FIDIC Plant and Design-Build Contract (2017 Edition)

This course while largely based on the FIDIC Module 1: A Practical Approach to FIDIC Contracts focuses solely on the FIDIC Plant and Design Build Contract.

When choosing the appropriate contract for a particular project, the fundamental question that must be asked is “who will be responsible for the design?”
Another question which must be asked is how much risk is the bear Employer prepared to bear, particularly the risks of unforeseen physical conditions.
If the Contractor is responsible for the design, and the employer is prepared to accept the risk of unforeseen physical conditions, and the employer retains the services of an Engineer to monitor, supervise and certify the contract, then the appropriate contract would be the FIDIC Yellow Book.

This is in accordance with FIDIC Golden Principle number 1 which emphasises the need to choose the appropriate contract.
Although this contract is used for mechanical and electrical work, it is also suitable for building and engineering Works including infrastructure work such as roads, bridges and water supply/purification contracts.
The contractor accepts the additional risk of the design of the Works and does so in accordance with the Employer’s Requirements.

In recent times, particularly in Africa, the FIDIC yellow book has been used extensively for roads especially where the Employer either did not have sufficient design resources itself, or where the project could be “fast tracked” with much of the design being executed whilst the contractor was establishing.

Payment under this form of contract, is usually on a “fixed price lump sum basis” with payment being made on the achievement of certain definable elements of the Works. The employer therefore has a measure of certainty of the final price.

The role of both the Employer and the Engineer and their interaction with the Contractor forms an integral part of this course.

The responsibility for design is dealt with and a substantial amount of time is devoted to the issue of extensions of time, variations, and payment matters including interim and final payment certificates.

Dispute resolution under the FIDIC Yellow Book is highlighted and the issues of notices, claims and time bars are discussed in detail. This practical course is supplemented by true life case studies and group discussions.