Airports Authority of India

Directorate of Engineering

Works Manual
2017
(Incorporating TI & TC amendments dated 20.03.2020)
 INDEX

SECTION HEADIN Page

G No.
CHAPTER I- GENERAL
Section 1 General Explanations. 1
CHAPTER II- DUTIES AND RESPONSIBILITIES OF 3
ENGINEERING OFFICERS
Section 2 Sr. Assistant (SA) / Sr. Superintendent (SS) / Jr. Executive Engg(Jr. 4
Exe) (Civil/Electrical)
Section 3 Assistant Manager (AM)/Manager(M),Engg.(Civil & Electrical) 6
Section 4 Senior Manager (SM)/(AGM) Engg. (Civil/Elect) 8
Section 5 Dy. General Manager (DGM)/Joint General Manager (Jt.GM), 10
Engg.(Civil & Electrical)
Section 6 General Manager, Engg. (Civil & Electrical) 12
Section 7 Executive Director (Engg.) 13
CHAPTER III- WORKS
Section 8 Classification of Works 14

Section 9 Pre Requisite Stages For Execution Of Works 16

Section 9.1 Fundamental Prerequisites 16
Section 9.2 Exception of works of inescapable urgency: 16
Section 9.3 Administrative Approval and Expenditure Sanction 16
Section 9.4 Power to accord Administrative Approval and Expenditure Sanction 17
Section 9.5 Permissible excess over A/A & E/S 17
Section 9.6 Permissible variations in the amounts of subheads of sanctioned A/A 18
& E/S for multi disciplinary projects only:
Section 9.7 Technical Sanction 19
Section 9.8 Technical Sanction to Components 20
Section 9.9 Permissible excess over Technical Sanction 21
Section 9.10 Revision of Technical Sanction 21
Section 9.11 Approval of Notice Inviting Tender (N.I.T.) 21
Section 9.12 Short listing of contractors for the works pending A/A&E/S and 22
Technical Sanction (T/S)
Section 9.13 Appropriations and Re-appropriations 23
Section 9.14 Power of Appropriation and Re-appropriation 23

Section 10 Preparation Of Estimates 24

Section 10.1 Preliminary Estimate of Building Works 24
Section 10.2 Methodology and steps for preparation of Preliminary Estimate 24
Section 10.3 Rules for working out Plinth Area from Plans 26
Section 10.4 Preliminary Estimate of Pavement Works 28
Section 10.5 Detailed Estimate 29
Section 10.6 Special provisions to be made in estimates 33
Section 10.7 Revised Estimate 35
Section 10.8 Repair Estimate for Works: 35
Section 10.9 Guideline for preparation of maintenance estimate for Horticulture 36
Work

Section 11 Execution of Works 37

Section 11.1 Preliminary 37
Section 11.2 Scope of Sanction. 37
Section 11.3 Inspection of Works. 37
Section 11.4 Completion Certificate. 38
Section 11.5 Authority to record completion certificate 40
Section 11.6 Co-ordination during execution of work. 41
Section 11.7 Foreclosure of contract due to Abandonment or Reduction in Scope of 42
work
Section 11.8 Maintenance Services. 44
Section 11.9 Type of Maintenance 46
Section 11.10 Procedure for allotment of funds and carrying out maintenance works. 48
Section 11.11 Fire Prevention Methods. 50
Section 11.12 M&O of Safety Devices of E&M Equipments and Services at 51
Airports.
Section 11.13 System Design, Maintenance and safety operation for power supply to 52
GLF
& NAV - aid installation
Section 11.14 Procedures to be followed in Enquiry Offices (Service Centre) for 52
maintenance of buildings of AAI.
Section 11.15 Records and Registers. 53
Section 11.16 Responsibility of offices for maintaining proper control over quality of 54
work
Section 11.17 Quality control 55
Section 11.18 Ensuring Labour License before commencement of work 55
Section 11.19 Maintenance of proper records for Works/ Projects Execution 56
Section 11.20 Handing /taking over of charge of SA/SS/Jr. Exe. Engg and AM/ME 56

Section 12 Miscellaneous 58
Section 12.1 Expenditure on Preparatory Works 58
Section 12.2 Expenditure on laying of Foundation Stone and Inauguration 58
Ceremonies
Section 12.3 Register of Building 58
Section 12.4 Safety of Structures / E&M equipment 58
Section 12.5 Disposal of Structures/Plants/Equipment 59
Section 12.6 Powers for Acceptance of Tender for Disposal of Buildings 59

Section 13 Deposit Work 60

Section 13.1 Definition of Deposit Work 60
Section 13.2 Preliminary Estimate 60
Section 13.3 Administrative Approval 60
Section 13.4 Expenditure Sanction 60
Section 13.5 Deposit of Funds 60
Section 13.6 Technical Sanction 61
Section 13.7 Accounting Arrangements 61
CHAPTER IV- MEASUREMENT AND WORKS ACCOUNT
Section 14 Measurement Book 62
Section 14.1 General 62
Section 14.2 Recording of Measurements in MB’s 62
Section 14.3 Movement of Measurement Book 65

Section 15 Computerized Measurement Books 66

Section 16 Important Items of Measurements 68

Section 16.1 General Instructions 68
Section 16.2 Record of Measurement for steel 69

