost of Tendering:
The Bidder shall bear all costs associated with the preparation and
submission of his Tender and the tender inviting authority will in no case
be responsible and liable for those costs.
Cumulative Financial Capability:
If the bidder is bidding for more than one contract, the aggregate
requirement of turnover and credit facility will be counted for awarding
more than one contract. Bidder shall furnish the certified profit & loss
account statements for the last five years.
Site Visit:
The Bidder, at the Bidder’s own responsibility and risk is advised to visit
and examine the Site of Work and its surroundings and obtain all
information that may be necessary for preparing the Tender for entering
into a contract, for construction of the work. The costs of visiting the
site shall be at the Bidder’s own expense.
Clarification on Bidding Documents:
A prospective Bidder requiring any clarification on the Bidding
Documents may notify the tender inviting authority in writing or by fax
at the tender inviting authority’s mailing address indicated in the
Invitation for Bids. The clarifications sought by the bidders received 15

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days earlier to the date of opening of the pre-qualification bid will be


clarified provided these clarifications as found necessary only in case of
any ambiguity in the bidding documents brought out by the bidder. In all
other cases the specification provisions in the bidding documents
prevail.
Amendment of Bidding Documents:
At any time before the deadline for submission of bids, the purchaser
may, for any reason, whether at its own initiative or in response to a
clarification requested by a prospective bidder, modify the bidding
documents by amendment.
PRICES:
The bidder is entirely responsible for quoting prices with correct taxes
and duties, other local taxes or levies if any, license fee etc. that they
have to incur until completion of project. Evaluation will be done on
prices inclusive of all taxes, duties and other levies if any, license fee
etc., he has to incur till completion of the contract. The Bidder is
requested to quote prices as indicated in Price “schedule –A” for
evaluation along with break up of all taxes and duties for the purpose of
payment. Percentage of taxes and duties as applicable is to be indicated
clearly in “Schedule A supplementary” without which the bid is liable for
rejection. It is noted that the entry tax on goods entering into local area
of Andhra Pradesh is NIL as on the date as per the recent
pronouncement of A.P High Court.
Bids received for individual items with lump sum price showing
all taxes and duties as inclusive without giving break up of each
tax component are liable for rejection.
Bidders must submit the bid for the full quantity required as per
bidding documents for all the items mentioned in the price
schedules.
(a) For Equipment & Materials:
The Bidder has to quote his prices for equipment and material in
“Schedule-A” & “Schedule A supplementary”. The quoted rates for
the items of Equipment & Materials i.e., Circuit Breakers, Instrument
transformers, Lighting arresters, Isolators, substation lattice and pipe
structures, Moose ACSR conductor and Power and Control cables are
VARIABLE. The Price variation clause applicable is mentioned below.
Prices of all other equipment /material shall be firm on all accounts such
as increase in quantity of Equipment / Materials over that provided in
the contract, execution of contract beyond the scheduled completion
period for whatever reasons, increase in the rates of material and labour
both during and beyond the completion period etc.
(b) For Works:
The Bidder has to quote in Schedule-C, the percentage Excess/on par/
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Less over the estimated value of the works given in the Schedule-B. The
rates duly loaded with quoted tender percentage for all the items of
works covered in Schedules B, except for the items cement,
reinforcement steel & earth flat/ rod shall be firm on all accounts such
as (i) increase in quantum of work upto 25% over that provided in the
contract, (ii) execution of contract beyond the scheduled completion
period for whatever reasons, (iii) increase in the rates of material and
labour both during and beyond the completion period etc. These prices
shall include all the taxes and duties wherever applicable. Price variation
is applicable for items cement, reinforcement steel & earth flat/ rod
which are as per Price Variation clause mentioned below.
The prices quoted shall be inclusive of all taxes, duties and levies
including Works Contract Tax, Service Tax, Educational cess, Excise
duty, CST/GST, VAT, Octroi, Modvat etc., packing, forwarding, loading,
unloading, transportation to site/stores/storage and insurance to cover
transport, storage, erection, testing & commissioning etc. till the works
are taken over by OWNER.
All the information required in the various prices and other schedules
must be complete, otherwise the bids are likely to be rejected. Under
no circumstances shall a bidder alter his price during the validity period
after bids are opened. Any bidder who does so resulting in recalling of
bids by the OWNER or additional expenditure to the OWNER shall not
only lose his bid security but also run the risk of being blacklisted by
the OWNER which reserves the right under the law to recover damages
resulting there from.
PRICE VARIATION (PV) Clause:
The Price Variation applicable in respect of the items substation
structures, cement, reinforcement steel & earth flat is subject to the
following conditions:
a) Price variation shall be applicable for both upward and downward
variation in prices of respective items within the original
completion period.
b) The indices adopted for calculation of price variation shall be (i)
Wholesale Price Index, released from Ministry of Commerce &
Industry, Govt. of India for the items cement, reinforcement steel
& earth flat, and (ii) All India average Consumer price Index
number for industrial workers as published by the Labour Bureau,
Ministry of Labour, Govt. of India in respect of the items
transmission line towers, substation structures.
c) Upto ± 5% variation of indices, the agreement rates of the
respective items hold good. Price variation shall be applied only
when the variation in respective item’s price indices is above 5%
or below 5%. Difference above or below 5% will only be
considered.
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d) The completion schedule enclosed to the specification in the form


of bar chart shall be the basis for timing of the each activity for
calculating the Price Variation during a month. If the schedule is
not complied by the contractor as per the above programme due
to the reasons like right-of-way, the particular activity or task can
be rescheduled by moving upward or downward on the time axis
of the bar chart within the agreement period, as agreed by the
Concerned Executive Engineer (field officer), as per the actual site
conditions. In such cases, the concerned Executive Engineer will
record the reasons for re-scheduling / delay of the work.
e) Price adjustment shall be calculated separately for Reinforcement
steel & Cement components in proportion to the cost of work done
involving the above materials during the billing period as given in
the formula given below. The percentage of Reinforcement steel &
Cement components is based on estimated rate only. The Price
Variation amount so obtained will be added to the cost of work
done calculated on quoted rate, put up for billing.
f) The concerned Field Executive Engineer will calculate the Price
Variation for the billing period, preferably monthly. For this
purpose the contractor shall submit invoice supported by
calculations as per formula specified along with documentary
evidence for different indices applicable for Price Adjustment,
g) Price variation will be limited to the amount arrived based on
schedule date of completion or actual date of completion which
ever is earlier. Lower of the two indices values will be considered.
h) In specific cases like substation site being not handed over to the
contractor in time by the OWNER due to delay in land acquisition,
natural calamities, right-of-way problems, for which the contractor
is not responsible, extension of the agreement period may be
given duly rescheduling the programme of completion with the
approval of competent authority. In all such cases, OWNER will
consider application of price variation clause case to case.
i) Applicable formula for calculating Price Variation for
Reinforcement steel, Cement & MS Flat/Rod (in Earthing):

 Ps or PC  WPI1 − WP0  
PV = 0.85×  ×    × costof workdone(putup for billing)W

 100  WPI 0 
here,
PV = increase / decrease in the cost of work done during
the period under consideration due to variation in the rate of Steel
/ Cement.
Ps or PC = Percentage of steel or cement component in the total
value of item of work under consideration. For this
purpose estimate rate, exclusive of taxes & duties, is
to be considered.

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WPIO = The base price index of Steel or Cement during tender


quoting month.
WPI1 = The Wholesale Price Index for Steel or Cement of the
first week of calendar month programmed i.e. to be
completed as per the agreed period of schedule or
actual period of completion, whichever is lower.
Ps or PC = (Quantity of Steel or Cement in PO quantity x Rate of
Steel or
100 Cement as per estimate)/ (Total estimate value of
item of work under consideration) / 100
j) Applicable formula for calculating Price Variation for Substation
structures of 400 kV SS:
P0  HA LA ZN W 
P=  15+ 18× + 40× + 16× + 11× 
100 HA 0 LA 0 ZN 0 W0 

Where,
Po = Ex-works price quoted / confirmed.
HA = Price of heavier angles. (This price is applicable on the
first working day of the month, two months prior to the
date of delivery). For this purpose bidders need to
produce delivery challans of the material supplied.
HAo = Price of heavier angles. (This price is applicable on the
first working day of the month, one month prior to the
date of tendering).
LA = Price of lighter angles. (This price is applicable on the
first working day of the month, two months prior to the
date of delivery). For this purpose bidders need to
produce delivery challans of the material supplied.
LAo = Price of lighter angles.
(This price is applicable on the first working day of the
month, one month prior to the date of tendering).
Zn = Price of electrolytic high grade zinc.
(This price is applicable on the first working day of the
month, two months prior to the date of delivery).
Zno = Price of electrolytic high grade zinc.
(This price is applicable on the first working day of the
month, one month prior to the date of tendering).
W = All India average Consumer price Index number for
industrial workers, as published by the
Labour Bureau, Ministry of Labour, Govt. of India (Base
1982 =100).

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This index number is applicable for the month, five


months prior to the date of delivery.
Wo = All India average Consumer price Index number for
industrial workers, as published by the
Labour Bureau, Ministry of Labour, Govt. of India (Base
1982 =100).
This index number is applicable for the month, four
months prior to the date of tendering.
Price Variation Clause for Equipment and Cables:
The Price Variation applicable in respect of Circuit Breaker, Instrument
transformers, Surge Arresters, Isolators and cables is subject to the
following conditions:
a) Price variation shall be applicable for both upward and downward
variation in prices of respective items within the original completion
period.
b) The price quoted/accepted is based on the input cost of raw
materials/components and labour cost as on the date of quotation
and the same is deemed to be related to prices of raw materials and
all India average consumer price index number for industrial
workers as specified in the price variation clauses given below in
case of any variation in these raw materials prices /indices, the price
payable shall be subject to adjustment up or down in accordance
with the formulae mentioned.
c) For the purpose of Price adjustment, the date of delivery is the
date on which the equipment is notified as being ready for
inspection / dispatch. (In the absence of such notification, the date
of manufacturer’s dispatch note shall be considered as the date of
delivery) or the contracted delivery date (including any agreed
extension there to) whichever is earlier.
d) The price variation amount can be claimed for each batch of supplies
made from time to time (out of total quantity) and will be payable
after due verification.
e) If the date of delivery as defined in the P.V. formula is beyond the
contracted delivery date, the contracted delivery date or the actual
delivery date whichever is advantageous to the Purchaser will form
the basis for calculation of price variation.
f) The total adjustment for Circuit Breaker, Instrument transformers,
Surge Arresters, Isolators shall be subject to a maximum ceiling of
(+ 10%) individually of the respective Ex-works prices of Circuit
Breaker, Instrument transformers, Surge Arresters, Isolators.
However there is no ceiling for negative variation.
g) Notwithstanding the formula applicable for regulating the price
variation, if at any time any documentary evidence proof or
certificate in regard to the price variation bills is required by the
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purchaser, the supplier will have to furnish the same to the


purchaser.
PRICE VARIATION FORMULAE FOR EQUIPMENT AND CABLES
A - PRICE VARIATION FORMULA APPLICABLE FOR CIRCUIT
BREAKERS
P0  IS C AL IN W 
P=  19+ 17× + 17× + 13× + 19× + 15× 
100 IS 0 C0 AL 0 IN 0 W0 

Where,
P = Price payable as adjusted in accordance with the above formula.
P0 = Price quoted/accepted.
IS0 = Wholesale price index number for 'Iron & Steel (Base: 1993-
94=100). This index number is as applicable for the week
ending 1 Saturday of the month, three months prior to the date of
st

tendering.
C0 = Average LME settlement price of copper wire bars.
This price is as applicable for the month, two months prior to the
date of tendering.
AL0= Price of Busbar grade Aluminium.
This price is as applicable on the 1st working day of the month, one
month prior to the date of tendering.
IN0= IEEMA Index for Insulator (Base: January 2003=100)
This index number is as applicable on the 1st working day of the
month, one month prior to the date of tendering.
W0 = All India average consumer price index number for industrial
workers, as published by the Labour Bureau, Ministry of Labour,
Govt. of India (Base 2001 = 100)
This index number is as applicable on the first working day of the
month, four months prior to the date of tendering.
IS = Whole sale price index number for “Iron & Steel (Base: 1993-
94=100)’
This index number is as applicable for the week ending 1st
Saturday on the month, four months prior to the date of delivery.
C= Average LME settlement price of copper wire bars
This price is as applicable for the month, three months prior to the
date of delivery.
AL = Price of Busbar grade Aluminium
This price is as applicable on the 1st working day of the month, two
months prior to the date of delivery.

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IN = IEEMA index for insulator (Base: January 2003=100)


This price is as applicable on the 1st working day of the month, two
months prior to the date of delivery.
W= All India average consumer price index number for industrial
workers, as published by the Labour Bureau, Ministry of Labour,
Govt. of India (Base 2001 = 100)
This index is as applicable on the first working day of the month,
five months prior to the date of delivery.
The above prices and indices are as published by IEEMA vide circular
reference number IEEMA (PVC)/SWGR (R-2)/_/_ prevailing as on first
working day of the month, one month prior to the date of tendering.
B-PRICE VARIATION FORMULA APPLICABLE FOR INSTRUMENT
TRANSFORMERS
(CT,CVT, PT)
P0  C ES IS IM TB W 
P=  18+ 13× + 12× + 12× + 23× + 6× + 16× 
100 C0 ES0 IS 0 IM 0 TB0 W0 

Where,
P = Price payable as adjusted in accordance with the above formula.
P0 = Price quoted/ accepted.
Co = Average LME settlement price of copper wire bars.
This price is as applicable for the month, two months prior to
the date of tendering.
ESo = C & F price of CRGO Electrical Steel Sheets
This price is as applicable on the 1st working day of the month, one
month prior to the date of tendering.
ISo =Wholesale price index number for ‘Iron & Steel’ (Base: 1993-
94=100). This index number is as applicable for the week ending
1st Saturday of the month, three months prior to the date of
tendering.
IMo = IEEMA index for Insulator. (Base: January 2003=100)
This index is as applicable on the 1st working day of the month,
one month prior to the date of tendering.
TBo =Price of Transformer Oil Base Stock.
This price is as applicable on the 1st working day of the month, two
months prior to the date of tendering.
Wo =All India average consumer price index number for industrial
workers, as published by the Labour Bureau, Ministry of Labour,
Govt. of India (Base 1982=100)
This index number is as applicable on the first working day of the
month, three months prior to the date of tendering.
C = Average LME settlement price of copper wire bars.

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This price is as applicable for the month, two months prior to


the date of delivery.
ES = C & F price of CRGO Electrical Steel Sheets
This price is as applicable on the 1st working day of the month, one
month prior to the date of delivery.
IS = Wholesale price index number for ‘Iron & Steel’ (Base: 1993-
94=100)
This index number is as applicable for the week ending 1st
Saturday of the month, three months prior to the date of delivery.

IM = IEEMA index for Insulator. (Base: January 2003=100)


This index is as applicable on the 1st working day of the month, one
month prior to the date of delivery.
TB =Price of Transformer Oil Base Stock.
This price is as applicable on the 1st working day of the month, two
months prior to the date of delivery.
W = All India average consumer price index number for industrial
workers, as published by the Labour Bureau, Ministry of Labour,
Govt. of India (Base 1982=100)
This index number is as applicable on the first working day of the
month, three months prior to the date of delivery.
The above index numbers are as published by IEEMA vide circular
reference number IEEMA (PVC)/INST.TR./ ) /_/_ prevailing as on first
working day of the month, one month prior to the date of tendering.
C - PRICE VARIATION FORMULA APPLICABLE FOR ZINC OXIDE
GAPLESS LIGHTNINGARRESTER
P0  ZN CO BI BC FP W AL 
P=  20+ 15× + 15× + 10× + 10× + 10× + 15× + 
100 ZN 0 CO 0 BI 0 BC 0 FP0 W0 AL 0 
Wherein,
P = Price payable as adjusted in accordance with the above formula.
P0 = Price quoted/accepted.
ZN0 = Price of electrolytic high grade zinc.
This price is as applicable on the first working day of the
month, one month prior to the date of tendering.
CO0 = Price of Cobalt.
This price is as applicable on the first working day of the month,
one month prior to the date of tendering.
BI0 = Price of Bismuth.
This price is as applicable on the first working day of the month,
one month prior to the date of tendering.

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BC0 = Price of Ball Clay.


This price is as applicable on the first working day of the month,
one month prior to the date of tendering.
AL0 = Price of Aluminium Ingots.
This price is as applicable on the first working day of the month,
one month prior to the date of tendering.
EP0 = Whole scale price index number for fuel, power, Light &
Lubricants.
This index number is as applicable for the 1st Saturday of the
month, three months prior to the date of tendering.
W0 = All India Average Consumer Price index number for industrial
workers, as published by the Labour Bureau, Ministry of Labour,
Govt. of India (Base 1982 = 100).
This index number is as applicable for the month, three months
prior to the date of tendering.
ZN = Price of electrolytic high grade zinc.
This price is as applicable for the first working day of the month,
two months prior to the date of delivery.
CO = Price of Cobalt.
This price is as applicable for the first working day of the month,
two months prior to the date of delivery.
BI = Price of Bismuth.
This price is as applicable for the first working day of the month,
two months prior to the date of delivery.
BC = Price of Ball Clay.
This price is as applicable for the first working day of the month,
two months prior to the date of delivery.
AL = Price of Aluminium Ingots.
This price is as applicable for the first working day of the month,
two months prior to the date of delivery.
EP = Whole scale price index number for fuel, power, Light &
Lubricants.
This index number is as applicable for the 1st Saturday of the
month, four months prior to the date of delivery.
W= All India Average Consumer Price index number for industrial
workers, as published by the Labour Bureau, Ministry of Labour,
Govt. of India (Base 1982 = 100).
This index number is as applicable for the month, four months
prior to the date of delivery.

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The above index numbers are as published by IEEMA vide circular


reference number IEEMA (PVC)/ARSTR. /) /_/_ prevailing as on first
working day of the month, one month prior to the date of
tendering.
D - PRICE VARIATION FORMULA APPLICABLE FOR ISOLATORS
Price Variation Calculation for Insulator Portion of Isolators :
P0  ZN IN − INSLRES W 
P=  15+ 5× + 53× + 27× 
100 ZN 0 IN 0 − INSLR W0 

Where,
P = Price payable as adjusted in accordance with the above
formula.
P0 = Price quoted/accepted.
ZN0 = Price of electrolytic high grade zinc.
This price is as applicable on the first working day of the
month, one month prior to the date of tendering.
INo-INSLR0 = Index number for Insulators based on relative prices and
weightages (as given in brackets) of Wholesale price index
number for Fuel, Power, Light and Lubricants (28), Wholesale
price index number for Basic metals, Alloys, and Metal
Products (15), Wholesale price index number for wood and
wood products (6), and Ball Clay (4) calculated considering
their values as on 1st January 2003 as base equal to 100.
This index number is as applicable on the first working day of
the month, one month prior to the date of tendering.
W0= All India average consumer price index number for industrial
workers, as published by the Labour Bureau, Ministry of Labour,
Govt of India (Base 1982 = 100)
This index number is as applicable on the first working day of
the month, three months prior to the date of tendering.
ZN = Price of electrolytic high grade zinc.
This price is as applicable on the first working day of the
month, two months prior to the date of delivery.
INo-INSLR = Index number for Insulators based on relative prices and
weightages (as given in brackets) of Wholesale price index
number for Fuel, Power, Light and Lubricants (28), Wholesale
price index number for Basic metals, Alloys, and Metal
Products (15), Wholesale price index number for wood and
wood products (6), and Ball Clay (4) calculated considering
their values as on 1st January 2003 as base equal to 100.
This index number is as applicable on the first working day of the
month, one month prior to the date of delivery.

