MergedATC 3 BuyerPESL2

Buyer Specific Additional Terms and conditions
Index
SECTION – I INVITATION FOR BIDS (IFB)
SECTION – II Instruction to Bidders (ITB)
SECTION – IV General Conditions of Contracts (GCC)
SECTION – V Special Conditions of Contract (SCC)
SECTION – VI Sample Forms

SECTION – I
INVITATION FOR BIDS (IFB)

INVITATION FOR BIDS (IFB)
FOR
Outsourcing of O&M activities of Transmission Lines associated
with Firozabad cluster.
(DOMESTIC COMPETITIVE BIDDING)
(SINGLE STAGE TWO ENVELOPE BIDDING)
FUNDING : DOMESTIC
GeM Bid No: GEM/2024/B/5043723
1.0 POWERGRID Energy Services Ltd. (A wholly Owned Subsidiary of Power

Grid Corporation of India Limited) incorporated under the Companies Act, 2013,
having its Registered Office at Plot No. – 2, Sec 29, Gurugram- 122001 (Haryana)
through its Office at Plot No. – 42, Sec 44, Gurugram- 122003 (Haryana)
(hereinafter referred to as ‘PESL’/ ’Employer’) has decided for Outsourcing of
O&M activities of Transmission Lines associated with Firozabad cluster on
behalf of Owner.
1.1 The procurement activities in respect of the aforesaid package shall be

carried out by the Employer and it intends to use domestic funding for
eligible payments under the contract for the package as mentioned above.
For the purpose of all procurement activities, the Employer shall also be
referred to as ‘Purchaser’.
2.0 PESL invites sealed Bids for Outsourcing of O&M activities of

Transmission Lines associated with Firozabad cluster under secured e-
procurement procedure.
3.0 The scope of work covered under the subject Packages shall be –
Outsourcing of O&M activities of Transmission Lines associated with

Firozabad cluster
Detailed scope of work is specified in Technical Specification, Volume-

II of Bidding Documents.
4.0 Duration of contract will be 36 Months from the effective start date of the
contract generated through GeM Portal.
5.0 Bidding will be conducted through Domestic Competitive Bidding

procedures as per the provisions of ITB and the contract shall be executed
Section – I: Invitation for Bids Page 1

as per the provisions of the Contract Documents. Bidders may note that
the Purchaser has uploaded its ‘Works and Procurement Policy and
Procedures’ (WPPP) document along with its Modification/Amendment
on “Ineligibility of Firms for Participation in the Bidding Process” and on
“Black-Listing of Firms / Banning of Business” on POWERGRID’s website
http://www.powergrid.in. It shall be noted that no other party, including the
Bidder/Contractor, shall derive any right from this ‘Works and
Procurement Policy and Procedures’ (WPPP) document or have any claim
on the Purchaser on the basis of the same. The respective rights of the
Purchaser and the Bidder/Contractor shall be governed by the Bidding
Documents/Contract signed between the Purchaser and the Contractor for
the package. The provisions of the Bidding Documents shall always
prevail over that of ‘Works and Procurement Policy and Procedures’
(WPPP) document in case of contradiction.
6.0 Responsiveness of the bidder shall be as per provision of the bidding

documents being issued herewith to the bidder including this IFB.
7.0 Important Instruction for participation in subject e-Tendering:
a) The complete Bidding Documents including tender drawings are

available on portal https://gem.gov.in.
b) The Bidders may note that they can submit their bids online only
through https://gem.gov.in. No DEVIATION in this regard is
acceptable.
The bidding documents are meant for the exclusive purpose of
bidding against this specification and shall not be transferred to any
parts or reproduced or used otherwise for any purpose other than for
which they are specifically uploaded.
c) Content of Bidding Documents:
The facilities required, bidding procedures, contract terms and

technical requirements are prescribed in the Bidding Documents.
The Bidding Documents comprise the following and shall include
amendments, if any, thereto:
Provisions of Volume-I, Volume-II and Volume-III of the Bidding

Documents uploaded under ATC on the GeM portal, shall always
prevail, and supersede the provisions of the GeM GTC.
The ATC(Additional Terms and Conditions of Contract) Comprises

the following Documents:
VOLUME – I: Conditions of Contract

Section I Invitation for Bids (IFB)
Section II Instructions to Bidders (ITB)
Section IV General Conditions of Contract (GCC)
Section V Special Conditions of Contract (SCC)
Section VI Sample Forms
Volume-II: Technical Specification
Volume-III: Bill of Quantity [Bill of Quantity is only for reference of

the Bidders and not for submission of their Prices as the total quoted
price under entire contract are to be submitted by the Bidders on
GeM Portal]
8.0 Interested bidders have to necessarily register themselves on the

portal https://gem.gov.in to participate in the bidding under this invitation
for bids. It shall be the sole responsibility of the interested bidders to get
themselves registered at the aforesaid portal.
9.0 For proper uploading of the bids on the portal namely https://gem.gov.in
(hereinafter referred to as the ‘portal’), it shall be the sole responsibility of the
bidders to apprise themselves adequately regarding all the relevant
procedures and provisions as detailed at the portal as well as by
contacting from PESL, as and when required, for which contact details are
mentioned below. The Purchaser in no case shall be responsible for any
issues related to timely or properly uploading/submission of the bid.
10.0 The Bidder’s designated representative(s) is/are invited to attend a pre-

bid meeting, which, if convened, will take place at the venue and time-
{Physical Meeting at the Address provided at Para-10.1}. The purpose of
the meeting will be to clarify any issues regarding the e-procurement
method, the Bidding Documents in general and the Technical
Specifications in particular. The Bidder is requested, as far as possible, to
submit any queries in writing, to reach the Employer not later than one
week before the meeting. It may not be practicable at the meeting to
answer questions received late, but questions and responses will be
transmitted as indicated hereafter. Minutes of the meeting, including the
text of the questions raised (without identifying name of the bidders) and
the responses given, together with any responses prepared after the
meeting, will be transmitted without delay through the e-procurement
portal only.
Non-attendance at the pre-bid meeting will not be a cause for

disqualification of a bidder.
However, if the bidder has any query/issue regarding submission of their

proposal on the e-procurement portal, they may contact or visit the
Employer (For contact details refer para 11.0 below).

10.1 Venue, date, and time for Pre-bid Meeting:
The Bidder’s designated representatives are invited to attend a pre-bid

meeting with Physical Presence at the address below.
Date of pre-bid conference: 28.06.2024

Time: 12:00 Hours (IST) onwards
2nd Floor Conference Room, CS Department,

POWERGRID Energy Services Ltd
Plot No 42, Sec 44
Gurugram, Haryana,
122003
NOTE: If any seller has any objection / grievance against the additional
clauses or otherwise on any aspect of the bidding documents, they can
raise their representation against the same by using the Representation
window provided in the bid details field in Seller dashboard after
logging in as a seller within 4 days of bid publication on GeM.
10.2 A Single Stage Two Envelope Bidding Procedure will be adopted and will
proceed as detailed in the Bidding Documents.
10.3 Soft Copy Part of the Bids must be uploaded under Single Stage Two
Envelope Bidding Procedure on the portal on or before bid submission
date. The GeM would not allow any late submission of bids through the
portal after due date & time as specified. Bids shall be opened as per
schedule specified in the ATC.
Hard Copy Part of the Bids must be submitted under Single Stage Two
Envelope Bidding Procedure at the address given in IFB at or before 11:00
hours on 12.07.2024. In case Hard copy part of the bid is not received by
the Employer till the deadline for submission of the same prescribed by the
Employer, but the bidder has uploaded the soft copy part of the bid, the
soft copy part of the first envelope bid uploaded on the portal shall be
opened. Such bid will be rejected during preliminary examination.
However, in case of MSEs who are exempted from submission of Bid
Security in line with clause No ITB 1.4, non-submission of Hard copy part
shall not lead to outright rejection of the bid, but the documents required to
be submitted in the hard copy part shall be sought through clarifications as
brought out at Clause No ITB 5.
First Envelope i.e. Techno -Commercial Part (inclusive of both soft copy
part of the bids uploaded on GeM portal and hard copy part of the bids

received) shall be opened on 12.07.2024 at 11:30 hours. Second Envelope i.e.
Price Part shall be opened in accordance with Clause 7.4 of ITB.
Bid Security for the subject package - Rs. 14,71,000/-.
Bid Security must be submitted either in physical form or paid online (for
details refer Clause ITB 1.4). The aforesaid documents in physical form or
documentary evidence of online payment of the specified amount to
POWERGRID, should be submitted at the address given at para 11.0 below
at or before 1100 Hrs. 12.07.2024.
Power of Attorney and Integrity Pact etc. must be submitted in physical

form at the address given at para 11.0 below at or before 1100 Hrs.
12.07.2024. PESL shall not be responsible for any postal delay in respect of
submission of hard copy part of the bids.
10.0 PESL reserves the right to cancel/withdraw this invitation for bids without
assigning any reason and shall bear no liability whatsoever consequent
upon such a decision.
10.1 e-Reverse Auction shall be conducted in the subject tender as per the
Clause 9 of ITB.
11.0 All correspondence with regard to the above shall be to the following
address:
(By Post/In Person)

DGM (CS),
POWERGRID Energy Services Ltd
Plot No 42, Sec 44
Gurugram, Haryana,
122003
Email: [email protected] ; [email protected]
Mobile: +91 7752971074
+91 6303883278
---- End of Section-I (IFB) ----

SECTION – II
INSTRUCTION TO BIDDERS (ITB)

INSTRUCTION TO BIDDERS (ITB)
This section of the Bidding Documents provides the information necessary for bidders
to prepare responsive bids, in accordance with the requirements of the Employer. It also
provides information on bid submission and uploading the bid on portal, online bid
opening, evaluation and on contract award.
Sl. Bid Data Details

No.
1. Eligibility Bidders:
This Invitation for Bids, issued by the Employer is open to all firms including
company (ies), Government owned Enterprises registered and incorporated in
India as per Companies Act, 1956, barring Government Department as well as
foreign bidders/MNCs not registered and incorporated in India and those bidders
with whom business is banned by the Employer.
A Bidder shall not have a conflict of interest. All Bidders found to have a conflict of
interest shall be disqualified. A Bidder may be considered to have a conflict of
interest with one or more parties in this bidding process, if:
a) they have a controlling partner in common; or

b) they receive or have received any direct or indirect subsidy from any of them;
or
c) they have the same legal representative for purposes of this bid; or
d) they have a relationship with each other, directly or through common third
parties, that puts them in a position to have access to information about or
influence on the bid of another Bidder, or influence the decisions of the
Employer regarding this bidding process; or
e) a Bidder submits more than one bid in this bidding process, either
individually [including bid submitted as a agent/authorized representative
on behalf of one or more manufacturer(s) or through Licensee – Licensor
route, wherever permitted as per the provision of Qualification
Requirement] or as a partner in a joint venture. This will result in the
disqualification of all such bids. However, this does not limit the
participation of a Bidder as a subcontractor in another bid, or of a firm as a
subcontractor in more than one bid; or
f) a Bidder or any of its affiliates participated as a consultant in the preparation

of the design or technical specifications of the Plant and Installation Services
that are the subject of the bid; or
Section – II: Instruction to Bidders Page 1

No.
g) A Bidder or any of its affiliates has been hired (or is proposed to be hired) by
the Employer as Project Manager for the contract.
h) The Bidder, directly or indirectly shall not be a dependent agency of the

Employer.

No.
1.1. Firms, who are executing contract(s) or has executed contract(s) in the past for the
Employer (Owned as well as Consultancy) and any of the following event(s) have
been encountered during execution of contract(s) (Own as well as Consultancy)
awarded by POWERGRID (including SPVs under TBCB), shall not be eligible to
bid for the package(s) whose originally scheduled date of bid opening falls within
the specified period reckoned from the date of determination by the Employer of
such event as below:
Sr. Event Period for which

No. bid(s) shall be
considered as
non-responsive/
not eligible
1. Termination# of Contract due to Contractor’s 1 year
default
2. Encashment of CPG due to non-performance 1 year
3. Repeated failure of major Equipment while in 1 year
service
4. Substantial portion of works (more than 50% of the 1 year
Contract*) is sub-contracted, under an existing
Contract
5. More than 25% of the Contract price (awarded 1 year
value), in aggregate, is paid to sub-
contractors/suppliers as Direct payment, under an
existing Contract, due to financial position of
Contractor
6. Firm has been referred to NCLT under Insolvency & Till the firm
Bankruptcy Code (IRP has been appointed or comes out of
Liquidation proceedings have been initiated under IBC) Resolution
process
# Partial offloading under a Contract and/or Facilitation beyond 10% of the Contract Price
shall be treated as Termination
*For the purpose of working out 50% of the Contract, following shall be taken into account:
(a) Scope of the contract which is permissible to be sub-contracted as per bidding

documents, shall be excluded.
(b) Scope of the Contract which primarily relates to the Qualification Requirement (QR)
of the bidder.
The Employer shall be the sole judge in this regard and the Employer’s
interpretation on the aforesaid event(s) shall be final and binding.

No.
1.2. Notwithstanding the above, in case any of the event(s) as per ITB Sub-Clause 1.1
above is encountered afresh even prior to opening of Second Envelope/Price Part
Bid of any package, the bid of such bidder shall be considered as non-
responsive/not eligible for that package
Further, the firm has to be a ‘Class-I local supplier’ as defined under Public
Procurement (Preference to Make in India) Order, 2017 issued by Department for
promotion of Industry and Internal Trade (DPIIT), Ministry of Commerce and
Industry, Government of India vide order dated 15/06/2017, its revision dated
04/06/2020 (PPP-MII Order) read in conjunction with ‘Public Procurement
(Preference to Make in India) to provide for Purchase Preference (linked with local
content) in respect of Power Sector’ order dated 16/11/2021 issued by Ministry of
Power (MoP Order) and subsequent modifications/ amendments if any. ‘Class –I
local supplier’ means a supplier or service provider, whose goods, services or works
offered for procurement, has Local Content equal to 60%.
Firms who are not ‘Class-I local supplier’ shall not be eligible to bid.
The ‘Class-I local supplier’ shall give a self-certification in his bid in the given
format, indicating the percentage of Local Content and certifying that the item
offered meets the Local Content requirement for ‘Class –I local supplier’ and shall
give details of the location(s) at which value addition is made. Further, in case of
packages above Rs. 10 Cr, the ‘Class-I local supplier’ shall provide a certificate
(Attachment-10) from statutory auditor or cost auditor of the company (in the case
of companies) or from a practicing cost accountant or practicing chartered
accountant (in respect of suppliers other than companies) giving the percentage of
Local Content. Any false declaration regarding Local Content by the bidder shall be
a transgression of Integrity Pact and action shall be taken in line with provisions of
the Integrity Pact and in line with the provisions of the PPP-MII Order. Further, in
case price reduction during e-RA, the ‘Class –I local supplier’ shall ensure that the
item offered meets the Local Content requirement considering the revised prices.
Further, entities of countries which have been identified by the Nodal

Ministry/Department identified under PPP-MII order, as not allowing Indian
companies to participate in their Government procurement for any item related to
that Nodal Ministry shall not be allowed to participate in bidding for all items
related to that Nodal Ministry/Department, except for the list of items published
by the Ministry/Department permitting their participation. The term ‘entity’ of a
county shall have the same meaning as under the FDI Policy of DPIIT as amended
from time to time.
1.3. Any Bidder from a country which shares a land border with India will be eligible to
bid only if the Bidder is registered with the Competent Authority as per order no.
F.No.6/18/2019-PPD (Order Public Procurement no.1) dated 23/07/2020 and

No.
F.No.6/18/2019-PPD (Order Public Procurement no.2) dated 23/07/2020, issued
by Public Procurement Division, Department of Expenditure, Ministry of Finance,
Government of India (DoE Order). Registration should be valid at the time of
Submission of bids and at the time of issuance of Contract through GeM Portal.
However, the aforesaid condition for registration of Bidders from countries (even if
sharing land border with India) shall not be applicable to Bidders from such
countries to which Government of India has extended lines of credit or in which
Government of India is engaged in development projects.
For the aforesaid purpose,
(i) “Bidder” means any person or firm or company, including any member of a
consortium or joint venture (that is an association of several persons, or firms
or companies), every artificial juridical persons not falling in any of the
descriptions of bidders stated hereinbefore, including any agency branch or
office controlled by such person, participating in a procurement process
(ii) “Bidder from a country which shares a land border with India” for this
purpose means:
a. An entity incorporated, established or registered in such a country; or

b. A subsidiary of an entity incorporated, established or registered in
such a country; or
c. An entity substantially controlled through entities incorporated,
established or registered in such a country; or
d. An entity whose beneficial owner is situated in such a country; or
e. An Indian (or other) agent of such an entity; or
f. A natural person who is a citizen of such a country; or
g. A consortium or joint venture where any member of the consortium or
joint venture falls under any of the above
(iii) The beneficial owner for the purpose of (ii) (d) above will be under:
1. In case of a company or Limited Liability Partnership, the beneficial

owner is the natural person(s), who, whether acting alone or together,
or through one or more juridical person, has controlling ownership
interests or who exercises control through other means
Explanation-
a. “Controlling ownership interest” means ownership of or entitlement

to more than twenty-five percent of shares or capital or profits of the
company

No.
b. “Control” shall include the right to appoint majority of the directors

or to control the management or policy decisions including by virtue
of their shareholding or management rights or shareholders
agreement or voting rights;
2. In case of a partnership firm, the beneficial owner is the natural

person(s) who, whether acting alone or together, or through one or
more juridical person, has ownership of entitlement to more than
fifteen percent of capital or profits of the partnership;
3. In case of an unincorporated association or body of individuals, the

beneficial owner is the natural person(s), who, whether acting alone
or together, or through one or more juridical person, has ownership
of or entitlement to more than fifteen percent of the property or capital
or profits of such association or body of individuals;
4. Where no natural person is identified under (1) or (2) or (3) above, the
beneficial owner is the relevant natural person who holds the position
of senior managing official
5. In case of a trust, the identification of beneficial owner(s) shall include

identification of the author of the trust, the trustee, the beneficiaries
with fifteen percent or more interest in the trust and any other natural
person exercising ultimate effective control over the trust through a
chain of control or ownership.
An Agent is a person employed to do any act for another, or to

represent another in dealings with third person.
Further, the successful Bidder shall not be allowed to sub-contract works to any
contractor from a country which shares a land border with India unless such
contractor is registered with the Competent Authority.
The Bidder shall, in its bid, submit a certificate in compliance to DoE order as per
the given format at Attachment - 5.

No.
1.4. Bid Security
The Bidder shall furnish, except as exempted herein below, as part of its bid, a bid
security in the amount of INR 14,71,000/- shall be submitted to the Purchaser as per
the terms and conditions of Bidding Documents. The bid security must be
submitted in the form provided in the Bidding Documents.
Micro and Small Enterprises (MSEs) registered with Udyam Registration Portal as
specified by Ministry of Micro, Small and Medium Enterprises are exempted from
submission of Bid Security as per the Provisions of the Public Procurement Policy
for Micro and Small Enterprises (MSEs) order 2012, Notification dated 01/06/2020
and 26/06/2020 read in conjunction with related notifications issued from time to
time for such enterprises. This shall be subject to submission of ‘Udyam Registration
certificate’ with regard to registration with authorities mentioned above in
accordance with the relevant notifications/orders.
Bidder may note that non-submission of Bid Security shall lead to outright rejection
of their Bid.
The Bid Security shall be in favour of:

“POWERGRID Energy Services Ltd”
Payable at Gurugram
The bid security shall, at the bidder’s option, be in the form of a crossed bank
draft/pay order /banker certified cheque in favour of Employer/Owner# as
stipulated in SCC in the Form of unconditional Bank Guarantee attached hereto in
the Section VI - Sample Forms and Procedures
Alternatively, if bid security is to be submitted in favor of PESL, the same can be

submitted as online payment through POWERGRID ONLINE PAYMENT
UTILITY- https://epay.powergrid.in, a link of which is provided on the
POWERGRID website www.powergrid.in. While making online payment
towards performance security, the bidder shall choose Segment as “Suppliers”
and fill in details as follows:
Payment Category EMD
Sub-category EMD Payment–PESL
Name of Depositor Name of the Bidder
Vendor Code, if POWERGRID/PESL vendor code of the bidder
applicable
Payment Remarks Bid Security for …...... [Enter the name of the
package]
The copy of ‘Online Payment Acknowledgement – Suppliers’ generated subsequent
to the payment shall be submitted along with hard copy part of the bid. The online
payment facility shall be for payment in Indian Rupees only.

No.
In case, pursuant to Ministry of Finance, GOI’s Circular dated 17th July, 2012, the
Bank Guarantee is issued using SFMS Platform by the banks located in India, the
copy of such Bank Guarantee shall be submitted by the bidder along with the First
Envelope. The Account details of PESL for the purpose of Bank Guarantee (towards
Bid Security) to be issued using SFMS Platform are as given below:
Name of the Bank and Address IFSC Code PESL Current A/c
No.
State Bank of India SBIN0017313 41969979816
4th & 5th Floor, Parsvnath Capital
Tower, Bhai Veer Singh Marg, Gole
Market, New Delhi-110001.
ICICI Bank Ltd ICIC0000572 057205000407
Plot no.2, Sector-29
Gurgaon, 122001
Note: Any one of the above account details can be used for the issuance of Bank
Guarantee using SFMS Platform.
In case of Bank Guarantee (towards Performance Security) verification through

SFMS facility of ICICI Bank, the applicant has to provide a unique identifier of PESL
to the issuing bank. This unique identifier needs to be incorporated by the issuing
bank in Field 7037 of the IFIN 760 COV/ IFIN 767 COV while transmitting these
messages to the Beneficiary Bank through SFMS. The unique identifier of PESL is
PESL4267201.
1.4.1 The bid securities of unsuccessful bidders will be returned as promptly as

possible, but not later than twenty-eight (28) days after the expiration of the bid
validity period.
1.5. Period
1 of Validity of Bid
.
41.5.1. Bids shall remain valid for the period of Six Months after the date of
opening of Techno - Commercial Part i.e. First Envelope, prescribed
by the Employer, pursuant to ITB Sub-Clause 6.1. A bid valid for a
shorter period shall be rejected by the Employer as being non-
responsive.
1.5.2. In exceptional circumstance, the Employer may solicit the Bidder’s

consent to an extension of the bid validity period. The request and
responses thereto shall be made in writing or by cable. If a Bidder
accepts to prolong the period of validity, the bid security shall also be

No.
suitably extended. A Bidder granting the request will not be required
or permitted to modify its bid.
2. 2.1. Documents comprising Bid
Apart from prices which shall be offered ONLY through the GeM portal, the Bidder
shall have to fill and upload the following forms along with their Soft copy part
(Scanned in Pdf) of the bid as part of Technical bid –
(i) Bid Security or documentary evidence in support of exemption of Bid

Security. (Attachment 1)
(ii) Power of Attorney: A power of attorney, duly notarized, indicating that the
person(s) signing the bid has (ve) the authority to sign the bid and thus the
bid is binding upon the Bidder during full period of its validity.
(iii) Declaration by the bidder regarding events encountered pursuant to ITB

Sub-Clause 1.1 (Format mentioned at Attachment-2: Affidavit of Self
Certification)
(iv) Integrity Pact (Format mentioned at Attachment-3): Integrity Pact shall be

submitted on Rs. 100/- non-judicial stamp paper as per proforma available
in bidding documents. Bidders failure to submit the integrity Pact duly
signed in Original alongwith the Bid or subsequent to ITB Clause 5 shall lead
to outright rejection of the bid. APPLICABLE
(v) Affidavit of Self certification regarding Minimum Local Content in line

with PPP-MII Order pursuant to ITB Clause 1.2 (Format mentioned at
Attachment-4: Affidavit of Self Certification) – APPLICABLE
(vi) Certification by the Bidder as per DoE Order pursuant to ITB Clause 1.3
(Format mentioned at Attachment-5: Land border Sharing)
(vii) Declaration of Key Managerial Person and Power of Attorney holder

(Format enclosed at Attachment-6: Declaration by KMP)
(viii) Declaration regarding Employment of ex-Employees with Bidders

Organization (Format enclosed at Attachment-7),
(ix) Bidders are required to meet the Qualification Requirements attached at

“Annexure-A to ITB/Section-II” given here in below and also has to furnish
the details in support of Qualification Requirements (QR) as per the attached
format given along with QR. Further, bidders are also required to submit
documentary evidence in support of QR (Format enclosed at Attachment-8)

No.
(x) Information for E-payment, PF details and declaration regarding
Micro/Small & Medium Enterprises, MSE owned by SC/ST entrepreneurs
& MSE Owned by Women. Scanned copy of Sample Cheque (Cancelled),
PAN Card, GST Certificate shall also be uploaded.
(xi) Certificate from statutory auditor or cost auditor of the company

(Attachment-10) Not Applicable
2.2. Hard Copy part of the Bid: The documents required to be submitted as part
of Hard copy Part of the Bid shall be scanned and uploaded as part of First
Envelope in Soft Copy part of the Bid.
2.2.1. Hard copy part of the bid shall comprise the following documents to be
submitted in sealed envelope at Employer’s address given in IFB.:
(i) Bid Security,
(ii) Power of Attorney
(iii) Integrity Pact
(iv) Affidavit of Self certification regarding Minimum Local Content in
line with PPP-MII order
(v) Certificate from statutory auditor or cost auditor of the company (in the
case of companies) or from a practicing cost accountant or practicing
chartered accountant in line with PPP-MII order. Not Applicable
2.2.2. The envelope shall

a. be addressed to the Employer at the address given in the IFB 11.0
b. bear the contract name indicated in the ITB, the Invitation for Bids title and
number indicated in the ITB, and the statement “Do Not Open Before [date],”
to be completed with the time and date specified in the ITB.
2.2.3. Bid Securities or Online Payment Acknowledgement towards Bid Security

or documentary evidence in support of exemption of Bid Security, Integrity
Pact in original shall be submitted in separate superscribed envelopes (one
for Bid Security, one for Integrity Pact ) along with First Envelope. Bidder
may upload Soft copy of the any other documents which they consider
relevant along with First Envelope. All the envelopes shall also indicate the
name and address of the Bidder so that the bid can be returned unopened
in case it is declared “late.
2.2.4. If the envelope is not sealed and marked as required by ITB above, the
Employer will assume no responsibility for the bid’s misplacement or
premature opening.

No.
2.2.5. Deadline for Submission of Bids:
Soft copy part of the bid shall be uploaded on GeM portal on or before the
submission time and date as stipulated in the bidding document. Hard
copy of Bid Security in accordance with clause 11.1 of IFB, in separate
envelope, Integrity Pact, Power of Attorney, must be received by the
Employer at the address specified under IFB Sub-Clause 13.0 no later than
the time and date stated in the ITB. In the event of the specified date for the
submission of bids being declared a holiday for the Employer, the bids will
be received/uploaded upto the appointed time on the next working day.
2.2.6. The Employer may, at its discretion, extend this deadline for submission of
bids any time prior to opening of bids, in which case all rights and
obligations of Employer and bidders will thereafter be subject to the
deadline as extended. Further the Employer also reserves the right to
extend bid submission timeline or recall the tender if e- Procurement
server/GeM Portal is down (i.e. inaccessible / inoperative) for a prolonged
period of time within the last 24 hours of the bid submission due date.
2.2.7. Late Bids: The bidder shall not be permitted to submit the soft copy part of
the bid by any mode other than uploading on the portal within the specified
deadline for submission of bids. The e-Procurement system would not
allow any late submission of bids through the portal after due date & time
as specified in ITB. In case Hard copy part of the bid is received by the
Employer after the deadline for submission of the same prescribed by the
Employer in the ITB, but the bidder has uploaded the soft copy part of the
bid, the bid will be considered as late bid. In such a case, the soft copy part
of the first envelope bid uploaded on the portal shall be opened in line with
the provisions of Bidding Documents. Such bids will be rejected during
preliminary examination. However, in case of MSEs who are exempted
from submission if Bid security in line with ITB , submission of hard copy
part after the deadline for submission of the same prescribed by the
Employer in the BDS, shall not lead to outright rejection of the bid, but the
documents required to be submitted in the hard copy part shall be sought
through clarifications as brought out at ITB
2.3 However, if the bidder resorts to unethical practices inter-alia including

misrepresentation of facts, submission of false and/or forged details/
documents/ declaration as above, the bidder may be debarred from the
participation in Employer’s tenders for a period of 1 to 3 years, as considered
appropriate and its Bid Security/ Contract Performance Guarantee shall be
forfeited besides taking other actions as deemed appropriate.

No.
3. BID PRICES:
Bidders shall quote their offered price on a “single responsibility” basis such that
the total bid price covers the entire scope of work as defined in the bidding
document.
3.1. Bidders may note that they have to quote the amount on the GeM Portal
only for complete scope of work and for all the items including GST (i.e.
Firozabad cluster ) as mentioned in the Bill of Quantity (BoQ) and offers for
incomplete scope shall be rejected.
3.2. The Amount quoted on the GeM Portal shall be considered as Quoted Price
for Complete Scope of work for the subject package. The Prices shall be
inclusive of GST for entire scope of work.
3.3. The Breakup of prices as per BoQ shall be submitted along with the price
part of bid. If break up of price is submitted along with first envelope, bid
shall be liable to be rejected.
3.4. BoQ is provided to Bidder only for reference purpose and for arriving at the
total price to be quoted on the GeM portal.
Prices quoted by the Bidder shall be FIRM and FIXED. No price variation shall be
applicable to the prices during the currency of the contract.
4. COMPLETION PERIOD:
Duration of contract will be 36 Months from the effective date on the contract
generated through GeM portal.
5. CLARIFICATION OF BIDS:
During evaluation of bids, the Purchaser may, at its discretion, seek the clarification
regarding erroneous/non submission of documents related to/identified in Clause
2.1 (ii), (iv), (v), (vi), (vii), (viii), (x) & (xi) the complete annual reports together with
Audited statement of accounts, Online Payment acknowledgment towards Bid
Security (in cases where online payment has been made prior to the deadline for
submission of hardcopy part of the bids), required to be submitted by the Bidders
as per the provisions of the bidding Documents. The Purchaser may give not more
than 03 days’ notice to the bidders to rectify/furnish such documents, failing which
the bids shall be evaluated as per the data/documents submitted with the bids. The
request for clarification and the response of the bidders shall be in writing, and no
change in the price or substance of the proposal shall be sought, offered or
permitted.

No.
So far as the submission of documents is concerned with regard to qualification

criteria, after submission of the tender, only related shortfall documents, if any, may
be sought and considered. However, no new supply/work order shall be
considered for meeting the technical qualification requirement.
Employer’s response (including an explanation of the query but not identification

of its source) will be uploaded on portal https://gem.gov.in where all the bidders
can see clarification/reply to query.
6. Bid Opening and Evaluation
Opening of First Envelope by Employer
6.1. The Employer will open the First Envelope i.e. Techno – Commercial Part of
the bid on the GeM portal as per the provisions available on GeM portal and
provisions of the Bidding Documents.
6.2. Provision of “Withdrawal” or deletion of Bid is available on GeM Portal

only.
6.3. No bid shall be rejected at bid opening. However, opening of bid, whether
or not accompanied with the bid security and/ or Integrity Pact and/, shall
not be construed to imply its acceptability which shall be examined in detail
pursuant to the provisions contained in this ITB.
6.4. On behalf of Employer, the Integrity Pact will be signed by its representative
at the time of Receipt of Hard Copy. One original of the Integrity Pact will
be retained by Employer and the other original will be returned to the
representative of the bidders present during bid opening.
6.5. Bidders who have submitted their bid may view on line tender opening on
the portal from their end. In the event of the specified date for the
submission of bids being declared a holiday for the Employer, the bids will
be opened on the next working day.

No.
7. EVALUATION CRITERIA:
7.1. PHASE 1: PRELIMINARY EXAMINATION:

i) Prior to the detailed evaluation, the Employer will determine whether each
bid is complete and is substantially responsive to the Bidding Documents.
Any deviations, conditionality or reservation introduced in Bid, Technical
Data Sheets and covering letter, or in any other part of the bid will be reviewed
to conduct a determination of the substantial responsiveness of the bidder’s
bid. For the purposes of this determination, a substantially responsive bid is
one that conforms to all the terms, conditions and specifications of the Bidding
Documents without material deviations, objections, conditionalities or
reservations. A material deviation, objection, conditionality or reservation is
one (i) that affects in any substantial way the scope, quality or performance of
the contract; (ii) that limits in any substantial way, inconsistent with the
Bidding Documents, the Employer’s rights or the successful Bidder’s
obligations under the contract; or (iii) whose rectification would unfairly affect
the competitive position of other bidders who are presenting substantially
responsive bids.
ii) If a bid is not substantially responsive, it will be rejected by the Employer,

and may not subsequently be made responsive by the Bidder by correction of
the nonconformity. The Employer’s determination of a bid’s responsiveness
shall be based on the contents of the bid itself without recourse to extrinsic
evidence.
7.2. QUALIFICATION:
1. The Employer will ascertain to its satisfaction whether Bidders

determined having submitted substantially responsive bids are qualified,
as per the Qualification Requirement specified in the bidding document
in Annexure-A(QR) to ITB to satisfactorily perform the contract. The
Employer shall be the sole judge in this regard and the Employer’s
interpretation of the Qualification Requirement shall be final and binding.
2. The determination will take into account the Bidder’s financial, technical
capabilities including production capabilities, in particular the Bidder’s
contract work in hand, future commitments & current litigation and past
performance. It will be based upon an examination of the documentary
evidence of the Bidder’s qualifications submitted by the Bidder in their
bid, as well as other information as the Employer deems necessary and
appropriate. This shall, however, be subject to assessment that may be
carried out, if required, by the Employer as per the provisions of bidding
document. The employer shall be sole judge in this regard.

No.
The determination will also take into account the history of accidents in which
the Bidder is involved in the contracts with the Employer as under:
a) In case of a first fatal accident at site (or adjacent thereto) of bidder during a
financial year, bids submitted by such bidder shall be considered non-responsive
for all regional /site packages across PESL (including consultancy) whose date
of bid opening, originally scheduled and/or actual, falls within the 06 months
period reckoned from the date of the first fatal accident.
b) Subsequent to bidder’s involvement in two cumulative fatal accidents during

any financial year, bids submitted by such bidder shall be considered non-
responsive for all regional /site packages across PESL (including consultancy)
whose date of bid opening, originally scheduled and/or actual, falls within the
01-year period reckoned from the date of the second fatal accident (or) 18 months
from the date of first fatal accident, whichever is later
c. For every subsequent fatal accident in same financial year bids shall be
considered nonresponsive in the manner as above for additional 12-month
period. This period shall however, in sequence to and shall commence after
expiry of non-responsiveness period on account of earlier accidents.
3. The Employer may waive any minor informality, nonconformity or

irregularity in a bid that does not constitute a material deviation, affecting
the capability of the Bidder to perform the Contract.
4. An affirmative determination will be a prerequisite for the Employer to

evaluate the Techno - Commercial Part and open the Second Envelope of
the Bidder. A negative determination will result in rejection of the
Bidder’s bid.
7.3. EVALUATION OF TECHNO - COMMERCIAL PART:
The Employer will carry out a detailed evaluation of the bids of the qualified
bidders in order to determine whether the technical aspects are in accordance
with the requirements set forth in the Bidding Documents. In order to reach
such a determination, the Employer will examine the information supplied by
the bidders in their bid and other requirements in the Bidding Documents,
taking into account the following factors:
a) Overall completeness and compliance with the Technical Specifications and

Drawings, deviations from the Technical Specifications; suitability of the

No.
facilities offered in relation to the environmental and climatic conditions
prevailing at the site; and quality, function and operation of any process
control concept included in the bid. The bid that does not meet minimum
acceptable standards of completeness, consistency and detail will be rejected
for non-responsiveness.
b) any other relevant technical factors that the Employer deems necessary or
prudent to take into consideration.
c) any deviations to the commercial and contractual provisions stipulated in

the Bidding Documents.
d) details furnished by the bidder in response to the requirements specified in

Volume-II (Technical Specification) of the Bidding Documents.
e) Bidder may note that if opening of the bids is carried out after 30 th
September, the bidder shall be required to submit the complete annual
reports together with Audited statement of accounts of the company for the
immediately preceding Financial Year except in case where the Board of the
Company/Registrar of the Companies has granted extension of time for
finalization of accounts, for which the bidder has to submit requisite
documentary evidence. In case of Bidder’s failure to submit the same along
with the Bid or subsequently the Bid shall be rejected.
7.4. EVALUATION OF SECOND ENVELOPE (PRICE PART):
a) The Second Envelope i.e., Price Part of only those Bidders shall be opened
who are determined as having submitted substantially responsive bids and
are ascertained to be qualified to satisfactorily perform the Contract,
pursuant to qualification and techno commercial evaluation.
b) The comparison shall include the applicable taxes, duties and other levies.
c) Bidders may note that they have to quote amount for complete scope (i.e.
Firozabad cluster as mentioned in the Bill of Quantity (BoQ) and bids for
incomplete scope shall be rejected.
d) The Breakup of prices as per BoQ shall be submitted along with the price
part of bid. If break up of price is submitted along with first envelope, bid
shall be liable to be rejected.