Section 17 Test Checking of Measurements 70

Section 17.1 General 70
Section 17.2 Responsibility of officers recording and test check of measurement 71

Section 18 Recording Measurement for Earth Work ( Levelling) 73

Section 19 Review of Measurement Book 75
Section 19.1 General 75
Section 19.2 Loss of Measurements Books 75

Section 20 Standard Measurement Book 76

Section 20.1 General 76
Section 20.2 Writing of Standard Measurement Books 76
Section 20.3 Submission of Certificates. 77

Section 21 Bill for Payment 78

Section 21.1 Preparation of Bills 78
Section 21.2 Testing of Material 79
Section 21.3 Forms of Bills 79
Section 21.4 Authorities to pass the Bill 80

Section 22 Payment to Contractor 81

Section 22.1 General 81
Section 22.2 Final Payments 81
Section 22.3 Time Schedule for Payment of Bills 82
Section 22.4 Inspection of Works by DGM/JGM/GM 82
Section 22.5 Deduction of Income-Tax & GST 84

Section 23 Advanced Payment 85

Section 23.1 Lump Sum Advance (Mobilisation Advance) 85
Section 23.2 Secured Advance 86
Section 23.3 Advance Payment for the work done but not measured 87

Section 24 Payment for Sub-Standard Work 88

Section 24.1 Acceptance of Sub-Standard Work 88
Section 24.2 Sanction of Rates for Sub-Standard Work 88
Section 24.3 Removal of Rejected/Sub-standard Material from the Site of Works 89
Section 24.4 Substituting the name of manufacturer of the items as specified in 90
contract
agreement

Section 25 Documentation of Accounts 91

Section 25.1 Bill Register 91
Section 25.2 Material Accounts 91
Section 25.3 Cement Register 91
Section 25.4 Dismantled Materials Accounts 92
Section 25.5 Accounting of dismantled materials through contract 92
Section 25.6 Dismantled material arising out of maintenance works 92
Section 25.7 Imprest Cash Amount 93

Section 26 Escrow Account 94

Section 26.1 Introduction 94
Section 26.2 Need of Escrow Account 94
Section 26.3 Opening of Escrow Account 94
Section 26.4 Conditions to be incorporated in the NIT 95
Section 26.5 Foreclosure of Work 96

Section 27 Business (Bills/Payment) Payments through SAP 97

Section 27.1 General 97
Section 27.2 Linking of Project with Finance wing for further payments 98
Section 27.3 Other Guidance 99
 CHAPTER V- CONTRACTS
Section 28 Contracts and Forms of Contract 100
Section 28.1 What is a Contract 100
Section 28.2 Form to be used for Contracts 101

Section 29 Work Order 104

Section 29.1 Procedure 104
Section 29.2 Powers 105

Section 30 Composite Contract 106

Section 30.1 Introduction 107
Section 30.2 Pre-Qualification Criteria 107
Section 30.3 Execution of work 109
Section 30.4 Tripartite agreement 109
Section 30.5 Condition of composite contract 110
Section 30.6 Payment condition 110
Section 30.7 Quality Assurance 111
Section 30.8 Completion Certificate 111

Section 31 Global Tenders 112

Section 31.1 Introduction 112
Section 31.2 Scope of Global Tender 113
Section 31.3 Publicity for call of Tenders 113
Section 31.4 Call of Tenders 113
Section 31.5 Instructions to Bidders 115
Section 31.6 Scrutiny of technical bid 116
Section 31.7 Earnest Money Deposit 116
Section 31.8 Security Deposit for period of All Inclusive Comprehensive Annual 116
Maintenance Contracts
Section 31.9 Performance Guarantee 118
Section 31.10 Release of Bank Guarantee submitted towards Security Deposit 118
Section 31.11 Dispatch Instruction 118
Section 31.12 Taxes & Duties on import of material 119
Section 31.13 Customs Duty 119
Section 31.14 Evaluation Criteria 119
Section 31.15 Opening of LC 120
Section 31.16 Release of LC payment 121
Section 31.17 Execution of work covered under SOQ-5 121
Section 31.18 Payments 121
Section 31.19 Compensation for delay 121
Section 31.20 Extension of time 122
Section 31.21 Determination of Contract 122
Section 31.22 Completion Certificate 122
Section 31.23 Works to be executed in accordance with specification drawing, 122
orders, etc.
Section 31.24 Testing and inspection of equipment/ components 122
Section 31.25 Inspecting Authority To Certify Performance 123
Section 31.26 Rectification of defect at risk and cost 123
Section 31.27 Authority for rejection 124
Section 31.28 Removal of Rejected Material/Equipment 124
Section 31.29 Pre delivery inspection at works 124
Section 31.30 Appeal against rejection 125
Section 31.31 Dispute Resolution Mechanism & Arbitration 125

Section 32 Award of Work on the basis of Build own and Operate basis 126
Section 32.1 Introduction 126
Section 32.2 Safety Regulations 126
Section 32.3 Preparation of NIT and execution of work 127