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W = All India average consumer price index number for industrial


workers, as published by the Labour Bureau, Ministry of Labour,
Govt of India (Base 1982 = 100)
This index number is as applicable on the first working day of
the month, four months prior to the date of delivery.
The above index numbers are as published by IEEMA vide circular
reference number IEEMA (PVC)/INSLR./ )/_/_ prevailing as on first working
day of the month one month prior to the date of tendering.
Price Variation Calculation for Metallic Portion of Isolators :
P0  IS C AI IN W 
P= 19 + 17 × + 17 × + 13 × + 19 × + +15 × 
100  IS 0 C0 AI 0 IN 0 W0 
Wherein,
P = Price payable as adjusted in accordance with the above
formula.
P0 = Price quoted/accepted.
IS0 = Wholesale price index number for 'Iron & Steel (Base: 1993-
94=100)
This index number is as applicable for the week ending 1 st
Saturday of the month, three months prior to the date of
tendering.
C0 = Average LME settlement price of copper wire bars.
This price is as applicable for the month, two months prior to
the date of tendering.
AL0 = Price of Busbar grade Aluminium.
This price is as applicable on the 1st working day of the month,
one month prior to the date of tendering.
!NQ = IEEMA Index for Insulator (Base: January 2003=100)
This index number is as applicable on the 1st working day of
the month, one month prior to the date of tendering.
W0 = All India average consumer price index number for industrial
workers, as published by the Labour Bureau, Ministry of
Labour, Govt of India (Base 2001 = 100).
This index number is as applicable on the first working day of
the month, four months prior to the date of tendering.
IS = Whole sale price index number for “Iron & Steel (Base : 1993-
94=100)’
This index number is as applicable for the week ending 1st
Saturday on the month, four months prior to the date of delivery.
C= Average LME settlement price of copper wire bars
This price is as applicable for the month, three months prior to the
date of delivery.
AL = Price of Busbar grade Aluminium.
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This price is as applicable on the 1st working day of the month, two
months prior to the date of delivery.
IN = IEEMA index for insulator (Base: January 2003=100)
This price is as applicable on the 1st working day of the month, two
months prior to the date of delivery.
W= All India average consumer price index number for industrial
workers, as published by the Labour Bureau, Ministry of Labour,
Govt. of India (Base 2001 = 100).
This index is as applicable on the first working day of the month,
five months prior to the date of delivery.
The above prices and indices are as published by IEEMA vide circular
reference number IEEMA (PVC)/SWGR (R-2)/_/_ prevailing as on first
working day of the month, one month prior to the date of tendering.
E - PRICE VARIATION FORMULA APPLICABLE FOR CABLES
i) For Aluminium conductor PVC Insulated Cables :
P = P0 +AIF(AI-AIo)+CCFAI(CC-CCo) + FeF( Fe – Feo)
Wherein,
P = Price payable as adjusted in accordance with the above formula in
Rs per Km
P0 = Price quoted/accepted in Rs per Km
AIF= Variation factor for Aluminium applicable depending upon type
and size of the cable.
AIo= Price of EC grade aluminium rods (properzi rods)
This price is as applicable on the 1st working day of the month, one
month prior to the date of tendering.
CCFAI = Variation factor for PVC Compound applicable depending
upon type and size of the cable.
CCo = Price of PVC Compound
This price is as applicable on the 1st working day of the month, one
month prior to the date of tendering.
AI = Price of EC grade aluminium rods (properzi rods)
This price is as applicable on the 1st working day of the month, two
months prior to the date of delivery.
CC = Price of PVC Compound
This price is as applicable on the 1st working day of the month, two
months prior to the date of delivery.
ii) For Steel Armoured PVC Insulated Copper Control Cables :
P = P0 +CuF(Cu-Cuo)+CCFCu(CC-CCo) + FeF(Fe-Feo)
Wherein,
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P = Price payable as adjusted in accordance with the above formula in


Rs per Km.
P0 = Price quoted/accepted in Rs per Km.
CuF= Variation factor for Copper applicable depending upon type and
size of the cable.
Cuo= Price of CC copper rods
This price is as applicable on the 1st working day of the month, one
month prior to the date of tendering.
CCFCu = Variation factor for PVC Compound applicable depending
upon type and size of the cable.
CCo = Price of PVC Compound.
This price is as applicable on the 1st working day of the month, one
month prior to the date of tendering.
FeF = Variation factor for Steel for Steel Armoured PVC Insulated
Copper Control Cables applicable depending upon type and size of
the cable.
Feo = Price of steel strips/steel wires.
This price is as applicable on the 1st working day of the month, one
month prior to the date of tendering.
Cu = Price of CC copper rods.
This price is as applicable on the 1st working day of the month, two
months prior to the date of delivery.
CC = Price of PVC Compound.
This price is as applicable on the 1st working day of the month, two
months prior to the date of delivery.
Fe = Price of steel strips/steel wires.
This price is as applicable on the 1st working day of the month, two
months prior to the date of delivery.
Price variation clause for ACSR Moose Conductor:
The price of ACSR Moose Conductor shall be based on and subject to
adjustment due to variation in the following factors:
i) E.C. Grade Aluminium: The ex-works cost of indigenous E.C.
grade aluminium wire rod based on average price of M/s. Nalco,
Balco, Hindalco, and Malco as given in CACMAI circulars prevailing
as on 30 days prior to the Bid opening.
ii) HTGS Wire: The ex-works cost per MT of HTGS wire
exclusive of duties and taxes prevailing as on 30 days prior to the
Bid opening corresponding to 3.00 to 4.09 mm designation, as
given in CACMAI circulars prevailing as on 30 days prior to the Bid
opening.
iii)The above basic prices of raw materials will remain unaltered
during the execution of contract.
iv)For any variation up or down in the prices of raw materials as
defined above, for every one rupee change in the rate of one MT of
EC grade aluminium wire rod and HTGS wire the corresponding
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increase or decrease in price per KM of finished conductor


allowable shall be as given below:

Variation in Rs. Per Km of Conductor


CONDUCTOR TYPE For For HTGS wire 3.00 mm to 4.09
Aluminium mm
MOOSE ACSR CONDUCTOR 1.467 0.537

v) For the purpose of calculation of price variation, the prices of HTGS


wire and EC grade aluminium shall be taken as those prevailing on
the first working day of the calendar month one month prior to the
date of delivery.
vi)The Base and final prices/ indices shall correspond to same
manufacturers as given in the CACMAI.
vii) The proportionate taxes and duties on such increase or
decrease in the price conductor is to the OWNER’s account, as per
actual on production of the gate pass relating to the consignments
for which price variation is claimed.
viii)The date of delivery shall be the date of receipt of materials in
good condition at destination stores (i.e. check measurement date
as per Form-13) for the purpose of the price variation calculations.
ix) If the delivery of the material is within the scheduled delivery
period, the Price variation applicable will be based on the actual
delivery.
x) In the case the purchaser advance the delivery, the price variation
applicable will be based on the actual delivery.
xi) Irrespective of increase in the prices of raw materials, the price
increase per KM of the conductor in the Ex-works price will be
limited to a maximum of 30% over the original ex-works price
mentioned above. However there is no ceiling for negative
variation.
xii) The price variation amount can be claimed for each batch of
supplies made from time to time (out of total quantity) and will be
payable after due verification.
xiii) In case of conductors, where the supplier makes his own
arrangements to get the Rod made out of Aluminium Ingots, the
prices of Aluminium Rod as per CACMAI mentioned above will only
be taken into consideration for arriving at the price variation
claims irrespective of whatever expenditure the supplier might
have incurred in getting the ingot converted into rod.
xiv) If the date of delivery as defined in the P.V. formula is beyond the
contracted delivery date, the contracted delivery date or the actual
delivery date whichever is advantageous to the Purchaser will form
the basis for calculation of price variation.
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xv) Notwithstanding the formula applicable for regulating the price


variation, if at any time any documentary evidence proof or
certificate in regard to the price variation bills is required by the
purchaser, the supplier will have to furnish the same to the
purchaser.
BID FORM:
The Bidder shall complete the Bid Form and all the bidding schedules for
Part-I of the bid and Price schedules for Part- II furnished in the bidding
documents.
Bid Currency:
The bid prices shall be quoted in Indian rupees only.
Additional Security Deposit:
For tendered percentage below 10% Additional Security Deposit has to
be collected for the less percentage below 10% percentage. Ex. If the
bidder quotes 20% below ECV (Estimated Cost Value), then he has to
pay ASD (Additional Security Deposit) of 10% of the estimated contract
value on receipt of detailed order along with Performance security within
prescribed time, failing which the order will be cancelled and the bid
security will be forfeited. ASD amount will not be accepted by cheque,
cash or money order. The ASD shall be paid in form of D.D/B.G from
Nationalized bank/Scheduled bank (from the approved Banker’s list of
OWNER enclosed).
Validity of Tenders:
Tenders shall remain valid for a period of not less than 90 days
from the date of opening of bid specified in NIT.
During the above-mentioned period no plea by the bidder for any sort of
modification of the tender based upon or arising out of any alleged
misunderstanding of misconceptions or mistake or for any reason will be
entertained.
Forfeiture of Performance Security:
Where a bidder pleads his inability to complete the work and backs out
of his obligations after issue of the preliminary acceptance letter or the
letter of intent, we will forfeit his performance security and the purchase
will also recover the loss, if any, sustained by the OWNER as a
consequence of such backing out. In addition, the company will also
become liable for being blacklisted. In case where the performance
security is not yet paid the bid security will be forfeited.
The OWNER reserves its right to place orders for the entire work on one
bidder or divide the work suitably and place orders on different bidder
on different dates during the validity period, reject any or all the bids
and not to accept the lowest or any other without assigning reasons.
Tender Opening and Evaluation:
Tender opening:
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The bids will be opened online by the OWNER or his assignee at the
time and date as specified in the tender documents. All the Statements,
Documents, Certificates, Demand Draft etc., uploaded by the bidders
will be verified and downloaded, for technical evaluation. The
clarifications, particulars, if any, required from the bidders, will be
obtained either online or in the conventional method by addressing the
bidders.
Clarification on the Bid:
1. The tender opening authority may call upon any bidder for
clarification on the statements, documentary proof relating to the
bid. The request for clarification and response thereto shall be in
writing and it shall be only on the qualification information
uploaded online by the bidder. The clarification called for from the
bidders shall be furnished within the stipulated time, which shall not
be more than a week.
2. The bidder if so desirous shall agree in writing to furnish
the clarification called for within the stipulated time and, for
disqualification and rejection of his tender in the event of failure to
do so.
Examination of Technical Bids and Determination of
Responsiveness:
1. The tender opening authority and/or his assignee will evaluate
whether each bidder is satisfying the eligibility criteria prescribed
in the tender document and declares them as an eligible bidder.
2. If any alteration is made by the bidder in the tender
documents, the conditions of the contract, the drawings,
specifications or statements / formats or quantities the tender will
be rejected.
3. Only those Bids which contain complete information and which
comply with the requirements regarding technical and financial
qualifications, experience will qualify for opening of Part-II i.e.
Price Bid.
4. Alternate bids which do not conform to the specification but
meet the performance prescribed and the objectives of the
specification can be submitted. However only the alternate bid of
the bidder whose main bid is the lowest evaluated bid will be
considered. The alternate bid must be enclosed in a sealed cover
clearly marked as “Alternate Bid” separately from the main bid.
Price Bid (Part – II) Opening:
1. At the specified date and time, the bids of the qualified bidders
will be opened online by the Tender Opening authority and the
result will be displayed on the ‘e’- market place which can be seen
by all the bidders who participated in the tenders.

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2. Tenders shall be scrutinized in accordance with the conditions


stipulated in the Tender document. In case of any discrepancy or
non-adherence to the Conditions, the Tender accepting authority
shall communicate the same to the bidder, which will be binding
on the bidder. In case of any ambiguity, the decision taken by the
Competent Authority on the tenders shall be final.
Evaluation and Comparison of Bids:
1. The Tender Opening authority and/or his assignee will
evaluate and compare the price bids of all the qualified bidders.
Price bids uploaded in e- market place will be taken into
consideration for evaluation.
2. Selection of bidder among the lowest & equally quoted
bidders will be in the following order:
a) The bidder whose bid capacity is higher will be selected.
b) In case the bid capacity is also same the bidder whose annual
turnover is more will be preferred.
c) Even if the criteria incidentally become the same, the past
performance of the bidder will be taken in to account while
awarding the contract.
d) It is the sole discretion of OWNER to award the work to any
bidder; mere becoming of L1 (Lowest quoted) bidder does not
automatically entitle any rights on any bidder for award of
contract. The OWNER reserves the right to reject any bid/bids
on account of past performance in the earlier awarded works
at any stage of evaluation of bids.
Process to be Confidential:
1. Information relating to the examination, clarification,
evaluation and comparison of Tenders and recommendations for
the award of a contract shall not be disclosed to bidders or any
other persons not officially concerned with such process until the
award to the successful bidder has been announced by the tender
accepting authority. Any effort by a bidder to influence the
processing of Tenders or award decisions may result in the
rejection of his Tender.
2. No bidder shall contact the officer inviting tenders or any
authority concerned with finalization of tenders on any matter
relating to this Tender from the time of the Tender opening to the
time the Contract is awarded.
3. Before recommending /accepting the tender, the tender
recommending /accepting authority shall verify the correctness of
certificates submitted to meet the eligibility criteria.
4. Tenders will be finalized by the authority inviting tenders on
the recommendation of the competent technical authority. The
authority will scrutinize the tenders in accordance with the
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conditions stipulated in the tender document. In case of any


discrepancy or non-adherence to the conditions, the same shall
be communicated to the bidder, which will be binding on the
bidder. The decision taken by the concerned authority on the
tender shall be final.
Award Criteria:
The OWNER will award or recommend to the competent tender
accepting authority for award of the contract to the Bidder who is found
Technically qualified as per the Tender conditions and whose bid is
lowest.
The tender accepting authority reserves the right to accept or reject
any Tender or all tenders and to cancel the Tendering process, at any
time prior to the award of Contract, without thereby incurring any
liability to the affected Bidder or Bidders or any obligation to inform the
affected Bidder or Bidders of the reasons for such action.
Notification of Award and Signing of Agreement:
1. The Bidder whose Tender has been accepted will be notified
of the award of the work by the OWNER prior to expiration of the
Tender validity period by letter. This letter (hereinafter and in the
Conditions of Contract called “Letter of Acceptance”) will indicate
the sum that the OWNER will pay the Contractor in consideration of
the execution, completion, and maintenance of the Works by the
Contractor as prescribed by the Contract (hereinafter and in the
Contract called the “Contract Amount”).
2. When a tender is to be accepted, the concerned Bidder shall
attend the office of the on the date fixed in the Letter of
acceptance. Upon intimation being given by the OWNER of
acceptance of his tender, the Bidders shall make payment of the
balance Security Deposit and wherever needed by way of Demand
Draft or unconditional and irrevocable Bank Guarantee obtained
from a Nationalized bank/Scheduled bank with required validity
period and sign an agreement in the form prescribed by the
department for the due fulfillment of the contract. Failure to attend
the office of the OWNER on the date fixed, in the written intimation,
to enter into the required agreement shall entail forfeiture of the
bid security deposited. The written agreement to be entered into
between the Contractor and the OWNER as may be authorized,
shall be the foundation of the rights and obligations of both the
parties and the contract shall not be deemed to be complete until
the agreement has first been signed by the contractor and then by
the proper officer authorized to enter into contract on behalf of the
OWNER.
3. The successful Bidder has to sign an agreement within a
period of 30 days from the date of acceptance of Performance
Security. On failure to do so his tender will be cancelled duly
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forfeiting the Bid Security, paid by him without issuing any further
notice and action will be initiated for black listing the Bidder.
Sufficient no. of copies of specification, purchase orders, quality
plan, and list of drawings shall be supplied together by the bidder
as requested by the purchaser for distribution. The expenses for
the preparation of copies of such documents shall be to the
account of the contractor.
Corrupt or Fraudulent Practices:
The OWNER requires that the bidders/suppliers/contractors under
Government financed contracts; observe the highest standard of ethics
during the procurement and execution of such contracts. In pursuance
of this policy, the Government Define for the purposes of the provision,
the terms set forth below as follows:
(i) “Corrupt practices” means the offering, giving, receiving or
soliciting of any thing of value to influence the action of a
Government official in procurement process or in contract
execution: and
ii) “Fraudulent practice” means a misrepresentation of facts in order
to influence a procurement process or the execution of a contract to
the detriment of the Government and includes collusive practice
among Bidders (prior to or after Tender submission) designed to
establish in Tender prices at artificial non-competitive levels and to
deprive the Government of the benefits of free and open
competition.
Will reject a proposal for award if it determines that the Bidder
recommended for award has engaged in corrupt or fraudulent practices
in competing for the contract in question.
(a) Will blacklist / or debar a firm, either indefinitely or for a stated
period of time, if at any time determines that the firm has
engaged in corrupt or fraudulent practices in competing for, or in
executing a Government Contract.
(b)Further more, Bidders shall be aware of the provisions stated in
the General Conditions of Contract.
The decision of OWNER to accept any tender and to reject any or
all tenders is final:
Not withstanding the OWNER reserves the right to accept or reject any
tender and to annul tendering process and reject any or all tenders at
any time prior to the award of contract without thereby incurring any
liability to the affected tenderer or tenderers on the grounds of its
action.
Performance Security:

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The successful bidder shall furnish within 15 days from the date of
receipt of the contract award letter, performance security equal to Ten
percent (10%) of out of total accepted bid value for the proper
execution of fulfillment of contract, which shall cover a period of 60
days beyond the Performance guarantee period.
If the bidder fails to furnish the performance security as specified
within 15 days of the award of contract, the contract is liable for
cancellation and forfeiture of the bid security. The performance
security shall also be forfeited if the successful Bidder fails to fulfill the
terms of the contract. This will not be waived in any case under any
circumstances.
Performance security may be made by way of a crossed demand
draft in favour of OWNER or by way of Bank Guarantee from Scheduled
Banks/ Nationalized Bank in favour of Client in the prescribed format
(enclosed with this bid) with a further claim period of 6 months
thereafter. The list of Approved Bankers list is enclosed.
All Bank Guarantees, which are executed in accordance with this
specification, shall be only on Andhra Pradesh State Stamp paper
purchased in Andhra Pradesh State to the value of not less than
Rs.100/- (Rupees one hundred only). Bank Guarantee executed on the
stamp paper of value less than Rs.100/- will not be accepted.
The Bank guarantee for Performance Security should be extended
suitably in case the equipment is found defective and not attended to
within the performance guarantee period or any other contractual
obligations are not fulfilled. The purchaser will discharge the
Performance Security after completion of the contract and within 60
days of the expiry of the warranty.
Completion Period:
The contractor shall take up and commence the work as per the
instructions of concerned Superintending Engineer/400 kV and complete
the work as indicated in Schedule-D.
Variations in Quantities:
(a) For Works:
The rates accepted for individual items of work covered under Schedule-
B shall hold good upto 25% over the agreement quantities. For the
quantities exceeding 25% over and above the agreement quantities, the
rate payable will be the OWNER estimated rate plus or minus over all
tender percentage of works portion or the accepted rate, whichever is
less.
(b) For Material / Equipment:
The rates accepted for individual items of material / equipment (except
for material/equipment for which Price variation is applicable) covered
under Schedule-A shall hold good for the actual quantities of material
supplied, including any increase necessitated during actual execution.

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Purchaser’s right to vary the scope during the period of


contract:
Purchaser may change the scope of the contract (No. of line bays etc.)
based on the priorities and may subsequently extend for balance scope
with the prices quoted if required.
Purchaser reserves the right to increase or decrease the scope stated
above as per requirement up to _+ 25% during the execution of the
order with quoted prices.
Supplemental items and procedure for working out rates for
supplemental items.
The contractor is bound to execute all supplemental items that are
found essential, incidental and inevitable during execution of the
contract at the rates to be worked out as below :
a) Supplemental Items directly deducible from similar items in the
contract:
The rates shall be arrived at by adding to or subtracting from the
contract rates of such similar item, the cost of the difference in quantity
of materials or labor between the new item and similar item in the
contract, worked out with reference to the schedule of rates adopted in
the sanctioned estimate with which the bids were compared, plus or
minus overall bid percentage.
b) New Items:
i. Similar items, the rates of which cannot be directly deduced from
the contract.
ii. Purely new items, which do not correspond to any item in the
contract.
The rate shall be the estimated rate plus or minus overall bid
percentage. If no such rate is available in the estimate the rate shall be
derived with reference to schedule of rates adopted in the sanctioned
estimate with which bids are compared.
Variation in Taxes & Duties and Statutory Variations:
Variation in Taxes and Duties:
The bidder will be entirely responsible for quoting the correct taxes &
duties, other local taxes or levies if any, license fee etc., he has to incur
until completion of the contract.
If the rates of the statutory levies assumed by the bidder are less than
the actual rates prevailing at the time of bidding, the OWNER will not be
responsible for such errors. If the rates of the statutory levies assumed
by the bidder are later proved to be higher than the actual rates
prevailing at the time of bidding, the difference will be passed on to the
credit of the OWNER. If the rates of the statutory levies assumed by the
bidder increase due to the increase in turnover, the increase shall be
borne by the bidder. In case the bidder is exempted from paying excise
duty or sales tax such bidder shall invariably enclose a copy of the
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excise duty / sales tax exemption certificate. Otherwise excise duty


gate pass has to be invariably furnished along with each bill if order is
placed.
The proforma credit available to the supplier on the purchases of
inputs (raw materials) consequent to the introduction of ‘MODVAT’
scheme may be taken into account while quoting the prices. The duties
and taxes if any payable extra may be stated.
Statutory Variations:
Any variation up or down in statutory levy or new levies introduced after
signing of the contract under this specification will be to the account of
OWNER provided that in cases where schedule of programme of works
is not adhered to by the bidder and if there are upward
variation/revision after the agreed schedule of programme of works, the
bidder will bear such impact of levies and if there is downward
variation/revision the OWNER will be given credit to that extent.
Taxes and Duties: The bidder is entirely responsible for quoting
prices with correct taxes and duties, other local taxes or levies if any,
license fee etc. that they have to incur until completion of project.
Evaluation will be done on prices inclusive of all taxes, duties
and other levies if any, license fee etc., he has to incur till
completion of the project. The Bidder is requested to quote
prices as indicated in Price “Schedule –A” & “Schedule A
supplementary” along with the break up of all taxes and duties
for the purpose of payment.
The Bidder has to indicate breakup of taxes & duties in the respective
columns provided in price schedules of supply of materials. The prices
inclusive of all taxes, duties and levies including Works Contract Tax,
Service Tax, Educational cess, Excise duty, CST/GST, VAT, , Octroi,
Modvat etc., packing, forwarding, loading, unloading, transportation to
site/stores/storage and insurance to cover transport, storage, erection,
testing & commissioning etc. till taken over by OWNER. It is the
responsibility of the bidder to quote all taxes and duties correctly
without leaving any column unfilled. Where taxes and duties are not
applicable the bidder should enter “NA” if no duty/ tax are leviable the
same may be entered as “NIL” . If any column is left blank or filled
vaguely like “as applicable” the same will be loaded with the maximum
of the other eligible bids.
Bids received for individual items with lump sum price showing all
taxes and duties as inclusive without giving break up of each tax
component are liable for rejection.
As regards Indian Income Tax, Surcharge on Income Tax, and any
other Corporate Tax, the purchaser shall not bear any tax liability in
respect of the Contracts irrespective of the mode of contracting. The
Bidder shall be liable and responsible for payment of such tax, if
attracted under the provision of the law. Deduction will be made at
source by the purchaser towards taxes, duties and levies deductible as
per applicable laws, from the Gross contract amount including value of
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supplies included in the contract. For the equipment/ material offered


by the bidder from sub vendors any taxes, duties and levies are not
payable by OWNER.
Import License:
Obtaining import license shall be of contractors' responsibility for
imported goods considered in the Bid. The purchaser has no
responsibility what so ever in this regard and any customs duty incurred
by the bidder on the imported goods considered in the bid will not be
born / reimbursed by the purchaser.
Performance Guarantee / Warranty:
Unless otherwise specified the contractor will warrant for the
satisfactory functioning of the material / equipment as per specification
for a minimum period of 18 months from the date of receipt of the
material / equipment in good condition or 12 months from the date of
commissioning whichever is later. The supplier will further guarantee
that the material / equipment will conform to the technical specification.
Equipment, sub-assemblies or mandatory spare parts replaced
under warranty will have further warranty from the date of acceptance,
for a further period of 12 months.
The supplier will warrant that the materials / equipment supplied under
the contract are new, unused, of the most recent or current models, and
those they incorporate all recent improvements in design and materials
unless provided otherwise in the contract. The supplier will further
warrants that all materials / equipment supplied under the contract will
be free from defects, arising from a design and/ or use of materials as
required by the purchaser’s specifications or from any act of omission of
the supplier that may develop under normal use of the supplied
materials / equipment.
All the material will be of the best class and will be capable of
satisfactory operation in the topics under the service conditions
indicated without distortion or deterioration. No welding, filling or
plugging of defective parts will be permitted. Unless otherwise
specified, they will conform to the requirements of the appropriate
Indian Standards. (Where a standard specification covering the material
in question has not been published, the standards of the American
Society for Testing of Materials should be followed).
The entire design and construction will be capable of withstanding
the severest stresses likely to occur in actual service and be capable of
resisting rough handling during transport.
The supplier will in addition, comply with the performance
guarantees specified under the contract. If, for reasons attributable to
the supplier, these guarantees are not attained in whole or in part, the
supplier will at its discretion either,
(a) make such charges, modifications, and / or additions to the
materials/ equipment or any part thereof as may be