No.
e) In case of mismatch in the prices as per breakup and lumpsum bid price
quoted on the GeM Portal, the same shall be revised by adjusting the prices
of items on the pro-rata basis matching the lumpsum quoted price.
f) Incase the break up of prices as per BoQ is not submitted along with the bid
the same shall be finalised on mutually.
g) The prices of all such item(s) against which the Bidder has not quoted
rates/amount (viz., items left blank or against which ‘-‘ is indicated) in the
Price Schedules will be deemed to have been included in other item(s).
8. Performance Security:
The Contractor shall, within twenty-eight (28) days of the notification of award,
shall furnish performance security(ies) for the due performance of the Contract in
the amount equivalent to Five percent (5%) of the Contract Price, with a validity
upto ninety (90) days beyond the Defect Liability Period.
The performance security shall, at the contractor’s option, be in the form of a

crossed bank draft/pay order /banker certified cheque in favour of
Employer/Owner# as stipulated in SCC in the Form of unconditional Bank
Guarantee attached hereto in the Section VI - Sample Forms and Procedures.
Alternatively, if performance security is to be submitted in favor of PESL, the

same can be submitted as online payment through POWERGRID ONLINE
PAYMENT UTILITY- https://epay.powergrid.in, a link of which is provided on
the POWERGRID website www.powergrid.in. While making online payment
towards performance security, the bidder shall choose Segment as “Suppliers”
and fill in details as follows:
Payment CategoryPerformance Security

Sub-category Performance Security Payment–PESL
Name of Depositor
Name of the Contractor/Collaborator/Tower
manufacturer/Licensor etc.
Vendor Code, if POWERGRID/PESL vendor code of the
applicable Contractor if existing
Payment Remarks Performance Security for …...... [Enter the name
of the contract and last four digits of the
CA/NOA/GeM Contract Number]
The copy of ‘Online Payment Acknowledgement – Suppliers’ generated

subsequent to the payment shall be submitted by the Contractor. The online
payment facility shall be for payment in Indian Rupees only.
No interest shall be payable by the Employer/Owner on the Performance Security

No.
The Contractor has the option to submit BG (towards Performance Security) using
SFMS Platform.
The Account details of PESL for the purpose of Bank Guarantee (towards
Performance Security) to be issued using SFMS Platform are as given below:
Name of the Bank and Address IFSC Code PESL Current A/c
No.
4th & 5th Floor, Parsvnath Capital
Tower, Bhai Veer Singh Marg, Gole
Market, New Delhi-110001.
Gurgaon, 122001
Note: Any one of the above account details can be used for the issuance of Bank
Guarantee using SFMS Platform.
In case of Bank Guarantee (towards Performance Security) verification through

SFMS facility of ICICI Bank, the applicant has to provide a unique identifier of PESL
to the issuing bank. This unique identifier needs to be incorporated by the issuing
bank in Field 7037 of the IFIN 760 COV/ IFIN 767 COV while transmitting these
messages to the Beneficiary Bank through SFMS. The unique identifier of PESL is
PESL4267201.
8.1 In case the Contractor fails to submit the Performance Security within 90 Days of
the Notification of Award/GeM Contract, the Employer, without prejudice to any
other rights or remedies it may possess under the Contract, may consider the bid
submitted by the Contractor in future packages as non-responsive in line with the
ITB and/or may terminate the Contract forthwith pursuant to GCC Clause 36
9. Bid to RA(e-Reverse Auction):
Subsequent to Evaluation of technical & Second Envelope of bids, by the Buyer,

Reverse Auction would be conducted as per Bid to e-RA qualification stated below:
Bid to RA with 50% elimination rule:

Reverse Auction would be conducted amongst first 50% of the technically qualified
bidders arranged in the order of prices from lowest to highest. Number of sellers
eligible for participating in RA would be rounded off to next higher integer value if
number of technically qualified bidders is odd (e.g. if 7 bids are technically
qualified, then RA will be conducted amongst L-1 to L-4). In case number of

No.
technically qualified bidders are 2 or 3, RA will be between all without any
elimination. If Buyer has chosen to split the bid amongst N sellers, then minimum
N sellers would be taken to RA round. In case Primary products of only one OEM
are left in contention for participation in RA based on lowest 50% bidders qualifying
for RA, the number of sellers qualifying for RA would be increased to get at least
products of one more OEM (directly participated or through its reseller) if available.
Further, if bid(s) of any seller(s) eligible for MSE preference is / are coming within
price band of 15% of Non MSE L-1 or if bid of any seller(s) eligible for Make in India
preference is / are coming within price band of 20% of non MII L-1, then such MSE
/ Make in India seller shall also be allowed to participate in the RA process.
After the RA process, the award of contract(s) shall be made by the buyer keeping
in view the Public Procurement Policy for Micro and Small Enterprises (MSEs)
Order, 2012 and Public Procurement (Preference to Make-in-India) Order, 2017 as
amended from time to time.
10. Signing the Contract Agreement
10.1. At the same time as the Employer notifies the successful Bidder that its bid
has been accepted, the Employer in consultation with the Bidder will
prepare the Contract Agreement provided in the Bidding Documents,
incorporating all agreements between the parties.
10.2.
The Contract Agreement shall be prepared within twenty-eight (28) days
of the Notification of Award and the successful Bidder and the Employer
shall sign and date the Contract Agreement immediately thereafter.
11. Confidentiality and Contacting the Employer
1 After the public opening of bids, information relating to the examination,

clarification, and evaluation of bids and recommendations concerning
awards shall not be disclosed to Bidders or other persons not officially
concerned with this process until the publication of contract award. From the
time of bid opening to the time of contract award, if any Bidder wishes to
contact the Employer on any matter related to its bid, it should do so in
writing.
2 Any effort by a Bidder to influence the Employer in the Employer’s bid

evaluation, bid comparison or contract award decisions may result in
rejection of the Bidder’s bid. The Employer shall be the sole judge in this
regard.
12. Award Criteria

No.
12.1 Subject to ITB Clause 14, the Employer will award the contract to the
successful Bidder (also referred to as the L1 Bidder) whose bid has been
determined to be substantially responsive and to be the lowest evaluated
bid, further provided that the Bidder is determined to be qualified, as per
the Qualification Requirement specified in Annexure-A (ITB) to perform
the contract satisfactorily.
12.2 The Employer may request the Bidder to withdraw any of the deviations
listed if any in the winning bid.
At the time of Award of Contract, if so desired by the Employer, the

bidder shall withdraw the deviations. In case the bidder does not
withdraw the deviations proposed by him, if any, at the cost of
withdrawal stated by him in the bid, his bid will be rejected and his bid
security shall be forfeited.
Bidder would be required to comply with all other requirements of the

Bidding Documents except for those deviations which are accepted by
the Employer.
13. Notification of Award
13.1 Prior to the expiration of the period of bid validity, the Employer will
notify the successful Bidder in writing, that its bid has been accepted. The
notification of award will constitute formation of the contract.
13.2 The Employer shall publish the results on its website, identifying the bid
and Specification numbers and the following information: (i) name of
each Bidder who submitted a Bid; (ii) bid prices displayed as per e-form
at bid opening; (iii) name and evaluated prices of each Bid that was
evaluated; (iv) name of bidders whose bids were rejected and the reasons
for their rejection; and (v) name of the winning Bidder, and the price it
offered, as well as the duration and summary scope of the contract
awarded.
The Employer shall promptly respond in writing to any unsuccessful

Bidder who, after notification of award in accordance with above,
requests in writing the grounds on which its bid was not selected.
13.3 Upon the successful Bidder’s furnishing of the performance security

pursuant to ITB 08, the Employer will promptly discharge the bid
securities pursuant to ITB 1.4.1

No.
14. Employer’s Right to Accept any Bid and to Reject any or all Bids
14.1 The Employer reserves the right to accept or reject any bid, and to annul
the bidding process and reject all bids at any time prior to award of
contract, without thereby incurring any liability to the affected Bidder or
bidders or any obligation to inform the affected Bidder or bidders of the
grounds for the Employer’s action.
15. Fraud and Corruption
It is the Employer’s policy that requires the Bidders, suppliers and

contractors and their subcontractors under the contracts to observe the
highest standard of ethics during the procurement and execution of such
contracts. In pursuance of this policy, the Employer:
(a) defines, for the purpose of this provision, the terms set forth below as
follows:
(i) “Corrupt Practice” means offering, giving, receiving, or
soliciting anything of value to influence the action of Employer
official(s) in the procurement process.
(ii) “Fraudulent Practice’” means any act including suppression/
misrepresentation of facts, submissions of forged/ false
documents, making false declarations etc. that knowingly or
recklessly misleads, or attempts to mislead, a party to obtain a
financial gain or benefit, or to avoid an obligation, or to
influence procurement process to the detriment of interest of
the Employer, including collusive practices among bidders
(prior to or after bid submission) to establish bid prices at
artificial, non-competitive levels and to deprive Employer of
the benefits of competitive prices.
(iii) “collusive practice” shall also include an arrangement between

two or more parties designed to achieve an illegitimate
purpose to the detriment of interest of Employer.
(iv) “coercive practice” is impairing or harming, or threatening to

impair or harm, directly or indirectly, any party or the property
of the party to influence improperly the actions of a party;
(v) “Obstructive practice” means
(aa) deliberately destroying, falsifying, altering or concealing

of evidence material to the investigation or making false
statements to investigators in order to materially

No.
impede investigation into allegations of a corrupt,
fraudulent, coercive, or collusive practice; and/ or
threatening, harassing or intimidating any party to
prevent it from disclosing its knowledge of matters
relevant to the investigation or from pursuing the
investigation,
or
(bb) acts intended to materially impede the exercise of the

contractual rights or audit or access to information.
(b) will reject a proposal for award if it determines that the bidder
recommended for award has, directly or through an agent, engaged
in corrupt, fraudulent, collusive, coercive or obstructive practices in
competing for the contract in question.
(c) will sanction a firm or individual, including declaring ineligible,

either indefinitely or for a stated period of time, to be awarded a
contract if it at any time determines that the firm has, directly or
through an agent, engaged in corrupt, fraudulent, collusive, coercive
or obstructive practices in competing for, or in executing, a contract;
and
(d) will have the right to require that the provision be included in Bidding
Documents and in contracts, requiring Bidders, suppliers, and
contractors and their sub-contractors to permit the Employer to
inspect their accounts and records and other documents relating to
bid submission and contract performance and to have them audited
by auditors appointed by the Employer.
----- End of Section-II (ITB) –

Annexure-A (ITB) Vol-I Gem Bid No: GEM/2024/B/5043723
Firozabad cluster
Funding: Domestic Mode of Bidding: DCB]
Qualification Criteria
Qualification of bidder will be based on meeting the minimum passing criteria specified
below regarding the Bidder’s technical Experience, and Financial Position as demonstrated
by the Bidder’s responses in the corresponding Bid Schedules.
The Employer may assess the capacity and capability of the bidder, to ascertain that the
bidder can successfully execute the scope of work covered under the package within
stipulated time period. This assessment shall inter-alia include (i) document verification;
(ii) details of works executed, works in hand, anticipated in future; (iii) manpower and
financial resources; (iv) past experience and performance; (v) customer feedback; (vi)
banker’s feedback etc.
PESL reserves the right to waive minor deviations if they do not materially affect the
capability of the Bidder to perform the contract.
1.0 Experience
1.1 Technical Experience
a) Bidder should have successfully completed satisfactory O&M* of minimum

250kM** route length of 765kV*** or above transmission line in a single (1) Contract
of minimum duration of 2 years or cumulatively in two (2) Contracts of minimum
duration of 1 year each during last 7 years as on the originally scheduled last date
of bid submission (soft copy) i.e. 12.07.2024
OR
b) Successful Erection and stringing**** of not less than 125 kms cumulatively route
length of 400kV$ or above transmission line cumulatively during last 7 years, as on
the originally scheduled last date of bid submission (soft copy) mentioned
above. i.e. 12.07.2024.
Notes for clause 1.1:

* Satisfactory O&M means certificate issued by the Employer certifying the maintenance works
without any adverse remark.
** OR Actual route length if line length in a package is less than 250kM
Page 1 of 2
Annexure-A (ITB) Vol-I Gem Bid No: GEM/2024/B/5043723
*** Maximum voltage level of transmission line considered in the package
**** Successful Erection and Stringing means certificate issued by Employer certifying
successful erection and stringing without any adverse remark.
$ One voltage level below than the highest voltage level in the project
1.2 Financial Position

a) Net worth for last 3 financial years should be positive.
b) Minimum Average Annual Turnover ##(MAAT) for best three years i.e. 36 months out of
last five financial years of the bidder should be Indian Rs 367.67 Lakhs
## Note- Annual Gross Revenue from operations/Gross operating income as incorporated
in the profit & loss account excluding Other operating Income/ Other Income.
c) Bidder shall have liquid assets (L.A) or/ and evidence of access to or availability of
credit facilities of not less than Rs. 61.28 Lakhs
2.0 The bidder shall furnish documentary evidence in support of the qualifying requirement
stipulated above.
Notes: RELAXATION FOR MSEs/ STARTUPs:
(i) MSEs^/ START-UPs^^ meeting the specified requirements at para 1.2(a) above,
shall also be considered qualified if they meet 80% (Eighty percent) of the
requirements specified at para 1.2(b) & para 1.2(c) above.
(ii) ^MSEs as defined in bidding documents.

(iii) ^^START-Ups as defined by DIPP, applicable as on the originally scheduled date of
bid opening.
3.0 JOINT VENTURE FIRMS: Not Eligible.
Page 2 of 2
SECTION – IV
GENERAL CONDITIONS OF CONTRACT (GCC)
Digitally signed by CHARANYA

AMBATI
Section – IV: General Conditions of Contract
Vol.-I/S&I/GCC-DCB/Rev 3 – June 2018 CHARANY DN: c=IN, o=POWER GRID
CORPORATION OF INDIA LIMITED,
2.5.4.20=a7acd0b6197eeb3a8561549
A AMBATI
b560833571fe91a04e49f546a93e1c7
4fdcd85cf6, ou=CS,CID - 4656565,
postalCode=122001, st=Haryana,
cn=CHARANYA AMBATI
Date: 2018.07.24 16:21:10 +05'30'
TABLE OF CLAUSES
Preamble
A. Definitions and Interpretation ................................................................... 1
1. Definitions ...................................................................................................... 1
2. Interpretation ................................................................................................. 5
B. Subject Matter of Contract .......................................................................... 8
3. Scope of Facilities .......................................................................................... 8
4. Time for Commencement and Completion ............................................ 10
5. Contractor’s Responsibilities .................................................................... 10
6. Employer’s Responsibilities...................................................................... 11
C. Payment ......................................................................................................... 12
7. Contract Price ............................................................................................... 12
8. Terms of Payment ........................................................................................ 13
9. Securities ....................................................................................................... 13
10. Taxes and Duties ......................................................................................... 17
D. Intellectual Property ................................................................................... 21
11. Copy Right .................................................................................................... 21
12. Confidential Information .......................................................................... 21
E. Execution of the Facilities .......................................................................... 22
13. Representatives ............................................................................................ 22
14. Work Program .............................................................................................. 24
15. Subcontracting ............................................................................................. 26
16. Design and Engineering............................................................................. 27
17. Plant and Equipment .................................................................................. 29
18. Installation .................................................................................................... 32
19. Test and Inspection ..................................................................................... 50
20. Completion of the Facilities and Operational Acceptance .................. 52
F. Guarantees and Liabilities ........................................................................ 57
21. Completion Time Guarantee..................................................................... 57
22. Defect Liability ............................................................................................ 58
23. Functional Guarantees................................................................................ 61

Vol.-I/S&I/GCC-DCB/Rev 3 – June 2018
24. Equipment Performance Guarantees ....................................................... 62
25. Patent Indemnity ......................................................................................... 63
26. Limitation of Liability ................................................................................ 64
G. Risk Distribution ........................................................................................ 64
27. Transfer of Ownership ............................................................................... 64
28. Care of Facilities .......................................................................................... 65
29. Loss of or Damage to Property; Accident or Injury to Workers;
Indemnification ........................................................................................... 65
30. Insurance ....................................................................................................... 66
31. Change in Laws and Regulations ............................................................. 73
32. Force Majeure ............................................................................................... 73
H. Change in Contract Elements ................................................................... 74
33. Change in the Facilities .............................................................................. 74
34. Extension of Time for Completion........................................................... 77
35. Suspension .................................................................................................... 78
36. Termination .................................................................................................. 79
37. Assignment ................................................................................................... 85
I. Resolution of Disputes............................................................................... 85
38. Settlement of Disputes ............................................................................... 85
39. Arbitration .................................................................................................... 86

GENERAL CONDITIONS OF CONTRACT (GCC)
Preamble
This Section (Section –IV) of the Bidding Documents [named as General

Conditions of Contract (GCC)] provides all the rights and obligations of the
parties under the Contract. This Section contains provisions that are to be used
unchanged unless Section – V [named as Special Conditions of Contract (SCC)]
states otherwise as any changes in GCC or any complementary information
that may be needed has been shown in SCC. If there is a conflict between the
provisions of Section – IV & Section – V, the provisions of Section – V shall
prevail.

A. Definitions and Interpretation
1. Definitions
1.1 The following words and expressions shall have the meanings
hereby assigned to them:
(a) “Arbitrator” means the person or persons appointed by

agreement between the Employer and the Contractor to make a
decision on or to settle any dispute or difference between the
Employer and the Contractor referred to him or her by the
parties pursuant to GCC Sub-Clause 39.1 (Arbitration) hereof.
(b) “Associate” means a party who has been conjoined by the

Contractor to independently execute a pre-selected part of
facilities of the contract and grant him the associated contractual
rights and obligations, without diluting the overall
responsibility of the contractor in respect of the Facilities under
the contract.
(c) “Collaborator” or “Parent Company” means the

firms/corporations who has provided technological support to
the manufacturer for establishing production line for the
specific Equipment.
(d) “Commissioning” means operation of the Facilities or any part

thereof, if any, as per GCC Sub-Clause 1.1(e) by the Contractor
as specified in the Technical Specifications, which operation is
to be carried out by the Contractor as provided in GCC Sub-
Clause 20.1.3 (Commissioning), for the purpose of Trial –
Operation (GCC Sub-Clause 20.1.4).
(e) “Completion” means that the Facilities (or a specific part thereof
where specific parts are specified in the SCC) have been
completed operationally and structurally and put in a tight and
clean condition and that all works in respect of pre-
commissioning of the Facilities (or a specific part thereof where
specific parts are specified in the SCC) has been completed
(wherever required, as per Technical Specifications) and
Commissioning followed by Trail – Operation has been
completed, as provided in GCC Sub-Clause 20.1 (Completion of
Facilities) hereof.
(f) “Contract” means the Contract Agreement entered into between

the Employer and the Contractor together with the Contract
Documents referred to therein.
Section – IV: General Conditions of Contract Page 1

(g) “Contract Documents” means the documents listed in Clause
1.1 of Article 1 (Contract Documents) of the Form of Contract
Agreement (including any amendments thereto).
(h) “Contract Price” means the sum specified in Clause 2.1 of

Article 2 (Contract Price) of the Contract Agreement, subject to
such additions or deductions therefrom, as may be made
pursuant to the Contract. For the purpose of Liquidated
Damages and Contract Performance Guarantee, the “Contract
Price” means the sum specified in Clause 2.1 of Article 2
(Contract Price) of the Contract Agreement.
(i) “Contractor” means the firms whose bid to perform the

Contract has been accepted by the Employer and is named in
the Contract Agreement, and includes the legal successors or
permitted assigns of the Contractor.
(j) “Contractor‟s Equipment” means all plant, facilities, equipment,

machinery, tools, apparatus, appliances or things of every kind
required in or for installation, completion and maintenance of
Facilities that are to be provided by the Contractor, but does not
include Plant and Equipment, or other things intended to form
or forming part of the Facilities.
(k) “Contractor‟s Representative” means any person nominated by

the Contractor and approved by the Employer in the manner
provided in GCC Sub-Clause 13.2 (Contractor‟s Representative
and Construction Manager) hereof to perform the duties
delegated by the Contractor.
(l) “Day” means calendar day of the Gregorian Calendar.
(m) “Defect Liability Period” means the period of validity of the

warranties given by the Contractor commencing at Completion
of the Facilities or a part thereof, if any, as per GCC Sub-Clause
1.1(e), during which the Contractor is responsible for defects
with respect to the Facilities (or the relevant part thereof) as
provided in GCC Clause 22 (Defect Liability) hereof.
(n) “Effective Date” means the date of Notification of Award from

which the Time for Completion shall be determined.
(o) “Employer” means the firm/corporation/ government entity,

named in the SCC, who is responsible for getting the Facilities
implemented. The Employer may be Owner himself or an

agency appointed by the Owner and shall include the legal
successors or permitted assigns of the Employer.
(p) “Facilities” means the Plant and Equipment to be supplied and

installed, as well as all the Installation Services to be carried out
by the Contractor under the Contract.
(q) “GCC” means the General Conditions of Contract hereof.
(r) “Guarantee Test(s)” means the test(s) specified in the Technical

Specifications to be carried out to ascertain whether the
Facilities or a specified part thereof is able to attain the
Functional Guarantees specified in the Technical Specifications
in accordance with the provisions of GCC Sub-Clause 20.2.1
(Guarantee Test) hereof during/after successful Commissioning
followed by Trial - Operation.
(s) “Installation Services” means all those services ancillary to the

supply of the Plant and Equipment for the Facilities, to be
provided by the Contractor under the Contract; e.g.,
transportation and provision of marine or other similar
insurance, inspection, expediting, site preparation works
(including the provision and use of Contractor‟s Equipment and
the supply of all construction materials required), installation,
testing, precommissioning, commissioning, operations,
maintenance, the provision of operations and maintenance
manuals, training, etc.
(t) “Month” means calendar month of the Gregorian Calendar.
(u) “Notification of Award” means the official notice issued by the

Employer notifying the Contractor that his bid has been
accepted.
(v) “Operational Acceptance” means the acceptance by the

Employer of the Facilities (or any part of the Facilities where the
Contract provides for acceptance of the Facilities in parts),
which certifies the Contractor‟s fulfillment of the Contract in
respect of Functional Guarantees of the Facilities (or the
relevant part thereof) in accordance with the provisions of GCC
Sub-Clause 20.2.2 (Operational Acceptance) hereof after
successful Commissioning followed by Trial - Operation.
(w) “Owner” means the firm/corporation/government entity,

named in the SCC, who has decided to set up the Facilities and

shall includes the legal successors or permitted assigns of the
Owner.
(x) “Plant and Equipment” means permanent plant, equipment,

machinery, apparatus, articles and things of all kinds to be
provided and incorporated in the Facilities by the Contractor
under the Contract (including the spare parts to be supplied by
the Contractor under GCC Sub-Clause 3.3 hereof), but does not
include Contractor‟s Equipment.
(y) “Precommissioning” means the testing, checking and other

requirements specified in the Technical Specifications that are to
be carried out by the Contractor in preparation for
Commissioning as provided in GCC Sub-Clause 20.1.2 (Pre-
Commissioning) hereof.
(z) “Project Manager” means the person appointed by the

Employer in the manner provided in GCC Sub-Clause 13.1
hereof to perform the duties delegated by the Employer.
(aa) “SCC” means the Special Conditions of Contract.
(bb) “Site” means the land and other places upon which the Facilities
are to be installed, and such other land or places as may be
specified in the Contract as forming part of the Site.
(cc) “Subcontractor”/”vendor”/”sub-vendor” means firms/

corporations/government entities to whom execution of any
part of the Facilities, including preparation of any design or
supply of any Plant and Equipment, is sub-contracted directly
or indirectly by the Contractor with the consent of the Employer
in writing, and includes its legal successors or permitted
assigns.
(dd) “Taking Over” means the Employer‟s written acceptance of the

Facilities under the Contract, after successful Trial – Operation
for the specified period in accordance with the Contract, as
provided in GCC Sub-Clause 20.1.5.
(ee) “Time for Completion” means the time within which

Completion of the Facilities is to be attained in accordance with
the specifications, as a whole (or of a part of the Facilities where
a separate Time for Completion of such part has been
prescribed in the SCC) and “Taking Over” by the Employer is
to be attained.

2. Interpretation
2.1 Contract
2.1.1 The Contracts to be entered into with the successful Bidder shall be
as under:
(i) First Contract: For Ex works supply of all equipments and

materials including mandatory spares and Type Test to be
conducted (whether in India or abroad) (Supply of Goods
Contract)
(ii) Second Contract: For providing all services i.e. inland

transportation for delivery at site, In-transit insurance,
unloading, handling at site, installation, Testing and
Commissioning including performance testing in respect of all
the equipments supplied under the "First Contract", Training
to be imparted (whether in India or abroad) and any other
services specified in the Contract Documents (Supply of
Services Contract).
2.1.2 The award of two separate Contracts shall not in any way dilute the
responsibility of the Contractor for the successful completion of the
facilities as per Specification and a breach in one Contract shall
automatically be construed as a breach of the other Contract(s) which
will confer a right on the Employer to terminate the other Contract(s)
also at the risk and the cost of the Contractor.
2.1.3 The Contract will be signed in two originals and the Contractor shall
be provided with one signed original and the rest will be retained by
the Employer.
2.1.4 The Contractor shall provide free of cost to the Employer all the
engineering data, drawing and descriptive materials submitted with
the bid, in at least two (2) copies to form a part of the Contract
immediately after Notification of Award.
2.2 Contract Documents
All documents forming part of the Contract (and all parts thereof) are
intended to be correlative, complementary and mutually
explanatory, subject to Article 1.2 (Order of Precedence) of the
Contract Agreement. The Contract shall be read as a whole.

2.3 Language
The ruling language of the Contract and the language for

communications shall be English.
2.4 Singular and Plural
The singular shall include the plural and the plural the singular,
except where the context otherwise requires.
2.5 Headings
The headings and marginal notes in the General Conditions of

Contract are included for ease of reference, and shall neither
constitute a part of the Contract nor affect its interpretation.
2.6 Entire Agreement
Subject to GCC Sub-Clause 12.4 hereof, the Contract constitutes the

entire agreement between the Employer and Contractor with respect
to the subject matter of Contract and supersedes all communications,
negotiations and agreements (whether written or oral) of parties with
respect thereto made prior to the date of Contract.
2.7 Amendment
No amendment or other variation of the Contract shall be effective

unless it is in writing, is dated, expressly refers to the Contract, and is
signed by a duly authorized representative of each party hereto.
2.8 Independent Contractor
The Contractor shall be an independent contractor performing the

Contract. The Contract does not create any agency, partnership, joint
venture or other joint relationship between the parties hereto.
Subject to the provisions of the Contract, the Contractor shall be

solely responsible for the manner in which the Contract is
performed. All employees, representatives or Subcontractors
engaged by the Contractor in connection with the performance of the
Contract shall be under the complete control of the Contractor and
shall not be deemed to be employees of the Employer, and nothing
contained in the Contract or in any subcontract awarded by the
Contractor shall be construed to create any contractual relationship

between any such employees, representatives or Subcontractors and
the Employer.
2.9 Joint Venture
If the Contractor is a joint venture of two or more firms, all such

firms shall be jointly and severally bound to the Employer for the
fulfillment of the provisions of the Contract and shall designate one
of such firms to act as a leader with authority to bind the joint
venture. The composition or the constitution of the joint venture shall
not be altered without the prior written consent of the Employer.
2.10 Non-Waiver
2.10.1 Subject to GCC Sub-Clause 2.10.2 below, no relaxation, forbearance,

delay or indulgence by either party in enforcing any of the terms and
conditions of the Contract or the granting of time by either party to
the other shall prejudice, affect or restrict the rights of that party
under the Contract, nor shall any waiver by either party of any
breach of Contract operate as waiver of any subsequent or
continuing breach of Contract.
2.10.2 Any waiver of a party‟s rights, powers or remedies under the

Contract must be in writing, must be dated and signed by an
authorized representative of the party granting such waiver, and
must specify the right and the extent to which it is being waived.
2.11 Severability
If any provision or condition of the Contract is prohibited or

rendered invalid or unenforceable, such prohibition, invalidity or
unenforceability shall not affect the validity or enforceability of any
other provisions and conditions of the Contract.
2.12 Country of Origin
“Origin” means the place where the materials, equipment and other
supplies for the Facilities are mined, grown, produced or
manufactured, and from which the services are provided. Plant and
equipment are produced when, through manufacturing, processing
or substantial and major assembling of components, a commercially
recognized product results that is substantially different in basic
characteristics or in purpose or utility from its components.

2.13 Notices
2.13.1 Unless otherwise stated in the Contract, all notices to be given under
the Contract shall be in writing, and shall be sent by personal
delivery, special courier, telegraph, facsimile or Electronic Data
Interchange (EDI) to the address of the relevant party set out in the
Contract Agreement, with the following provisions:
(a) Any notice sent by telegraph, facsimile or EDI shall be confirmed

within two (2) days after dispatch by notice sent by special
courier, except as otherwise specified in the Contract.
(b) Any notice sent by special courier shall be deemed (in the
absence of evidence of earlier receipt) to have been delivered
ten (10) days after dispatch. In proving the fact of dispatch, it
shall be sufficient to show that the envelope containing such
notice was properly addressed, stamped and conveyed to the
postal authorities or courier service for transmission by special
courier. Provided further that whenever the postal authorities
or courier service provide a proof of delivery, the same shall
also be applicable for presenting the fact of dispatch.
(c) Any notice delivered personally or sent by telegraph, facsimile

or EDI shall be deemed to have been delivered on date of its
dispatch.
(d) Either party may change its postal, facsimile or EDI address or
addressee for receipt of such notices by ten (10) days‟ notice to
the other party in writing.
2.13.2 Notices shall be deemed to include any approvals, consents,

instructions, orders and certificates to be given under the Contract.
2.14 Governing Law & its Jurisdiction
The Contract shall be governed by and interpreted in accordance

with laws of Union of India and the Courts of New Delhi shall have
exclusive jurisdiction in all maters arising under this Contract.
B. Subject Matter of Contract
3. Scope of Facilities
3.1 Unless otherwise expressly limited in the Technical Specifications,

the Contractor's obligation shall include the provision of all Plant
and Equipment and the performance of all Installation Services
required for the design, the manufacture (including procurement,
quality assurance, construction, installation, associated civil works,
Precommissioning and delivery) of the Plant and Equipment and the
installation, completion, commissioning and performance testing of
the facilities in accordance with the plans, procedures, specifications,
drawings, codes and any other documents as specified in the
Technical specifications. Such specifications include, but are not
limited to, the provision of supervision and engineering services; the
supply of labour, materials, equipment, spare parts (as specified in
GCC Sub-Clause 3.3 below) and accessories; Contractor's Equipment;
construction utilities and supplies; temporary materials, structures
and facilities; transportation (including without limitation, all
clearances, handling etc.); storage and training except for those
supplies, works and services that will be provided or performed by
the Employer, as set forth in Appendix-6 (Scope of Works and
Supply by the Employer) to the Contract Agreement
3.2 The Contractor shall, unless specifically excluded in the Contract,

perform all such work and/or supply all such items and materials
not specifically mentioned in the Contract but that can be reasonably
inferred from the Contract as being required for attaining
Completion of the Facilities as if such work and/or items and
materials were expressly mentioned in the Contract.
3.3 The supply of Mandatory Spare Parts, if any, shall be included in the
Contract. Beside the aforesaid Mandatory Spares parts, the
Contractor shall ensure the availability of spare parts required for the
operation and maintenance of the Facilities to the Employer for a
minimum period of 15 years from Completion of the Facilities. The
Contractor shall carry sufficient inventories to ensure an ex-stock
supply of consumable spares for the plant and equipment. If so
desired by the Employer, the Contractor shall submit the
specifications, price and the terms and conditions relating to the
supply thereof for such spares identified by the Employer with
validity period of 6 months within 30 days of receipt of request from
Employer for its consideration and placement of order.
3.4 The Contractor shall guarantee that in the event of termination of

production of spare parts by the Contractor or his Sub-Contractor:
(i) The Contractor shall send advance notification to the Employer

of the pending termination, with 2 (two) years time to permit
the Employer to procure needed requirements, and

(ii) Following such termination, the Contractor shall furnish at no
cost to the Employer the blueprints, drawings and specification
of the spare parts, if requested.
3.5 In case the Contractor fails to supply the spares parts in accordance
with the terms stipulated above, the Employer shall sanction the
Contractor declaring them ineligible for a stated period of time for
future projects.
4. Time for Commencement and Completion
4.1 The Contractor shall commence work on the Facilities from the
Effective Date of Contract and without prejudice to GCC Sub-Clause
21.2 hereof, the Contractor shall thereafter proceed with the Facilities
in accordance with the time schedule specified in the corresponding
Appendix – 4 (Time Schedule) to the Contract Agreement.
4.2 The Contractor shall attain Completion of the Facilities (or of a part
where a separate time for Completion of such part is specified in the
Contract) within the time stated under Time for Completion or
within such extended time to which the Contractor shall be entitled
under GCC Clause 34 hereof.
5. Contractor’s Responsibilities
5.1 The Contractor shall design, manufacture (including associated

purchases and/or subcontracting), install and complete the Facilities
with due care and diligence in accordance with the Contract.
5.2 The Contractor confirms that it has entered into this Contract on the
basis of a proper examination of the data relating to the Facilities
(including any data as to boring tests) provided by the Employer,
and on the basis of information that the Contractor could have
obtained from a visual inspection of the Site (if access thereto was
available) and of other data readily available to it relating to the
Facilities as of the date twenty-eight (28) days prior to bid
submission. The Contractor acknowledges that any failure to
acquaint itself with all such data and information shall not relieve its
responsibility for properly estimating the difficulty or cost of
successfully performing the Facilities.
5.3 The Contractor shall acquire in its name all permits, approvals
and/or licenses from all local, state or national government
authorities or public service undertakings in the country where the
Site is located that are necessary for the performance of the Contract,
including, without limitation, visas for the Contractor‟s and
Subcontractor‟s personnel and entry permits for all imported
Contractor‟s Equipment. The Contractor shall acquire all other
permits, approvals and/or licenses that are not the responsibility of
the Employer under GCC Sub-Clause 6.3 hereof and that are
necessary for the performance of the Contract.
5.4 The Contractor shall comply with all laws in force in India. The laws
will include all local, state, national or other laws that affect the
performance of the Contract and bind upon the Contractor. The
Contractor shall indemnify and hold harmless the Employer from
and against any and all liabilities, damages, claims, fines, penalties
and expenses of whatever nature arising or resulting from the
violation of such laws by the Contractor or its personnel, including
the Subcontractors and their personnel, but without prejudice to
GCC Sub-Clause 6.1 hereof.
5.5 Any Plant, Material and Services that will be incorporated in or be

required for the Facilities and other supplies shall have their origin
as specified under GCC Sub-Clause 2.12 (Country of Origin).
5.6 The Contractor shall permit the Employer to inspect the Contractor‟s
accounts and records relating to the performance of the Contractor.
6. Employer’s Responsibilities
6.1 The Employer shall ensure the accuracy of all information and/or
data to be supplied by the Employer as described in the
corresponding Appendix - 6 (Scope of Works and Supply by the
Employer) to the Contract, except when otherwise expressly stated in
the Contract.
6.2 The Employer shall be responsible for acquiring and providing legal
and physical possession of the Site and access thereto, and for
providing possession of and access to all other areas reasonably
required for the proper execution of the Contract, including all
requisite rights of way, as specified in the corresponding Appendix –
6 (Scope of Works and Supply by the Employer) to the Contract
Agreement. The Employer shall give full possession of and accord all
rights of access thereto on or before the date(s) specified in that
Appendix.
6.3 The Employer shall acquire and pay for all permits, approvals
and/or licenses from all local, state or national government
authorities or public service undertakings in the country where the
Site is located which such authorities or undertakings require the
Employer to obtain them in the Employer's name, are necessary for
the execution of the Contract (they include those required for the
performance by both the Contractor and the Employer of their
respective obligations under the Contract), including those specified
in Appendix 6 (Scope of Works and Supply by the Employer) to the
Contract Agreement.
6.4 If requested by the Contractor, the Employer shall use its best
endeavors to assist the Contractor in obtaining in a timely and
expeditious manner all permits, approvals and/or licenses necessary
for the execution of the Contract from all local, state or national
government authorities or public service undertakings that such
authorities or undertakings require the Contractor or Subcontractors
or the personnel of the Contractor or Subcontractors, as the case may
be, to obtain.
6.5 Unless otherwise specified in the Contract or agreed upon by the

Employer and the Contractor, the Employer shall provide sufficient,
properly qualified operating and maintenance personnel; shall
supply and make available all raw materials, utilities, lubricants,
chemicals, catalysts, other materials and facilities; and shall perform
all work and services of whatsoever nature, to enable the Contractor
to properly carry out Commissioning, all in accordance with the
provisions of Appendix 6 (Scope of Works and Supply by the
Employer) to the Contract Agreement at or before the time specified
in the program furnished by the Contractor under GCC Sub-Clause
14.2 (Program of Performance) hereof and in the manner thereupon
specified or as otherwise agreed upon by the Employer and the
Contractor.
6.6 The Employer shall be responsible for the continued operation of the
Facilities after Taking Over, in accordance with GCC Sub-Clause
20.1.5.
6.7 All costs and expenses involved in the performance of the obligations
under this GCC Clause 6 shall be the responsibility of the Employer.
C. Payment
7. Contract Price
7.1 The Contract Price shall be as specified in Article 2 (Contract Price

and Terms of Payment) of the Form of Contract Agreement.
7.2 The Contract Price shall be subject to adjustment in accordance with

the provisions of Appendix 2 (Price Adjustment) to the Contract
Agreement. The Contract Price shall be increased or reduced on
account of variation in quantity in accordance with Clause 33 of
GCC.
7.3 Subject to GCC Sub-Clauses 5.2 and 6.1 hereof, the Contractor shall
be deemed to have satisfied itself as to the correctness and
sufficiency of the Contract Price, which shall, except as otherwise
provided for in the Contract, cover all its obligations under the
Contract.
8. Terms of Payment
8.1 The Contract Price shall be paid as specified in the corresponding

Appendix - 1 (Terms and Procedures of Payment) to the Contract
Agreement. The procedures to be followed in making application for
and processing payments shall be those outlined in the same
Appendix.
8.2 All payments under the Contract shall be made in Indian Rupees.
9. Securities
9.1 Issuance of Securities
The Contractor shall provide the securities specified below in favor

of the Employer at the times, and in the amount, manner and form
specified below.
9.2 Advance Payment Security
9.2.1 The Contractor shall, within twenty-eight (28) days of the notification
of contract award, provide a security in an amount equal to as
follows:
a. 110% (one hundred ten percent) of the amount of Advance for Supply
of Goods; and
b. 110% (one hundred ten percent) of the {amount of Advance} plus

{amount of GST reimbursable on Advance as per the Proforma
invoice} for Supply of Services.
The above shall be calculated in accordance with the corresponding

Appendix - 1 (Terms and Procedures of Payment) to the Contract
Agreement, and in the same currency(ies) with initial validity of up
to ninety (90) days beyond the date of Completion of the Facilities in
accordance with GCC Sub-Clause 20.1. The same shall be extended
by the Contractor time to time till ninety (90) days beyond the actual
date of Completion of the Facilities, as may be required under the
Contract.
9.2.2 The security shall be in the Form of unconditional Bank Guarantee

attached hereto in Section VI - Sample Forms and Procedures. The
security shall be discharged after completion of the facilities or
relevant part thereof corresponding to which advance has been
drawn.
- Procedure for effective reduction in the Advance Payment

Security
The Advance Payment Security shall be allowed to be reduced every

six (06) months after First Running Account Bill/Stage payment
under the Contract if the validity of the Bank Guarantee is more than
one year. The cumulative amount of reduction at any point of time
shall not exceed seventy five percent (75%) of the advance
corresponding to cumulative value of the Facilities completed as per
a certificate to be issued by the Project Manager. It should be clearly
understood that reduction in the value of advance Bank Guarantee
shall not in any way dilute the Contractor's responsibility and
liabilities under the Contract including in respect of the Facilities for
which reduction in the value of security is allowed.
9.3 Performance Security
9.3.1 The Contractor shall, within twenty-eight (28) days of the notification
of award, provide a performance security for the due performance of
the Contract in the amount equivalent to Ten percent (10%) of the
Contract Price, with a validity upto ninety (90) days beyond the
Defect Liability Period. The same shall be extended by the Contractor
time to time till ninety (90) days beyond the actual Defect Liability
Period, as may be required under the Contract.
Apart from the Contractor‟s performance security, the Contractor

shall be required to arrange additional performance securities, as
specified in SCC, within twenty-eight (28) days of the notification of
award in favour of the Employer in the form acceptable to the
Employer.
9.3.1.1 Notwithstanding above, in case of the performance security (ies) for

which the validity as per GCC Clause 9.3.1 is required to be more
than 5 years, the Contractor may choose to submit the performance
security with initial validity of 5 years. In such cases, the Contractor
shall, however be required to extend the validity till ninety (90) days
beyond the actual Defect Liability Period, as may be required under

the Contract at any time, but no later than 6 months, prior to expiry
of the performance security failing which the said performance
security shall be forfeited by the Employer.
9.3.1.2 If the Contractor delays submission of the performance security(ies)

vis-à-vis the period specified in Clause GCC 9.3.1, then without
prejudice to any other rights or remedies available with the
Employer, following shall also be applicable:
a) The Defect Liability Period pursuant to Clause GCC 22 for the

Facilities or any relevant part thereof covered under the said
performance security shall stand extended and the Contractor
shall accordingly extend the validity of the Contract Performance
Security to be furnished as per Clause GCC 9.3.1 by the period of
delay as per Clause GCC 9.3.1.2 (c), over and above the period
required as per the Contract.
b) Alternatively, if the Contractor fails to extend the validity of the

performance security pursuant to Clause GCC 9.3.1.1 (b), an
amount @preailing SBI Card Rate applicable for Inland Bank
Guarantee +2% per annum on the performance security amount
corresponding to the Facilities or any relevant part thereof
covered under the said performance security, for the period of
delay as per Clause GCC 9.3.1.2 (c) shall be paid by the
Contractor to the Employer. The Employer may, without
prejudice to any other method of recovery, deduct the amount
worked out as above from any monies due or to become due to
the Contractor under the Contract.
c) The period of delay for the above purpose shall be the time
elapsed between the due date for submission of performance
security as per the Contract and the date of performance security.
d) In case the Contractor fails to submit the performance security

within 90 days of the Notification of Award, the Employer,
without prejudice to any other rights or remedies it may possess
under the Contract, may forfeit the bid security and/or may
terminate the Contract forthwith pursuant to GCC Clause 36.
9.3.1.3 The above extension of Defect Liability Period or deduction shall not
relieve the Contractor from any of his obligations and liabilities
under the Contract.
9.3.1.4 The Employer shall be sole judge in above regard.

