hindustan petroleum corporation limited -...

HINDUSTAN PETROLEUM CORP. LTD EPCM, VISAKH LPG TERMINAL PROJECT GM – MKTG. PROJS. OFFICE

Signature & Seal of the Bidder of 36

HINDUSTAN PETROLEUM CORPORATION LIMITED (A GOVERNMENT OF INDIA ENTERPRISE)

INVITATION TO BID

THRU

PUBLIC TENDER

ITB NO: 8000009 HD 10147 Dated 05/12/2008

Due Date: 29.12.08, Time: 1600 Hrs

FOR

ENGINEERING, PROCUREMENT AND

CONSTRUCTION MANAGEMENT SERVICES

FOR

VISAKHA LPG TERMINAL PROJECT

VISAKHAPATNAM

SCOPE OF WORK



SCOPE OF WORK

VISAKHA LPG TERMINAL PROJECT, VISAKHAPATNAM

A. GENERAL B. SCOPE OF BASIC DESIGN C. EPCM SERVICES IN PROCUREMENT AND MATERIALS MANAGEMENT

OF MATERIALS AND EQUIPMENTS D. SCOPE OF PROJECT MANAGEMENT SERVICES E. EXCLUSIONS FROM SCOPE OF WORK



A. GENERAL

a) Definition of “Project”:

The word “Project” appearing in Scope of Work shall mean construction of

LPG Terminal for receipt, storage , bottling, distribution of LPG ,

propylene, auto LPG including the product receipt and dispatch pipelines,

approach road etc.

b) Project implementation Strategy:

The PROJECT IMPLEMENTATION STRATEGY developed for the Project is

based on the basic philosophy that Engineering and Project Management

Consultant will be appointed to manage and control all aspects of the

Project execution on behalf of the Owner. The Consultant shall be

responsible for all project activities to a small group of Owner’s

executives.

c) Standardisation of Equipments / Instruments:

Consultant shall endeavor to standardise the type of equipments /

instruments being considered in LPG Terminal.

B. SCOPE OF BASIC DESIGN:

1.0 - Introduction

2.0 - Facilities Proposed

3.0 - Scope of Work

4.0 - Design Standards

5.0 - Studies to be performed

6.0 - Design Reviews

7.0 - Document Requirements



1.0 INTRODUCTION

GENERAL:

HPCL proposes to construct a Greenfield LPG Terminal with bottling

facilities at a plot leased from VPT as resitement of the existing LPG Installation

at Malkapuram, Visakhapatnam. The proposed site Opp. INS Dega is proposed

for a POL (White Oil) Terminal as well as the LPG Terminal. The site is approx. 4

away from Visakhapatnam Refinery. The INS Dega plot is admeasuring 110

Acres approx. , out of which LPG Terminal shall be put up on approx. 45 acres,

including the Tank Wagon loading facility. Please note that the White Oil

Terminal shall be constructed by others and is in not in scope of this

tender, except integration and automation of White Oil Terminal’s fire

fighting facilities, as detailed below. A tentative layout plan showing the

proposed plot is enclosed as Annexure - I.

It is proposed that the Terminal will receive the product inputs by two sources,

the summary of which is:

1) LPG, Auto LPG, Propylene by dedicated pipelines to be laid from the Refinery.

2) LPG from SALPG Cavern storage, which will be connected in the Refinery to

the above mentioned LPG pipeline, after interlocks.

The products to be received, stored and distributed are:

LPG, Auto LPG, propylene

2.0 FACILITIES PROPOSED

The information provided below is meant for general guidance only. The

actual facilities to be provided shall be firmed up by Owner during the

implementation of the project.

GENERAL:

The details of the facilities to be installed in the LPG Terminal have

been clearly indicated in the project report attached. However

tentative summary of the same is listed below.

The facilities at the Terminal shall include: the Storage tanks for each

product, product un-loading/loading pumps, Internal pipelines, Tank

truck loading gantry, Tank wagon loading/unloading gantry(railway

siding and structure not included) , Fire fighting system, Automation,

Office and other amenity buildings, Roads and drains, Total Electrical

systems includes HT/LT System, Yard, MCC room, Lighting, Panels, DG

room, etc. Godowns/ stores, Effluent treatment plant,

Telecommunication system, Development of the Green belt,

Landscaping etc as detailed in the project report or in the above report

but shall not be limited to the same and shall include all other jobs

required to fully commission and capitalize the installation.



External facilities shall include pipelines (with CP system) for product

inputs from Visakha Refinery located at approx. 4 -5 Kms from the

plot; Power supply for the proposed will be sourced from the nearest

APSEB Substation/transformer.

A tentative layout plan (Annexure II) showing the facilities proposed is

enclosed. The Plan is to provide general guidance regarding the scope

of facilities proposed and it is likely to be revised as per the actual

requirements. The layout of the facilities shall confirm to OISD-144.

Storage Tanks: Mounded LPG Storage for LPG, Auto LPG, propylene

and vertical mild steel storage tanks without roof for Fire water. Please

note the following:

• Design of mounded storage can be kept in the scope of vendor

(mechanical design will be provided by HPCL).

• BQ plates for mounded storage and Steel plates for Fire water

tanks shall be procured by HPCL, including third party inspection.

• If bidder is not a PESO approved third party inspection agency for

mounded LPG storage works, they shall outsource the same to an

approved agency, who shall do stage-wise inspection and issue

certificate of control for the pressure vessels.

• All third party inspection, apart from above, shall be in scope of

EPCM consultant.

Loading/ Unloading Pumps: Vertical canned LPG /propylene

Loading/ unloading pumps coupled with FLP motors are to be installed

in the pump house. Pumps of adequate capacity to be selected based

on the flow requirement of loading / unloading.

Tank Truck Unloading/Loading Gantry: Each loading bay shall

have provision for loading one product( LPG in 4 bays, auto

LPG/propylene in one bay each). Loading shall be done in the tank

trucks thru automated flowmeter, batch controller, loading arms etc.

Tank truck unloading arrangement shall also be provided as required.

Invoicing shall be on the basis of weight measured on weighbridge.

Provision shall be made in headers/ piping to be made for using each

bay for another product.

Tank Wagon Loading Gantry: Each loading bay shall have provision

for loading ( 1 product). Product shall be loaded in the tank trucks thru

automated flow meter, batch controller, loading arms etc. Tank wagon

unloading arrangement shall also be provided as required for sick tank

wagons.

Product receipt and delivery: The product shall be received from

refinery/SALPG and shall be bottled in cylinders or distributed in tank

trucks and tank wagons. In additional there shall be pumping to GAIL’s

Visakh Secunderabad pipeline. Connectivity by tapping into GAIL’s

pipeline (approx. 700m away) and pumping arrangement and well as

bottling and dispatch facilities shall be provided.



