J P MUKHERJI & ASSOCIATES PVT. LTD.

TSFP

SPECIAL CONDITIONS
OF CONTRACT (SCC)

Section VI
Page - 1/19

BID DOCUMENT FOR

PLANT WATER SYSTEM

SECTION V

SPECIAL CONDITIONS OF CONTRACT (SCC)

The Special Conditions of Contract (SCC) shall supplement the General Conditions of
Contract (GCC).
The following Special Conditions of Contract (SCC) shall supplement the General Conditions
of Contract (GCC). Whenever there is a conflict, the provisions herein shall prevail over
those in the GCC.
The Special Conditions of Contract are in two parts.
Part-1 Conditions of Particular application. Theses clauses apply to GCC. The
corresponding clause number of the GCC is indicated in parentheses.
Part-2 contains Additional Special conditions.
PART-1 : Conditions of Particular Application to GCC
A. General
GCC 1.1 (l)

The Defect Liability Period shall be Twenty four (24) months from the
date of Completion of the Works (or any part thereof) or Eighteen (18)
months from the date of Certificate of Completion (or any part thereof),
whichever first occurs,

GCC 1.1 (n)

The Employers name is Tendaho Sugar Factory Project (TSFP)

Address:

Tendaho Sugar Factory Project (TSFP)

P O Box 2574,
Salfaz Building (In Front Of Atlas Hotel)
Cape Verde Road,

City:

Addis Ababa

Country:

Ethiopia

Tel:

+ 251 11 618 2370

+ 251 11 618 3591

Fax:

+ 251 11 618 3583

Email:

tsfp@ethionet.et
gebreasrat@yahoo.com

Contact person:

Ato Gebre Asrat

Factory Manager

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GCC 1.1 (o)

The word Equipment is generally used to describe the Contractors

machinery and vehicles brought temporarily to the Site to construct the
Works. The word Equipment is also used at places to describe the units
of Plant. Hence Meanings for the word Equipment to be derived with
reference to context it is used.

GCC 1.1 (q)

The Intended Completion Date for the whole of the Works shall be 56
weeks from the date of signing the Contract

GCC 1.1 (t)

The Project Manager is :

J.P.Mukherji & Associates Pvt. Ltd
Tendaho Sugar Factory Project (TSFP), P O Box 2574,
Salfaz Building (In Front Of Atlas Hotel), Cape Verde Road,
Addis Ababa, Ethiopia

GCC 1.1 (v)

The Site is located at Tendaho, located in the Lower Awash valley of the
Afar Administrative region of Ethiopia. The project site is adjacent to the
Addis-Djibouti tarmac highway with a convenient distance to the port of
Djibouti and about 600 km from Addis Ababa in Northeast direction.
The site is defined in Figure 1(a) & Figure 1(b)

GCC 1.1 (y)

The Start Date shall be 8 weeks after the issue of Letter of Acceptance.

GCC 1.1 (cc)

The Works consist of design, manufacture, supply to Port of Djibouti,

transport to project site in Ethiopia, store at site till start of erection, erection
of mechanical and electrical equipment, train Employers personnel,
commissioning testing and handover the complete plant water system on
turnkey basis [except related civil works and foundation, but with plant
grouting].
The proposed works is a part of Tendaho Sugar Project with a cane
crushing capacity of 26,000 TCD under Tendaho Project. Tendaho project
site is located in the lower portion [delta region] of the Awash basin. An
earthen dam is under construction near Tendaho project site to irrigate
about 60,000 ha of land in the lower Awash valley for sugarcane plantation.
This dam will have a gross storage capacity of 1800 Mm3 at its full capacity
level of 408.0 m above the bed of Awash river. Water is drawn from the
dam through network of canals and distributaries to irrigate 60,000 ha of
land for sugar plantation to harvest six million tons of sugar cane. One such
canal passes near to the proposed factory site and it is proposed that this
canal shall be extended inside the sugar factory for water supply for
condensing vapour, cooling, potable and miscellaneous uses in the sugar
factory. It is from this canal water will be drawn for the factory under this
bid.