9.3.1.5 Apart from the performance security(ies) to be furnished as per Clause
GCC 9.3.1 above, additional performance securities, as specified in
the Bidding Documents, shall be arranged and furnished by the
Contractor at any time after the Notification of Award. The
submission of these performance securities to the Employer shall,
however, be one of the conditions precedent for release of payment
(other than Initial/Mobilisation advance) due against such
equipment/ works for which the said performance security is
required to be submitted.
9.3.2 The performance security shall be in the Form of unconditional Bank

Guarantee attached hereto in the Section VI - Sample Forms and
Procedures.
9.3.3 Reduction in the security pro rata to the Contract Price of any part of
the Facilities is not admissible. However, if the Defects Liability
Period has been extended on any part of the Facilities pursuant to
GCC Sub-Clause 22.8 hereof, the Contractor shall issue an additional
security in an amount proportionate to the Contract Price of that
part. The security shall be returned to the Contractor immediately
after its expiration, provided, however, that if the Contractor
pursuant to GCC Sub-Clause 22, is liable for an extended warranty
obligation, the performance security shall be reduced to ten percent
(10%) of the value of the component covered by the extended
warranty.
9.3.4 In case of award of the contract to a Joint Venture, the Bank

Guarantees for performance security and the Bank Guarantee for
advance payment shall be submitted in the name of all the partner(s)
of the Joint Venture
9.4 Issuing Banks
The Bank Guarantee for Advance Payment Security and Performance

Security are to be provided by the Contractor, which should be
issued either:
(a) by a Public Sector Bank located in India, or
(b) a scheduled Indian Bank having paid up capital (net of any

accumulated losses) of Rs. 1,000 Million or above (the latest
annual report of the Bank should support compliance of capital
adequacy ratio requirement) as per attached list only [List is
placed at Annexure-I to Special Conditions of Contract (SCC)], or

(c) by a foreign bank or a subsidiary of a foreign bank, acceptable
to the Employer, with overall international corporate rating or
rating of long term debt not less than A- (A minus) or
equivalent by a reputed rating agency. Further, the Bank
Guarantee should be confirmed by either (i) its corresponding
bank located in India; or (ii) a Public Sector Bank located in
India; or (iii) a scheduled commercial private bank located in
India as per the attached list only [List is placed at Annexure-I to
Special Conditions of Contract (SCC)].
9.5 Indemnity
9.5.1 For the equipment/material to be provided by the Contractor, it will

be the responsibility of the Contractor to take delivery, unload and
store the materials at Site and execute an Indemnity Bond and obtain
authorisation letter from Employer as per proforma enclosed at
Section VI (Sample Forms and Procedures), in favour of the
Employer against loss, damage and any risks involved for the full
value of the materials. This Indemnity Bond shall be furnished by the
Contractor before commencement of the supplies and shall be valid
till the scheduled date of Taking Over of the equipment by the
Employer.
9.5.2 In case of divisible Contracts, where the Employer hands over his
equipment to the Contractor for executing the Contract, then the
Contractor shall, at the time of taking delivery of the equipment
through Bill of Lading or other despatch documents, furnish trust
Receipt for Plant, Equipment and Materials and also execute an
Indemnity Bond in favour of the Employer in the form acceptable to
the Employer for keeping the equipment in safe custody and to
utilize the same exclusively for the purpose of the said Contract.
Samples of proforma for the Trust receipt and Indemnity Bond are
enclosed under Section VI (Sample Forms and Procedures). The
Employer shall also issue a separate Authorization Letter to the
Contractor to enable him to take physical delivery of plant,
equipment and materials from the Employer as per proforma
enclosed under Section VI (Sample Forms and Procedures).
10. Taxes and Duties
10.1 The Contractor shall be entirely responsible for payment of all taxes,
duties, licence fees and other such levies legally payable/incurred
until delivery of the contracted supplies to the Employer.
If it is statutory requirement to make deductions towards such taxes

and duties or any other applicable taxes and duties, the same shall be
made by the Employer and a certificate for the same shall be issued
to the Contractor.
10.2 The Contractor shall be solely responsible for the taxes that may be
levied on the Contractor's persons or on earnings of any of his
employees and shall hold the Employer indemnified and harmless
against any claims that may be made against the Employer. The
Employer does not take any responsibility whatsoever regarding
taxes under Indian Income Tax Act, for the Contractor or his
personnel. If it is obligatory under the provisions of the Indian
Income Tax Act, deduction of Income Tax at source shall be made by
the Employer.
10.3 In respect of supply of goods to the Employer by the Contractor, the

EXW price is inclusive of all cost as well as duties and tax (viz.,
custom duties & levies, duties, GST etc.) paid or payable on
components, raw materials and any other items used for their
consumption incorporated or to be incorporated in the Plant &
Equipment.
Further, the EXW price of (i) imported Equipments/items offered as

„Off the Shelf‟ or dispatched directly from the Indian Port of
disembarkation are inclusive of all cost as well as any duties
paid/payable in relation to import of such goods (viz., Customs
duties, GST & levies etc.) and no separate claim on this behalf will be
entertained by the Employer. If any tax exemptions, reductions,
allowances or privileges may be available to the Contractor in the
Country where the site is located and the Contractor has declared the
same in its bid, the Employer shall use its best endeavors to enable
the Contractor to benefit from such tax savings to the maximum
allowable extent.
The Input Tax Credit (ITC) available, if any, under GST as per the
relevant Government laws wherever applicable has been taken into
account by the Contractor.
10.4 Ex-works price for the supply of goods viz. Equipment/items by the
Contractor is excluding GST, if any, payable. The GST will be
reimbursable (along with subsequent variation if any), by the
Employer on the supplies made by the Contractor but limited to the
tax liability on the transaction between the Employer and the
Contractor.
Type test charges, if applicable, are excluding GST, if any, payable.

Type test shall be considered an incidental expense incurred prior to
the supply of goods viz. Equipment/items and would be added to
the value of goods viz. Equipment/items for GST purposes and GST
for Type Test shall be reimbursed at the rate applicable for such
Equipment/items.
Further the price for supply of services viz. Installation and training
are excluding GST, if any, payable. The GST will be reimbursable
(along with subsequent variation if any), by the Employer on the
supplies made by the Contractor but limited to the tax liability on the
transaction between the Employer and the Contractor.
It is the Employer‟s understanding that as per extant provisions, on

the charges for supply of services related to Inland transportation, In-
transit insurance, loading and unloading by the Contractor to the
Employer, GST is not payable. The Contractor is, however, advised
to check the position from their own sources. If payable, the same
shall be to the Contractor‟s account and Employer shall not
reimburse any GST on this account.
10.5 Employer would not bear any liability on account of any other taxes,
duties, levies applicable locally.
10.6 Employer shall, deduct taxes at source as per the applicable

laws/rules, if any, and issue Tax Deduction at Source (TDS)
Certificate to the Contractor.
10.7 Reimbursement of GST by the Employer shall be at the rate

applicable on the HSN/SAC of the goods/ services supplied by the
Contractor to the Employer. The reimbursement of GST except GST
on advance payment shall be against Invoice/Debit Note containing
particulars specified under the GST Act and related Rules,
Notifications, etc as notified by the Government in this regard. In the
event that the Contractor fails to provide the invoice in the form and
manner prescribed under the GST Act and Rules, the Employer shall
not be liable to make any payment against such invoice.
Reimbursement of GST payment against Advance payment
(applicable for Supply of Services) shall be against a proforma
invoice. Further, the Contractor shall, within 7 days from the date of
receipt of Advance, furnish an Advance Receipt Voucher to the
Employer, as prescribed under the GST Law.
If there is difference in HSN/SAC classification and corresponding

rate of GST of an item as confirmed/deemed confirmed by the
bidder in its bid and HSN/SAC and corresponding rate of GST as
interpreted under any interpretation/ judgment/ Notification/
Circular/ amendment issued under the GST law before or after the
award of contract, GST reimbursable to the bidder/Contractor shall

be lower of the GST applicable at the rate as confirmed/deemed
confirmed in the bid or actual GST paid/payable by the bidder for
that item.
10.8 The Contractor shall comply with all tax laws in force in India. The
Contractor shall indemnify and hold harmless the Employer from
and against any and all liabilities, interest, damages, claims, fines,
penalties and expenses of whatever nature arising or resulting from
the violation of such tax laws by the Contractor or its personnel,
including the Subcontractors and their personnel.
10.9 Owner‟s GSTIN number in each state/UT is published on the Owner‟s

company website https://www.powergridindia.com.While raising
invoice/proforma invoice for Supply of Goods, Contactor shall bill to
and ship to the address of the Owner in the State/UT where the
Goods or part thereof is to be Supplied and mention GSTIN of
Owner in of the same state/UT. In case of Supply of Services, the
Contractor shall invoice the Owner using the GSTIN of Owner in the
state/UT in which the service or part thereof is to be rendered.
10.10 Notwithstanding anything above or elsewhere in the Contract, in the

event that the input tax credit of the GST charged by the Contractor
is denied by the tax authorities to the Employer for reasons
associated with non-compliance/ incorrect compliance by the
Contractor, the Employer shall be entitled to recover such amount
from the Contractor by way of adjustment from any of the
subsequent invoices submitted by the Contractor to the Employer. In
addition to the amount of GST, the Employer shall also be entitled to
recover interest and penalty, in case any interest and/or penalty are
imposed by the tax authorities on the Employer for incorrect/wrong
availment of Input Tax Credit. The Employer shall determine
whether the denial of credit is linked to the non-compliance/
incorrect compliance of the Contractor and the said determination
shall be binding on the Contractor.
10.11 For the purpose of the Contract, it is agreed that the Contract Price
specified in Article 2(Contract Price and Terms of Payment) of the
Contract Agreement is based on the taxes, duties, levies and charges
prevailing at the date seven (07) days prior to the last date of bid
submission (hereinafter called “Tax” in this GCC Sub-clause 10.7). If
any rates of Tax are increased or decreased, a new Tax is introduced,
an existing Tax is abolished, or any change in interpretation except
for classification related purpose, or application of any Tax occurs in
the course of the performance of the Contract, which was or will be
assessed on the Contractor in connection with performance of the
Contract, an equitable adjustment of the Contract price shall be made

to fully take into account any such change by addition to the
Contract price or deduction therefrom, as the case may be, in
accordance with GCC Clause 31 (Changes in Laws and Regulations)
hereof. These adjustments shall be applicable for all transactions
between the Employer and the Contractor for supply of goods and
services under the Contract but shall not be applicable on
procurement of raw materials, intermediary components etc. by the
Contractor and on account of variation in taxes, duties & levies
applicable locally.
In respect of raw materials, intermediary components etc and the

taxes, duties & levies applicable locally, neither the Employer nor the
Contractor shall be entitled to any claim arising due to increase or
decrease in the rate of Tax, introduction of a new Tax or abolition of
an existing Tax in the course of the performance of the Contract.
D. Intellectual Property
11. Copy Right
11.1 The copyright in all drawings, documents and other materials

containing data and information furnished to the Employer by the
Contractor herein shall remain vested in the Contractor or, if they are
furnished to the Employer directly or through the Contractor by any
third party, including supplies of materials, the copyright in such
materials shall remain vested in such third party.
The Employer shall however be free to reproduce all drawings,

documents and other material furnished to the Employer for the
purpose of the Contract including, if required, for operation and
maintenance.
11.2 The copyright in all drawings, documents and other materials

containing data and information furnished to the Contractor by the
Employer herein shall remain vested in the Employer.
12. Confidential Information
12.1 The Employer and the Contractor shall keep confidential and shall
not, without the written consent of the other party hereto, divulge to
any third party any documents, data or other information furnished
directly or indirectly by the other party hereto in connection with the
Contract, whether such information has been furnished prior to,
during or following termination of the Contract. Notwithstanding
the above, the Contractor may furnish to its Subcontractor(s) such
documents, data and other information it receives from the Employer
to the extent required for the Subcontractor(s) to perform its work
under the Contract, in which event the Contractor shall obtain from
such Subcontractor(s) an undertaking of confidentiality similar to
that imposed on the Contractor under this GCC Clause 12.
12.2 The Employer shall not use such documents, data and other
information received from the Contractor for any purpose other than
the operation and maintenance of the Facilities. Similarly, the
Contractor shall not use such documents, data and other information
received from the Employer for any purpose other than the design,
procurement of Plant and Equipment, construction or such other
work and services as are required for the performance of the
Contract.
12.3 The obligation of a party under GCC Sub-Clauses 12.1 and 12.2
above, however, shall not apply to that information which
(a) now or hereafter enters the public domain through no fault of

that party
(b) can be proven to have been possessed by that party at the time
of disclosure and which was not previously obtained, directly
or indirectly, from the other party hereto
(c) otherwise lawfully becomes available to that party from a third
party that has no obligation of confidentiality.
12.4 The above provisions of this GCC Clause 12 shall not in any way
modify any undertaking of confidentiality given by either of the
parties hereto prior to the date of the Contract in respect of the
Facilities or any part thereof.
12.5 The provisions of this GCC Clause 12 shall survive termination, for
whatever reason, of the Contract.
E. Execution of the Facilities
13. Representatives
13.1 If the Project Manager is not named in the Contract, then within
fourteen (14) days of the Effective Date, the Employer shall appoint
and notify the Contractor in writing of the name of the Project
Manager. The Employer may from time to time appoint some other
person as the project Manager in place of the person previously so
appointed, and shall give a notice of the name of such other person
to the Contractor without delay. The Employer shall take all
reasonable care to see that no such appointment is made at such a
time or in such a manner as to impede the progress of work on the
Facilities. The Project Manager shall represent and act for the
Employer at all times during the currency of the Contract. All
notices, instructions, orders, certificates, approvals and all other
communications under the Contract shall be given by the Project
Manager, except as herein otherwise provided.
All notices, instructions, information and other communications

given by the Contractor to the Employer under the Contract shall be
given to the Project Manager, except as herein otherwise provided.
13.2 Contractor‟s Representative & Construction Manager
13.2.1 If the Contractor‟s Representative is not named in the Contract, then

within fourteen (14) days of the Effective Date, the Contractor shall
appoint the Contractor‟s Representative and shall request the
Employer in writing to approve the person so appointed. If the
Employer makes no objection to the appointment within fourteen
(14) days, the Contractor‟s Representative shall be deemed to have
been approved. If the Employer objects to the appointment within
fourteen (14) days giving the reason therefor, then the Contractor
shall appoint a replacement within fourteen (14) days of such
objection, and the foregoing provisions of this GCC Sub-Clause
13.2.1 shall apply thereto.
13.2.2 The Contractor‟s Representative shall represent and act for the
Contractor at all times during the currency of the Contract and shall
give to the Project Manager all the Contractor‟s notices, instructions,
information and all other communications under the Contract. All
notices, instructions, information and all other communications
given by the Employer or the Project Manager to the Contractor
under the Contract shall be given to the Contractor‟s Representative
or, in its absence, its deputy, except as herein otherwise provided.
The Contractor shall not revoke the appointment of the Contractor‟s
Representative without the Employer‟s prior written consent, which
shall not be unreasonably withheld. If the Employer consents thereto,
the Contractor shall appoint some other person as the Contractor‟s
Representative, pursuant to the procedure set out in GCC Sub-Clause
13.2.1.
13.2.3 The Contractor‟s Representative may, subject to the approval of the

Employer (which shall not be unreasonably withheld), at any time
delegate to any person any of the powers, functions and authorities
vested in him or her. Any such delegation may be revoked at any
time. Any such delegation or revocation shall be subject to a prior
notice signed by the Contractor‟s Representative, and shall specify
the powers, functions and authorities thereby delegated or revoked.
No such delegation or revocation shall take effect unless and until a
copy thereof has been delivered to the Employer and the Project
Manager. Any act or exercise by any person of powers, functions and
authorities so delegated to him or her in accordance with this GCC
Sub-Clause 13.2.3 shall be deemed to be an act or exercise by the
Contractor‟s Representative.
13.2.3.1 Notwithstanding anything stated in GCC Sub-Clause 13.1 and 13.2.1

above, for the purpose of execution of Contract, the Employer and
the Contractor shall finalize and agree to a Contract Co-ordination
Procedure and all the communication under the Contract shall be in
accordance with such Contract Coordination Procedure.
13.2.4 From the commencement of installation of the Facilities at the Site

until Operational Acceptance, the Contractor's Representative shall
appoint a suitable person as the construction manager, (hereinafter
referred to as "the Construction Manager"). The Construction
Manager shall supervise all work done at the Site by the Contractor
and shall be present at the Site through-out normal working hours
except when on leave, sick or absent for reasons connected with the
proper performance of the Contract. Whenever the Construction
Manager is absent from the Site, a suitable person shall be appointed
to act as his or her deputy.
13.2.5 The Employer may by notice to the Contractor object to any

representative or person employed by the Contractor in the
execution of the Contract who, in the reasonable opinion of the
Employer, may behave inappropriately, may be incompetent or
negligent, or may commit a serious breach of the Site regulations
provided under GCC Sub-Clause 18.3. The Employer shall provide
evidence of the same, whereupon the Contractor shall remove such
person from the Facilities.
13.2.6 If any representative or person employed by the Contractor is

removed in accordance with GCC Sub-Clause 13.2.5, the Contractor
shall, where required, promptly appoint a replacement.
14. Work Program
14.1 Contractor‟s Organization
The Contractor shall supply to the Employer and the Project

Manager a chart showing the proposed organization to be
established by the Contractor for carrying out work on the Facilities.
The chart shall include the identities of the key personnel together
with the curricula vitae of such key personnel to be employed within
twenty-one (21) days of the Effective Date. The Contractor shall
promptly inform the Employer and the Project Manager in writing of
any revision or alteration of such an organization chart.
14.2 Program of Performance
Within twenty-eight (28) days after the date of Notification of

Award, the Contractor shall prepare and submit to the Project
Manager a detailed program of performance of the Contract (L2
Network) in the form of the Critical Path Method (CPM), the PERT
network, or other internationally used programs and showing the
sequence in which it proposes to design, manufacture, transport,
assemble, install and pre-commissioning the Facilities, as well as the
date by which the Contractor reasonably requires that the Employer
shall have fulfilled its obligations under the Contract so as to enable
the Contractor to execute the Contract in accordance with the
program and to achieve Completion, Commissioning and
Acceptance of the Facilities in accordance with the Contract. The
program so submitted by the Contractor shall accord with the Time
Schedule included in Appendix-4 (Time Schedule) to the Contract
Agreement and any other dates and periods specified in the
Contract. The Contractor shall update and revise the program as and
when appropriate or when required by the Project Manager, but
without modification in the Times for Completion under GCC Sub-
Clause 4.2 and any extension granted in accordance with GCC
Clause 34, and shall submit all such revisions to the Project Manager.
14.3 Progress Report
The Contractor shall monitor progress of all the activities specified in

the program referred to in GCC Sub-Clause 14.2 above, and supply a
progress report to the Project Manager every month.
The progress report shall be in a form acceptable to the Project

Manager and shall indicate: (a) percentage completion achieved
compared with the planned percentage completion for each activity;
and (b) where any activity is behind the program, giving comments
and likely consequences and stating the corrective action being
taken.
14.4 Progress of Performance
If at any time the Contractor‟s actual progress falls behind the

program referred to in GCC Sub-Clause 14.2, or it becomes apparent
that it will so fall behind, the Contractor shall, at the request of the
Employer or the Project Manager, prepare and submit to the Project
Manager a revised program, taking into account the prevailing
circumstances, and shall notify the Project Manager of the steps
being taken to expedite progress so as to attain Completion of the
Facilities within the Time for Completion under GCC Sub-Clause 4.2,
any extension thereof entitled under GCC Sub-Clause 34.1, or any
extended period as may otherwise be agreed upon between the
Employer and the Contractor.
14.5 Work Procedures
The Contract shall be executed in accordance with the Contract

Documents and the procedures given in the section on Sample Forms
and Procedures of the Contract Documents.
The Contractor may execute the Contract in accordance with its own
standard project execution plans and procedures to the extent that
they do not conflict with the provisions contained in the Contract.
15. Subcontracting
15.1 The corresponding Appendix (List of Approved Subcontractors) to

the Contract Agreement specifies major items of supply or services
and a list of approved Subcontractors against each item, including
vendors. Insofar as no Subcontractors are listed against any such
item, the Contractor shall prepare a list of Subcontractors for such
item for inclusion in such list. The Contractor may from time to time
propose any addition to or deletion from any such list. The
Contractor shall submit any such list or any modification thereto to
the Employer for its approval in sufficient time so as not to impede
the progress of work on the Facilities. Such approval by the
Employer for any of the Subcontractors shall not relieve the
Contractor from any of its obligations, duties or responsibilities
under the Contract.
15.2 The Contractor shall select and employ its Subcontractors for such
major items from those listed in the lists referred to in GCC Sub-
Clause 15.1.
15.3 For items or parts of the Facilities not specified in the corresponding
Appendix (List of Approved Subcontractors) to the Contract
Agreement for Supply Contract(s), the Contractor may employ such
Subcontractors as it may select, at its discretion.
15.4 The Contractor shall furnish the details of items, components, raw
materials, services etc. procured from MSEs and consumed for
completion of scope of works under the contract. The details shall be
furnished as per the format enclosed at Section VI, Forms, Volume-I
of the bidding documents at the time of raising bills for payment
against the supplies made/works done.
16. Design and Engineering
16.1 Specifications and Drawings
16.1.1 The Contractor shall execute the basic and detailed design and the
engineering work in compliance with the provisions of the Contract,
or where not so specified, in accordance with good engineering
practice.
The Contractor shall be responsible for any discrepancies, errors or

omissions in the specifications, drawings and other technical
documents that it has prepared, whether such specifications,
drawings and other documents have been approved by the Project
Manager or not, provided that such discrepancies, errors or
omissions are not because of inaccurate information furnished in
writing to the Contractor by or on behalf of the Employer.
16.1.2 The Contractor shall be entitled to disclaim responsibility for any

design, data, drawing, specification or other document, or any
modification thereof provided or designated by or on behalf of the
Employer, by giving a notice of such disclaimer to the Project
Manager.
16.2 Codes and Standards
Wherever references are made in the Contract to codes and

standards in accordance with which the Contract shall be executed,
the edition or the revised version of such codes and standards
current at the date twenty-eight (28) days prior to date of bid
submission shall apply unless otherwise specified. During Contract
execution, any changes in such codes and standards shall be applied
after approval by the Employer and shall be treated in accordance
with GCC Clause 33.
16.3 Approval/Review of Technical Documents by Project Manager
16.3.1 The Contractor shall prepare (or cause its Subcontractors to prepare)
and furnish to the Project Manager the documents listed in
Appendix-7 (List of Documents for Approval or Review) to the
Contract Agreement for its approval or review as specified and as in

accordance with the requirements of GCC Sub-Clause 14.2 (Program
of Performance).
Any part of the Facilities covered by or related to the documents to

be approved by the Project Manager shall be executed only after the
Project Manager's approval thereof.
GCC Sub-Clauses 16.3.2 through 16.3.7 shall apply to those

documents requiring the Project Manager's approval, but not to those
furnished to the Project Manager for its review only.
16.3.2 Within twenty one (21) days after receipt by the Project Manager of
any document requiring the Project Manager's approval in
accordance with GCC Sub-Clause 16.3.1, the Project Manager shall
either return one copy thereof to the Contractor with its approval
endorsed thereon or shall notify the Contractor in writing of its
disapproval thereof and the reasons therefor and the modifications
that the Project Manager proposes.
16.3.3 The Project Manager shall not disapprove any document, except on
the grounds that the document does not comply with some specified
provision of the Contract or that it is contrary to good engineering
practice.
16.3.4 If the Project Manager disapproves the document, the Contractor

shall modify the document and resubmit it for the Project Manager's
approval in accordance with GCC Sub-Clause 16.3.2. If the Project
Manager approves the document subject to modification(s), the
Contractor shall make the required modification(s), and upon
resubmission with the required modifications the document shall be
deemed to have been approved.
The procedure for submission of the documents by the Contractor

and their approval by the Project Manager shall be discussed and
finalized with the Contractor.
16.3.5 If any dispute or difference occurs between the Employer and the
Contractor in connection with or arising out of the disapproval by
the Project Manager of any document and/or any modification(s)
thereto that cannot be settled between the parties within a reasonable
period, then such dispute or difference may be referred to an
Arbitrator for determination in accordance with GCC Sub-Clause 39
hereof. If such dispute or difference is referred to an Arbitrator, the
Project Manager shall give instructions as to whether and if so, how,
performance of the Contract is to proceed. The Contractor shall
proceed with the Contract in accordance with the Project Manager‟s
instructions, provided that if the Arbitrator upholds the Contractor‟s
view on the dispute and if the Employer has not given notice under
GCC Sub-Clause 39 hereof, then the Contractor shall be reimbursed
by the Employer for any additional costs incurred by reason of such
instructions and shall be relieved of such responsibility or liability in
connection with the dispute and the execution of the instructions as
the Arbitrator shall decide, and the Time for Completion shall be
extended accordingly.
16.3.6 The Project Manager‟s approval, with or without modification of the

document furnished by the Contractor, shall not relieve the
Contractor of any responsibility or liability imposed upon it by any
provisions of the Contract except to the extent that any subsequent
failure results from modifications required by the Project Manager.
16.3.7 The Contractor shall not depart from any approved document unless
the Contractor has first submitted to the Project Manager an
amended document and obtained the Project Manager‟s approval
thereof, pursuant to the provisions of this GCC Sub-Clause 16.3. If
the Project Manager requests any change in any already approved
document and/or in any document based thereon, the provisions of
GCC Clause 33 shall apply to such request.
17. Plant and Equipment
17.1 Subject to GCC Sub-Clause 10.2, the Contractor shall manufacture or

procure and transport all the Plant and Equipment in an expeditious
and orderly manner to the Site.
17.2 Employer-Supplied Plant, Equipment, and Materials
If the corresponding Appendix – 6 (Scope of Works and Supply by

the Employer) to the Contract Agreement provides that the
Employer shall furnish any specific items of machinery, equipment
or materials to the Contractor, the following provisions shall apply:
17.2.1 The Employer shall, at its own risk and expense, transport each item
to the place on or near the Site as agreed upon by the parties and
make such item available to the Contractor at the time specified in
the program furnished by the Contractor, pursuant to GCC Sub-
Clause 14.2, unless otherwise mutually agreed.
17.2.2 The equipment & materials to be furnished by the Employer shall be

supplied to the Contractor at the depots established by the
Contractor or the Employer. The Lorry Receipts for the materials will
be handed over to the Contractor by the representative of the
Employer as and when the same are received. The Contractor shall
be responsible for taking delivery of these materials from the
railways/road transporter, unloading them from the transporter,
carting them to different stores built by him for the purpose, the
unloading and cartage being at the cost of the Contractor. All
wharfage and demurrage charges incurred due to delay in taking
delivery will be to the Contractor‟s account, except those due to
reasons beyond his control in which case the Contractor shall
immediately intimate the Engineer for settling the claims. The
Contractor shall be responsible for proper handling and storage of
these materials from the time of receipt upto the time of Taking Over
of the Facilities by the Employer.
17.2.3 Yards and store provided by the Contractor for stacking and storage
of materials shall be open for inspection by the Employer as and
when required. The cost of handling and storage shall be to the
Contractor‟s account.
17.2.4 Upon receipt of such item, the Contractor shall inspect the same
visually and notify the Project Manager of any detected shortage,
defect or default. For the material being arranged by the Employer
and supplied to the Contractor for erection, are received short,
broken or damaged, an entry shall be made in the delivery register of
the railway authorities/road transporter as far as possible and a
report of the same giving full details of shortage and damages along
with a copy of report entered in the delivery register of the road
transporter/railways shall be submitted by the Contractor to the
Project Manager and Employer‟s consignee immediately. The
Employer shall immediately remedy any shortage, defect or default,
or the Contractor shall, if practicable and possible, at the request of
the Employer, remedy such shortage, defect or default at the
Employer‟s cost and expense. After inspection, such item shall fall
under the care, custody and control of the Contractor. The provision
of this GCC Sub-Clause 17.2.4 shall apply to any item supplied to
remedy any such shortage or default or to substitute for any
defective item, or shall apply to defective items that have been
repaired.
17.2.5 The foregoing responsibilities of the Contractor and its obligations of

care, custody and control shall not relieve the Employer of liability
for any undetected shortage, defect or default, nor place the
Contractor under any liability for any such shortage, defect or
default whether under GCC Clause 22 or under any other provision
of Contract.

17.3 Transportation
17.3.1 The Contractor shall at its own risk and expense transport all the
Plant and Equipment and the Contractor‟s Equipment to the Site by
the mode of transport that the Contractor judges most suitable under
all the circumstances.
17.3.2 Unless otherwise provided in the Contract, the Contractor shall be

entitled to select any safe mode of transport operated by any person
to carry the Plant and Equipment and the Contractor‟s Equipment. In
case of transportation by road, the Contractor shall transport all the
goods only through registered common carriers in line with “The
Carriage by Road Act,2007” including amendment thereof.
17.3.3 Upon dispatch of each shipment of the Plant and Equipment and the
Contractor‟s Equipment, the Contractor shall notify the Employer by
telex, facsimile or Electronic Data Interchange (EDI) of the
description of the Plant and Equipment and of the Contractor‟s
Equipment, the point and means of dispatch, and the estimated time
and point of arrival in the country where the Site is located, if
applicable, and at the Site. The Contractor shall furnish the Employer
with relevant shipping documents to be agreed upon between the
parties.
17.3.4 The Contractor shall be responsible for obtaining, if necessary,

approvals from the authorities for transportation of the Plant and
Equipment and the Contractor‟s Equipment to the Site. The
Employer shall use its best endeavors in a timely and expeditious
manner to assist the Contractor in obtaining such approvals, if
requested by the Contractor. The Contractor shall indemnify and
hold harmless the Employer from and against any claim for damage
to roads, bridges or any other traffic facilities that may be caused by
the transport of the Plant and Equipment and the Contractor‟s
Equipment to the Site.
17.4 Delivery and Documents
17.4.1 Delivery Documents
Upon shipment, the Contractor shall notify the Employer with full
details of the dispatch and shall furnish the documents as specified
in the corresponding Appendix - 1 (Terms and Procedures of
Payment) to the Contract Agreement

17.4.2 Packing
17.4.2.1 The Contractor shall provide such packing of the Goods as it is

required to prevent their damage or deterioration during transit to
their final destination as indicated in the Contract. The packing shall
be sufficient to withstand, without limitation, rough handling during
transit and exposure to extreme temperatures, salt and precipitation
during transit and open storage. Packing case size and weights shall
take into consideration, where appropriate, the remoteness of the
Goods final destination and the absence of heavy handling facilities
at all points in transit.
17.4.2.2 The packing, marking and documentation within and outside the
packages shall comply strictly with such special requirements as
shall be expressly provided for in the Contract and, subject to any
subsequent instruction ordered by the Employer consistent with the
requirements of the Contract.
18. Installation
18.1 Setting Out/Supervision/Labor
18.1.1 Bench Mark: The Contractor shall be responsible for the true and
proper setting-out of the Facilities in relation to bench marks,
reference marks and lines provided to it in writing by or on behalf of
the Employer.
If, at any time during the progress of installation of the Facilities, any
error shall appear in the position, level or alignment of the Facilities,
the Contractor shall forthwith notify the Project Manager of such
error and, at its own expense, immediately rectify such error to the
reasonable satisfaction of the Project Manager. If such error is based
on incorrect data provided in writing by or on behalf of the
Employer, the expense of rectifying the same shall be borne by the
Employer.
18.1.2 Contractor‟s Supervision: The Contractor shall give or provide all

necessary superintendence during the installation of the Facilities,
and the Construction Manager or its deputy shall be constantly on
the Site to provide full-time superintendence of the installation. The
Contractor shall provide and employ only technical personnel who
are skilled and experienced in their respective callings and
supervisory staff who are competent to adequately supervise the
work at hand.

18.1.3 Labor:
(a) The Contractor shall provide and employ on the Site in the
installation of the Facilities such skilled, semi-skilled and
unskilled labor as is necessary for the proper and timely
execution of the Contract. The Contractor is encouraged to use
local labor preferably from weaker sections of society
particularly SC & ST persons, that has the necessary skills.
(b) Unless otherwise provided in the Contract, the Contractor at its

own expense shall be responsible for the recruitment,
transportation, accommodation and catering of all labor, local or
expatriate, required for the execution of the Contract and for all
payments in connection therewith.
(c) The Contractor shall at all times during the progress of the
Contract use its best endeavors to prevent any unlawful, riotous
or disorderly conduct or behavior by or amongst its employees
and the labor of its Subcontractors.
(d) The Contractor shall, in all dealings with its labor and the labor
of its Subcontractors currently employed on or connected with
the Contract, pay due regard to all recognized festivals, official
holidays, religious or other customs and all local laws and
regulations pertaining to the employment of labor.
18.2 Contractor‟s Equipment
18.2.1 All Contractor‟s Equipment brought by the Contractor onto the Site
shall be deemed to be intended to be used exclusively for the
execution of the Contract. The Contractor shall not remove the same
from the Site without the Project Manager‟s consent that such
Contractor‟s Equipment is no longer required for the execution of the
Contract.
18.2.2 Unless otherwise specified in the Contract, upon completion of the

Facilities, the Contractor shall remove from the Site all Equipment
brought by the Contractor onto the Site and any surplus materials
remaining thereon.
18.2.3 The Employer will, if requested, use its best endeavors to assist the
Contractor in obtaining any local, state or national government
permission required by the Contractor for the export of the
Contractor‟s Equipment imported by the Contractor for use in the
execution of the Contract that is no longer required for the execution
of the Contract.
18.3 Site Regulations and Safety
The Employer and the Contractor shall establish Site regulations

setting out the rules to be observed in the execution of the Contract at
the Site and shall comply therewith. The Contractor shall prepare
and submit to the Employer, with a copy to the Project Manager,
proposed Site regulations for the Employer‟s approval, which
approval shall not be unreasonably withheld.
Such Site regulations shall include, but shall not be limited to, rules
in respect of security, safety of the Facilities, gate control, sanitation,
medical care, and fire prevention.
18.3.1 Compliance with Labour Regulations
18.3.1.1 During continuance of the contract, the Contractor and his sub-
contractors shall abide at all times by all applicable existing labour
enactments and rules made thereunder, regulations notifications and
byelaws of the State or Central Government or local authority and
any other labour law (including rules), regulations bye laws that may
be passed or notification that may be issued under any labour law in
future either by the State or the Central Government or the local
authority. The employees of the Contractor and the Sub-contractor in
no case shall be treated as the employees of the Employer at any
point of time.
18.3.1.2 The Contractor shall keep the Employer indemnified in case any
action is taken against the Employer by the competent authority on
account of contravention of any of the provisions of any Act or rules
made thereunder, regulations or notifications including
amendments.
18.3.1.3 If the Employer is caused to pay under any law as principal

employer such amounts as may be necessary to cause or observe, or
for non observance of the provisions stipulated in the notifications/
byelaws/Acts/ Rules/regulations including amendments, if any, on
the part of the Contractor, the Employer shall have the right to
deduct any money due to the Contractor under this contract or any
other contract with the employer including his amount of
performance security for adjusting the aforesaid payment. The
Employer shall also have right to recover from the Contractor any
sum required or estimated to be required for making good the loss or
damage suffered by the Employer.

Notwithstanding the above, the Contractor shall furnish to the
Employer the details/documents evidencing the Contractor‟s
compliance to the laws applicable to establishments engaged in
building and other construction works, as may be sought by the
Employer. In particular the Contractor shall submit quarterly
certificate regarding compliance in respect of provisions of
Employees‟ Provident Fund and Misc. Provisions Act 1952 to the
Employer. For this purpose, the Contractor as well as its Sub-
Contractor(s) should have Provident Fund Code Number and all the
workers deployed by the Contractor or Sub-Contractor must be
enrolled as members of Provident Fund having an Universal
Account Number (UAN).
18.3.1.4 Salient features of some major laws applicable to establishments

engaged in building and other construction works:
(a) Workmen Compensation Act 1923: The Act provides for

compensation in case of injury by accident arising out of and
during the course of employment.
(b) Payment of Gratuity Act 1972: Gratuity is payable to an
employee under the Act on satisfaction of certain conditions on
separation if an employee has completed 5 years service or
more or on death at the rate of 15 days wages for every
completed year of service. The Act is applicable to all
establishments employing 10 or more employees.
(c) Employee P.F. and Miscellaneous Provision Act 1952: The Act
provides for monthly contribution by the employer plus
workers @10% or 8.33%. The benefits under the Act are:
(i) Pension or family pension on retirement or death, as the
case may be.
(ii) Deposit linked insurance on death in harness of the
worker.
(iii) Payment of P.F. accumulation on retirement/death etc.
(d) Maternity Benefit Act 1951: The Act provides for leave and
some other benefits to women employees in case of confinement
or miscarriage etc.
(e) Contract Labour (Regulation & Abolition) Act 1970: The Act
provides for certain welfare measures to be provided by the
Contractor to contract labour and in case the Contractor fails to
provide, the same are required to be provided, by the Principal
Employer by law. The Principal Employer is required to take
Certification of Registration and the Contractor is required to

take license from the designated Officer. The Act is applicable to
the establishments or Contractor of Principal Employer if they
employ 20 or more labour contract labour.
(f) Minimum Wages Act 1948: The Employer is supposed to pay

not less than the Minimum Wages fixed by appropriate
Government as per provision of the Act if the employment is a
scheduled employment. Construction of Buildings, Roads,
Runways are scheduled employments.
(g) Payment of Wages Act 1936: It lays down as to by what date the
wages are to be paid, when it will be paid and what deductions
can be made from the wages of the workers.
(h) Equal Remuneration Act 1979: The Act provides for payment of
equal wages for work of equal nature to Male and Female
workers and for not making discrimination against Female
employees in the matters of transfers, training and promotions
etc.
(i) Payment of Bonus Act 1965: The Act is applicable to all
establishments employing 20 or more employees. The Act
provides for payments of annual bonus subject to a minimum of
8.33% of wages and maximum of 20% of wages to employees
drawing Rs. 3500/- per month or less. The bonus is to be paid to
employees getting Rs. 2500/- per month or above upto Rs.
3500/- per month shall be worked out by taking wages as Rs.
2500/- per month only. The Act does not apply to certain
establishments. The newly set-up establishments are exempted
for five years in certain circumstances. Some of the State
Governments have reduced the employment size from 20 to 10
for the purpose of applicability of this Act.
(j) Industrial Dispute Act 1947: the Act lays down the machinery
the procedure for resolution of Industrial disputes, in what
situations a strike or lock-out becomes illegal and what are the
requirements for laying off or retrenching the employees or
closing down the establishment.
(k) Industrial Employment (Standing Orders) Act 1946: It is

applicable to all establishments employing 100 or more
workmen (employment size reduced by some of the States and
Central Government to 50). The Act provides for laying down
rules governing the conditions of employment by the Employer
on matters provided in the Act and get the same certified by the
designated Authority.

