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Under the two schemes, applicable annual premium amount (presently Rs. 342/- per
person) shall be considered by the prospective bidder while submitting the price bid.
Proof of payment towards the above two scheme shall be submitted by the Contactor to
EIC for verification of the same from time to time.

16.0.0 DEFINITIONS
“Act” shall mean the Petroleum and Minerals Pipeline (Acquisition of Right of User in
Land) Act, 1962; Amendment Act, 1977 or any amendment/ re-enactment/ replacement
thereof for the time being in force and any rules, orders, instructions and/or
specifications issued thereunder.
All headings of the clauses in these conditions of contract or otherwise in any contract
document are intended solely for the purpose of giving a broad indication of the
contents of the clause and not as a summary of the contents thereof.
“Bid” and “Bidder” shall have the same meaning as “Tender” and “Tenderer”
respectively, as defined in GCC
17.0.0 COORDINATION WITH OTHER AGENCIES:
The work shall be carried out in such a manner that the work of other agencies
operating at site is not hampered due to any action of the contractor. The contractor will
be responsible for ensuring proper coordination with other agencies. In the event of any
dispute between the contractor and any other agency employed at or about the job site
arising out of or related to the performance of the work, the decision of the Engineer-In-
Charge shall be the final and binding on the contractor.
18.0.0 DAMAGE TO PROPERTIES:
The contractor shall be fully responsible for making good or making necessary payment
for any loss or damage caused by any structures , properties etc. belonging to the
owner if such loss of damage is due to the fault and / or sub contractor’s to the entire
satisfaction of the owner whose assessment shall be final and bring on the contractor.
The contractor shall indemnify and make the owner harmless of all claims or damage to
the property other than owner’s property arising under or by reason of disagreement if
such claims results from the fault and /or negligence of wilful act or omissions of the
contractor or his employees , agents, representatives or sub contractors.

19.0.0 CONFIDENTIALITY OF INFORMATION

All information obtained by Contractor in the conduct of operations and the information/
maps provided by the Company to the Contractor shall be considered confidential and
shall not be divulged by Contractor or its employees to anyone other than the
Company’s personnel. This obligation of Contractor shall be in force even after
termination of the Contract.

20.0.0 MOBILIZATION ADVANCE

20.1.0 The contractor shall be paid recoverable Mobilization Advance equivalent to 10% (ten
percent) of the contract price, which would be interest bearing (interest @ SBI declared
rate for cash credit advances + 1% pa as applicable on the due date of opening of price
bid). This recoverable mobilization advance will be disbursed in two instalments as
mentioned below :
a) Initial 5 % after execution of contract, issue of specific notice and submission of
requisite BG to EIC.

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b) Final 5 % will be released after EIC being satisfied of utilization of first instalment
and/ or mobilization of at least 50% of resources for job execution.

20.2.0 The payment of mobilization advance shall be subject to submission of Bank

Guarantee(s) for an amount equivalent to 110% of the advance, valid for 3 months
beyond the scheduled date of completion of the project, from a Scheduled Bank in India
recognized by RBI (including the Indian Branch of a Foreign Bank which is recognized as
a Scheduled Bank by the Reserve Bank of India except Co-operative Banks) and in a
format acceptable to the OWNER. The CONTRACTOR shall at the request of the OWNER
suitably extend the validity of the Bank Guarantee(s) for such period or periods as may
be required failing which, without prejudice to any other right or remedy available to the
OWNER, the OWNER shall be entitled to encash the Bank Guarantee(s).
20.3.0 The advance paid to the CONTRACTOR shall be used only for execution of this Contract
and the CONTRACTOR shall satisfy the OWNER/Engineer-in-Charge in this regard
whenever required. If it is found that the said advance has been utilized by the
CONTRACTOR in whole or part for any other purpose, the OWNER may at its discretion
forthwith recall the entire advance and without prejudice to any other right or remedy
available to the OWNER, recover the same by recourse to any Bank Guarantee(s).
20.4.0 The mobilization advance shall carry interest @ SBI declared rate for cash credit
advances + 1% per annum from time to time calculated on the reducing unadjusted
balances of the mobilization advances, and the advances shall without prejudice to any
mode other of recovery available to the OWNER be recovered from the Running Account
Bills and Final Bill of the CONTRACTOR @ 10% (Ten percent) of the Certified Bill
amount. The interest accrued thereon shall be additionally deducted from the amount
payable on each bill.
20.5.0 All recoveries against advances shall first be apportioned to interest and then to
principal. The value of the Bank Guarantees for Mobilization Advance can be reduced
quarterly, based on the mobilization advance recovered till that time.
20.6.0 The payment of Mobilization Advance / advance shall be subject to the fulfilment
of the following conditions:
a) The CONTRACTOR shall have signed and sent back a copy (or copies if so
required) of the Letter of Acceptance of Tender issued by the OWNER as a token
of their acceptance of the same.

