The procurement rules have been amended to make it easier for construction professionals to extend the project. In 14 months after the amendment of the 13th regulation, the regulation has been amended again for the 14th time. The government has shown interest and has amended the regulations to make it easier even for projects with less progress in construction.

  According to the

rules, the deadline will be extended depending on the nature of the project work. If for some reason the work cannot be completed as per the contract within the specified period, the regulation has to disclose the reason for extending the period.

In the case of contracts that have expired or could not be extended, it is mentioned in the regulation that which work could not be done according to the schedule submitted by the relevant supplier, builder, consultant or service provider, and for what reason. An application for extension of the deadline must be submitted to the relevant public body within 30 days from the date of publication of the regulations in the gazette.

For any reason, the implementation of the procurement contract has been suspended by the cabinet or public bodies, the budget allocation has been missed in the annual budget and program, the budget is insufficient and the payment has not been made on time, and the compensation mentioned in the terms of the procurement contract has been mentioned, the project can apply for an extension.  It is mentioned in the regulations that the taluk body should take departmental action against officials or employees who do not make a decision regarding the extension of the deadline within 30 days from the date of receiving the

application.

The implementation of the purchase agreement has been postponed by the public body for any reason, the budget allocation in the annual budget and program has been exempted, the budget is insufficient and the payment has not been made on time, the compensation mentioned in the terms of the purchase agreement is mentioned, the project can apply for an extension. It is mentioned in the regulations that the taluk body should take departmental action according to the law to the officials or employees who do not make a decision regarding the extension within 30 days from the date of receiving the application. 

The rules state that default compensation for extended periods will not be charged. It is mentioned in the regulations that the relevant ministry should monitor whether the work has progressed according to the schedule submitted during the extended period. In the case of purchase contracts with milestones, it is mentioned in the regulation that milestones can also be modified as per the requirement along with the extension of the purchase contract. 

General Secretary of Nepal Construction Professionals Federation Roshan Dahal said that two matters necessary for construction professionals have been amended in the regulations. "Previously, it was only said that work can be done in design and build, it was not clear," he said. Therefore, the government has amended the regulations by realizing the need to clarify these two issues.' 

He said that the subject of extending the deadline for projects that could not be completed on time due to floods and landslides is included in the regulations.  Clarity in

design and build and EPC contracts 

When a public body works through a design and build contract, there will be a period of at least five years after the completion of construction according to the nature of the project. In the case of

engineering, procurement and construction (EPC) contracts, a minimum five-year defect rectification period and operation and maintenance period should be clearly disclosed in the contract. It is mentioned in the regulations that the procurement process should be carried out by competing on the basis of lump sum performance when purchasing through EPC contracts. 

Arjun Prasad Aryal, deputy director general and spokesperson of the road department, said that the problem was due to the lack of clarity about design and build and EPC contracts. "The Auditor General's office is raising questions as to why such a contract has been extended and why it has been given a long time. If there is a natural disaster, it does not mean that the deadline will not be extended," he said. Now many things have been made clear and regulations have been brought. Now it has been made clear how and for what reasons the deadlines of the projects will be extended.  In the

design and build contract, the design and construction will be done by the contracting company. In the EPC contract, including design, engineering, procurement and construction phase works and also the maintenance and operation to be done for the specified period as per the requirement, the construction company will have to do it. In the case of

EPC contracts, when requesting special experience, in case of a single bidder, experience of similar nature equivalent to at least 40 percent of the cost estimate must be submitted through design and build contracts or turn-key contracts. In case of

joint contract, one of the partners should have experience of similar nature of work of at least 40% of cost estimate through design and build contract or EPC contract or turn key contract. It is stated in the regulations that each partner should have experience working in any field of public construction equal to at least 25 percent of the cost estimate. 

In the purchase made through design and build contract, the construction business shall bear all the risks arising from design and drawing, geological, commercial, technical, etc. In design and construction and EPC contracts, the contracting authority shall inform the concerned builder within 30 days of receiving the design and drawing.

Previously, it was mentioned that foreign firms, organizations or companies that want to participate in international level contracts related to the construction of cost estimates of up to 10 billion rupees should participate in a joint venture with domestic firms, organizations or companies. In the revised regulation, it has been made 12 billion rupees.

Keshav Kumar Sharma, Secretary of the Ministry of Physical Infrastructure and Transport, said that the regulations have been amended to speed up the purchase of chemical fertilizers. "Another design and build and EPC contract was not made clear in the previous regulation, but now it has been made clear. In the 13th amendment, this time extension was said to be the last," he said.

Therefore, Sharma says that the deadline will be extended only by looking at the work situation. "If the problem is not caused by the builders, then add the amount of time the work has been interrupted," he said.

Mall procurement time reduced  In the

regulation, the time period of procurement process to buy chemical fertilizers has been reduced. There was a delay in the purchase of fertilizer as it took a long time to complete the procurement process. After the annual fertilizer shortage, its time has been reduced so that it can be purchased through a faster process. 

According to the 14th procurement regulation, in the case of fertilizer procurement, the bid will be valid for 30 days from the date of opening of the technical proposal submitted by the bidder. In the case of fertilizer purchase, the place, date and time of financial proposal opening must be mentioned in the regulation, in the case of national or international level bids, at least seven days notice should be given to attend at that time.