(l) Trade Unions Act 1926: The Act lays down the procedure for
registration of trade unions of workmen and employers. The
Trade Unions registered under the Act have been given certain
immunities from civil and criminal liabilities.
(m) Child Labour (Prohibition & Regulation) Act 1986: The Act
prohibits employment of children below 14 years of age in
certain occupations and processes and provides for regulation
of employment of children in all other occupations and
processes. Employment of Child Labour is prohibited in
Building and Construction Industry.
(n) Inter-State Migrant workmen‟s (Regulation of Employment &

Conditions of Service Act 1979: The Act is applicable to an
establishment which employs 5 or more inter-state migrant
workmen through an intermediary (who has recruited
workmen in one state for employment in the establishment
situated in another state). The Inter-State migrant workmen, in
an establishment to which this Act becomes applicable, are
required to be provided certain facilities such as housing,
medical aid, traveling expenses from home upto the
establishment and back, etc.
(o) The Building and Other Construction workers (Regulation of

Employment and Conditions of Service) Act 1996 and the Cess
Act of 1996 : All the establishments who carry on any building
or other construction work and employ 10 or more workers are
covered under this Act. All such establishments are required to
pay cess at the rate not exceeding 2% of the cost of construction
as may be modified by the Government. The Employer of the
establishment is required to provide safety measures at the
Building or construction work and other welfare measures, such
as Canteens, First-Aid facilities, Ambulance, Housing
accommodations for workers near the work place etc. The
Employer to whom the Act applies has to obtain a registration
certificate from the Registering Officer appointed by the
government.
(p) Factories Act 1948: The Act lays down the procedure for
approval at plans before setting up a factory, health and safety
provisions, welfare provisions, working hours, annual earned
leave and rendering information regarding accidents or
dangerous occurrences to designated authorities. It is applicable
to premises employing 10 persons or more with aid of power or
20 or more persons without the aid of power engaged in
manufacturing process.
18.3.2 Protection of Environment
The Contractor shall take all reasonable steps to protect the

environment on and off the Site and to avoid damage or nuisance to
persons or to property of the public or others resulting from
pollution, noise or other causes arising as consequence of his
methods of operation.
During continuance of the Contract, the Contractor and his Sub-

contractors shall abide at all times by all existing enactments on
environmental protection and rules made thereunder, regulations,
notifications and bye-laws of the State or Central Government, or
local authorities and any other law, bye-law, regulations that may be
passed or notification that may be issued in this respect in future by
the State or Central Government or the local authority.
Salient features of some of the major laws that are applicable are
given below:
The Water (Prevention and Control of Pollution) Act, 1974, This

provides for the prevention and control of water pollution and the
maintaining and restoring of wholesomeness of water. „Pollution‟
means such contamination of water or such alteration of the physical,
chemical or biological properties of water or such discharge of any
sewage or trade effluent or of any other liquid, gaseous or solid
substance into water (whether directly or indirectly) as may, or is
likely to, create a nuisance or render such water harmful or injurious
to public health or safety, or to domestic, commercial, industrial,
agricultural or other legitimate uses, or to the life and health of
animals or plants or of aquatic organisms.
The Air (Prevention and Control of Pollution) Act, 1981, This

provides for prevention, control and abatement of air pollution. „Air
Pollution‟ means the presence in the atmosphere of any „air
pollutant‟, which means any solid, liquid or gaseous substance
(including noise) present in the atmosphere in such concentration as
may be or tend to be injurious to human beings or other living
creatures or plants or property or environment.
The Environment (Protection) Act, 1986, This provides for the

protection and improvement of environment and for matters
connected therewith, and the prevention of hazards to human
beings, other living creatures, plants and property. „Environment‟
includes water, air and land and the inter-relationship which exists
among and between water, air and land, and human beings, other
living creatures, plants, micro-organism and property.
The Public Liability Insurance Act, 1991, This provides for public
liability insurance for the purpose of providing immediate relief to
the persons affected by accident occurring while handling hazardous
substances and for matters connected herewith or incidental thereto.
Hazardous substance means any substance or preparation which is
defined as hazardous substance under Environment (Protection) Act,
1986, and exceeding such quantity as may be specified by notification
by the Central Government.
18.3.2.1 (i) The Contractor shall (a) establish an operational system of

managing environmental impacts, (b) carry out all the
monitoring and mitigation measures set forth in the
environment management plan attached to the Special
Conditions of Contract as Appendix-I, and (c) allocate the
budget required to ensure that such measures are carried out.
The Contractor shall submit to the Employer (quarterly) semi-
annual) reports on the carrying out of such measures.
(ii) The Contractor shall adequately record the conditions of roads,

agricultural land and other infrastructure prior to transport of
material and construction commencement, and shall fully
reinstate pathways, other local infrastructure and agricultural
land to atleast their pre-project condition upon construction
completion.
(iii) The Contractor shall undertake detailed survey of the affected

persons during transmission line alignment finalization under
the Project, where applicable. and
(iv) The Contractor shall conduct health and safety programme for
workers employed under the Contract and shall include
information on the risk of sexually transmitted diseases,
including HIV/AIDS in such programs.
18.3.3 Safety Precautions
18.3.3.1 The Contractor shall observe all applicable regulations regarding

safety on the Site.
Unless otherwise agreed, the Contractor shall, from the

commencement of work on Site until Taking Over, provide:
a) fencing, lighting, guarding and watching of the Works, and

b) temporary roadways, footways, guards and fences which may
be necessary for the accommodation and protection of
Employer / his representatives and occupiers of adjacent
property, the public and others.
18.3.3.2 The Contractor shall ensure proper safety of all the workmen,
materials, plant and equipment belonging to him or to Employer or
to others, working at the Site. The Contractor shall also be
responsible for provision of all safety notices and safety equipment
required both by the relevant legislations and the Project Manager, as
he may deem necessary.
18.3.3.3 The Contractor will notify well in advance to the Project Manager of
his intention to bring to the Site any container filled with liquid or
gaseous fuel or explosive or petroleum substance or such chemicals
which may involve hazards. The Project Manager shall have the
right to prescribe the conditions, under which such container is to be
stored, handled and used during the performance of the works and
the Contractor shall strictly adhere to and comply with such
instructions. The Project Manager shall have the right at his sole
discretion to inspect any such container or such construction
plant/equipment for which material in the container is required to be
used and if in his opinion, its use is not safe, he may forbid its use.
No claim due to such prohibition shall be entertained by the
Employer and the Employer shall not entertain any claim of the
Contractor towards additional safety provisions/conditions to be
provided for/constructed as per the Project Manager‟s instructions.
Further, any such decision of the Project Manager shall not, in any
way, absolve the Contractor of his responsibilities and in case, use of
such a container or entry thereof into the Site area is forbidden by the
Project Manager, the Contractor shall use alternative methods with
the approval of the Project Manager without any cost implication to
the Employer or extension of work schedule.
18.3.3.4 Where it is necessary to provide and/or store petroleum products or

petroleum mixtures and explosives, the Contractor shall be
responsible for carrying-out such provision and/or storage in
accordance with the rules and regulations laid down in Petroleum
Act 1934, Explosives Act, 1948 and Petroleum and Carbide of
Calcium Manual published by the Chief Inspector of Explosives of
India. All such storage shall have prior approval of the Project
Manager. In case, any approvals are necessary from the Chief
Inspector (Explosives) or any statutory authorities, the Contractor
shall be responsible for obtaining the same.
18.3.3.5 All equipment used in construction and erection by Contractor shall
meet Indian/International Standards and where such standards do
not exist, the Contractor shall ensure these to be absolutely safe. All
equipment shall be strictly operated and maintained by the
Contractor in accordance with manufacturer‟s Operation Manual
and safety instructions and as per Guidelines/rules of Employer in
this regard.
18.3.3.6 Periodical examinations and all tests for all lifting/hoisting

equipment & tackles shall be carried-out in accordance with the
relevant provisions of Factories Act 1948, Indian Electricity Act 1910
and associated Laws/Rules in force from time to time. A register of
such examinations and tests shall be properly maintained by the
Contractor and will be promptly produced as and when desired by
the Project Manager or by the person authorised by him.
18.3.3.7 The Contractor shall be fully responsible for the safe storage of his
and his Sub-Contractor‟s radioactive sources in accordance with
BARC/DAE Rules and other applicable provisions. All
precautionary measures stipulated by BARC/DAE in connection
with use, storage and handling of such material will be taken by the
Contractor.
18.3.3.8 The Contractor shall provide suitable safety equipment of prescribed

standard to all employees and workmen according to the need, as
may be directed by the Project Manager who will also have right to
examine these safety equipment to determine their suitability,
reliability, acceptability and adaptability. The Contractor shall also
provide Reflective Jackets to all workmen working on the site
including different coloured such Jackets to the persons working at
height.
18.3.3.9 Where explosives are to be used, the same shall be used under the
direct control and supervision of an expert, experienced, qualified
and competent person strictly in accordance with the Code of
Practice/Rules framed under Indian Explosives Act pertaining to
handling, storage and use of explosives.
18.3.3.10 The Contractor shall provide safe working conditions to all workmen
and employees at the Site including safe means of access, railings,
stairs, ladders, scaffoldings etc. The scaffoldings shall be erected
under the control and supervision of an experienced and competent
person. For erection, good and standard quality of material only
shall be used by the Contractor.

18.3.3.11 The Contractor shall not interfere or disturb electric fuses, wiring and
other electrical equipment belonging to the Employer or other
Contractors under any circumstances, whatsoever, unless expressly
permitted in writing by Employer to handle such fuses, wiring or
electrical equipment
18.3.3.12 Before the Contractor connects any electrical appliances to any plug
or socket belonging to the other Contractor or Employer, he shall:
a. Satisfy the Project Manager that the appliance is in good

working condition;
b. Inform the Project Manager of the maximum current rating,

voltage and phases of the appliances;
c. Obtain permission of the Project Manager detailing the sockets

to which the appliances may be connected.
18.3.3.13 The Project Manager will not grant permission to connect until he is
satisfied that;
a. The appliance is in good condition and is fitted with suitable

plug;
b. The appliance is fitted with a suitable cable having two earth

conductors, one of which shall be an earthed metal sheath
surrounding the cores.
18.3.3.14 No electric cable in use by the Contractor/Employer will be

disturbed without prior permission. No weight of any description
will be imposed on any cable and no ladder or similar equipment
will rest against or attached to it.
18.3.3.15 No repair work shall be carried out on any live equipment. The
equipment must be declared safe by the Project Manager and a
permit to work shall be issued by the Project Manager before any
repair work is carried out by the Contractor. While working on
electric lines/equipment, whether live or dead, suitable type and
sufficient quantity of tools will have to he provided by the
Contractor to electricians/workmen/officers.
18.3.3.16 The Contractors shall employ necessary number of qualified, full

time electricians/electrical supervisors to maintain his temporary
electrical installation.
18.3.3.17 The Contractor employing more than 250 workmen whether

temporary, casual, probationer, regular or permanent or on contract,
shall employ at least one full time officer exclusively as safety officer
to supervise safety aspects of the equipment and workmen, who will
coordinate with the Project Safety Officer. In case of work being
carried out through Sub-Contractors, the Sub-Contractor‟s
workmen/employees will also be considered as the Contractor‟s
employees/workmen for the above purpose.
The Contractor shall deploy one dedicated Safety Staff(s) for every
200 kms of a Transmission Line Project.
In case, the Contractor fails to deploy Qualified Safety

Officer(s)/Safety Staff(s) under each Contract, as specified, then the
Contractor shall be responsible for payment of a sum of
Rs. 15,00,000/- per quarter till the Safety Officer(s)/Safety Staff(s) is
deployed, to be deposited with the Employer, which will be retained
in the Safety Corpus Fund pursuant to GCC Sub-Clause 18.3.3.26.
The name and address of such Safety Officers of the Contractor will
be promptly informed in writing to Project Manager with a copy to
Safety Officer-In charge before he starts work or immediately after
any change of the incumbent is made during currency of the
Contract.
18.3.3.18 In case any accident occurs during the construction/ erection or

other associated activities undertaken by the Contractor thereby
causing any minor or major or fatal injury to his employees due to
any reason, whatsoever, it shall be the responsibility of the
Contractor to promptly inform but no later than 24 hrs. of the
occurrence of the same, to the Project Manager in prescribed form
and also to all the authorities envisaged under the applicable laws.
Notwithstanding above, in case of any fatal accident, the Board of

Directors of Contractor shall review the incidence and a copy of
Board‟s resolution signed by the Director/Company Secretary of the
firm alongwith action plan for avoidance of such incidences in future
shall be furnished promptly but no later than 60 days, to the
Employer. Besides above, the CEO of the Contractor shall meet and
apprise POWERGRID APEX SAFTEY BOARD alongwith the Board‟s
resolution of the cause of the fatal accident occurred and their future
action plan/safety preparedness to prevent recurrence of such
accidents in future within 60 days of the occurrence of the fatal
accident.
18.3.3.19 The Project Manager shall have the right at his sole discretion to stop
the work, if in his opinion the work is being carried out in such a
way that it may cause accidents and endanger the safety of the
persons and/or property, and/or equipment. In such cases, the
Contractor shall be informed in writing about the nature of hazards
and possible injury/accident and he shall comply to remove
shortcomings promptly. The Contractor after stopping the specific
work can, if felt necessary, appeal against the order of stoppage of
work to the Project Manager within 3 days of such stoppage of work
and decision of the Project Manager in this respect shall be
conclusive and binding on the Contractor.
18.3.3.20 The Contractor shall not be entitled for any damages/compensation

for stoppage of work due to safety reasons as provided in GCC Sub-
Clause 18.3.3.19 above and the period of such stoppage of work will
not be taken as an extension of time for completion of work and will
not be the ground for waiver of levy of liquidated damages.
18.3.3.21 It is mandatory for the Contractor to observe during the execution of

the works, requirements of Safety Rules which would generally
include but not limited to following:
Safety Rules
a) Each employee shall be provided with initial indoctrination

regarding safety by the Contractor, so as to enable him to
conduct his work in a safe manner.
b) No employee shall be given a new assignment of work

unfamiliar to him without proper introduction as to the hazards
incident thereto, both to himself and his fellow employees.
c) Under no circumstances shall an employee hurry or take

unnecessary chance when working under hazardous conditions.
d) Employees must not leave naked fires unattended. Smoking

shall not be permitted around fire prone areas and adequate fire
fighting equipment shall be provided at crucial location.
e) Employees under the influence of any intoxicating beverage,

even to the slightest degree shall not be permitted to remain at
work.
f) There shall be a suitable arrangement at every work site for

rendering prompt and sufficient first aid to the injured.
g) The staircases and passageways shall be adequately lighted.

h) The employees when working around moving machinery, must
not be permitted to wear loose garments. Safety shoes are
recommended when working in shops or places where
materials or tools are likely to fall. Only experienced workers
shall be permitted to go behind guard rails or to clean around
energized or moving equipment.
i) The employees must use the standard protection equipment

intended for each job. Each piece of equipment shall be
inspected before and after it is used.
j) Requirements of ventilation in underwater working to licensed

and experienced divers, use of gum boots for working in slushy
or in inundated conditions are essential requirements to be
fulfilled.
k) In case of rock excavation, blasting shall invariably be done

through licensed blasters and other precautions during blasting
and storage/transport of charge material shall be observed
strictly.
18.3.3.22 The Contractor shall follow and comply with all Employer Safety
Rules, relevant provisions of applicable laws pertaining to the safety
of workmen, employees, plant and equipment as may be prescribed
from time to time without any demur, protest or contest or
reservations. In case of any discrepancy between statutory
requirement and Employer Safety Rules referred above, the latter
shall be binding on the Contractor unless the statutory provisions are
more stringent.
18.3.3.23 If the Contractor fails in providing safe working environment as per

Employer Safety Rules or continues the work even after being
instructed to stop work by the Project Manager as provided in GCC
Sub-Clause 18.3.3.19 above, the Contractor shall promptly pay to
Employer, on demand by the Employer, compensation at the rate of
Rs. 10,000/- per day or part thereof to be deposited in Safety Corpus
Fund pursuant to GCC Sub-Clause 18.3.3.26, till the instructions are
complied with and so certified by the Project Manager. However, in
case of accident taking place causing injury to any individual, the
provisions contained in GCC Sub-Clause 18.3.3.24 shall also apply in
addition to compensation mentioned in this Clause.
18.3.3.24 If the Contractor does not take adequate safety precautions and/or
fails to comply with the Safety Rules as prescribed by the Employer
or under the applicable law for the safety of the equipment and plant
or for the safety of personnel or the Contractor does not prevent
hazardous conditions which cause injury to his own employees or
employees of other Contractors or Employer‟s employees or any
other person who are at Site or adjacent thereto, then the Contractor
shall be responsible for payment of a sum as indicated below to be
deposited with the Employer, which will be passed on by the
Employer to such person or next to kith and kin of the deceased:
a. Fatal injury or accident causing Rs. 15,00,000/- per

death person
b. Major injuries or accident causing 25% Rs. 5,00,000/- per person
or more permanent disablement
Permanent disablement shall have same meaning as indicated in

Workmen‟s Compensation Act. The amount to be deposited with
Employer and passed on to the person mentioned above shall be in
addition to the compensation payable under the relevant provisions
of the Workmen‟s Compensation Act and rules framed there under
or any other applicable laws as applicable from time to time. In case
the Contractor does not deposit the above mentioned amount with
Employer, such amount shall be recovered by Employer from any
monies due or becoming due to the Contractor under the contract or
any other on-going contract.
Notwithstanding above, while executing the Contract(s), in case of

any permanent disablement in hands/legs due to any accident(s), the
Contractor shall arrange to provide modern electronic artificial Limb
(Hands/Legs) to the victims of the accident either through any NGO
or directly and also provide necessary training to the victims to use
the same. The cost/expenditure, if any, shall be borne by the
Contractor and the details of the same shall be provided to
POWERGRID for information. The above shall be in addition to the
compensation payable to the victim as applicable.
In case of any major accident, the Contractor shall withdraw its

Representative (Project Manager) immediately and shall appoint its
Representative (Project Manager) afresh pursuant to GCC Clause
13.2. The Contractor‟s Representative (Project Manager) removed
hereinabove, thereafter shall not be permitted to work in any of
projects/works of the Employer.
18.3.3.25 Notwithstanding above, the Contractor shall also be responsible for

payment of sum as indicated below additionally which shall be
deposited in Safety Corpus Fund pursuant to GCC Sub-Clause
18.3.3.26:

a. Upon 1st Fatal Accident due to Rs. 50,00,000/-
negligence by the Contractor
b. Upon 2nd Fatal Accident due to Rs. 75,00,000/-
c. Upon 3rd Fatal Accident due to Rs. 1,00,00,000/-
d. Re-occurrence of Fatal Accident even Rs. 1,00,00,000/-
after 3rd Fatal Accident due to per fatal accident
e. Tower Collapse leading to more than Rs. 1,00,00,000/-
one (01) death attributable to the per fatal accident
Contractor as per the Accident Enquiry in addition to a,
Committee Report b, c or d above, as
applicable
18.3.3.26 The amount paid/ recovered from the Contractor on account of non-
compliance to Safety measures shall be deposited in the „Safety
Corpus Fund‟, if not specified otherwise, established by the
Employer. The „Safety Corpus Fund‟ shall be used for augmentation
of Safety measures in construction works, capacity building of
workers, development of working conditions of workers like
providing tents/ mobile toilets/ caravans, safety tools & plants etc.
and undertaking such other activities which will facilitate in
reducing the accidents. However, the Contractor shall have no claim
in this regard and the Employer shall be sole judge in this regard.
18.3.3.27 If the Contractor observes all the Safety Rules and Codes, Statutory
Laws and Rules during the currency of Contract awarded by the
Employer and no accident occurs then Employer may consider the
performance of the Contractor and award suitable „ACCIDENT
FREE SAFETY MERITORIOUS AWARD‟ as per scheme as may be
announced separately from time to time.
18.3.3.28 The Contractor shall also submit „Safety Plan‟ as per proforma
specified in Section – Sample Forms and Procedures of the Bidding
Documents alongwith all the requisite documents mentioned
therein and as per check-list contained therein to the Engineer In-
Charge for its approval within 60 days of award of Contract.
Further, one of the conditions for release of first progressive payment

/ subsequent payment towards Services Contract shall be
submission of „Safety Plan‟ alongwith all requisite documents and
approval of the same by the Engineer In-Charge.

18.4 Opportunities for Other Contractors
18.4.1 The Contractor shall, upon written request from the Employer or the
Project Manager, give all reasonable opportunities for carrying out
the work to any other contractors employed by the Employer on or
near the Site.
18.4.2 If the Contractor, upon written request from the Employer or the
Project Manager, makes available to other contractors any roads or
ways the maintenance for which the Contractor is responsible,
permits the use by such other contractors of the Contractor‟s
Equipment, or provides any other service of whatsoever nature for
such other contractors, the Employer shall fully compensate the
Contractor for any loss or damage caused or occasioned by such
other contractors in respect of any such use or service, and shall pay
to the Contractor reasonable remuneration for the use of such
equipment or the provision of such services.
18.4.3 The Contractor shall also so arrange to perform its work as to

minimize, to the extent possible, interference with the work of other
contractors. The Project Manager shall determine the resolution of
any difference or conflict that may arise between the Contractor and
other contractors and the workers of the Employer in regard to their
work.
18.4.4 The Contractor shall notify the Project Manager promptly of any
defects in the other contractors‟ work that come to its notice, and that
could affect the Contractor‟s work. The Project Manager shall
determine the corrective measures, if any, required to rectify the
situation after inspection of the Facilities. Decisions made by the
Project Manager shall be binding on the Contractor.
18.5 Emergency Work
If, by reason of an emergency arising in connection with and during

the execution of the Contract, any protective or remedial work is
necessary as a matter of urgency to prevent damage to the Facilities,
the Contractor shall immediately carry out such work.
If the Contractor is unable or unwilling to do such work

immediately, the Employer may do or cause such work to be done as
the Employer may determine is necessary in order to prevent
damage to the Facilities. In such event the Employer shall, as soon as
practicable after the occurrence of any such emergency, notify the
Contractor in writing of such emergency, the work done and the
reasons therefor. If the work done or caused to be done by the

Employer is work that the Contractor was liable to do at its own
expense under the Contract, the reasonable costs incurred by the
Employer in connection therewith shall be paid by the Contractor to
the Employer. In case such work is not in the scope of the Contractor,
the cost of such remedial work shall be borne by the Employer.
18.6 Site Clearance
18.6.1 Site Clearance in Course of Performance: In the course of carrying

out the Contract, the Contractor shall keep the Site reasonably free
from all unnecessary obstruction, store or remove any surplus
materials, clear away any wreckage, rubbish or temporary works
from the Site, and remove any Contractor‟s Equipment no longer
required for execution of the Contract.
18.6.2 Clearance of Site after Completion: After Completion of all parts of

the Facilities, the Contractor shall clear away and remove all
wreckage, rubbish and debris of any kind from the Site, and shall
leave the Site and Facilities clean and safe.
18.7 Watching and Lighting
The Contractor shall provide and maintain at its own expense all
lighting, fencing, and watching when and where necessary for the
proper execution and the protection of the Facilities, or for the safety
of the owners and occupiers of adjacent property and for the safety
of the public.
18.8 Work at Night and on Holidays
18.8.1 Unless otherwise provided in the Contract, no work shall be carried

out during the night and on public holidays of the country where the
Site is located without prior written consent of the Employer, except
where work is necessary or required to ensure safety of the Facilities
or for the protection of life, or to prevent loss or damage to property,
when the Contractor shall immediately advise the Project Manager,
provided that provisions of this GCC Sub-Clause 18.8.1 shall not
apply to any work which is customarily carried out by rotary or
double-shifts.
18.8.2 Notwithstanding GCC Sub-Clauses 18.8.1 or 18.1.3, if and when the

Contractor considers it necessary to carry out work at night or on
public holidays so as to meet the Time for Completion and requests
the Employer‟s consent thereto, the Employer shall not unreasonably
withhold such consent.

19. Test and Inspection
19.1 The Contractor shall at its own expense carry out at the place of
manufacture and/or on the Site all such tests and/or inspections of
the Plant and Equipment and any part of the Facilities as are
specified in the Contract.
19.2 The Employer and the Project Manager or their designated

representatives shall be entitled to attend the aforesaid test and/or
inspection, provided that the Employer shall bear all costs and
expenses incurred in connection with such attendance including, but
not limited to, all traveling and board and lodging expenses.
19.3 Whenever the Contractor is ready to carry out any such test and/or
inspection, the Contractor shall give four weeks advance notice of
such test and/or inspection and of the place and time thereof to the
Project Manager. The Contractor shall obtain from any relevant third
party or manufacturer any necessary permission or consent to enable
the Employer and the Project Manager (or their designated
representatives) to attend the test and/or inspection.
19.4 The Contractor shall provide the Project Manager with a certified
report of the results of any such test and/or inspection.
If the Employer or Project Manager (or their designated

representatives) fails to attend the test and/or inspection, or if it is
agreed between the parties that such persons shall not do so, then the
Contractor may proceed with the test and/or inspection in the
absence of such persons, and may provide the Project Manager with
a certified report of the results thereof.
19.5 The Project Manager may require the Contractor to carry out any test
and/or inspection not required by the Contract, provided that the
Contractor‟s reasonable costs and expenses incurred in the carrying
out of such test and/or inspection shall be added to the Contract
Price. Further, if such test and/or inspection impedes the progress of
work on the Facilities and/or the Contractor‟s performance of its
other obligations under the Contract, due allowance will be made in
respect of the Time for Completion and the other obligations so
affected.
19.6 If any Plant and Equipment or any part of the Facilities fails to pass
any test and/or inspection, the Contractor shall either rectify or
replace such Plant and Equipment or part of the Facilities and shall
repeat the test and/or inspection upon giving a notice under GCC
Sub-Clause 19.3.
19.7 If any dispute or difference of opinion shall arise between the parties
in connection with or arising out of the test and/or inspection of the
Plant and Equipment or part of the Facilities that cannot be settled
between the parties within a reasonable period of time, it may be
referred to an Arbitrator for determination in accordance with GCC
Sub-Clause 39.
19.8 The Contractor shall afford the Employer and the Project Manager, at
the Employer‟s expense, access at any reasonable time to any place
where the Plant and Equipment are being manufactured or the
Facilities are being installed, in order to inspect the progress and the
manner of manufacture or installation, provided that the Project
Manager shall give the Contractor a reasonable prior notice.
19.9 The Contractor agrees that neither the execution of a test and/or
inspection of Plant and Equipment or any part of the Facilities, nor
the attendance by the Employer or the Project Manager, nor the issue
of any test certificate pursuant to GCC Sub-Clause 19.4, shall release
the Contractor from any other responsibilities under the Contract.
19.10 No part of the Facilities or foundations shall be covered up on the
Site without the Contractor carrying out any test and/or inspection
required under the Contract. The Contractor shall give a reasonable
notice to the Project Manager whenever any such part of the
Facilities or foundations are ready or about to be ready for test
and/or inspection; such test and/or inspection and notice thereof
shall be subject to the requirements of the Contract.
19.11 The Contractor shall uncover any part of the Facilities or

foundations, or shall make openings in or through the same as the
Project Manager may from time to time require at the Site, and shall
reinstate and make good such part or parts.
If any parts of the Facilities or foundations have been covered up at

the Site after compliance with the requirement of GCC Sub-Clause
19.10 and are found to be executed in accordance with the Contract,
the expenses of uncovering, making openings in or through,
reinstating, and making good the same shall be borne by the
Employer, and the Time for Completion shall be reasonably adjusted
to the extent that the Contractor has thereby been delayed or
impeded in the performance of any of its obligations under the
Contract.

20. Completion of the Facilities and Operational Acceptance
20.1 Completion of the Facilities
20.1.1 Physical Completion
20.1.1.1 As soon as the Facilities or any part thereof has, in the opinion of the
Contractor, been completed operationally and structurally and put in
a tight and clean condition as specified in the Technical
Specifications, excluding minor items not materially affecting the
operation or safety of the Facilities, the Contractor shall so notify the
Employer in writing.
20.1.2 Pre-Commissioning
20.1.2.1 Within seven (7) days after receipt of the notice from the Contractor
under GCC Sub-Clause 20.1.1.1, the Project Manager shall deploy the
operating and maintenance personnel and other material if so
specified in the corresponding Appendix – 6 (Scope of Works and
Supply by the Employer) to the Contract Agreement for
Precommissioning of the Facilities or any part thereof.
20.1.2.2 As soon as reasonably practicable after the operating and

maintenance personnel have been deployed by the Employer and
other materials have been provided by the Employer in accordance
with GCC Sub-Clause 20.1.2.1, the Contractor shall commence
Precommissioning of the Facilities or the relevant part thereof, in
presence of the Employer‟s representatives, as per procedures
detailed in Technical Specifications in preparation for
Commissioning.
20.1.2.3 As soon as all works in respect of Precommissioning are successfully

completed and, in the opinion of the Contractor, the Facilities or any
part thereof is ready for Commissioning, the Contractor shall notify
the Project Manager in writing.
20.1.2.4 The Project Manager shall, within fourteen (14) days after receipt of
the Contractor‟s notice under GCC Sub-Clause 20.1.2.3, notify the
Contractor in writing of any defects and/or deficiencies.
20.1.2.5 If the Project Manager notifies the Contractor of any defects and/or
deficiencies, the Contractor shall then correct such defects and/or
deficiencies, and shall repeat the procedure described in GCC Sub-
Clause 20.1.2.2. If in the opinion of the Contractor, the Facilities or
any part thereof is now ready for Commissioning, the Contractor
shall again notify the Project Manager in writing. If further defects
and/or deficiencies are not notified by the Project Manager and if the
Project Manager is satisfied that the Precommissioning of Facilities or
that part thereof have been successfully completed, the Project
Manager shall, within seven (7) days after receipt of the Contractor‟s
such notice, advise the Contractor to proceed with the
Commissioning of the Facilities or part thereof.
20.1.2.6 If the Project Manager fails to inform the Contractor of any defects
and/or deficiencies within fourteen (14) days after receipt of the
Contractor‟s notice under GCC Sub-Clause 20.1.2.4 or within seven
(7) days after receipt of the Contractor‟s notice on completion of
repeat procedure under GCC Sub-Clause 20.1.2.5, then the
Precommissioning of the Facilities or that part thereof shall be
considered to have been successfully completed as of the date of the
Contractor‟s notice.
20.1.2.7 As soon as possible after Precommissioning, the Contractor shall

complete all outstanding minor items so that the Facilities are fully in
accordance with the requirements of the Contract, failing which the
Employer will undertake such completion and deduct the costs
thereof from any monies owing to the Contractor.
20.1.2.8 In the event that the Contractor is unable to proceed with the
Precommissioning of the Facilities pursuant to Sub-Clause 20.1.2 for
reasons attributable to the Employer either on account of non-
availability of other facilities under the responsibilities of other
contractor(s), or for reasons beyond the Employer's control, the
following provisions shall apply:
When the Contractor is notified by the Project Manager that he will

be unable to proceed with the activities and obligations pursuant to
above GCC Sub-Clause 20.1.2.8, the Contractor shall be entitled to
the following:
a) the Time of Completion shall be extended for the period of

suspension without imposition of liquidated damages pursuant
to GCC Sub-Clause 21.2.
b) payments due to the Contractor in accordance with the

provisions specified in Appendix I (Terms and Procedures of
Payment) to the Contract Agreement, which would have not
been payable in normal circumstances due to non-completion of
the said activities and obligations, shall be released to the
Contractor against submission of a security in the form of a
bank guarantee of equivalent amount acceptable to the
Employer, and which shall become null and void when the
Contractor will have complied with its obligations regarding
these payments, subject to the provisions of GCC Sub-Clause
21.2.9 below.
c) the expenses payable by the Contractor to the Bankers toward

the extension of above security and extension of other securities
under the Contract, of which validity need to be extended, shall
be reimbursed to the Contractor by the Employer against
documentary evidence.
d) the additional charges toward the care of the Facilities pursuant

to GCC Sub-Clause 28.1 shall be reimbursed to the Contractor
by the Employer for the period between the notification
mentioned above and the notification mentioned in GCC Sub-
Clause 20.1.2.10 below. The provisions of GCC Sub-Clause 29.2
shall apply to the Facilities during the same period.
20.1.2.9 In the event that the period of suspension under GCC Sub-Clause
20.1.2.8 actually exceeds one hundred eighty (180) days, the
Employer and the Contractor shall mutually agree to any additional
compensation payable to the Contractor.
20.1.2.10 As and when, after the period of suspension under GCC Sub-Clause
20.1.2.8, the Contractor is notified by the Project Manager that the
Facilities are ready for Precommissioning, the Contractor shall
proceed without delay in performing all activities and obligations
under the Contract.
20.1.3 Commissioning
20.1.3.1 Commissioning of the Facilities or any part thereof shall be

commenced by the Contractor immediately after being advised by
the Project Manager, pursuant to GCC Sub-Clause 20.1.2.5 or
immediately after the Precommissioning is considered to be
completed under GCC Sub-Clause 20.1.2.6.
20.1.3.1.1 Commissioning of the Facilities or any part thereof shall be

completed by the Contractor as per procedures detailed in Technical
Specifications.
20.1.3.2 The Employer shall, to the extend specified in Appendix – 6 (Scope of

works and supply by the Employer), deploy the operating and
maintenance personnel and supply all raw materials, utilities,
lubricants, chemicals, catalysts, facilities, services and other materials
required for commissioning.

20.1.3.3 In the event that the Contractor is unable to proceed with the
Commissioning of the Facilities pursuant to Sub-Clause 20.1.3 for
reasons attributable to the Employer either on account of non-
availability of other facilities under the responsibilities of other
contractor(s), or for reasons beyond the Employer's control, the
provisions of GCC Sub-Clause 20.1.2.8 to 20.1.2.9 shall apply.
20.1.3.4 As and when, after the period of suspension under GCC Sub-Clause
20.1.2.8, the Contractor is notified by the Project Manager that the
Facilities are ready for Commissioning, the Contractor shall proceed
without delay in performing all activities and obligations under the
Contract.
20.1.4 Trial - Operation
20.1.4.1 Trial – Operation of the Facilities or any part thereof shall be

commenced by the Contractor immediately after the Commissioning
is completed pursuant to GCC Sub-Clause 20.1.3.1.1.
20.1.4.2 Trial – Operation of the Facilities or any part thereof shall be

completed by the Contractor for the period specified in Technical
Specification (or for a continuous period of 24 hours where such
period in not specified in Technical Specification) and as per
procedures detailed in Technical Specifications.
20.1.4.3 At any time after the events set out in GCC Sub-Clause 20.1.4.2 have
occurred, the Contractor may give a notice to the Project Manager
requesting the issue of an Taking Over Certificate in the form
provided in the Bidding Documents or in another form acceptable to
the Employer in respect of the Facilities or the part thereof specified
in such notice as of the date of such notice.
20.1.4.4 The Project Manager shall within twenty-one (21) days after receipt
of the Contractor's notice, issue an Taking Over Certificate.
20.1.5 Taking Over
20.1.5.1 Upon successful Trial – Operation of the Facilities or any part

thereof, pursuant to GCC Sub-Clause 20.1.4, the Project Manager
shall issue to the Contractor a Taking Over Certificate as a proof of
the acceptance of the Facilities or any part thereof. Such certificate
shall not relieve the Contractor of any of his obligations which
otherwise survive, by the terms and conditions of Contract after
issue of such certificate.

20.1.5.2 If within twenty one (21) days after receipt of the Contractor's notice,
the Project Manager fails to issue the Taking Over Certificate or fails
to inform the Contractor in writing of the justifiable reasons why the
Project Manager has not issued the Taking Over Certificate, the
Facilities or the relevant part thereof shall be deemed to have been
Taken Over as at the date of the Contractor's said notice.
20.1.5.3 Upon Taking Over of the Facilities or any part thereof, the Employer
shall be responsible for the care and custody of the Facilities or the
relevant part thereof, together with the risk of loss or damage
thereto, and shall thereafter take over the Facilities or the relevant
part thereof.
20.2 Operational Acceptance
20.2.1 Guarantee Test
20.2.1.1 The Guarantee Test (and repeats thereof), if any specified in the SCC
and/or the Technical Specification, shall be conducted by the
Contractor after successful Trial – Operation of the Facilities or the
relevant part thereof to ascertain whether the Facilities or the
relevant part can attain the Functional Guarantees specified in the
Contract Documents or if otherwise required as per the Technical
Specifications. The Contractor's and Project Manager's advisory
personnel may witness the Guarantee Test. The Contractor shall
promptly provide the Employer with such information as the
Employer may reasonably require in relation to the conduct and
results of the Guarantee Test (and any repeats thereof).
20.2.1.2 If for reasons not attributable to the Contractor, the Guarantee Test of
the Facilities or the relevant part thereof cannot be successfully
completed within the time stipulated in the Technical Specifications
the period for completing the same shall be as agreed upon by the
Employer and the Contractor.
20.2.2 Operational Acceptance
20.2.2.1 Operational Acceptance shall occur in respect of the Facilities or any

part thereof as mentioned below:
(I) In case no Functional Guarantees are applicable, Operational

Acceptance shall occur when the Facilities or part thereof have
been successfully Commissioned and Trial – Operation for the
specified period have been successfully completed

(II) In case Functional Guarantees are applicable, Operational
Acceptance shall occur when the Functional Guarantees are met
or the Contractor has paid liquidated damages specified in GCC
Sub-Clause 23.3 hereof; or
20.2.2.2 At any time after any of the events set out in GCC Sub-Clause
20.2.2.1 have occurred, the Contractor may give a notice to the
Project Manager requesting the issue of an Operational Acceptance
Certificate in the form provided in the Bidding Documents or in
another form acceptable to the Employer in respect of the Facilities or
the part thereof specified in such notice as of the date of such notice.
20.2.2.3 The Project Manager shall within twenty-one (21) days after receipt
of the Contractor's notice, issue an Operational Acceptance
Certificate.
20.2.2.4 Upon Operational Acceptance, pursuant to GCC Sub-Clause 20.2.2.2,

the Project Manager shall issue to the Contractor a Operational
Acceptance Certificate as a proof of the final acceptance of the Plant
and Equipment. Such certificate shall not relieve the Contractor of
any of his obligations which otherwise survive, by the terms and
conditions of Contract after issue of such certificate.
20.2.2.5 If within twenty one (21) days after receipt of the Contractor's notice,
the Project Manager fails to issue the Operational Acceptance
Certificate or fails to inform the Contractor in writing of the
justifiable reasons why the Project Manager has not issued the
Operational Acceptance Certificate, the Facilities or the relevant part
thereof shall be deemed to have been accepted as at the date of the
Contractor's said notice.
20.3 Partial Acceptance
20.3.1 If the Contract specifies that Commissioning shall be carried out in

respect of parts of the Facilities, the provisions relating to
Commissioning including the Trial – Operation and Guarantee Test
shall apply to each such part of the Facilities individually, and the
Operational Acceptance Certificate shall be issued accordingly for
each such part of the Facilities.
F. Guarantees and Liabilities
21. Completion Time Guarantee
21.1 The Contractor guarantees that it shall attain Completion of the

Facilities (or a part for which a separate time for completion is
specified in the SCC) within the Time for Completion specified in the
SCC pursuant to GCC Sub-Clause 4.2, or within such extended time
to which the Contractor shall be entitled under GCC Clause 34
hereof.
21.2 If the Contractor fails to comply with the Time for Completion in
accordance with Clause GCC 21 for the whole of the facilities, (or a
part for which a separate time for completion is agreed) then the
Contractor shall pay to the Employer a sum equivalent to half
percent (0.5%) of the Contract Price plus GST payable thereon for the
whole of the facilities, (or a part for which a separate time for
completion is agreed) as liquidated damages for such default and not
as a penalty, without prejudice to the Employer's other remedies
under the Contract, for each week or part thereof which shall elapse
between the relevant Time for Completion and the date stated in
Taking Over Certificate of the whole of the Works (or a part for
which a separate time for completion is agreed) subject to the limit of
five percent (5%) of Contract Price plus GST payable thereon for the
whole of the facilities, (or a part for which a separate time for
completion is agreed). The Employer may, without prejudice to any
other method of recovery, deduct the amount of such damages from
any monies due or to become due to the Contractor. The payment or
deduction of such damages shall not relieve the Contractor from his
obligation to complete the Works, or from any other of his
obligations and liabilities under the Contract.
21.3 No bonus will be given for earlier Completion of the Facilities or part
thereof.
22. Defect Liability
22.1 The Contractor warrants that the Facilities or any part thereof shall
be free from defects in the design, engineering, materials and
workmanship of the Plant and Equipment supplied and of the work
executed.
22.2 Unless otherwise specified in SCC, the Defect Liability Period shall be
twelve (12) months from the date of Taking Over /Completion of
Facilities (or any part thereof).
If during the Defect Liability Period any defect should be found in

the design, engineering, materials and workmanship of the Plant and
Equipment supplied or of the work executed by the Contractor, the
Contractor shall promptly, in consultation and agreement with the
Employer regarding appropriate remedying of the defects, and at its
cost, repair, replace or otherwise make good (as the Contractor shall,
at its discretion, determine) such defect as well as any damage to the
Facilities caused by such defect. The Contractor shall not be
responsible for the repair, replacement or making good of any defect
or of any damage to the Facilities arising out of or resulting from any
of the following causes:
(a) improper operation or maintenance of the Facilities by the

Employer
(b) operation of the Facilities outside specifications provided in the

Contract
(c) normal wear and tear.
22.3 The Contractor‟s obligations under this GCC Clause 22 shall not
apply to
(a) any materials that are supplied by the Employer under GCC
Sub-Clause 17.2, are normally consumed in operation, or have a
normal life shorter than the Defect Liability Period stated herein
(b) any designs, specifications or other data designed, supplied or

specified by or on behalf of the Employer or any matters for
which the Contractor has disclaimed responsibility herein
(c) any other materials supplied or any other work executed by or

on behalf of the Employer, except for the work executed by the
Employer under GCC Sub-Clause 22.7.
22.4 The Employer shall give the Contractor a notice stating the nature of
any such defect together with all available evidence thereof,
promptly following the discovery thereof. The Employer shall afford
all reasonable opportunity for the Contractor to inspect any such
defect.
22.5 The Employer shall afford the Contractor all necessary access to the
Facilities and the Site to enable the Contractor to perform its
obligations under this GCC Clause 22. The Contractor may, with the
consent of the Employer, remove from the Site any Plant and
Equipment or any part of the Facilities that are defective if the nature
of the defect, and/or any damage to the Facilities caused by the
defect, is such that repairs cannot be expeditiously carried out at the
Site.