CHAPTER VI-AWARD OF WORK AND EXECUTION

Section 33 Preparation of Tender Documents 128
Section 33.1 General 128
Section 33.2 Invitation of Tenders for electrical works 131
Section 33.3 Invitation of Tenders for Component Parts 131
Section 33.4 Composite Tenders 131
Section 33.5 Prequalification criteria 131
Section 33.6 Bidding Capacity of Tenderer 134
Section 33.7 Issue of tender to Joint Venture Company/Consortium/Firm 135
Section 33.8 Other requirement for eligibility 136
Section 33.9 Evaluation criteria for arriving at lowest agency 136
Section 33.10 Duties and Taxes 136
Section 33.11 To claim Input Tax Credit 136
Section 33.12 Global tender 137

Section 34 Publicity of Tender 138

Section 34.1 General 138
Section 34.2 Pre Bid Conferences 140
Section 34.3 Limited Tenders 140
Section 34.4 Time Limit for Publicity of Tenders 140
Section 34.5 Formalities for Re-Invitation of Tenders 142
Section 34.6 Purchase Preference 142

Section 35 Sale of Tender Documents 143

Section 35.1 General 143
Section 35.2 Issue of Tender Documents for Specialized Jobs 143
Section 35.3 List of specialized Items/Jobs/Works 143
Section 35.4 Procedural Requirement 145
Section 35.5 Enlistment of contractors for works costing up to Rs.20 Lac 148
Section 35.6 Sale of Tender Documents to Registered Contractor 148
Section 35.7 Supply of Duplicate Set of Tender Documents 148
Section 35.8 Issue of Tenders for Sewerage and Water Supply to B&R Contractors 149
Section 35.9 Procedure for issuing Tender Documents for Non-Registered 149
Contractors
Section 35.10 Sale of Tender Documents for Residual Works 149
Section 35.11 Sale of Tender Documents to Weeded out Contractors in Govt. or any 149
PSU’s
Section 35.12 Action against contractor for unsatisfactory performance 150
Section 35.13 Short Listing of firms 150
Section 35.14 Time Interval between Sale of Tender Documents and Opening of 150
Tenders
Section 35.15 Scale of Charges for Tender Documents 151
Section 35.16 Accounting of Tender Forms (For physical Tender) 152
Section 35.17 Prequalification Applications (For Physical Tender) 152
Section 35.18 Amendments / Addendums after sale of tender ( For Physical Tender ) 152

Section 36 Call of tenders through e-Tendering 153

Section 36.1 Introduction of e-Tendering in AAI 153
Section 36.2 Digital Signatures 155
Section 36.3 Preparation of Bid document 155
Section 36.4 Publicity 156
Section 36.5 Bidding Process in NIC CPP portal 156
Section 36.6 Details when tender is invited in 3-BOT 156
Section 36.7 Uploading of Bid Documents by AAI 158
Section 36.8 Uploading of tenders by bidder 158
Section 36.9 Bids for Specialized Works and Purchase of Materials 159
Section 36.10 Opening of Bids 159
Section 36.11 Preparation/ checking of Comparative Statement 160
Section 36.12 Processing of Bids 161
Section 36.13 Information and instructions for contractors to be posted on website 161
for e-tendering Forming part of NIIT.
Section 36.14 Other instructions 164
Section 36.15 Composite Contracts 164
Section 36.16 Award of work 164
Section 36.17 Refund of Earnest Money 165
Section 36.18 Compliance Report for call of tenders 165

Section 37 Receipt of Tenders and Acceptance 166

Section 37.1 General 166
Section 37.2 Call of tenders 166
Section 37.3 Receipt of Tenders 166
Section 37.4 Justification Statement 167
Section 37.5 Opening of Tenders 170
Section 37.6 Security of Tenders 173
Section 37.7 Verification of Credentials and experience of L-1 agency 176
Section 37.8 Acceptance of Tenders: 177
Section 37.9 Award of Work only for areas where Project Site/ Land is available to 178
AAI without Encumbrances/ Encroachment
Section 37.10 Commissioning of project/works 179

Section 38 Earnest Money 181

Section 38.1 Necessity for Earnest Money 181
Section 38.2 Rates of Earnest Money 181
Section 38.3 Mode of depositing Earnest Money 182
Section 38.4 Exemption of Earnest Money: 182
Section 38.5 Refund of Earnest Money 182
Section 38.6 Forfeiture of Earnest money 183

Section 39 Security Deposit and Performance Guarantee 184

Section 39.1 Rate of Security Deposit 184
Section 39.2 Bank Guarantee as Security Deposit. 184
Section 39.3 FDRs as Security Deposit 186
Section 39.4 Performance Guarantee 186

Section 40 Insurance 188

Section 40.1 Transit insurance 188
Section 40.2 Insurance of Imported Stores in Transit 188
Section 40.3 Insurance during Execution of work 188
Section 40.4 Other Conditions of Insurance 190
Section 40.5 Third Party Insurance 191

Section 41 Refund of Security Deposit and Performance Guarantee 192

Section 41.1 Conditions for Refund of Security Deposits 192
Section 41.2 The limit of claims for Refund of Security Deposit 194
Section 41.3 Refund of security deposit, regarding specialized items of work 194
Section 41.4 Finance Officer’s responsibility for prompt refund of security deposit 194
Section 41.5 Refund of Performance Guarantee 195