Fire fighting System: Entire installation shall be covered with

fire/heat/gas detection systems and fighting system as per OISD –

144/150.

Please note that the LPG Terminal will have common fire

fighting system with White Oil terminal which shall be

constructed (not in scope) adjacent to the LPG terminal.

Design, execution and commissioning of the entire fire fighting system

shall be in the scope, except all mechanical and piping work (hydrant

network including fixing of hydrants/monitors, foam systems, sprinkler

systems) within the White Oil terminal.

Automation System: The LPG Terminal shall be fully automated.

Automation shall cover automation of the tank farms,

loading/unloading of the tank trucks, TT entry system, operation of fire

fighting system and security system.

Office and other amenities / Plant buildings: Office, security

room, invoicing room, canteen, workers’ change room, godown, MCC

room, DG room, fire pump house, product pump house etc. to be

constructed at the Terminal. The buildings shall be integrated basis

the functional requirements and shall be well designed architecturally,

for elegant appearance and pleasing finish. The Administrative

building shall be Green Certified.

Roads, Drains & leveling of plot: Entire installation shall be

provided with adequately wide roads and drains and side development

for proper water drainage. The plot should be raised to requisite level

prior to formation of roads and site gradation shall be designed to

provide proper drainage. Please note that tender for land development

shall be floated and finalized by HPCL. Supervision of land

development job shall be in scope of consultant.

Electrification: Electrification system to be designed and provided as

per the Central Electricity Rules and guidelines of APSEB. All HT system

and LT system to be suitably designed for meeting the operational

requirements of the Terminal There should be provision of DG sets of

adequate capacity as standby source of power. Energy saver/

intelligent lighting/VFD and also utilization of non conventional energy

viz Solar energy shall duly considered and included in the system.

Development of Green Belt: Adequate area of Green belt to be

developed in the Terminal as per the guide lines and the requirement

of the local PCB (Pollution Control Board) and MOEF (Ministry of

Environment and Forests). Terminal should have adequate coverage of

Lawns and flower beds to provide excellent land scaping to ensure Soil

conservation and also water conservation by providing Drip irrigation

and sprinkler systems where ever feasible.

Effluent treatment plant: Effluent treatment plant of required

capacity to be installed at the Terminal in line with the requirements of

the PCB.



Telecommunication system: Entire LPG Terminal shall be covered

by telecommunication system, Internal and external paging system

and VHF sets and the three systems shall be interconnected. However

interconnection between the Installations may be limited to LPG and

POL facilities.

Turnkey Instrumentation: For all Pumping / receiving / and other

places where ever Interlock logics are required for both product

pumping operations and Electric substation operations, PLC based

turnkey instrumentation systems to be installed. SCADA shall be

developed for the existing LPG line and the same integrated with the

proposed lines from refinery to out Plant.

Piling work: The job shall include necessary design and supervision of

piling work as applicable for foundation of various structures.

Railway sidings: It may be noted that consultancy for construction of

railway lines to VPT connecting points and siding gantry structure is not

in scope of this tender. However, piping, loading arms, electrical, fire

fighting works, gas monitoring systems, and emergency response

systems are included in scope .

3.0 SCOPE OF WORK

The scope of work is divided mainly under following heads but not to be

limited to the following:

• Planning, designing of facilities

• Finalizing the specifications

• Procurement of materials / equipments

• Floating and finalizing the tender enquiry as per the procedure laid

down in this Tender. E tendering of all major tenders is preferred

• Supervision of the execution of work orders

• Handling and accounting the materials received at site

• Timely certification of bills for releasing payment by HPCL

• Co-ordination with HPCL, suppliers, contractors, for expediting

supplies/works

• Assistance in Capitalization of total cost of all assets

• QC/Inspection/Testing and maintaining of records as required by

the statutory and inspecting authorities like CTE, HPCL auditors etc

• Maintaining of records on behalf of HPCL as required by the Labour

inspectorate and factories inspector etc that are to be maintained

by the principal Employer

• Safety during construction

• Obtaining Green Certification for buildings proposed to be Green



3.1 Basic design and description:

Consultant shall deploy qualified personnel to carry out Basic Design,

Detailed Engineering of individual facilities to facilitate action on

procurement of materials/equipment and finalisation of specifications for

works/service contracts. While doing so, Consultant shall ensure proper

integration of all Project facilities.

3.2 Preparation of process package covering the following items:

1. Design basis

2. P&IDs.

3. Process Flow Diagram.

4. Equipment list and process data sheets.

5. Instrument list and data sheets.

6. Utilities requirement and their specifications.

7. Material specifications.

8. Operation and control philosophy

Midway through Basic Design, the Consultant shall advise Owner the

requirements of water and power for operating the various facilities of the

Terminal:

4.0 DESIGN STANDARDS

The following design standards shall be used as a minimum in the

Scope of work:

4.1 Published standards:

Indian Standards:

Oil Industry Safety Directorate (OISD)

Tariff Advisory Committee (TAC)

Bureau of Indian Standards (BIS)

(In case of conflict among Indian standards or with International

standards, owner should be consulted for deviations, which may have

impact of cost as per the opinion of the Consultant)

4.2 International Standards:

ANSI

ASME

ASTM

API

OCIMF

ISA

NACE

EEMUA

Automation international standards.

4.3 Owner supplied Standards/ Documents:



The following Owner supplied design standards/documents shall, in

addition to the above, form the basis of the work:

1. Brief regarding the Operational philosophy and facilities to be provided .

2. Petroleum Product specifications.

3. Soil Investigation report.

4. Survey details of the plot, Contours etc.

5. Pipeline route survey.

6. Relevant part of the DFR report

5.0 STUDIES TO BE PERFORMED

The following process and engineering studies are to be performed as a

part of the Work but not be limited to the following:

1. Design of the tanks and mounded storage

2. Design of external piggable pipe lines - CP system.

3. Sizing of Internal Pipeline / Optimisation of pump head.

4. Optimisation of Drives for various pumps including Fixed motor drive,

Variable Speed Drives etc.

5. Design of the mechanical structures.

6. Design of the electrical equipments.

7. Architectural / structural drawings for various buildings / Structures/sheds

for LPG Plant.

8. Site grading plan, plinth levels of structures / tank pads and layout of

roads / storm water disposal / sewage disposal.

9. Fully automatic Fire Fighting facilities (including integration of hydrant/

sprinkler network of White Oil Terminal).

10. Heat tracing and insulations for tanks and pipelines.

11. Development of Green belt and environmental protection plan.

12. Conveyors, filling and testing and auxiliary equipment for storage,

handling and bottling of LPG cylinders.

13. Crushing facilities for condemned cylinders/ regulators and cold repair of

cylinders.