22.6 If the repair, replacement or making good is of such a character that
it may affect the efficiency of the Facilities or any part thereof, the
Employer may give to the Contractor a notice requiring that tests of
the defective part of the Facilities shall be made by the Contractor
immediately upon completion of such remedial work, whereupon
the Contractor shall carry out such tests.
If such part fails the tests, the Contractor shall carry out further
repair, replacement or making good (as the case may be) until that
part of the Facilities passes such tests.
22.7 If the Contractor fails to commence the work necessary to remedy

such defect or any damage to the Facilities caused by such defect
within a reasonable time (which shall in no event be considered to be
less than fifteen (15) days), the Employer may, following notice to the
Contractor, proceed to do such work, and the reasonable costs
incurred by the Employer in connection therewith shall be paid to
the Employer by the Contractor or may be deducted by the Employer
from any monies due the Contractor or claimed under the
Performance Security.
22.8 If the Facilities or any part thereof cannot be used by reason of such
defect and/or making good of such defect, the Defect Liability
Period of the Facilities or such part, as the case may be, shall be
extended by a period equal to the period during which the Facilities
or such part cannot be used by the Employer because of any of the
aforesaid reasons.
Upon correction of the defects in the Facilities or any part thereof by

repair/replacement, such repair/replacement shall have the Defect
Liability Period extended by a period mentioned in GCC Sub-Clause
22.2 from the time of such replacement/repair of the facilities or any
part thereof.
22.8.1 At the end of the Defect Liability Period, the Contractor's Liability
ceases except for latent defects. The Contractor's liability for latent
defects warranty shall be limited to period of ten (10) years from the
end of Defect Liability Period. For the purpose of this clause, the
latent defects shall be the defects inherently lying within the material
or arising out of design deficiency, which do not manifest themselves
during the Defect Liability Period defined in this GCC Clause 22, but
later.
22.9 Except as provided in GCC Clauses 22 and 29, the Contractor shall be
under no liability whatsoever and howsoever arising, and whether
under the Contract or at law, in respect of defects in the Facilities or
any part thereof, the Plant and Equipment, design or engineering or
work executed that appear after Defect Liability Period except for the
liability towards obligations that may survive in terms of the
Contract after Defect Liability Period, except where such defects are
the result of the gross negligence, fraud, criminal or willful action of
the Contractor.
23. Functional Guarantees
23.1 The Contractor guarantees that the Facilities and all parts thereof
shall attain the Functional Guarantees specified in the Technical
Specifications, subject to and upon the conditions therein specified.
23.2 If, for reasons attributable to the Contractor, the minimum level of
the Functional Guarantees specified in the Technical Specifications
are not met either in whole or in part, the Contractor shall at its cost
and expense make such changes, modifications and/or additions to
the Plant or any part thereof as may be necessary to meet at least the
minimum level of such Guarantees. The Contractor shall notify the
Employer upon completion of the necessary changes, modifications
and / or additions, and shall request the Employer to repeat the
Guarantee Test until the minimum level of the Guarantees has been
met. If the Contractor eventually fails to meet the minimum level of
Functional Guarantees, the Employer may consider termination of
the Contract pursuant to GCC Sub-Clause 36.2.2 and recover the
payments already made to the Contractor.
23.3 If, for reasons attributable to the Contractor, the Functional

Guarantees specified in the Technical Specifications are not attained
either in whole or in part, but the minimum level of the Functional
Guarantees specified in the Technical Specifications is met, the
Contractor shall, at the Contractor‟s option, either
(a) make such changes, modifications and/or additions to the

Facilities or any part thereof that are necessary to attain the
Functional Guarantees at its cost and expense within a mutually
agreed time and shall request the Employer to repeat the
Guarantee Test, or
(b) pay liquidated damages to the Employer in respect of the

failure to meet the Functional Guarantees in accordance with
the provisions in the SCC.
23.4 In case the Employer exercises its option to accept the equipment
after levy of liquidated damages, the payment of liquidated damages
under GCC Sub-Clause 23.3, upto the limitation of liability specified
in the SCC, shall completely satisfy the Contractor‟s guarantees
under GCC Sub-Clause 23.3, and the Contractor shall have no further
liability whatsoever to the Employer in respect thereof. Upon the
payment of such liquidated damages by the Contractor, the Project
Manager shall issue the Operational Acceptance Certificate for the
Facilities or any part thereof in respect of which the liquidated
damages have been so paid.
24. Equipment Performance Guarantees
24.1 The Contractor guarantees that the Equipments, named in the SCC,
shall attain the rating and performance requirements specified in
Appendix – 8 (Guarantees, Liquidated Damages for Non –
Performance) to the Contract Agreement, subject to and upon the
conditions therein specified.
24.2 If the guarantees specified in Appendix – 8 (Guarantees, Liquidated

Damages for Non – Performance) to the Contract Agreement are not
established, then the Employer shall, at the Employer‟s discretion
either
(a) reject the equipment, or
(b) accept the equipment after assessing liquidated damages in

accordance with the provision in the SCC against the
Contractor and such amounts shall be deducted from the
Contract Price or otherwise recovered from the Contractor.
24.3 In case the Employer exercises its option to reject the equipment, the
Contractor shall at its cost and expense make such changes,
modifications and/or additions to the equipment or any part thereof
as may be necessary to meet the specified guarantees. The Contractor
shall notify the Employer upon completion of the necessary changes,
modifications and/or additions, and shall request the Employer to
repeat the Test until the level of the specified guarantee has been
met.
24.4 Whenever the Employer exercises its option to accept the equipment
after levy of liquidated damages, the payment of liquidated damages
under GCC Sub-Clause 24.2, upto the limitation of liability specified
in the SCC, shall completely satisfy the Contractor‟s guarantees
under GCC Sub-Clause 24.2, and the Contractor shall have no further
liability whatsoever to the Employer in respect thereof.

25. Patent Indemnity
25.1 The Contractor shall, subject to the Employer‟s compliance with GCC
Sub-Clause 25.2, indemnify and hold harmless the Employer and its
employees and officers from and against any and all suits, actions or
administrative proceedings, claims, demands, losses, damages, costs,
and expenses of whatsoever nature, including attorney‟s fees and
expenses, which the Employer may suffer as a result of any
infringement or alleged infringement of any patent, utility model,
registered design, trademark, copyright or other intellectual property
right registered or otherwise existing at the date of the Contract by
reason of: (a) the installation of the Facilities by the Contractor or the
use of the Facilities in the country where the Site is located; and (b)
the sale of the products produced by the Facilities in any country.
Such indemnity shall not cover any use of the Facilities or any part
thereof other than for the purpose indicated by or to be reasonably
inferred from the Contract, any infringement resulting from the use
of the Facilities or any part thereof, or any products produced
thereby in association or combination with any other equipment,
plant or materials not supplied by the Contractor, pursuant to the
Contract Agreement.
25.2 If any proceedings are brought or any claim is made against the
Employer arising out of the matters referred to in GCC Sub-Clause
25.1, the Employer shall promptly give the Contractor a notice
thereof, and the Contractor may at its own expense and in the
Employer‟s name conduct such proceedings or claim and any
negotiations for the settlement of any such proceedings or claim. If
the Contractor fails to notify the Employer within twenty-eight (28)
days after receipt of such notice that it intends to conduct any such
proceedings or claim, then the Employer shall be free to conduct the
same on its own behalf. Unless the Contractor has so failed to notify
the Employer within the twenty-eight (28) day period, the Employer
shall make no admission that may be prejudicial to the defense of
any such proceedings or claim.
The Employer shall, at the Contractor‟s request, afford all available

assistance to the Contractor in conducting such proceedings or claim,
and shall be reimbursed by the Contractor for all reasonable
expenses incurred in so doing.
25.3 The Employer shall indemnify and hold harmless the Contractor and
its employees, officers and Subcontractors from and against any and
all suits, actions or administrative proceedings, claims, demands,
losses, damages, costs, and expenses of whatsoever nature, including
attorney‟s fees and expenses, which the Contractor may suffer as a
result of any infringement or alleged infringement of any patent,
utility model, registered design, trademark, copyright or other
intellectual property right registered or otherwise existing at the date
of the Contract arising out of or in connection with any design, data,
drawing, specification, or other documents or materials provided or
designed by or on behalf of the Employer.
26. Limitation of Liability
26.1 Except in cases of gross negligence or willful misconduct,
(a) the Contractor and the Employer shall not be liable to the other
party for any indirect or consequential loss or damage, loss of
use, loss of production, or loss of profits or interest costs,
provided that this exclusion shall not apply to any obligation of
the Contractor to pay liquidated damages to the Employer and
(b) the aggregate liability of the Contractor to the Employer,

whether under the Contract, in tort or otherwise, shall not
exceed the total Contract Price, provided that this limitation
shall not apply to the cost of repairing or replacing defective
equipment, or to any obligation of the Contractor to indemnify
the Employer with respect to patent infringement.
G. Risk Distribution
27. Transfer of Ownership
27.1 Ownership of the Plant and Equipment (including spare parts) to be

imported into India shall be transferred to the Employer upon
loading on to the mode of transport to be used to convey the Plant
and Equipment from the country of origin to that country and upon
endorsement of the dispatch documents in favour of the Employer.
27.2 Ownership of the Plant and Equipment (including spare parts)

procured in India, shall be transferred to the Employer upon loading
on to the mode of transport to be used to carry the Plant and
Equipment from the works/warehouse/ any other place where the
Contractor wishes to supply the goods to the site and upon
endorsement of the despatch documents in favour of the Employer.
27.3 Ownership of the Contractor‟s Equipment used by the Contractor

and its Subcontractors in connection with the Contract shall remain
with the Contractor or its Subcontractors.
27.4 Ownership of any Plant and Equipment in excess of the
requirements for the Facilities shall revert to the Contractor upon
Completion of the Facilities or at such earlier time when the
Employer and the Contractor agree that the Plant and Equipment in
question are no longer required for the Facilities provided quantity
of any Plant and Equipment specifically stipulated in the Contract
shall be the property of the Employer whether or not incorporated in
the Facilities.
27.5 Notwithstanding the transfer of ownership of the Plant and

Equipment, the responsibility for care and custody thereof together
with the risk of loss or damage thereto shall remain with the
Contractor pursuant to GCC Clause 28 (Care of Facilities) hereof
until Completion of the Facilities and Taking Over pursuant to GCC
Clause 20 or the part thereof, if any, as per GCC Sub-Clause 1.1(e) in
which such Plant and Equipment are incorporated.
28. Care of Facilities
28.1 The Contractor shall be responsible for the care and custody of the
Facilities or any part thereof until the date of Taking Over Certificate
pursuant to GCC Clause 20 or, where the Contract provides for
Completion of the Facilities in parts, until the date of Completion of
the relevant part, and shall make good at its own cost any loss or
damage that may occur to the Facilities or the relevant part thereof
from any cause whatsoever during such period. The Contractor shall
also be responsible for any loss or damage to the Facilities caused by
the Contractor or its Subcontractors in the course of any work carried
out, pursuant to GCC Clause 22. Notwithstanding the foregoing, the
Contractor shall not be liable for any loss or damage to the Facilities
or that part thereof caused by any use or occupation by the Employer
or any third party (other than a Subcontractor) authorized by the
Employer of any part of the Facilities.
29. Loss of or Damage to Property; Accident or Injury to Workers;

Indemnification
29.1 The Contractor shall indemnify and hold harmless the Employer and
its employees and officers from and against any and all suits, actions
or administrative proceedings, claims, demands, losses, damages,
costs, and expenses of whatsoever nature, including attorney‟s fees
and expenses, in respect of the death or injury of any person or loss
of or damage to any property (other than the Facilities whether
accepted or not), arising in connection with the supply and
installation of the Facilities and by reason of the negligence of the
Contractor or its Subcontractors, or their employees, officers or
agents, except any injury, death or property damage caused by the
negligence of the Employer, its contractors, employees, officers or
agents.
29.2 If any proceedings are brought or any claim is made against the
Employer that might subject the Contractor to liability under GCC
Sub-Clause 29.1, the Employer shall promptly give the Contractor a
notice thereof and the Contractor may at its own expense and in the
Employer‟s name conduct such proceedings or claim and any
negotiations for the settlement of any such proceedings or claim.
If the Contractor fails to notify the Employer within twenty-eight (28)

days after receipt of such notice that it intends to conduct any such
proceedings or claim, then the Employer shall be free to conduct the
same on its own behalf. Unless the Contractor has so failed to notify
the Employer within the twenty-eight (28) day period, the Employer
shall make no admission that may be prejudicial to the defense of
any such proceedings or claim.
The Employer shall, at the Contractor‟s request, afford all available

assistance to the Contractor in conducting such proceedings or claim,
and shall be reimbursed by the Contractor for all reasonable
expenses incurred in so doing.
29.3 Notwithstanding anything in this Contract to the contrary, it is

agreed that neither the Contractor nor the Employer shall be liable to
the other party for loss of production, loss of profit, loss of use or any
other indirect or consequential damages.
30. Insurance
30.1 To the extent specified in the corresponding Appendix-3 (Insurance

Requirements) to the Contract Agreement, the Contractor shall at its
expense take out and maintain in effect, or cause to be taken out and
maintained in effect, during the performance of the Contract, the
insurances set forth below in the sums and with the deductibles and
other conditions specified in the said Appendix. The identity of the
insurers and the form of the policies shall be subject to the approval
of the Employer, who should not unreasonably withhold such
approval.

(a) Marine Cargo Policy/Transit Insurance Policy:
(I)(i) Marine Cargo policy for imported equipment
The Contractor shall take the Marine Cargo Policy for

Plant and Equipment including Mandatory Spares to be
supplied from abroad wherein export/import including
inland transit is involved for the movement of the Plant
and Equipment including mandatory Spares. The policy
shall cover movement of Plant and Equipment including
mandatory Spares from the manufacturer‟s works to the
project‟s warehouse at final destination site. The policy
shall cover all risk for loss or damage that may occur
during transit of Plant and Equipment including
mandatory Spares from the Contractor/sub-Contractor‟s
works or stores until arrival at project‟s warehouse/
store at final destination. Institute Cargo Clause (ICC) „A‟
along with war & Strike Riots & Civil Commotion
(SRCC) cover shall be taken.
(I)(ii) Transit Insurance Policy for indigenous equipment
Similarly, Transit Insurance Policy shall be taken wherein

only inland transit is involved for the movement of Plant
and Equipment including mandatory Spares supplied
from within India. The policy shall cover movement of
Plant and Equipment including mandatory Spares from
the manufacturer‟s works to the project‟s warehouse at
final destination site. Inland Transit Clause (ITC) „A‟
along with war & Strike Riots & Civil Commotion
(SRCC) extension cover shall be taken.
(II) If during the execution of Contract, the Employer

requests the Contractor to take any other add-on
cover(s)/ supplementary cover(s) in aforesaid insurance,
in such a case, the Contractor shall promptly take such
add-on cover(s)/ supplementary cover(s) and the
charges towards such premium for such add-on
cover(s)/ supplementary cover(s) shall be reimbursed to
the Contractor on submission documentary evidence of
payment to the Insurance company. Therefore, charges
towards premium for such add-on cover(s)/
supplementary cover(s) are not included in the Contract
Price.

(III) The Contractor shall take the policy in the joint names of
Employer and the Contractor. The policy shall indicate
the Employer as the beneficiary. However, if the
Contractor is having an open policy for its line of
business, it should obtain an endorsement of the open
cover policy from the insurance company indicating that
the dispatches against this Contract are duly covered
under its open policy and include the name of the
Employer as jointly Insured in the endorsements to the
open policy.
(b) Erection All Risk Policy/Contractor All Risk Policy:
(I) The policy should cover all physical loss or damage to

the facility at site during storage, erection and
commissioning covering all the perils as provided in the
policy as a basic cover and the add on covers as
mentioned at Sl. No. (III) below.
(II) The Contractor shall take the policy in the joint name of
Employer and the Contractor. All these policies shall
indicate Employer as the beneficiary. The policy shall be
kept valid till the date of the Operational Acceptance of
the project and the period of the coverage shall be
determined with the approval of the Employer.
If the work is completed earlier than the period of policy

considered, the Contractor shall obtain the refund as per
provisions of the policy and pass on the benefit to
Employer. In case no refund is payable by the insurance
company then the certificate to that effect shall be
submitted to Employer at the completion of the project.
(III) The following add-on covers shall also be taken by the

Contractor:
i) Earthquake
ii) Terrorism
iii) Escalation cost (approximately @10% of sum
insured on annual basis)
iv) Extended Maintenance cover for Defect Liability
Period
v) Design Defect
vi) Other add-on covers viz., 50-50 clause, 72 hours
clause, loss minimization clause, waiver of
subrogation clause (for projects of more than 100
crores, cover for offsite storage/fabrication (over
100 crores).
(IV) Third Party Liability cover with cross Liability within

Geographical limits of India as on ADD-on cover to the
basic EAR cover:
The third party liability add-on cover shall cover bodily

injury or death suffered by third parties (including the
Employer‟s personnel) and loss of or damage to property
(including the Employer‟s property and any parts of the
Facilities which have been accepted by the Employer)
occurring in connection with supply and installation of
the Facilities.
(V) As per para 30.8 below, the cost of insurance premium is

to be reimbursed to the Contractor for Owner Supplied
Materials (OSM) for which the insurer is to be finalized
by the Contractor as detailed therein. Alternatively, the
Contractor may take a single policy covering the entire
cost of the project including the cost of OSM. For this
purpose, the Contractor shall submit documentary
evidence for the premium paid for the entire project to
the Employer and Employer shall reimburse to the
Contractor the proportion of premium equal to value of
OSM to total sum insured.
(VI) If during the execution of Contract, the Employer

requests the Contractor to take any other add-on
cover(s)/ supplementary cover(s) in aforesaid insurance,
in such a case, the Contractor shall promptly take such
add-on cover(s)/ supplementary cover(s) and the
charges towards such premium for such add-on
cover(s)/ supplementary cover(s) shall be reimbursed to
towards premium for such add-on cover(s)/
supplementary cover(s) are not included in the Contract
Price.
(c) Automobile Liability Insurance
The Contractor shall ensure that all the vehicles deployed by the
Contractor or its Subcontractors (whether or not owned by
them) in connection with the supply and installation of the
Facilities in the project are duly insured as per RTA act. Further
the Contractor or its Subcontractors may also take
comprehensive policy (own damage plus third party liability) of
each individual vehicles deployed in the project on their own
discretion in their own name to protect their own interest.
(d) Workmen Compensation Policy:
(I) Workmen Compensation Policy shall be taken by the

Contractor in accordance with the statutory requirement
applicable in India. The Contractor shall ensure that all
the workmen employed by the Contractor or its
Subcontractors for the project are adequately covered
under the policy.
(II) The policy may either be project specific covering all men
of the Contractor and its Subcontractors. The policy shall
be kept valid till the date of Operational Acceptance of
the project.
Alternatively, if the Contractor has an existing „Workmen

Compensation Policy‟ for all its employees including that
of the Subcontractor(s), the Contractor must include the
interest of the Employer for this specific Project in its
existing „Workmen Compensation Policy‟.
(III) Without relieving the Contractor of its obligations and

responsibilities under this Contract, before commencing
work the Contractor shall insure against liability for
death of or injury to persons employed by the Contractor
including liability by statute and at common law. The
insurance cover shall be maintained until all work
including remedial work is completed including the
Defect Liability Period. The insurance shall be extended
to indemnify the Principal for the Principal‟s statutory
liability to persons employed by the Contractor.
The Contractor shall also ensure that each of its

Subcontractors shall effect and maintain insurance on the
same basis as the „Workmen Compensation Policy‟
effected by the Contractor.
(e) Contractor‟s Plant and Machinery (CPM) Insurance
The Employer (including without limitation any consultant,

servant, agent or employee of the Employer) shall not in any
circumstances be liable to the Contractor for any loss of or
damage to any of the Contractor‟s Equipment or for any losses,
liabilities, costs, claims, actions or demands which the
Contractor may incur or which may be made against it as a
result of or in connection with any such loss or damage.
30.2 The Employer shall be named as co-insured under all insurance

policies taken out by the Contractor pursuant to GCC Sub-Clause
30.1, except for the Third Party Liability, Workmen Compensation
Policy Insurances, and the Contractor‟s Subcontractors shall be
named as co-insureds under all insurance policies taken out by the
Contractor pursuant to GCC Sub-Clause 30.1 except for the Cargo
Insurance During Transport, Workmen Compensation Policy
Insurances. All insurer‟s rights of subrogation against such co-
insureds for losses or claims arising out of the performance of the
Contract shall be waived under such policies.
30.3 The Contractor shall, in accordance with the provisions of the

corresponding Appendix – 3 (Insurance Requirements) to the
Contract Agreement, deliver to the Employer certificates of insurance
(or copies of the insurance policies) as evidence that the required
policies are in full force and effect. The certificates shall provide that
no less than twenty-one (21) days‟ notice shall be given to the
Employer by insurers prior to cancellation or material modification
of a policy.
30.4 The Contractor shall ensure that, where applicable, its

Subcontractor(s) shall take out and maintain in effect adequate
insurance policies for their personnel and vehicles and for work
executed by them under the Contract, unless such Subcontractors are
covered by the policies taken out by the Contractor.
30.5 The Employer shall at its expense take out and maintain in effect
during the performance of the Contract those insurances specified in
the corresponding Appendix – 3 (Insurance Requirements) to the
Contract Agreement, in the sums and with the deductibles and other
conditions specified in the said Appendix. The Contractor and the
Contractor‟s Subcontractors shall be named as co-insureds under all
such policies. All insurers‟ rights of subrogation against such co-
insureds for losses or claims arising out of the performance of the
Contract shall be waived under such policies. The Employer shall
deliver to the Contractor satisfactory evidence that the required
insurances are in full force and effect. The policies shall provide that
not less than twenty-one (21) days‟ notice shall be given to the
Contractor by all insurers prior to any cancellation or material
modification of the policies. If so requested by the Contractor, the

Employer shall provide copies of the policies taken out by the
Employer under this GCC Sub-Clause 30.5.
30.6 If the Contractor fails to take out and/or maintain in effect the
insurances referred to in GCC Sub-Clause 30.1, the Employer may
take out and maintain in effect any such insurances and may from
time to time deduct from any amount due the Contractor under the
Contract any premium that the Employer shall have paid to the
insurer, or may otherwise recover such amount as a debt due from
the Contractor. If the Employer fails to take out and/or maintain in
effect the insurances referred to in GCC 30.5, the Contractor may take
out and maintain in effect any such insurances and may from time to
time deduct from any amount due the Employer under the Contract
any premium that the Contractor shall have paid to the insurer, or
may otherwise recover such amount as a debt due from the
Employer.
30.7 Unless otherwise provided in the Contract, the Contractor shall

prepare and conduct all and any claims made under the policies
effected by it pursuant to this GCC Clause 30, and the monies
payable by any insurers under all the insurance except Third Party
Liability Insurance and Workmen Compensation Policy, shall be
paid to the Special Account to be opened in the joint name of the
Employer and the Contractor as mutually agreed and such amounts
paid shall be apportioned between the Employer and the Contractor
in accordance with the respective responsibilities under the Contract.
The Employer shall give to the Contractor all such reasonable
assistance as may be required by the Contractor. With respect to
insurance claims in which the Employer's interest is involved, the
Contractor shall not give any release or make any compromise with
the insurer without the prior written consent of the Employer. With
respect to insurance claims in which the Contractor's interest is
involved, the Employer shall not give any release or make any
compromise with the insurer without the prior written consent of the
Contractor.
30.8 Further all equipment and materials being supplied by Employer for
the erection (as per Technical Specification) shall be kept insured by
the Contractor against any loss, damage, pilferage, theft, fire, etc.
from the point of unloading up to the time of taking over by
Employer including handling, transportation, storage, erection,
testing and commissioning etc. The premium paid to the Insurance
company by the Contractor for such insurance shall be reimbursed
by Employer to the Contractor. The Contractor shall obtain
competitive quotation for such insurance and shall take prior
approval from Employer before taking the insurance. The insurable
value of the equipment being supplied by Employer shall be
intimated to the Contractor for arranging the insurance.
30.9 It will be the responsibility of the Contractor to lodge, pursue and

settle all claims with the insurance company in case of any damage,
loss, theft, pilferage or fire during execution of Contract and
Employer shall be kept informed about it. The Contractor shall
replace the lost/damaged materials promptly irrespective of the
settlement of the claims by the underwriters and ensure that the
work progress is as per agreed schedules. The losses, if any, in such
replacement will have to be borne by the Contractor.
31. Change in Laws and Regulations
31.1 If, after the date seven (07) days prior to the date of Bid Opening, any
law, regulation, ordinance, order or by-law having the force of law is
enacted, promulgated, abrogated or changed in India (which shall be
deemed to include any change in interpretation or application by the
competent authorities) that subsequently affects the costs and
expenses of the Contractor and/or the Time for Completion, the
Contract Price shall be correspondingly increased or decreased,
and/or the Time for Completion shall be reasonably adjusted to the
extent that the Contractor has thereby been affected in the
performance of any of its obligations under the Contract. These
adjustments shall be applicable for all transactions between the
Employer and the Contractor for supply of goods and services under
the Contract but shall not be applicable on procurement of raw
materials, intermediary components etc. by the Contractor for which
the Employer shall be the sole judge. Notwithstanding the foregoing,
such additional or reduced costs shall not be separately paid or
credited if the same has already been accounted for in the price
adjustment provisions where applicable, in accordance with the
Appendix-2 to the Contract Agreement.
32. Force Majeure
32.1 “Force Majeure” shall mean any event beyond the reasonable control
of the Employer or of the Contractor, as the case may be, and which
is unavoidable notwithstanding the reasonable care of the party
affected, and shall include, without limitation, the following:
(a) war, hostilities or warlike operations (whether war be declared

or not), invasion, act of foreign enemy and civil war,
(b) rebellion, revolution, insurrection, mutiny, usurpation of

government, conspiracy, riot and civil commotion,
(c) earthquake, landslide, volcanic activity, flood or cyclone, or
other inclement weather condition, nuclear and pressure waves
or other natural or physical disaster,
32.2 Neither party shall be considered to be in default or in breach of his

obligations under the Contract to the extent that performance of such
obligation is prevented by any circumstances of Force majure, which
arises after date of Notification of Award.
32.3 If either party is prevented, hindered or delayed from or in

performing any of its obligations under the Contract by an event of
Force Majeure, then it shall notify the other in writing of the
occurrence of such event and the circumstances thereof within
fourteen (14) days after the occurrence of such event.
32.4 The party who has given such notice shall be excused from the
performance or punctual performance of its obligations under the
Contract for so long as the relevant event of Force Majeure continues
and to the extent that such party‟s performance is prevented,
hindered or delayed. The Time for Completion shall be extended in
accordance with GCC Clause 34.
H. Change in Contract Elements
33. Change in the Facilities
33.1 Introducing a Change
33.1.1 Subject to GCC Sub-Clauses 33.2.5 and 33.2.7, the Employer shall
have the right to propose, and subsequently require, that the Project
Manager order the Contractor from time to time during the
performance of the Contract to make any change, modification,
addition or deletion to, in or from the Facilities (hereinafter called
“Change”), provided that such Change falls within the general scope
of the Facilities and does not constitute unrelated work and that it is
technically practicable, taking into account both the state of
advancement of the Facilities and the technical compatibility of the
Change envisaged with the nature of the Facilities as specified in the
Contract.
33.1.2 The Contractor may from time to time during its performance of the
Contract propose to the Employer (with a copy to the Project
Manager) any Change that the Contractor considers necessary or
desirable to improve the quality, efficiency or safety of the Facilities.
The Employer may at its discretion approve or reject any Change
proposed by the Contractor, provided that the Employer shall
approve any Change proposed by the Contractor to ensure the safety
of the Facilities.
33.1.3 Changes made necessary because of any default of the Contractor in

the performance of its obligations under the Contract shall be not be
deemed to be a Change, and such change shall not result in any
adjustment of the Contract Price or the Time for Completion.
33.1.4 The procedure on how to proceed with and execute Changes is

specified in GCC Sub-Clauses 33.2 and 33.3.
33.2 Changes Originating from Employer
33.2.1 The pricing of any Change shall, as far as practicable, be calculated in

accordance with the rates and prices included in the Contract. If such
rates and prices are inequitable, the parties thereto shall agree on
specific rates for the valuation of the Change.
33.2.2 The Contract Price for (i) the items for which quantities have been
indicated as lumpsum or lot or set and/or (ii) where the quantities
are to be estimated by the Contractor shall remain constant unless
there is change made in the Scope of Work by Employer. The
quantities and unit prices (i) subsequently arrived while approving
the Bill of Quantities (BOQ)/Billing breakup of lumpsum
quantities/lot/Set and/or (ii) estimated by the Contractor shall be
for on account payment purpose only. In case additional quantities,
over and above the quantities in BOQ/billing breakup and /or
estimated by the Contractor, are required for successful completion
of the scope of work as per Technical Specification, the Contractor
shall execute additional quantities of these items for which no
additional payment shall be made over and above the lumpsum
Contract Price. In case quantities of these items supplied at site are in
excess of that required for successful completion of scope of work,
such additional quantities shall be the property of the Contractor and
they shall be allowed to take back the same from the site for which
no deduction from the lumpsum Contract Price shall be made.
Further, in case actual requirement of quantities for successful
completion of scope of work is less than the quantities identified in
the approved BOQ /billing breakup and/or estimated by the
Contractor, the lumpsum contract price shall remain unchanged and
no deduction shall be made from the lumpsum price due to such
reduction of quantities.
It shall be the responsibility of the Contractor to pay all statutory

taxes, duties and levies to the concerned authorities for such surplus
material which would otherwise have been, lawfully payable in case
of non-deemed export contracts. The Contractor shall submit an
indemnity bond to keep Employer harmless from any liability, before
release of such material to the Contractor by Employer.
Set/Lot/Lumpsum shall be governed as per the requirement of the

corresponding item description read in conjunction with relevant
provisions of Technical Specifications and the Billing breakup
referred to above shall be issued by the Employer based on
Contractor‟s request, if and as may be required during the currency
of the Contract.
HSN/SAC has not been indicated in the Contract for lumpsum

quantities/lot/Set as each of these consists of many items for which
billing break up shall be furnished during contract execution. GST
shall be reimbursed on these items based on HSN /SAC for these
items furnished along with billing breakup. However, the
reimbursement shall be limited to the amount derived based on the
rate indicated in the contract or actual, whichever is less.
33.2.3 If before or during the preparation of the Change Proposal it

becomes apparent that the aggregate effect of compliance therewith
and with all other Change Orders that have already become binding
upon the Contractor under this GCC Clause 33 would be to increase
or decrease the Contract Price as originally set forth in Article 2
(Contract Price and Terms of Payment) of the Contract Agreement by
more than the percentage specified in SCC, the Employer and the
Contractor shall mutually agree on specific rates for valuation of the
Change beyond the specified percentage.
For the said purpose, the Contract Price means the Contract Price of
the Facilities notwithstanding the Construction of the Contract.
33.2.4 If rates and prices of any change are not available in the Contract, the
parties thereto shall agree on specific rates for the valuation of the
change and all matters therein related to the change. Based on the
same, the Employer shall, if it intends to proceed with the Change,
issue the Contractor with a Change Order.
33.2.5 The Employer shall issue the Contractor with a Change Order
pursuant to GCC Sub-Clause 33.2 by way of amendment to the
Contract or in any other manner deemed appropriate. Even if the
Employer and the Contractor cannot reach agreement on the price
for the Change, an equitable adjustment to the Time for Completion,
or any other matters related to the Change Proposal, the Employer
may nevertheless instruct the Contractor to proceed with the Change
by issue of a “Pending Agreement Change Order” (“Pending
Agreement Amendment”).
Upon receipt of a Pending Agreement Change Order, the Contractor

shall immediately proceed with effecting the Changes covered by
such Order. The parties shall thereafter attempt to reach agreement
on the outstanding issues under the Change Proposal.
If the parties cannot reach agreement within sixty (60) days from the
date of issue of the Pending Agreement Change Order, then the
matter may be referred to the Arbitrator in accordance with the
provisions of GCC Clause 38 & 39.
33.3 Changes Originating from Contractor
33.3.1 If the Contractor proposes a Change pursuant to GCC Sub-Clause

33.1.2, the Contractor shall submit to the Project Manager a written
“Request for Change Proposal”, giving reasons for the proposed
Change and which shall include the following:
(a) brief description of the Change

(b) effect on the Time for Completion
(c) estimated cost of the Change
(d) effect on Functional Guarantees (if any)
(e) effect on any other provisions of the Contract.
Upon receipt of the Request for Change Proposal, the parties shall
follow the procedures outlined in GCC Sub-Clauses 33.2.1 and 33.2.5.
However, should the Employer choose not to proceed, the
Contractor shall not be entitled to recover the costs of preparing the
Request for Change Proposal.
34. Extension of Time for Completion
34.1 The Time(s) for Completion specified in the SCC shall be extended if
the Contractor is delayed or impeded in the performance of any of its
obligations under the Contract by reason of any of the following:
(a) any Change in the Facilities as provided in GCC Clause 33
(b) any occurrence of Force Majeure as provided in GCC Clause 32
(c) any suspension order given by the Employer under GCC Clause
35 hereof or reduction in the rate of progress pursuant to GCC
Sub-Clause 35.2 or

(d) any changes in laws and regulations as provided in GCC Clause
31 or
(e) any other matter specifically mentioned in the Contract
by such period as shall be fair and reasonable in all the circumstances

and as shall fairly reflect the delay or impediment sustained by the
Contractor.
34.2 Except where otherwise specifically provided in the Contract, the

Contractor shall submit to the Project Manager a notice of a claim for
an extension of the Time for Completion, together with particulars of
the event or circumstance justifying such extension as soon as
reasonably practicable after the commencement of such event or
circumstance. As soon as reasonably practicable after receipt of such
notice and supporting particulars of the claim, the Employer and the
Contractor shall agree upon the period of such extension. In the
event that the Contractor does not accept the Employer‟s estimate of
a fair and reasonable time extension, the Contractor shall be entitled
to refer the matter to Arbitration, pursuant to GCC Sub-Clause 39.
34.3 The Contractor shall at all times use its reasonable efforts to
minimize any delay in the performance of its obligations under the
Contract.
35. Suspension
35.1 The Employer may request the Project Manager, by notice to the
Contractor, to order the Contractor to suspend performance of any or
all of its obligations under the Contract. Such notice shall specify the
obligation of which performance is to be suspended, the effective
date of the suspension and the reasons therefor. The Contractor shall
thereupon suspend performance of such obligation (except those
obligations necessary for the care or preservation of the Facilities)
until ordered in writing to resume such performance by the Project
Manager.
If, by virtue of a suspension order given by the Project Manager,

other than by reason of the Contractor‟s default or breach of the
Contract, the Contractor‟s performance of any of its obligations is
suspended for an aggregate period of more than ninety (90) days,
then at any time thereafter and provided that at that time such
performance is still suspended, the Contractor may give a notice to
the Project Manager requiring that the Employer shall, within
twenty-eight (28) days of receipt of the notice, order the resumption
of such performance or request and subsequently order a change in
accordance with GCC Clause 33, excluding the performance of the
suspended obligations from the Contract.
If the Employer fails to do so within such period, the Contractor

may, by a further notice to the Project Manager, elect to treat the
suspension, where it affects a part only of the Facilities, as a deletion
of such part in accordance with GCC Clause 33 or, where it affects
the whole of the Facilities, as termination of the Contract under GCC
Sub-Clause 36.1.
35.2 If the Contractor‟s performance of its obligations is suspended or the

rate of progress is reduced pursuant to this GCC Clause 35, then the
Time for Completion shall be extended in accordance with GCC Sub-
Clause 34.1, and any and all additional costs or expenses incurred by
the Contractor as a result of such suspension or reduction shall be
paid by the Employer to the Contractor in addition to the Contract
Price, except in the case of suspension order or reduction in the rate
of progress by reason of the Contractor‟s default or breach of the
Contract.
35.3 During the period of suspension, the Contractor shall not remove
from the Site any Plant and Equipment, any part of the Facilities or
any Contractor‟s Equipment, without the prior written consent of the
Employer.
36. Termination
36.1 Termination for Employer‟s Convenience
36.1.1 The Employer may at any time terminate the Contract for any reason
by giving the Contractor a notice of termination that refers to this
GCC Sub-Clause 36.1.
36.1.2 Upon receipt of the notice of termination under GCC Sub-Clause

36.1.1, the Contractor shall either immediately or upon the date
specified in the notice of termination
(a) cease all further work, except for such work as the Employer
may specify in the notice of termination for the sole purpose of
protecting that part of the Facilities already executed, or any
work required to leave the Site in a clean and safe condition
(b) terminate all subcontracts, except those to be assigned to the

Employer pursuant to paragraph (d) (ii) below
(c) remove all Contractor‟s Equipment from the Site, repatriate the
Contractor‟s and its Subcontractors‟ personnel from the Site,
remove from the Site any wreckage, rubbish and debris of any
kind, and leave the whole of the Site in a clean and safe
condition
(d) In addition, the Contractor, subject to the payment specified in

GCC Sub-Clause 36.1.3, shall
(i) deliver to the Employer the parts of the Facilities executed

by the Contractor up to the date of termination
(ii) to the extent legally possible, assign to the Employer all

right, title and benefit of the Contractor to the Facilities
and to the Plant and Equipment as of the date of
termination, and, as may be required by the Employer, in
any subcontracts concluded between the Contractor and its
Subcontractors
(iii) deliver to the Employer all non-proprietary drawings,

specifications and other documents prepared by the
Contractor or its Subcontractors as at the date of
termination in connection with the Facilities.
36.1.3 In the event of termination of the Contract under GCC Sub-Clause

36.1.1, the Employer shall pay to the Contractor the following
amounts:
(a) the Contract Price, properly attributable to the parts of the

Facilities executed by the Contractor as of the date of
termination
(b) the costs reasonably incurred by the Contractor in the removal

of the Contractor‟s Equipment from the Site and in the
repatriation of the Contractor‟s and its Subcontractors‟
personnel
(c) any amounts to be paid by the Contractor to its Subcontractors

in connection with the termination of any subcontracts,
including any cancellation charges
(d) costs incurred by the Contractor in protecting the Facilities and

leaving the Site in a clean and safe condition pursuant to
paragraph (a) of GCC Sub-Clause 36.1.2
(e) the cost of satisfying all other obligations, commitments and

claims that the Contractor may in good faith have undertaken

with third parties in connection with the Contract and that are
not covered by paragraphs (a) through (d) above.
36.2 Termination for Contractor‟s Default
36.2.1 The Employer, without prejudice to any other rights or remedies it

may possess, may terminate the Contract forthwith in the following
circumstances by giving a notice of termination and its reasons
therefor to the Contractor, referring to this GCC Sub-Clause 36.2:
(a) if the Contractor becomes bankrupt or insolvent, has a receiving

order issued against it, compounds with its creditors, or, if the
Contractor is a corporation, a resolution is passed or order is
made for its winding up (other than a voluntary liquidation for
the purposes of amalgamation or reconstruction), a receiver is
appointed over any part of its undertaking or assets, or if the
Contractor takes or suffers any other analogous action in
consequence of debt
(b) if the Contractor assigns or transfers the Contract or any right or

interest therein in violation of the provision of GCC Clause 37.
(c) if the Contractor, in the judgment of the Employer has engaged

in corrupt or fraudulent practices in competing for or in
executing the Contract.
For the purpose of this Sub-Clause:
“Corrupt Practice” means offering, giving, receiving, or

soliciting anything of value to influence the action of Employer
official(s) in the procurement process.
“Fraudulent Practice‟” means any act including suppression/

misrepresentation of facts, submissions of forged/ false
documents, making false declarations etc. that knowingly or
recklessly misleads, or attempts to mislead, a party to obtain a
financial gain or benefit, or to avoid an obligation, or to
influence procurement process to the detriment of interest of the
Employer, including collusive practices among bidders (prior to
or after bid submission) to establish bid prices at artificial, non-
competitive levels and to deprive Employer of the benefits of
competitive prices.