Section 42 Essential Features Agreements / Contracts 196

Section 42.1 General 196
Section 42.2 Power to sign agreements 197
Section 42.3 Recording of date of acceptance of tender in the agreement 197
Section 42.4 Supply of copies of Contracts to contractors 198
Section 42.5 Certification and safe custody of agreements 198
Section 42.6 Weeding out of old agreement 199
Section 42.7 Supplementary Agreements 200
Section 42.8 Percentage above/below under clause 200
Section 42.9 Completion of agreements 200
Section 42.10 Escalation 201
Annexure I 202
Section 43 Site Order Book 203
Section 43.1 Maintenance of Site Order Books 203

Section 44 Extra Substituted & Deviated Items of Work 205

Section 44.1 Definition 205
Section 44.2 Deviation to be avoided 205
Section 44.3 Prior sanction of competent authority 206
Section 44.4 Powers to sanction rates for extra/substituted items etc. 206
Section 44.5 Instructions for avoiding delays in sanctioning rates for 206
Additional/Substituted items
Section 44.6 Fixation of rates for extra/substituted items 209
Section 44.7 Measurements for inadmissible items 210
Section 44.8 Rates for extra items allowing profits & overheads on stipulated 210
materials supplied to contractors

Section 45 Determination of Contract 213

Section 45.1 Action to be taken under Clause 3 of GCC 213
Section 45.2 Others reasons for Determination of Contract 213
Section 45.3 Powers of Engineer-in-Charge 214
Section 45.4 Power to take possession of / removal of / sell contractor’s tools & 214
plants
Section 45.5 Issue of Show Cause Notice 215

Section 46 Extension of Time & Compensation For Delay 216

Section 46.1 General 216
Section 46.2 Submission of Progress chart as per milestones 216
Section 46.3 Review of Progress of work 217
Section 46.4 Re-scheduling of milestones 217
Section 46.5 Requirement of Clause 5 w.r.t Extension of Time 217
Section 46.6 Grant of Extension of Time without Application 218
Section 46.7 Power to grand EOT as per DOP 218
Section 46.8 Form of Application for Extension of Time 219
Section 46.9 Guideline for processing Extension of time and final bill in respect of 219
contract
Section 46.10 Extension of time due to variations in items executed 220
Section 46.11 Recording of hindrance during execution of work 220
Section 46.12 Application for Extension of Time 220
Section 46.13 Extension of Time without levy of compensation 222
Section 46.14 Compensation under Agreement 222
Section 46.15 Levy of Compensation 223
Section 46.16 Provision under Section 74 of the Indian Contract Act 224
Section 46.17 Bonus / Incentive 224

Section 47 Dispute Resolution Mechanism , Arbitration And Litigation Cases 225

Section 47.1 Dispute Resolution Mechanism 225
Section 47.2 Arbitration 226
Section 47.3 Invocation of Arbitration Clause 228
Section 47.4 Application for appointment of Arbitrator 228
Section 47.5 Preparation of Arbitration Cases 228
Section 47.6 Processing of Contractors Applications 239
Section 47.7 Appointment of Arbitrator 230
Section 47.8 Appointment of Arbitrator without Agreement 230
Section 47.9 Action Subsequent to Appointment of Arbitrator 231
Section 47.10 Engagement of Legal Council 231
Section 47.11 Processing of Award 232
Section 47.12 Payment of Award Money 233
Section 47.13 Challenging Arbitration Award 233
Section 47.14 Issue of Limitation 234
Section 47.15 Court Cases 235
Section 47.16 Judgement in Court Cases 236
Section 47.17 Legal issues on Civil Suits - General 237
Section 47.18 Jurisdiction of Courts 238
Annexure 2 239
Annexure 3 240
Annexure 4 241

Section 48 Evaluation Of Performance of Contractor/Firms 242

Section 48.1 Writing Annual Performance report for the contractor 242
Section 48.2 Evaluation of performance of contractor during currency of contract 242
and on completion of work
Section 48.3 Action to be taken against contractor for works where tender has been 242
accepted by ED and office senior to him
Section 48.4 Debarment of contractor at Regional level 243

CHAPTER VII- PROCUREMENT OF STORES AND ITS

ACCOUNTING
Section 49 Acquisition of Stores 245
Section 49.1 Classification of Stores 245
Section 49.2 Reserved Stock/Stores 245
Section 49.3 Tools and Plant 246
Section 49.4 Special Tools and Plants 247
Section 49.5 Purchase of Diesel & Petrol 247
Section 49.6 Maintenance of Store 247

Section 50 Safe Custody of Stores 248

Section 51 Accounting and Issue of Materials to Contractors/Others 249

Section 51.1 Issue of Material to Contractor 249
Section 51.2 Inter department issue of material 250
Section 51.3 Register of materials at site accounts (MAS Account) 250
Section 51.4 T&P Register 251
Section 51.5 Instruction regarding storage of cement in Stores 251
Section 51.6 Issue of next half day’s cement requirements 251

Section 52 Losses on Stores and their Write Off 252

Section 53 Procurement of Material Through Micro and Small Enterprises 253

Section 53.1 Introduction 253
Section 53.2 Items to be procured from Micro and Small Enterprises 253
Section 53.3 Implementation of Policy of Procurement through MSE 254
Section 53.4 Purchase Preference to MSEs and ‘MSEs Owned by SC/ST Owners’ 254
Section 53.5 Reflecting achievement in Annual Report 255
Section 53.6 Development of MSEs 255