14. Facilities for Mandatory periodic retesting and painting of LPG cylinders.

15. Providing Gas monitoring system and heat/fire detection systems for LPG

Plant and integrating the same with Fire fighting system for automatic

response in case of emergencies.

6.0 DESIGN REVIEW(S)

Formal periodic review (every two weeks) and informal reviews (on issue

of drawings, details, etc at site) shall be held, wherein the plan / design

work shall be required. Consultant shall provide time and personnel to

participate in these reviews.

7.0 DOCUMENT REQUIREMENTS



The following document/review requirements during the performance of

the Work shall be met:

1. Documents for Approval:

Three copies of all documents are required for Owner’s approval.

2. Drawings for Approval:

Each drawing shall be approved by the Owner.

3. Studies for Approval:

The studies listed in the section STUDIES must be submitted as draft

reports and not as notes for approval.

4. Approval Turnaround:

Owner shall have fourteen days of review to make comments or approve

all documents / drawings.

5. Final Approved Documents & Drawings and Studies :

Eight copies of the final approved documents, full size & shot down

drawings and studies are required. Floppies/CDs and CAD diskettes shall

also be provided.

C. EPCM SERVICES IN PROCUREMENT AND MATERIALS MANAGEMENT

OF MATERIALS AND EQUIPMENTS.

Consultant shall provide procurement & materials management services

for all Materials and Equipments required for completion of the work.

The scope shall include but not be limited to:

1. Developing detailed procurement procedures, in consultation

with the Owner.

2. Establishing vendor lists.

3. Preparing and floating tender enquiries.

4. Follow-up and review of responses.

5. Recommendation on placement of PO/WO.

6. Approval of Drawings/Designs submitted by suppliers.

7. Monitoring of the progress of procurement.

8. Inspection of materials / equipment.

9. Maintaining the inventory of materials and statements of

reconciliation.

Please note that all Third party inspection of materials/ equipment

shall be in the scope of EPCM vendor (except MS Steel plates and Boiler

quality steel plates at manufacturers’ premises).



Procurement Procedure:

A detailed procurement procedure shall be prepared immediately after

award of contract submitted to Owner for approval. In general the

procurement procedure should be in line with the Existing Purchase

policies and procedures of the owner. The same will be shared with

consultant upon award of contract.

The tenders shall be preferred to be floated through E tendering and the

“Purchase request” to “Purchase Order” time shall be Bench Marked as 45

Days.

Quality Assurance:

Consultant’s participation in the quality assurance program will focus on

the vendor’s compliance with applicable quality control measures.

Vendor List:

A vendor list is to be prepared for supply of Materials and Equipments in

consultation with HPCL. This list will be based on Consultant’s experience

& HPCL enlisted vendor list with Indian and worldwide vendors. Wherever

feasible, the endeavor shall be to include as many Indian vendors as

possible. The vendor list is to be submitted for approval by Owner.

Warranties and Guarantees:

Consultant shall obtain from the vendors, the best possible warranties and

guarantees covering workmanship and materials for the benefit of Owner.

Sourcing of Materials and Equipments:

Indian sources of supply shall be solicited for material based on the Owner

approved vendor list. Any decision to purchase materials outside India for

reasons of schedule conflict, lack of competitive pricing or critical nature

of the materials will be subject to Owner’s review and concurrence.

Cost Estimate:

Consultant shall prepare item wise cost estimate for each material

requisition. This cost estimate will form the basis for comparison of bids

and negotiations, if required.

Tender Enquiries:

A central procurement team is to be assigned by the Consultant to

manage and conduct the purchase of all equipments and materials. It is

proposed to procure various important materials like steel plates, pipes,

pumps, valves, equipments directly and float tenders for works contract



on integrated package basis. Such packages may include the different

types of works and shall be discussed with the owner and finalised in line

with the requirements.

Tender Inquiries are intended to be prepared and floated for all the

material/works required for completion of project, preferably in e-

tendering.

Consultant will be responsible for issuing Tender enquiries to those

vendors on the approved vendor lists, expediting receipt of quotations,

evaluating the bids and submitting recommendations to Owner for

approval.

Enquiries shall, generally, be issued to sufficient number of vendors on

two bid basis, so as to ensure receipt of competitive bids from them or

from more acceptable vendors, unless the number of vendors on the

approved vendor list is specifically limited or where a sole source is

stipulated in the Project specifications.

Public/Global Tenders shall be invited in case of insufficient number of

approved vendors (less than min. 6 Nos.) or for specialized items /

equipments or for procurement tenders whose value is over Rs.300 Lakhs.

With out prejudice to the above, Owner reserves the right to decide the

nature of tenders to be floated for various procurement items and

consultant shall abide by the Owner’s decision.

Bids will be solicited directly from manufacturers except where trade

practice in specific geographical locations necessitates the use of

distributorships.

All requests for quotations shall be prepared in English and shall contain

the requirement that formal proposals also be submitted in English.

Inspection by Consultant or a duly authorized third party on behalf of

Consultant will be indicated on all enquiry documents.

Evaluation of Bids:

Consultant shall techno-commercially evaluate the Bids to assess the bid’s

compliance with the technical specifications and commercial terms and

conditions.

Consultant shall ensure that all information received from vendors of

either a commercial or technical nature will remain confidential and will

not be disseminated to unauthorized persons.

Consultant shall prepare technical evaluation sheet indicating comparison

between specification of materials/equipments required and offered by

various vendors clearly bringing out technically acceptable and not

acceptable deviations with reasons thereof.



The commercial evaluation sheet shall include, but not be limited to, the

following information:

a. Requisition and item number.

b. Equipment or tag number.

c. Brief description of equipment or materials.

d. Quantity.

e. Comparison of delivery promise with required delivery period.

f. Validity of quotation.

g. Terms of payment.

h. List of exceptions to Terms and conditions.

As deemed necessary by Consultant, pre-award meetings shall be scheduled

with vendors to ensure that all aspects of the inquiry and proposal have been

properly interpreted and evaluated.

Purchase Recommendations:

At the conclusion of the techno-commercial evaluation phase, an evaluation

sheet shall be prepared by consultant and submitted to Owner for approval

before opening of the priced bids. On receipt of Owner’s approval, Consultant

shall open Priced bids in the presence of Owner’s representatives as necessary

and shall prepare price evaluation sheet. The consultant shall submit

recommendations for placement of order on the selected vendor on the basis of

price evaluation. Upon approval of purchase recommendations by Owner, a Draft

Purchase Order (DPO) including Purchase Requisition (PR) shall be submitted by

Consultant to Owner for releasing Purchase Order on the successful vendor.

DPOs will include a statement that the equipment concerned is subject to

inspection and the Owner’s representatives will have access to the supplier's

work during all stages of manufacturing/testing.

Review/Approval of Supplier Data/Drawings/Design:

Consultant shall ensure expeditious submission of data/drawings/designs by the

supplier and review the same within 10 days of receipt at Consultant’s office.

