TEAM MEMBERS

• 1. Tariq Aziz
• 2. Ghulam Murtaza
• 3. Muhammad Saad Sohail
• 4. Rafay Khan
INTRODUCTION
• The International Federation of Consulting Engineers
(commonly known as FIDIC, acronym for its French name
Fédération Internationale Des Ingénieurs-Conseils) is an
international standards organization for the
consulting engineering and construction best known for the
FIDIC family of contract templates.
• Founded in 1913 by three countries, Belgium, France and
Switzerland.
• Today FIDIC has members in 104 countries
• Headquarter is in World Trade Center II, Geneva
• , Switzerland
INTRODUCTION
• FIDIC aims to represent globally the consulting engineering
field by promoting the interests of firms/engineers supplying
technology-based intellectual services for the built and natural
environment
• Companies and organizations belonging to FIDIC national
member associations are encouraged to announce themselves
as FIDIC members and use the FIDIC logo
Brief History .
• There were 59 participants at an inaugural meeting during the
World Exhibition in Ghent, Belgium, in July 1913.
• From 59 participants 19 were official delegates from Belgium,
Denmark, France, Germany, Netherlands, Switzerland and the
US, with the remainder coming from Austria/Hungary, Canada,
Russia and the UK.
• FIDIC led a difficult life until the late 1940s with a changing
number of members and all members based in Europe. In 1959
these were joined by Australia, Canada, South Africa and USA
to make FIDIC truly international
 FIDIC

• Publishes various standard contracts to be used

for:
• Construction works
• Infrastructure projects
• Consultancy services etc
 FIDIC Objects

• The objects of FIDIC are:

• Represent the consulting engineering industry globally.
• Enhance the image of consulting engineers.
• Be the authority on issues relating to business practice.
• Promote the development of a global and viable consulting
engineering industry.
• Promote quality.
• Actively promote conformance to a code of ethics and to
business integrity.
• Promote commitment to sustainable development.
 FIDIC
• For decades, FIDIC has drafted and published standard contracts
to accomplish these objectives, starting with the 1957 Conditions
of Contract for Construction (the Red Book), based on a British
standard contract.
• FIDIC’s standard contracts are drafted with input from all
relevant actors, including financing bodies (lending agencies and
funding institutions), major employer and contractor
organisations and advisors.
• Consequently, even though the FIDIC Contracts are not ‘agreed
documents’ as such, they have over the years – rightfully –
earned a reputation for reflecting best practice and procedures of
the construction industries around the world.
 FIDIC
• FIDIC’s standard contracts are based on three fundamental principles:

1 FIDIC contracts are drafted by engineers experienced in design and construction.

2 FIDIC contracts embody a balanced risk allocation between the Parties.
3 The role of the Engineer under FIDIC contracts is critical.

• FIDIC contracts are ‘contracts by engineers for engineers’ and this is apparent
in some of the drafting.
• The aim was and remains that the contracts should use straightforward language
immediately understandable to the users of various professions, thus reducing
• the need to employ contract lawyers to interpret the contracts
• To a very large extent FIDIC has
Activities
• FIDIC organises the World Consulting Engineering Conference
, seminars and training courses.
• It also runs a bookshop and publishes international contracts
and business practice documents which are used as guides and
templates the world over
• IT is best known for its range of contracts that includes the:
Short Form of Contract; Construction Contract; Plant & DB
Contract; DBO Contract and Turnkey Contract.
The FIDIC Suite of Contracts
• The FIDIC suite of construction contracts is written and published
by the International Federation of Consulting Engineers.
• The best known of the FIDIC contracts are the Red Book
(building and engineering works
• The FIDIC suite of contracts now covers a wide range of projects
and methods of procurement.
• Sub-contractors will similarly encounter FIDIC derived
conditions of contract where they are operating internationally.
• Employers may also use FIDIC conditions where the local
standard conditions of contract are not suited to the procurement
route and there is a need to avoid the risks
The FIDIC Suite of Contracts
• The FIDIC forms can therefore be applied to a wide range of
differing engineering and construction project.
• From traditional civil engineering to hi-tech windmills and
heavy duty oil and gas process plants.
• FIDIC has also standardised the terms across the full suite so
that wherever possible the same words and definitions have the
same meanings and the clauses.
• The main forms of contract are described further in some detail
below
Green Book (Short form of Contract)
•The Short Form of Contract is
recommended for engineering and
building work of relatively small capital
value.
•It is a flexible document containing all
the essential administrative and
commercial arrangements.
•The Green Book is likely to be most
suited fairly simple or repetitive work or
work of short duration without the need
for specialist sub-contracts.
Red Book ( Conditions of Contract for
Construction of Building and Engineering
Works)
• The Red Book provides conditions of
contract for construction works where the
design is carried out by the Employer.
• The Red Book is intended for use on
projects where the employer carries out
the design but it also allows for some
elements of the project to be Contractor
designed.
• Itis not suitable for use where most of the
works are to be designed by the
Contractor
Yellow Book ( Conditions of Contract for
Plant and Design build)
• The Yellow Book provides conditions of
contract for construction works where the
design is carried out by the Contractor.
• The Yellow Book is therefore applicable to
the provision of electrical and/or
mechanical plant, and for the design and
execution of building or engineering
works.
• The Yellow Book concludes with example
forms for the Letter of Tender, the Contract
Agreement, and a Dispute Adjudication
Agreement.
Orange Book ( Conditions of Contract for
Design-Build and Turnkey)
• The Orange book was published in 1995 to provide
a design and build option to the then current FIDIC
suite.
• When the Orange book was published the Red and
Yellow Books were still aimed at procurement of
civil engineering and plant installation respectively.
• The Orange Book is drafted for use where the
Contractor carries total liability for design.
• The Orange Book is intended for use on turnkey
contracts, under which the Employer's
requirements usually include provision of a fully-
equipped facility, ready for operation at the turn of
a key.
Silver Book ( Conditions of Contract for
EPC/ Turnkey Projects)
• The Silver Book is suitable for use on process,
power and private-infrastructure projects
where a Contractor is to take on full
responsibility for the design and execution of
a project.
• Risks for completion to time, cost and quality
are transferred to the Contractor and so the
Silver Book is only suitable for use with
experienced Contractors familiar with
sophisticated risk management techniques.
• Not all risk is passed to the Contractor under
the Silver Book and the Employer still retains
risks for war, terrorism and Force Majeure.
Summary
CONCLUSION
• FIDIC has updated and widened the scope of its standard
forms.
• It is believed and hoped that one or other of the suite will be
suitable for use on virtually every international engineering
construction project, from minor projects, through the whole
range of traditional civil, electrical, mechanical and other plant
contracts, to the large complex multi-disciplinary projects.
• As regards which Book to select for any particular project,
guidance is given in the Introduction to the FIDIC Contracts
Guide.