b) The CONTRACTOR shall have furnished the Initial Security Deposit as stipulated
in Clause 2.1.1.0 of GCC and associated clauses here of.

c) The CONTRACTOR shall have executed the formal contract in terms of the
Form of Contract / LOA and specific notice for commencement of work has been
issued by EIC.

d) The contractor shall have made a formal application for the release of the
Mobilization Advance / Advance and shall have furnished a Bank Guarantee of an
amount equivalent to 110% of the Advance from a Bank in a format approved by
the OWNER.

e) The outstanding balance of the Mobilization Advance / Advance shall carry interest
at 1% (one percent) above the State Bank of India declared rate for cash
credit advances prevailing on the date of opening of Price Bids.

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f) Without prejudice to any other mode of recovery available to the

OWNER, the Mobilization advance / Advance, together with interest thereon
calculated on the reducing balance, may be recovered at the rate of 10%
(ten percent) of the gross amount certified against each Running Account
Bill, till the advance, together with the interest accrued thereon, is recovered
in full. The unrecovered balance if any, and interest may be recovered from the
Final Bill of the CONTRACTOR and/or from any other amount due to the
CONTRACTOR under any other contract or otherwise.

g) (i) If the OWNER is satisfied that 25% (twenty five per cent) of the
Mobilization Advance / Advance and interest accrued till then on the
Mobilization Advance has been repaid to or recovered by the OWNER, the
OWNER may on the application of the CONTRACTOR if the Bank Guarantee
submitted by the CONTRACTOR covers and secures only the Mobilization
Advance / Advance, permit the CONTRACTOR to substitute the Bank
Guarantee by a Bank Guarantee acceptable to OWNER for an amount reduced
by 25%(twenty five per cent).
(ii) The provisions of paragraph (i) hereof above, shall mutatis mutandis apply
to the OWNER's satisfaction that the CONTRACTOR has repaid 50% (fifty
per cent) and/or 75% (seventy five per cent), as the case may be, of the
Mobilization Advance/ advance, and interest accrued till then on the
Mobilization Advance / Advance.

h) All other conditions stipulated in Clause 2.1.2.0 of GCC hereof shall be

applicable to the advance(s).
20.7.0 In partial modification of Clause 2.1.2.0 (a) of GCC, the Composite Bank Guarantee
shall be for a value equivalent to 110% of advance or 10% of the Total
Contract Value, whichever is higher and shall be kept valid up to 3 (three) months
beyond the expiry of the defect liability period.

21.0.0 SPECIFIC REFERENCE TO GCC CLAUSES

21.1.0 The following document(s) as stated in clause No. 4.8 of Instructions to Tenderers
(Page-120) & Form of Tender (Page 131 & 132) of General Conditions of Contract are
not required to be submitted with the bidder’s offer.
(A) Income Tax Clearance Certificate (in the case of Indian Bidders)
21.2.0 In the form of tender for price bid (page-129 & 130), commercial bid (page 131 & 132)
and Format for Bank Guarantee in lieu of Earnest Money Deposit (page 136-138) of
GCC, the following changes may be incorporated while submitting the bid:
As per GCC To be changed as
Page-129 & 131 (Form of Tender – To,
Price bid/ Commercial bid) Indian Oil Corporation Ltd.
To, (Pipelines Division)
Indian Oil Corporation Ltd. Indian Oil Bhawan
(Refineries/ Pipelines Division) A-1, Udyog Marg, Sector-1, Noida (U.P.)
______ Refinery/ Project)
Page-136 (format for BG in lieu of To,
EMD) Indian Oil Corporation Ltd.
To, (Pipelines Division)
Indian Oil Corporation Ltd. Indian Oil Bhawan

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