The silver book is used for epc turnkey projects where a majority of risks are allocated to the contractor. Dispute resolution provisions clause 21 all three revised conditions the red book, yellow book and silver book now provide for standing dispute adjudication boards, in place for the duration of the contract under the 1999 editions, only the red book provided for a standing board, with ad hoc boards under the yellow and silver books. These events led to the launch in 1999 of the current editions of the principal fidic. Fidic contractsintroduction to the silver book 1999.
That tension may lead to an employer trying to get the best of both worlds, by shifting silver book principles into what is ostensibly a yellow book contract. Another relevant fidic publication is tendering procedure, which presents a systematic approach to the selection of. These are projects that require the contractor to provide a completed facility to the employer that is ready to be operated at the turn of a key. Fidic contractsintroduction to the fidic silver book. The 1999 edition of the silver book has become a very popular starting point for project financed epc contracts, but has typically needed a number of amendments to certain areas in which the standard conditions do not meet the requirements for a bankable contract, which include by way of illustration. Conditions of contract for epcturnkey projects, second edition 2017 silver book. Then in 1999 fidic released a totally new set of standard forms of contract, including a brand new version of the red book. This contract places significant risks on the contractor. The fidic silver book impact for project financed epc contracts a detailed analysis published. The fidic silver book turnkey is a contract form where the design is carried out by the contractor who shall be paid on a lump sum basis. Understanding fidic conditions of contract and prime.
Under the usual arrangements for this type of contract, the entity carries out all the engineering, procurement and construction. Because once you understand the fidic silver book in detail you can then decide if it is the right contract for you and your project. Risk allocation in the fidic conditions of contract 1999. Fidic contractsintroduction to the silver book 1999 legal. The epc turnkey model background to epc turnkey projects. Old books, used to handle the insurance for works construction all risk.
Silver federation internationale des ingenieurs conseils conditions of contract for epc turnkey projects, which are recommended where one entity takes total responsibility for the design and execution of an engineering project. Overview of fidic and the fidic forms of contracts outline of fidic and the fidic contracts the main current construction forms. These are projects that require the contractor to provide a completed facility to the employer that is ready to. Conditions of contract for epcturnkey projects 2017 edition vs 1999 edition by. Fidic comparison between red book, yellow book, silver book posted on may 8, 2015 may 8, 2015 by legal and business firms it is indicated that one of the areas that participants found difficult in international projects was the use of unfamiliar contract forms. Designed as a companion for both the firsttime and also more experienced user, the book presents an accessible guide to the 21 clauses of the 2017 fidic conditions of contract, using the conditions of contract for epc turnkey projects silver. This second edition of the conditions of contract for epc turnkey projects has been published by the federation internationale des ingenieursconseils fidic as an update of the fidic 1999 conditions of contract for epc turnkey projects silver book, first edition.
This practice note looks at the fidic conditions of contract for epcturnkey projects 1999, commonly known as the silver book 1999. The fidic silver book impact for project financed epc. It also shows any time frames during which the obligations should be completed and the specific consequences of non. Mar 23, 2019 the attached article focuses on the changes made to the silver book only, since that is the contract form in the fidic suite most relevant to limited recourse financing of construction projects, and examines the impact of the changes biok the second edition for those silveer that elect to use the fidic silver book in that context. Under the usual arrangements, the entity carries out all of the engineering. Conditions of contract for epcturnkey projects 1st ed 1999. The silver book the fidic contracts wiley online library. The yellow book, a designbuild contract, may give greater flexibility and a lower tender price. Fidic 1999 yellow, red and silver books are often used in construction projects in kazakhstan and cis.
Conditions of contract for plant and designbuild for electrical and mechanical plant, and for building and engineering works, designed by the contractor yellow book first edition 1999 9. The fidic epc conditions of contract the silver book. The federation internationale des ingenieursconseils fidic published, in 1999, first editions of four new standard forms of contract. Conditions of contract for construction, which are recommended for building or engineering works designed by the employer or by his representative, the engineer. The silver book, an epc or turnkey contract, should provide greater cost certainty and risk transfer. Jun 21, 2018 in 1999, fidic published a range of first edition contracts, including. Understanding clauses in fidic conditions of contract for epc turnkey projects published on june 19, 2016 june 19, 2016 38 likes 1 comments. Page 490 appendix page 491 fidic turnkey contract conditions of contract for epc turnkey projects silver book first edition 1999 17 risk and responsibility 17.