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GCC 2.2

GCC 2.3(i)

Sectional Completions are

1.

Completion of raw water circuit from canal extension to over head

tank [1814] and over head filtered water storage tank [1822 - up to
terminal point ] Six months from the date of Contract.

2.

Completion of Injection water pump circuit [up to terminal point] Eight

months from the date of Contract.

3.

Completion of raw water pumps up to fire hydrant main [up to terminal

point] Twelve months from the date of Contract.

4.

Completion of Cooling tower and cooling water circuits [up to terminal

point] Twelve months from the date of Contract.

The following documents also form part of the Contract: [list documents]
1.
2.
3.

GCC 3.1

Minutes of Meeting held if any prior to issue of Letter of Acceptance

Additional Conditions of Contract Part -2 of SCC
Information on Contractors Key Personnel submitted as part of
Contractors bid

The language of the contract is ENGLISH.

The law that applies to the Contract is the law of Federal Democratic
Republic of Ethiopia.

GCC 8.1

Schedule of other contractors:

1.

Civil Contractor/s to be deployed for

carrying out, for land
preparation, preparation of roads and fencing, earth work, civil
constructions like buildings, foundations, tankages, factory structures
and infrastructure buildings etc.

Supply and installation of Diesel Generating Sets.

3.

Supply and installation of Workshop machinery and material handling

equipment

4.

Civil Contractor/s to be deployed for carrying out construction of

temporary structure, residential houses, hospital , canteen, offices and
other civil engineering structures

5.

Contractors to be deployed for supply and installation of factory plant

and machinery

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GCC 9.1

Schedule of envisaged Key Personnel:

1. Chief Engineer / Site Manager;
2. Administrative Manager
3. Senior Mechanical Engineers
4. Electrical Engineer
5. Erection Supervisors
6. Stores Manager
Information on Contractors Key Personnel submitted as part of Contractors
bid will be a part of the Contract.
The Chief Engineer / Site Manager shall be deemed to be the Contractors
Authorized representative at the site.

GCC 13.1

The minimum insurance amounts and deductibles shall be:

(a)

Cargo Insurance
Covering loss or damage occurring, while in transit from the suppliers or
manufacturers works or stores until arrival at the Site, to the Facilities
(including spare parts there-for) and to the construction equipment to be
provided by the Contractor or its Subcontractors.
Amount
Max. Deductible limits
From
To

For 110% of the Cargo CIF Value

5% of any individual claim
Contractors / Manufacturers Works
Project Site

On All Risks basis including war risks and strike clauses

(b) Insurance of Other Employers Properties
loss of or damage to property (except the Works, Plant, Materials, and
Equipment) in connection with the Contract;
Amount
Max. deductible limits
(c)

US $ 100,000
5% of any individual claim

Installation All Risks Insurance

Covering physical loss or damage to the Works at the Site from the time
the plant materials arrives at site and occurring prior to completion of the
Works, with an extended maintenance coverage for the Contractors
liability in respect of any loss or damage occurring during the defect

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BID DOCUMENT FOR

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liability period while the Contractor is on the Site for the purpose of
performing its obligations during the defect liability period.
Amount
Deductible limits

Full Replacement cost of the equipment

5% of any individual claim

(d ) Third Party Liability Insurance

Covering bodily injury or death suffered by third parties (including the
Employers personnel) and loss of or damage to property (including any
parts of the Works that have been accepted by the Employer) occurring
in connection with the supply and installation of the Works.
Amount for injury or death

(e)

-For the Contractors employees 60

months earning of the employee and
for other people US $ 50,000 per
person.

Amount for loss or damage

to property

- Cost of the property

Deductible limits

-Nil

Automobile Liability Insurance

Covering use of all vehicles used by the Contractor or its Subcontractors
(whether or not owned by them) in connection with the supply and
installation of the Facilities. Comprehensive insurance in accordance
with statutory requirements.