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necessary in order to attain the contractual guarantees


specified in the contract at its own cost and expense and to
carry out further performance tests as per the relevant
standards.
(b) Replace the material / equipment at his own expense. The
purchaser will promptly notify the supplier in writing of any
claims arising under this warranty.
Upon receipt of such notice, the supplier will within 30 days repair or
replace the defective materials/equipment or parts thereof, free of cost
at the ultimate destination. The supplier will take over the replaced
parts/materials/equipment at the time of their replacement. No claim
whatsoever will lie on the purchaser for the replaced
parts/materials/equipment thereafter. In the event of any correction of
defects or replacement of defective material during the warranty
period, the warranty for the corrected/replaced material will be
extended to a further period of 12 months.
If the supplier, having been notified, fails to remedy the defect(s)
within the above period, the purchase may proceed to take such
remedial action as may be necessary, at the supplier’s risk and expense
duly deducting the expenditure from subsequent bills/bank guarantee
and without prejudice to any other rights which the purchaser may have
against the supplier under the contract. Should any damage occur to
any other equipment covered under this bidding document due to
defective part supplied under this contract, the Bidder should be
responsible for making good, the said damage.
If the work or any portion thereof shall be damaged in any way
excepting by the acts of the OWNER, or if defects not readily detected by
prior inspection shall develop before the final completion and acceptance
of the whole work, the CONTRACTOR shall forthwith make good, without
compensation, such damage or defects in a manner satisfactory to the
OWNER. In no case shall defective or imperfect work be retained.
If the contractor fails to remove or repair any defect within a reasonable
time, the purchaser shall do so by themselves or by any other agencies
at the contractor's cost and risk and cost of such repairs/removals will be
adjusted against the amount due to the contractor.
Splitting of Contract :
If deemed necessary by Purchaser, the purchase orders may be issued
suitably to separate supply, civil works and erection, testing and
commissioning. However, the contractor will solely responsible to carry
out the scope of two or more purchase orders as if they are one and
splitting shall not and will not absolve the contractor to comply with the
terms and conditions of this contract including the Taxes, duties and
levies etc. applicable on the gross value of the supplies and works

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covered under the scope of the bidding documents. Bidder shall quote
the bid prices accordingly specifically confirming as above. Purchaser is
not liable to bear the taxes and duties on any account other than the
amounts quoted in the bid prices by the bidder in his bid.
Work Schedule:
The successful Bidder shall furnish a detailed program as per the bar
chart in the form of a master network, along with his program for
manufacturing and delivery of the equipment / material offered by him,
approval of drawings, dates by which the Purchaser supplied
equipment, if any required may be handed over to him and erection,
testing and commissioning of various equipment and the completion
schedule of sub-station within one month of acceptance of letter of
award. The detailed network schedules based on Master Network
(mutually agreed by the Purchaser and Bidder) shall show the logic and
duration of following activities. The successful bidder has to submit
level-I programme in MS-Project for approval. After approval of Level-I
programme, Level-II programme shall be submitted in MS Project for
approval.
a) Detailed engineering, procurement (bought out items and raw
material), manufacture, shop inspection, testing, dispatch and
receipt at site activities.
b) Fabrication, galvanization of steel structures
c) Civil works
d) Erection, site testing and commissioning
e) Inputs required from Purchaser, co-ordination activities with other
manufacturers.
f) Monitoring of Processing of claims for supply, erection, testing
and commissioning and releasing payments.
g) Monitoring of Quality control for erection works.
Delay beyond Contractor’s Control:
The contractor shall not be entitled to claim compensation on account
of delays or hindrances to the works for any cause whatsoever. Should
the cause of delay or hindrance not be the responsibility of the
contractor, the Chief Engineer will consider whether it is possible or not
to grant extension of time to compensate for this delay or hindrance.
The contractor will not, however, be eligible for any compensation by
way of increase in the rates for the works executed beyond the contract
period.
Extension of Time for Contract Completion:
When a work cannot be completed within the completion period
indicated for reasons beyond the control of the contractor, the
contractor shall represent for the same and extension of time shall be
granted only on the issue of an undertaking by the contractor that he
will not put forth at a later date, claims for extra payments towards
increased overheads, labour costs etc.

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Mile Stones:
Bar chart assigning definite time period for each of the activity to be
ensured for total completion period of work is enclosed for strict
adherence to the payment terms mentioned in Clause No.15 of GCC
(Terms of payment). The bidders are requested to give specific
acceptance in the form of an undertaking as per Schedule X at the time
of bidding.
Bids received without this undertaking are liable to be
overlooked.
GENERAL CONDITIONS OF CONTRACT (GCC)
1.0 DEFINITIONS:
1.1 DEFINITION OF TERMS:
i. In the contract, the following expression shall, unless the contract
otherwise requires, have the meanings hereby respectively,
assigned to them.
ii. The 'Purchaser/Owner/Engineer' shall mean the Transmission
Corporation of Andhra Pradesh Limited and shall include its
successors and permitted assigns.
iii. The 'Contractor' shall mean the bidder whose bid has been
accepted by the purchaser and shall include the bidder's heirs, legal
representatives, and successors and permitted assigns.
iv. The 'Sub-Contractor' shall mean the person, firm/company named in
the contract for any part of the work or any person, to whom any
part of the contract has been sublet with the consent in writing of
the Engineer, and the heirs, legal representatives, permitted
successors and assigns of such persons.
v. The 'Engineer' shall mean the officer placing the order for the work
with the Contractor and such other officer as may be authorized and
appointed in writing by the Purchaser to act as Engineer for the
purpose of the Contract and in case no such officer has been so
appointed, the purchaser or his duly authorized representative.
vi. The 'Supervising Engineer' shall mean such officer as may be duly
appointed from time to time by the Purchaser or his Engineer to take
general control and supervision of work.
vii. The 'Inspector' shall mean any person or persons nominated by the
Purchaser and/or the Engineer to inspect stores or works under the
agreement and/or his duly authorized representative appointed to
act as the inspector.
viii. The 'Contract' shall mean and include the bid and acceptance
thereof, the general conditions, special conditions, Specifications,
Schedules, drawings, Form of Bid, covering letter, schedules of
prices, the final General conditions and the format Agreement

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executed on the stamped paper.


ix. The 'Specification' shall mean collectively all the terms, stipulations,
and conditions of contract, technical provisions and Annexures
thereto and list of corrections and amendments mutually agreed
upon from time to time in writing.
x. 'Tests on completion' shall mean such tests, as are prescribed by
specification, to be made by the Contractor to the satisfaction of
the purchaser before the work is taken over by the Purchaser.
xi. Contract Price: Contract Price means the price payable to supplier
under the contract for the full and proper performance of its
Contractual obligations.
xii.'Commissioning' shall mean the satisfactory operation of the
equipment/work as specified, after all necessary initial tests,
checks and adjustments required at site, if any, have been
satisfactorily completed and the equipment / works have been in
continuous and uninterrupted commercial use for at least 30 days.
xiii. ‘Commercial use' shall mean the use of the work, which the
contract contemplates or of which it is commercially capable.
xiv. 'Approval' shall mean the written approval of the Engineer and of
the statutory authorities wherever such authorities are specified by
any codes or otherwise.
xv. 'Month' shall mean calendar month.
xvi. 'Writing' shall include any manuscript, typewritten or printed,
statements, under or over signature or seal as the case may be.
xvii. 'Letter of Intent' shall mean the purchaser's letter conveying his
acceptance of the bid, subject to such reservations as may have
been stated therein.
xviii. ECV: Shall mean Estimated Contract Value.
xix. RTGS: Shall mean Real Time Gross Settlement.
xx. PFC: PFC means Power Finance Corporation (A Govt. of India
Enterprise) which is extending loan to OWNER for the proposed
Subject works.
2.0 APPLICATION/APPLICABILITY:
These general conditions shall apply to the extent that provisions in
other parts of the contract do not supersede them.
3.0 STANDARDS: (GTC)
3.1.1 The Goods and services supplied under this contract shall conform
to the standards mentioned in the Technical specifications, and
when no applicable standard is mentioned, to the Indian standard.
3.1.2 Equipment and accessories conforming to British Standards
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or International Electro-technical Commission (IEC) Publications,


which ensure equivalent quality, shall also be acceptable. The
equipment conforming to any other National Standards, which
ensure equivalent quality, are also acceptable. However in such
cases, the salient points of comparison between the standards
adopted and the standards quoted herein shall be detailed in the
appropriate schedule with an authentic version of such standards.
The Bidder shall clearly indicate the standards adopted and furnish
two (2) copies of the English Translation of these standards along
with the Bid.
3.1.3 The Electricity Act 2003 can be obtained on payment from
Kitab Mahal, State Emporium Building, Baba Kharak Singh Marg,
New Delhi - 110 001, INDIA.
3.2 DEVIATIONS:
3.2.1 Constructional / manufacturing details specified in this specification
are for guidance of the Bidder. Minor deviations from the specifications, if
any, proposed by the Bidder will be considered on merit, provided they
are Manufacturer's proven standards or necessary either to improve
utility, performance and efficiency or to secure overall economy, but
provided further that these do not affect competitive comparison of the
proposal. The Purchaser has the right to monetarily evaluate any or all
such deviations in accordance with their judgment. The Purchaser also
reserves the right to reject any deviation without any consideration.
3.2.2 Technical deviations if any shall be specifically and clearly
mentioned in schedule for deviations with justifications. Deviations not
specifically mentioned in these schedules and if mentioned elsewhere
shall not be treated as deviations and further on the basis the bid may
also be rejected. Even when no deviations are taken, still these
schedules should be filled in as follows 'No Deviations taken'. The
deviations schedules are exclusively meant for technical deviations only.
It may be noted that there shall not be any deviations in
commercial terms & conditions.
4.0 USE OF CONTRACT DOCUMENTS AND INFORMATION:
i. The Bidder shall not, without the Purchaser's prior written consent,
disclose the Contract, or any provision thereof any specification, plan,
drawing, pattern, sample or information furnished by or on behalf of the
Purchaser in connection therewith, to any person other than a person
employed by the supplier in the performance of the contract. Disclosure
to any such employed person shall be made in confidence and shall
extend only as far as may be necessary for purposes of such
performance.
ii. The bidder shall not, without the Purchaser's prior written consent,
make use of any document or information enumerated in para 4.1 except
for the purposes of performing the contract.

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iii. The Bidder shall not, without the Purchaser's prior written consent,
make use of any Document or information enumerated in Para 4.1
except for the purposes of performing the Contract
iv. Any Documents other than the Contract itself, enumerated in Para
4.1 shall remain the property of the Purchaser and shall be returned to
the Purchaser on completion of the supplier's performance under the
Contract if so required by the Purchaser.
5.0 PATENT RIGHTS AND ROYALTIES:
5.1 Royalties and fees for patents covering materials, articles,
apparatus, devices, equipments or processes used in the works
shall be deemed to have been included in the Contract price. The
contractor shall satisfy all demands that may be made at any
time for such Royalties or fees and he alone shall be liable for
any damages or claims for patent infringements and shall keep
the Purchaser indemnified in that regard. The Contractor
shall, at his own cost and expense, defend all suits or
proceedings that may be instituted for alleged infringement of
any patents involved in the works, and in case of an award of
damages, the Contractor shall pay for such award. In the event
of any suit or other proceedings instituted against the Purchaser,
the same shall be defended at the cost and expenses of the
Contractor who shall also satisfy/comply any decree, order or
award made against the Purchaser. But it shall be understood
that no such machine, plant, work, material or thing has been used
by the Purchaser for any purpose or any manner other than that
for which they have been furnished and installed by the Contractor
and specified under these specifications, final payment to the
Contractor by the Purchaser will not be made while any such suit
or claim remains unsettled. In the event any apparatus or
equipment, or any part thereof furnished by the Contractor is in
such suit or proceedings held to constitute infringement, and its
use is enjoined, the Contractor shall, at his option, and at his own
expense, either procure for the Purchaser, the right to continue
the use of said apparatus, equipment or part thereof, replace it
with non-infringing apparatus or equipment or modify it, so that
it becomes non-infringing apparatus or remove the equipment
and refund the purchase price plus transportation and installation
cost thereof.
5.2 The CONTRACTOR shall indemnify and keep indemnified the
purchaser, his successors or assignees for and against any and
all claims, suits, damages, losses, actions, demands, costs,
charges, royalties and expenses arising from or for infringement,
real or claimed of patents, copy rights or other protected rights, if
any, designs, plants, device, machine, diagrams, drawings or in
respect of the material supplied by the CONTRACTOR or any of
the construction methods of processes followed by the
CONTRACTOR for the construction of the constructed portion of

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the 'Project' or for the operation of the constructed portion of the


project, are found to have infringed any such rights.
5.3 In the event of any claim being made or action being brought
against the Purchaser in respect of any of the matters referred to
in Clause-5.2 above, the CONTRACTOR shall promptly be notified
and he shall, at his own expense, conduct all negotiations for the
settlement of the same and any litigation that may arise there
from.
6.0 PERFORMANCE SECURITY: (Refer, ITB)
7.0 INSPECTIONS AND TESTS: (GTC)
7.1 The Purchaser or its representative shall have the right to inspect
and/or to test the goods to confirm their conformity to the contract
specifications. The specifications shall specify what inspections and tests
the Purchaser requires and where they are to be conducted. The
Purchaser shall notify the Supplier in writing of the identity of any
representatives retained for these purposes.
7.2 The inspections and tests may be conducted on the premises of
the Supplier or its sub-contractor(s), at the point of delivery and/or at the
good's final destination. Where conducted on the premises of the
supplier or its sub-contractor(s) all reasonable facilities and assistance
including access to drawing and production data shall be furnished to the
inspectors at no charge to the Purchaser. The Bidder should clearly
confirm that all inspection facilities exist at his works and shall be made
available to the inspecting agency to check the reliability of the
equipment.
7.3 Should any inspected or tested Goods fail to conform to the
specifications, the Purchaser may reject them and the supplier shall
either replace the rejected goods or make all alterations necessary to
meet specification/requirements free of cost to the Purchaser.
7.4 The Purchaser's right to inspect, test and where necessary, reject
the goods after the goods' arrival in the Purchaser's site shall in no way
be limited or waived by reason of the goods having previously been
inspected, tested and passed by the Purchaser or its representative prior
to the goods' shipment from the country of origin.
7.5 Nothing in clause 7 shall in any way release the Bidder from any
warranty or other obligations under this contract.
7.6 All consumable, instrument (T & P), testing instrument and others
needed for the above inspections and tests shall be arranged by the
Bidder at no costs to the purchaser.
7.7 The supplier shall give the Purchaser/Inspector twenty one (21)
days notice by fax of any material being ready for testing.
7.8 In case of inspection of imported goods at the manufacturers
premises all the costs towards local transport, accommodation etc. for
two purchasers' Engineers including Inspection/Test Charges shall be
borne by the contractor.

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8.0 PACKING AND MARKING:


8.1 The Bidder shall provide such packing of the goods as is required
to prevent their damage or deterioration during transit to their final
destination as indicated in the contract. The packing shall be
sufficient to withstand without limitation, rough handling during
transit and exposure to extreme temperatures, salt and
precipitation during transit and open storage. Packing case size
and weights shall take into considerations where appropriate, the
remoteness of the goods' final destination and the absence of
heavy handling facilities at all points in transit.
8.2 The packing, marking and Documentation within and outside the
packages shall comply strictly with such special requirements as
shall be expressly provided for in the Contract and, subject to
clause 7 above, in any subsequent instructions given by the
Purchaser.
8.3 In general each package shall be marked to indicate:
a) Name of the Supplier
b) Details of items in the package
c) Name of the consignee
d) Purchase order number
e) Gross, net and tare weights of the items
f) Destination.
8.4 Refer packing and marking of the Technical Specifications for
further details.
9.0 DELIVERY/COMPLETION PERIOD AND DOCUMENTS:
9.1 Delivery of the Materials / equipment will be made by the Supplier/
contractor in accordance with the terms specified in the Schedule –
D i.e., All the supplies shall be completed within 07(Seven) months
from the Date of Purchase Order and the erection, Testing and
Commissioning shall be completed with in 09(Nine) months from
the date of Purchase Order as specified in Schedule - D and
documents as at clause 9.2 below.
The latest test certificates containing the result of the tests as per
the relevant ISS or other specification stipulated must be
submitted to the Chief Engineer and got approved by him.
9.2 Documents to be submitted by the Supplier/ contractor are
specified as under.
Original and four copies of
(i) Insurance certificate;
(ii) Supplier’s certificate certifying that the defects if any pointed
out during inspection has been rectified (3 copies).
(iii) The Suppliers invoice showing Purchase order No. Goods
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description, quantity, unit price, total amount.


(iv) Delivery note/ packing list/ lorry receipt.
(v) Manufacturers/Suppliers guarantee certificate.
(vi) Certificate of origin.
(vii) Excise gate pass/ Octroi receipts, wherever applicable duly
sealed indicating payment mode.
(viii) Any other document evidencing payment of statutory levies.
(ix) The items and quantity so far supplied including the present
package.
(x) Manuals in Six sets and one set of reproducible drawings.
The Purchaser will receive the above documents soon after the
dispatch of materials and if not received, the supplier will be
responsible for any consequent expenses.
Note: The nomenclature used for the item description in the
invoices/ packing lists and delivery notes etc., should be
identical to that used in the purchase order .The dispatch
particulars including the name of transporter, L.R. No., and
date should also be mentioned in the invoice/s.
10.0 INSURANCE: (Clause 29.0 of GCE)
10.1 This clause shall be read with Clause No. 29.0 of GCE.
The Goods supplied under the Contract shall be fully insured
against loss or damage incidental to manufacture or acquisition,
transportation, storage, delivery and erection. In case of domestic
goods the insurance shall be at least for an amount equal to
110% of the cost of the goods from “warehouse to warehouse
(final destination)” and 30 days storage thereafter on “All Risks”
basis including War Risks and Strike Clauses.
The Contractor shall arrange secure and maintain insurance as
may be necessary and for all such amounts to protect the
materials of the Purchaser against all risks till the Goods and
services is taken over as detailed herein. The form and the limit of
such insurance as defined herein together with the underwriter
thereof in each case shall be acceptable to the Purchaser.
However irrespective of such acceptance the responsibility to
maintain insurance at all times during the period of “Contract”
shall be that of contractor alone. The contractor’s failure in this
regard shall not relieve him of any of his contractual
responsibilities and obligations.
The contractor shall take Insurance cover in their name.
The above insurance shall be made in freely convertible currency.
The contractor shall be responsible for preferring all claims and
releasing the amounts from insurance. The scope of such
insurance shall cover the entire value of the “Goods and Services”.

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The bidder shall


a) Initiate and pursue insurance claim till settlement and
b) Promptly arrange for repair and/or replacement of any
damaged items in full irrespective of settlement of insurance
claim by the under writers.
All costs on account of insurance liabilities covered under the
contract will be on “Contractor’s” account. The CONTRACTOR shall
provide the Purchase with a copy of all insurance policies and
documents taken our by him in pursuance of the ‘Contract”. Such
copies of documents shall be submitted to the Purchaser
immediately after such insurance coverage. The CONTRACTOR
shall also inform the Purchaser in writing at least sixty (60) days in
advance, regarding the expiry, cancellation and / or change I any
of such documents and ensure revalidation / renewal etc., as may
be necessary well in time. The Purchase shall assist the contractor
if required in obtaining Licenses/port clearances, etc., in respect of
foreign supply required for the purpose of replacement of Goods
lost in transit. The risks that are to be covered under the insurance
shall be comprehensive and shall include but not be limited to, the
loss or damage in transit, storage, due to theft, pilferage, riot, civil
commotion, weather conditions, accident of all kinds, fire, flood,
war risk (during ocean transportation) bad or rough handling etc.
The scope of such insurance shall cover the entire value of the
‘Works’.
All costs on account of insurance liabilities covered under the
‘Contract’ will be on CONTRACTOR’S account and will be
included in ‘Contract Price’. However, the Purchaser may from
time to time, during the pendency of the ‘Contract’. Ask the
CONSTRACTOR in writing to limit the insurance coverage risks and
in such a case, the parties to the “Contract” will agree for a mutual
settlement, in reduction in ‘Contract Price’ to the extent of reduced
premium amounts.

fai
11.0 TRANSPORTATION:
11.1 The Bidder is required under the contract to deliver the Goods free
at Destination. Transport of the goods to the destination, shall be
arranged and paid for by the supplier, and the cost thereof shall be
included in the contract price. It shall be the total responsibility of

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the bidder to ascertain transportation limitations if any before he


bids or supplies.
11.2 Where the Bidder is required to effect delivery under any other
terms, for example, by post or to another address, the supplier
shall be required to meet all transport and storage expenses until
delivery.
11.3 In all of the above cases, transportation of the goods after the
delivery at destination site/stores shall be the responsibility of the
contractor unless specified otherwise.
12.0 INCIDENTAL SERVICES:
12.1 As specified below the supplier may be required to provide in
addition to erection, testing and commissioning the following
services.
(a)
Performance or supervision of on-site erection/ assembly,
testing and commissioning and/or start-up of the supplied
goods;
(b)
Furnishing of tools required for the assembly, testing &
commissioning and/or maintenance of the supplied goods and
also detailed operation s and maintenance for each appropriate
unit of the supplied Materials/ equipment.
(c)
Performance or supervision or maintenance and/or repair of the
supplied Goods, for a period of time agreed by the parties,
provided that this service shall not relieve the supplier of any
warranty obligations under this contract;
(d)
Conduct of training of the Purchaser's personnel, at the
supplier's plant and /or on-site in assembly, start-up, operation,
maintenance and/or repair of the supplied Material/equipment .
12.2 Prices for the above shall be included in the total bid price.
13.0 SPARE PARTS:
13.1 As specified below the Bidder may be required to provide any or all
of the following materials and notifications pertaining to spare
parts manufactured or distributed by the Bidder:
(a) Such spare parts as the Purchaser may elect to purchase from
the Supplier, provided that this selection shall not relieve the supplier of
any warranty obligations under the contract, and
(b) In the event of termination of production of the spare parts:
(i) Advance notification to the Purchaser of the pending
termination, in sufficient time to permit the Purchaser to
procure the needed requirements, and
(ii) Following such termination, furnishing at no cost to the

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Purchaser, the blue prints, drawing and specifications of


the spare parts, when requested.
14.0 WARRANTY/GUARANTEE:
14.1 The Contractor shall guarantee, among other things the
following:
i. Quality and strength of materials / equipment used.
ii. Adequate factors of safety for the material / equipment to
withstand the mechanical and/or electrical stresses
developed therein. These shall be stated in the Bid.
iii. The delivery and erection periods given in the Bid.
iv. The Contractor shall warrant further that the services to be
carried out under this contract shall conform to generally
accepted professional standards and engineering principles.
v. The materials/equipment supplied shall be guaranteed for
satisfactory operation for a period of at least 18 months from
the date of receipt of materials at site / stores in good
condition or 12 months from the date of commissioning of all
works connected with the Bay-extension, which ever is later.
By the time of completion of commissioning, Bank Guarantee
for performance security and Bank Guarantee for final
payment shall be valid to cover Guarantee/ warranty period.
However any Engineering error, omission, wrong provision,
Goods failure etc., shall be attended to by the Contractor up
to and on the date of actual commissioning of the Goods
without any revision in the price or extra cost.
14.2 If during the period of guarantee, any of the materials,
are found defective and/or fail in test or operation, such
materials, shall be repaired or replaced by the Contractor free of
cost to the OWNER irrespective of the reimbursements from the
insurance company within reasonable time which shall in no
circumstance be more than 30 days or such other reasonable time
as the OWNER may deem proper to afford failing which the
cost of the failed material will be deducted from the subsequent
bills/Bank Guarantee.
14.3 The contractor shall bear all the expenses incurred in
connection with the repair or replacement against such defective
Goods inclusive of all freight both inland overseas, insurance,
customs levies, forwarding and clearing and demurrage and other
incidental charges involved in delivering the said Goods to the
Purchaser's specified destination. The decision whether correction
of the defects should be by the repair or replacement shall be the
sole discretion of the Purchaser.
14.4 Provision of this clause shall also apply to all materials and
services repaired or replaced under the provision of this until the
expiration of period of 12 (twelve) months from the date of such
repair or replacement.