“collusive practice” shall also include an arrangement between
two or more parties designed to achieve an illegitimate purpose
to the detriment of interest of Employer.
“coercive practice” is impairing or harming, or threatening to

impair or harm, directly or indirectly, any party or the property
of the party to influence improperly the actions of a party;
“Obstructive practice” means
(aa) deliberately destroying, falsifying, altering or concealing of

evidence material to the investigation or making false
statements to investigators in order to materially impede
investigation into allegations of a corrupt, fraudulent,
coercive, or collusive practice; and/ or threatening,
harassing or intimidating any party to prevent it from
disclosing its knowledge of matters relevant to the
investigation or from pursuing the investigation,
or
(bb) acts intended to materially impede the exercise of the

contractual rights or audit or access to information.
In persuasions of its policy, the Employer will sanction a firm or

individual, including declaring ineligible, either indefinitely or
for a stated period of time, to be awarded a contract if it at any
time determines that the firm has, directly or through an agent,
engaged in corrupt, fraudulent, collusive, coercive or
obstructive practices in competing for, or in executing, a
contract.
36.2.2 If the Contractor
(a) has abandoned or repudiated the Contract
(b) has without valid reason failed to commence work on the

Facilities promptly or has suspended (other than pursuant to
GCC Sub-Clause 35.2) the progress of Contract performance for
more than twenty-eight (28) days after receiving a written
instruction from the Employer to proceed
(c) persistently fails to execute the Contract in accordance with the

Contract or persistently neglects to carry out its obligations
under the Contract without just cause
(d) refuses or is unable to provide sufficient materials, services or
labor to execute and complete the Facilities in the manner
specified in the program furnished under GCC Sub-Clause 14.2
at rates of progress that give reasonable assurance to the
Employer that the Contractor can attain Completion of the
Facilities by the Time for Completion as extended,
then the Employer may, without prejudice to any other rights it may
possess under the Contract, give a notice to the Contractor stating the
nature of the default and requiring the Contractor to remedy the
same. If the Contractor fails to remedy or to take steps to remedy the
same within fourteen (14) days of its receipt of such notice, then the
Employer may terminate the Contract forthwith by giving a notice of
termination to the Contractor that refers to this GCC Sub-Clause 36.2.
36.2.3 Upon receipt of the notice of termination under GCC Sub-Clauses

36.2.1 or 36.2.2, the Contractor shall, either immediately or upon such
date as is specified in the notice of termination,
(a) cease all further work, except for such work as the Employer
may specify in the notice of termination for the sole purpose of
protecting that part of the Facilities already executed, or any
work required to leave the Site in a clean and safe condition
(b) terminate all subcontracts, except those to be assigned to the

Employer pursuant to paragraph (d) below
(c) deliver to the Employer the parts of the Facilities executed by

the Contractor up to the date of termination
(d) to the extent legally possible, assign to the Employer all right,
title and benefit of the Contractor to the Facilities and to the
Plant and Equipment as of the date of termination, and, as may
be required by the Employer, in any subcontracts concluded
between the Contractor and its Subcontractors
(e) deliver to the Employer all drawings, specifications and other

documents prepared by the Contractor or its Subcontractors as
of the date of termination in connection with the Facilities.
36.2.4 The Employer may enter upon the Site, expel the Contractor, and
complete the Facilities itself or by employing any third party. The
Employer may, to the exclusion of any right of the Contractor over
the same, take over and use with the payment of a fair rental rate to
the Contractor, with all the maintenance costs to the account of the
Employer and with an indemnification by the Employer for all
liability including damage or injury to persons arising out of the
Employer‟s use of such equipment, any Contractor‟s Equipment
owned by the Contractor and on the Site in connection with the
Facilities for such reasonable period as the Employer considers
expedient for the supply and installation of the Facilities.
Upon completion of the Facilities or at such earlier date as the

Employer thinks appropriate, the Employer shall give notice to the
Contractor that such Contractor‟s Equipment will be returned to the
Contractor at or near the Site and shall return such Contractor‟s
Equipment to the Contractor in accordance with such notice. The
Contractor shall thereafter without delay and at its cost remove or
arrange removal of the same from the Site.
36.2.5 Subject to GCC Sub-Clause 36.2.6, the Contractor shall be entitled to

be paid the Contract Price attributable to the Facilities executed as of
the date of termination, the value of any unused or partially used
Plant and Equipment on the Site, and the costs, if any, incurred in
protecting the Facilities and in leaving the Site in a clean and safe
condition pursuant to paragraph (a) of GCC Sub-Clause 36.2.3. Any
sums due to the Employer from the Contractor accruing prior to the
date of termination shall be deducted from the amount to be paid to
the Contractor under this Contract.
36.2.6 If the Employer completes the Facilities, the cost of completing the
Facilities by the Employer shall be determined.
If the sum that the Contractor is entitled to be paid, pursuant to GCC

Sub-Clause 36.2.5, plus the reasonable costs incurred by the
Employer in completing the Facilities, exceeds the Contract Price or
the entire Facilities if entire Facilities have been completed or the
price for part of the Facilities if part of the Facilities have been
completed, the Contractor shall be liable for such excess.
If such excess is greater than the sums due the Contractor under
GCC Sub-Clause 36.2.5, the Contractor shall pay the balance to the
Employer, and if such excess is less than the sums due the Contractor
under GCC Sub-Clause 36.2.5, the Employer shall pay the balance to
the Contractor. For facilitating such payment the Employer shall
encash the Bank Guarantees of the Contractor available with the
Employer and retain such other payments due to the Contractor
under the Contract in question or any other Contract that the
Employer may have with the Contractor.

The Employer and the Contractor shall agree, in writing, on the
computation described above and the manner in which any sums
shall be paid.
36.3 In this GCC Clause 36, the expression “Facilities executed” shall
include all work executed, Installation Services provided, and all
Plant and Equipment acquired (or subject to a legally binding
obligation to purchase) by the Contractor and used or intended to be
used for the purpose of the Facilities, up to and including the date of
termination.
36.4 In this GCC Clause 36, in calculating any monies due from the
Employer to the Contractor, account shall be taken of any sum
previously paid by the Employer to the Contractor under the
Contract, including any advance payment paid pursuant to the
corresponding Appendix (Terms and Procedures of Payment) to the
Contract Agreement.
37. Assignment
37.1 Neither the Employer nor the Contractor shall, without the express
prior written consent of the other party (which consent shall not be
unreasonably withheld), assign to any third party the Contract or
any part thereof, or any right, benefit, obligation or interest therein or
thereunder.
I. Resolution of Disputes
38. Settlement of Disputes
38.1 If any dispute of any kind whatsoever shall arise between the
Employer and the Contractor in connection with or arising out of the
Contract, including without prejudice to the generality of the
foregoing, any question regarding its existence, validity or
termination, or the execution of the Facilities, whether during the
progress of the Facilities or after their completion and whether before
or after the termination, abandonment or breach of the Contract, the
parties shall seek to resolve any such dispute or difference, to the
extent possible, amicably by mutual consultation.
38.2 If the parties fail to resolve such a dispute or difference by mutual

consultation at the execution site level, then the dispute shall be
referred by the Contractor to the Project Manager, who, within a
period of thirty (30) days after being requested by Contractor to do
so, shall give written notice of his decision.

38.2.1 The decision/instruction of the Project Manager shall be deemed to
have been accepted by the Contractor unless notified by the
Contractor of his intention to refer the matter for Arbitration within
thirty (30) days of such decision/instruction.
38.2.2 In the event the Project Manager fails to notify his decision as
aforesaid within thirty (30) days, the Contractor, if he intends to go
for Arbitration, shall notify his intention to the Project Manager
within 30 days of expiry of the first mentioned period of thirty days
failing which it shall be deemed that there are no dispute or
difference between the Employer and the Contractor.
38.3 In case of dispute or difference between the Employer and the

Contractor, if the Employer intends to go for Arbitration, he shall
notify such intention to the Contractor.
39. Arbitration
39.1 All disputes or differences in respect of which the decision, if any, of

the Project Manager and/or the Head of the Implementing Authority
has not become final or binding as aforesaid shall be settled by
arbitration in the manner provided herein below:
39.2 The arbitration shall be conducted by a sole arbitrator in case the

amount of claim is less than Rs. 25 Crore and by three member
arbitral tribunal in case the amount of claim is greater than Rs. 25
Crore.
Sole Arbitration
The sole Arbitrator shall be chosen from a panel of empanelled

Arbitrators maintained by POWERGRID. The same shall comprise of
retired Judges and retired Senior executives of PSUs other than
POWERGRID. Further, the choice of sole Arbitrator shall be
governed by the amount of claim in the following manner:
Sl. Claim amount Work Experience/ Qualifications

no.
1 < Rs. 10 Crore Sole arbitrator-Retired Senior
Executives of PSUs other than
POWERGRID/Retired Distt Judges/
High Court Judges.
2 Rs.10 Crore- Rs.25 Sole arbitrator- Retired High
Crore Court/Supreme Court Judges

(a) In case of invocation of arbitration by POWERGRID,
POWERGRID shall, within 30 days, send a list of names of 3
arbitrators from its list/database of Arbitrators and the
contractor shall within the period of further 30 days select any
one person to act as “Sole Arbitrator”, which will be confirmed
by POWERGRID and matter will be referred to such appointed
Arbitrator for further arbitration proceedings.
(b) In case of invocation of arbitration by the Contractor, the

Contractor shall request POWERGRID for its database of
Arbitrators/ chose from the list of Arbitrators available on
POWERGRID‟s website, and the contractor shall, within 30
days, select any one Arbitrator from the above to act as “Sole
Arbitrator”, which will be confirmed by POWERGRID within
30 days and matter will be referred to such appointed Arbitrator
for further arbitration proceedings.
If the parties fail to appoint sole arbitrator within sixty (60) days after
receipt of a notice from the other party invoking Arbitration, the
appointment of sole arbitrator shall be done by Courts as per the
provisions of Indian Arbitration and Conciliation Act, 1996 or any
statutory modification thereof.
Three member arbitral tribunal
The arbitration shall be conducted by three arbitrators, who are

retired High Court/Supreme Court Judges, one each to be
nominated by the Contractor and the Employer and the third to be
appointed by both the arbitrators in accordance with the Indian
Arbitration & conciliation Act. If either of the parties fails to appoint
its arbitrator within sixty (60) days after receipt of a notice from the
other party invoking the Arbitration clause, the arbitrator appointed
by the party invoking the arbitration clause shall become the sole
arbitrator to conduct the arbitration. In case of failure of the two
arbitrators appointed by the parties to reach upon a consensus
regarding appointment of presiding Arbitrator, within a period of 30
days from the appointment of the arbitrator appointed subsequently,
the presiding arbitrator shall be appointed by Courts as per the
provisions of Arbitration & conciliation Act.
39.3 The cost of arbitral proceedings inter-alia including the Arbitrators‟

fee, logistics and any other charges shall be equally shared by both
parties.
In case of Sole Arbitrator, the fees to be paid to the sole Arbitrator

shall be as per the terms of empanelment in POWERGRID whereas
in case of the three member tribunal, the Arbitrator‟s fees shall be as
agreed upon by the Arbitrators in line with the Arbitration &
Conciliation Act. However, the expenses incurred by each party in
connection with the preparation, presentation, etc. of its proceedings
shall be borne by each party itself
39.4 The language of the arbitration proceedings and that of the

documents and communications between the parties shall be
English. The arbitration shall be conducted in accordance with the
provisions of the Indian Arbitration and Conciliation Act, 1996 or
any statutory modification thereof. The venue of arbitration shall be
New Delhi.
39.5 The decision of the sole arbitrator/ the majority of the arbitrators, as
the case may be, shall be final and binding upon the parties. In the
event of any of the sole arbitrator/ any of the aforesaid arbitrators
dying, neglecting, resigning or being unable to act for any reason, it
will be lawful for the parties to nominate another sole arbitrator/
another arbitrator in place of the outgoing arbitrator.
39.6 During settlement of disputes and arbitration proceedings, both

parties shall be obliged to carry out their respective obligations
under the Contract.
----- End of Section-IV (GCC) ----

SECTION – V
SPECIAL CONDITIONS OF CONTRACT (SCC)
Annexure : SCC Page 1

SPECIAL CONDITIONS OF CONTRACT (SCC)
The following bid specific data shall amend and/or supplement the provisions in the
General Conditions of Contract (GCC)
Sl. GCC Clause Amendment/Supplement to GCC

No. Ref. No.
1. General Addition/ Deletion / Substitutions to the different section of
the Bidding Documents
- The words ‘Bid’ or ‘Offer’ shall have the same meaning as

the word ‘Tender’. These words have been used
interchangeably and shall carry the same meaning.
- The words ‘Bidding Documents’ or ‘NIT Documents’ or

‘Gem Bid’ shall have the same meaning as the words
‘Tender Documents’. These words / expressions have
been used interchangeably and shall carry the same
meaning.
- The word ‘Bidder’ shall have the same meaning as the

word ‘Tenderer’/’Seller’. These words have been used
interchangeably and shall carry the same meaning.
- ‘Contract Price’ means the sum specified in the

Contract/Purchase order created/Issued by Buyer in
GeM, subject to such additions or deductions thereform,
as may be made pursuant to the contract.
- The work ‘Purchaser’ shall have same meaning as word

‘Buyer’.
- The word ‘Notice Inviting Tender’ shall have the same

meaning as the word ‘Invitation for Bids’. These works
have been used interchangeably and shall carry the same
meaning.
- The word ‘Notification of Award’ shall have the same

meaning as the word ‘Contract’ generated in the GeM
Portal. These works have been used interchangeably and
shall carry the same meaning.
- The word ‘Project Manager’ shall have the same meaning

as the word ‘Engineer-in-Charge’. These works have been

No. Ref. No.
used interchangeably and shall carry the same meaning.
- The provision relating to Joint Venture/ Bids from Joint

Venture appearing in the bidding Documents stand
deleted as Joint Venture Bid is not applicable for subject
package.
2. GCC 1.1(f)
- The word ‘Contract’ shall have the same meaning as the
word ‘Contract’ generated in the GeM Portal. These
words have been used interchangeably and shall carry the
same meaning.
3. GCC 1.1(g) Replace the existing Clause with the following:
‘Contract Documents’ means the documents list in the Contract
/Purchase order created/issued by Buyer on GeM.
4. GCC 1.1(h) Replace the existing Clause with the following:
‘Contract Price’ means the sum specified in the Contract/Purchase
order created/issued by the Buyer on GeM, Subject to such
additions or deductions therefrom, as may be made pursuant to
the Contract. For the purpose of Liquidated Damages and Contract
performance Guarantee, the ‘Contract Price’ means the sum
specified in the Contract/Purchase order created/issued by the
Buyer on GeM.
5. The Employer/ Owner is:
POWERGRID Energy Services Ltd (PESL)

GCC 1.1 (o)
Plot-42, Sector-44,
&
Gurgaon-122003
GCC 1.1(w)
Kind Attn.: DGM(CS)

Telephone Nos.:+91-(0) 0124-2864277
6. Replace the existing Clause with the following:
‘Notification of Award’ means the official notice/Contract issued
GCC 1.1 (u)
by the Purchaser through GeM portal notifying the Supplier that
his bid has been accepted.
7. GCC 2.1.1 Replace Sub-Clause GCC 2.1.1
The Award/Contracts to be entered into with the successful
Bidder shall be Single Contract covering entire scope of work,
which shall be placed through GeM Portal.
8. GCC 2.1.2 Clause 2.1.2 Stands Deleted.

No. Ref. No.
9. GCC 2.1.4 Clause 2.1.4 Stands Deleted.
10. GCC 2.9 GCC 2.9: Joint Venture : Stands deleted.
11. GCC 2.12 Clause 2.12 Stands Deleted.
12. GCC 2.14 Replacing Clause GCC 2.14 (Governing Law & its Jurisdiction)
The Contract shall be governed by and interpreted in accordance

with laws of Union of India and the Courts of New Delhi shall
have exclusive jurisdiction in all maters arising under this
Contract.
13. GCC 3.0 To be read in Conjunction with GCC Clause 3.
SCOPE OF WORK: The scope of work covered under this package
shall briefly includes ‘Outsourcing of O&M activities of
Transmission Lines associated with Firozabad cluster.
The detailed Scope of Work shall be as per Scope of Work-TS
enclosed in Volume-II.

18. GCC 4.1 Supplementing Sub-Clause GCC 4.1
The period of Contract shall be 3 (Three) Years from the effective
date of contract.
Activities Duration in Months from the

effective date of Contract for
Completion
‘Outsourcing of O&M
activities of Transmission
36 Months
Lines associated with
Firozabad cluster’
If Services provided by the Contractor are found to be satisfactory,

the contract may be extended for a further period of (01) One Year
on the basis of performance evaluated by the Employer and subject
to acceptance of extension by the Contractor with an escalation of

No. Ref. No.
3.51% per Year on Contract Price beyond 3 Years of Contract
Period. However, this will be the sole prerogative of Employer and
the Contractor shall have no right to ask for extension.
A period of 30 (Thirty) days shall be provided to successful bidder

for mobilization. The effective date of the contract shall be after
completion of the mobilization period of 30 (Thirty) days from the
date of issue of Notification of Award (NOA)/ Letter of Award
(LOA).
During the mobilization period, the Contractor shall obtain/apply

for all the requisite insurance policies, licenses/clearances from
appropriate authorities such as Labour Authorities, Provident
Fund Commissioner etc. A copy of all such documents will be
provided to Employer before commencement of work. After
completion of mobilization period, work shall be started
immediately at site. However, if the bidder has all the requisite
documents, mobilization period may be reduced to a mutually
agreed time and the same shall be tied up during post bid
discussions. The Contractor shall not be allowed to work without
having labour license, electrical license, workmen compensation,
insurance policy etc.
19. GCC 4.2 & Supplementing GCC Clause 1.1 (ee) and GCC 4.2 with the
GCC 1.1(ee) following:
The term ‘Time for Completion’ shall stand replaced by
‘Duration of the Contract’.
20. Addition of Supplementing GCC Clause 4 with the following:
New GCC
sub- clause 4.3 SITE LOCATION:
4.3
1. 765 kV D/C Varanasi-Vindyachal line: 190 kM
2. 765kV D/C Jawaharpur TPS - LILO piont of Mainpuri –
Gr. Noida line -11.09 kM
3. 765kV D/C kV Rampur - LILO point of Ghatampur-
Hapur (WUPPTCL) line- 115.32 kM
4. 400kV D/C Unchahar- Fatehpur line-53 kM
5. 400 kV D/C jawaharpur TPS-Firozabad line- 70.50 kM
6. 400 kV D/C Firozabad- LILO point of Fatehabad – Agra
South line- 12.92 kM

No. Ref. No.
7. 400kV D/C Mohanlalganj - LILO point of Sarojininagar
(UPPTCL) - Unnao (UPPTCL) line- 38.47 kM
8. 400kV D/C Mohanlalganj - LILO point of Lucknow
(PGCIL) - Sultanpur (UPPTCL) line- 6.8 kM
9. 400kV D/C Rampur - LILO point of Bareilly (PGCIL) -
Moradabad Line- 2.7 kM
10. 400 kV D/C GIS S/S Sector-123, Noida - LILo point of
Ataur (WUPPTCL) - Indirapuram (WUPPTCL)-10.20 kM
11. 220kV D/C Firozabad - LILO point of Firozabad
(UPPTCL) – Agra(PGCIL) line- 10.84 kM
12. 132 kV D/C Firozabad- LILO point of Etmadpur – Barhan
line- 25.05 kM
13. 132 kV D/C Firozabad (400kV) -Narkhi line- 27.6 kM
21. Addition Supplementing GCC Clause 4 with the following:

of New
GCC sub- ENGINEER-IN-CHARGE: Station In charge,
clause 4.4 Powergrid Energey Services Limited.
Guna 400kV Substation.
22. GCC 5.1 Replacing GCC Clause 5.1 with the following:
The Contractor shall execute the ‘Outsourcing of O&M activities of
Transmission Lines associated with Firozabad cluster’ with due
care and diligence in accordance with the Contract.
23. GCC 5.5 Clause 5.5: Stands Deleted.

28. GCC 7.2 Following clause shall replace GCC Clause 7.2
The price components shall be FIRM throughout the currency of
the contract and no Price Adjustment shall be applicable under any
circumstances.
29. GCC 8.1 Replacing GCC Clause 8.1 with the following:
Terms of Payment:

No. Ref. No.
1. Progressive Payments shall be released on a Monthly basis

against the work done during the month shall be released
upon submission of following documents.
(i) Joint Measurement Certificate duly certified by the

Engineer Incharge.
(ii) Detailed GST invoice in duplicate indicating award letter
no. and date and shall be raised in favour of Engineer-in-
Charge for verification & processing of payment.
(iii) Submission of Acknowledged duplicate copy of
NOA/Contract for release of first payment.
(iv) Submission of CPG and Statutory insurances for release of
first payment.
(v) Submission of SLA along with respective Debit/Credit
Note (if required)
Other Conditions:
2. The payment to the Contractor under the Contract
will be made by the owner/ Employer’ as per the guidelines
and conditions specified hereunder.
a. Payment shall be released to the contractor on monthly

basis. 100% of the payable monthly bill(s) shall be released,
after deduction of statutory taxes & levies, within 30 days
from the date of submission of bills in proper form &
certification by the Engineer-in-charge. 100% of the amount
payable shall be released subject to fulfillment of below
conditions stipulated herein.
b. Contractor shall also submit a Workmen Compensation
Policy within the first month of the contract. Payment
towards first monthly bill shall be released to the contractor
only after submission of Workmen Compensation Policy.
1. List of personnel deployed for PESL work (To be

submitted with each Bill).
2. Payment disbursement sheet for the previous

month, consisting of name, total pay, deductions,
and net amount paid, e-payment order No., date &
name of bank with signatures of employee along
with a certificate that the contract labors have been
correctly paid.

No. Ref. No.
3. Proof of EPF monthly deposit with regional
Provident Fund Commissioner, in the standard
format as stipulated under the relevant act along
with copies of challans vide which PF contribution is
deposited (To be submitted with each Bill).
4. Proof of deposit of ESI for working personnel with

concerned authorities and certificate towards
compliance of other statutory provisions for the
previous months along with copy of Form 12A and
Form 5. However, with the bill for the first month
certificates mentioned at b.2, b.3 & b.4 above shall
not be applicable.
c. The bills are required to be submitted to the Officer-in-

Charge and payment will be released by F&A department
at PESL, after verification & certification by the officer-in-
charge.
d. GST shall be paid by PESL upon submission of invoice as

per GST act on monthly basis. For payment of GST, Reverse
charge, if applicable, shall be deposited by PESL as
applicable as per GST Rules/Act. All GST payment shall
be against GST invoices/debit notes raised by the
Contractor as specified under the GST Act and related
Rules, Notifications, etc as notified by the Government in
this regard. In the event that the Contractor fails to provide
the invoice/debit note in the form and manner prescribed
under the GST Act and Rules, the Employer shall not be
liable to make any payment against such invoice/debit
note. Payment towards taxes & duties shall be released by
the Employer directly to the Contractor.
e. Payment shall be made as per work executed i.e. numbers

of operations performed and contractor shall have no right
to claim the complete BOQ.
f. The payment shall be regulated as per accepted rate only.

Contractor shall not be entitled to any extra payment
compensation or remuneration relating to work done
during unfavourable weather or relating to any special
arrangements made to complete the work as per schedule
of items.

No. Ref. No.
g. No extra payment shall be made to the contractor for
working on the holiday and during odd hours.
30. Additional Supplementing GCC 8 with the following:

Clause 8.3
8.3 PAYING AUTHORITY:
Sr.GM-F&A, PESL shall be the Paying Authority. Respective

Engineer-in-Charge will verify the bills and forward to PPPFC,
Manesar for processing the bills and Sr.GM-F&A, PESL shall
release the payment, subject to deductions which include
statutory deductions and any other deductions recommended
by site.
31. Additional Supplementing GCC 8 with the following:
Clause GCC
Bill Tracking System:
8.4
The status of Bill submitted by the Contractor can be checked

through the BTS number under tab “Invoice Submitted”.
32. GCC 9.2 Advance Payment Security: Not Applicable
33. GCC 9.3.1 Replace Sub-Clause GCC 9.3.1 with the following:
The Contractor shall, within twenty-eight (28) days of the

notification of award, provide a performance security for the due
performance of the Contract in the amount equivalent to Five
percent (05%) of the Contract Price, with a validity up to ninety
(90) days beyond the Contract Period. The same shall be extended
by the Contractor time to time till ninety (90) days beyond the
actual Contract period, as may be required under the Contract.
34. GCC 9.3.1.1 Clause 9.3.1.1 Stands Deleted.
35. GCC 9.3.2 Replace Sub-Clause GCC 9.3.2
The performance security shall, at the contractor’s option, be in

the form of a crossed bank draft/pay order /banker certified
cheque in favour of Employer/Owner# as stipulated in SCC/ in
the Form of unconditional Bank Guarantee attached hereto in the
Section VI - Sample Forms and Procedures.
Alternatively, if performance security is to be submitted in favor

of PESL, the same can be submitted as online payment through
POWERGRID ONLINE PAYMENT UTILITY-
No. Ref. No.
https://epay.powergrid.in, a link of which is provided on the
POWERGRID website www.powergrid.in while making online
payment towards performance security, the bidder shall choose
Segment as “Suppliers” and fill in details as follows:
Payment CategoryPerformance Security

Sub-category Performance Security Payment–PESL
Name of Depositor
Name of the
Contractor/Collaborator/Tower
manufacturer/Licensor etc.
Vendor Code, if POWERGRID/PESL vendor code of the
applicable Contractor Collaborator/Tower
manufacturer/ Licensor etc., if existing
Payment Remarks Performance Security for …...... [Enter the
name of the contract and last four digits of
the CA/NOA/GeM Contract Number]
The copy of ‘Online Payment Acknowledgement – Suppliers’

generated subsequent to the payment shall be submitted by the
Contractor. The online payment facility shall be for payment in
Indian Rupees only.
No interest shall be payable by the Employer/Owner on the

Performance Security
36. GCC 9.3.4 For this package bids from Joint Venture is not permitted.
Hence, clause 9.3.4 of GCC stands deleted.
37. Additional Add new sub Clause GCC 9.3.5
Clause GCC
9.3.5 No interest shall be payable by the Employer on the performance
Security.
38. Additional Adding New Sub-Clause GCC 9.3.6:
Clause 9.3.6 During execution of contract the Contractor, after submission of
Performance Security in form of a crossed bank draft/pay order
/banker certified cheque/ online payment may opt to furnish the
Performance Security in form of bank guarantee for the same
amount and as per same terms of the Contract. On acceptance by
the Employer/Employer of Performance Security submitted in the
form of Bank Guarantee following receipt of confirmation from the
issuing Bank, the said amount shall be refunded.
39. GCC 9.4 (b) Supplementing Sub-Clause GCC 9.4 (b) is replaced with the
following:

No. Ref. No.
a scheduled Indian Bank having paid up capital (net of any

accumulated losses) of Rs. 1,000 Million or above (the latest annual
report of the Bank should support compliance of capital adequacy
ratio requirement). The Supplier has the option to submit BG
(towards Performance Security) using SFMS Platform.
The Account details of PESL for the purpose of Bank Guarantee

(towards Performance Security) to be issued using SFMS
Platform are as given below:
Name of the Bank and IFSC Code PESL Current

Address A/c No.
4th & 5th Floor, Parsvnath
Capital Tower, Bhai Veer
Singh Marg, Gole Market,
New Delhi-110001.
Gurgaon, 122001
Note: Any one of the above account details can be used for the
issuance of Bank Guarantee using SFMS Platform.
In case of Bank Guarantee (towards Performance Security)

verification through SFMS facility of ICICI Bank, the applicant has
to provide a unique identifier of PESL to the issuing bank. This
unique identifier needs to be incorporated by the issuing bank in
Field 7037 of the IFIN 760 COV/ IFIN 767 COV while transmitting
these messages to the Beneficiary Bank through SFMS. The unique
identifier of PESL is PESL4267201.
In addition to the above, the Bank Guarantee (towards

Performance Security) should be submitted in the Physical form as
specified in GCC Clause 9.
40. GCC 9.4 (c) Supplementing Sub-Clause GCC 9.4 (c) is replaced with the
following:
by a foreign bank or a subsidiary of a foreign bank, acceptable to

the Employer, with overall international corporate rating or rating
of long term debt not less than A- (A minus) or equivalent by a
reputed rating agency. Further, the Bank Guarantee should be
confirmed by either (i) its corresponding bank located in India; or

No. Ref. No.
(ii) a Public Sector Bank located in India; or (iii) a scheduled
commercial private bank located in India
44. GCC 10.9 Replace GCC Clause 10.9
Owner’s GSTIN number in each state/UT is published on the

Owner‟s company website https://www.powergrid.in while
raising invoice/proforma invoice for Supply of Goods, Contactor
shall bill to ……………..
45. Add New Adding New Sub Clause GCC 12.6 as below:
Clause 12.6
Cyber Security:
Contractor’s manpower shall not indulge in unauthorized access
of the Employer’s PCs /Workstations.
46. Additional The photographs taken by contractor during maintenance
Clause GCC activities and drawings, instruction manuals, technical,
12.7 operational & other information provided by Employer shall not
be shared by contractor with any Contractor/ person other than
that authorized by EMPLOYER.
47. GCC15 Replace Clause GCC 15
The contractor shall not sublet any portion of the contract
48. GCC 16 Design and Engineering Stands Deleted.
49. GCC 17 Plant and Equipment Stands Deleted.
50. GCC Replace GCC Clause 18.1.3 (a) with the following:
18.1.3(a)
The Contractor shall provide and employ highly skilled, skilled,
semi-skilled and unskilled personnel/ labor as is necessary for
the proper and timely execution of the Contract. Labour having
“Recognition of Prior Learning” (RPL) Certification (under
Pradhan Mantri Kaushal Vikas Yojana (PMKVY)) may also be
employed by the Contractor.
The Contractor is encouraged to use local labor preferably from

weaker sections of society particularly SC & ST persons, that has
the necessary skills.
51. GCC 18.3.1.3 ……………..
Notwithstanding the above, the Contractor shall furnish to the

Employer the details/documents evidencing the Contractor’s

No. Ref. No.
compliance to the laws applicable to establishments engaged in
building and other construction works, as may be sought by the
Employer. In particular the Contractor shall submit quarterly
certificate regarding compliance in respect of provisions of
Employees‟ Provident Fund and Misc. Provisions Act 1952 to the
Employer. For this purpose, the Contractor as well as its Sub-
Contractor(s) should have Provident Fund Code Number and all
the workers deployed by the Contractor or Sub-Contractor must
be enrolled as members of Provident Fund having an Universal
Account Number (UAN).
52. GCC 18.3.1.4 18.3.1.4 Salient features of some major laws applicable to
establishments engaged in building and other construction works:
…………………..
53. GCC 18.3.1.4 Replace the para 18.3.1.4 (a) with the following:
(a)
(a) Employee’s Compensation Act 1923: The Act provides for
compensation in case of injury by accident arising out of and
during the course of employment.
54. GCC 18.3.3 Adding New Sub Clause GCC 18.3.3 as below:
Safety
1.1 The Contractor has to provide sufficient quantity of Personal

Protective Equipment (PPE)/ safety equipment conforming to
Indian / International standards and provide this equipment
to it’s manpower at site as per the work requirement. The
Contractor's Maintenance In-charge has to ensure that all
deployed manpower must use requisite Personal Protective
Equipment / safety equipment at site.
1.2 The Contractor shall submit relevant test certificates as per

IS/IEC/ International standard as applicable to PPEs & T&Ps
to the Employer before its usage.
1.3 Employer may issue warning letter to Maintenance In-charge

of Contractor in violation of above norms.
1.4 If the contactor does not take adequate safety precautions and
/ or fails to comply with the safety rules as prescribed under

No. Ref. No.
the applicable law for the safety of the equipment and for the
safety of personnel or the contactor does not prevent
hazardous conditions which causes injury to his own
employees or the employees of the Employer or employees of
the other contractors / agencies or any other person who are
at site or adjacent thereto It may be noted that in case, accident
involves a manpower deployed by Contractor at work site or
general public, then Contractor Maintenance In-charge shall
report/inform the accident immediately to the Employer and
to all the concerned Statutory Authorities i.e.
a. The officer In-charge of the nearest Police Station of the
associated Police Station.
b. District administration (District Magistrate/ Sub-Divisional
Magistrate)
c. The Regional Labour Commissioner
d. Commissioner of Employee Compensation (State) with
which the person involved was registered as beneficiary,
and
e. The next of kin or other relative of the person involved in
the accident.
f. Insurance company
1.5 In case an accident happens, the affected person(s) must be
administered first-aid and all efforts made to immediately
shift to nearby Hospital or any other such place for medical
treatment. It should be the responsibility of the Contractor to
furnish all details in this regard to the Employer in writing.
Failure to comply with requirement may entitle the Employer
to withhold any dues or suspend the work that is being carried
out by the Contractor and recover the damages / costs arising
from such non-compliance by the Contractor. The
Contractor’s Maintenance In-charge ensures compliance of
the same.
1.6 Adherence to Safety Provisions as per Appendix-AA attached

to TS.
55. GCC 18.4 Opportunities for other contractors: Stand deleted.
56. GCC 19 Test & Inspection: Stands Deleted.
57. GCC 20 Completion of the Facilities and Operational Acceptance: Stands
Deleted.

No. Ref. No.
58. GCC 21.2 Replace the existing Provision GCC 21.2 as below:
1. LD/Deductiontowards non-performance/ Absence of
Manpower/ Vehicle:
1.1. Insufficient Manpower: Contractor to ensure availability
of the manpower as per the minimum manpower requirement to
manage the Operation & Maintenance efficiently.
The Manpower deployment shall be 100% of the minimum Man-
power as defined at clause 3.1 in Scope of Work given in the
Technical Specification (Vol-II).
Mandatory presence required in a Month for all personnel: 26
days
Failing Mandatory presence required in a Month, proportionate
deduction for the relevant month shall be applicable as per table
below:
Sl. Description of Deduction in INR per day per
No. manpower person on non-deployment less
than Mandatory presence
1 Maintenance In-
charge 4,000
2 Maintenance
Engineer 2,400
3 Diploma Engineer 2,000
4 Fitter/Electrician 1,400
Absences of personnel for any reasons shall be duly made up by

deploying alternate staff on a best endeavor basis. Contractor to
arrange a suitable replacement against the staff member going to
avail a planned leave more than 10 Days in succession in a
month.
Contractor shall ensure minimum 01 Month overlap period in
case of change of manpower without any additional cost to PESL.
Penalty of 01 Month wages of the respective manpower will be
imposed for non-compliance. In case of resignation, absconding
of the manpower from their duties, contractor should bring the

No. Ref. No.
same in notice of the Employer immediately after the incident
and should arrange a suitable replacement.
1.2 Non-Deployment of T&Ps: Deployment of critical T&Ps at
Sub-station / cluster level to be ensured by contractor. In case of
non-deployment an amount of Rs. 5000/- per day shall be
deducted from monthly bill for the period of non-deployment of
T&Ps. The T&Ps of less frequent requirement needs to be
arranged by contractor immediately on receipt of instruction
from Employer. In case of delay in deployment of T&Ps beyond
48 hours from the receipt of intimation from SPV/PESL, An
amount of Rs. 5000/- per day shall be deducted from monthly
bill for the period of non-deployment of T&Ps.
1.3 Delay in Payment of Wages: For any delay in payment of
wages / salary beyond seventh day of any month by the
Contractor to any of its employee deployed in respective PESL
location under subject contract, liquidated damages of Rs. 250/-
per day per employee shall be levied from the Contractor by the
SPV/PESL for each case of default. Engineer In-charge/
authorized representative of the contract shall ensure strict
compliance of the same.
1.4 Non-Deployment of Vehicle: Deduction of Rs. 2000.00 for
non-deployment of minimum one vehicle per day as per scope
of work.
1.5 Damage of Employer assets: Damage of Employer assets
(Hardware, Insulator, Tower Parts, and Accessories etc.,) if any,
due to Improper Work Procedure /mis handling/human error
due to manpower deployed by outsource agency, the cost of asset
and restoration shall be recovered/deducted from the outsource
agency which is in addition to other deductions/recovery
elsewhere mentioned in the contract. The maximum
recovered/deducted amount on this account shall not be more
than five percent (05%) of the Contract Price.
59. GCC 22 Defect Liability: Stands Deleted.