Inspection:

The proper control of purchased materials includes both expediting and

inspection of materials throughout the manufacturing cycle. The objective of this

material control effort is to ensure that such fabrication of manufacture is

accomplished in accordance with the technical requirements and specifications of

the project. Accordingly, inspection shall be performed by Consultant or

Consultant appointed organizations approved by Owner and statutory bodies in

accordance with data sheets, drawings, and specifications incorporated in the

commitment documents transmitted to the vendor.

Materials Management:



Consultant shall be responsible to Owner for materials management for goods

purchased from various suppliers. Consultant shall keep proper custody of goods

and report losses / damages / shortages, if any, to the Owner immediately on

noticing the same. Consultant shall be required to submit the stock report on

weekly basis after due verification. Owner will provide necessary security

personnel for stores / stockyards at Owner’s cost, who will report to the

Consultant’s stores manager. However any loss due to theft shall be brought to

the notice of HPCL within 24 Hrs of the incident. It shall be the responsibility of

the consultant to ensure the same.

The various project materials shall be located at the Visakha LPG Project site.

The scope of Materials Management Services to be provided by Consultant shall

include, but not be limited to, the following:

1. Receive equipments / materials from suppliers and certify their invoices

for payment.

2. Inspect the condition of goods received and issue ‘goods receipt vouchers’

to suppliers / transporters.

3. Maintain a register of suppliers covering all equipments and materials

distinguishing between manufacturers / stockists / supply houses.

4. Provide a unified materials coding system including catalog structure and

compatability with other systems.

5. Prepare and submit reports every week indicating the stores on hand,

goods in transit, goods issued to contractors and balance goods to be

received as per respective purchase orders .

6. Maintain stores at site to properly store all the equipment / material and

certify bills of handling contractors and transporters. The space for storing

equipment / material and the office space for stores manager / assistant

shall be provided by Owner. Cost of all labour for handling material /

equipment in the stores and cost of transportation of materials from

delivery point to stores shall be to Owner’s account.

7. Issue material for construction to contractors and prepare ‘goods issue

vouchers’ thereof.

8. Receive unused material returned by contractors and prepare goods

returned vouchers’ thereof.

9. Prepare reconciliation statements to enable Owner to check and take over

the balance stores.

10. Separate material/equipment utilisation statements (with value) for jointly

identified list of capital asset items to be submitted at the end of the

project to facilitate Owner do proper capitalisation of assets.

11. A Material Manager shall be identified in the HQO of the consultant who

shall be responsible material planning and receipt of all bought out items



and also vendors bought out items at site in line with their requirement.

He shall be required to take all corrective action to ensure material is

received in time and there is no stoppage of job due to material

shortage/non availability.

D. SCOPE OF PROJECT MANAGEMENT SERVICES:

Article 1. Scope of Project Management Services -

Overview.

Article 2. Preparation for Work contracts.

Article 3. Quality Management.

Article 4. Project Implementation Procedure.

Article 5. Cost Control.

Article 6. Project Planning, Control and Progress

Measurement.

Article 7. Management Control and Reporting

Structure.

Article 8. Inspection.

Article 9. Engineering.

Article 10. Construction.

Article 11. Commissioning, Startup and Performance

tests.

Article 12. Acceptance

Article 13. Initial Operation and Training

Article 14. Health, Safety and The Environment.

Article 15. Documentation.



ARTICLE 1

SCOPE OF PROJECT MANAGEMENT SERVICES - OVERVIEW

In addition to providing the engineering, procurement services for the

Materials and Equipments described in the EPCM Services, Consultant

shall establish a team for the Engineering and Project Management

Services consisting of members with all the necessary skills and discipline

needed for professional management of the Project on behalf of Owner.

Members of the team shall be stationed at the project site for efficient

management of the Project.

In general, Consultant shall act and be responsible, for managing the

overall Project in detail and directing various contractors and others on

behalf of Owner, for taking or recommending all appropriate action to

complete the Project on time and within budget. The following indicate the

minimum activities the Project Management Services are likely to

comprise which include, without limitation:

a. Preparation of Anticipated Final Cost (AFC) of Project value within two

months of appointment.

b. Preparation and issue of tender documents, tender evaluation and

recommendation of award and administration of such other contracts as

are needed for the Project; It may be necessary to float Tenders on LSTK

basis to expedite the works as decided by HPCL.

c. Preparation of itemwise cost estimate.

d. Administration, on behalf of Owner, of all contracts placed for execution of

the Project;

e. Timely release of “Approved For Construction Drawings” to enable

contractors to maintain agreed schedule of work;

f. Coordination of the activities of various contractors engaged by Owner for

the engineering, procurement and construction of the Project to assure

effective project execution particularly at points of interface between

respective contractor’s activities;

g. Monitoring, appraising and reporting to Owner on the cost estimation and

cost control performance and scheduling, and schedule control

performance of all contractors;

h. Development and maintenance of an appropriate system for control of

documents relating to the Project including drawings, specifications,

letters, memoranda and other administrative records but particularly

those certificates, operating and other manuals and other documentation

to be retained for maintenance, operational or statutory reasons by Owner

on completion of the Project;



i. Monitoring, appraising and reporting to Owner on the quality and safety

aspects of engineering design and construction by all contractors involved

in the Project;

j. Compliance to labour laws and other statutory requirements with regard

to Construction works.

k. Monitoring the progress of various works using ‘S’ curve method.

l. Capitalization of the assets.



ARTICLE 2

PREPARATION FOR WORK CONTRACTS

The Basic Design and Detailed Engineering work done by Consultant

should lead to developing a Design package comprehensive enough for

inviting contract bids for various works for Visakha LPG Terminal Project.

Midway through the Detailed Engineering work, Consultant shall prepare

draft Invitation to Bid for respective work contracts/ Services and submit

the same for Owner’s approval. The basic inquiry principles like type of

contract, bidding limit dates, conditions of payments and various other

controlling parameters will have previously been proposed to Owner and

approval obtained prior to issuance of final ITBs.

The tenders shall be preferred to be floated through E tendering and the

“Purchase request” to “Purchase Order” time shall be Bench Marked as 45

Days.

1. Pre qualification of Contractors:

Consultant shall prepare document for pre-qualification of bidders and

obtain approval of Owner for the same. The pre-qualification criteria shall

be published in Newspapers for estimated contract values exceeding

Rs.300 lakhs for inviting bids from prospective bidders meeting the pre-

qualification criteria or through E tendering. Consultant shall obtain

Owner’s approval for sending tender inquiry to the pre-qualified bidders.

Consultant shall evaluate Prequalification Documents and obtain Owner’s

approval for opening / evaluating Techno-Commercial bids of pre-qualified

bidders.