Section 54 Purchase Preferences 256

CHAPTER VIII- TRANSPARENCY AND QUALITY IN 257
EXECUTION OF CONTRACTS
Section 55 Integrity Pact and Independent External Monitor 257
Section 55.1 Introduction 257
Section 55.2 Threshold value for adopting Integrity Pact 257
Section 55.3 The format of revised Integrity Pact 257
Section 55.4 Commitment and Obligations of AAI 258
Section 55.5 Commitments and obligations of the Counter Parties 258
Section 55.6 Violations and Consequences 259
Section 55.7 Independent External Monitor 259
Section 55.8 Implementation Guidelines 260
Section 55.9 Periodic Review & Evaluation 261
Annexure 5 262

Section 56 Chief Technical Examiner’s Organization 271

Section 56.1 Functions 271
Section 56.2 Quarterly Returns 271
Section 56.3 Inspection by CTE 272
Section 56.4 Recoveries of Overpayments Pointed out by the CTE 273
Annexure 6 274
Annexure 7 275

CHAPTER IX- Establishment 277

Section 57 Engineering Establishment 277
Section 57.1 General 277
Section 57.2 Yardstick of posting Project-in-charge will be as under 277
Section 57.3 Yardsticks for determination of Engineering Establishment 279
Section 57.4 Maintenance units of Engg. Department 280

CHAPTER X- APPOINTMENT OF CONSULTANTS 281

Section 58 Consultancy for Architectural , Building Services 281
Section 58.1 General 281
Section 58.2 Methodology for Architectural Consultancy work 281
Section 58.3 EVALUATION CRITERIA FOR ARCHITECTURAL 282
CONSULTANT
Section 58.4 Scope of Work for Architectural consultancy 282
Section 58.5 LIMIT OF CONSULTANCY FEE PAYABLE 286
Section 58.6 PROFESSIONAL LIABILITY INSURANCE 287
Section 58.7 COMPENSATION FOR DELAY 287
Section 58.8 The selection process 287
Section 58.9 Some other important points 291

Section 59 Appointment of Project Management Consultant 293

Section 59.1 General 293
Section 59.2 METHODOLOGY 293
Section 59.3 SCOPE OF WORK OF PMC 295
Section 59.4 ROLE OF AAI 305
Section 59.5 LIMIT OF CONSULTANCY FEE PAYABLE 307
Section 59.6 PROFESSIONAL LIABILITY INSURANCE 307
Section 59.7 COMPENSATION FOR DELAY 307
Section 59.8 SELECTION CRITERION AND PROCESS FOR PMC WORK 308
Section 59.9 Reimbursement of Payment During Extended Period 311
Section 59.10 Recovery due to non-deployment of professionals 312
Section 59.11 Some other important points 312
 CHAPTER XI- ENERGY EFFICIENCY IN 315
BUILDING CONSTRUCTION
Section 60 Green Building Norms 315
Section 60.1 Policy of AAI 315
Section 60.2 GRIHA Rating System 315
Section 60.3 Responsibility of AAI officers 316
Section 60.4 Preparation of Tender specifications 317
Annexure 8 318
Section 61 Reverse Auction 319
Section 61.1 Training for Reverse Auction 319
Section 61.2 Procedure for Reverse Auction 319

Section 62 Engineering Procurement Construction (EPC) 321

Section 62.1 Introduction 321
Section 62.2 Key clauses 321
Section 62.3 Basic Features of EPC Contract 322
Section 62.4 Responsibility of AAI 326
Section 62.5 Appointment of consultant for preparation of DPR 326
Section 62.6 Monitoring and supervision 326
Section 62.7 Variation/Change of Scope 327
Section 62.8 Works Manual Provisions for EPC Contract 328
Section 62.9 Conclusion 329

Section 63 Acceptance of abnormally low quoted bid (Capital & Revenue u 330
Expenditure Contract)

Abbreviations 332,333,
334

INDEX FOR APPENDIX xi

118 APPENDICES A-1 -A-262
INDEX FOR ANNEXURE xvi

Amendment TI -37 para 4 dated 26.02.2020

The Provisions of Procurement Manual shall not be applicable for Engineering Procurements /
works / services. The Engineering Works shall be governed by Engineering Works Manual only.

CPWD Manual and Hand Books (Amended as per TC No. 05/2019 dtd. 21.10.2019)

