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cage wfterer site aTorarf Harera) "BR Fox: 91-1-25009607 / 25009514
National Highways Authority of India
(Ministry of Road Transport and Highways)
‘SA-S wa 6, aet-10, era, AE feret~110075
G-5 & 6, Sector-10, Dwarka, New Delhi-110075
NHAI/ Policy Guidelines/ Civil Works/ 2019
Policy Circular No.9.2.32/2020, Dated |*]'"January, 2020
[Decision taken on the File No, NHAI/11-12/S-B/Pkg-IIl/2015]
Sub: EPC Projects - Guidelines on granting provisional rescheduling of
intermediate project milestones pending approval of final EOT for smooth
contract administration.
There are various factors due to which the projects are getting delayed viz. the
factors attributable to the Authority (like ROW of Construction Zone, Environmental
Clearance, approval of GADs for ROBs, additional works involving Change of Scope and
other delays attributable to Authority); the factors attributable to the Contractor (like
insufficient mobilization, slow progress, cashflow problems, etc.) and Force Majeure
Events. These factors lead to extension of date for completion of the Project
Milestones/ Scheduled Completion Date. Timely determination and approval of
extension of date for completion of the Project Milestones/ Project Completion is
essential for smooth administration of the contract, besides avoiding disputes/ claims
by the Contractor.
2. Despite the issue of comprehensive guidelines vide Policy Circular no.
9.2.25/2019 dated 24.07.2019, the desired results, i.e., timely determination and
approval of EOTs have not been achieved. These issues of delay in approval of EOT,
non-payment of Price Adjustment and imposition of penalties are time & again being
raised by the Contractors at various fora. In order to expedite the determination of
EOT and related issues including effective monitoring, a web based portal is being
developed by NHAI. However, till the time aforesaid portal becomes effectively
operational, the following guidelines shall be followed for rescheduling of
intermediate project milestones for smooth administration of the EPC contracts:
(i) Rescheduling of the intermediate project milestones may be provisionally
determined based on availability of unhindered land (i.e., vacant and
unencumbered work front) vis-a-vis land to be handed over as on Appointed Date,
as per Contract.
(ii) The provisional rescheduling of intermediate project milestones, pending
determination and approval of EOTs, should be done by permitting price
adjustment & without imposition of damages for smooth administration of the
contract and avoiding cashflow problem, with a clear understanding that
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ii,
iii.
necessary reconciliation in EOT, price adjustment and damages as per contract
shall be finalized at a later stage at the time of detailed evaluation of EOT.
3. Os are henceforth delegated the power to approve provisional rescheduling of
the intermediate project milestones within the scheduled project completion
period, as per above guidelines. However, any EOT, beyond scheduled project
completion date, shall be approved by the Competent Authority as per extant
guidelines.
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CGM (Coord.)
All Officers of HQ/ROs/PIUs/CMUs/Site Offices.
Hindi Officer for Translation in Hindi.
Library - for hosting the circular in library site.