GCC 14.1

No Site Investigation Reports is supplied by the Employer as it is not relevant

to the bid.

GCC 21.1

The Site Possession Date(s) shall be Three months from the date of receipt of
advance amount.

GCC 25.1

The Arbitrating Agency is Ethiopian Chamber of Commerce.

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GCC 26.1

Rules of procedure for arbitration proceedings:

a)

Contracts with Foreign Contractor

GCC 25.1 -- Any dispute, controversy or claim arising out of or
relating to this Contract, or breach, termination or invalidity thereof,
shall be settled by arbitration in accordance with the UNCITRAL
Arbitration Rules as at present in force.

b)

Contracts with contractors national of the Employers country

GCC 25.1 -- Any dispute between the Employer and a Contractor who
is a national of the Employers country arising in connection with the
present Contract shall be referred to arbitration in accordance with the
laws of the Employers country.

Clause 26.1 (a) shall be retained in the case of a Contract with a foreign
Contractor and clause 26.1 (b) shall be retained in the case of a Contract with
a national of the Employers country.
B. Time Control
GCC 27.1

The Contractor shall submit for approval a Program for the Works within
TWENTY ONE [ 21 ] days from the date of the Letter of Acceptance.

GCC 27.3

The period between Program updates is FOURTEEN [14] days commencing

from the start date.
The amount to be withheld for late submission of an updated Program is
Fifteen percent [ 15%] of the bill submitted for that month.

GCC 27.5

(a) The following salient features of time schedule laid out by the Employer
[taking in view of the whole Projects schedule for which this bid is a part]
for major activities involved in completion of Works calculated from the
date of contract till completion of all the activities. Since the Contract is of
turnkey nature [excluding civil works], the time schedule indicated for all
the activities up to Completion of Works might have some variations at the
Contractors end, suiting to methodology / Planning of execution by the
Contractor which it has to submit / furnish in accordance with GCC 27.1.
But the Contractor shall confirm that his Program of completion of facilities
shall be fitted in the overall completion period expected by the Employer
below.
(b) Salient features of the time schedule in weeks are furnished below.
Effective date of Contract has been considered as Zero date
Sl
No
1.

Major Activities Involved

Signing of Contract and
Subsequently submission of

Minimum
Weeks
0

Maximum
weeks
0

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6
a
b
c
d
e

Performance Guarantee by the

contractor
Contractor to submit all layouts,
general assembly drawings and
specifications for the approval of the
Project Manager.
Contractor to furnish all Civil
Engineering data, layouts loading
data and cutouts on foundations and
other details needed for foundation
designing and planning civil
engineering works.
Submission of final equipment
specification, drawings and all other
related data and mechanical,
electrical and instrumentation details
to the Employer.
Contractor to be at site to put up
temporary works, receive and store
material, for site mobilization,
preparation of initial activities .
Manufacture and Supply of all the
Plant Material.
Receipt of Plant Material at site and
completion of supplies
Completion of Erection of Plant
Completion of Works
Commissioning of Works
Guarantee tests & Acceptance

10

16

10

24

14

34

16

52

20

54

24
26
58
59

56
58
59
60

C. Quality Control
GCC 35.1

The Defect Liability Period shall be Twenty four (24) months from the
date of Completion of the Works (or any part thereof) or Eighteen (18)
months from the date of Certificate of Completion (or any part thereof),
whichever first occurs,

D. Cost Control
GCC 46.7

The currency of the Employers country is Ethiopian Birr

GCC 47.1

The Contract is not subject to price adjustment in accordance with GCC

Clause 47.1

GCC 48.1

The proportion of payments retained is Ten Percent [ 10%]

GCC 49.1

The liquidated damages for the whole of the Works are onetenth of a
percentage of the final Contract Price per day. The maximum amount of

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liquidated damages for the whole of the Works is ten percent [ 10%] of the
final Contract Price.
GCC 50.1

There is no Bonus for early completion. Hence the Bonus for the whole of
the Works is Zero percent[ 0%] of final Contract Price per day. The
maximum amount of Bonus for the whole of the Works is Zero percentage [
0%] of the final Contract Price.

