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Para 6.5 - Contract Variations | KartavyaDesk

WORKS_MANUAL

Original Rule Text

6.5.1 Variations/ Extra/ Substituted Items i) Variation means: (a) increase or decrease in the quantity of any work included in the BOQ of the contract; (b) omission of any such work (but not if the omitted work is to be carried out by the procuring entity by another contractor); (c) change in the character or quality or kind of any such work; (d) change in the levels, lines, position and dimensions of any part of the works; (e) additional work of any kind necessary for the completion of the works; and (f) change of the specified sequence or timing of construction of any part of the works. The variation or additional work must be a necessary part within the scope of the original works and should not completely change the scope/ character and purpose of the original contract. The variation may result in additional or reduced payments to the contractor or there may be no price change at all. It is important to have a written procedure as part of the contract, for the issuing of a variation instruction. Once it is decided that a variation is required, the instruction should be issued promptly to minimise any adverse effect on the overall works. Before a variation can be instructed by the Engineer to the contractor, prior approval from the Procuring Entity is needed, except for certain situations as may be specified in SCC. The rate/ price/ valuation do not have to be agreed with the contractor, although this is preferable. Any change in 'approval for construction' drawings should be evaluated properly and their full financial implications worked out at that very stage for submission to the appropriate authority for approval. In case there are changes in ground levels from those shown in the approved drawings, they shall be agreed in writing, jointly by the contractor and engineer and reported to the Procuring Entity for considering whether any action lies against the design consultant for non-conformity of the levels as shown by him in the drawings and those actually obtaining.

What This Means

Para 6.5 of the Works Manual deals with 'Variations,' 'Extra Items,' and 'Substituted Items' in construction contracts. Essentially, it explains how to handle changes to the original plan after a contract has been awarded. These changes can range from increasing or decreasing the quantity of work, omitting certain tasks, altering the quality or type of work, modifying dimensions, adding necessary work for completion, or changing the construction sequence. The key is that these variations must fall within the original scope of the project and not fundamentally alter its purpose. Think of it as tweaking the recipe, not making a completely different dish. This rule affects everyone involved in the project, from the engineer and contractor to the procuring entity (the government department).

This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.

Key Points

  • •Variations include changes in quantity, omission of work, changes in quality, dimensions, additional work, or sequence of construction.
  • •Variations must be within the original scope of the works and not change the overall purpose of the contract.
  • •Prior approval from the Procuring Entity is generally needed before instructing a variation, except in situations specified in the Specific Conditions of Contract (SCC).
  • •Changes in approved drawings must be evaluated for financial implications and submitted for approval.
  • •Any changes in ground levels from approved drawings must be jointly agreed upon by the contractor and engineer and reported to the Procuring Entity.

Practical Example

The Department of Irrigation is constructing a canal under a contract awarded to M/s Waterworks Ltd. During excavation, the engineer, Mr. Sharma, discovers unexpectedly hard rock not indicated in the original soil investigation report. This necessitates using specialized drilling equipment, increasing the cost and time required for excavation. This situation falls under 'additional work' (6.5.1(e)). Mr. Sharma must first obtain approval from the Procuring Entity (the Department of Irrigation) before instructing M/s Waterworks Ltd. to proceed with the drilling. He also needs to document the changed ground levels and report them to the Department, who will then consider if the design consultant should be held accountable for the discrepancy.

This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.

Frequently Asked Questions

What happens if a variation significantly increases the overall project cost?▼
Significant cost increases due to variations require thorough evaluation and approval from the appropriate authority within the Procuring Entity. The justification for the variation and its financial implications must be clearly documented.
Can a contractor refuse to carry out a variation?▼
Generally, the contractor is obligated to carry out variations instructed by the Engineer, provided they fall within the scope of the original contract. However, the contractor can raise concerns regarding the valuation or impact on the project schedule, which should be addressed through the contract's dispute resolution mechanism.
What is the role of the SCC (Specific Conditions of Contract) in relation to variations?▼
The SCC may specify certain situations where the Engineer can instruct variations without prior approval from the Procuring Entity, such as minor changes or emergency situations. It's crucial to refer to the SCC for specific details.
Who is responsible for documenting variations?▼
The Engineer is primarily responsible for documenting variations, including the reasons for the change, the impact on cost and schedule, and the approvals obtained. This documentation is essential for audit purposes and future reference.
What happens if the variation is due to a design error?▼
If the variation arises from a design error, the Procuring Entity should investigate the cause and consider whether to take action against the design consultant. The contractor should not be penalized for errors in the design.

This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.

Test Your Knowledge

Question 1 of 3

According to Para 6.5 of the Works Manual, which of the following scenarios constitutes a 'Variation' in a construction contract?

Related Rules

Para 3.2.4Manual for Procurement of Works, 2022 - Para 3.2.4 - Chapter 3Para 3.5.13Manual for Procurement of Works, 2022 - Para 3.5.13 - Chapter 4Para 3.2.6Manual for Procurement of Works, 2022 - Para 3.2.6 - Chapter 3Para 4.10Manual for Procurement of Works, 2022 - Para 4.10 - Chapter 4Para 4.11Manual for Procurement of Works, 2022 - Para 4.11 - Chapter 4

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