Two training seminar on understanding the fidic epc. Fidic intends to publish a guide to the use of its conditions of contract for construction, for plant and designbuild, and for epc turnkey projects. On 5 december 2017, fidic launched the second editions of the three major forms. Fidic has prepared translations of the 1999 red, yellow and silver books into selected languages, partly. Eic contractors guide to the fidic epc turnkey contract 1999 silver book 2nd ed 2003. Conditions of contract for epc turnkey projects silver book first edition 1999 10. The fidic red, yellow and silver books were published together in september 1999, in what is known as the fidic rainbow suite. The fidic silver book was produced in 1999, in response to a perceived need for a form of contract where certainty of final price, and often of completion date, are of extreme importance. The fidic silver book impact for project financed epc contracts a detailed analysis. Fidic published a new edition of the silver book in december 2017see practice note. Sep 11, 2012 the silver book, an epc or turnkey contract, should provide greater cost certainty and risk transfer.
Fidic conditions of contract for epcturnkey projects, second. Following on from a brief overview of fidic contracts the course looks at the background to epc turnkey projects and their speci. Construction red book and conditions of contract for epc turnkey projects silver book. Fidic now offers the possibility of an additional subclause allowing the employer to. The silver book conditions of contract for epcturnkey projects the epc turnkey contract the silver book is drafted for use on epc engineer, procure, construct projects. The first editions were originally published in 1999. Fidic comparison between red book, yellow book, silver. Eic contractors guide to the fidic epcturnkey contract 1999 silver book 2nd ed 2003 european international contractors eic contractors guide to the fidic conditions of contract for epcturnkey projects the eic silver book guide, 2nd edition, 2003. Fidic silver book recommended where one entity takes total responsibility for the design and execution of an engineering project. The manner in which the silver book approaches these features will be compared.
Epc turnkey projects general conditions of dispute adjudication agreement fidic silver book conditions of contract for epc turnkey projects annex. The new fidic suite of contracts 1st edition 1999 and 2nd edition 2017 are composed by the conditions of contract for construction that replace the former red book 1987, the conditions of contract for plant and designbuild that replace the former yellow, 1992, and orange books 1995, and finally by the silver book epc turnkey. Fidic international training programme fidic epc contract. Adr in fidic contracts and the cyprus perspective fidic. In particular, under the fidic silver book, subject to limited exceptions, the contractor assumes the risk for any deficiencies in the initial design of the employer which the contractor is. Fidicsilver2017 fidic silver book conditions of contract. Fidic comparison between red book, yellow book, silver book. Introduction to the fidic suite of contracts global. Fidic contractsintroduction to the fidic silver book 2017 for guidance on the 2017 edition. Fidic green book short form of contract 1st edition 1999 agreement general conditions rules for adjudication notes for guidance these conditions of contract fidic green book short form of contract are recommended for engineering and building work of relatively small capital value. Second editions of the fidic rainbow suite construction blog. Fidic green book short form of contract fidic silver book epc turnkey contract which are recommended where one entity takes total responsibility for the design and execution of an engineering project. Fidic conditions of contract silver book pdf vlr079m83jlz. Described as a first edition, the subcontract replaced the 1994 subcontract, which.
Mech works by contractor silver book epc turnkey projects green book short form of contract 2017. The books in the new suite are all marked first edition 1999, and the reason is that they can not be regarded as direct updates of fidics very wellknown and widely used red book, yellow book and orange. Fidic silver book epc turnkey contract 1st edition 1999. Fidic silver book epc turnkey contract 1st edition 1999 under the usual arrangements for this type of contract, the entity carries out all the engineering, procurement and construction. A brief introduction to fidic contracts 01 february 2014 by koko udom. Understanding clauses in fidic conditions of contract for epc turnkey projects first edition 1999 clause no. Another relevant fidic publication is tendering procedure, which presents a systematic approach to the selection of tenderers and the obtaining and evaluation of tenders. Probably, the aim of this sub clause is to relieve the employer from any sort of. The conditions of contract comprise the general conditions, which form part of the conditions of contract for epc turnkey projects first edition 1999 published by the federation internationale des ingenieursconseils fidic, and the following particular conditions, which include amendments and additions to such general conditions. The silver book is designed for turnkey infrastructure projects such as power plants, factory and sewage plants. The design is carried out by the contractor and payment is usually on a lump sum basis.