GCC 51.1

The Advance Payments shall be Twenty percent of the Contract price and
shall be paid to the Contractor no later than Fourteen days after submission
of the Advance Payment Bank Guarantee.

GCC 52.1

The Performance Security amount Ten Percent [ 10%] of the Contract

Price.

GCC 53

Day works schedules are not applicable to this contract.

E. Finishing the Contract

GCC 58.1

The date by which operating and maintenance manuals are required is

within 48 weeks from the date of Contract
The date by which as built drawings are required is before issue of
Certificate of Completion.

GCC 58.2

The amount to be withheld for failing to produce as built drawings and/or

operating and maintenance manuals by the date required in GCC 58.1 is
Two and a half percent [ 2.5 %] of the Contract Price

GCC 59.2 (g)

The maximum number of days is: One hundred twenty days.

GCC 60.1

The percentage to apply to the value of the work not completed,

representing the Employers additional cost for completing the Works, is
Twenty percent of Contract Price.

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Part- 2: ADDITIONAL SPECIAL CONDITIONS OF CONTRACT
Following are the additional Special Conditions of Contract.
1. Interpretations 1.1
Additional
Clauses
1.2

Words carrying singular number shall also include plural and

vice-versa. where context so requires.

1.3

Decisions by Employer shall be conclusive as to the true intent

and meaning of the drawings and specifications. Any
discrepancy which may exist between the drawings and
specifications shall be referred to Employer whose decision as
to the true meaning shall be final.

1.4

The Contractor shall promptly study and compare the

Drawings, specifications, instructions and other information
given by Employer and shall report in writing to Employer any
discrepancies, inconsistencies, or omissions of statement
regarding the materials and methods of construction work.

1.5

Verbal instruction or information will not be recognized in any

case, unless confirmed in writing.

2.1

The Contractor shall make available labour, transport, and

materials to maintain as directed by the Project Manager the
cleanliness and tidiness of the site and to attend to the
protection and temporary covering, lighting other hazards to
safety.

2.2

The Contractor shall maintain and keep tidy and clean his office
space including a reasonable surrounding area, as designated
for his use by the Project Manager. The Contractor shall
provide a telephone at his office and shall provide for his office
furniture at his own expense.

2.3

The Contractor's office shall have wash room and drinking

water facilities. In the event the Contractor is to employ female
staff too, the office shall have separate wash room facilities for

2. Temporary
Works

Work shown on the drawings and not mentioned in the

Specifications and Vice versa shall be executed by the
Contractors as though they are specifically set forth in both.
Should any work or materials not shown in the Specifications
and/or drawings be necessary for the proper carrying out of the
Facilities by the Contractor, the Contractor shall understand the
need for such work and materials to be implied and shall
perform all such work and furnish such materials fully as
though they were particularly described in both the drawings
and specifications.

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the females too. The office facilities shall be maintained clean

and hygienic by the Contractor at all times.
2.4

The Contractor shall provide and maintain one notice board for
the site consisting of a timber framed black-board panel size
about 2.50 m x 2.50 m all painted with two coats white oil paint
back and front and supported 1.20 m above the ground. The
board shall be lettered by a skilled sign writer to include:i)
ii)
iii)
iv)

2.5

The Project Name;

The Employer's Name;
The Project Manager's Name and Address;
The Contractor's Name and Address

A large scale layout is to be submitted for approval before

manufacture. No advertising material other than the above
shall be permitted. The location and layout of sub- contractors'
and/or manufacturers' boards are subject to the approval of the
Project Manager.

