Quality Requirement

Part C
Appendix G1

Doosan Quality Requirement

OBRA “C” 2 x 660 MW THERMAL POWER

EXTENSION PROJECT

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 Quality Requirement

CONTENTS

1 Quality requirement.......................................................................................................... 3
1.1 Quality Assurance Plan............................................................................................... 3
1.2 Quality Assurance Procedure Manual.........................................................................3
1.3 Site Detailed Inspection and Test Plan........................................................................3
1.4 Test Reports................................................................................................................ 3
1.5 Required Documents for the Handover Package........................................................4

2 SUBMISSION SCHEDULE OF DOCUMENTS..................................................................4

3 NON-CONFORMANCE/CORRECTIVE ACTION..............................................................5

4 QUALITY RECORDS......................................................................................................... 5

5 OUTSTANDING ITEMS CLEAR........................................................................................ 5

5.1 Outstanding Items Issue and Clear.............................................................................5
5.2 Cost and Penalty........................................................................................................ 5
5.3 Outstanding Items from the Contractor.......................................................................6
5.4 Extension of the Subcontract......................................................................................6

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1 Quality requirement

1.1 Quality Assurance Plan

a) The Subcontractor shall develop and implement a Quality Assurance Program to ISO 9001 in
relation to the Work within the Subcontractor’s scope of work. Such program shall be described
in the Quality Assurance Plan developed by the Subcontractor.

b) The Quality Assurance Plan shall be prepared by the Subcontractor and submitted to the
Contractor within one (1) month after the Effective Date of the Subcontract.

c) The Quality Assurance Plan is a Subcontract document covering the scope of the works which
shall clearly embrace the materials, equipment and works to be provided under the project by
Subcontractor, and shall contain but not be limited to the following:

(a) Description of the scope of the work

(b) Design control plan
(c) Quality principles
(d) Project execution organization
(e) Outline of each applicable quality element with cross referencing of relevant documented
procedures and instructions

1.2 Quality Assurance Procedure Manual

The Quality Assurance Procedure Manual shall be submitted to the Contractor for information
within one (1) month after the Effective Date of the Subcontract. This manual should describe in
detail the implementation of the Quality Assurance Plan for the Subcontractor’s scope.

(a) Quality Policy

(b) Quality Management System
(c) Management Responsibility

1.3 Site Detailed Inspection and Test Plan

a) The Subcontractor shall submit to the Contractor Site Detailed Inspection and Test Plans for
each system or equipment or any others as required by the Contractor.

b) Each Site Detailed Inspection and Test Plan shall provide details of the inspection and test to
be performed, procedures and standards to be followed, test equipment and materials to be
used, performance measures and acceptance criteria, etc. These Site Detailed Inspection and
Test Plans should be submitted within two (2) months after the Effective Date of the
Subcontract.

c) The Subcontractor shall confirm the location and programmed for each inspection and test at
least forty eight (48) hours in advance of the inspection and test. The Contractor shall inform
the Subcontractor in due time of his decision to attend any of the inspection and test. When the
inspection and test are witnessed by the Contractor or his nominee, the relevant inspection and
test reports shall be countersigned by the Contractor and the Owner or his nominee.

1.4 Test Reports

a) The Subcontractor shall make and submit certified copies to the Contractor. Log sheets and
any other documents necessary for the Work related tests shall be provided by the
Subcontractor before the testing.

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b) A signed legible photocopy of all readings logged during tests, with all corrections, shall be
handed to the Contractor immediately upon completion of each test.

c) If the tests fails to meet the requirement of the Subcontract, the Subcontractor shall remedy the
defects and carry out further series of test at his own expenses.

d) The test reports shall include, but not be limited to the following:
(a) Summary
(b) Test Date and Schedule
(c) Outline of Test Procedure and Process
(d) Test Results
(e) Calculation sheets
(f) Reading Data and Records
(g) Calibration Data
(h) Correction curves as submitted with the offer

1.5 Required Documents for the Handover Package

a) When the Subcontractor completes the Work, the Subcontractor shall submit the required
documents for the handover package to the Contractor.

b) The required documents for the handover package shall include, but not limited to the following:

(a) Drawing including mark-up drawing of P&ID, Single line drawings and Other drawings
(b) Facility and system specific start-up Procedure, if required on the Subcontract
(c) A list containing all outstanding items
(d) Lists and result of all safety checks and safety system
(e) Lists and result of all cable connection schedule, merger and termination checks
(f) List and result of fuse checks, Breaker checks and contractor checks, including setting to
verify that the electrical system
(g) List of and verification of all settings, including control settings
(h) List and the verification that the controls and control logic
(i) Lists and results of all instrumentation and control equipment calibration and loop checks
(j) List and result of all piping, vessel and other equipment checks including cleaning, flushing,
hydrostatic, cold hanger setting etc.
(k) List and results of all equipment leak checks
(l) List and results all alignment checks
(m) List and results of all rotation checks
(n) List and results of any field balancing
(o) Equipment guarding verification
(p) Lists and results of any coating for internal or external protection of equipment
(q) Lists and results of any cathodic protection checks
(r) Lubrication lists for each piece of equipment
(s) Documentation for preventative maintenance
(t) Any other documentation to ensure such the Plant is complete properly

2 SUBMISSION SCHEDULE OF DOCUMENTS

Submission
S/N Description Required Due Date
for
within 1 month from
1 Quality Assurance Plan 1P/1E I
ED
within 1 months from
2 Quality Assurance Procedure Manual 1P/1E I
ED

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Submission
S/N Description Required Due Date
for
within 2 months from
3 Site Detailed Inspection and Test Plan 2P/2E A
ED
Site Detailed Inspection and Test within 2 months from
4 2P/2E A
Procedures ED
5 Inspection and Test Reports 1P/1E after test A
Required document for the Handover
6 1P/1E as required A
Package
Any other documents required by the As
7 as required A or I
Contractor required
- P : Prints/Hard Copy, E : Electronic Copy
- ED : Effective Date of the Subcontract
- I : for Information/Reference, A : for Acceptance/Review/Comment, R : for Record

3 NON-CONFORMANCE/CORRECTIVE ACTION

a) The Subcontractor shall be advised by the Contractor of any non-conformances identified by

the issue of a Non-conformance Report and/or any other formal method agreed to by both the
Contractor and the Subcontractor. The Subcontractor shall give a written response to the
Contractor about non-conformance.

b) The Subcontractor shall maintain formal records of all non-conformances and their disposition
and/or corrective action taken as well.

4 QUALITY RECORDS

a) The Subcontractor shall maintain a system of records, which provide objective evidence that
the requirements of the Subcontract have been met. The Subcontractor shall ensure that the
Subcontractor's records pertinent to the Subcontract.

b) All applicable records shall be available for audit and reviewed by the Contractor during the
duration of the Subcontract and for seven (7) years after take-over by the Contractor.

5 OUTSTANDING ITEMS CLEAR

5.1 Outstanding Items Issue and Clear

The list of Outstanding Items will be issued by the Contractor and/or the Owner. The
Subcontractor shall clear Outstanding Items with approval from the Contractor and/or the
Owner not interfering with the Owner’s commercial operation of the Plant.

5.2 Cost and Penalty

a) The Subcontractor shall clear all Outstanding Items within the date as specified by Contractor,
but within maximum period of one (1) months from the Substantial Completion Date (SCD)
without causing any additional costs to the Contractor.

b) At the Subcontractor’s option, either (i) the Subcontractor shall provide the Contractor an bank
guarantee, Outstanding Items Bond which is no less than one hundred and fifty ( 150) percent
of the agreed cost of Outstanding Items and reasonably accepted by the Contractor, or; (ii) the
Contractor shall make retention from the Subcontract price which is equal to one hundred and

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fifty (150) percent of the agreed cost of Outstanding Items until Clearance of Outstanding
Items.

c) The cost for clearing Outstanding Items will be deducted from the payment due to the
Subcontractor when the Subcontractor make delay, abandonment or rejection to complete each
Outstanding Items within thirty (30) days from first issued date.

5.3 Outstanding Items from the Contractor

In case of Outstanding Items occurred due to the Contractor’s fault, the Contractor shall cover
costs thereof but the Subcontractor shall continue to carry out a responsibility for clearing
Outstanding Items.

5.4 Extension of the Subcontract

The Subcontract period shall be extended automatically until the Subcontractor clear all
remained Outstanding Items and will be applied liquidated damage whenever it is
Subcontractor’s default.

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