Central Public Works Department, Govt. of India has published following Manual and Hand
Books:
i. Rain Water harvesting & Conservation Manual – 2019
ii. Safety Health and Environment Hand Book – 2019
iii. Total Quality Management Hand Book – 2019
These Handbooks and Manual are useful for Planning / Site Engineers for day to day works.
Accordingly, these Hand Books and Manual may be referred by the concerned officers.
 Index for Appendices
Appendix Heading Refer Section Pages
No
1 A/A & E/S Sanction Memo Section 9.3.3 A-1
2 Technical Sanction Memo No. Section 9.7.3 A-3
3A Tender Notice for Classified Column of Section 9.11.2 (a) & A-5
Newspaper for Works Costing up to Rs. Section 34.1.4
5.00
Short Tender Notice for Works Costing Rs Section 9.11.2 (a) & A-6
3B 5.00 Cr. to Rs 50.00 Cr. Section 34.1.4
Tender Notice for Works costing more than Section 9.11.2 (a) & A-7
3C Rs 50.00 Cr Section 34.1.4
Standard Format of Tender Notice to be Section 9.11.2 (a) & A-8
4A displayed on AAI website for Works Section 34.1.4
Estimated Cost up to Rs. 5 crore
Standard format of Tender Notice to be Section 9.11.2 (a) & A-14
4B display on AAI website for Works Section 34.1.4
Estimated Cost above Rs. 05 crore. and up
to Rs. 50 Cr.
Standard format of Tender Notice to be Section 9.11.2 (a) & A-20
4C display on AAI website for Works Section 34.1.4
Estimated Cost Above Rs. 50 crore
5 Global Pre-Qualification Tender Notice Section 9.11.2.(c) A-26
with Annexure-A
6 Proforma for Calculation of Cost Index Section10.2.1.(j) A-31
7 Formats for submitting Site and Soil Section 10.4.8 A-32
Particulars for pavement works
8 Check List for Pavement Estimates Section 10.4.8 A-37
9 Check List for L-Section of Runway Works Section 10.4.8 A-40
10 Check List for Preparation of Preliminary Section 10.4.8 A-41
Estimate for Buildings works
11 A Specifications for Carrying out Soil Section 10.5.14 A-43
Investigation for Building Works
11 B Format for Submission of Soil Investigation Section 10.5.14 A-48
Report for Building Works
12 A Specifications for Carrying out Soil Section 10.5.15 A-55
Investigation for Airfield Pavement Work
12 B Proforma for Submission of Soil Section 10.5.15 A-59
Investigation Report for Airfield Pavement
works
13 List of Remote and disturbed Areas Section 10.6.1(iii) A-67
14 Abstract of cost of Original and Revised Section 10.7 A-68
Estimate
15 Maintenance of Work Diary Section 11.3.3 A-69
16 Completion Certificate Section11.4.3 & A-73
11.4.8
17 Format for submission of Survey Report of Section 12.5.1 A-74
Buildings/Plants/Equipments
18 Breakup of Departmental Charges Section 13.2 A-75
19 Register of Measurement Books Section 14.1.3 A-76
20 Format for Computerized Measurements-for Section 15.1 A-77
Reinforcement Work
21 Format for Computerized Measurement Section 15.1 A-78
sheet entry
22 Format for Abstract of cost-MB Section 15.3 A-79
23 Abstract of cost- Bill Form-I Section 15.5 A-80
24 Abstract of cost- Bill Form-II Section 15.5 A-81
25 Proforma for Reporting loss or damage of Section 19.2 A-82
M.B. for Write Off
26 Register of Standard Measurement Books Section 20.1.5 A-84
27 Statement of Test Check of measurement Section21.1.11.(a) A-85
28 Part Rate Statement Section21.1.11.(b) A-86
29 Recovery Statement on account of Materials Section21.1.11.(c) A-87
issued by Department
30 Statement for Theoretical Consumption of Section21.1.11.(d) A-88
Cement/Bitumen
31 First and Final Bill Section21.1.11.(e) A-89
32 Running Account Bill (lump-sum contract) Section 21.3.2 A-90
33 Final Bill (lump-sum contract) Section 21.3.2 A-94
34 Running Account Bill Section 21.3.2 A-99
35 Account of Secured Advance Section 21.3.2 A-104
36 Indenture for Secured Advances Section 21.3.2 A-106
37 Hand Receipt Section 21.3.3 A-109
38 Format of Bank Guarantee to be submitted Section 23.1.4 A-111
for Securing A Lump-Sum Advance
39 Categorization of Material for Payment of Section 23.2.1 A-114
Secured Advance
40 Procedure of Maintaining Bank Guarantees Section 23.2.7 A-116
41 Format of letter to be issued to Contractor Section 24.1.1 A-118
for rectification of Defective Work and
removal of rejected material from the site
Letter to be written by Senior Manager A-119
42 (Engg.) / Assistant GM to Contractor for Section 24.2.1
Provisional Reduction in Rate for Sub-
Standard Work
Format of letter to be written by Contractors Section 24.2.1 A-120
43 for acceptance of Provisional Reduction of
rate for Sub-Standard Work.
44 Bill Register Section 25.1 A-121
45 Register of Material at Site Accounts Section 25.2.3 A-122
(MAS)
46 Cement Register Section 25.3 A-123
47 Register of Dismantled Materials Section 25.4.1 A-124
48 Cash Book Section 25.7.1 A-125
49 Template for Linking of Fund Centre and Section 27.2.1(c) & A-126
Creation of New Fund Centre 27.3.1
50 Template for Re-appropriation of funds Section 27.3.2 A-127
51 Methodology for creation of new fund Section 27.3.3 A-128
center
52 Format of Notice Inviting Quotation (NIQ) Section 28.2.5 & A-130
29.1.3
53 Format for award of work on Work Order Section 28.2.5 & A-131
Basis 29.1.8
54 Term and Conditions of Work Order Section 28.2.5 & A-132
29.1.8
55 Suggestive packages for call of composite Section 30.1.1 A-135
tenders
56 Format for Tripartite Agreement in Case of Section 30.7.4 A-136
Composite Contracts
57 Bank Guarantee towards Bid Bond Section 31.4.6 & A-138
Section 38.3.3
58 Bid Bond (Global Tender) Section 31.4.6 A-142
59 Format for Issue of Award/Acceptance Section 31.5.3 A-144
letter (Global Tender)
59A Standard format for issue of award Letter Section 30.2.5/31.5.3 A-146
60 Performa of BG for EMD (Global Tender) Section 31.7, 38.3.3 A-148
& 38.3.2 (e)
61 FORM. “C” Format for BG towards SD Section 31.8.2.1 A-150
(Global Tender)
62 FORM. “C 1” Letter of undertaking from Section 31.8.2.1 A-153
depositor to Bank towards SD