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14.5 The cost of any special or general overhaul rendered necessary


during the guarantee period due to defective Goods and Services
furnished by the contractor shall be borne by the contractor.
14.6 The taking over of the Goods and services by the Purchaser
shall in no way relieve the contractor of his obligation under this
clause.
14.7 The Contractor shall co-operate with the Purchaser in all
ways in repair or replacement of the defective part, so as to
minimize to the extent possible the interruption in operation of
Goods.
14.8 Where the sub-contractors provide longer periods of
warranty than mentioned above, the Purchaser shall be entitled for
such longer guarantees.
14.9 If the Supplier, having been notified, fails to remedy the
defect(s) within a reasonable period, the Purchaser may
proceed to take such remedial action as may be necessary, at the
Supplier's risk and expense and without prejudice to any other
rights which the Purchaser may have against the Supplier under
the contract.
14.10 The Contractor's full and extreme liabilities under this clause
shall be satisfied by the payments to the Purchaser of the extra
cost, of such replacement procured including erection as provided
for in the contract, such extra cost being the ascertained
difference between the price paid by the Purchaser for such
replacements and the contract price portion for such defective
plants. Should the Purchaser not so replace the defective plant, the
contractor's extreme liability under this clause shall be limited to
repayment of all sums paid by the Purchaser under the contract for
such defective plant.
14.11 Bid Proposals offering any other terms of
warranty/guarantee, will be treated as non-responsive and
rejected.
14.12 Guarantee for Works: Refer Clause No. 48 of G.C.E.
15.0 TERMS OF PAYMENT:
The payment will be made from PFC, New Delhi/Bank of Rajasthan
funds for the bills raised from field.
For Supply(equipment/material ):
15.1 100% payment will be arranged within 45 days reckoned of issue
of Form-13 i.e. date of receipt of material/equipment in good
condition at the destination/stores i.e., Check measurement date in
Form–13 duly transferring the said amount to the bank account of
the supplier by the purchaser bank. Please note that the above
payment is subject to supply of material/equipment in complete
shape as per their delivery schedule indicated in bar chart and also
receipt of other required documents specified below. The supplier
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will have to predefine the Bank details while entering into contract.
The Bank details of bidder as above are final and shall not be
revoked under any circumstances. The bank charges will be made
to the account of contractor. An amount of Rs.50/- (Rupees Fifty
only) will be recovered from the bill amount per each disbursement
raised by the unit officer of OWNER.
OR
Payment for the bills will be made by cheque of any scheduled
bank at the head quarters of Paying officer.
No interest will be payable in case payment is delayed for
whatever reason.
The 100% payment mentioned above is subject to submission of
performance security by the supplier.
The supplier should invariably submit test certificates and other
documents, the purchaser specifies before dispatch is made so
that they can be checked and approved well in advance.
The performance guarantee to be executed in accordance with this
specification will be furnished on a stamp paper of value Rs.100/-.
The Bank Guarantee will be extended if required suitably.
If the supplier has received any over payments by mistake or if any
amounts are due to the OWNER due to any other reason, when it is
not possible to recover such amounts under the contract resulting
out of this specification, the OWNER reserves the right to collect
the same from any other amount and /or Bank Guarantees given
by the company due to or with the OWNER.
When the supplier does not at any time, fulfill his obligations in
replacing / rectifying etc. of the damaged/defective materials in
part or whole promptly to the satisfaction of the OWNER Officers,
the OWNER reserves the right not to accept the bills against
subsequent dispatches made by the supplier and only the supplier
will be responsible for any demurrages, wharf ages or damage
occurring to the consignments so dispatched.
Summary sheet of payment particulars with the details of item
wise quantity supplied until the present consignment, quantity
delivered in this consignment and balance to be delivered and
corresponding amounts of payment.
The Payment will be made to the Supplier under this
Contract in Indian Rupees only.
The following documents specified below shall be submitted to the
paying officer.
a) Original for buyer invoice.
b) Delivery Challan Acknowledged by the consignee(S) (6
copies)
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c) Insurance Certificate
d) Manufacturers/Suppliers Warranty Certificate
e) Approval of routine and Acceptance test reports.
f) 6 copies of packing list
g) Copy of Acceptance Letter of Performance Security
issued by Purchaser.
Price variation is applicable only for the supply of Substation
structures, earth flat/ rod, Switchgear Equipment like CB, CVT, CT,
Isolators, Moose ACSR conductor and Power & Control cables and
for the remaining items the prices are firm.
No payments will be made for the supplies made prior to
scheduled delivery or for material which are not in full shape.
In respect of bought out items from out side the State, the Form-C
will be issued to the contractor for equipment / material supplied
and against production of documentary evidence in the name of
consignee i.e., OWNER
15.2 PAYMENT FOR ERECTION: (Clause No. 54 of GCE):
a) Ninety percent (90%) payments of the periodical progressive
bills for the erection works will be made for the items of work
done. For this purpose the contractor shall submit bills to the
concerned Executive Engineer regularly to ensure payments in
time. The contractor shall give the full details of items of works
done against each location in support of the bill along with the
summary sheet of payment particulars with the details of item
wise quantity of work completed until the present claim,
quantity of work completed against this claim and balance work
to be carried out and corresponding amounts of payments. Bills
submitted without supporting details will not be taken in to
cognizance. Payment is subject to submission of performance
security by the supplier/contractor.
b) Out of the balance 10% amount, 5% payments will be
released after completion of all the works & submission of
Material Accounts subject to submission of the following
certified by the field engineer of OWNER.
As built drawings.
a. Instruction, O & M manuals and installation manuals
as applicable.
b. Reconciliation of bill of material and order as executed.
c. Distribution copies of all drawings.
d. Tools and plants.
e. Equipment drawings, shop floor drawings and design
calculation as applicable.
c) The balance (final) 5% will be paid after completion of one year
performance guarantee period reckoned from the date of
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completion of all the works as per contract or after all the


balance materials left over after completion of works are
handed over to OWNER whichever is later. The date of
commissioning/ energizing the equipment will not be
considered for reckoning the performance guarantee
period and the date of completion of all the works
will only be considered as start date of Guarantee
period.
Price variation is applicable for the items cement,
reinforcement steel and M.S Flat/Rod (for earthing) which is as
per Price Variation clause mentioned in ITB.
d) In case however, the balance materials are returned to OWNER
well before the completion of the performance guarantee
period, the 5% amount will be released against a bank
guarantee for equal amount, which shall be valid for the
performance guarantee period and also provide two months
claim period along with “Performance Security Bank
Guarantee”. "All banking charges should be to the account of
the contractor".
e) Contractor shall not be entitled to the said retention amount,
until he shall deliver to the Purchaser, a complete release of all
the works & materials arising out of this contract or receipts in
full in lieu thereof, and in either case an affidavit that so far as
he has knowledge or information, licenses and other
commitments for which any part of substation could be failed.
If any unsatisfied work remains after all the payments are made
to the contractor, he shall refund o the Purchaser, all moneys
that the latter may be compelled to pay in discharging such
including all costs and the attorney’s fees so incurred.
f) The contractor will have to predefine the Bank details while
entering into contract. The Bank details of bidder as above are
final and shall not be revoked under any circumstances. The
bank charges will be made to the account of contractor. An
amount of Rs.50/- (Rupees Fifty only) will be recovered from the
bill amount per each disbursement raised by the unit officer of
OWNER.
OR
Payment for the erection bills will be made by cheque of any
scheduled bank at the head quarters of Paying Officer.
15.2.1 FINAL PAYMENT (Clause No. 55 of GCE):
Whenever, in the opinion of owner, the work covered by the
contract has been completed, he shall prepare a final abstract
showing the total amount of work done by contractor and its value
under and according to the terms of the contract. From the total
value thus arrived at shall be deducted all previous payments and
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all deductions made in accordance with the provisions of the


contract. The remainder shall be paid by owner to contractor within
three months after the date of owner's final certificates.
Payment of the retention amount shall be due after the Defects
Liability period of 12 calendar months, as per conditions stipulated
in Clause 48 and clause 54.1 b of GCE.
15.3 If the contractor requests for the payment in advance before the “
scheduled date of payment” , it would be examined by the
negotiations committee to decide whether such facility could be
extended or not and if found acceptable the contractor should
agree to offer a rebate /discount @ 0.3 % per week or part there of
for the advancement. Based on the decision, the Finance &
Accounts wing will be release priority payment to such contractor
after availing of the rebate / discount.
16.0 PRICES : (Refer Section – II : ITB)
16.1 Price Variation Clause: (Refer Section – II : ITB)
17.0 CHANGE OF ORDERS / SERVICES / WORKS:
17.1 The Purchaser may at any time, by a written order given to the
supplier pursuant to clause 30, make changes within the general
scope of the contract in any one or more of the following:
(a) Drawings, designs or specifications, where goods to be
furnished under the contract are to be specifically
manufactured for the Purchaser.
(b) The method of shipment or packing;
(c) The place of delivery; or
(d) The services to be provided by the supplier.
17.2 However, if any suggested changes would, in the opinion of
contractor, prevent him from fulfilling any of his obligations or
guarantee under the contract, he shall notify purchaser thereof in
writing, and purchaser shall decide forthwith whether or not the
same shall be carried out, and if purchaser confirms his
instructions Bidder's obligations and guarantee shall be modified to
such an extent as may be mutually agreed.
17.3 If any change causes under clause-17.1 (a) an increase or decrease
in the cost of, or the time required for, the supplier's performance
of any part of the work under the contract, whether changed or not
changed by the order, an equitable adjustment shall be made in
the contract price or delivery schedule, or both, and the contract
shall accordingly be amended. In any case in which contractor has
received instructions from purchaser as to carrying out the
changes which either then or later will, in the opinion of contractor,
involve a claim for additional payment for extra work or for extra
materials contractor shall, as soon as reasonably possible after
receipt of such instructions, advise purchaser that effect. However,
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purchaser owner shall not be liable for payment of any charge in


respect of any such changes, unless instructions for making the
same shall have been given in writing by purchaser after receipt of
such advice from contractor.
17.4 In case Purchaser and Bidder are unable to arrive at a mutual
agreement on the issue of whether or not certain changes ordered
by purchaser involve extra work and/or extra material entitling
contractor to claim for extra payment, Bidder nevertheless shall, if
so required by purchaser carryout the same and the matter in
dispute shall be decided by arbitration as provided elsewhere in
this specification. Items not covered by the schedule of Quantities
but are similar in nature to the items already covered shall be paid
for, the rates being worked out on the basis of rates quoted for
similar items. The written authorization for extra work shall be in
the form of 'Modification permit'. All such modifications shall be
executed under the provisions and conditions of the original
contract.
18.0 CONTRACT AMENDMENTS:
18.1 Subject to clause 17, no variation or modification of the terms of
the contract shall be made except by written amendment issued
to the Purchase order.
19.0 ASSIGNMENT:
19.1 The Bidder shall not assign, in whole or in part, its obligations to
perform under the contract, except with the Purchaser's prior
written consent.
20.0 SUB-CONTRACTS:
20.1 The Bidder shall notify the Purchaser in writing of all sub-contracts
awarded under the contract if not already specified in his Bid. Such
notification, in his original Bid or later, shall not relieve the
contractor from any liability or obligation under the contract.
Contractor shall get the prior approval of the purchaser for
awarding sub contracts.
20.1.1 The supplier shall guarantee that any and all the sub-
contractors of supplier for performance of any part of the work
under the contract at will comply fully with the terms of the
contract applicable to such part of the work.
20.1.2 Should any sub-supplier fail to carry out any portion of
the `Work' satisfactorily, this work shall be cancelled by the
supplier on written notice to the effect from the purchaser. The
'Work' however shall be continued by the supplier himself or
through another approved Sub-supplier and completed as per
agreed schedule.

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20.1.3 The quality plans called for from the sub-supplier's


shall set out during the various stages of manufacturer and
installation, the quality practices and procedures followed by the
sub-supplier's quality control organization, the relevant reference
documents/standards used, acceptance level, inspection of
documentation raised etc. Such quality plans of the successful sub-
supplier's shall be discussed and finalized in consultation with the
purchaser and shall perform a part of the purchase order/contract
between the sub-supplier and the supplier. Within 3 weeks of the
release of the same purchase order/contracts for such bought out
items/components, a copy of the same without price details but
together with detailed purchase specifications, quality plans and
delivery conditions shall be furnished to the purchaser by the
supplier.
21.0 DELAYS IN THE SUPPLIES AND SERVICES:
21.1 Delivery of the goods/ equipment and performance of services
shall be made by the contractor in accordance with the completion
period specified.
21.2 An unexcused delay by the supplier/contractor in the performance
of its delivery obligations or performance of incidental services as
per Clause-12 above would render the supplier/contractor liable to
any or all of the following sanctions: forfeiture of its performance
security, imposition of Penalty, and/or termination of the contract
for default.
21.3 If at any time during performance of the contract, the supplier or
its sub-contractor(s) should encounter conditions impeding timely
delivery of the goods and performance of services, the
supplier/contractor shall promptly notify the Purchaser/Owner in
writing of the fact of the delay, its likely duration and its cause(s).
As soon as practicable after receipt of the supplier's/contractor's
notice, the Purchaser/ owner shall evaluate the situation and may
at its discretion extend the Bidder's time for performance, in which
case the extension shall be ratified by the parties by amendment
of the contract.
21.4 Even if the work gets prolonged due to some reasons or other,
beyond the specified completion period, the contractor should
remain at site and complete contracted work subject to the terms
and conditions provided in the contract.
22.0 PENALTY FOR LATE SUPPLIES / COMPLETION:
The completion period mentioned in the Schedule-D of
specification is the essence of contract. Penalty will be levied as
follows for the delay in executing the works or supply of material.
(i) (a) For Works:

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In case of delay in erection of the scheduled works, whatever be


the reasons, the OWNER can levy and collect the penalty @ 0.5%
per week or part thereof for the portion of works not completed,
subject to a maximum of 5% of the total value of erection works
mentioned in the respective purchase orders. Once the maximum
is reached, OWNER may consider termination of the contract.
(b) For Supply of Material:
In case of delay in supply of material / equipment, whatever be the
reasons, the OWNER can levy and collect the penalty @ 0.5% per
week or part thereof for the portion of material supply delayed,
subject to a maximum of 5% of the total value of the material in
Schedule-A. Once the maximum is reached, OWNER may consider
termination of the contract.
The right of the OWNER to levy penalty shall be without prejudice
to its rights under the law including the right to get the balance
works executed by other agencies at the risk and cost of the
successful bidder. This is in addition to the right of the OWNER to
forfeit the deposit, recover any damages from the contractor and
also blacklisting.
SPECIFIC ACCEPTANCE OF THIS CLAUSE SHOULD BE BOLD IN THE
BID. IF SUCH ACCEPTANCE IS NOT INDICATED, THE BID IS LIABLE
TO BE OVERLOOKED.
(ii) The date of receipt of materials/equipment at the destination
stores in good condition (The date of Form-13) will be taken as the
date of delivery.
For penalty, the number of days of delay would be rounded off to
the nearest week and interest calculated accordingly. Materials /
equipment which are not of acceptable quality or are not
conforming to specification would be deemed to be not delivered.
The penalty specified shall be levied and would be adjusted against
same bill / subsequent pending bills.
(iii) Deficiency in quality of works in deviation from the specification:
Instance wise minimum penalty leviable and debarred from
participating in future tenders for a minimum period of one year,
indicated as below.

Catego Deficiency in quality Instance wise Duration of


ry of works in Minimum penalty disqualificatio
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deviation from the leviable in Rupees n of the


specification/ during the same work contractor in
Agreement such as by the contractor participation
the tenders of
OWNER in the
event of
further
instance.
1 st 2nd

3rd

Instance Instance
Instance
1 2 3 4
Category Not using
-I (i)Prescribed shoring,
shuttering and
dewatering equipment.
(ii) Measurement boxes.
(iii) Form boxes
for different types of
foundations and steel 5000 10000 Debarred from
measuring boxes 15000 participating in
(iv) Not future tenders for
providing adequate a minimum
number of chairs to period of one
the steel year.
reinforcements.
(v) Not carrying out back
filling and compaction
of the foundation pits
in layers and leveling
the tower footings
properly.
(vi) Not ensuring
that the excavated
earth is dumped at
least 2 meters away
from the pit etc., and
(vii) Not providing
copings to the tower
legs/stubs.
(viii)Not providing water
tanker, Earth
rammers/ earth
vibrators.

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Category Use of reinforcement


-II steel without ISI marking,
not using vibrators for
effective consolidation of
the concrete during Debarred from
foundation works, not participating in
using proper templates future tenders for
7500 15000
for firmly keeping the a minimum
22500
stubs in position when period of one
templates are supplied year.
by the contractor and
improper fixing of stubs,
non ensuring of tower
verticality, use of rusted
stubs and tower parts
if supply is by the
contractor, non painting
of butt joints and rusted
stubs with zinc rich paint
immediately after
erection of the towers
and stringing, non fixing
of earth flat to the stub,
non deploy-ment of
technical personnel for
supervision of works by
the contractor.
Category Use of improper
-III grade/quality of raw
material like HBG metal,
water and sand for
concreting using clogged
and/or lump/ clotted Debarred from
cement for concreting 10000 20000 participating in
not ensuring proper 30000 future tenders for
curing for foundation a minimum
concrete, not ensuring period of one
that all the members of year.
the tower are placed in
position and firmly fixed
with bolts and nuts
immediately after
erection of tower.

The penalty in the first instance shall be finalised by Executive Engineer


concerned based on the report of Assistant Divisional
Engineer/concerned after giving an opportunity to the contractor to
submit explanation.
Penalty for second instance shall be finalised by the Superintending
Engineer concerned based on the report of Executive Engineer/
concerned after giving an opportunity to the contractor to submit
explanation.
Penalty for third instance shall be finalised by the Chief Engineer
concerned based on the report of SE concerned after giving an
opportunity to the contractor to submit explanation.
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For the fourth instance of deficiency, the Chief Engineer concerned shall
report to the Director, concerned proposing for debarring the contractor
from participating in future tenders for a minimum period of one year.
Technical Committee shall examine the facts and figures of the case and
take a final view in the case.
23.0 TERMINATION FOR DEFAULT:
23.1 The Purchaser may, without prejudice to any other remedy for
breach of contract, by written notice of default sent to the
supplier/contractor, terminate the contract in whole or in part
(a) If the supplier / contractor fails to deliver any or all of the
goods or fails to perform the incidental services stipulated in the
specification within the time period(s) specified in the contract, or
any extension thereof granted by the purchaser pursuant to
Clause 21; or
(b) If the supplier/contractor fails to perform any other
obligation(s) under the contract.
(c) If the supplier / contractor, in the judgment of purchaser has
engaged in corrupt or fraudulent practices in competing for or in
executing the contract.
23.2 In the event the Purchaser terminates the Contract in whole or in part,
pursuant to Clause- 23.1, the Purchaser may procure, upon such
terms and in such manner as it deems appropriate, Goods
/equipment similar to those undelivered or incidental services not
performed (as per Clause-12 of G.C.C.) and the Contractor / Supplier
shall be liable to the Purchaser/Owner for any excess costs for such
similar Goods/Services. However, the Supplier / Bidder shall continue
performance of the Contract to the extent not terminated.
24.0 FORCE MAJEURE:
24.1 Not withstanding the provisions of clauses 21, 22 and 23, the
Contractor/ Supplier shall not be liable for forfeiture of his
performance security, Penalty or termination for default, if and to the
extent that, it’s delay in performance or other failure to perform its
obligations under the contract is the result of an event of force
Majeure.
24.2 For purposes of this clause, "Force Majeure" means an event beyond
the supplier/contractor and not involving the supplier's/contractor's
fault or negligence and not foreseeable. Such events may include,
but are not restricted to, wars or revolutions, fires, earthquakes,
floods, epidemics, quarantine restrictions, freight embargoes, riots,
civil commotions.
24.3 If a Force Majeure situation arises, the supplier shall promptly notify
the Purchaser in writing of such condition and the cause thereof.
Unless otherwise directed by the Purchaser in writing, the supplier
shall continue to perform its obligations under the contract as far as
is reasonably practical, and shall seek all reasonable alternative
means for performance not prevented by the Force Majeure event.
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No price variance will be allowed during the period of force


meajure.
24.4 Bids of bidders offering any other terms other than what is stated
above will be treated as non-responsive.
25.0 TERMINATION FOR INSOLVENCY:
25.1 The Purchaser may at any time, terminate the Contract by giving
written notice to the supplier/contractor, without compensation to
the supplier/ contractor, if the supplier/contractor becomes bankrupt
or otherwise in-solvent. In this event, termination will be without
compensation to the supplier, provided that such termination will not
prejudice or affect any right of action or remedy which has accrued
or will accrue thereafter to the Purchaser.
26.0 TERMINATION FOR CONVENIENCE:
26.1 The Purchaser may, by a written notice sent to the supplier/contractor,
terminate the contract, in whole or in part, at any time, for its
convenience. The notice of termination shall specify that the
termination is for the Purchaser's convenience, and the extent to
which performance of work under the contract is terminated, and the
date upon which such termination becomes effective.
26.2 The goods/equipment that is complete and ready for dispatch within
30 days after the supplier's receipt of notice of termination shall be
purchased by the Purchaser at the contract terms and prices.
26.3 The Purchaser shall have the right to seek the discontinuance of the
work, in whole or in part, for such time as may be necessary, should
the condition of the weather or flood or other contingencies make it
desirable to do so, in order that the works shall be well and properly
executed. Extension of time shall be granted to Bidder for
discontinuance of work so ordered and contractor shall not claim for
compensation or damage in relation thereto.
26.4 The supplier will be further required to transfer the title and provide
the Purchaser with the drawings, information and contract rights as
the Supplier as specifically performed, produced or acquired for the
performance of the ‘Contract’.
27.0 RESOLUTION OF DISPUTES:
All and any disputes or differences arising out of or touching the
order based on this specification shall be decided by a panel of
arbitrators as detailed below:
Value of Claim Panel of Arbitrators
I) Disputes involving Superintending Engineer
of
amounts up to Rs.10,000/- the OWNER other than
the and below.
circle to which the disputes relate.
ii) Disputes involving Any Chief Engineer of the
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amounts ranging from OWNER.