60. GCC 23 Functional Guarantees: Stands Deleted.
61. GCC 24 Equipment Performance Guarantees: Stands Deleted.
62. GCC 27 Transfer of Employership: Stands Deleted.
63. GCC 28 Replace the existing Provision GCC 30 as below:
The Contractor shall be responsible for the care and custody of
spares during handling.
No. Ref. No.
64. GCC 30.1(a) Marine Cargo Policy/Transit Insurance Policy: Stands Deleted.
65. GCC 30.1(b) Replace the existing Provision GCC 30.1(b) as below:
Erection All Risk Policy/Contractor All Risk Policy:
The above policy shall be obtained before commencement of

Maintenance work as and when required. The cost of
insurance premium at each instance shall be reimbursed to the
Contractor by the employer based on the documentary
evidence for the premium paid. The contractor shall finalize
the insurer from the lowest quoted Insurers and shall take the
consent from the employer before finalizing the Insurance
Premium amount and Insurer.
The policy should cover all physical loss or damage to the

facility at site during storage, erection and commissioning
covering all the perils as provided in the policy as a basic cover
and the add on covers if any.
The Contractor shall take the policy in the joint name of

Employer and the Contractor. The policy shall indicate
Employer as the beneficiary. The policy shall be kept valid till
the date of the taking over of site by Employer and the period
of the coverage shall be determined with the approval of the
Engineer In-Charge of Employer
Third Party Liability cover with cross Liability within

Geographical limits of India as on Add-on cover to the basic
EAR cover:
The third-party liability add-on cover shall cover bodily injury

or death suffered by third parties (including the Employer’s
personnel) and loss of or damage to property (including the
Employers’ property and any parts of the Facilities which
have been accepted by the Employer) occurring in connection
with scope of work.
If during the execution of Contract, the Employer requests the

Contractor to take any other add-on cover(s)/ supplementary
cover(s) in aforesaid insurance, in such a case, the Contractor
shall promptly take such add-on cover(s)/ supplementary
No. Ref. No.
cover(s) and the charges towards such premium for such add-
on cover(s)/ supplementary cover(s) shall be reimbursed to
towards premium for such add-on cover(s)/ supplementary
cover(s) are not to be included in the Contract Price.
66. GCC 30.1(d) Supplementing the Sub-Clause 30.1(d):
(IV) The contractor shall take adequate Group

Insurance and Workman Compensation as per
act applicable for the said work for its deployed
manpower during execution of contract. The
expenditure incurred towards premium for
such policies shall be borne by the contractor
without any additional cost to the Owner. It
shall be obligatory on the part of the contractor
to provide a copy of group insurance/
Workman Compensation policy for the
manpower deployed before commencement of
work to the Engineer In-Charge of Owner. The
above policies should be valid throughout the
duration of the contract.
(V) The Contractor shall mandatorily cover its

deployed personnel under ESI. Locations where
ESI benefits are not extended/ if employees are
not covered under ESI, the Contractor shall
make available equivalent insurance coverage
under the provisions of Employees
Compensation Act (EC Act 1923). The
Contractor shall also take Mediclaim policy of
Rs. Two Lakhs towards medical coverage for
each of its staff deployed in SPV/PESL location
under the subject contract. The Contractor shall
arrange for necessary ESI / EC cover & medical
even for any staff deployed for very short
duration. The expenditure incurred towards
contributions/ premium for such policies shall
be borne by the Contractor without any
No. Ref. No.
additional cost to the Employer. It shall be
obligatory on the part of the Contractor to
provide a copy of ESI Cards/ Employee
Compensation (EC) policy and group medical
insurance/ Mediclaim for the manpower
deployed before commencement of work to the
Engineer In-Charge of Employer. The above
policies should be valid throughout the duration
of the contract.
(VI) The Contractor shall ensure that all legal dues,

including Employees Compensation against
Employee Compensation Policy, is paid to the
legal heir of the deceased/injured within the
time frame as per Employee (Workmen)
Compensation Act. If Contractor failed to
deposit the Compensation amount to the
concerned Compensation Commissioner,
equivalent amount shall be with-held from
running bills of Contractor and PESL shall
submit the same to Commissionerate office
without delay.
The Employer shall be named as co-insured under all insurance

policies taken out by the Contractor pursuant to the above. All
insurer’s rights of subrogation against such co-insureds for losses
or claims arising out of the performance of the Contract shall be
waived under such policies.
67. GCC 33.2.3 Supplementing Clause GCC 33.2.3: Percentage for the Change
Proposal under this Clause shall be limited to 30%.
68. GCC 34 Replace the existing Provision GCC 34 as below:
If the services provided by contractor are found to be satisfactory,

the contract can be extended for a further period of 01(One) year
at the discretion of Employer with an escalation @3.51% per Year
on Contract Price beyond 3 Years of Contract Period on same
terms and conditions. However, this will be the sole prerogative
of Employer and Contractor will have no right to ask for
extension.

No. Ref. No.
69. Add New Short Closing of Contract due to Transfer of Asset
Clause 36.5
Employer may short close this contract with sixty (60) days prior
written notice to contractor, upon the occurrence of: Sale or
transfer by Employer of its rights in the project or a sale or transfer
of all or substantially all of the assets of or interests in Employer.
70. GCC 39.4 The last line of GCC 39.4 is replaced with the following:
The venue of arbitration shall be New Delhi.

71. GCC 39.6 & Replace the existing Provision GCC 39.6 as below:
GCC 39.7 39.6 Notwithstanding the above, in case the contractor is a
Central Public Sector Enterprise (CPSE)/Government
Organization or Department then the dispute or difference
between the Employer and the Contractor shall be settled
through Administrative Mechanism for Resolution of CPSEs
Disputes (AMRCD) as mentioned in DPE OM No. 4(1)/2013-
DPE(GM)/FTS-1835 dated 22.05.2018. The decision through
AMRCD will be final and binding on all the concerned.
39.7 During settlement of disputes and arbitration proceedings,
both parties shall be obliged to carry out their respective
obligations under the contract.
72. Add new Indemnification
Clause 40
40.1 Contractor shall keep Employer indemnified against all
claims/ liability whatsoever on account of statutory
payments, costs, damages and charges arising out of personal
injury / disability or death of contractor's
employees/personnel caused by any reason whatsoever.
Employer will not be responsible for any injury, damage etc.
caused to any of the Employee/personnel put on the job by
the contractor directly or indirectly. In the event of any claim
Contractor will be solely responsible to meet such claims and
Employer will not entertain any claim whatsoever in this
regard.
40.2 The Contractor shall keep the Employer indemnified in case

any action is taken against the Employer by the competent
authority on account of contravention of any of the provisions

No. Ref. No.
of any Act or rules made there under, regulations or
notifications including amendments.
40.3 The Contractor shall indemnify the Employer, its officers and
employees from and against all actions, claims, demand, suits
and proceedings by the third party for the acts/omissions of
the Contractor and all costs, charges, expenses, losses,
damages, duties, taxes, penalties, levies, and all other
liabilities which the Employer may be liable to pay, incur or
sustain as a result of performance or non-performance,
observance or non-observance by the Contractor of any of the
terms and conditions of the Contract.
73. Add New The mechanism of Dispute resolution through Conciliation shall
Clause GCC: be available in cases where the amount involved in the dispute
Conciliation exceeds INR 1 Cr.
41.1
74. GCC 41.2 The settlement of Disputes through conciliation mechanism shall
be done by the Conciliation Committee of Independent Experts
(CCIE) constituted by Ministry of Power, Govt. of India as per the
procedure outlined in its OM dated 29.12.2021 as detailed herein
below and its subsequent amendments/modifications (if any).
75. GCC 41.2.1 Each member of CCIE would be paid a sum of Rs. 50,000/- as
sitting fee per sitting. In addition, Rs. 5,000/- per sitting will be
paid for local transport charges for each day of proceeding. The
conciliation proceedings shall be completed in each case through
5 sittings in a period of not more than three months from the date
the reference made to the CCIE. In exceptional cases, if any dispute
so merits, the time period may be extended at the discretion of
Conciliation Committee (with reasons to be recorded in writing),
for a further period of three months. In case, a particular dispute
requires more than 5 sittings, the same may be held at the
discretion of the CCIE but with a cap on payment of fee for 5
sittings only. The local transport charges shall, however, be paid
as provided for each day of sitting beyond the 5 sittings.
76. GCC 41.2.2 The CCIE shall hold day to day sitting at the Headquarter of the
Employer or New Delhi and may hold as many sittings every
month as it deems appropriate keeping in view the volume of
work.
77. GCC 41.2.3 All expenditure incurred on the conciliation proceedings
including payment of fees to the Conciliators, office space, logistic,

No. Ref. No.
secretarial assistance and other incidental expenses etc. shall be
borne by the Employer initially. Thereafter it shall be shared
equally by both parties on completion of the conciliation process.
78. GCC 41.3 The procedure of CCIE shall not be treated as alternate arbitration
proceedings where both parties come with Statement of
claims/defence, arguments/counter arguments, rejoinders,
written submissions etc., aided by their respective lawyers. The
forum of CCIE is a conciliation forum, where mutual give and take
constitutes the essence, rather than strict legal positions of the
parties. Hence, the parties are expected to be brief and to the point
before the committee with regard to their respective stance and
view the exercise in the spirit of conciliation / settlement.
79. GCC 41.4 The Standard Operating Procedure for the conciliation mechanism
shall be as follows:
i) On receipt of a reference from the Contractor for conciliation

of dispute, the concerned Executive Director (Region) of the
Employer shall send a communication within 7 working days
thereby inviting the Contractor to depute a team of their
representatives to interact with the Employer to crystallize the
issues and prepare the agenda containing the gist on each
dispute.
ii) Once a conciliation request has been raised by the contractor,

within 30 days the same shall be referred to the CCIE in the
event of the matter remaining unresolved internally.
iii) The Employer will also be free to suggest the option of

resolution of disputes by conciliation in case a dispute has
arisen. The contractor may select any one of the CCIEs as
constituted by MOP after leaving out those CCIEs which are
unavailable due to work load or any other reason as
maintained by Central Electricity Authority (CEA).
iv) The Conciliation process shall be conducted under Part III

of the Arbitration and Conciliation Act, 1996.
v) The Conciliation Committee would either be able to resolve

and settle the dispute(s) between the parties, or the process
may fail.
vi) In the event of the conciliation proceedings being successful,

the parties to the dispute would sign the written settlement
No. Ref. No.
agreement and the conciliators would authenticate the same.
Such settlement agreement would then be binding on the
parties in terms of Section 73 of the Arbitration and
Conciliation Act, 1996.
vii) After successful conclusion of Conciliation, proceedings, the

Parties to the conciliation process, have to undertake and
complete all necessary actions for implementation of the terms
of settlement within a period of 30 days from execution of
settlement agreement, unless a different timeline not
exceeding 60 days is agreed upon in settlement agreement. All
pending claims of parties, in connection with the dispute,
before any other legal forum are to be withdrawn within the
said 30 days in pursuance of the settlement agreement.
viii) In case of failure of the conciliation process at the level of

the Conciliation Committee, the parties may withdraw from
conciliation process and take recourse to the laid down legal
process of Courts. However, the option of Arbitration would
not be available once the conciliation mechanism has been
exercised.
80. GCC 41.5 In cases of disputes pending before the Arbitration Tribunals or
the Courts, both of the parties (i.e. Employer and Contractor) need
to agree to explore the possibilities of conciliation through the
Conciliation Committee of Independent Experts. In case of such
agreement, an appropriate reference shall be made to the
Conciliation Committee, upon which the Committee shall proceed
to examine such reference(s). The option of resolution through
conciliation through CCIE would be open only in the event of the
parties withdrawing from arbitration proceedings and
undertaking to forego their rights to proceed for further arbitration
in the subject matter. However, other legal remedies would be
open to the parties in the event of the conciliation proceedings not
being successful.
81. GCC 41.6 During settlement of disputes and conciliation proceedings, both
parties shall be obliged to carry out their respective obligations
under the Contract.
Confidentiality:
The Contractor and its personnel deployed in the works under the subject contract shall
hold all information, data, material, instructions, communications, the terms &
conditions of business as strictly confidential, whether received in writing or oral form
from PESL. Any technical / business information that the Contractor’s employees

acquire while their engagement in the location OR through access to PESL computer
system/ network/ database while on or off PESL premises, shall be treated as
Confidential information. However, any information, sharing / disclosure of which is
required to be done as per any statutory requirement/ compliances, the same shall be
informed to PESL in advance.
----- End of (SCC) ---

SECTION – VI
SAMPLE FORMS
Section – VI: Sample Forms Page 1

Attachment-1
BID SECURITY FORM
((To be stamped in accordance with Stamp Act, the Non-Judicial Stamp Paper should be in the name of
the issuing Bank. For the purpose of verification/confirmation of this Bank Guarantee by the Employer,
the Bank shall indicate 2 official email ids of the authorized signatories from Issuing Branch and also of
the designated higher office (Corporate Office, Zonal Office etc)in the covering letter of the Bank
forwarding the Bank Guarantee.)
Bank Guarantee No.: ........................…

Date: ...................……...
To: (insert Name and Address of Employer)
WHEREAS M/s. …. (Insert name of Bidder)…… having its Registered/Head Office at …..
(Insert address of the Bidder) ……….. (Hereinafter called "the Bidder" which expression shall
include its successors, administrators, executors and assigns) has submitted its Bid for the
performance of the Contract for ‘Outsourcing of O&M activities of Transmission Lines
associated with Firozabad cluster, under GeM BID NO: GEM/2024/B/5043723 (Hereinafter
called "the Bid")
KNOW ALL PERSONS by these present that WE …….. (insert name & address of the issuing
bank) ……… having its Registered/Head Office at …..…….(insert address of registered office of
the bank)…….. (hereinafter called "the Bank" which expression shall include its successors,
administrators, executors and assigns), are bound unto ……(insert name of Employer)…..
(hereinafter called "the Employer") in the sum of ....................(insert amount of Bid Security in
figures & words).......................... ............................……………. for which payment well and truly
to be made to the said Employer, the Bank binds itself, its successors and assigns by these
presents.
Sealed with the Common Seal of the said Bank this ............... day of ............... 20....
THE CONDITIONS of this obligation are:
(1) If the Bidder withdraws its bid during the period of bid validity specified by the Bidder
in the Bid Form; or
(2) In case the Bidder does not withdraw the deviations proposed by him, if any, at the cost
of withdrawal stated by him in the bid and/or accept the withdrawals/rectifications
pursuant to the declaration/confirmation made by him in Attachment – Declaration of
the Bid; or
(3) If the Bidder does not accept the corrections to arithmetical errors identified during
preliminary evaluation of his bid pursuant to ITB; or
(4) If, as per the requirement of Qualification Requirements the Bidder is required to submit
a Deed of Joint Undertaking and he fails to submit the same, duly attested by Notary
Public of the place(s) of the respective executants (s) or registered with the Indian
Embassy/High Commission in that Country, within ten days from the date of intimation
of post – bid discussion; or
(5) In the case of a successful Bidder, if the Bidder fails within the specified time limit
(i) To sign the Contract Agreement, in accordance with ITB Clause 10, or
(ii) To furnish the required performance security, in accordance with ITB Clause 8.
or
(6) In any other case specifically provided for in ITB.
WE undertake to pay to the Employer up to the above amount upon receipt of its first written
demand, without the Employer having to substantiate its demand, provided that in its
demand the Employer will note that the amount claimed by it is due to it, owing to the
occurrence of any of the above-named CONDITIONS or their combination, and specifying the
occurred condition or conditions.
This guarantee will remain in full force up to and including ……….. (insert date in line with
ITB Clause 13)…….., and any demand in respect thereof must reach the Bank not later than
the above date.
Notwithstanding anything contained herein:
1. Our liability under this Bank Guarantee shall not exceed _________ (value in
figures)____________ [_____________________ (value in words)____________].
2. This Bank Guarantee shall be valid upto ________(validity date)__________.
3. We are liable to pay the guaranteed amount or any part thereof under this Bank
Guarantee only & only if we receive a written claim or demand on or before ________
(validity date) __________
For and on behalf of the Bank
[Signature of the authorised signatory(ies)]
Signature_______________________
Name_______________________
Designation_______________________
POA Number_______________________
Contact Number(s): Tel.______________Mobile______________
Fax Number_______________________
email ____________________________
Common Seal of the Bank______________________
Witness:
Signature_______________________
Name_______________________
Address______________________________
email ____________________________
Note:
1. In case the bid is submitted by a Joint Venture, the bid security shall be in the name of
the Joint Venture and not in the name of the Lead Partner or any other Partner(s) of
the Joint Venture.
2. The Bank Guarantee should be in accordance with the proforma as provided.

However, in case the issuing bank insists for additional paragraph regarding
applicability of ICC publication No: 758, the following may be added at the end of the
proforma of the Bank Guarantee [i.e., end paragraph of the Bank Guarantee preceding the
signature(s) of the issuing authority(ies) of the Bank Guarantee]:
“This Guarantee is subject to Uniform Rules for Demand Guarantee, ICC publication
No. 758.”
3. At the time of issuance of the Bank Guarantee (including its extensions) through
SFMS facility, the issuing bank will input the IFSC code of Beneficiary Bank as
mentioned at ITB clause 16.3 in BDS in their Trade Finance Portal.
Additional paragraph regarding issuance of the Bank Guarantee through SFMS

Platform (if applicable), the following should be added at the end of the proforma
of the Bank Guarantee [i.e., end paragraph of the Bank Guarantee preceding the
signature(s) of the issuing authority(ies) of the Bank Guarantee]:
“This Guarantee has been issued using SFMS Platform and the requisite
communication in this regard has been forwarded to the Beneficiary Bank.”
Attachment-2
Page 1 of 3

with Firozabad cluster
GeM Bid No. GEM/2024/B/5043723
(Declaration regarding events encountered pursuant to ITB Clause 1.1)
Bidder’s Name and Address: To:
Name:……………. Contract Services,
Address:……………………….. POWERGRID/PESL Energy Services Limited,

Plot No 42, Sec 44
Gurugram, Haryana,
122001
Dear Sir,
1.0 In accordance with the relevant provisions of the bidding documents inter-
alia including for assessment of capacity and capability, we furnish herewith
our data/details/documents along with other information, as follows
Sr. No. Event
1. Whether there was Termination of Contract(s) Yes

due to Contractor’s default No
2. Whether there was Encashment of CPG(s) due to Yes

non-performance No
3. Whether there was repeated failure of major Yes

Equipment(s) while in service* No
4. Whether substantial portion of works (more than Yes

50% of the Contract**) is sub-contracted, under No
an existing Contract
5. Whether more than 25% of the Contract price Yes

(awarded value), in aggregate, is paid to sub- No
contractors/suppliers as Direct payment, under
an existing Contract, due to financial position of
Contractor
6. Firm has been referred to NCLT under Yes@

Insolvency & Bankruptcy Code (IRP has been No
appointed or Liquidation proceedings have been
Attachment-2
Page 2 of 3
Sr. No. Event
initiated under IBC)
Note:
1. Information regarding events at Sl. No. 1 to 5 shall be furnished for events occurred
during last one year under the contract(s) executed by you for POWERGRID/PESL
(Owned as well as Consultancy)
*2. In case POWERGRID/PESL has issued a letter in this regard wherein the firm has
been put on hold from award of further contract(s) for a specified period and this
specified period of hold is yet to expire, the bidder shall indicate “Yes” against this
event.
**3. For the purpose of working out 50% of the Contract, following shall be taken into
account suitably:
(a) Scope of the contract which is permissible to be sub-contracted as per bidding

documents, shall be excluded.
(b) Scope of the Contract which primarily relates to the Qualification Requirement
(QR) of the bidder as illustrated below:
Sl. Type of Package/ Main aspect of Criteria for working out

No. Contract the QR 50% of the Contract
1. Conductor/Insulat Manufacture & 50% of the total supply of
or Package Supply Conductor/Insulator under
the Contract
2. Tower Package Construction of 50% of the total
Transmission Line Transmission Line
construction under the
Contract
3. Substation(AIS) Construction of 50% of the total bays
Package bays construction under the
Contract
4. Transformer/React Manufacture & 50% of the total supply of
or Supply Transformer/Reactor under
the Contract
5. Substation(GIS) Manufacture & 50% of the total supply of
Package Supply of GIS GIS bays under the Contract
bays
The guiding principles as illustrated above shall be followed while

dealing with other packages/contracts.
@4. Regarding Sl. No. 6, in case of ‘Yes’, following information shall be submitted
additionally:
Attachment-2
Page 3 of 3
Date on which the firm has been referred to NCLT under

Insolvency & Bankruptcy Code (IRP has been appointed or
Liquidation proceedings have been initiated under IBC) …………
Whether the process under IBC has been concluded Yes

(If yes, supporting documents be submitted) No
2.0 We confirm that the above information/declarations and documents

submitted in support of the same are true and correct to the best of our
knowledge. We understand that any false declaration and/or
misrepresentation of facts and/or false/forged documents/information may
lead to our debarment from participation in Employer tenders and that our
Bid Security/Contract Performance Guarantee may be forfeited besides other
actions as deemed to be appropriate as per the provisions of the Bidding
Documents/Integrity Pact/Employer’s policy.
Printed Name :
Date :
Designation :
Place :
INTEGRITY PACT
Between
POWERGRID Energy Services Ltd. (A wholly Owned Subsidiary of Power Grid Corporation
of India Limited) incorporated under the Companies Act, 2013, having its Registered Office
at Plot No. – 29, Sec 44, Gurugram- 122001 (Haryana) through its Office at Plot No. – 42, Sec
44, Gurugram- 122001 (Haryana)
hereinafter referred to as
"PESL",
and
__________________________________________________________________________
[Insert the name of the Sole Bidder/Lead Partner of Joint Venture]
having its Registered Office at _______________________________________________

(Insert full Address)
___________________________________________________________________________
and
___________________________________________________________________________
[Insert the name of the Partner(s) of Joint Venture, as applicable]
having its Registered Office at

_________________________________________________
(Insert full Address)
___________________________________________________________________________
hereinafter referred to as
"The Bidder/Contractor"
Preamble
PESL intends to award, under laid-down organisational procedures, contract(s) for

“Outsourcing of O&M activities of Transmission Lines associated with Firozabad
cluster)” GeM Bid No: GEM/2024/B/5043723. POWERGRID/PESL values full
compliance with all relevant laws of the land, rules, regulations, economic use of
resources, and of fairness / transparency in its relations with its Bidders/
Contractors.
In order to achieve these goals, PESL and the above named Bidder/Contractor enter
into this agreement called 'Integrity Pact' which will form a part of the bid.
It is hereby agreed by and between the parties as under:
Section I - Commitments of POWERGRID/PESL
(1) POWERGRID/PESL commits itself to take all measures necessary to prevent

corruption and to observe the following principles :
a) No employee of POWERGRID/PESL, personally or through family

members, will in connection with the tender, or the execution of the
contract, demand, take a promise for or accept, for him/herself or third
person, any material or other benefit which he/she is not legally entitled
to.
b) POWERGRID/PESL will, during the tender process treat all Bidder(s)

with equity, fairness and reason. POWERGRID/PESL will in particular,
before and during the tender process, provide to all Bidder(s) the same
information and will not provide to any Bidder(s) confidential/
additional information through which the Bidder(s) could obtain an
advantage in relation to the tender process or the contract execution.
(c) PESL will exclude from evaluation of Bids its such employee(s) who has
any personal interest in the Companies/Agencies participating in the
Bidding/Tendering process and all known prejudiced persons.
(2) If POWERGRID/PESL obtains information on the conduct of any of its

employee which is a criminal offence under the IPC / PC Act, or if there be a
substantive suspicion in this regard, POWERGRID/PESL will inform its
Chief Vigilance Officer and in addition disciplinary actions can be initiated
under POWERGRID’s Rules.
Section II - Commitments of the Bidder/Contractor
(1) The Bidder/Contractor commits itself to take all measures necessary to prevent
corruption. The Bidder/Contractor commits itself to observe the following
principles during its participation in the tender process and during the contract
execution:
a) The Bidder/Contractor will not, directly or through any other person or

firm, offer, promise or give to any of PESL/POWERGRID's employees
involved in the tender process or the execution of the contract or to any
third person any material or other benefit which it is not legally entitled
to, in order to obtain in exchange an advantage of any kind whatsoever
during the tender process or during the execution of the contract.
b) The Bidder/Contractor will not enter into any illegal or undisclosed

agreement or understanding, whether formal or informal with other
Bidders/Contractors. This applies in particular to prices, specifications,
certifications, subsidiary contracts, submission or non-submission of
bids or actions to restrict competitiveness or to introduce cartelization in
the bidding process.
c) The Bidder/Contractor shall not pass any information provided by

PESL as part of business relationship to others and shall not commit
any offence under PC / IPC Act.
d) The Bidder/Contractor of foreign origin shall disclose the name and

address of the Agents/representatives in India, if any, involved directly
or indirectly in the Bidding. Similarly, the Bidder/Contractor of Indian
Nationality shall furnish the name and address of the foreign principals,
if any, involved directly or indirectly in the Bidding.
e) The Bidder/Contractor will, when presenting his bid, disclose any and
all payments made, or committed to or intends to make to agents,
brokers or any other intermediaries in connection with the award of the
contract and/or with the execution of the contract.
f) The Bidder/Contractor will not misrepresent facts or furnish

false/forged documents/information in order to influence the bidding
process or the execution of the contract to the detriment of PESL.
g) The Bidder/Contractor shall ensure adoption of Integrity Pact by its

Sub-contractors and shall be responsible for the same.
(2) The Bidder/Contractor will not instigate third persons to commit offences
outlined above or be an accessory to such offences.
Section III- Disqualification from tender process and exclusion from future
contracts
(1) If the Bidder, before contract award, has committed a transgression through a
violation of Section II or in any other form such as to put his reliability or
credibility as Bidder into question, PESL may disqualify the Bidder from the
tender process or terminate the contract, if already signed, for such reason.
(2) If the Bidder/Contractor has committed a transgression through a violation of

Section II such as to put his reliability or credibility into question,
PESL/POWERGRID may, after following due procedures, ban /blacklist the
Bidder/Contractor in line with POWERGRID’s policy for “Black-Listing of
Firms / Banning of Business”. The imposition and duration of the ban will be
determined by the severity of the transgression. The severity will be
determined by the circumstances of the case, in particular the number of
transgressions, the position of the transgressors within the company hierarchy
of the Bidder/Contractor and the amount of the damage. The ban will be
imposed for a maximum of 3 years.
(3) If the Bidder/Contractor can prove that he has restored/recouped the damage
caused by him and has installed a suitable corruption prevention system,
PESL/POWERGRID may revoke the ban prematurely.
Section IV - Liability for violation of Integrity Pact
(1) If POWERGRID/PESL has disqualified the Bidder from the tender process
prior to the award under Section III, PESL is entitled for forfeiture of the Bid
Guarantee under the Bid.
(2) If PESL has terminated the contract under Section III or if PESL is entitled to
terminate the contract under Section III, PESL shall be entitled to forfeit the
Contract Performance Guarantee of this contract, in full or part thereof as may
be decided, besides resorting to other remedies under the contract.
Section V- Previous Transgression
(1) The Bidder shall disclose in its Bid any transgressions occurred in the last 10
years with any other Public Sector Undertaking or Government Department
or any other Company, in any country, that may impinge on the Anti-
corruption principle.
(2) If the Bidder makes incorrect statement on this subject, it can be disqualified
from the tender process or the contract, if already awarded, can be terminated
for such reason and further action can be taken in line with POWERGRID’s
policies.
Section VI - Equal treatment to all Bidders / Contractors

(1) PESL will enter into agreements with identical conditions as this one with all
Bidders.
(2) PESL will disqualify from the tender process any bidder who does not sign this
Pact or violate its provisions.
Section VII - Punitive Action against violating Bidders / Contractors
If POWERGRID/PESL obtains knowledge of conduct of a Bidder or a Contractor or

its subcontractor or of an employee or a representative or an associate of a Bidder or
Contractor or his Subcontractor which constitutes corruption, or if
POWERGRID/PESL has substantive suspicion in this regard, POWERGRID/PESL
will inform the Chief Vigilance Officer (CVO).
(*)Section VIII - Independent External Monitor/Monitors
(1) POWERGRID has appointed a panel of Independent External Monitors (IEMs)

for this Pact with the approval of Central Vigilance Commission (CVC),
Government of India. The names of the IEMs have been indicated in the
Bidding Documents.
(2) The panel of IEMs shall review independently and objectively, whether and
to what extent the parties comply with the obligations under this agreement.
The panel of IEMs has right of access to all project documentation. The panel
of IEMs may examine any complaint received by them and submit a report to
Chairman-cum-Managing Director, POWERGRID, giving joint findings, at
the earliest. The panel of IEMs may also submit a report directly to the CVO
and the CVC, in case of suspicion of serious irregularities attracting the
provisions of the PC Act.
(3) The IEM is not subject to instructions by the representatives of the parties and
performs his functions neutrally and independently. He / She reports to the
Chairman-cum-Managing Director, POWERGRID.
(4) The Bidder(s)/Contractor(s) accepts that the IEM has the right to access
without restriction to all documentation of POWERGRID related to this
contract including that provided by the Contractor/Bidder. The
Bidder/Contractor will also grant the IEM, upon his / her request and
demonstration of a valid interest, unrestricted and unconditional access to their
documentation. The same is applicable to Subcontractors. The IEM is under
contractual obligation to treat the information and documents of the
Bidder(s)/Contractor(s)/Subcontractor(s) with confidentiality.
(5) POWERGRID will provide to the IEMs information as sought by him / her
which could have an impact on the contractual relations between POWERGRID
and the Bidder/Contractor related to this contract. The IEMs shall also sign
declaration on ’Non-Disclosure of Confidential Information’ and of
‘Absence of Conflict of Interest’. In case of any conflict of interest arising at
a later date, the IEM shall inform Chairman-cum-Managing Director,
POWERGRID and recuse himself/herself from that case
(6) As soon as the IEM notices, or believes to notice, a violation of this agreement,
he / she will so inform the Chairman-cum-Managing Director, POWERGRID
and request the Chairman-cum-Managing Director, POWERGRID to
discontinue or take corrective action, or to take other relevant action. The IEM
can in this regard submit non-binding recommendations. Beyond this, the IEM
has no right to demand from the parties that they act in a specific manner,
refrain from action or tolerate action. However, the IEM shall give an
opportunity to POWERGRID and the Bidder/Contractor, as deemed fit, to
present its case before making its recommendations to POWERGRID.
(7) The IEM will submit a written report to the Chairman-cum-Managing Director,
POWERGRID within 8 to 10 weeks from the date of reference or intimation to
him by POWERGRID and, should the occasion arise, submit proposals for
correcting problematic situations.
(8) If the IEM has reported to the Chairman-cum-Managing Director,

POWERGRID, a substantiated suspicion of an offence under PC / IPC Act, and
the Chairman-cum-Managing Director, POWERGRID has not, within the
reasonable time taken visible action to proceed against such offence or reported
it to the CVO, the Monitor may also transmit this information directly to the
CVC, Government of India.
(9) While representing any matter in relation to the Integrity pact inter-alia
including its transgression to the panel of IEMs, POWERGRID and
Bidder/Contractor shall not approach the court of law and await the decision
of the IEM in the matter.
(10) The word ‘IEM’ would include both singular and plural.
(*) This Section shall be applicable for only those packages wherein the IEMs have been
identified in Section – I : Invitation for Bids and/or ITB: Conditions of Contract, Volume-
I of the Bidding Documents.
Section IX - Pact Duration
This Pact begins when both parties have legally signed it. It expires for the Contractor
after the closure of the contract and for all other Bidder's six month after the contract
has been awarded.
Section X - Other Provisions
(1) This agreement is subject to Indian Law. Place of performance and jurisdiction
is the establishment of PESL/POWERGRID. The Arbitration/Conciliation
clause provided in the main tender document / contract shall not be applicable
for any issue / dispute arising under Integrity Pact.
(2) Changes and supplements as well as termination notices need to be made in

writing. Side agreements have not been made.
(3) If the Contractor is a partnership firm or a consortium or Joint Venture, this

agreement must be signed by all partners, consortium members and Joint
Venture partners.
(4) Nothing in this agreement shall affect the rights of the parties available under
the General Conditions of Contract (GCC) and Special Conditions of Contract
(SCC).
(5) Issues like Warranty/Guarantees etc. shall be outside the purview of IEMs.
(6) Views expressed or suggestions/submissions made by the parties and the

recommendations of the CVO/IEM# in respect of the violation of this
agreement, shall not be relied on or introduced as evidence in the
arbitral/Conciliation or judicial proceedings (arising out of the
arbitral/Conciliation proceedings) by the parties in connection with the
disputes/differences arising out of the subject contract.
# CVO shall be applicable for packages wherein IEM are not identified in Section
IFB/BDS of Condition of Contract, Volume-I. IEM shall be applicable for packages
wherein IEM are identified in Section IFB/BDS of Condition of Contract, Volume-
I.
(7) Should one or several provisions of this agreement turn out to be invalid, the
remainder of this agreement remains valid. In this case, the parties will strive
to come to an agreement to their original intentions.
(Signature) ______________________ (Signature) ________________________

(For & On behalf of PESL) (For & On behalf of Bidder/ Partner(s)
of Joint Venture/ Contractor)
(Office Seal) (Office Seal)
Name:____________________________ Name:____________________________
Designation:_______________________ Designation:_______________________
Witness 1 :_________________________ Witness 1 :_________________________
(Name & Address) _________________ (Name & Address) _________________
__________________________________ __________________________________
__________________________________ __________________________________
Witness 2 :_________________________ Witness 2 :_________________________
(Name & Address) _________________ (Name & Address) _________________
__________________________________ __________________________________
__________________________________ __________________________________
Attachment-4

with Firozabad cluster
[To be certified by OEM of the offered product]
Format for Affidavit of Self certification regarding Local Content in line with PPP-
MII order and MoP order), if applicable, to be provided on a non-judicial stamp
paper of Rs. 100/-.
Date:
I ________S/o, D/o, W/o, _____________________Resident

of_________________________________________________________ hereby solemnly
affirm and declare as under:
That I will agree to abide by the terms and conditions of the Public Procurement
(Preference to Make in India) Order, 2017 of Government of India issued vide
Notification No:P-45021/2/2017 -BE-II dated 15/06/2017, its revision dated
16/09/2020 (hereinafter PPP-MII order),
‘Public Procurement (Preference to Make in India) to provide for Purchase Preference

(linked with local content)’ order dated 16/11/2021 issued by Ministry of Power (hereinafter
MoP order)
and any subsequent modifications/Amendments, if any and
That the information furnished hereinafter is correct to the best of my knowledge

and belief and I undertake to produce relevant records before the procuring
entity/POWERGRID or any other Government authority for the purpose of
assessing the local content of goods/services/works supplied by me for Outsourcing
of O&M activities of Transmission Lines associated with Firozabad cluster.
That the local content for all inputs which constitute the said goods/services/works
has been verified by me and I am responsible for the correctness of the claims made
therein.
That the ‘Local Content ‘as defined in the PPP-MII order and MoP order in the
goods/services/works supplied by me for Outsourcing of O&M activities of
Transmission Lines associated with Firozabad cluster is ……… percent (%).
That the goods/services/works supplied by me for Outsourcing of O&M activities

of Transmission Lines associated with Firozabad cluster meet the ‘Local Content‘
requirement as defined in the PPP-MII order and MoP order for ‘Class –I local
supplier’.
Page 1 of 2
Attachment-4
That the value addition for the purpose of meeting the ‘Local Content ‘has been
made by me at ……………………… (Enter the details of the location(s) at which value
addition is made).
That in the event of the local content of the goods/services/works mentioned herein
is found to be incorrect and not meeting the prescribed Local Content criteria, based
on the assessment of procuring agency (ies)/POWERGRID/Government Authorities
for the purpose of assessing the local content, action shall be taken against me in line
with the PPP-MII order, MoP order and provisions of the Integrity pact/ Bidding
Documents.
I agree to maintain the following information in the Company's record for a period
of 8 years and shall make this available for verification to any statutory authority.
i Name and details of the Local Supplier

(Registered Office, Manufacturing unit location, nature of legal entity)
ii. Date on which this certificate is issued

iii. Goods/services/works for which the certificate is produced
iv. Procuring entity to whom the certificate is furnished
v. Percentage of local content claimed and whether it meets the Local Content
prescribed for ‘Class –I local supplier’/’Class-II local supplier’
vi. Name and contact details of the unit of the Local Supplier (s)
vii. Sale Price of the product
viii Ex-Factory Price of the product
ix. Freight, insurance and handling
x. Total Bill of Material
xi List and total cost value of input used to manufacture the Goods/to provide
services/in construction of works
xii. List and total cost of input which are domestically sourced. Value addition
certificates from suppliers, if the input is not in-house to eb attached
xiii. List and cost of inputs which are imported, directly or indirectly
For and on behalf of……………………………………………… (Name of firm/entity)
Authorized signatory (To be duly authorized by the Board of Directors)
<Insert Name, Designation and Contact No.>
Page 2 of 2
Attachment-5

with Firozabad Cluster
Certification by the Bidder per order no. F.No.6/18/2019-PPD dated 23/07/2020 issued by
Public Procurement Division, Department of Expenditure, Ministry of Finance,
Government of India (DoE Order) in line with BDS 1.0
Address:……………………….. POWERGRID Energy Services Limited,

Plot No 42, Sec 44
Gurugram, Haryana,
122001
Dear Sir,
We have read and understood the provisions of Order no. F.No.6/18/2019-PPD (Order
Public Procurement no.1) dated 23/07/2020 regarding “Restriction under Rule 144(xi) of
General Financial Rules” and F.No.6/18/2019-PPD (Order Public Procurement no.2) dated
23/07/2020 regarding “Exclusions from Restriction under Rule 144(xi) of General
Financial Rules” issued by Public Procurement Division, Department of Expenditure,
Ministry of Finance, Government of India [hereinafter collectively “DoE Order’’] and any
subsequent modifications/Amendments, if any.
Particularly, we, the Bidder, have read the clause regarding restrictions on procurement
from a ‘Bidder of a country which shares a land border with India’ and on sub-
contracting to contractors from such countries.
We certify that we, the bidder and/or our subcontractor/sub vendor is/are not from
such a country or, if from such a country, has been registered as per provisions of the
Bidding Documents with the Competent Authority and will not subcontract any work to
a subcontractor/sub vendor from such countries unless such subcontractor/sub vendor
fulfils all requirement in this regard and is eligible to be considered. [Where applicable,
evidence of valid registration by the Competent Authority shall be attached.]
We further declare that any misrepresentation or submission of false/forged

document/information in this regard shall be dealt with as per the provisions of
Integrity Pact and/or Bidding Documents and/or POWERGRID’s policy and
procedures.
Date: Printed Name:
Place: Designation:
Page 1 of 1
Attachment-6
Page 1 of 1