For estimated contract values less than Rs.300 lakhs Limited tender

inquiry shall be floated by Consultant to contractors drawn from vendor

list maintained by Owner / Consultant. Such list has to be approved by

Owner prior to floating the Tender.

2. Preparation of tenders:

Based on the Detailed Engineering, Consultant shall propose draft tenders

for work contracts/ Services and upon approval of the same by Owner,

release the same to prequalified bidders.

The tenders shall contain detailed technical specifications and terms &

conditions to facilitate submission of unambiguous bids.

Consultant shall structure the tender to include but not limited to the

following:

- Instructions to Bidders.

- Scope of work.

- Conditions of contract.



- Engineering/ Technical specifications and drawings (which will include

but not be limited to ) depending upon their applicability for respective

tender.

� Project design data (Hydrographic, Geotechnical and Meteorological),

soil bearing, battery limit conditions, etc.

� General engineering standards, specifications, codes and local customs

regulations and/or agency requirements.

� Process flow diagrams (PFDs) where ever applicable.

� Process description.

� Preliminary plot plans and layout.

� Process and instrumentation diagrams (P&IDs).

� Equipment lists.

� Technical data sheets of equipment and machinery.

� List of materials / equipments included in contractor’s scope.

� Specification of supply items included in contractor’s scope.

� Instrument lists.

� Detailed specifications of works.

� Electrical single line diagrams.

� Safety instructions and basic design data for fire fighting.

� Job procedure instructions.

� Environmental considerations.

� Preliminary Drawings to enable the bidder to quote.

- Bill of quantities (BOQ).

- Schedule of Rates (SOR).

- Construction specification.

- Testing and inspection requirements.

- Commissioning procedure.

- Acceptance procedure.

The tender will specify a comprehensive training program for the Owner’s

personnel pertaining to Turnkey Instrumentation, Automations etc. to be

able to operate and maintain the Project facilities. This training program

will be provided by the contractors and will be organized under the

guidance of the Consultant.

3. Evaluation of Bids:

The evaluation of bids against each tender shall be done in five

Stages as described below:

First Stage:

After Unpriced Bids are opened, the Consultant shall check that the

required documents have actually been supplied and duly signed, that the

period of validity is correct and that the bids as a whole are correct.

Second Stage: Techno-commercial evaluation of Unpriced Bids.

The detailed review shall concern:



- Scope of services and supply.

- Compliance with the technical requirements set out in the project

specification.

- Compliance with commercial and general terms and conditions.

- Compliance with Acceptance Procedure.

Third stage:

The Consultant shall submit detailed evaluation sheet of unpriced bids to

owner clearly specifying the technical and commercial acceptability/non-

acceptability of offers. Upon approval by Owner, the price bids of

technically and commercially acceptable parties shall be opened by

Consultant.

Fourth stage:

Detailed review of price bids.

- Basic price including break-up in INR and respective Foreign

Currency, quoted against BOQ in the SOR.

- Unit rates.

- Delivered Cost.

Fifth stage:

After completion of price evaluation, a purchase recommendation shall be

submitted to Owner.

Upon decision by Owner on bidder with whom negotiations are to be done,

the Consultant shall assist Owner in this process.

4. Draft Agreement / Draft Purchase Order

Upon approval of purchase recommendations by Owner, the Consultant

shall submit Draft Agreement / Draft Purchase Order to Owner.



ARTICLE 3

QUALITY MANAGEMENT

Consultant has overall responsibility to Owner for quality management

throughout the Project. Consultant shall prepare an integrated overall

Quality Assurance Program (QAP) which satisfies recognized international

standards approved by Owner e.g. ISO, BS, ASME, OISD, ASTM, API etc.

Consultant shall have an established quality management organization

which shall be responsible for monitoring and auditing compliance with the

QAP throughout the whole Project. The organization shall comprise

sufficient numbers of suitably trained and qualified staff to ensure that all

requirements of the QAP are satisfactorily implemented by the

Contractors.

The QAP shall cover, but shall not be limited to:

a. Verification and approval of methods used and documentation

produced during engineering and construction work;

b. Inspection, handling and identification of equipment and materials,

and proper documentation ;

c. Field inspection and testing procedures;

d. Operating, maintenance and training manuals.

Owner reserves the right, with due notice, to carry out audits of

Consultant’s activities for compliance with QAP.

ARTICLE 4

PROJECT IMPLEMENTATION PROCEDURE

The Project Implementation Procedure shall include, but shall not be

limited to the following:

1. The overall management information system and interface

philosophy to be used in the Project.

2. Consultant’s co-ordination Mechanism: Including correspondence,

contact persons, correspondence format and system; Administration

of instructions and inspection reports, Review of designs and

technical detailing; Reports on project cost control, estimates and

progress; Document control, safety review procedures, field

inspections and acceptance test.

3. List of reports to be submitted by Consultant to Owner. Formats of

these reports.



4. Co-ordination procedures for contracts including procedures between

contractors, Owner and Consultant.

5. Procedures for:

- Safety and technical audits.

- Quality management at various stages.

- Construction supervision and inspection.

- Schedule control.

- Cost control.

- Document control and handing over to Owner.

6. Plans for monitoring contractors’ activities at each stage.

7. Summary Project schedule.

Consultant shall critically review and obtain approval from Owner for the

above Project Implementation Procedure within two months of award of

contract.

ARTICLE 5

COST CONTROL

Consultant shall provide a comprehensive control service using a Work

Breakdown Structure (WBS) which is compatible with job control and

planning requirements, and a Cost Breakdown Structure (CBS) which is

compatible with Owner’s accounting code structure. All coding structures

are to be approved by the Owner.

1. Reporting:

The following reports are to be generated by Consultant for Owner

on the basis of its own observations and reports received from other

contractors and suppliers of long lead items:

Cost Reports: Consultant is to provide monthly, a comprehensive

cost report set out in accordance with WBS/CBS. The cost report is to be

summarized to an intermediate level into logical Project areas for other

contracts and supply items and then summarized further into a top level

management reporting summary. These reports shall show the following

information as a minimum requirement:

(a) Initial control estimates

(b) Current control estimates

(c) Expenditure to date (Value of work done)

(d) Estimates of work to be completed

(e) Anticipated final cost (“AFC”);

(f) Over/under run of AFC against current control estimate;

(g) Expenditure for the period;

(h) Commitment to date (approved purchase requisition value);

(i) Commitment for the period;



(J) Value of invoices paid.

Anticipated Final Cost: Consultant shall regularly review the AFC of

the Project. The implications of these reviews shall be discussed with

Owner prior to the monthly input into Consultant’s reporting system.

Explanation of variances shall be provided on a monthly basis.

2. Expenditure:

Consultant shall maintain the records of expenditure, all in accordance

with the WBS/CBS, the following information:

(a) Expenditure (the value of work done and materials received to

date);

(b) Phasing of expenditure forecasts;

(c) Explanation of variance between planned and actual expenditure.