Rs.10,001 to Rs. 50,000/-
There shall not be any reference of disputes, the value of which is above
Rs.50,000/- to arbitration. The parties shall approach the competent Civil
Courts situated in Hyderabad/ Secunderabad twin cities only, if any such
disputes shall arise involving more than Rs. 50,000/-.
A reference for adjudication under this clause shall be made by either
party to the contract, within one year from the date of intimating the
contractor of preparation of final bill or his having accepted the payment.
28.0 GOVERNING LANGUAGE:
28.1 The Contract shall be written in the language of English, as specified
by the Purchaser in the Instructions to Bidders. All correspondence
and other Documents pertaining to the contract, which are
exchanged by the parties, shall be written in that same language.
29.0 APPLICABLE LAW:
The contract shall be interpreted in accordance with the laws in India.
30.0 NOTICES:
30.1 Any notice given by one party to the other pursuant to this contract
shall be sent in writing or by telegram or fax and confirmed in writing
to the address specified for that purpose. Purchaser: Chief
Engineer/Construction/400 KV, OWNER, 2nd Floor, B-Block, Room
No.203, Vidyut Soudha, Hyderabad-500 082 (A.P) INDIA. Supplier:
To be filled.
30.2 A notice shall be effective when delivered or on the notice's effective
date, whichever is later.
31.0 TAXES AND DUTIES (Refer ITB) :
32.0 SECRECY:
Bidder shall not disclose any information furnished by owner nor any
drawings, reports and other information prepared by contractor for
the project, without the prior written approval of purchaser except in
so far as disclosure is necessary for the performance of contractor's
work and services under this contract.
33.0 INDEMNIFY THE PURCHASER:
33.1 Bidder shall indemnify owner/purchaser in respect of all actions,
suits, claims and demands brought or made against purchaser by
the workmen of contractor or any other person or persons
whomsoever in connection with the works or in respect of any
matter or thing done or omitted to be done by contractor in the
execution of or in connection with the works not with standing that
all reasonable and proper precautions may have been taken by
contractor and against any loss or damage to purchaser in
consequence of any action or suit being brought against owner for

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any thing done or committed to be done in connection with the


execution of the work. The indemnity given by contractor as
aforesaid shall extend to making good all claims and demands
arising out of losses/penalty to property of every description and
kind, the infringement of any legal right as well as injury or accident
to any person resulting in death or otherwise.
33.2 The Purchaser shall have full power and right at his discretion to
defend or compromise any suit or pay claim or demand brought or
made against him as aforesaid whether pending or the rated, as he
may consider necessary or desirable and shall be entitled to recover
from contractor all sums of money including the amount of penalty
and compensation and all legal costs charges and expenses in
connection with any compromise or award which shall not be called
into question by contractor and shall be final and binding upon him.
33.3 Bidder shall reinstate all penalty of every sort mentioned in this
clause so as to deliver the whole of the contract works completed
and perfect in every respect and so as to make good or otherwise
satisfy all claims for damage to the property of third parties.
34.0 PATENT INDEMNIFICATION:
34.1 Bidder shall indemnify and keep indemnified purchaser, his
successors or assignees for and against any and all claims, suits,
penalty, losses, actions, demands, costs charges, royalties and
expenses arising from or for infringement, real or claimed, of
patent-rights, copyrights or other protected rights, if any design
plans, device, machine, diagrams, drawings or in respect of the
material supplied by contractor or any of the construction methods
of processes followed by contractor for the construction of the
constructed portion of the project, or for the operation of the
constructed portion of the project, are found to have infringed any
such rights.
34.2 In the event of any claim being made or action being brought against
purchaser in respect of any of the matters referred to in clause 34.1
above, Bidder shall promptly be notified and he shall, at his own
expenses, conduct all negotiations for the settlement of the same
and any litigation that may arise there from.
34.3 In the event any designs, drawings, plans or diagrams or any of the
construction methods of processes furnished/followed by contractor
for the construction of the portion of project or for the operation of
the project, constitute infringement of patent or any of the protected
rights and use thereof is restrained, Bidder shall procure for
purchaser, at no cost to the latter, the right to continue using the
same or to the extent it is possible, replace the same with
non-infringing work approved by purchaser or modify them so that
they become non-infringing, but such modifications shall otherwise
to be the entire satisfaction of purchaser. The provisions of this
paragraph shall survive the completion, expiration or termination of

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the Agreement.
35.0 IMPORT LICENSE:
Obtaining Import License shall be of Contractor responsibility for
imported goods offered against the Bid. However, the purchase on
specific request by the Contractor will issue project authority
certificate.
1.0 GENERAL CONDITIONS FOR ERECTION (GCE):
1.1 The following shall supplement the conditions already contained in
the other parts of these specifications and documents and shall
govern that portion of the work of this ‘Contract' to be performed
at `Site'. The definitions given under section-III of Volume-I (GCC)
are applicable to this section also.
1.2 The CONTRACTOR upon award of `Contract' shall, in addition to a
Project Coordinator, nominate another responsible officer as his
representative at Site suitably designated for the purposes of over
all responsibility and coordination of the Works to be performed at
‘Site’. Such person shall function from the `Site' office of the
CONTRACTOR during the pendency of ‘Contract’. This
representative shall have full technical capability and complete
administrative and financial powers to expeditiously and efficiently
execute the work under this ‘Contract’.
1.3 The CONTRACTOR shall proceed with the work to be performed
under this `Contract' and each and every part and detail there of,
in the best and most workman like manner by engaging qualified,
careful and efficient workers, and do several parts there of, at such
time and in such order as the OWNER may direct, and finish such
work in strict conformity with the plans, drawings and/or
specifications, and any changes, modifications or amplifications
thereof made by the OWNER.
1.4 The CONTRACTOR shall not sell, assign, mortgage, hypothecate or
remove equipment or materials which have been installed or which
may be necessary for the completion of the ‘Contract’ without the
written consent of the OWNER.
1.5 SCOPE OF CONTRACT
The specifications of the contract and the accompanying drawings
are intended to describe and provide for a finished piece of work. It
is to be understood and agreed by contractor, that the work
described shall be complete in every detail, even though every
item necessarily involved is not particularly mentioned. Contractor
shall be required to provide all labour, materials and equipment
necessary for the entire completion of the work described and shall
not avail himself of any manifesting unintentional error, omission
or inconsistency that may exist. Contractor shall carry out and
complete the work in every respect in accordance with the contract
and to the satisfaction of owner and the manufacturer's
representatives, where owner has provided services.
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2.0 REGULATION OF LOCAL AUTHORITIES AND STATUTES:


2.1 The CONTRACTOR shall ensure compliance with all statutes laws,
rules and regulations of the Central or State Government or any
other authority such as the Workmen's Compensation Act 1923,
Payment of Wages Act, Minimum Wages Act 1948, Employees
State Insurance Act, Employees Provident Fund Act, etc., and any
and all statutory.
2.2 Modifications there of in connection with employees engaged by
him or his SUB-CONTRACTORS in the work. The offer shall be
presumed to include financial liabilities arising from the above and
the owner shall not be liable for any extra costs on this account.
2.3 The CONTRACTOR shall conform to the provisions of Indian Boiler
Regulation, Factory Laws, Indian Electricity Act and rules made
there under, and any other acts of legislature relating to the work
and to the regulations and byelaws of any authority and of any
matter, lighting and other companies and/or authorities with whose
systems the plant/structure proposed to be connected and shall,
before making variations from the drawings or specifications may
be necessitated by so conforming, give to OWNER written notice,
specifying the variations proposed to be made and the reason for
making it and apply for instructions thereof.
2.4 The CONTRACTOR shall arrange to give all notices required by the
said Acts, Regulations or Byelaws to be given to any Authority or to
any Public Officer and pay all fees that may be properly chargeable
in respect of the `Works' and lodge the receipts with the OWNER,
unless otherwise specified. Obtaining all permits and licenses
required thereupon shall be the responsibility of the CONTRACTOR.
2.5 All registration and statutory inspection fees, if any , in respect of
his work pursuant to this `Contract' shall be to the account of the
CONTRACTOR. However, any registration, statutory inspection fees
lawfully payable under the provisions of the statutory laws and its
amendments from time to time during erection in respect of the
plant and equipment ultimately to be owned by the OWNER shall be
to the account of the OWNER. Should any such inspection or
registration need to be re arranged due to the fault of the
CONTRACTOR or his SUBCONTRACTOR, the additional fees for such
inspection and/or registration shall be borne by the CONTRACTOR.
3.0 PRICE FOR ERECTION:
The Bidder/Contractor shall include in his price all such costs as to
account for payment of wages as per relevant statutes applicable
and shall not raise any extra claim on that account.
4.0 OWNER'S LIEN ON EQUIPMENT:
The OWNER shall have lien on all equipment including those of the
CONTRACTOR brought to the `Site' for the purposes of erection,
testing and commissioning of the plant. The OWNER shall continue
to hold the lien on all such equipment through out the period of`
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Contract'. No material brought to the `Site' shall be removed from


the` Site' by the CONTRACTOR and/or his SUBCONTRACTORS
without the prior written approval of the OWNER.
5.0 INSPECTION, TESTING AND INSPECTION CERTIFICATES
5.1 The provisions of the clauses entitled Inspection, Testing and
Inspection Certificates shall also be applicable to the erection
portion of the Works. The OWNER shall have the right to re-inspect
any equipment though previously inspected and approved by him,
at the Contractor’s works, before and after the same are erected at
`Site'. If by the above inspection, the OWNER rejects any
equipment, the CONTRACTOR shall make good for such rejections
either by replacement or by modifications/repairs as may be
necessary to the satisfaction of the OWNER. Such replacements will
also include the replacements or re-execution of such of those
works of other CONTRACTORS and/or agencies, which might have
been damaged or affected by the replacements or rework done to
the Contractor’s work.
5.2 The CONTRACTOR shall correct any work that proves faulty
immediately. The fact that the OWNER or their representatives
have not pointed out faulty work or work which is not in
accordance with plans and specifications shall not relieve the
CONTRACTOR from correcting such work when and as directed by
the OWNER without additional compensation.
5.3 When owner takes down any item of finished work for the purpose
of inspection, the CONTRACTOR shall bear the entire expenses
incident there to. However, no extension of time shall be given for
completion of works on this account. If the CONTRACTOR shall fail
to repair any defective work or replace any defective materials
after reasonable notice, the OWNER may cause such defective
work to be repaired or defective materials to be replaced by other
agencies and the expenses thereof shall be deducted from the
amount to be paid to the CONTRACTOR.
5.4 The OWNER, their representatives and employees shall, at all
reasonable times, have free access to the works and/or to the
workshops, factories or other places where materials are being
prepared or constructed for the `Contract' and also to any place
where the materials are lying or from where they are being
obtained, and the CONTRACTOR shall give every facility to the
OWNER and his representatives for inspection and examination
and test of the materials and workmanship even to the extent of
discontinuing portions of the work temporarily, or of uncovering or
taking down portions of finished work.
6.0 ACCESS TO SITE AND WORKS ON SITE:
6.1 Suitable access to and possession of the `Site' shall be afforded to
the CONTRACTOR by the OWNER in reasonable time.
6.2 The work as far as it is carried out on the Owner's premises, shall

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be carried out when the Owner may approve.


6.3 In the execution of the Works, no persons other than the
Contractor or his duly appointed representative, Subcontractor and
workmen, shall be allowed to do work on the Site except by the
special permission, in writing of the Engineer or his representative.
6.4 Access to the `Site' at all times shall be accorded to the OWNER
and other authorized officials and statutory Public Authorities.
Nevertheless, the CONTRACTOR shall not object to the execution of
the work by other Contractors or tradesmen whose names shall
have been previously communicated in writing to the
CONTRACTOR by the OWNER and afford them every facility for the
execution of their several functions simultaneously with his own.
7.0 CONTRACTOR'S SITE OFFICE ESTABLISHMENT:
7.1 The CONTRACTOR shall establish a Site Office at the `Site' and
keep posted an authorised representative for the purpose of the
`Contract'. Any written order or instruction of the OWNER or his
duly authorised representative shall be communicated to the
authorised representative of the CONTRACTOR at the Site Office
and the same shall be deemed to have been communicated to the
CONTRACTOR at his legal address. A complete set of specifications,
drawings and a copy of the contract agreement shall be kept in the
site office at all times.
7.2 The CONTRACTOR shall employ at least one competent
representative whose name or names shall have previously been
communicated in writing to OWNER by the CONTRACTOR, to
supervise the erection of the plant and to carry out the works. The
said representative or if more than one shall be employed, then
one of such representatives shall be present at the site during
working hours, and any written orders or instructions which the
OWNER may give to the said representatives of the CONTRACTOR
shall be deemed to have been given to the CONTRACTOR. It is
essential that the supervisory personnel shall be capable of
speaking and writing in English language.
7.3 When contractor or his representative is not present on any part of
the work where it may be desired to give directions in the event of
emergencies, orders may be given by owner and shall be received
and obeyed by the supervisors or foremen who may have charge
of the particular part of the working reference to which orders are
given. If requested to do so, owner shall confirm such orders in
writing. Any such instructions, directions or notices given by owner
shall be held to have been given to contractor.
8.0 COOPERATION WITH OTHER CONTRACTORS:
8.1 The Contractor shall cooperate with all other contractors or
tradesmen of the Owner, who may be performing other Works on
behalf of the Owner and the workmen who may be employed by
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the Owner and doing work in the vicinity of the Works under the
contract. The Contractors shall also so arrange to perform his work
as to minimize, to the maximum extent possible, interference with
the work of other contractors and his workers. Any injury or
damage that may be sustained by the employees of the other
contractors and the Owner, due to the Contractor's work shall
promptly be made good at his own expense. The Engineer shall
determine the resolution of any difference or conflict that may
arise between the Contractor and other contractors or between the
Contractor and the workers of the Owner concerning their work. If
the Works of the Contractor is delayed because of any acts or
omissions of another contractor, the Contractor shall have no claim
against the Owner on that account other than an extension of time
for completing his works.
8.2 The OWNER shall be notified promptly by the CONTRACTOR, of any
defects in the other Contractor's works that could affect the
Contractor’s 'Works'. The OWNER shall determine the corrective
measures, if any, required to rectify this situation after inspection
of the `Works' and such decisions by the OWNER shall be binding
on the CONTRACTOR. If any part of the Contractor’s work depends,
for proper execution, upon the work of any other Contractor, the
CONTRACTOR shall inspect and promptly report in writing to the
OWNER any defect in such work of other Contractors that may
render it unsuitable for proper execution of the work under this
‘Contract’. His failure to so inspect and report shall constitute an
acceptance of ‘others’ work as fit and proper for the reception of
his work, except as to defects which may develop in the work of
`OTHERS' after the proper execution of the work, the
CONTRACTOR shall inspect work already in place and shall at once
report to the OWNER any discrepancy between the executed work
and the drawings.
8.3 The contractor shall be responsible to ensure that all embodiments
relating to the equipment are in position before releasing for
concreting.
9.0 DISCIPLINE OF WORKMEN:
9.1 The CONTRACTOR shall adhere to the disciplinary procedure set by
the OWNER in respect of his employees and the workers at `Site'.
The OWNER shall be at liberty to object to the presence of any
representative or employee of the CONTRACTOR at the `Site', if in
the opinion of the OWNER such employee has misconduct himself
or be incompetent or negligent or otherwise undesirable and then
the CONTRACTOR shall remove such a person objected to and
provide in his place a competent replacement at his own expense.
10.0 CONTRACTOR'S FIELD OPERATION:

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10.1 The contractor shall workout and furnishes PERT 'Network schedule
along with detailed activity schedule indicating the progress and
schedules completion dates of various activities and shall work to
this mutually agreed schedule. The schedule shall show
approximately the date on which each part or division of the work
is expected to begin, based on his knowledge of the works of other
contractors and the date when the work is scheduled to be
finished. Upon the request of owner, contractor should be prepared
to discuss his schedule in relation to the master schedule and shall
coordinate his work with that of the other contractors as
determined by owner.
10.2 The CONTRACTOR shall keep the OWNER informed in advance
regarding his field activity plans and schedules for carrying out
each part of the `Works'. Any review of such plan or schedule or
method of work by the OWNER shall not relieve the CONTRACTOR
of any of his responsibility towards the field activities. Such reviews
shall also not be considered as an assumption of any risk or liability
by the OWNER or any of his representatives and no claim of the
CONTRACTOR will be entertained because of the failure or in
efficiency of any such plan or schedule or method of work
reviewed. The CONTRACTOR shall be solely responsible for the
safety, adequate and efficiency of plant and equipment and his
erection methods.
10.3 The CONTRACTOR shall have the complete responsibility for the
conditions of the work site including the safety of all persons
employed by him and/or his SUBCONTRACTOR and all the
properties under his custody during the performance of the work.
This requirement shall apply continuously till the completion of his
`Contract' and shall not be limited to normal working hours. The
construction review by the OWNER is not intended to include
review of the Contractor’s safety measures, in or near the worksite,
and their adequacy or otherwise.
10.4 The work so far as it is carried out on the Owner’s premises shall
be carried out at such time as the OWNER may approve consistent
with the construction schedule and so as not to interfere
unnecessarily with the conduct of the Owner’s business and the
OWNER will give the CONTRACTOR all reasonable facilities for
carrying out the work.
11.0 PHOTOGRAPHS AND PROGRESS REPORT:
11.1 The Contractor shall furnish duly certified the progress/ status
reports in respect of the material/ equipment received at site, the
works carried out and the status of drawings for every 15 days.
11.2 Contractor shall also provide copies of photographs along with
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progress reports including soft copy whenever requested by


OWNER as a record of significant events of progress.
12.0 MANPOWER REPORT:
12.1 ERECTION STAFF: The contractor shall furnish a list of all the
Engineering, skilled, semi skilled personnel and unskilled labour
along with the supervisory staff with their experience, who would
be employed by him, for carrying out this specific installation,
testing and commissioning work. Bidder shall also indicate the
names, qualifications, experience of supervisory staff proposed to
be stationed at site until the completion of work as indicated in
Qualifying Requirements. The contractor shall assign only qualified
and senior supervisor engineers and provide adequate no. of
competent labour for job.
12.1 The CONTRACTOR shall submit to the OWNER on the first day of
every month, a man-hour schedule for the next month, detailing
the man-hours scheduled for the month, skill wise and area wise.
12.2 The CONTRACTOR shall also submit to the OWNER on the first day
of every month, a manpower report of the previous month
detailing the number of persons scheduled to have been employed
and actually employed, skill wise and the areas of employment of
such labour.
13.0 PROTECTION OF WORK:
13.1 The CONTRACTOR shall have total responsibility for protecting his
‘Works until it is finally accepted by the OWNER. No claim will be
entertained by the OWNER for any damage or loss to the
Contractor’s works and the CONTRACTOR shall be responsible for
the complete restoration of the damaged `Works' to its original
condition to comply with the specifications and drawings. Should
any such damage to the Contractor’s `Works' occur because of
other party not under his claim directly with the party concerned. If
disagreement, conflict, or dispute develops between the
CONTRACTOR'S `Works', the same shall be resolved as per the
provisions of the Clause entitled` Cooperation with other
Contractors’. The CONTRACTOR shall not cause any delay in the
resolution of such disputes. The CONTRACTOR shall proceed to
repair the work immediately and no cause thereof will be assigned
pending resolution of such dispute.
13.2 During construction of the project, the OWNER will continue to
operate the plant and equipment already put in service. The
CONTRACTOR shall protect all such plant, structures, piping,
conduits, equipment and facilities against damage during the
operations.
13.3 The CONTRACTOR shall perform his work in a manner that in no
way endangers the operations of the existing steam and electric

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and other plants of the OWNER which will have interconnections


with the new plant in the construction of which the CONTRACTOR is
engaged. In all cases where connections to existing plant and
equipment occur, such connections shall be made only with
specific and advance instructions and authorization from and
issued by the OWNER.
13.4 The CONTRACTOR and his SUBCONTRACTORS shall be responsible
during work for protection of the work, which has been completed
by OTHERS. Necessary care shall be taken to see that their own
men cause no damage to the same during the course of execution
of the work.
13.5 All other work completed or in progress as well as machinery and
equipment that are liable, to be damaged by the Contractor’s work
shall be protected by the CONTRACTOR and such protection shall
remain and be maintained until its removal is directed by the
OWNER.
13.6 The CONTRACTOR shall effectively protect all the works from
action of weather and from penalty or defacement and shall cover
finished parts where required for their thorough protection. Face
work shall be perfectly clean and free from defects.
13.7 The work shall be carried out onto completion without damage to
any work and property adjacent to the area of his work ,to whom
so ever it may belong, without interference with the operation of
their existing machines or equipment.
13.8 The CONTRACTOR shall make available necessary temporary
roadways, footways, guards as may be rendered necessary by
reason of his work, for the protection and accommodation of foot
passengers or other traffic of the OWNER or occupier of adjacent
property and of public. The Contractor shall at all times provide
sufficient temporary barriers, notice boards and lights to protect
and warn the public and post necessary watchmen to guard the
`Site' and equipment. He shall take all precautions necessary and
shall be responsible for the safety of the work to be performed by
him. The CONTRACTOR shall also observe and display `Safety First'
signs and shall have proper safety and fire protection equipment.
13.9 Adequate lighting at and near all the storage, handling, fabrication,
pre assembly and erection sites for properly carrying out the work
and for safety and security shall be provided by the CONTRACTOR.
The Contractor’s work area should be adequately lighted during
nighttime also. The CONTRACTOR should also engage adequate
electricians/wiremen, helpers, etc., to carry out and maintain these
lighting facilities. If the CONTRACTOR fails to provide all the above
listed facilities, the OWNER may provide such facilities as he may
deem necessary and charge the cost thereof to the CONTRACTOR.
In any case, the CONTRACTOR shall be liable for all penalty and
consequences arising out of his neglect in this regard.
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14.0 EMPLOYMENT OF LABOUR:


14.1 The CONTRACTOR will be expected to employ on the work only his
regular skilled and trusted employees with experience of this
particular work. No female labour shall be employed after
darkness. No person below the age of eighteen years shall be
employed.
14.2 The CONTRACTOR shall also furnish details of the qualifications
and experience of his senior supervisors and engineers assigned to
the work, including their experience in supervising erection and
commissioning of plant and equipment of comparable capacity.
14.3 All traveling expenses including provisions of all necessary
transport to and from `Site' lodging allowances and other
payments to the Contractor’s employees shall be the sole
responsibility of the CONTRACTOR.
14.4 The hours of work on the ‘Site' shall be decided by the OWNER and
the CONTRACTOR shall adhere to it. Working hours will normally be
eight (8) hours per day Monday through Saturday.
14.5 The Contractor’s employees shall wear identification badges while
on work at `Site'.
14.6 The CONTRACTOR shall ensure that he pays his men regularly their
wages, overtime and other compensations. The CONTRACTOR shall
also furnish the OWNER at fortnightly intervals a certificate that he
has paid all the dues to his workers. In case such payments are not
made regularly by the CONTRACTOR, the OWNER will be in his
right to make such payments and deduct the same from the
payments due to the CONTRACTOR.
14.7 In case the OWNER becomes liable to pay any wages or dues to
the laborer to any Government agency under any of the provisions
of the Minimum Wages Act, Workmen's Compensation Act or any
other law due to act of omission of the CONTRACTOR, the OWNER
may make such payments and shall recover the same from the
CONTRACTOR'S bills.
14.8 None of the Contractor’s superintendents, supervisors, engineers
or labour may be withdrawn from the work without due notice
being given to the OWNER. Further, no such withdrawal shall be
made if, in the opinion of the OWNER, it will jeopardize the
required pace of progress and/or the successful completion of the
work.
14.9 In connection with the performance of work under this 'Contract',
the CONTRACTOR shall agree not to discriminate because of race,
religion, colour or national origin. It is also expected that the
CONTRACTOR in his selection of personnel will give due regard to
their ability to cooperate with the OWNER and the manufacturer's
erection supervisor's suggestions and the recommendations made
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by the OWNER and the MANUFACTURER'S supervisors relating to


the work and coordination there of are to be carefully and
courteously considered for implementation.
14.10 Contractor's employees shall be provided with identification
badges showing employee's pay roll number, contractor's name
and project identification. All employees will be required to wear
these badges during the time they are at project site, where these
would be plainly visible to owner's watchmen and security staff. All
workers, watchmen, supervisors, engineers and other staff at work
site shall be provided with safety helmets by contractor and these
shall be worn by them all the time they are at work site. Employees
failing to do so shall, upon request of owner, be summarily
discharged. No employee of contractor shall be permitted to enter
areas of construction/operation unauthorized.
14.11 Owner shall be at liberty to object to any representative or person
or skilled, semiskilled or unskilled worker employed by contractor
in the execution, or otherwise, of the work, who shall misconduct
himself, or be incompetent, or negligent or unsuitable and
contractor shall remove the person so objected to, upon receipt of
notice in writing from owner requiring him to do so and shall
provide in his place a competent representative at his own
expense with in reasonable time. Such persons who had been
removed from the site at the request of owner shall not be again
employed or allowed on the works without the permission of
owner.
15.0 FACILITIES TO BE PROVIDED BY THE OWNER:
15.1 SPACE:
The CONTRACTOR shall advise the OWNER within thirty (30)days
from the date of acceptance of the 'Letter of Intent' about his exact
requirement of space for his office, storage area, pre assembly and
fabrication areas, toilets, etc. The above requirement shall be
reviewed by the OWNER and space will be allotted to the
CONTRACTOR for construction of his temporary structures like
office, storage sheds, and other utilities, etc., for his own as well as
his Subcontractor’s use. The space allotted shall be within a
distance of about 1.0 KM from the 'Site'. No space will be provided
by the OWNER for the Contractor’s labour and facilities for labour
housing shall be the sole responsibility of the CONTRACTOR.
The contractor shall erect all temporary buildings, tool sheds,
fabrication shops, stores and office, etc. at his own cost in the area
allotted to him at work site by the owner. Contractor shall obtain
owner's approval before removal of such temporary buildings. The
contractor shall indicate the area required for storage facilities
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inside the work site. The contractor shall at all times keep the site
free from accumulation of waste and debris and on completion of
work dispose of all the surplus materials and temporary works, as
directed by the owner and leave the works and site clean and tidy.
The contractor shall be responsible for taking all the safety
precautions during construction and maintaining the site safe at all
times. At the end of each working day and at all times, when the
work is temporarily suspended he shall protect all the construction
material, equipment and facilities from penalty.
15.2 ELECTRICITY:
The CONTRACTOR shall submit to the OWNER within thirty (30)
days from the date of acceptance of the 'Letter of Intent', his
phased electrical power requirements to allow the planning of the
temporary electrical distribution by the OWNER. The CONTRACTOR
shall be provided with construction power for the purposes of the
'Contract', at one point in the project 'Site' which shall be metered
and chargeable to contractor. The CONTRACTOR shall make his
own further distribution arrangement. All temporary wiring must
comply with local regulations and will be subject to the OWNER’s
inspection and approval before connection to supply. Power
supplied to Contractor’s office, contractor’s works and contractors
residential colony will be charged at the rates in vogue at that
time. The contractor’s temporary distribution shall be arranged so
as to maintain a Power Factor of 0.8 minimum under all operating
conditions.
The owner will not be responsible for the consequences of any
unintentional or unplanned interruptions to the above power
supply. However, in case of power failure or due to any
unavoidable circumstances, the contractor has to make necessary
arrangements like diesel sets etc. so as not to affect the progress
of work. The contractor shall make his own arrangement for the
dismantling on completion of the works of his temporary
distribution systems, distribution panel and other equipment he
may require to take power from owner's supply point.
15.3 WATER:
Water supply by the Owner will be on chargeable basis. Supply of
water, if available, will be made for the construction purposes at an
agreed single point in the 'Site'. Any further distribution will be the
responsibility of the CONTRACTOR. Drinking water will also be
provided at one agreed single point in the 'Site' if available.
15.4 CONSTRUCTION TOOLS AND EQUIPMENT AND OTHER MATERIALS:
15.4.1 Except in case where the Owner’s express permission is
applied for and received in writing, no use of the Owner’s plant
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facilities such as cranes, passenger elevator or machine shop shall


be made by the CONTRACTOR or his employees.
15.4.2 The OWNER shall not be responsible or held liable for any
damage to person or property consequent upon the use, misuse or
failure of any construction tools and equipment used by the
CONTRACTOR or any of his Subcontractor’s, even though such
construction tools and equipment may be furnished, rented or
loaned to the CONTRACTOR or any of his SUBCONTRACTORS. The
acceptance and/or use of any such construction tools and
equipment by the CONTRACTOR or his SUBCONTRACTORS shall be
construed to mean that the CONTRACTOR accepts all responsibility
for and agrees to indemnify and save harmless the OWNER from
any and all claims for said penalty resulting from said use, misuse
or failure of such construction tools and equipment.
16.0 FACILITIES TO BE PROVIDED BY THE CONTRACTOR:
16.1 TOOLS, TACKLES AND SCAFFOLDINGS:
16.1.1 The CONTRACTOR shall provide at his own expense, all the
construction equipment, false work, erection tools, machine tools,
power tools, tackles, hoists, cranes, derricks, cables, slings, skids,
scaffolding, work benches, tools for rigging, cribbing and blocking,
welding machines, preheating and stress relieving equipment, X-
ray and all associated protection equipment, instruments,
appliances, materials and supplies required for unloading,
transporting, storing, erection, testing and commissioning that may
be required to accomplish the work under the 'Contract' unless
otherwise to final determination of the OWNER. He shall submit a
list of all such materials to the OWNER before the commencement
of pre assembly at 'Site'. These tools and tackles shall not be
removed from the 'Site' without the written permission of the
OWNER.
16.1.2 The CONTRACTOR shall also furnish all necessary
expandable devices like anchors, grinding and abrasive wheels,
raw plugs, hacksaw blades, taps, dies, drills, reamers, chisels, files,
stones, oil stones, wire brushes, necessary scaffolding, ladders,
wooden planks, timbers, sleepers and consumable materials like
oxygen, acetylene, argon, lubricating oils, greases, cleaning fluids,
cylinder oil, graphite powder and flakes, fasteners, gaskets,
temporary supports, stainless steel shims of various thickness as
required, cotton waste, cheese cloth and all other miscellaneous
supplies of every kind required for carrying out the works under
the contract.
16.1.3 The CONTRACTOR shall provide all reasonable facilities
including tools, personnel etc., and ensure coordination with the
OWNER and the Manufacturer’s erection supervisors to enable
them to carry out all supervision, measurements, checks, etc., in a
satisfactory manner.
16.1.4 The CONTRACTOR shall not dispose of, transport or withdraw
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any tools, tackles, equipment and material Provided by him for the
'Contract' without taking prior written approval from the OWNER,
and the OWNER at all times shall have right to refuse permission
for disposal, transport or withdrawal of tools, tackles, equipment
and material, if in his opinion, the same will adversely affect the
efficient and expeditious completion the 'Project'.
16.1.5 The Contractor shall also arrange for storing of materials with
weather protection wherever necessary and proper security
arrangement till the installation is taken over by the purchaser.
16.1.6 Mobile crane, if required for erection, shall have to be
arranged by contractor.
16.2 COMMUNICATION: The CONTRACTOR will make his own
arrangement for his communication needs such as telephone,
telex, etc., at his Site Office. The OWNER will assist the
CONTRACTOR in getting the above facilities, in case he finds any
difficulties. The owner may install one telephone connection to the
CONTRACTOR from the exchange if any provided at the site for
internal communication.
16.3 FIRSTAID :
16.3.1 The Contractor shall provide necessary first aid facilities for
all his employees, representatives and workers working at the Site.
Enough number of Contractor's personnel shall be trained in
administering first aid.
16.3.2 The Owner will assist the Contractor, in case of an
emergency, in obtaining the services of an ambulance for
transportation to the nearest hospital.
16.4 CLEANLINESS:
16.4.1 The CONTRACTOR shall be responsible for keeping the entire
area allotted to him clean and free from rubbish, debris etc., during
the period of 'Contract', The CONTRACTOR shall employ enough
number of special personnel to thoroughly clean his work area at
least once in a day. All such rubbish and scrap material shall be
stacked or disposed in a place to be identified by the OWNER.
Materials and stores shall be so arranged as to permit easy
cleaning of the area. In areas where equipment might drip oil and
cause damage to the floor surface, a suitable protective cover of a
flame resistant, oil proof sheet shall be provided to protect the
floor from such damage.
16.4.2 Similarly, the offices of the CONTRACTOR shall be kept clean
and neat to the entire satisfaction of the OWNER. Proper sanitary
arrangements shall be provided by the CONTRACTOR, in the work
areas and office of the CONTRACTOR and residential colonies.
16.4.3 If contractor fails to comply with these requirements in spite of
instructions from the purchaser, the areas will be cleaned by
purchaser at contractor's cost and the cost of the same will be
deducted from the contractor's due amounts.
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17.0 LINES AND GRADES:


17.1 All the 'Works' shall be performed to the lines, grades and
elevations indicated on the drawings. The CONTRACTOR shall be
responsible to locate and layout the 'Works'. Basic horizontal and
vertical control points will be established and marked by the
OWNER at 'Site' at suitable points. These points shall be used as
datum for the 'Works' under the CONTRACTOR. The CONTRACTOR
shall inform the OWNER well in advance of the times and places at
which he wishes to do work in the area allotted to him, so that
suitable datum points may be established and checked by the
OWNER to enable the CONTRACTOR to proceed with his 'Works'.
Any work done without being properly located may be removed
and/or dismantled by the OWNER at Contractor’s expense.
17.2 Where the OWNER had already established the base lines and
benchmarks adjacent to the various sections of work, the same
must be carefully preserved by the CONTRACTOR, and in case of
their unnecessary destruction by him or any of his employees,
these will be reestablished by the OWNER at the Contractor’s
expenses.
17.3 The CONTRACTOR shall be responsible for the accuracy of all
dimensions within the various sections of the work according to the
figures of dimensions in the drawings.
17.4 Contractor shall supply, fix and maintain at his cost during the
execution of any work, all the necessary centering, scaffolding,
staging, planking, timbering, strutting, shoring, pumping, fencing,
hoarding, guarding and lighting by night as well as by day,
required not only for the proper execution and protection of the
said work, but also for the protection of the pumping and the
safety of any adjacent roads, streets, cellars, vaults, ovens, walls,
houses, buildings and all other erections, matters or things.
Contractor shall take out and remove any or all such centering,
scaffolding, staging, planking, timbering, strutting shoring, etc. as
occasion shall require or when ordered to do so and shall fully
reinstate and make good all matters and things disturbed during
execution of the work, to the satisfaction of owner. Contractor shall
be paid no additional amount for the above and for access roads to
be made to reach the construction site.
18.0 FIRE PROTECTION:
18.1 The Work procedures that are to be used during the erection shall
be those, which minimize fire hazards to the extent practicable.
Combustible materials, combustible waste and rubbish shall be
collected and removed from the 'Site' at least once each day.
Fuels, oils and volatile or inflammable materials shall be stored
away from the construction and equipment and materials, storage
areas, in safe containers. Untreated canvas paper, plastic or other
inflammable flexible materials shall not at all be used at 'Site' for
any other purposes unless other wise specified. If any such
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materials are received with the equipment at the 'Site', the same
shall be removed and replaced with acceptable material before
moving into the construction area or storage.
18.2 Similarly, corrugated paper fabricated cartons, etc., will not be
permitted in the construction area either for storage or for
handling of materials. All such materials used shall be of water
proof and flame resistant type. All the other materials such as
working drawings, plans, etc., which are combustible but are
essential for the 'Works' to be executed shall be protected against
fire resulting from welding sparks, cutting flames and other similar
fire sources.
18.3 All the Contractor’s supervisory personnel and sufficient number of
workers shall be trained for fire fighting and shall be assigned
specific fire protection duties. Adequate number of such trained
personnel must be available at the 'Site' during the entire period of
the 'Contract'.
18.4 The CONTRACTOR shall provide and maintain fire protection
equipment, adequate in design and numbers for the warehouses,
office, temporary structures, etc. Access to such fire protection
equipment shall be easy and kept open at all times. The
compliance of the above requirements under fire protection shall in
no way relieve the CONTRACTOR of any of his responsibilities and
liabilities due to fire accidents occurring either to his materials and
equipment or to those of others working in the area.
19.0 SECURITY (WATCH & WARD) :
The CONTRACTOR shall have total responsibility for all equipment
and materials in his custody stored, loose, semi assembled and/or
erected by him at 'Site'. The CONTRACTOR shall make suitable
security arrangements including employment of security personnel
to ensure the protection of all materials, equipment and 'Works'
from theft, fire, pilferage and any other damage and loss. All
materials of the CONTRACTOR shall enter and leave the project
'Site' only with the written permission of the OWNER in the
prescribed manner.
20.0 CONTRACTOR'S AREA LIMITS:
The OWNER will mark out the boundary limits of access roads,
parking spaces, storage and construction areas for the
CONTRACTOR and the CONNTRACTOR shall not trespass the areas
not so marked out for him. The CONTRACTOR shall be responsible
to ensure that none of his personnel moves out of the areas
marked out for his operations. In case of such a need for the
Contractor’s personnel to work out of the areas marked out for
him, the same shall be done only with the written permission of the
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OWNER.
21.0 CONTRACTOR'S COOPERATION WITH THE OWNER:
21.1 In cases where the performance of the erection work by the
CONTRACTOR affects the operation of the system facilities of the
OWNER, such erection work of the CONTRACTOR shall be scheduled
to be performed only in the manner stipulated to be performed by
the OWNER and the same shall be acceptable at all times to the
OWNER. The OWNER may impose such restrictions on the facilities
provided to the CONTRACTOR such as electricity, water etc., as he
may think fit and the CONTRACTOR shall strictly adhere to such
restrictions and cooperate with the OWNER. It will be the
responsibility of the CONTRACTOR to provide all necessary
temporary instrumentation and other measuring devices required
during startup and operation of the equipment systems which are
erected by him.
The CONTRACTOR shall also be responsible for flushing and initial
filling of all the oil and lubricants required for the equipment
furnished/and erected by him, so as to make such equipment ready
for operation. The CONTRACTOR shall be responsible for supplying
such flushing oil and other lubricants unless otherwise specified
elsewhere in these documents.
21.2 The CONTRACTOR at all times shall work in coordination with the
OWNER’s staff and offer them all reasonable facilities to become
familiar with the erection, operation and maintenance of the
equipment.
21.3 In respect of observations of local rules, administrative orders,
working hours and the like, the CONTRACTOR and his personnel
shall cooperate with the OWNER.
22.0COMMISSIONING:
The 'Commissioning' of the equipment erected by the
CONTRACTOR shall be the responsibility of the CONTRACTOR. The
CONTRACTOR shall provide in addition, test instruments, calibrating
devices, etc., and the labour required for the successful
performance of these tests. If it is anticipated that the above tests
may prolong for along time, the Contractor’s workmen required for
the above tests shall always be present at 'Site' during such tests.
23.0 MATERIALS HANDLING AND STORAGE:
23.1 All the equipment furnished under the Contract and arriving at
Stores/Site shall be promptly received, unloaded, transported and
stored in the storage space by the Contractor. It is contractor's sole
responsibility to keep in touch with owner, and others to inform
himself of the expected date and time of arrival of the carriers at
site and ensure that his men and aids are available in time to
unload the material/equipment and promptly release the carriers.
Contractor shall plan in advance his requirements of jacks, cranes,
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sleepers etc., required to unload the material/equipment promptly


and efficiently.
23.2 The contractor shall be responsible for examining all the shipments
and notify the OWNER immediately of any damage, shortage,
discrepancy etc., for the purpose of OWNER’s information only. The
CONTRACTOR shall submit to the OWNER every week a report
detailing all the receipts during the week. However, the
CONTRACTOR shall be solely responsible for any shortages or
damage in transit, handling and/or in storage and erection of the
equipment at the 'Site'. Any demurrage, wharfage and other such
charges claimed by the transporters, railways, etc., shall be to the
account of the CONTRACTOR.
23.3 The CONTRACTOR shall maintain an accurate and exhaustive
record, detailing out the list of all equipment received by him for
the purpose of erection and keep such record open for the
inspection of the OWNER at any time. The schedule shall show
approximately the date on which each part or division of the work is
expected to begin, based on his knowledge of the works of other
contractors and the date when the work is scheduled to be finished.
Upon the request of owner, contractor should be prepared to
discuss his schedule in relation to the master schedule and shall
coordinate his work with that of the other contractors as
determined by owner.
23.4 All equipment shall be handled very carefully to prevent any
damage or loss. No bare wire ropes, slings, etc., shall be used for
unloading and/or handling of the equipment without the specific
written permission of the OWNER. The equipment stored shall be
properly protected to prevent damage either to the equipment or
to the floor where they are stored. The equipment from the store
shall be moved to the actual location at the appropriate time so as
to avoid damage for such equipment at 'Site'.
23.5 The instructions of the manufacturers for storage and re
conservation during storage shall be followed. All electrical panels,
control gears, motors and such other devices shall be properly
dried by heating before they are installed and energised. Motor
bearings, slip rings, commutators and other exposed parts shall be
protected against moisture ingress and corrosion during storage
and periodically inspected. Heavy rotating parts in assembled
conditions shall be periodically rotated to prevent corrosion due to
prolonged storage.
23.6 All the electrical equipment such as motors, generators, etc., shall
be tested for insulation resistance at least once in a month from
the date of receipt till the date of commissioning and a record of
such measured insulation values maintained by the CONTRACTOR.
Such record shall be open for inspection by the OWNER.