(Declaration of Key Managerial Person and Power of Attorney holder)

Plot No 42, Sec 44
Gurugram, Haryana,
122001
Dear Sir,
1. We confirm that the declarations made in our bid, particularly regarding

eligibility/qualification data and documents submitted in our bid in support
of the declarations, are true and correct to the best of our knowledge.
2. We confirm that in support of meeting the Technical experience requirement,

we have enclosed self-certified copy of Contract/ Award Letter and certificate
from the utility for which the contract has been executed.
3. We shall furnish clarification to bid, if any sought by Employer. We

understand that if we fail to rectify/furnish the requested documents if any,
within 3 working days’ notice, our bid is liable to be rejected.
4. We understand that any false declaration and/or misrepresentation of facts

and/or furnishing of false/forged documents /information may lead to our
debarment from participation in Employer tenders and that our Bid Security/
Contract Performance Guarantee may be forfeited besides other actions as
deemed to be appropriate as per the provisions of the Bidding
Document/Integrity Pact/Employer’s policy.
5. We also confirm that the Employer may verify the supporting documents/
details in connection with above declarations. We further understand that in
case of any unethical practices inter-alia including any misrepresentation of
facts, submission of false and/or forged details/ documents/ declaration by
us, we may be debarred from the participation in Employer’s tenders in
future as considered appropriate by Employer and our Bid Security/ Contract
Performance Guarantee shall be forfeited besides taking other actions as
deemed appropriate.
Date : Printed Name :
Place : Designation :
Attachment-7
Page 1 of 5

(Declaration regarding Ex-employees of Purchaser in Bidder’s firm, E-payment, PF
details and declaration regarding Micro/Small & Medium Enterprises)

Plot No 42, Sec 44
Gurugram, Haryana,
122001
Dear Sir,
1. We declare that we are aware of and have gone through the "Code of Business
Conduct and Ethics for Senior Management Personnel" and "Code of Business
Conduct and Ethics for Board Members" of POWERGRID (hereinafter
referred to as the "Code of Conduct"). We further understand that as per the
"Code of Conduct", Senior Management Personnel including Board Members,
who have retired/ resigned from POWERGRID/PESL, shall not accept any
appointment or post, as detailed in the referred "Code of Conduct", within 1
year from the date of cessation of service/ directorship unless approved by
the competent authority.
Accordingly, we hereby furnish the details of ex-employees of

POWERGRID/PESL who had retired/ resigned at the level of Chief General
Manager and above from POWERGRID/PESL and subsequently have been
employed by us:
Date of
Date of
joining and
Sl. Name of the person with designation in Retirement/
designation
No. POWERGRID/PESL resignation from
in our
POWERGRID/PESL
organisation
1
3
Attachment-7
Page 2 of 5
*In case the date of joining in the bidder's organization of such ex-employee is
within 1 year from the date of retirement/ resignation from POWERGRID/PESL, No
Objection Certificate/ approval from the competent authority must be furnished
along with the bid or subsequent through clarification pursuant to ITB 5.
In case of non-submission of No Objection Certificate/ approval of the competent

authority, as required, we understand that POWERGRID/PESL shall deal with such
case as per its Policy and Procedure in vogue, which may also result in rejection of our
bid. We also confirm that PESL shall be the sole judge in this regard.
We further declare that any misrepresentation or submission of false/ forged

documents/ information in this regard shall be dealt with as per the provisions of the
Integrity Pact/ or the Bidding Documents and/ or POWERGRID's policy and
procedures.
II Information for E-payment, PF details and declaration regarding Micro/Small &

Medium Enterprises
We hereby authorize the Purchaser to make all our payments through Electronic Fund Transfer
System. The details for facilitating the payments are given below:-
1 Address with PIN Code and State
Registered Office:
Branch Office:
Correspondence Address:
Status – Company/others
2(a) [Declaration of Micro/ Small/ Medium

Enterprise under Micro/ Small & Medium
Enterprises Development Act 2006, if
applicable]
Attachment-7
Page 3 of 5
Are you a MSE owned by SC/ST*

entrepreneurs in line with Public
Procurement poliy for Micro and Small
Enterprises (MSEs) order 2012 including
subsequent
amendment/notification/order (Indicate
2(b)
Yes/No)
Note: Documentary evidence is to be

attached. Please refer remarks at the end of
the attachment.
If 2.(b) is 'Yes' please mention whether you

are (Proprietary MSE/Partnership
2(c)
MSE/Private Limited Company) owned
by SC/ST entrepreneurs.
Are you a MSE owned by women in line

with Public Procurement Policy for Micro
and Small Enterprises (MSEs) order 2012,
Public Procurement Policy for Micro and
Small Enterprises (MSEs) Amendment
Order 2018 including subsequent
2(d)
amendment/notification/order (Indicate
Yes/No)
Note: Documentary evidence is to be

attached.
3 Permanent Account (PAN) No.
4 GST Nos. (STATE WISE)
5 PF Registration No. of the Company
6 PF Regional Office covered (with Address)
7 Name of Contact Person

Attachment-7
Page 4 of 5
Designation
8 Contact Details
Landline(s):
Mobile(s):
Email ID :
9 Bank Details for Electronic Payment
Name of the Bank:
Address of Branch:
Account No.:
Type of Account:
(Saving Account/Current Account)
10 9 digit MICR code printed at bottom in

middle, next to cheque no.
11 IFSC (for RTGS)/NEFT Code (to be obtained

from the Bank) Sample Cancelled Cheque to
be enclosed
I/We hereby declare that the particulars given above are correct and complete. If the transaction
is delayed or credit is not affected at all for reasons of incomplete or incorrect information, I/We
would not hold the Purchaser responsible.
Printed
Date :
Name :
Note:
1. "Code of Business Conduct and Ethics for Senior Management Personnel" and "Code of
Attachment-7
Page 5 of 5
Business Conduct and Ethics for Board Members” are available on POWREGRID's website
https://www.powergrid.in
2.The information in similar format should be furnished for each partner of joint venture in
case of joint venture bid.
3. In case bidder has furnished no details on ex-employees of POWERGRID or has left blank
or has indicated '-' against the same, it shall be deemed that they have not employed any
such person in their organization.
Attachment-8 (QR)
Outsourcing of O&M activities of Transmission Lines associated with Firozabad cluster
GeM Bid SPECIFICATION No. : GEM/2024/B/5043723
(Qualifying Requirement Data)
To:
Bidders’s Name & Address:
Contract Services
Name: POWERGRID Energy Services Ltd.,

Address: Plot No. 42, Sector 44
Gurgaon (Haryana) – 122001
Dear Sir,
In support of the Qualification Requirements (QR) for bidders, stipulated in Annexure-A (ITB) Volume-I & Additional Information required as per ITB of the Bidding Documents, we furnish
herewith our QR data/details along with other information, as follows herewith our stipulations have been reproduced in italics for ready reference, however, in case of any discrepancy the QR
as given in BDS shall prevail).
* We have submitted bid as individual firm.

(i)
[For details regarding Qualification Requirements of a Joint Venture, please refer para 4.0 below.]
We are furnishing the following details/document in support of Qualifying requirement for the subject package.
A Attached copies of original documents defining :
a) The constitution or legal status;
b) The principal place of business;
c) The place of incorporation (for bidders who are corporations); or the place of registration and the nationality of the Owners (for applicants who are partnerships or individually-
owned firms).
B Attached original & copies of the following documents :
a) Written power of attorney of the signatory of the Bid to commit the bidder.
GENERAL INFORMATION
Bidder is required to provide general information as per the following format.
1.0 TECHNICAL REQUIREMENTS {Reference para 1.0 of Annexure-A (BDS)}
TECHNICAL EXPERIENCE
Qualification Criteria
Qualification of bidder will be based on meeting the minimum passing criteria specified below regarding the Bidder’s technical Experience, and Financial Position as
demonstrated by the Bidder’s responses in the corresponding Bid Schedules.
The Employer may assess the capacity and capability of the bidder, to ascertain that the bidder can successfully execute the scope of work covered under the package within
stipulated time period. This assessment shall inter-alia include (i) document verification; (ii) details of works executed, works in hand, anticipated in future; (iii) manpower and
financial resources; (iv) past experience and performance; (v) customer feedback; (vi) banker’s feedback etc.
PESL reserves the right to waive minor deviations if they do not materially affect the capability of the Bidder to perform the contract.
1 Experience
Technical Experience
a) Bidder should have successfully completed satisfactory O&M* of minimum 250kM** route length of 765kV*** or above transmission line in a single (1) Contract of minimum
duration of 2 years or cumulatively in two (2) Contracts of minimum duration of 1 year each during last 7 years as on the originally scheduled last date of bid submission (soft
copy) i.e. 12.07.2024
1.1
OR
b) Successful Erection and stringing**** of not less than 125 kms cumulatively route length of 400kV$ or above transmission line cumulatively during last 7 years, as on the
originally scheduled last date of bid submission (soft copy) mentioned above. 12.07.2024
Notes for clause 1.1:

* Satisfactory O&M means certificate issued by the Employer certifying the maintenance works without any adverse remark.
** OR Actual route length if line length in a package is less than 250kM
*** Maximum voltage level of transmission line considered in the package
**** Successful Erection and Stringing means certificate issued by Employer certifying successful erection and stringing without any adverse remark.
$ One voltage level below than the highest voltage level in the project
Using the following format, each Bidder (individual firms ) is requested to list the experience as detailed above, on the basis of which the Bidder wishes to qualify. The
information is to be summarised using following format for each experience of the Bidder
(The bidder shall attach documentary evidence, such as copies of utility certificates for completed contracts and copies of award letters etc. for ongoing contracts in support of his
experience as listed in the following proforma for each Contract in table given below).
Format-A:
Format for the Bidder in support of meeting the requirement of para 1.1, Annexure-A to ITB of the Bidding Documents)
Work-01
Name of Bidder
Details of Work:
Name of Contract (executed during the last 7 years as on the

1
date of bid opening):
2 Contract Agreement/NOA/Work Order/LOA Reference

No. & Date of Award
3 Duration of the Contract Period( Start Date of Contract &

End Date of the Contract)
4 Name and Address of the Employer/Utility for whom the

Contract was executed by the firm
5 Name of 765 kV** or above transmission line successfully

completed continuous satisfactory operation and
maintenance
6 Work Completion Certificate Details( Reference & Issuance

Date):
7 No. of years the above referred substation is in satisfactory

operation as on the originally scheduled date of bid
opening
8 The Communication/contact Details of Employer/Utility

for whom the Contract was executed by the firm
E-mail ID
Telephone No.
Fax No.
Work-02
Name of Contract (executed during the last 7 years as on the
1
date of bid opening):
2 Contract Agreement/NOA/Work Order/LOA Reference

No. & Date of Award
3 Duration of the Contract Period( Start Date of Contract &

End Date of the Contract)
4 Name and Address of the Employer/Utility for whom the

Contract was executed by the firm
5 Name of Transmission Line Erection and stringing*** of not

less than 125 kms route length of 400kV$ or above
transmission line successfully completed during last seven
(7) years as on the originally scheduled date of bid opening
6 Work Completion Certificate Details( Reference & Issuance

Date):
7 No. of years the above referred substation is in satisfactory

operation as on the originally scheduled date of bid
opening
8 The Communication/contact Details of Employer/Utility

for whom the Contract was executed by the firm
E-mail ID
Telephone No.
Fax No.
2.1 Financial Qualification Data:
A. NET WORTH
Networth Details of documentary evidence submitted in support of Qualification Data

(in Rs. Lakh)
Sl No Financial year
1 2022-2023
2 2021-2022
3 2020-2021
4 2019-2020
5 2018-2019
B Turnover details:
Turnover Details of documentary evidence submitted in support of Qualification Data

(in Rs. Lakh)
Sl No Financial year
1 2022-2023
2 2021-2022
3 2020-2021
4 2019-2020
5 2018-2019
Average Annual Turnover
for best Three Years is
C Liquid Assets
LA (in Rs. Lakh)
Details of evidence of
having Liquid assets (LA)
Or
Details of evidence of
access to or availability of
credit facilities
Audited balance sheet and income statements for the last five years as per the following:
Years preceding to the bid
A Audited Balance Sheet and Income Statements enclosed
opening
1st Year Yes

2nd Year Yes
3rd Year Yes

4th Year Yes
5th Year Yes
Date : Printed Name :

FORM OF CONTRACT AGREEMENT
SUPPLY OF SERVICES CONTRACT AGREEMENT BETWEEN ................. (Name of Employer)

............... AND M/s. ................... (Name of Contractor) .............../JOINT VENTURE (JV) OF
M/s. …….. (Name of Lead Partner)…. (THE LEAD PARTNER OF THE JV) AND M/s.
…..(Name of Other Partner)…… (THE PARTNER OF THE JV) [Use as applicable]
THIS CONTRACT AGREEMENT No. ………………… (also referred to as ‘the Contract’) is

made on the ….. day of …………… 20…..
BETWEEN
(1) ...................... (Name of Employer).................... a company incorporated under the laws of

Companies Act 1956 and having its Registered Office at ………(registered address of the
Employer) ………………… and its Corporate Office at …………(address of the
Employer)….………… (hereinafter called "the Employer" and also referred to as “…..(insert
abbreviated name of the Employer) ……..”)
and
(2) M/s .............. (Name of Contractor) ..........., a company incorporated under the laws of
Companies Act 1956 and having its Principal place of business at ………....(Address of
Contractor) ............................... and Registered Office at ………....(Registered address of
Contractor) ............... (hereinafter called "the Contractor" and also referred to as “…..(insert
abbreviated name of the Contractor) ……..”)
or
Joint Venture (JV) of M/s ................. (Name of Lead Partner) .................. (the Lead Partner of
JV), a company incorporated under the laws of Companies Act 1956 and having its Principal
place of business at ………....(Address of Lead Partner) ............................... and Registered Office
at ………....(Registered address of Lead Partner) ........................ and M/s ................. (Name of Other
Partner) .................. (the Partner of JV), a company incorporated under the laws of Companies
Act 1956 and having its Principal place of business at ………....(Address of Other Partner)
............................... and Registered Office at ………....(Registered address of Other Partner)
........................ (hereinafter called "the Contractor" and also referred to as “Joint Venture”/the
‘JV””)
(Applicable only in case of Joint Venture)
WHEREAS the Employer desires to engage the Contractor for providing all the services
inter-alia including …….................….. (Indicate brief scope of work) ............................... for the
complete execution of the …… (insert name of Package alongwith name of the Project)……. as
detailed in the Contract Document ("the Facilities"), and the Contractor has agreed to such
engagement upon and subject to the terms and conditions hereinafter appearing.
NOW IT IS HEREBY AGREED as follows:
Article 1. Contract Documents
Page 1
1.1 Contract Documents (Reference GCC Clause 2.2)
The following documents shall constitute the Contract between the Employer and the
Contractor, and each shall be read and construed as an integral part of the Contract:
VOLUME – A
1. This Contract Agreement and the Appendices thereto.

2. GeM Contract Ref. No. …………..……. dated ……………..
VOLUME – B
3. “Bidding Documents” comprising of the following:
(a) Volume –I of Bidding Documents, read in conjunction with Amendments

…. to …… to the Bidding Documents.
(b) Volume –II of Bidding Documents comprising Technical Specifications.
VOLUME – C
4. Bid Submitted by the Contractor.
(Only relevant extracts are attached herewith for easy reference. Should the
circumstances warrant, the original Bid along with the enclosures thereof, shall be
referred to.).
1.2 Order of Precedence (Reference GCC Clause 2)
In the event of any ambiguity or conflict between the Contract Documents listed
above, the order of precedence shall be the order in which the Contract Documents
are listed in Article 1.1 (Contract Documents) above.
1.3 Definitions (Reference GCC Clause 1/SCC Clause 1)
1.3.1 Capitalized words and phrases used herein shall have the same meanings as are
ascribed to them in the General Conditions of Contract/Special Conditions of
Contract.
Article 2. Contract Price and Terms of Payment
2.1 Contract Price (Reference GCC Clause……)
The Employer hereby agrees to pay to the Contractor the Contract Price in
consideration of the performance by the Contractor of its obligations hereunder. The
Contract Price shall be the aggregate of .……. (amount in words) .................
(...............(amount in figures) ….. ........), or such other sums as may be determined in
accordance with the terms and conditions of the Contract. The break-up of the
Contract price is as under:
Page 2
Sl. Price Component Amount
No.
1. Total Price for entire scope of work
Total for Contract Price
The above contract price is Inclusive of GST.
The detailed break-up of Contract Price is given in the relevant Appendices hereto.
2.2 Terms of Payment (Reference GCC /SCC………)
The terms and procedures of payment according to which the Employer will
reimburse the Contractor are given in Appendix 1 (Terms and Procedures of
Payment) hereto.
Article 3. Effective Date for Determining Time for Completion
3.1 Effective Date (Reference GCC Clause ….)
The Time of Completion of Facilities as provided in the GeM Contract i.e., from
…………………
Article 4. Appendices
The Appendices listed in the List of Appendices, as mentioned below, shall be

deemed to form an integral part of this Contract Agreement.
Reference in the Contract to any Appendix shall mean the Appendices attached
hereto, and the Contract shall be read and construed accordingly.
List of Appendices
Appendix 1 Terms and Procedures of Payment
Appendix 2 Price Adjustment
Appendix 3 Insurance Requirements
Appendix 4 Time Schedule
Appendix 5^ Summary of Detailed Price Break-up
Appendix 5A^ Detailed Price Break-up (Price Component)
Appendix 6^ Integrity Pact
[^ to be appended at the Stage of Contract Award.]
IN WITNESS WHEREOF the Employer and the Contractor have caused this Agreement to be
duly executed by their duly authorized representatives the day and year first above written.
Page 3
Signed by for and Signed by for and
on behalf of the Employer on behalf of the Contractor
........................................ ........................................
Signature Signature
.............................................. ..............................................
Title Title
in the presence of in the presence of
Page 4
Appendix-1
TERMS AND PROCEDURES OF PAYMENT
In accordance with the provisions of GCC/SCC Clause 8.1 (Terms of Payment), the
Employer shall pay the Contractor in the following manner and at the following times, on
the basis of the Price Break-up given in the section on price schedules. Payments will be
made in the currencies quoted by the Bidder unless otherwise agreed between the parties.
1. TERMS OF PAYMENT
In addition to the Conditions stipulated under GCC/SCC Clause 8.1, the following
terms & Conditions will apply.
1.1 Supply of Services Portion
1.1A It would be mandatory for contractor to fulfill the following conditions as per
terms & conditions of Contract:
a) signing the Contract Agreement.
b) Performance Securities in line with GCC Clause 9.3.1, and
1.1B 1. Progressive Payments shall be released on Monthly basis against the work done
during the month shall be released upon submission of following documents.
(i) Joint Measurement Certificate duly certified by the Enginee -In-charge.
(ii) Detailed GST invoice in duplicate indicating award letter no. and date and shall
be raised in favour of Engineer-in-Charge for verification & processing of payment.
(iii) Submission of Acknowledged duplicate copy of NOA/Contract for release of
first payment.
(iv) Submission of CPG and Statutory insurances for release of first payment.
(v) Submission of SLA along with respective Debit/Credit Note (if required)
Other Conditions:
1. The payment to the Contractor under the Contract will be made by the
owner as per the guidelines and conditions specified hereunder.
a. Payment shall be released to the contractor on monthly basis. 100% of the

payable monthly bill(s) shall be released, after deduction of statutory taxes &
levies, within 30 days from the date of submission of bills in proper form &
certification by the Engineer-in-charge. 100% of the amount payable shall be
released subject to fulfillment of below conditions stipulated herein.
b. Contractor shall also submit a Workmen Compensation Policy within the first
month of the contract. Payment towards first monthly bill shall be released to
the contractor only after submission of Workmen Compensation Policy.
1. List of personnel deployed for PESL work (To be submitted with each
Bill).
Page 5
2. Payment disbursement sheet for the previous month, consisting of
name, total pay, deductions, and net amount paid, e-payment order
No., date & name of bank with signatures of employee along with a
certificate that the contract labors have been correctly paid.
3. Proof of EPF monthly deposit with regional Provident Fund

Commissioner, in the standard format as stipulated under the relevant
act along with copies of challans vide which PF contribution is
deposited (To be submitted with each Bill).
4. Proof of deposit of ESI for working personnel with concerned

authorities and certificate towards compliance of other statutory
provisions for the previous months along with copy of Form 12A and
Form 5. However, with the bill for the first month certificates
mentioned at b.2, b.3 & b.4 above shall not be applicable.
c. The bills are required to be submitted to the Officer-in-Charge and payment

will be released by F&A department at PESL, after verification & certification
by the officer-in-charge.
d. GST shall be paid by PESL upon submission of invoice as per GST act on
monthly basis. For payment of GST, Reverse charge, if applicable, shall be
deposited by PESL as applicable as per GST Rules/Act. All GST payment
shall be against GST invoices/debit notes raised by the Contractor as specified
under the GST Act and related Rules, Notifications, etc as notified by the
Government in this regard. In the event that the Contractor fails to provide
the invoice/debit note in the form and manner prescribed under the GST Act
and Rules, the Employer shall not be liable to make any payment against such
invoice/debit note. Payment towards taxes & duties shall be released by the
Employer directly to the Contractor.
e. Payment shall be made as per work executed i.e. numbers of operations

performed and contractor shall have no right to claim the complete BOQ.
f. The payment shall be regulated as per accepted rate only. Contractor shall not
be entitled to any extra payment compensation or remuneration relating to
work done during unfavourable weather or relating to any special
arrangements made to complete the work as per schedule of items.
g. No extra payment shall be made to the contractor for working on the holiday
and during odd hours.
2. PAYMENT PROCEDURES
2.1 Method of Payment
Page 6
All invoices/claims shall be raised by the Contractors in the name of Owner.
The Employer shall make payments promptly within thirty (30) days of submission of
an invoice/claim by the Contractor, complete in all respects and supported by the
requisite documents and fulfillment of stipulated conditions, if any. All the payment
shall be released to the Contractor directly.
All payments to be made directly to the Contractor shall be made by the Employer
though electronic payment mechanism (e-payment) for which necessary details shall
be tied up during execution of the Contract. However, a request for payment to be
released through cheque shall be considered on case to case basis and merit of the
same.
Note: Pro-rata shall refer to functionally complete part(s) of the facilities, for which unit
rates are identified in the contract.
2.2 Bill Tracking System
Prior to submission of bills in physical form, the Contractor shall submit its bills
using POWERGRID’s Vendor Bill Tracking System as per procedure detailed herein
below. Further, the Contractor may also track the status of its bills using
POWERGRID’s ‘On-line Vendor Bill Tracking System’. To use this system the
Contractor is required to get itself registered once online at POWERGRID’s ERP
Portal with the link URL (https://etender.powergrid.in). Once registered, the
Contractor may track status of bills submitted, passed and paid by POWERGRID’s
Corporate Centre and Regional Office(s) under this Contract and other Contracts
awarded on it by POWERGRID by following the method detailed herein below:
a) Once registered, the Contractor can log-in to POWERGRID’s Vendor Bill Tracking
System (BTS) with Vendor Log-In ID and Password.
b) After login as at (a) above, Contractor is required to make the entry on

POWERGRID’s ERP Portal under the tab “Submit New Invoice” and shall fill all
details along with the MSE status. Upon submission, a 16 digit unique BTS number
will be generated and the Contractor will receive an automated e-mail forwarding
the unique BTS number.
c) The physical bills alongwith printed copy of e-mail received from BTS (unique BTS
number) shall be submitted by the Contractor.
d) On receipt of physical bill, concerned POWERGRID’s official shall online

acknowledge the receipt of bill. This action will trigger an automated mail to the
Contractor intimating that the physical copy of the bill has been received and is
under verification / processing. However, on receipt of incomplete bill and/or non-
receipt of physical bill by POWERGRID official, the incomplete bills/ digital entry in
Page 7
BTS ( as the case may be) shall be returned to the Contractor by POWERGRID,
which can be viewed under the tab “Invoice Returned”.
e) The day the payment is made, a mail stating the “Bill number, net payment amount
and details of the bank from where the payment has been made” will be sent to the
Contractor.
f) The status of Bill submitted by the Contractor can be checked through the BTS
number under tab “Invoice Submitted”.
**End of Appendix-1**
Page 8
Appendix – 2
PRICE ADJUSTMENT
Not Applicable.
Page 9
Appendix-3
INSURANCE REQUIREMENTS
Insurance to be taken out by the Contractor
Erection All Risk Policy/Contractor All Risk Policy:
The above policy shall be obtained before commencement of Maintenance work as and
when required. The cost of insurance premium at each instance shall be reimbursed to
the Contractor by the employer based on the documentary evidence for the premium
paid. The contractor shall finalize the insurer from the lowest quoted Insurers and shall
take the consent from the employer before finalizing the Insurance Premium amount
and Insurer.
The policy should cover all physical loss or damage to the facility at site during storage,
erection and commissioning covering all the perils as provided in the policy as a basic
cover and the add on covers if any.
The Contractor shall take the policy in the joint name of Employer and the Contractor.
The policy shall indicate Employer as the beneficiary. The policy shall be kept valid till
the date of the taking over of site by Employer and the period of the coverage shall be
determined with the approval of the Engineer In-Charge of Employer
Third Party Liability cover with cross Liability within Geographical limits of India as on
Add-on cover to the basic EAR cover:
The third-party liability add-on cover shall cover bodily injury or death suffered by
third parties (including the Employer’s personnel) and loss of or damage to property
(including the Employers’ property and any parts of the Facilities which have been
accepted by the Employer) occurring in connection with scope of work.
If during the execution of Contract, the Employer requests the Contractor to take any
other add-on cover(s)/ supplementary cover(s) in aforesaid insurance, in such a case,
the Contractor shall promptly take such add-on cover(s)/ supplementary cover(s) and
the charges towards such premium for such add-on cover(s)/ supplementary cover(s)
shall be reimbursed to the Contractor on submission documentary evidence of payment
to the Insurance company. Therefore, charges towards premium for such add-on
cover(s)/ supplementary cover(s) are not to be included in the Contract Price.
Workmen Compensation Policy:
Page 10
(I) Workmen Compensation Policy shall be taken by the Contractor in
accordance with the statutory requirement applicable in India. The
Contractor shall ensure that all the workmen employed by the Contractor
or its Subcontractors for the project are adequately covered under the
policy.
(II) The policy may either be project specific covering all men of the
Contractor and its Subcontractors. The policy shall be kept valid till the
date of Operational Acceptance of the project. Alternatively, if the
Contractor has an existing „Workmen Compensation Policy‟ for all its
employees including that of the Subcontractor(s), the Contractor must
include the interest of the Employer for this specific Project in its existing
“Workmen Compensation Policy”.
(III) Without relieving the Contractor of its obligations and responsibilities
under this Contract, before commencing work the Contractor shall insure
against liability for death of or injury to persons employed by the
Contractor including liability by statute and at common law. The
insurance cover shall be maintained until all work including remedial
work is completed including the Defect Liability Period. The insurance
shall be extended to indemnify the Principal for the Principal‟s statutory
liability to persons employed by the Contractor. The Contractor shall also
ensure that each of its Subcontractors shall effect and maintain insurance
on the same basis as the „Workmen Compensation Policy‟ effected by the
Contractor.
(IV) The contractor shall take adequate Group Insurance and Workman
Compensation as per act applicable for the said work for its deployed
manpower during execution of contract. The expenditure incurred
towards premium for such policies shall be borne by the contractor
without any additional cost to the Owner. It shall be obligatory on the
part of the contractor to provide a copy of group insurance/ Workman
Compensation policy for the manpower deployed before commencement
of work to the Engineer In-Charge of Owner. The above policies should
be valid throughout the duration of the contract.
(V) The Contractor shall mandatorily cover its deployed personnel under ESI.
Locations where ESI benefits are not extended/ if employees are not
covered under ESI, the Contractor shall make available equivalent
insurance coverage under the provisions of Employees Compensation
Act (EC Act 1923). The Contractor shall also take Mediclaim policy of Rs.
Two Lakhs towards medical coverage for each of its staff deployed in
SPV/PESL location under the subject contract. The Contractor shall
arrange for necessary ESI / EC cover & medical even for any staff
deployed for very short duration. The expenditure incurred towards
contributions/ premium for such policies shall be borne by the
Page 11
Contractor without any additional cost to the Employer. It shall be
obligatory on the part of the Contractor to provide a copy of ESI Cards/
Employee Compensation (EC) policy and group medical insurance/
Mediclaim for the manpower deployed before commencement of work to
the Engineer In-Charge of Employer. The above policies should be valid
throughout the duration of the contract.
(VI) The Contractor shall ensure that all legal dues, including Employees
Compensation against Employee Compensation Policy, is paid to the
legal heir of the deceased/injured within the time frame as per Employee
(Workmen) Compensation Act. If Contractor failed to deposit the
Compensation amount to the concerned Compensation Commissioner,
equivalent amount shall be with-held from running bills of Contractor
and PESL shall submit the same to Commissionerate office without
delay.
The Employer shall be named as co-insured under all insurance policies

taken out by the Contractor pursuant to the above. All insurer’s rights of
subrogation against such co-insureds for losses or claims arising out of the
performance of the Contract shall be waived under such policies.
Page 12
Appendix-4
TIME SCHEDULE
1. The Duration of the Contract shall be as follows:
Activities Duration in months

from the effective
date of Contract
Spec. No.: GEM/2024/B/5043723
36
(Thirty- Six Months)
Page 13
6. PERFORMANCE SECURITY FORM
(For the purpose of verification/confirmation of this Bank Guarantee by the Employer,

the Bank shall indicate 2 official email ids of the authorized signatories from Issuing
Branch and also of the designated higher office (Corporate Office, Zonal Office etc)in
the covering letter of the Bank forwarding the Bank Guarantee.)
Bank Guarantee No. …………………… Date...................
NOA/Contract No.....................................
…………..[Name of Contract]…………………….
To: [Name and address of the Employer]
Dear Ladies and/or Gentlemen,
We refer to the Contract ("the Contract")
signed on ..............(insert date of the Contract)…..... between you and M/s ................. (Name
of Contractor) ..................,
(or)
vide notification of award issued on …….(insert date of the notification of award)….. by you
to M/s ................. (Name of Contractor) ..................
having its Principal place of business at ………....(Address of Contractor) ...............................

and Registered Office at ………....(Registered address of Contractor)
........................................................................................ ("the Contractor") concerning
…….................….. (Indicate brief scope of work) ............................... for the complete
execution of the …… (insert name of Package alongwith name of the Project)……..
[Applicable for Bank Guarantees issued by Contractor/Associate for those Contracts
awarded to them]
Or
We refer to the Contract
signed on ..............(insert date of the Contract)…..... between you and M/s ................. (Name
of Contractor) ..................,
(or)
vide notification of award issued on …….(insert date of the notification of award)….. by you
to M/s ................. (Name of Contractor) ..................
having its Principal place of business at ………....(Address of Contractor) ...............................

and Registered Office at ………....(Registered address of Contractor)
........................................................................................ ("the Contractor") and the Contract
("the Contract") signed on ..............(insert date of the Contract)…..... between you and M/s
................. (Name of Associate) .................., having its Principal place of business at
………....(Address of Associate) ............................... and Registered Office at
Page 14
………....(Registered address of Associate)
........................................................................................, the Associate of the Contractor for
executing the Facilities concerning …….................….. (Indicate brief scope of work)
............................... for the complete execution of the …… (insert name of Package
alongwith name of the Project)…….. [Applicable for Bank Guarantees to be issued by
Contractor against those Contracts awarded to their Associate]
By this letter we, the undersigned, ………(insert name & address of the issuing bank) ………,
a Bank (which expression shall include its successors, administrators, executors and
assigns) organized under the laws of .................................... and having its Registered/Head
Office at …..…….(insert address of registered office of the bank)……..... do hereby
irrevocably guarantee payment to you up to ………………………….. i.e., ten percent (10%)
of the Contract Price until ninety (90) days beyond the end of Contract Period i.e., upto and
inclusive of ……………. (dd/mm/yy).
We undertake to make payment under this Letter of Guarantee upon receipt by us of your
first written demand signed by your duly authorized officer declaring the Contractor to be in
default under the Contract and without cavil or argument any sum or sums within the above
named limits, without your need to prove or show grounds or reasons for your demand and
without the right of the Contractor to dispute or question such demand.
Our liability under this Letter of Guarantee shall be to pay to you whichever is the lesser of
the sum so requested or the amount then guaranteed hereunder in respect of any demand
duly made hereunder prior to expiry of the Letter of Guarantee, without being entitled to
inquire whether or not this payment is lawfully demanded.
This letter of Guarantee shall remain in full force and shall be valid from the date of issue
until ninety (90) days beyond the end of Contract Period of the Facilities i.e. upto and
inclusive of ……………. (dd/mm/yy) and shall be extended from time to time for such period
(not exceeding one year), as may be desired by M/s. ……………………… on whose behalf
this Letter of Guarantee has been given.
Except for the documents herein specified, no other documents or other action shall be
required, notwithstanding any applicable law or regulation.
Our liability under this Letter of Guarantee shall become null and void immediately upon its
expiry, whether it is returned or not, and no claim may be made hereunder after such expiry
or after the aggregate of the sums paid by us to you shall equal the sums guaranteed
hereunder, whichever is the earlier.
All notices to be given under shall be given by registered (airmail) posts to the addressee at
the address herein set out or as otherwise advised by and between the parties hereto.
We hereby agree that any part of the Contract may be amended, renewed, extended,
modified, compromised, released or discharged by mutual agreement between you and the
Contractor, and this security may be exchanged or surrendered without in any way impairing
or affecting our liabilities hereunder without notices to us and without the necessity for any
additional endorsement, consent or guarantee by us, provided, however, that the sum
guaranteed shall not be increased or decreased.
No action, event or condition which by any applicable law should operate to discharge us
from liability hereunder shall have any effect and we hereby waive any right we may have to
apply such law so that in all respects our liability hereunder shall be irrevocable and, except
as stated herein, unconditional in all respects.
Page 15
Notwithstanding anything contained herein:
1. Our liability under this Bank Guarantee shall not exceed _________ (value in
figures)____________ [_____________________ (value in words)____________].
2. This Bank Guarantee shall be valid upto ________(validity date)__________.
3. We are liable to pay the guaranteed amount or any part thereof under this Bank
Guarantee only & only if we receive a written claim or demand on or before
________ (validity date) __________.”
For and on behalf of the Bank
[Signature of the authorised signatory(ies)]
Signature_______________________
Name_______________________
Designation_______________________
POA Number_______________________
Fax Number_______________________
email ____________________________
Common Seal of the Bank______________________

Witness:
Signature_______________________
Name_______________________
Address______________________________
email ____________________________
Note :
1. For the purpose of executing the Bank Guarantee, the non-judicial stamp papers of
appropriate value shall be purchased in the name of Bank who issues the ‘Bank
Guarantee’.
2. The Bank Guarantee shall be signed on all the pages by the Bank Authorities
indicating their POA nos. and should invariably be witnessed.
Page 16
1. The Bank Guarantee should be in accordance with the proforma as provided.
However, in case the issuing bank insists for additional paragraph regarding
applicability of ICC publication No: 758, the following may be added at the end
of the proforma of the Bank Guarantee [i.e., end paragraph of the Bank
Guarantee preceding the signature(s) of the issuing authority(ies) of the Bank
Guarantee]:
“This Guarantee is subject to Uniform Rules for Demand Guarantee, ICC

publication No. 758 except that article 15(a) is hereby excluded.”
2. At the time of issuance of the Bank Guarantee (including its extensions)

through SFMS facility, the issuing bank will input the IFSC code of Beneficiary
Bank as mentioned at GCC clause 9.4 in SCC in their Trade Finance Portal.
Additional paragraph regarding issuance of the Bank Guarantee through SFMS
Platform (if applicable), the following should be added at the end of the
proforma of the Bank Guarantee [i.e., end paragraph of the Bank Guarantee
preceding the signature(s) of the issuing authority(ies) of the Bank Guarantee]:
“This Guarantee has been issued using SFMS Platform and the requisite
communication in this regard has been forwarded to the Beneficiary Bank.”
Page 17

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Buyer Specific Additional Terms and conditions

SECTION – I INVITATION FOR BIDS (IFB)

SECTION – II Instruction to Bidders (ITB)

SECTION – IV General Conditions of Contracts (GCC)

SECTION – V Special Conditions of Contract (SCC)

SECTION – VI Sample Forms

INVITATION FOR BIDS (IFB)

(DOMESTIC COMPETITIVE BIDDING)

(SINGLE STAGE TWO ENVELOPE BIDDING)

1.0 POWERGRID Energy Services Ltd. (A wholly Owned Subsidiary of Power

1.1 The procurement activities in respect of the aforesaid package shall be

2.0 PESL invites sealed Bids for Outsourcing of O&M activities of

Outsourcing of O&M activities of Transmission Lines associated with

Detailed scope of work is specified in Technical Specification, Volume-

5.0 Bidding will be conducted through Domestic Competitive Bidding

Section – I: Invitation for Bids Page 1

6.0 Responsiveness of the bidder shall be as per provision of the bidding

7.0 Important Instruction for participation in subject e-Tendering:

a) The complete Bidding Documents including tender drawings are

c) Content of Bidding Documents:

The facilities required, bidding procedures, contract terms and

Provisions of Volume-I, Volume-II and Volume-III of the Bidding

The ATC(Additional Terms and Conditions of Contract) Comprises

VOLUME – I: Conditions of Contract

Section – I: Invitation for Bids Page 2

Volume-II: Technical Specification

Volume-III: Bill of Quantity [Bill of Quantity is only for reference of

8.0 Interested bidders have to necessarily register themselves on the

10.0 The Bidder’s designated representative(s) is/are invited to attend a pre-

Non-attendance at the pre-bid meeting will not be a cause for

However, if the bidder has any query/issue regarding submission of their

Section – I: Invitation for Bids Page 3

The Bidder’s designated representatives are invited to attend a pre-bid

Date of pre-bid conference: 28.06.2024

2nd Floor Conference Room, CS Department,

Section – I: Invitation for Bids Page 4

Bid Security for the subject package - Rs. 14,71,000/-.

Power of Attorney and Integrity Pact etc. must be submitted in physical

(By Post/In Person)

---- End of Section-I (IFB) ----

Section – I: Invitation for Bids Page 5

INSTRUCTION TO BIDDERS (ITB)

Sl. Bid Data Details

a) they have a controlling partner in common; or

f) a Bidder or any of its affiliates participated as a consultant in the preparation

Section – II: Instruction to Bidders Page 1

h) The Bidder, directly or indirectly shall not be a dependent agency of the

Section – II: Instruction to Bidders Page 2

Sr. Event Period for which

(a) Scope of the contract which is permissible to be sub-contracted as per bidding

Section – II: Instruction to Bidders Page 3

Further, entities of countries which have been identified by the Nodal

Section – II: Instruction to Bidders Page 4

For the aforesaid purpose,

a. An entity incorporated, established or registered in such a country; or

1. In case of a company or Limited Liability Partnership, the beneficial

a. “Controlling ownership interest” means ownership of or entitlement

Section – II: Instruction to Bidders Page 5

b. “Control” shall include the right to appoint majority of the directors