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Topics to be Covered :
• Further Discussion on Tender Document
• Tender flow chart
• Evaluation of Bids

Conditions of Contract
• Condition of Contract define the conditions
under which the Contractor executes the
Contract including the rights, responsibilities
and relationships of the parties involved.
• Standard Conditions of Contract are available
for different applications/contracts
• Federation of Consulting Engineers (FIDIC)
Conditions of Contract is commonly used

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Conditions of Contract consists of:

• General Conditions- These are core clauses that
are generally applicable to most projects.
• Particular Conditions (or Special Conditions or
Supplementary Conditions) – These are optional
clauses required for a particular project or
particular circumstances

General Conditions Of Contract(GCC)

• This section is kept unchanged for all tender
• Here general conditions are written only, not
specific conditions relating to the project.
• Some items of GCC clauses are-
▫ Key Definitions
▫ Arbitrator
▫ Provisions for JVCA
▫ Provision of price escalation
▫ Compensation Events
▫ Performance Security
▫ Required Equipment
▫ Reuired Key Personnel

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GCC Clauses ………

• Performance Bond
• Advance payment to Contractor
• Multiple currencies
• Sectional completion
• Retention
• Bonus for early completion
• Delay damages (or Liquidated damages)
• Changes in the Law

Particular Conditions Of Contract(PCC)

• It is specifically written to expand on GCC to suit
particular project/situation.
• The project specific information relevant to GCC
are given here; say the amount of compensation,
the performance security is written here.
• List and qualification of key personnel
• Any modification to relevant GCC clauses are
also specified here.

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Bill of Quantities(BOQ)

• The objects of BoQ are:

To assist accurate preparation of tenders,by
providing for measurement of quantities on a
uniform basis
To provide a basis for the financial control of a
project, in accordance with the Conditions of
Contract.

BOQ ….

• BOQ contains all items for works and supplies

for construction, testing, commissioning to be
done by the contractor.
• It is used to calculate the contract price.
• The contractor is paid for each item of work
done at a rate as quoted in the BOQ

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BoQ ……….

• A BoQ is divided into individual work items,

each of which is given a quantity calculated by
the Design Team.
• The tenderers are instructed to quote a unit rate
for each work item and multiply it by the
estimated quantity.
• When a work item is completed, actual
quantities are measured and the Contractor is
paid according to the quoted unit rate.

General Specifications
General specifications contain :
• General items of site facilities
• Safety and security measures
• Environmental protection and disposal of wastes
• Preparing the site for work etc.

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Particular Specification
• It contains particular specification related to
work.
• Example :
▫ Specification material
▫ Specification of workmanship
▫ Specification of supplies
▫ Specification for testing and quality control

Each item should also contain

▫ Basis of measurement and payment

Flow Chart of Tendering Process

Tender
Pre Tender Opening
Meeting
Tender
Interested Evaluation by
bidder buy Tender Tender
Tender Notice
tender Submission Evaluating
documents Committee

Outcome of Tender
Evaluation

Substantially Non-
Responsive Rejected
Responsive Response
Tenderer Tenderer
Tenderer Tenderer

(Cont. to next page)

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Flow Chart of Tendering Process

(cont. from prev. page)

Lowest
Bidder/Tenderer

Invited to Contract

Contract
Sign

Contractor

Criteria for Tender Evaluation

Preliminary Security

• Tender and goods are eligible

• Minimum general experience
• Minimum similar contract type experience
• Minimum liquid asset
• VAT & IT related certificate
• Valid trade license

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Criteria for Tender Evaluation

Preliminary Security

• All pages duly signed

• Price schedule
• Tender validity period
• Completed tender submission sheet
• Tender security
• Any additional condition imposed by the
Tenderer.

Criteria for Tender Evaluation

Detailed Examinations
• Check for qualification and experience of key
personnel.
• Check for adequacy of plants and equipments
• Check for general experience
• Check for similar contract type experience
• Check for bank certificate for liquid asset
• Check for annual average turnover from audit report
• Check for arithmetic correction of prices quoted
• Check for credit facility available

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Role of TEC

• Examine and evaluate the tenders received as per PPR

2008
• Check that all required documents are submitted
• Check that each tender meets the requirements of
qualification criteria
• Check that each tender meets the specification
• Check arithmetic accuracy of BoQ
• Ask for clarification, if needed
• Prepare a list of Responsive, Non-Responsive and
Rejected Tenders
• Recommend for award or retender as the case may be.