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23.7 The CONTRACTOR shall ensure that all the packing materials, and
protection devices used for various equipment during transit and
storage are removed before the equipment are installed. Al
packing materials like wooden planks, wooden crates of insulators
should be returned to OWNER.
23.8 The consumables and other supplies likely to deteriorate due to
storage must be thoroughly protected and stored in a suitable
manner to prevent damage to deterioration in quality by storage.
23.9 All the materials stored in the open or dusty location must be
covered with suitable weatherproof and flame proof covering
material where ever applicable.
23.10 If the materials belonging to the CONTRACTOR are stored in area
other than those earmarked for him, the OWNER will have the right
to get it moved to the area earmarked for the CONTRACTOR at the
CONTRACTOR'S cost.
23.11 The CONTRACTOR shall be responsible for making suitable indoor
storage facilities to store all equipment, which require indoor
storage. Normally all the electrical equipment, such as motors,
control gears, generators, exciters and consumables like
electrodes, lubricants, etc, shall be stored in the closed storage
space. The OWNER, in addition, may direct the CONTRACTOR to
move certain other materials, which in his opinion will require
indoor storage, to indoor storage areas which the CONTRACTOR
shall strictly comply with.
23.12 The CONTRACTOR shall arrange for periodical inspection of
material/ equipment in his custody until taken over by the OWNER
and shall carryout all protective and preservative measures
required thereupon.
23.13 The CONTRACTOR shall also keep a check on the deliveries of the
equipment/material covered in his scope of erection and for those
falling in the scope of supply by the purchaser, shall advise the
OWNER well in advance regarding possible holdups in his work due
to expected delays in delivery of equipment, to enable the OWNER
to expedite the deliveries. The CONTRACTOR shall also inform the
OWNER in right time regarding the repairs/replacement required
towards the items damaged/lost in order to enable the OWNER to
arrange for repairs/replacements well in time and avoid delays due
to non availability of requirement and parts.
24.0 CONSTRUCTION MANAGEMENT:
24.1 The field activities of the Contractor working at 'Site' will be
coordinated by the OWNER and the OWNER’s decision shall be final
in resolving any disputes or conflicts between the CONTRACTOR
and other Contractors and tradesmen of the OWNER regarding
scheduling and coordination of work. Such decision by the OWNER
shall not be a cause for extra compensation or extension of time
for the CONTRACTOR.
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24.2 The OWNER shall hold weekly meeting of all the Contractors
working at 'Site', at a time and a place to be designated by the
OWNER. The CONTRACTOR shall attend such meetings and take
notes of discussions during the meeting and the decisions of the
OWNER and shall strictly adhere to those decisions in performing
his 'Works'. In addition to the above weekly meetings, the OWNER
may call for other meetings either with individual Contractors or
with selected number of Contractors and in such a case the
CONTRACTOR, will also attend such meetings.
24.3 Time is the essence of the 'Contract' and the CONTRACTOR shall
be responsible for performance of his Works in accordance with the
specified construction schedule. If at any time, the CONTRACTOR is
falling behind the schedule, he shall take necessary action to make
good for such delays by increasing his work force or by working
overtime or otherwise accelerate the progress of the work to
comply with the schedule and shall communicate such action in
writing to the OWNER satisfying that his action will compensate for
the delay. The CONTRACTOR shall not be allowed any extra
compensation for such action.
25.0 FIELD OFFICE RECORDS:
The CONTRACTOR shall maintain at his 'Site' office up to date
copies of all drawings, specifications and other Contract
Documents and any other supplementary data complete with all
the latest revisions thereto. The CONTRACTOR shall also maintain
in addition the continuous record of all changes to the above
Contract Documents, drawings, specifications, supplementary
data, etc., effected at the field and on completion of his total
assignment under the 'Contract' shall incorporate all such changes
on the drawings and other engineering data to indicate as installed
conditions of the equipment furnished and erected under the
'Contract'. Such drawings and engineering data shall be submitted
to the OWNER in required number of copies. A record of all
readings taken during the alignment of the equipment shall be
maintained by the CONTRACTOR. This shall be signed by the
Manufacturer’s erection supervisor and/or the OWNER as a token
of their acceptance of the same. All such records shall be handed
over to the OWNER on completion of the 'Works'.
26.0 CONTRACTOR'S MATERIALS BROUGHT ON TO SITE:
26.1 The CONTRACTOR shall bring to 'Site' all equipment, components,
parts, materials, including construction equipment, tools and
tackles for the purpose of the 'Works' under intimation to the
OWNER. All such goods shall, from the time of their being brought
vest in OWNER, but may be used for the purpose of the 'Works'
only and shall not on any account be removed or taken away by
the CONTRACTOR without the written permission of the OWNER.
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But the CONTRACTOR shall never the less be solely liable and
responsible for any loss or destruction thereof and damage
thereto.
26.2 The OWNER shall have a lien on such goods for any sum or sums
which may at any time be due or owing to him by the
CONTRACTOR, under, in respect of or by reasons of the 'Contract'.
After giving a fifteen (15) days’ notice in writing of his intention to
do so, the OWNER shall be at liberty to sell and dispose of any such
goods, in such manner as he shall think fit including public auction
or private treaty and to apply the proceeds in or towards the
satisfaction of such sum or sums due as aforesaid.
26.3 After completion of the 'Works', the CONTRACTOR shall remove
from the 'Site' under the direction of the OWNER the materials
such as construction equipment, erection tools and tackles,
scaffolding, etc. with the written permission of the OWNER. If the
CONTRACTOR fails to remove such materials, within fifteen (15)
days of issue of a notice by the OWNER to do so, then the OWNER
shall have the liberty to dispose of such materials as detailed
under Clause 26.2 above and credit/debit the proceeds there to the
account of the CONTRACT.
27.0 PROTECTION OF PROPERTY AND CONTRACTOR'S LIABILITY:
27.1 The CONTRACTOR shall be responsible for any damage resulting
from his operations. He shall also be responsible for protection of
all persons including members of public and employees of the
OWNER and the OWNER and the employees of other Contractors
and SUB-Contractors and all public and private property including
structures, buildings, other plants and equipment and utilities
either above or below the ground.
27.2 The CONTRACTOR will ensure provision of necessary safety
equipment such as barriers, signboards, warning lights, alarms,
etc., to provide adequate protection to persons and property. The
CONTRACTOR shall be responsible to give reasonable notice to the
OWNER and the OWNER of public or private property and utilities
when such property and utilities are likely to get damaged or
injured during the performance of his 'Works' and shall make all
necessary arrangements with such Owners, related to removal
and/or replacement or protection of such property and utilities.
27.3 Contractor shall not sell, assign, mortgage, hypothecate or remove
equipment or materials which have been installed or which may be
necessary for the completion of the contract without the written
consent of owner.
28.0 PAINTING: All exposed metal parts of the equipment including
piping, structures, railings, etc., after installation, unless otherwise
surface protected, shall be first painted with at least one coat of
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suitable primer which matches the shop primer paint used, after
thoroughly cleaning all such parts of all dirt, rust, scales, greases,
oils and other foreign materials by wire brushing, scraping or sand
blasting, and the same being inspected and approved by the
OWNER for painting. Afterwards, the above parts shall be finished
with two coats of alloyed resin machinery enamel paints. The
quality of the finish paint shall be as per the standards of ISI or
equivalent and to be of the colour as approved by the OWNER.
29.0 INSURANCE : (GCC)
29.1 In addition to the conditions covered under the clause entitled
'Insurance' in 'General Conditions of Contract', the following
provisions will apply to the portion of the 'Works' at site to be done
at site beyond the Contractor’s own or his Subcontractor’s
manufacturing works. Comprehensive Insurance of equipment
during erection and commissioning, Workmen’s Compensation
Insurance, Comprehensive Automobile Insurance & Comprehensive
General Liability Insurance shall be the responsibility of the
CONTRACTOR. Contractor shall at his own expense arrange to
effect and maintain until the completion of the contract. Insurance
policies, with an insurance company approved by owner, against
all risks in respect of which contractor is required under this clause
to indemnify owner. In particular, contractor shall effect and
maintain an insurance policy of at least Rs.3.00 lacs for one person
andRs.5.00 lacs per accidental for injury or death and at least
Rs.5.00 lacs per accident for third party property damage, to
indemnify owner against all third party accident/damage claims
which may arise in respect of the work or in consequence thereof.
The Contractor shall also maintain an insurance policy against all
claims which may be made upon owner whether under the
Workmen's Compensation Act or any other statue in force during
the currency of the contractor or at common law in respect of any
employee of contractor or any subcontractor. All such insurance
policies shall be in the joint names of owner and contractor and
shall be deposited with owner. The Contractor shall be responsible
for anything which may be excluded from the insurance policies
referred to above and also for all other damage to any property or
persons out of and incidental to the negligence or defective
carrying out of this contract.
All costs on account of insurance liabilities covered under
the contract will be on contractor's account and will be
deemed to have been included in the contract price.
29.2 WORKMEN'S COMPENSATION INSURANCE:
This insurance shall protect the CONTRACTOR against all claims
applicable under the Workmen's Compensation Act, 1948

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(Government of India). This policy shall also cover the


CONTRACTOR against claims for injury, disability, disease or death
of his or his Subcontractor’s employees, which for any reason are
not covered under the Workmen's Compensation Act, 1948.The
liabilities the shall not be less than:
Workmen's Compensation - As per statutory provision
Employee’s liability - As per statutory provision.
29.3 COMPREHENSIVE AUTOMOBILE INSURANCE:
This insurance shall be in such a form to protect the
CONTRACTOR against all claims for injuries, disability disease and
death to members of public including the Owner’s men and
damage to the property of others arising from the use of motor
vehicles during on or off the 'Site' operations, irrespective of the
ownership of such vehicles.
The liability covered shall be as herein indicated:
Fatal injury : Rs.1, 00,000 /each person
Property : Rs.2, 00,000 each occurrence
Damage : Rs.1, 00,000 each occurrence
29.4 COMPREHENSIVE GENERAL LIABILITY INSURANCE :
29.4.1 This insurance shall protect the CONTRACTOR against all
claims arising from injuries, disabilities, diseases or death of
members of public or damage to property of others due to any Act
or omission on the part of the CONTRACTOR, his agents, his
employees, his representatives and Subcontractors from riots,
strikes and civil commotion. This insurance shall also cover all the
liabilities of the CONTRACTOR arising out of the clause entitled
Defense of Suits' under' General Conditions of Contract'.
29.4.2 The hazards to be covered will pertain to all the works which
and areas where, the CONTRACTOR, his SUBCONTRACTOR, his
agents and his employees have to perform work pursuant to the
'Contract'.
29.5 The above are only illustrative list of insurance covers normally
required and it will be the responsibility of the CONTRACTOR to
maintain all necessary insurance coverage to the extent both in
time and amount to take care of all his liabilities either director
indirect, in pursuance of the 'Contract'.
29.6 FIRE INSURANCE: Unless otherwise instructed by the
OWNER, the CONTRACTOR shall, on signing the 'Contract', insure
the works and keep them insured until the completion of the
'Contract' against loss or damage by fire, with the Company to be
approved by the OWNER, in the joint names of the OWNER and the
CONTRACTOR for such amount and for any further sum, if called
upon to do so by the OWNER, the premium of such further sum
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being allowed to the CONTRACTOR as an authorised extra. Such


policy shall cover the property of the OWNER only and shall not
cover any property of the CONTRACTOR or any SUBCONTRACTOR,
or his employees. The CONTRACTOR shall deposit the policy
receipts for the premium with the OWNER within twenty one (21)
days from the date of signing the 'Contract' unless otherwise
instructed by the OWNER. In default of the CONTRACTOR insuring
as provided above, the OWNER may so insure and may deduct the
premiums paid from any moneys due, or which may become due
to the CONTRACTOR. The CONTRACTOR shall, as so on as the claim
under the policy in settled, or the work reinstated by the insurance
office should they elect to do so, proceed with all due diligence
with the completion of the 'Works' in the same manner as though
the fire had not occurred and in all respects under the same
conditions of 'Contract'. The CONTRACTOR in case of rebuilding or
re installment after fire, shall be entitled to such extension of time
for completion as the OWNER may deem fit.
29.7 COMPREHENSIVE TRANSPORT, STORAGE, ERECTION CUM COMMIS-
SIONING INSURANCE:
29.7.1 All the equipment and materials being supplied by the
Contractor (as per Clause No.1.1 of this section) shall be kept
completely insured by the Contractor at his cost from the time of
dispatch from the Bidders Works, up to the completion of erection,
testing and commissioning at site and taking over the equipment
by the owner in accordance with the contract.
29.7.2 Contractor shall take the delivery at site and jointly with the
purchaser, inspect all the material received at destination store
and furnish a loss/damage report to the purchaser within a week of
receipt of material at site and lodge insurance claims there upon.
Incase of loss to the purchaser due to delays in submitting the
loss/penalty report by contractor, owner will be within his right to
deduct such losses from the contractor's progressive payments. All
the equipment and materials being supplied by the purchaser shall
also to be taken delivery from any of the designated stores of
OWNER/at site and shall be insured by the contractor against loss,
damage, theft, pilferage, fire etc. from the point of unloading up to
the time of taking over of equipment by the purchaser including
handling, transportation, storage, erection, testing and
commissioning etc. and the contractor shall be fully responsible for
making good of any loss or damage at his own cost. All costs for
such insurance shall be to the contractor account and shall be
deemed included in the contract price.
29.7.3 It will be the responsibility of the Contractor to lodge, pursue
and settle all claims with the Insurance Company in case of any
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damage; loss, theft, pilferage or fire and the owner shall be kept
informed about it. The losses, if any, will have to be borne by the
Contractor, if the claims are not lodged and pursued properly or in
time or if the insurance company does not settle the same. The
contractor shall replace the lost/damaged materials (own and
owner supplied) promptly irrespective of the settlement of the
claims by the under writers and ensure that the work progress is as
per agreed schedules. The losses, if any, in such replacement will
have to be borne by the contractor.
30.0 UNFAVOURABLE WORKING CONDITIONS:
The CONTRACTOR shall confine all his field operations to those
works which can be performed without subjecting the equipment
and materials to adverse effects, during inclement weather
conditions, like monsoon, storms, etc., and during other
unfavorable construction conditions. No field activities shall be
performed by the CONTRACTOR under conditions which might
adversely affect the quality and efficiency there of, unless special
precautions or measures are taken by the CONTRACTOR in a
proper and satisfactory manner in the performance of such works
and with the concurrence of the OWNER. Such unfavorable
construction conditions will in no way relieve the CONTRACTOR of
his responsibility to perform the 'Works' as per the schedule.
31.0 PROTECTION OF MONUMENTS AND REFERENCE POINTS:
The CONTRACTOR shall ensure that any finds such as relic,
antiquity, coils, fossils, etc., which he may come across during the
course of performance of 'Works' either during excavation or
elsewhere are properly protected and handed over to the OWNER.
Similarly the CONTRACTOR shall ensure that the bench marks,
reference points, etc., which are marked out either with the help of
OWNER or by the OWNER shall not be disturbed in any way during
the performance of his 'Works'. If any work is to be performed which
may disturb such references, the same shall be done only after
these are transferred to other suitable locations under the direction
of the OWNER. The CONTRACTOR shall provide all necessary
materials and assistance for such relocation of reference points, etc.
32.0 WORK AND SAFETY REGULATIONS:
32.1 The CONTRACTOR shall ensure the safety of all the workers,
materials and equipment either belonging to him or to others
working at 'Site'.
32.2 The CONTRACTOR will notify the OWNER of his intention to bring
on to 'Site' any equipment or any container, with liquid or gaseous
fuel or other substance that may create hazard. The OWNER shall
have the right to prescribe the conditions under which such
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equipment or container maybe handled and used, during the


performance of the 'Works' and the CONTRACTOR shall strictly
adhere to such instructions. The OWNER shall have the right to
inspect any construction plant and to forbid its use, if in his opinion
it is unsafe. No claim due to such prohibition shall be entertained
by the OWNER.
32.3 Where it is necessary to provide and/or store petroleum products
or petroleum mixtures and explosives, the CONTRACTOR shall be
responsible for carrying out such provisions and/or storage in
accordance with the rules and regulations laid down in Petroleum
Act, 1934, Explosives Act, 1948, and Petroleum and Carbide of
Calcium Manual published by the Chief Inspector of Explosives of
India. All such storage shall have prior approvals of OWNER. In
case any approvals are necessary from the Chief Inspector of
Explosives or any statutory authorities, the CONTRACTOR shall be
responsible for obtaining the same.
32.4 The CONTRACTOR shall be responsible for provision of all safety
notices and safety equipment required both by the relevant
legislations and the OWNER, as he may deem necessary.
32.5 The CONTRACTOR shall be responsible for the safe storage of his
and his Subcontractor’s radioactive sources.
33.0 ELECTRICAL SAFETY REGULATIONS:
33.1 In no circumstances will the CONTRACTOR interfere with fuses and
electrical equipment belonging to the OWNER or other Contractors.
33.2 Before the CONTRACTOR connects any electrical appliances to any
plug or socket belonging to the other Contractor or OWNER, he
shall
a) Satisfy the OWNER that the appliance is in good working
conditions.
b) Inform the OWNER of the maximum current rating, voltage and
phases of the appliances.
c) Obtain permission of the OWNER detailing the sockets to which
the appliances may be connected.
33.3 The OWNER will not grant permission to plug in, until he is
satisfied that:
a) The appliance is in good condition and is fitted with a suitable
plug.
b) The appliance is fitted with a suitable cable having two earth
conductors, one of which shall be an earthed metal sheath
surrounding the cores.
33.4 No electric cable in use by the OWNER will be disturbed without
prior permission. No weight of any description will be imposed in
any such cable and no ladder or similar equipment will rest against

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or be attached to it.
33.5 No work shall be carried out on any live equipment. The equipment
must be made safe by the OWNER and a permit to work issued
before any work is carried out.
33.6 The contractor shall employ the necessary number of qualified full-
time electricians to maintain his temporary electrical installation.
34.0 FOREIGN PERSONNEL:
The expenditure incurred towards any foreign personnel brought to
India for the services as warranted by the contractor including
remuneration and taxes applicable thereof shall be born by the
contractor only. Any claim for payment by purchaser on this
account is not acceptable.
35.0 ENGINEER’S INSTRUCTIONS:
35.1 The OWNER may, in his absolute discretion, from time to time,
issue further drawings and/or written instructions, details,
directions and explanations, which are collected referred to as
"ENGINEER'S INSTRUCTIONS", in regard to:
35.1.1 Any additional drawings and explanations to exhibit or
illustrate details.
35.1.2 Variation or modification of the design, quality or quantity of
work or the additions or omission or substitution of any work.
35.1.3 Any discrepancy in the drawings or between the Schedule of
Quantities and/or 'Specification'.
35.1.4 Removal from the 'Site' of any materials brought thereon by
the CONTRACTOR and the substitution of any other materials
thereof.
35.1.5 Removals and/or re execution of any work executed by the
CONTRACTOR.
35.1.6 Dismissal from the work of any persons employed thereupon.
35.1.7 Opening up for inspection of any work covered up.
35.1.8 Amending and making good of any defects as per clauses.
35.2 The CONTRACTOR shall comply with and duly execute any work
covered in such 'Engineer's Instructions' provided always that
verbal instructions, directions and explanation given to the
CONTRACTOR or his foreman upon the work by the OWNER shall, if
involving a variation, be confirmed in writing by the OWNER within
seven (7) days.
35.3 If compliance with the "Engineer's Instructions" as aforesaid
involves work and scope beyond that contemplated by the
'Contract', unless the same were issued owing to some breach of
this 'Contract' by the CONTRACTOR, the OWNER shall pay to the
CONTRACTOR the price of the said work as an extra to be valued

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as hereinafter provided in Clause 39.0.


35.4 If the CONTRACTOR after receipt of written notice from the OWNER
requiring compliance, with such further drawings and/or
"Engineer's Instructions" fails to comply with the same within
seven (7) days, the OWNER may employ and pay other agencies to
execute any such work whatsoever, as maybe necessary to give
effect thereto; and all costs incurred in connection therewith shall
be recoverable from the CONTRACTOR by the OWNER on a
certificate by the ENGINEER as a debt or may be deducted by the
OWNER from any money that may become due to the
CONTRACTOR.
36.0RIGHTS OF THE OWNER/ ENGINEER:
Right to Illustrate and Explain Plans:
36.1.1 The various parts of the 'Contract' are intended to be
complementary to each other but should any discrepancy appear
or any misunderstanding arise as to the import of anything
contained herein, the explanation of the OWNER shall be final and
binding.
36.1.2 The correction of any errors or omissions of the Drawings and
Specifications may be made by the OWNER /ENGINEER, when such
correction is necessary to bring out clearly the intention that is
indicated by the reasonable interpretation of the Drawings and
Specifications as a whole.
36.1.3 Whenever in the Specifications or on the Drawings which are a
part of the 'Contract' or which may be furnished to the
CONTRACTOR for directing this work, the terms and descriptions of
various qualities of workmanship, materials, structures, processes,
plant or other features of the 'Contract' are described in general
terms, the meaning or fulfillment, of which must depend upon
individual judgment, then in all such cases the question of
fulfillment of such specifications or requirements shall be decided
by the OWNER /ENGINEER and said material shall be furnished,
said work shall be done, and said structure, process, plant or
feature shall be constructed, furnished or carried on in full and
complete accordance with his interpretation of the same and to his
full satisfaction and approval, provided such interpretation is not
indirect conflict with the Drawings and Specifications and generally
accepted good practice.
36.1.4 Details shown either on the Drawings or in the Specifications shall
be done and furnished as if shown in both except where expressly
expected either in the specifications or on the Drawings. Figured
dimensions shall in all cases be taken in preference to scale
measurements, and detailed drawings consistent with general
drawings in preference to the general drawings of the same part of
the work.

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36.1.5 The OWNER may ask, from time to time, prepare estimates of
quantities or bills of materials required for the work. Copies of such
estimates or bills of materials which may be given to the Purchaser
for his convenience, or any lists, weights or quantities of materials
or structures which may appear on the drawings shall not be
considered as finally correct, sufficiently complete, or accurately
covering any portion or all of the work to be done under the
'Contract'. Such bills or estimates may be carefully assembled and
prepared but their accuracy is not guaranteed. They may not be
accurate as to any particular detail and are given only as the best
information available at the time of issue of the information. It is
understood that any such lists or estimates are furnished to the
Purchaser/Owner for his convenience only and not as lists or
estimates of work to be done, and many necessary items of work
might have been omitted.
36.1.6 Additional drawings and explanations to exhibit or illustrate
details may be provided by the OWNER/Contractor whenever
necessary and if so provided, and if consistent with the Drawings
and specifications, it shall be binding upon the CONTRACTOR to
take cognizance of the same. The written decision of the OWNER
as to the true construction and meaning of the Drawings and
Specifications and of such additional drawings and explanations
shall be binding upon the CONTRACTOR.
36.2 RIGHT TO DIRECT WORK:
36.2.1 The OWNER shall have the right to direct the manner in
which all work under this 'Contract' shall be conducted, in so far as
it may be necessary to secure the safe and proper progress and
the specified quality of the work, and all work shall be done and all
material shall be furnished to the satisfaction and approval of the
OWNER.
36.2.2 Whenever, in the opinion of the OWNER, the CONTRACTOR
has made marked departures from the schedule of completion laid
down in the 'Contract' or when untoward circumstances force a
departure from the said schedule, the OWNER /ENGINEER, in order
to assure the compliance with the schedule and the provisions of
the 'Contract' shall direct the order, pace and method of
conducting the work, which shall be adhered to by the
CONTRACTOR.
36.2.3 If, in the judgment of the OWNER, it becomes necessary at
any time to accelerate the overall plant erection work, the
CONTRACTOR, when ordered and directed by the OWNER, shall
cease work at any particular point and transfer his men to such
other point or points, and execute such portion of his work, as may
be required, to enable others to hasten and properly engage and
carry on their work, all as directed by the OWNER.
36.2.4 Night work will be permitted only with prior approval of the
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OWNER. The OWNER may also direct the CONTRACTOR to operate


extra shifts over and above normal day shift to ensure completion
of 'Contract' on Schedule if, in his opinion, such work is required.
36.3 RIGHT TO ORDER MODIFICATIONS OF METHODS & EQUIPMENT:
If at any time, the Contractor’s methods, materials or equipment
appear to the OWNER to be unsafe, inefficient or in adequate for
securing the safety of the workmen or the public, the quality of
work or the rate of progress required, he may increase their
efficiency and adequacy, and the CONTRACTOR shall promptly
comply with such orders. If at any time, the Contractor’s work force
and equipment are in the opinion of the OWNER, inadequate for
securing the necessary progress, as herein stipulated, the
CONTRACTOR shall, if so directed, increase the work force and
equipment to such an extent as to give reasonable assurance of
compliance with the schedule of completion. The absence of such
demands from the OWNER shall not relieve the CONTRACTOR of his
obligations to secure the quality, safe conducting of the work, and
the rate of progress required by the 'Contract', and the
CONTRACTOR alone shall be and remain liable and responsible for
the safety, efficiency and adequacy of his methods, materials,
working force and equipment, irrespective of whether or not he
makes any change as a result of any order or orders received from
the OWNER.
36.4 RIGHT TO PERFORM:
The OWNER reserves the right to perform or have performed in
and about the 'Works' during the time when the CONTRACTOR is
performing his work here under, such other work as the OWNER
desires, and the CONTRACTOR shall make all reasonable effort to
perform his work hereunder in such a manner as will enable such
other work to be performed without hindrance and shall make no
claim for damage against the OWNER arising out of such other
work or interference there from. The CONTRACTOR shall work in
harmony with such other contractors regardless of race, religion,
colour or national origin and any dispute between Contractors shall
be arbitrated by the OWNER.
37.0 MEASUREMENT OF WORK AND PROGRESS PAYMENTS:
37.1 The OWNER may, from time to time, intimate the CONTRACTOR
that he requires the works to be measured and the CONTRACTOR
shall attend or send a qualified agent to assist the OWNER or his
representative in taking such measurements and calculations and
to furnish all particulars as may be required by him. Where the
erection of equipment, vessels and structural steel is involved, the
basis of such measurements and progress evaluation shall be
weights specified in the shipping documents or invoices or
drawings as decided by the OWNER. Should the CONTRACTOR not
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attend, neglect, or omit to send such agents, then, the


measurement taken by the OWNER or approved by him shall be
taken to be the correct measurements of the work. The
CONTRACTOR or his agent may, at the time of measurement, take
such notes of measurements as he may require. When
measurements are affected by conditions already established, the
CONTRACTOR shall take field measurements notwithstanding scale
or dimensions shown on the drawings.
37.2 The measurements so taken and certified correct by the OWNER
shall be the basis for the progress payment to the CONTRACTOR.
Where the breakup of 'Contract on unit basis price' is difficult to
arrive at, the OWNER and the CONTRACTOR shall workout at the
commencement of the 'Contract', the weightages or the cost
breakups to arrive at a mutually agreeable basis for computation
of the progress estimates.
37.3 To the value so arrived at on the basis of the Contractor’s monthly
progress evaluated, shall be added the amounts earned by the
CONTRACTOR under supplemental contracts and orders, if any, till
date of progress estimate. From the total thus computed, all
previous payments plus any amounts due to the OWNER in
accordance with the terms of this contract shall be deducted. The
remainder shall be paid by the OWNER to the CONTRACTOR under
interim Certificates from the ENGINEER.
37.4 Incase of work is nearly suspended, or incase only unimportant
progress is being made, or in case it I apparent that the
CONTRACTOR is about to forfeit his 'Contract' or that the money
yet due to him shall not complete his 'Contract', the OWNER may
at his discretion withhold any payment which may be due to the
CONTRACTOR.
37.5 The OWNER may with hold part or whole of any payment for
erection claimed by the CONTRACTOR, which in opinion of the
OWNER, is necessary to protect himself from loss on account of:

a) Defective work not remedied or guarantees not met


b) Claims filed against the CONTRACTOR
c) Failure by the CONTRACTOR to make due payment for
materials supplied or labor employed by him.
d) Damage to other Contractor's, Owner’s or OTHERS’ property.
e) Failure to meet the mutually agreed schedules.
37.6 When the grounds for withholding payments are removed, the
OWNER without delay shall make payments of the amount due to
the CONTRACTOR.
37.7 The CONTRACTOR shall not demand nor be entitled to receive
payment for the work or portion thereof, except in the manner set
forth in this 'Contract' and only after the OWNER shall have given a
certificate for such payment.
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38.0 ADHERENCE TO MANUFACTURER'S INSTRUCTION:


38.1 Adherence to instructions of the Manufacturer’s supervisory
engineers, where provided is compulsory. The CONTRACTOR shall
work under the guidance of the Manufacturer’s supervisors to
ensure that erection procedures adopted by the CONTRACTOR as
well as completed erection of equipment is such as not to interfere
with or prevent equipment from functioning as intended, as
well as to the entire satisfaction of the Manufacturer’s
supervisor/OWNER. The CONTRACT shall also permit and provide
all facilities for the Manufacturer’s erection supervisors to carryout
all checks that they may wish to, and approve any erection
procedure and/or final setting and alignment of components, in
order to satisfy themselves that erection has been carried out as
intended by them. This shall, however, in no way relieve the
CONTRACTOR of his responsibility for providing adequate and
competent supervision and quality workmanship. In case of any
dispute, the decision of the ENGINEER shall be final.
38.2 MANUFACTURER'S DRAWINGS & INSTRUCTION MANUALS:
Manufacturer's drawings, instructions and recommendations shall
be correctly followed in handling, setting, testing and
commissioning of equipment and extreme care shall be exercised
in handling equipment to avoid distortion to stationary structures,
the marring of surface finish, damage to delicate instruments and
electrical parts.
39.0 MODIFICATIONS:
The CONTRACTOR shall carry out all modifications at 'Site' as
directed by the OWNER to complete the work covered in this
'Contract'. It is the responsibility of the CONTRACTOR to get the
prior approval for such modifications from the OWNER before such
works are taken up. The CONTRACTOR shall also get the estimates
and actual time sheets certified. Time sheets will be the basis for
processing his bills for such modification works, which are required
to be carried out for no fault of the CONTRACTOR.
40.0 DEFECTIVE WORK:
40.1 If the work or any portion thereof shall be damaged in any way
excepting by the acts of the OWNER, or if defects not readily
detected by prior inspection shall develop before the final
completion and acceptance of the whole work, the CONTRACTOR
shall forthwith make good, without compensation, such damage or
defects in a manner satisfactory to the OWNER. In no case shall
defective or imperfect work be retained.
40.2 If the contractor fails to remove or repair any defect within a
reasonable time, the purchaser shall do so by themselves or by
any other agencies at the contractor's cost and risk and cost of
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such repairs/removals will be adjusted against the amount due to


the contractor.
41.0 WORK OF OTHERS:
If any part of the Contractor’s work depends, for proper execution,
upon the work of any other Contractor, the contractor shall inspect
and promptly report in writing to the OWNER any defect in such
work or other contractors that render it unsuitable for proper
execution of the work under this 'Contract'. His failure to so inspect
and report shall constitute an acceptance of the other Contractor's
work as fit and proper for the reception of his work, except as to
defects which may develop in the work of other Contractors after
the proper execution of the work. To ensure proper execution of his
subsequent work, the CONTRACTOR shall inspect work already, in
place and shall at once report to the OWNER/ ENGINEER any
discrepancy between the executed work and the drawings.
42.0 HANDING OVER TO OWNER:
In the event of the CONTRACTOR being prevented by causes not
attributable to him from proceeding with erection or from
completing erection before he withdraws from the "Site", he shall
hand over to the OWNER for safe keeping during his absence such
contract material that he is unable to erect, and the OWNER will
furnish a receipt for material so handed over.
43.0 FACILITIES TO WORKERS:
Minimum facilities for workers as per Factory Act shall be
provided for by the VENDOR/CONTRACTOR. If the VENDOR
/CONTRACTOR fail to do so, the same shall be provided by the
PURCHASER and deducted the same from the VENDOR
/CONTRACTORS bills.
44.0 CODE REQUIREMENTS:
The erection requirements and procedures to be followed during
the installation of the equipment shall be in accordance with the
relevant Indian Boiler Regulations. ASME codes and accepted good
engineering practice, the Engineer's Drawings and other applicable
Indian recognized codes and the laws and regulations of the
Government of India.
45.0 COORDINATION WITH STATUTORY BODIES & OUTSIDE AGENCIES:
The contractor is fully responsible for carrying out all
coordination& liaison work to be required with Electrical inspectors,
Factory inspector & other statutory bodies for implementation of
the work. The application on behalf of the purchaser for submission
to the electrical inspector & other statutory bodies along with
copies of drawings complete in all respects shall be done by the
contractor & approval/ certificates taken well ahead of time so that
the actual commissioning of equipment is not delayed for want of
inspection and approval by the inspector & statutory bodies. The
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actual inspection work by the electrical inspector shall be arranged


by the contractor. However, any fees paid to electrical
inspector/statutory bodies, etc. in this regard shall be borne by the
purchaser. Any modification on the installation suggested by the
electrical inspector or any other statutory authority shall also be
carried out by the contractor at no extra cost by the purchaser.
46.0 SCHEDULE OF QUANTITIES - VARIATION:
The quantities of the various kinds of work to be done and
materials will be furnished at the time of award of contract which
have been estimated and set forth in the proposal or the
Agreement or the lists of contract prices, are the best available,
but may not be accurate in any or all particulars and are only for
the purpose of comparing, on a uniform basis, the bids offered for
the work under the contract. The bidder agrees that neither owner
nor any of the employee or agents thereof shall be held
responsible if any of the estimated quantities should be found to
be not even approximately correct in the construction of the work
and that he shall not, at any time, dispute or complain of such
statement nor assert that there was any misunderstanding in
regard to the character, sizes and type of work to be done or the
kind or amount of the materials to be furnished. Further, contractor
shall make no claim for anticipated profits, for loss of profit or for
penalty because no work is ordered under certain items or because
of a difference between the quantities of the various kind of work
to be done or materials actually delivered and the estimated
quantities set forth by owner.
46.1 "The supplies/works may be on lump sum basis or unit rate basis
as specified in respective specifications of the Bidding Documents".
In the case of lump sum works, all efforts have been made to
indicate the quantum of work in the Bidding documents. The
contractor shall quote a lump sum price as well as unit rates, which
will be used in the case of extra works may be executed beyond
the scope of services specified and also for upward/downward
revision of contracted price in case of variations.
47.0 BID PRICES:
47.1 Bid shall be submitted strictly as per the format outlined in the
schedules, to enable purchaser/engineer to evaluate the bids
expeditiously.
47.2 The quantities stated in price schedule are approximate only and
unit price shall apply to actual quantities measured on the
completed work in accordance with specification and drawings.
47.3 Contract price shall include all traveling expenses to and from the
site, allowances, living expenses, wages, salaries, overtime,
benefits and all compensations for his skilled and unskilled
workmen, supervisors, engineers, clerical staff, watch and ward
staff, storekeepers, etc., insurance carried by contractor for his

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workers, workmen's compensation, third party liability and any


other insurance required by the specification, cost of all licenses
and permits, loading, transport and unloading of all material, tools
and tackles, instruments and construction aids to and from the
site, as per the specification, cost of providing office, tools room,
quarters, canteen, workshops and all facilities at site as may be
required, under the contract, performance of all services as
required under the contract and satisfactorily executing the
complete work under the contract. If any fees are to be paid to the
statutory authorities for testing, inspection or calibration, these
shall be paid by contractor and included in his cost.
48.0 GUARANTEE: (GCE)
Twelve calendar months from the date of commissioning of the
Substation, unless otherwise agreed in writing by owner, will be
deemed to be the 'Defect Liability Period'. The works shall not
be considered as completed until owner has certified in writing that
they have been virtually completed and the defect liability period
shall commence from the date of such certificate. In case any
defects in the work, due to bad materials, and/or bad
workmanship, develop in the work before the expiry of the period,
contractor, on notification by owner shall rectify or remedy the
defects at his own cost and he shall make his own arrangements to
provide materials, labour, equipment and any other appliances
required in this regard. The performance security will be returned
to contractor only after the expiry of this defect liability period. In
case even on due notification by owner, contractor fails to rectify
or remedy the defects, owner shall have the right to get this done
by the other agents and recover the cost incurred by deductions
from the retention amount due to contractor, in case this cost is
within the value of the performance security, and if not, contractor
shall be liable to pay to owner the balance amount.
49.0 TIME FOR COMPLETION AND EXTENSION OF TIME:
49.1 Contractor shall be allowed admittance to the site on the
'date of commencement' and he shall there on and forthwith begin
the works and shall regularly proceed with and complete the same
on or before the 'date of completion'.
49.2 Contractor agrees that the work shall be commenced and carried
on at such points, and in the order of precedence and at such
times and seasons as may be directed by owner in accordance
with the schedule for the completion of work as outlined in the
contract. Contractor declares that he has familiarized himself with
the site and right of way, with all the local conditions, and with all
the circumstances which may or are likely to affect the
performance and completion of the work, and that he has allowed
for such conditions in the preparation of this schedule. The
progress of works shall be checked at regular monthly intervals
and the percentage progress achieved shall be commensurate with
time elapsed after the award of contract.
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49.3 However, it is not upon owner to notify contractor when to begin,


to cease or resume work, nor to give early notice of the rejection of
faulty work, nor in any way to superintend so as to relieve
contractor of responsibility or of any consequence of neglect or
carelessness by him or his subordinates.
49.4 No necessity for an extension of time is anticipated, but if
untoward or extraordinary circumstances should arise beyond the
control of contractor, which in the opinion of owner should entitle
contractor to a reasonable extension of time, such extension may
be granted but shall not operate to relieve contractor of any of his
obligations.
49.5 Contractor shall promptly notify owner any event or conditions,
which might delay the completion of erection work in accordance
with the approved schedule and the steps being taken to remedy
such situation.
49.6 If contract is delayed at any time in the commencement or during
the progress of the work by any act, delay or neglect of owner or
his employees, or by any other contractor utilised by owner or by
changes ordered in the work by owner, or by force Majeure, or by
the reason of proceeding taken or threatened by or disputes with
public authorities the time of completion shall be extended by a
reasonable period as maybe mutually agreed, upon application
from contractor at the time of such special circumstances
occurring and not towards the end of the contract period.
49.7 Force Majeure is herein defined as(1)any cause which is beyond
the control of contractor or owner, as the case may be (2) natural
phenomenon including but not limited to weather conditions,
floods, drought, earthquakes and epidemics (3) acts of any
governmental authority, domestic or foreign, including but not
limited to war, declared or undeclared, priorities, quarantine,
embargoes, licensing control or production or distribution
restrictions(4)accidents and disruptions including but not limited to
fires explosions, breakdowns of essential machinery or equipment
and power shortages, (5) transportation delay due to force Majeure
or accidents,(6)strikes, slowdown, lockouts and sabotage, (7) riots
and civil commotions,(8) failure or delay in contractor's source of
supply due to force Majeure causes enumerated at 1 to 7.
50.0 DISCONTINUANCE OF WORK:
Owner shall have the right to require the discontinuance of the
work, in whole or in part, for such time as may be necessary,
should the condition of the weather or flood or other contingencies
make it desirable to do so, in order that the works shall be well and
properly executed. Extension of time shall be granted to contractor
for discontinuance of work so required, and contractor shall not
claim for compensation or damage in relation thereto.
51.0 PENALTY:
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The time stipulated in the contract for the execution and


completion of the works shall be deemed to be the essence of the
contract. In the event contractor fails to execute, complete and
deliver the works within the time specified in the contract, then
contractor shall pay to owner as and by way of liquidated penalty
an amount equal to ½ % of the not delivered works / incidental
services not performed within the prescribed time limit for every
week of delay or part thereof, subject to a maximum of 5 (Five) % of
the total value of the contract. Owner may, without prejudice to
any method of recover, deduct the amount for such penalty from
any amount due or which may become due to contractor. In the
event of extension of time being granted by owner in writing for
completion of the work, stated in Clause 49.0, this clause will be
applicable after the expiry of such extension period.
52.0 BIDDERS INFORMED AS TO THE CONDITIONS:
i. Bidder shall inspect, examine and obtain all information and
satisfy himself regarding all matters and things such as nature
and character of work, site conditions and other relevant matters
such as right of way, surface and subsurface water conditions to
be encountered, the character of equipment and facilities needed
for the execution of the work, the availability, location and
suitability of all construction materials, the quantities of various
sections of the work, and the local conditions, relating to the
execution and maintenance of the works to be carried out under
the contract or any hindrance to or interference with construction
and main-tenance of the works from any cause whatsoever
including any other operation of works, which may or shall be
carried out on or adjacent to the site of these works, under the
contract and shall make allowance for all such contingencies in
the contract price and shall not raise any claims or objections
against owner in any of such matters as mentioned above.
ii. The acceptance of the order or execution of the contract shall be
construed as evidence that such as examination was made and
later claims for labour, equipment or materials required for
difficulties encountered shall not be allowed.
iii. Any record of subsurface condition, water records and other
observations which may have been made by owner have been
made with reasonable care and accuracy. Such records may be
made available to the bidder for his information, if available, but
there is no expressed or implied guarantee, as to the accuracy of
the records or any interpretation of the same.
iv. Bidder shall recognize this and from own opinion of the character
of materials to be excavated from an inspection of the ground
and put his own interpretation on records.

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v. The prices quoted by Bidder shall be based on his own knowledge


and judgment of the conditions and hazards involved and not
upon any representation of owner.
5.0 TERMS OF PAYMENT:
The following terms of payment are only acceptable. Tenders
received stipulating terms other than the following terms will be
invalidated.
53.1 Payment terms for erection :
a) Ninety percent (90%) payments of the periodical progressive
bills for the erection works will be made for the items of work done. For
this purpose the contractor shall submit bills to the concerned Executive
Engineer regularly to ensure payments in time. The contractor shall give
the full details of items of works done against each location in support of
the bill along with the summary sheet of payment particulars with the
details of item wise quantity of work completed until the present claim,
quantity of work completed against this claim and balance work to be
carried out and corresponding amounts of payments. Bills submitted
without supporting details will not be taken in to cognizance. Payment is
subject to submission of performance security as per clause 15.0 of GCC
by the supplier/contractor.
b) Out of the balance 10% amounts, 5% payments will be released
after completion of all the works & submission of Material
Accounts subject to submission of the following certified by the
field engineer of OWNER.
i. As built drawings.
ii. Instruction, O & M manuals and installation manuals as
applicable.
iii. Reconciliation of bill of material and order as executed.
iv. Distribution copies of all drawings.
v. Tools and plants.
vi. Equipment drawings, shop floor drawings and design
calculation as applicable.
c) The balance (final) 5% will be paid after completion of one year
performance guarantee period reckoned from the date of
completion of all the works as per contract or after all the
balance materials left over after completion of works are
handed over to OWNER whichever is later. The date of
commissioning/ energizing the equipment will not be
considered for reckoning the performance guarantee period
and the date of completion of all the works will only be
considered as start date of Guarantee period.
In case however, the balance materials are returned to
OWNER well before within 2 months of commissioning of the

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sub-station, the 5% amount will be released against a bank


guarantee for equal amount, which shall be valid for the
performance guarantee period and also provide two months
claim period along with “Performance Security Bank
Guarantee”. "All banking charges should be to the account of
the contractor".
d) Contractor shall not be entitled to the said retention amount,
until he shall deliver to the Purchaser, a complete release of all
works & materials arising out of this contract or receipts in full
in lieu thereof, and in either case an affidavit that so far as he
has knowledge or information, licenses and other commitments
for which any part of work could be failed. If any unsatisfied
work remains after all the payments are made to the contractor,
he shall refund o the Purchaser, all moneys that the latter may
be compelled to pay in discharging such including all costs and
the attorney’s fees so incurred.
e) The contractor will have to predefine the Bank details while
entering into contract. The Bank details of bidder as above are
final and shall not be revoked under any circumstances. The bank
charges will be made to the account of contractor. An amount of
Rs. 50/- (Rupees Fifty only) will be recovered from the bill amount
per each disbursement raised by the unit officer of OWNER.

OR
Payment for the erection bills will be made by cheque of any
scheduled bank at the head quarters of Paying Officer.
54.0 FINAL PAYMENT:
54.1 Whenever, in the opinion of owner, the work covered by the
contract has been completed, he shall prepare a final abstract
showing the total amount of work done by contractor and its value
under and according to the terms of the contract. From the total
value thus arrived at shall be deducted all previous payments and
all deductions made in accordance with the provisions of the
contract. The remainder shall be paid by owner to contractor within
three months after the date of owner's final certificates.
54.2 Payment of the retention amount shall be due after the Defects
Liability period of 12 calendar months, as per conditions stipulated
in Clause 48 and clause 54.1 b & c of this section.
55.0 TERMINATION OF CONTRACT BY OWNER:
55.1 If contractor (being an individual or a firm) commits any 'Act of
Insolvency', or shall be adjudged an Insolvent, or shall make an
assignment or composition for the greater part in number of
amount of his creditors, or shall enter into a deed of Assignment
with his creditors, or being an Incorporated Company shall have an
order made against him or pass an effective Resolution for winding
up either compulsorily or subject to the supervision of the Court or
voluntarily, or of the official Assignee of Contractor shall repudiate

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the contract, or if the Official Assignee or the Liquidator in any


such winding up shall be unable, within seven days after notice to
his requiring him to do so, to show, to the reasonable satisfaction
of owner, that he is able to carry out and fulfill the contract and if
required by owner to give security thereof or if contractor (whether
an Individual, Firm or Incorporated Company) shall suffer execution
to be issued, or if contractor shall suffer any payment under the
contract to be attached to by or on behalf of any of creditors of
contractor or if contractor shall assign or sublet the contract
without obtaining the consent in writing of owner, or if contractor
shall charge or encumber this contract for any payments due or
which may become due to contractor there under, or if consultant
shall certify in writing to the owner that in his opinion contractor
has abandoned the contract, OR
55.1.1 Has failed to commence the work, or has without any lawful
excuse under these conditions, suspended the progress of the
works for seven days after receiving from owner written notice to
proceed, OR
55.1.2 Has failed to proceed with the work with such due diligence
and failed to make such due progress as would enable the works to
be completed within the time agreed upon, OR
55.1.3 Has failed to remove materials from the site or to pull down
and replace works within seven days after receiving from owner
written notice that the said materials or work were condemned and
rejected by consultant under these conditions, OR
55.1.4 Has neglected or failed persistently to observe and perform
all or any of the acts, matters or things by this contract to be
observed and performed by contractor for seven days after written
notice shall have been given to contractor requiring contractor to
observe or perform the same, OR
55.1.5 Has, to detriment of good workmanship or in defiance of
owner instructions to be contrary, subcontracted part of the
contract. Then and in any of the said causes, owner may,
notwithstanding any previous waiver, after giving seven days
notice in writing to contract determine contractor, but without
thereby affecting the obligation and liabilities of contractor, the
whole of which shall continue to be in force as fully as if the
contract had not been so determined and as if the works
subsequently executed, has been executed by or on behalf of
contractor. Any further, owner by his agents or servants may enter
upon and take possession of the works and all plant, tools,
scaffolding, sheds, machinery steam and other power, utensils and
materials, lying upon premises or adjoining lands or roads and use
the same as his own property or may employ the same by means
of his own servants and worsen in carrying on and completing the

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work or by employing any other contractors or other person or


persons to complete the works, and contractor shall not in anyway
interrupt or do anything to prevent or hinder such other contractor
or other person or persons employed for completing and finishing
or using the materials and plant for the works.
When the work shall be completed, or as soon thereafter as
convenient, owner shall give in writing to contractor to remove his
surplus materials and plant and should contractor fail to do so
within a period of 14days after issue of such notice, owner shall
dispose them by suitable means and shall give credit to contractor
for the amount realized. Owner shall, thereafter, ascertain and
certify in writing under his hand what (if anything) shall be due or
payable to or by contractor, after considering the realized value of
the said plant and materials so taken possession of by owner, the
expenses or loss which owner might have incurred in getting the
works so completed and the progress or any other payments which
may be due but not paid to contractor. The amount so certified
shall be paid by owner to contractor or by contractor to owner as
the case may be and the certificate of consultant shall be final and
conclusive.
56.0 INDEMNITY BOND:
All materials/equipment supplied by the contractor shall be handed
over to the owner on delivery note. All such material/equipment
shall be provided to the contractor for erection purpose after
executing an indemnity bond as per proforma in Conditions of
Contract, Volume-I in favour of the owner against loss, damage and
any risks involved, for the full value of the materials. This
indemnity bond shall be valid till the scheduled date of testing,
commissioning and handing over of the equipment to the engineer.
57.0 MATERIALS:
The materials if any required to be supplied by the Owner shall be
taken delivery by the contractor at any of the designated OWNER’s
stores/ site. The contractor shall submit particulars of additional
materials required if any for the completion of the work over and
above the materials already received at site stores within a
reasonable period. The loading and unloading, proper packing
suitable to transport, insurance and proper storage of those
materials shall be at the cost of the contractor. The contractor shall
be responsible for the proper handling and storage of these
materials from the time of their receipt up to the time of taking
over of the completed equipment by the Engineer. Yards and
stores provided by the contractor for stacking and storage of
materials shall be open for inspection by the owner as and when
required.

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58.0 SURPLUS MATERIALS:


On completion of the works, all surplus materials leftover after
erection shall be returned to the Engineer by and at the expense of
the contractor in the owner's designated store(s) itself. The
contractor within two (2) months from the date of completion of
the work shall return and account for the surplus materials, failing
which necessary recoveries will be made from the outstanding bills
of the contractor for the cost of materials left unaccounted as
decided by the Engineer.

ANNEXURE – 4

PROCESS FLOW CHART

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