Administration of a FIDIC Contract - Project Control Tools -

1. Administration of aFIDIC Contract- Project Control Tools -

2. Project Control Tools- Main Instruments - • Notices • Instructions • Reports • Records • Certificates

3. Notices Clause 1.3 - Communications • This Sub-Clause applies to all communications including notices, which must be: • In writing, and delivered by hand (against receipt), sent by mail or courier, or agreed electronic transmission • Delivered, sent or transmitted, to address for recipient’s communication, as stated in the Appendix to Tender or otherwise advised by notice • Approvals, certificates, consents, and determinations, shall not be unreasonably withheld or delayed • When a notice is issued to a Party, or the Engineer, a copy shall be sent to the Engineer or the other Party, as the case may be

4. Instructions Clause 1.9 - Delayed Drawings and Instructions • The Contractor shall give notice to the Engineer whenever the works are likely to be delayed, or disputed if any necessary drawing or instruction is not issued • Time for issuance to be reasonable • Notice must provide details, and likely amount of delay • If Engineer fails to comply, then the Contractor, subject to Sub-Clause 20.1, may be entitled to time and costs • Should Contractor have caused Engineer’s failure, due to error or delay in provision of Contractor’s Documents, then entitlement amended to take account

5. Instructions Clause 3.3 - Instructions of the Engineer • The Engineer may issue instructions • The Contractor shall only take instructions from the Engineer, or from an assistant with appropriate authority • Instructions to be in writing, but if given orally, to be confirmed in writing within 2 days (Contractor advised to have “Confirmation of Instructions” forms to respond to oral instructions) • Confirmation applied to Red Book only

6. Reports Clause 4.21 – Progress Reports • Unless otherwise stated in the Particular Conditions, monthly Progress Reports shall be prepared by the Contractor and submitted to the Engineer in six copies • The first Report shall cover the period to the end of the first calendar month following the Commencement Date • Reports must be submitted within 7 days after the last day of the period to which it relates

7. Reports - Content • Charts and detailed description of progress, including each stage of design (if required by the Contractor), Contractor’s Documents, procurement, manufacture, delivery to site, construction, erection and testing • This also applies for works undertaken by each nominated sub-contractor (if any) • Comparisons of actual progress, with details of any events or circumstances that may jeopardise the completion in accordance with the contract, and the measures being (or to be) adopted to overcome delays • Photographs showing the status of manufacture and of progress on the Site

8. Reports - Content • For the manufacture of each main item of Plant and Materials: the name of the manufacturer, manufacturing location, percentage progress and actual or expected dates of: i) Commencement of manufacture ii) Contractor’s inspection iii) Tests, and iv) Shipment and arrival at the Site • The Engineer and Contractor should determine, after the Commencement Date, which items of Plant and Materials are regarded as “main”, to avoid misunderstanding

9. Reports - Content • Details of Contractor’s Personnel and Equipment as set out in Sub-Clause 6.10, which requires details showing: i) the number of each class of Contractor’s Personnel ii) the number of each type of Contractor’s Equipment • These Records are to be maintained until the Contractor has completed all work that is known to be outstanding at the Completion Date, stated in the Taking-Over Certificate for the Works – Clause 10 • Copies of Quality Assurance Documents, test results, and certificates of materials • Note that Sub-Clause 4.9 relates to Quality Assurance Systems, which will be Contractor’s, unless specific requirements are stated in the Particular Conditions

10. Reports - Content • Safety statistics, including details of any hazardous incidents and activities relating to environmental aspects and public relations • List of notices given under Sub-Clause 2.5 which is Employer’s Claims • This Sub-Clause requires the Employer to provide a notice “as soon as practicable” of any event or circumstance, giving rise to a claim against the Contractor • List of notices given under Sub-Clause 20.1 - Contractor’s Claims, which requires the Contractor to give notice also “as soon as practicable” but within a time limit of “28 days after the Contractor became aware, or should have became aware, of the event or circumstance” giving rise of any claim for time money in connection with the Contract

11. Records • Sub-Clause 6.7 – The Contractor shall maintain Records and make Reports concerning health, safety, and welfare of persons, and damage to property as the Engineer may reasonably require • Sub-Clause 6.10 – Records of Contractor’s Personnel and Equipment (covered also under Progress Report) • Sub-Clause 12.1 – Works to be Measured • Wherever any Permanent Works are to be measured from records, these shall be prepared by the Engineer • The Contractor to examine and agree records but Sub-Clause gives procedure in case of disagreement

12. Records Clause 20.1 – Contractor’s Claims • Should the Contractor give notice of any claim then it should be given under this clause, which sets out a procedure for keeping “contemporary records” • These are produced by the Contractor to substantiate the claim • The Engineer, without admitting the Employer’s liability, may, after receiving any such notice, monitor the record-keeping and/or instruct the Contractor to keep further contemporary records • Records are to be kept at location acceptable to the Engineer • The Engineer can inspect all records and be given copies if instructed

13. Certificates Clause 14 - Contract Price and Payment • Sub-Clause 14.3 - Application for Interim Payment Certificates • The Contractor shall submit a Statement in 6 copies to the Engineer after the end of each month • The form of the Statement, must be approved by the Engineer • The monthly progress report must be included with the Statement, otherwise Statement can be rejected • Sub-Clause 14.6 Issue of Interim Payment Certificate • The Engineer shall, within 28 days after receiving the Statement, issue to the Employer an Interim Payment Certificate, stating the amount the Engineer fairly determines to be due

14. Certificates Clause10 – Employer’s Taking Over • The Contractor may apply by notice to the Engineer for a Taking-Over Certificate not earlier than 14 days before the Works will, in the Contractor’s opinion, be completed • The Engineer shall within 28 days either: • issue the Taking-Over Certificate stating the date on which the Works are completed, except for minor outstanding work, or • reply giving reasons and work required to be done before issuance of Taking-Over Certificate • If Engineer fails to act as above the Taking-Over Certificate shall be deemed to be issued on date 28 days after application • Sub-Clause 10.2 - Allows for taking over of parts of the Works

15. Certificates Clause11 – Defects Liability & Sub-Clause 11.9 Performance Certificate • The Engineer shall issue the Performance Certificate within 28 days after the latest of the expiry dates of the Defects Notification periods and supply of all Contractor’s Documents and completion of all tests including defects • A copy of the Performance Certificate is issued to the Employer • Only the Performance Certificate shall be deemed to constitute acceptance of the Works • The Performance Security shall be returned within 21 days by the Employer to the Contractor after receipt the Performance Certificate

16. Certificates Final Payment Certificate Sub-Clause 14.11 - Application for Final Payment Certificate • Within 56 days after receiving the Performance Certificate, the Contractor shall submit to the Engineer, 6 copies of a Draft Statement • Engineer assesses and may reasonably require further information and make changes to the draft, by agreement • Procedure also available in case agreement is not reached Sub-Clause 14.13 – Issue of Final Payment Certificate • Within 28 days after receiving the Final Statement and written Discharge (Sub-Clause 14.12) the Engineer shall issue the Final Payment Certificate