2.6 The Contractor shall provide to the Project Manager each quarter
of the year a minimum of twelve photographs showing work in
progress. The views from which the photographs are to be
taken shall be as directed by the Project Manager. Four copies
of each photograph (100mm x 150mm size) shall be provided
with the description of the view point and the date of the
photograph typed on the back.
2.7

The cost of all temporary works, testing and sampling shall be

construed to be included in the cost of permanent works. No
separate price is payable for temporary works.

3.1

The Contractor shall, at his own cost, keep all records

concerning progress of all the Activities listed in the Contract.

3.2

The Contractor shall maintain such records and make such

reports concerning safety, health and welfare of persons and
damage to property as the Project Manager may from time to
time prescribe

Fabrication of 4.1
items at site

Contractor shall be permitted, upon reconfirmation by the

Project Manager to fabricate voluminous items of plant and
equipment at the site, provided the same is clearly stated in the
price schedule

3. Records

4.

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5. Employment of 5.1
persons in the
service
of
others
5.2

The Contractor shall not recruit or attempt to recruit his staff and
labour from amongst persons in the service of the employer or
the project Manager.

6.1

The Contractor shall not give, barter or otherwise dispose of to

any person or persons, any arms or ammunition of any kind or
permit or suffer the same as aforesaid..

7. Trade & Brand 7.1

Names

Where in the Contract any item of the scope of the work is

described by reference to any trade name or, any brand name
or, any catalogue number or, any patent or proprietary material,
substance, fitting, installation, article, equipment or accessory
to be procured from a specified manufacturer or Contractor,
that description is intended to indicate the type, quality,
appearance and method of construction required and item of a
standard, similar and equal thereto may, subject to the specific
approval of the Project Manager, be procured for the item so
described.

7.2

The Price for the item in the scope of work as described and
referred to above, shall be deemed to be included in the
Contract price Substitution of an item provided for in the
Contract shall be permitted subject to prior approval of the
Project Manager, but no additional payment for such a
substitution shall be allowed.

8. Priority of Works

8.1

The Project Manager shall have the discretion to determine the

priority of executing the works and reschedule the execution
therefore. Such rescheduling of works or erection of specific
items of the plant shall not entitle the Contractor to additional
costs or to extension of time, provided always that such
rescheduling does not resulted in idling of the contractor's staff
at the site.

9. Foreign
Taxation

9.1

6. Arms &
Ammunition

10. Secrecy

Vice Versa the Employer or the Employer shall not recruit his
staff and labour from amongst persons in the services of the
Contractor.

The prices bid by the Contractor shall include all taxes, duties,
license fees and other charges or levies imposed outside the
Employers Country on the production, manufacturer, sale and
transport of the Goods, Contractors Equipment materials
supplied to be used on or furnished under the contract and on
the services performed under the Contract.
10.1 The technical information, drawings, specifications and other
related documents forming part of the enquiry or Contract shall
be the property of the Employer and shall not be used for any

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other purpose except for execution of the Contract. All rights,

including rights in the event of grant of patent and registration
of designs are reserved.
The Contractors staff, personnel and labour will be liable to pay
personal income taxes in the Employers Country in respect of such
of their salaries and wages as are chargeable under the laws and
regulations for the time being in force, and the contractor shall
perform such duties in regard to such deductions thereof as may be
imposed on his by such laws and regulations.
12. Duties on the The Contractor will be exempt from import duties and taxes. However
in order to get the exemption, the Contractor shall be required to
contractors
formally apply for necessary exemptions from the concerned
equipment
authorities of the Government of the Federal Democratic Republic of
Ethiopia in respect of the exemption for payment of import duties and
taxes levied in the Employers country upon initial importation of
Contractors equipment, including essential spare parts thereof,
imported by the Contractor for the sole purpose of executing the
Contract, provided always that the contractor shall re-export the said
Contractors Equipment after completion of all obligations. The
Employer shall use his best endeavours ( without incurring any legal
liability or responsibility ) to assist the Contractor in this regard.
11 Local
income
tax payable by
the contractors
personnel