Consultant shall submit with the monthly cost report total project

expenditure curves showing actual expenditure plotted against planned

expenditure.

3. Asset Register:

Consultant shall compile and update monthly an asset register including

cost of each asset for the complete Project for hand over to Owner on

completion of the Project. Consultant shall submit quarterly reports

indicating assets completed during the period and on cumulative basis and

cost thereof.

4. Diary of Events:

Consultant shall maintain a Chronological Diary of Events recording all

major milestone achievements. This shall be appended to monthly

reports.

ARTICLE 6

PROJECT PLANNING AND CONTROL AND PROGRESS MEASUREMENT

The Consultant’s responsibilities in terms of project planning and control

are twofold. First, the Consultant shall ensure that the various contractors

develop and maintain a comprehensive planning, progress monitoring and

control service as required by contract. Second, the Consultant shall

operate a similar service, at summary level, that interacts directly with

systems used by the contractors and provides the vehicle for informing

Owner of all aspects of Project scheduling, progress and control. The

service shall incorporate modern systems and techniques for the

acquisition, analysis and presentation of data. The Consultant shall ensure

that the service is compatible with similar service on the Project and that

program and progress charts align with the approved WBS for the Project

in such a manner as to facilitate the establishment of a clear, hierarchical

path from detail to summary level.



The principal objective of the planning service is to provide an effective

work planning and control system. Physical progress against work

packages shall be measured and reported, highlighting trends and actions

required to maintain or improve progress. Future activities shall be

reviewed in advance of execution to ensure sufficient data and resources

are available to maintain the project schedule.

1. Project Master Schedule:

Consultant shall submit to Owner for approval prior to award of the

contract, a Project Master Schedule that shall clearly identify all project

milestones and targets and reflect the Consultant’s Tender Schedule.

Subsequent to approval by Owner the schedule shall be used as the

management control schedule for the Project and shall be updated and

issued monthly. The schedule shall be developed as a summary critical

path network and be presented as a logic-linked bar chart.

The master schedule shall define in appropriate detail the sequence and

timing of work packages and activities by which the services shall be

performed and by which progress shall be monitored. Where necessary it

shall identify all key interactions, reviews and approvals between suppliers

and the other contractors, outside agencies, and third parties to ensure

uninterrupted progress to timely Project completion. In line with the

project WBS, the master schedule shall be updated using details

generated at lower level in terms of physical progress achieved.

An essential part of the schedule submission shall be a

Cost/Time/Resource (CTR) activity catalog, prepared to an agreed format,

showing scheduled start and finish dates, resource requirements,

dependencies and deliverables as a minimum.

2. Trend Reports:

Consultant shall highlight and give early warning of trends to result in

deviations from Project activities/schedules/cost, identifying the reason,

and reporting the appropriate remedial actions taken to Owner.

5. Exception Reports:

Consultant shall provide a report itemized in conjunction with the master

schedule declaring any activities behind program at each update and

defining contract discipline, delay to the Project and reason for the delay.



PROGRESS MEASUREMENT

Achieved progress shall be based on a detailed physical assessment of

work done, in percentage terms, and summated to contract and project

summary level, using assigned weightages, Consultant shall be

responsible for making sure that the physical progress measured is a fair

reflection of work status and that summations are accurately calculated.

1. Progress “S” Curves:

For reporting purposes, Consultant shall maintain a composite set of

progress S curves and tabulations that show, by major elements, planned,

achieved and forecast figures.

2. Updating:

At monthly intervals during the life of the Project, Consultant shall update

all summary progress documents using, where necessary, detailed figures

produced by the contractors. Consultant shall update the project master

schedule monthly using a superimposed time on line that indicates

slippage to each element of the Project and to the Project as a whole.

ARTICLE 7

MANAGEMENT CONTROL AND REPORTING STRUCTURE

This Article describes Consultant’s responsibilities with respect to

management control, co-ordination and reporting of the Project Scope of

Work. Proven computer systems shall be used to assist with these

functions, and agreed coding structures shall be used to integrate service

functions and ensure compatibility of contract and Project systems.

1. WBS:

The WBS is a Project model providing a framework for management

of the scope. The model shall be used to define the Project in a

manner that facilitates the integration of all functions and progress

assessment at detail and summary levels. Deliverables and services to be

provided under the various contracts and by third parties shall be

assigned to work packages and, at a more detailed level,

Cost/Time/Resource (“CTR”) activities. Proposed work packages and CTRs

shall form the essential structure of the Project and control programs and

their breakdown will depend on the other contractors work organization

and methods.

Here it may be noted that the three parts may be executed and controlled

as three different projects with different project groups with one

controlling office for over all control. The scope of job at the inter

connections shall be clearly specified with battery limits.



2. Coding Structure:

The Project coding structure shall be developed by the Consultant within

two weeks of award and include work package, CTR, discipline, area and

system.

3. CTR Activities:

CTRs shall be used to plan and control the execution of services under the

various contracts and, where necessary, in other areas of the Project. It

shall be the Consultant’s responsibility to ensure that the other

contractors submit CTR catalogs as required by contract, and that the

following information is included on each CTR sheet as a minimum:

(a) Code and description;

(b) Reference to inputs required to perform the activity;

(c) Output deliverables generated as a product of the CTR;

(d) Reference to other CTRs which are dependent on the completion of

the current activity;

(e) Estimate of man-hours and cost by discipline for the CTR at both

detail and summary level;

(f) Work package and program reference;

(g) Scheduled start and finish dates.

4. Reports:

The following lists the reports to be provided as part of the Consultant’s

services:

Weekly Report: At the end of each week during the Project, Consultant

shall report to Owner by e-mail. The essential information in the report

shall be:

(a) Main events, problem areas and remedial actions during the

Week;

(b) Information and decisions urgently required by the contractors.

Monthly Report: Consultant shall prepare a comprehensive monthly

progress report with a cutoff on the last Friday of each month. The report

shall be delivered to Owner within six working days following the cut-off.

The format and content of the report shall be agreed with Owner and, as a

minimum, contain the following information:

(a) A summary statement on the Project, highlighting Problem areas

and remedial actions (with their impact on schedule/cost analyzed

through computer schedule network vis-a-vis alternatives

available); achievements made during the month shall be itemized

and compared against the plan;



(b) A Statement on procurement referring to material /equipment

control schedules and indicating activities that have slipped or

become critical;

(c) A statement on construction, citing achievements in the period, with

an explanation of deviations from the program, problems

encountered and remedial actions. This shall cover status of the

work relative to the program, including variations and subcontracts;

(d) Cost report;

(e) QA report;

(f) Graphical and tabular section containing:

- Updated project master schedule;

- Progress S curves for design and construction showing

planned and achieved figures for the various contracts;

- Summary tabulations showing the status of

deliverables/drawings, procurement of materials, equipment

and procedures;

- Interface matrix showing data urgently required by various

contractors.

