The Engineering Procurement And Construction Agreement is a crucial document used for large-scale construction and infrastructure projects in the Philippines where a single contractor takes full responsibility for all engineering, procurement, and construction aspects of the project. This type of agreement is particularly important in the Philippine context due to the country's growing infrastructure needs and increasing foreign investment in construction projects. The document addresses key requirements under Philippine law, including compliance with the Government Procurement Reform Act (for public projects), the National Building Code, and environmental regulations. It provides comprehensive coverage of project execution, from initial design through to commissioning, including detailed provisions for risk allocation, payment mechanisms, performance guarantees, and dispute resolution. The agreement is structured to ensure clarity of obligations while maintaining flexibility to accommodate project-specific requirements within the Philippine regulatory framework.
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1. Parties: Identification of the contracting parties including the Owner/Employer and the EPC Contractor
2. Background: Context of the project and the purpose of the agreement
3. Definitions: Detailed definitions of terms used throughout the agreement
4. Scope of Work: Comprehensive description of engineering, procurement, and construction services to be provided
5. Contract Price and Payment Terms: Details of the contract price, payment schedule, milestones, and payment procedures
6. Project Schedule: Timeline for completion of various phases, including key milestone dates and completion deadlines
7. Contractor's Obligations: Detailed responsibilities of the contractor including design, procurement, construction, testing, and commissioning
8. Owner's Obligations: Responsibilities of the owner including site access, permits, and approvals
9. Quality Assurance and Control: Standards, inspections, and quality control procedures
10. Testing and Commissioning: Requirements and procedures for testing and commissioning of the completed works
11. Warranties and Defects Liability: Warranty terms, defects notification period, and remediation procedures
12. Changes and Variations: Procedures for handling changes to scope, design, or other contract elements
13. Force Majeure: Definition and consequences of force majeure events
14. Suspension and Termination: Rights and procedures for suspension and termination of the contract
15. Liability and Indemnification: Allocation of risks and liabilities between parties
16. Insurance: Required insurance coverage and terms
17. Dispute Resolution: Procedures for resolving disputes including arbitration provisions
18. Governing Law: Specification of Philippine law as governing law and relevant jurisdictional matters
19. Miscellaneous: Standard boilerplate provisions including notices, assignments, and amendments
1. Performance Security: Requirements for performance bonds or other security - include when required by project value or complexity
2. Parent Company Guarantee: Guarantees from contractor's parent company - include when contractor is a subsidiary
3. Environmental Compliance: Specific environmental obligations and compliance requirements - include for projects with significant environmental impact
4. Local Content Requirements: Requirements for local sourcing and employment - include when required by Philippine regulations or project specifications
5. Technology Transfer: Provisions for technology transfer to local entities - include in projects involving significant technological components
6. Step-In Rights: Owner's rights to step in and complete works - include for critical infrastructure projects
7. Interface Management: Management of interfaces with other contractors - include when multiple contractors are involved
8. Advance Payment: Terms for advance payment and associated security - include when advance payments are required
1. Schedule 1 - Scope of Work: Detailed technical specifications and scope description
2. Schedule 2 - Project Schedule: Detailed project timeline with milestones and critical path
3. Schedule 3 - Price Schedule: Detailed breakdown of contract price and payment milestones
4. Schedule 4 - Site Information: Site details, conditions, and access requirements
5. Schedule 5 - Technical Specifications: Detailed technical requirements and standards
6. Schedule 6 - Forms of Certificates: Templates for various certificates including completion certificates
7. Schedule 7 - Key Personnel: List of key personnel and their roles
8. Schedule 8 - Permits and Licenses: List of required permits and responsible parties
9. Schedule 9 - Testing and Commissioning Procedures: Detailed procedures for testing and commissioning
10. Schedule 10 - Form of Performance Security: Template and requirements for performance security
11. Schedule 11 - Quality Assurance Plan: Detailed quality control and assurance procedures
12. Appendix A - Drawing List: List of all relevant drawings and specifications
13. Appendix B - Environmental Management Plan: Environmental requirements and compliance procedures
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