If the Contractor elects to sell the Contractors Equipment or any

portion thereof locally, the Contractor shall pay duty and taxes on the
residual depreciated value of the said equipment in accordance with
the laws, rules and regulations of the Government of Federal
Democratic Republic of Ethiopia.
13. Third Party
Inspection

13.1

The Employer will reserve the right to appoint qualified third

party inspectors for visiting the Contractors or his SubContractors site. The Contractors or his Sub-Contractor will
provide all necessary assistance and co-operation at his site to
facilitate the required inspections or tests. All expenses towards
third party inspection will be borne by the Employer.

14. Safety, Security

and Protection
of the
Environment

14.1 The Contractor shall be responsible for the proper security of

facilities at the site until taken over and for the proper provision
during the period of temporary roadways, footways, guards and
fences as far as they the same may be rendered necessary by
reason of the facilities for the accommodation and protection of
owners and occupiers of adjacent property, the public and
others. No naked light shall be used by the contractor on the
site otherwise than in the open air with out special permission
of Project Manager.
14.2 The Contractor shall take all reasonable steps to protect the
environment on and off the site and to avoid damage or

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nuisance to persons or to property of the public or others

resulting from pollution, noise or other causes arising as a
consequence of his method of operation.
15. Traffic and
Special Loads

All operations necessary for the execution of the facilities shall so far
as compliance with the requirements of the Contract permits, be
carried on so as not to interfere unnecessarily or improperly with the
convenience of the public, or the access to, use and occupation of
public or private roads and footpaths to or of properties whether in
the possession of the Employer or of any other person. The
Contractor shall save harmless and indemnify the employer in respect
of all claims, proceedings, damages, costs, charges and expanses
whatsoever arising out of, or in relation to, any such matters in so far
as the Contractor is responsible therefore.

16. No night or No work shall be carried out on site during the night or on national
public Holiday public holidays or days of rest without the permission in writing of the
Employer or the Project Manager, save when the work is unavoidable
Work
or absolutely necessary for the saving of life or property or the safety
of works, in which case the Contractor shall immediately advise the
Project Manager.
17. Scope of Works 17.1 General
and Supply by
a
The following personnel, facilities, and supplies will be
the Employer
provided/supplied by the Employer.

17.2.
a

All personnel, facilities, works and supplies will be

provided by the Employer in good time so as not to
delay the performance of the Contractor, in accordance
with the approved Time Schedule and Program of
Performance pursuant to GCC Sub-Clause 27.1.

Unless otherwise indicated, all personnel, facilities,

works and supplies will be provided free of charge to
the Contractor.

Scope
Personnel
Only operating and maintenance personnel will be provided
after completion of Works onwards for trials, commissioning ,
guarantee tests and further regular running.

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Facilities

(i)

Water for the Works and for the contractor's use

1

The Employer shall provide water for use of the

Contractor for carrying out the works at one point on the
site. Further distribution of water for works shall be
carried out by the Contractor.

The Employer shall provide potable water, in the form

and content as is available to the employees of
Employer, at one point on the area allocated for
Contractor's staff houses. The Contractor shall make his
own arrangement for further distribution of water to his
staff houses.

The Contractor's labourers accommodated at the site,

shall be provided free access to the sources of water as
are available to the Employer's labourers. Upon a
written request of the Contractor, the Employer shall
allow him to supplement the existing potable water
facility for use of his labourers. The Contractor shall
supplement the existing facility at his own cost .

The Employer shall provide water for use as stated

above free of charge.

The Contractor shall inform the Project Manager, with a

copy to the Employer, of the estimated requirement of
water for the Facilities and his staff houses and labour
camp.

The Contractor shall make arrangement of water

storage at site for the Facilities and for staff houses and
labour camp at his own cost.

Not Withstanding the above, the Employer shall not be

responsible for any disruption in the supply of water.