5. Project Systems:

Consultant shall monitor the other contractors’ project information

systems throughout all phases of the other contracts to ensure

compliance with the overall Project systems strategy detailed in other

areas of this ITB and shall monitor the delivery and integrity of

electronic data between the other contractors, Consultant and Owner.



ARTICLE 8

INSPECTION

Consultant shall be fully familiar with the guide lines as requirements to be

complied with; as stipulated by the statutory bodies, relevant codes / Standards

for Certification. Where inspection is required, it will be carried out by

Consultant/Consultant approved organizations who meet the approval of Owner

and the statutory bodies concerned.

ARTICLE 9

ENGINEERING

1. Detailed Engineering:

Consultant shall ensure that all specification, drawings and requisitions

are produced in a timely manner in accordance with contract.

Consultant shall review and approve, on behalf of Owner the

drawings/designs submitted by contractors pertaining to the design

facilities included in the contractors’ scope. Consultant shall endeavor to

approve designs/drawings submitted by various contractors in the

shortest possible time but not later than 15 days. Any delay beyond 15

days shall be brought to the notice of Owner, along with reasons.

Consultant shall ensure compliance with all statutory rules and

regulations, in particular national regulations concerning environmental

protection, labour laws.

ARTICLE 10

CONSTRUCTION

Consultant shall manage and supervise contractors’ activities at site and

coordinate with contractors, such that the construction of the Project is

carried out by the contractors according to the procedures and quality

assurance program agreed between Owner, Consultant and the

contractors.

Consultant shall be deemed to have full knowledge of the applicable codes

and standards, laws and regulations, safety rules and regulations,

conditions of labour, local conditions and environmental aspects as

applicable in the State of Andhra Pradesh and also at National level, and

shall comply with the requirements thereof where applicable.

Consultant shall assign construction specialists at site to ensure that the

Project is built according to the time schedule and to approved codes and

standards, specifications and drawings. These activities shall include, but

not be limited to, the following:

I. Coordinate the activities of contractors.

II. Review the contractors’ plans and make recommendation to Owner on

the actions to be taken to maintain schedules;



III. Review and recommend regularly on contractors’ allocation of manpower

and construction equipment;

IV. Review and approve, on Owner’s behalf, contractors’ work methods, with

special emphasis on safety and quality ;

V. Review and approve the procedures proposed by contractors for the

inspection by Consultant of each item

VI. Supervise, inspect and certify that quality of the contractors’ work to

ensure that all work is adequate for the purpose intended, is in

accordance with good engineering and construction standards and

practices, drawings and specification, and is in accordance with the quality

assurance program and conforms to the provisions of the contract;

VII. Ensure that adequate records are maintained at site by respective

contractors.

VIII. Review and certify the contractors’ bills. Certify and recommend to Owner

on the progressive payments of the work according to the work

completed;

IX. Supervise on behalf of Owner and agree with contractors on a phased

completion program, to facilitate a logical, mechanical completion of

works.

X. Review contractors’ detailed proposals for the startup and the conduct of

the performance tests, and advise Owner and the contractor accordingly

to ensure that all the activities will be carried out in a safe and efficient

manner.

XI. Supervise close-out of contractors’ work and certify and make

recommendations to Owner on the acceptance of construction completion

certificates, mechanical completion certificates, provisional acceptance

certificates and final acceptance certificates for the Project, by plant

system unit and block as relevant.

XII. Supervise all works requiring modifications as requested or approval by

Owner in accordance with the standard procedure.

XIII. Review and recommend safety and labour relations procedures prepared

by other contractors in line with all applicable codes, regulations and

Owner requirements. Monitor safety and labour relations and take action

on behalf of Owner on all problems, violations and inquiries;

XIV. Inspect and record site activities and oversee that documentation is kept

up-to-date and in first rate condition in preparation for completion of the

Project. Consultant shall ensure that all as- built drawings for the Project

are recorded correctly and compiled and submitted by the contractors as

stated in the contract. Consultant shall submit the same to Owner after

approval



ARTICLE 11

COMMISSIONING, STARTUP AND PERFORMANCE TESTS

1. Mechanical Completion

Consultant shall review and recommend for approval the program, and

supervise the mechanical completion work performed by contractors.

Upon successful completion of mechanical completion work, Consultant

shall review and recommend approval of construction completion

certificate documentation. The construction completion of individual

sections of the Project shall be programmed in accordance with the overall

commissioning plan. Consultant ensures that all necessary personnel from

equipment suppliers are called to attend the pre-commissioning activities

as provided for in the equipment purchase orders.

Consultant shall supervise contractors’ work such that phased mechanical

completion and commissioning takes place as determined by Owner’s

business needs.

2. Commissioning and Startup:

Upon Owner’s approval of the mechanical completion of the work, and

when it is deemed suitable by Owner, the commissioning work may

commence according to the plans and schedules prepared by Consultant.

Consultant shall form and organize a start-up team to supervise and

monitor the commissioning, startup, performance test and initial operation

of the facilities consisting of representative of Owner operating personnel,

equipment suppliers, Consultant and contractors and shall ensure that the

contractors provide sufficient numbers of skilled labor that is needed to

complement the Owner startup personnel and to perform activities which

include the running or operation of equipment, necessary adjustments

and hot alignment checks and the running of component parts as unified

system. This shall also include a demonstration of the operability of spare

equipment.

Consultant shall ensure that the contractors provide sufficient manpower,

special tools and spare parts necessary for the commissioning activities.

Consultant shall ensure that all defects and deficiencies found during the

course of commissioning shall be rectified by the contractors. Party shall

supervise and monitor all commissioning and startup activities and all

performance test runs which will be carried out by the contractors. All

performance test results shall be reviewed and certified by Consultant and

subsequently recommended for Owner’s approval. Consultant shall report

to Owner on a weekly basis on the progress and status of commissioning

and startup work. Consultant shall ensure that all commissioning records

and log sheets are properly collated and submitted to Owner as part of



contractors’ mechanical completion certificate approval documents and

provisional acceptance documents as relevant.

3. a) Factory Acceptance Tests:

Consultant shall witness the Factory Acceptance Tests in the premises of

contractor for Turnkey Instrumentation system etc. which will be carried

out by the respective contractors.

b) Site Acceptance Tests:

Respective contractors shall carry out the Site Acceptance Tests of

Instrumentation system etc. which shall be witnessed by Consultant at

site.



ARTICLE 12

ACCEPTANCE

1. Construction Completion Certificate:

Consultant shall review submittals from contractors for construction

completion as defined in the respective contract and advise Owner on

approval and issue of construction completion certificate to the

contractors. Consultant will be responsible for all punch listing to allow

recommendation of construction completion certificate.

