DLLL 164) LL Iziti:Tlli: National Highways Authority of India

~,<dlll <164)ll <IZiti:tlli Sfl~cfi(OI ~/Phone: 91-11-25074100/25074200
(~~'3ll"{~~)
Nationa l Highwa ys Authority of India
(Ministry of Road Transport and Highways)
-;;ft"-s ~ 6, ~-10, &ITTif, ~ ~ -110 075
G-5 & 6, Sector-10, Dwarka, New Delhi-110075
NHAI/Policy Guidelines/Atmanirbh ar Bharat/20 20
nd
Policy No. 18.49/202 0 dated 22 July, 2020
(As per approval given by Chairman on
File No. NHAI/COVID-19/RoadMap/CMD/2020]
Sub: Amendment to the Procedure and Delegation of Power for Relief to Contracto rs/
Developers of Road Sector under Atmanirbhar Bharat.
nd
Refer Policy Guidelines No. 18.46/ 2020 dated 22 June 2020 and its amendment
vide Policy Guidelines No. 18.47 /2020 dated 30 June 2020. The following changes are
th
made in the procedure: of

Delegation
SI. Relief Procedure
powers
No. (4)
(1) (2) (3)
Project Director
(iii) Relaxation in (i) In Para(i) for EPC mode contracts, add the
Schedule H for following :
EPC/Schedule G for In EPC projects, price adjustment as per Art 19.10
HAM to provide should be applicable on the monthly payments and
monthly payment to also as per the clarification issued for computation of
the Contractor for price adjustment vide Circular no.
the work done and NHAI/F&A /4 3/2014 / Misc / lA / 153515 dated
accepted as per the 18.06.2020 (copy enclosed).
specificatio n of the
(ii) In Para(ii) for HAM mode contracts , add the
contract during the
following:
month under EPC/
The Cost Escalation using the Price Index Multiple
HAM Contract.
(PIM) should be paid on achievement of Milestone,
considering payment made during interim period,
i.e. , Price Escalation is not to be considered for
interim payments made before the achievemen t of
Milestone.
(iv) Add the following new para after Pa ra(iii ) :
In many Projects (EPC/HAM), Working Capital
Advances are given as per NHAI ' s Policy Guidelines
No. 9.2.26/2019 dated 16-08-2019 & subsequent
amendments vide NHAl' s Poli cy Guidelines No .
9.2.30/2019 dated 19-11 -2019 . Once monthly
payments are made , no more working capital advance
should be paid till the operation of this circular and
it also needs to be recovered from those which have
been paid appropriate ly from each monthly payment
at the earliest.
2. This issues with the approval of Competent Authority.

-
v-1 '.,,,,--
..... c
(Amarendra Kumar)
CGM (Coord)
All Officers of HQ/RO/PI U/CMU
Copy to:
All Members/CVO
PS to Chairman
Hi nd i Division- for translation in Hindi
~l{dl4 -U$ -U-:s1q1,f W~T
,~
~ ' I /Phone : 91 -1 l -2.'i074 10012 (>074200
<l;,ro I
J J
Fo• ·. 91 -11-:?5091507 I 2!,091514
I..,.. """""' ""' '"''"' q,,w,)
National Highways Authority of India
(Ministry of Road Transport and Highways)
~ - 5 ~ 6, TITT· 10, lffi,l, :r{ ftRfl- 110075
G-5 & 6, Soctor-10, Oworko, Now Dolhl-110075
NHAI/F&A/43/2014/Misc/ IA/ IS 3-5 )5 I 8.06 .2020
All ROs/ All PDs

Sub: Clarificatio n regarding the tern, '3 rnont I1 s • use< 1 in clause 19.10.4 of Contract Agreement for
computation of Price Adjustment for the EPC Works.
Sir,
The Price adjustment for the EPC works payable to the con_tractor _u_1~dcr c~ause I ~-1O.~ of the ~PC Contract
agreement is to be computed on the basis of difference of price of d~f~erent inputs like ~•fference in whole s~le
price Index for construction Machinery. grey cement . all cornrno?1t1e s &consumer ~nee ln_dex _for ln~ustnal
workers published by concerned Ministries ofGOI for the month of the base date ,offic ial retail price of b1tu~cn
and price of diesel on the 1st day of the month or the base date with respective W Pis for the month and pnces
of Bitumen & diesel etc on 1st day of the month THREE MONTHS PRIOR TO THE MONTH TO WHICH
THE !PC RELATES.
It has be-en observed that PIUs arc interpreting the aforesaid term of 3 months differently. For example for
calculating the price adjustment for lPC for the month of August 2019 issued in September 2019, some Pl Us
are comparing the rates for the month of base date with the rates of April 2019 ( giving clear 3 months' margin )
while others are comparing the rate for the month of base date with the rates of May 20 I 9(with a difference of
3 months) .
On a reference made by the Finance Division , the Contract Management Division, HO has clarified that in above
example for calculating the price Adjustment of the IPC for the month of August 2019,issued in Sept 2019,three
months prior to the month of IPC means April 19 in reference to clause I 9. 10.4 of article I 9 of CA .
In view of the above , all Pl Us are hereby requested to compare the rates of the months on above pattern ( leaving
dear margin of 3 months) i,e. rates of April 19 is to be considered, in case of IPC of Aug 19 submitted in Sept.
2019 and so on and recover the excess payment, if any, made to the contractors from their future payments
immediately with applicable interest.
All the PIUs are further requested to inform the month considered for Price Adjustment in the following format.
Name of !Name of Name of SPS/IPC for SPS/ IPC Month considered Amount 01
the PIU the package the the month of submitted in the for Al.LL MI , s excess payment
Contractor month of I etc. to be recovered
Please submit the above information within 7 days from the date or receipt of this letter through email onl)
at akgoyal@nhai .org.
This issues with the approval of the Competent Authority .

('\FY ~ ~
( B J\,t R,w) . ,
General l'v1anagcr ( r-)
CC To
All Internal Auditors of lhe ROs/ Pll ls - with the request 10 check 1he co mpliance of the ~ircular and repo11
on the same in !he report of March, 2020 .

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~,<dlll <164)ll <IZiti:tlli Sfl~cfi(OI ~/Phone: 91-11-25074100/25074200

made in the procedure: of

2. This issues with the approval of Competent Authority.

NHAI/F&A/43/2014/Misc/ IA/ IS 3-5 )5 I 8.06 .2020

All ROs/ All PDs

This issues with the approval of the Competent Authority .

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