(ii)

Electricity for the Works and for the Contractor's use

1

The site does not have provision of electricity supply

from the state grid network. The Employer will be
installing Diesel Generators to meet the electricity
needs of the site. The Employer shall provide electrical
power form the diesel generators at one point on the
site. The Contractor shall make his own arrangement
for further distribution of electrical power for the Works.

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(iii)

The Employer shall provide electricity, for lighting and

domestic electrical gadgets, to all the staff houses of the
Contractor at one point on the area allocated for
Contractor's staff houses. The Contractor shall make
his own arrangement for further distribution of power for
his staff houses.

The Contractor's labourers accommodated at the site,

shall be allowed to use the electricity to the extent it is
used by the Employer's labourers accommodated in the
vicinity of such a site. The Employer may, upon request
by the Contractor in writing, allow him to augment the
existing electric facility for use in his labour quarters.

The Contractor shall augment the electric facility for use

in his labour quarters at his own expense.

Employer shall provide electricity for the Works and to

the Contractor's staff houses and labour quarters free of
charge. The Contractor shall use his best endeavors to
control and minimize the use of the electricity provided.

The Contractor shall inform to the Project Manager, with

a copy to the Employer, of the estimated requirement of
electrical power for the Works, as well as Contractors
staff houses and labour camp. [ This information must
be submitted with the bid offer ]

Not withstanding the above, the Employer shall not be

responsible for disruptions in the supply of electricity.
The Contractor shall not claim loss of time due to any
such disruptions and shall make stand-by arrangement
for any captive generation of electricity that may be
required to completion of works in accordance with the
Program.

Any temporary electrical installation work at the site ,

required for erection or construction works, shall be
approved by the electrical inspectorate of Government of
Federal Democratic Republic of Ethiopia. No
unauthorized person shall be deployed for installation of
such works.

Accommodation for Contractor's personnel

1

The contractor shall make his own arrangement for

accommodation for all the categories of his staff for
which the Employer will provide an area of land. Water

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and electricity shall be provided by the employer at no

cost (but subject to availability) to the housing
accommodation of contractors personnel.

(iv)

The Contractor shall ensure that his employees do not

misuse or waste the electricity or water provided by the
Employer.

The Contractor shall be responsible for maintaining high

standards of sanitation and health and shall take
immediate corrective action when directed by the
Employer or the local authorities.

The Contractor upon completion of the Contract remove

on completion of the contract , all camps and housing
together with all associated services including all
necessary water supplies and installations for drinking
and other purposes, sanitation, drainage, refuse
disposal, fencing and fire fighting equipment.

5.

All buildings and all sheds and temporary structures

which the Contractor may erect for his own purposes
shall be erected only on land placed at the Contractors
disposal by the Employer. Such facilities in respect of
design, situation, layout, water supply, washing and
cooking facilities, lighting, sanitary and health
arrangements and welfare be appropriate in all respects
for their purpose, shall comply with relevant laws and
regulations and be subject to the approval of the Project
Manager.

Storage area for storage of plant and machinery received

1.

The Employer shall provide vacant land for storage of

plant and machinery supplied by the Contractor prior to
their installation. It will be the responsibility of the
Contractor to deploy proper security staff, fence the
area properly, and protect from rain, protect from theft
etc.

2.

Subject to availability, the Employer may provide any

closed storage areas for storage of valuable
components of plant and machinery. It will be the
responsibility of the Contractor to deploy proper security
staff, protect from theft etc.

3.

In the event of non-availability of such closed storage

areas from the Employer, the Contractor shall make his

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own arrangements as a part of temporary works.

(v)

(vi)

Facilities
1.

The Employer will carryout all the related civil

foundations and other related works of the Plant Water
Supply. However the Contractor is responsible for initial
& final grouting of related machinery , structures and
equipment including supply of grouting material.

2.