63 FORM. “D” Performance BG Section 31.9.1 A-154
64 FORM. “D 1” Letter of undertaking from Section 31.9.1 A-157
deposit to Bank regarding PG
65 List of documents must be submitted for A-158
release of 70% of FOB cost against Section 31.16.1(b)
imported equipments covered under SOQ-1.
66 List of documents required for release of Section 31.16.1(c) A-159
10% payment
67 List of documents required for release for Section 31.16.1(d) A-160
20% payment
68 List of works for execution of which A-161
Contractor must possess electrical license Section 33.2.1
69 Format for Comparison of Tenders on Recall Section 34.5.3 A-163
70 Guarantee Bond for Water Proofing and Section 34.4.3 A-164
Anti-Termite Treatment
71 Proforma of Tender Opening Register Section 37.3.5 & A-166
Section 37.5.2
72 Time Schedule For Scrutiny of Tenders Section 32.12.2 & A-167
Section 37.6.9
73 Memo Forwarding Tenders to higher Section 37.6.12 A-168
Authorities
74 Standard Format for Issue of Award Letter Section 30.2.5 A-172
75 Form of Bank Guarantee against Earnest Section 38.3.2(d) A-174
Money Deposit (Indian Bidder)
76 Form Of Bank Guarantee In Lieu Of Section 39.2.1 A-176
Security Deposit In Individual Contract
77 Format for Performance Guarantee Section 39.4.2 A-179
78 Guarantee for Removal of Defects Section 41.3.1 A-181
79 Form of Supplementary Agreement Section 42.7.1 A-183
80 Performa for site order book Section 43.1 A-185
81 Format for issue of Inspection report for Section 43.1.3 A-186
works
82 Show cause Notice Under Clause 3 Of Section 45.5 A-187
Agreement
83 Notice of Final Action Under Clause 3 Of Section 45.5 A-188
The Agreement
84 Stipulation of time of completion for work Section 46.1.1 A-189
85 Form of Application to be submitted by Section 46.5.1(a) A-191
Contractors for Seeking Extension of Time
86 Format of letter to be written to the Contract Section 46.9.1 A-194
for Submission of application for Extension
of Time
87 Hindrance Register Section 46.11.1 A-195
88 Weather Report Section 46.11.2(b) A-196
89 Format for conveying Provisional Extension Section 46.12.1 A-198
of Time
90 Calculation of cost of supervision charges of Section 46.12.4(a) A-200
AAI for the period of delay
91 Format for granting extension of time Section 46.13 A-203
92 Draft show cause notice under Clause 2 Section 46.14.2(a) A-204
93 Proforma for intimating the Contractor for Section 46.14.2(b) A-205
Levy of Compensation--Under Clause 2
94 Format of letter for appointment of Section 47.7.3 A-206
Arbitrator
95 Format for Evaluation of Performance of Section 48.1 & A-207
Contractors/Firms Section 48.2
96 List of Civil Items to be procured through Section 53.2.1 A-213
MSE
97 List of Stationary Items to be procured Section 53.2.2 A-215
through MSE
98 List of Vehicle/ Machinery items to be Section 53.2.3 A-216
procured through MSE
99 List of Items required for Management / Section 53.2.4 A-217
Admin Section to be procured through MSE
100 List of Electricals Items to be procured Section 53.2.5 A-219
through MSE
101 List of Miscellaneous Items (Common to all Section 53.2.6 A-220
Directorates) to be procured through MSE
102 Register of observation Memos Received Section 56.3.4 A-226
From The Chief Technical Examiner
103 Empanelment/Selection of Architectural Section 58.6(a) A-227
Consultant: PQ
104 Empanelment/selection of Project Section 59.8(a)-II A-229
Monitoring Consultant: PQ
105 Empanelment/selection of Project Section 59.6(c) A-231
Monitoring Consultant: Engagement of
“Outside India” Consultants
106 Empanelment/selection of Project Section 59.3.6(c) A-233
Monitoring Consultant: Technical
Evaluation: Global Presence
107 Empanelment/selection of Architectural/ Section 58.6(c) & A-234
Project Monitoring Consultant: Technical 59.6(c)
Evaluation: Architectural Consultancy
Empanelment/selection of Architectural/ Section 58.6(c) & A-237
108 Project Monitoring Consultant: Technical 59.6(c)
Evaluation: Architectural Planning
109 Empanelment/selection of Architectural/ Section 58.6(c) & A-241
Project Monitoring Consultant: Technical 59.6(c)
Evaluation: Cost Consultant
110 Empanelment/selection of Architectural/ Section 58.6(c) & A-243
Project Monitoring Consultant: Technical 59.6(c)
Evaluation: Structural Design Consultancy
111 Empanelment/selection of Section 58.6(c) & A-245
Architectural/ Project Monitoring 59.6(c)
Consultant: Technical Evaluation:
Façade consultancy.
112 Empanelment/selection of Architectural/ Section 58.6(c) & A-248
Project Monitoring Consultant: Technical 59.6(c)
Evaluation: MEP consultancy
113 Empanelment/selection of Section 58.6(c) & A-251
Architectural/ Project Monitoring 59.6(c)
Consultant: Technical Evaluation:
Airport System / Services Consultancy
114 Empanelment/selection of Architectural/ Section 58.6(c) & A-254
Project Monitoring Consultant: Technical 59.6(c)
Evaluation: Interior Design work
115 Empanelment/selection of Section 58.6(c) & A-257
Architectural/ Project Monitoring 59.6(c)
Consultant: Technical Evaluation: Real
Estate Consultancy firm
116 Empanelment/selection of Architectural/ Section 58.6(c) & A-259
Project Monitoring Consultant: Technical 59.6(c)
Evaluation: Landscape / Horticulture
Design
117 Empanelment/selection of Architectural/ Section 58.6(c) & A-261
Project Monitoring Consultant: Technical 59.6(c)
Evaluation: Approach & Methodology
118 Empanelment/selection of Architectural/ Section 58.6(c) & A-262
Project Monitoring Consultant: Technical 59.6(c)
Evaluation: Project Supervision and
Contract Management team
119 Make in India Policy, Appendix-A A-267
(BOQ Template),
Annexure-A and
Forms –I,II,III & IV
120 Performa-I - Certificate of Net Worth from Section 30.2.1(g) A-282
Chartered Accountant
121 Performa –II – Financial Data Section 26.4.4 A-283
122 Performa – III – Works in Hand Section 26.4.4 A-284
 Index for Annexure

