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21 August 2024

Guidelines For Monitoring Of Projects And Issuance Of Provisional Completion And Completion Certificates For EPC/HAM/BOT Contracts

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NHAI, in its policy circular dated May 24, 2024, issued guidelines for proper monitoring of projects and issuance of Provisional Completion Certificate ("PCC") and Completion Certificate ("CC") to the concessionaires/contractors under the concessionaire agreement.
India Transport

NHAI, in its policy circular dated May 24, 2024, issued guidelines for proper monitoring of projects and issuance of Provisional Completion Certificate ("PCC") and Completion Certificate ("CC") to the concessionaires/contractors under the concessionaire agreement. NHAI observed the following non adherence in monitoring of project and issuance of PCC/CC: 1. AE and RO/PD officials are not supervising the work and tests on completion in several cases which lead to incorrect issuance of PCC/CC; and 2. such tests on completion and other compliances were not being submitted in different formats. Procedurally, to obtain PCC/CC from NHAI, the concessionaire/contractor make a request to the IE to conduct tests as per the provisions of the concession agreement and the IE/AE also informs the PD/RO, NHAI to witness the tests.

In view of the above, NHAI issued the below mentioned guidelines to be followed for monitoring and issuance of PCC/CC:

  1. AE/IE are required to prepare a detailed checklist (in the format provided in the policy circular) and the concession agreement. This checklist will have to be updated from time to time upon approval of various drawings/design and progress of work;
  2. RO/PD are required to review the checklist during the site visit along with routine tests to be conducted at site and laboratory;
  3. 3 (three) months prior to the probable issuance of PCC/CC, RO/PD will hold a meeting and site visit to assess the preparedness of site for the issuance of PCC/CC to the concessionaire; and
  4. PCC/CC can be issued to the concessionaire/contractor once all the items in the checklist and contractual provisions are successfully complied and the tests on completion are successful.

The details mentioned in the checklist format can vary from contract to contract depending on the facts and circumstances.

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