The Contractor shall make his own arrangements for

carrying out any machine shop facilities required during
the erection and commissioning. In case of emergency,
the Employer subject to availability, can make available
existing machine shop facilities on chargeable basis

Supplies
The Employer will not be making any of the supplies in the
contract except for the following.
-

(vii)

Lubricants if any other than initial filling

Other responsibilities
The Employer shall provide possession of and access to all
other areas reasonably required for the proper execution of
the Contract including all requisite rights of way. The
Employer shall give full possession of and accord all access
thereto on or before __________ [ date to be mentioned while
finalizing the contract ]

18. Functional
Guarantees

18.1. General
This Clause sets out
(a)

the functional guarantees of equipment / system to be

guaranteed by the Contractor;

(b)

the preconditions to the validity of such functional

guarantees,

18.2. Preconditions
18.2.1 The Contractor gives the functional guarantees (specified
herein) for the Works, subject to the following preconditions
being fully satisfied:

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The Qualifying preconditions for giving functional guarantees

are as under.
The performance tests specified herein in terms of plant /
system throughput, shall be subject to following conditions.
(a) The Employer shall ensure sufficient water in sufficient
quantity at the inlet canal and continuously throughout the
specified test period.
(b) The Employer shall supply at the factory and in sufficient
quantity the expendable goods if any , fluids [ except
lubricants for initial filling ] and material for the proper
operations of the Works.
(c) The employer will engage sufficient number of suitably
qualified personnel to supervise to maintain and run the
Plant Water System under the supervision of the contractor;
It should be noted here that while the contractor to take note
of the existing skills available in the sugar industry, he
should provide WHATEVER training that is necessary.
(d) The Employer shall have the Works maintained in a
satisfactory condition by his personnel during the period
after issue of Certificate of Completion and prior to the
performance tests with essential spare parts available as
supplied under mandatory spares list.
18.2.2 Duration of tests
Load tests on all the pumps to be carried out at the
manufacturers works and certificate of test at operating
parameter shall be submitted to Employer before dispatch of
the pumps
Three tests of 8 hour test runs shall be carried out. In any test,
any one stoppage exceeding 30 minutes or a number of
stoppages exceeding 2 hours in total shall invalidate the test.
The test runs need not be conducted on successive days. The
Plant Water System shall be deemed to satisfy the above
warranty if the arithmetic mean of the results of three tests
satisfies the guarantee of throughput.
18.3. Functional Guarantees
18.3.1 Subject to compliance with the foregoing preconditions, the
Contractor guarantees as follows for the following.

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a.

All pumps will be tested to specified duty conditions.

b.

All equipment shall be checked for their capacity rating

and other technical parameters

c.

Drinking water shall conform to Ethiopian drinking water

standards

19. Bank Charges

19.1

All Bank Charges outside Ethiopia including Confirmation cost

both inside and outside Ethiopia shall be to the Contractors
account.

20. Carrier

20.1

The Contractor shall deploy Employers Countrys National

carrier wherever applicable.

21. Insurance
Coverage

21.1

The Shipping Insurance shall be covered by the Employers

Countrys National Insurance company.

22. Shipping
Documentation

Upon shipment, the Contractor shall notify the Employer the full
details of the shipment including the Contract number, description of
goods, quantity, the vessel, the bill of lading number and date, port of
loading, date of shipment, port of discharge, etc. The Contractor shall
send copies of the following documents to the Employer:
22.1

Commercial Invoice: showing goods description, quantity,

unit price , total amount -Six (6) originals duly chamberized by
the Chamber of Commerce of the country of Origin plus with
Ten (10) copies.

23.2

Certificate of Origin: One (1) original plus five (5) copies.

23.3

Full clean on Board bill of lading: Three (3) originals plus

Five (5) copies of the negotiable , clean, on-board bill of lading
marked fright prepaid,

23.4

Packing List: Six (6) originals plus five (5) copies identifying
contents of each package. In addition to this, Two (2) copies
of the packing list shall be enclosed in each of the case.