Fidic conditions of contract for epcturnkey projects. Employer in the fidic books have been transferred to the contractor, thus effectively. The contractor is also responsible for the majority of the design. Other contracts in the fidic family include the fidic sub contract, the blue book, which is concerned with dredging and. The top 10 things you need to know about fidic charles russell. Fidic introduced new editions of the red book conditions of contract for construction, yellow book conditions of contract for plant and design build and silver book conditions of contract for epcturnkey projects collectively the revised conditions, as updates to the editions originally published in 1999. The terms of the client consultant model services agreement the white book have been prepared by fidic and are. Following on from a brief overview of fidic contracts the course look at the background to epc t projects and their specific features. Internationale des ingenieursconseils fidic as an update of the fidic 1999 conditions of contract for epcturnkey projects silver book, first edition. Yellow book epc turnkey project silver book design, build, operate project gold book. This chapter lists the obligations of the employer, the contractor and the dispute adjudication board dab under the fidic conditions of contract for epc turnkey projects the silver book, first edition 1999.
The epc turnkey contract the fidic silver book is recommended where one entity takes total responsibility for the design and execution of an engineering project. First published 2005 an amended version was published 2006, with a further edition in june 2010. Fidic silver book conditions of contract for epc turnkey projects subclause 20 claims, dispute and arbitration 20. Note looks at the fidic conditions of contract for epcturnkey projects 1999. Under this arrangement of contract the entity carries out all the engineering, procurement and construction, providing a fullyequipped facility, ready for operation at the turn. The conditions of contract for construction the red book the conditions of contract for plant and designbuild the yellow book. May 08, 2015 fidic comparison between red book, yellow book, silver book posted on may 8, 2015 may 8, 2015 by legal and business firms it is indicated that one of the areas that participants found difficult in international projects was the use of unfamiliar contract forms. The manner in which the silver book approaches these features will be compared to and contrasted with the approach taken by the more traditional fidic contract forms. The attached article focuses on the changes made to the silver book only, since that is the contract form in the fidic suite most relevant to limited recourse financing of construction projects, and examines the impact of the changes in the second edition for those parties that elect to use the fidic silver book in that context. This form for epcturnkey projects is thus intended to be suitable, not only for epc. Conditions of contract for epc turnkey projects, which are recommended where one entity takes total responsibility for the design and execution of an engineering project.
In 1999, fidic published a completely new suite of contracts, the. This second edition of the fidic silver book maintains the principles of risk sharing established in the 1999 edition, while seeking to build on the substantial. An employer may be torn between using the fidic yellow book and fidic silver book. These new forms were first editions and designed to be userfriendly, with a standardised approach and a reduction in the general conditions from over 60 to 20 clauses. Designed as a companion for both the firsttime and also more experienced user the book presents an accessible guide to the 21 clauses of the 2017 fidic conditions of contract, using the conditions of contract for epc turnkey projects silver. When is an epc turnkey type of project delivery used. The course will begin by looking at the background to epc t projects and their specific features. Fidic silver book is a practical guide for anyone involved in preparing, administering, or contributing to the fidic suite of contracts, 2017 edition. That is where this 2day training course comes in as we will explain the new 2017 fidic silver book and will highlight and compare it to the widely used 1999 version. Fidic intends to publish a guide to the use of its conditions of contract for construction, for plant and designbuild, and for epcturnkey projects. The silver book conditions of contract for epc turnkey projects the epc turnkey contract the silver book is drafted for use on epc engineer, procure, construct projects. Aug 30, 2011 fidic silver book epc turnkey contract which may be suitable for the provision on a turnkey basis of a process or power plant or factory or similar facility, or of an infrastructure project or other type of development, fidic silver fidic epc silver book silver book fidic guide fidic subcontract fidic contract management fidic contracts pdf. Fidic conditions of subcontract for plant and designbuild.