2. Mechanical Completion Certificate:

Consultant shall review submittals from contractors for mechanical

completion as defined in the contract and advise Owner on approval and

issue of certificates of mechanical acceptance. Consultant shall review the

certificates of mechanical completion issued and advise Owner when the

various parts of the Project are ready to start up and are in accordance

with contract and specification.

3. Provisional Acceptance:

Consultant shall prepare and recommend approval of certificates of

provisional acceptance when requested by the contractors and

recommend their issuance when the commissioning work, start up and

test runs of the Project have been carried out successfully, and the

performance test results are to the satisfaction of Owner in accordance

with the contract and specification.

4. Final Acceptance:

Final acceptance for the facilities defined in contract shall be issued by

Owner on request from contractors at the expiry of the defects liability

period of one year, in accordance with respective contract.

5. Provisional Acceptance of Consultant’s Work:

Provisional acceptance of Consultant’s work occurs when the last

contractor’s provisional acceptance certificate is approved by Owner.

6. Final acceptance of Consultancy Work:

Final acceptance of Consultant’s work occurs at the expiry of the defects

liability period of one year of the last contractor in accordance with the

contract if there is no deficiency in Consultant’s or contractors’ work.



ARTICLE 13

INITIAL OPERATION AND TRAINING

During the engineering and construction of the Project, Consultant shall

prepare programs and schedules and perform initial operation and training

services which shall include, but not be limited to the following:

a) assist Owner’s personnel in familiarizing with vendor’s and contractor’s

drawings and specifications and in familiarizing with lines and equipment

check lists.

b) prepare programs for training the Owner’s supervisory staff and

operating/ maintenance personnel to start up, operate and maintain the

various facilities and systems of the Terminal. Actual training itself shall

be conducted by others. In preparing the overall training plans, Consultant

shall identify suitable resources to assist Owner in training its staff.

ARTICLE 14

SAFETY, HEALTH, AND THE ENVIRONMENT

It is Owner’s objective policy to ensure that potential safety and health factors

and environmental effects are assessed for all projects and activities and

acquisitions.

The specific requirements include:

Project Safety Review: A formal project safety review is to be carried out by

Owner and integrated across the various contracts. Consultant shall make all

necessary arrangements for such reviews as required by Owner and shall ensure

that contractors make available such data, personnel and locations as are

required. Consultant shall ensure that all recommendations and findings from

safety reviews are implemented by contractors in a timely manner.

Environmental Impact Assessment (“EIA”): Consultant shall ensure that all

recommendations resulting from the EIA/RA studies, on approval by Owner, are

implemented by contractors.

Health, Site Safety and Security: Consultant shall be responsible, on behalf of

Owner for ensuring a high standard of occupational health and site safety

management and for ensuring the requirements for health, safety and security

to be maintained by contractors, subcontractors and other personnel working at

the site. Consultant shall compile the safety requirement on contractors.

The purpose of these safety requirements shall be to prevent any accidents,

incidents or events that could result in injury or fatality to personnel from

contractors, subcontractors. The requirements shall be intended to supplement

any government authority of India, state, municipal, local or other regulations



applicable at the Site which Consultant shall be obliged to enforce on behalf of

Owner.

1. Site Safety Organization:

Consultant is to appoint a safety officer whose responsibility is to monitor

all safety activities on the job site and report his findings to Consultant.

The safety officer shall make periodic safety inspections of the job site on

a schedule that will provide ongoing coverage. The inspections should be

made jointly with the superintendents of the contractors responsible for

ongoing work in the areas to be inspected.

2. Site Safety Planning :

Prior to start of Site work, Consultant shall plan job safety requirements

in conjunction with contractors.

3. Safety Activities:

Consultant shall ensure contractor carry out their activities in accordance

with the safety plan throughout the course of the construction of the

project to inculcate and maintain safety awareness among their

employees.

4. Accident Investigation and Reporting:

Any accident or incident resulting in a lost time injury, death, or damage

to property or equipment is to be investigated by Consultant. Every

incident shall be documented promptly after the incident including the

results of investigation and recommendations for preventive action.

Consultant shall also ensure that all necessary publicity is given, within

the site, to ensure further incidents do not occur. This investigation and

report shall not preclude any similar investigations and reports required

by governmental regulation, but may be handled concurrently with them.

Consultant shall maintain safety performance and accident statistics

records for the entire site works in conformity to an agreed international

standard or system to be approved by Owner. Updated safety

performance and statistics of accidents shall be included in monthly

progress report of the project.



ARTICLE 15

DOCUMENTATION

Consultant shall ensure all documentation and engineering data are

delivered in a timely manner. The quality and technical integrity of this

information shall be monitored to ensure compliance with the Quality

Assurance Program. The delivery mechanism shall be the responsibility of

Consultant i.e. The electronic media use, indexes, sizes and number of

copies of hardcopy, etc.

Consultant shall also be responsible for modifying the documentation and

data requirements to reflect any existing and new statutory requirements

from both government and certifying authority sources.

Consultant shall be responsible for production of the operating manual(s).

This will include scheduling for the preparation of the materials making up

the operating manuals. It shall also include the review of drafts of the

material in consultation with Owner. Regular progress meetings shall be

held at the appropriate time to ensure completion, commissioning and

operation.

E. EXCLUSIONS FROM SCOPE OF WORK

The following activities are specifically excluded from the Consultant’s

Scope of Work:

a) Sanction / Release of Power and Water both for operational and

construction purposes including liaising with supply authorities,

however all technical support shall be provided by the consultant.

b) Obtaining approvals, clearances and permits from statutory bodies

including liaising with these bodies; necessary

assistance/clarification may be provided as required by the owner.

c) Acquiring land.

d) Obtaining Customs clearances for imported materials / equipments.

e) Arranging transportation from port to sites for imported materials /

equipments.

f) Taking Insurance policies for Project materials / equipments,

lodging claims and liaising for realization of claims, however all

technical support shall be provided by the consultant.

g) Provision of stores / stock yards and store offices including utilities

like power, water, telephone etc. However the same shall have to

be included in one of the first packages for execution through a

vendor. However, necessary site office may be provided by the

party at their own cost.



h) Participation in Arbitration proceedings. However, the Consultant

shall provide necessary assistance to Owner in connection with

these proceedings or disputes with other contractors / suppliers, for

a period of 3 years from the date of Final Acceptance of work. They

may be required to participate only as a helping group to the

owner.

i) The costs towards press advertisements of NIT/bid invitation which

shall be borne by Owner and paid directly at actuals to the agency

on submission of the bills of the agency by the Consultant to

Owner.

j) Consultant shall process the Contractors’ bills and certify the same.

HPCL shall process the certified bills for effecting payment.