Annexure Heading Section Pages

No.
1 Proforma for weeding out old agreements 42.6.1(iii) 202
2 Application for appointment of arbitrator 47.3 239
3 Acceptance for arbitration award 47.12.1 240
4 Quarterly statement of pending arbitration cases 47.17.9 241
5 Format for Integrity Pact 55.3 & 55.9.6 262
6 CTE’s Quarterly Return Proforma 56.2.1 274
7 List of essential documents for inspection by 56.3.1 275
CTE
8 Format for Green Rating Certificate to be issued 60.6 318
by ED Engg
 AAI Works Manual

CHAPTER-I

GENERAL

SECTION 1: General Explanations

1.1 This Works Manual for Engineering Directorate shall come into force in Airports
Authority of India from the date it is approved by the Authority.

1.2 All the rules, regulations, instructions and procedures specified in this Manual are
subject to subsequent orders and instructions issued by Airports Authority of
India and should be exercised by the officers within the financial powers
delegated from time to time through the instrument of Delegation of Financial
Powers. In the absence of any guidelines or procedures in this Manual on any
subject, the directions/technical instructions& Technical circulars issued by the
E.D.(Engg.)/Member (Planning) shall be followed.

1.3 This Works Manual covers all relevant technical instructions issued from
Directorate of Engineering up to Technical Instruction Nos. 122 dated 21.09.2017
and all relevant technical circulars issued from Department of Engineering up to
Technical Circular no. AAI/Member (Plg.)/Tech-Circular/2017 dated 11.08.2017.

1.4 In case of difference between Delegation of Powers and this Manual, the
Delegation of Powers shall prevail over the provision of this Manual.
Amended on dt. 26.03.18
In case of difference between Delegations of Powers & Manuals, the provisions
contained in the Delegation of Powers will prevail. However after introduction of
Manual in respective directorate, Manual shall prevail.

1.5 Central Vigilance Commission’s guidelines issued from time to time will come
into effect after the instructions are issued by AAI Corporate Headquarter in this
regard.

1.6 In case any modifications/ alterations or withdrawal of any rules are necessitated
in future, such powers are vested with Chairman, AAI.

1.7 The Project In-charge may exercise any or all the powers vested in designation
below him. Due to exigencies of work and/or other administrative consideration
any Senior Officer may exercise any or all the powers vested with officers
subordinate to him.
1.8 An architect (Senior Manager Level) posted at CHQ will be designated as nodal
architect for one or more airports / stations by Executive Director
(Planning/Arch.). It will be the responsibility of nodal architect to check on
aesthetics and building activities at his assigned airports for adherence to master
plan.
1.9 ED (Planning/Arch.) will ensure that concerned Nodal Architect must visit his
assigned airports once in every six months. Concerned Nodal Architect will
submit his report highlighting violations from Master Plan after each visit to his
Deputy General Manager /General Manager (Arch.), for information and suitable
action. Critical issues, if any, will be brought to the notice of Member (Planning) /
Chairman by Executive Director (Planning /Arch.).
1
 AAI Works Manual

1.10 For repetitive type of jobs/works or any other operational work which are likely
to occur at certain point of time, a select list of contractors/agencies may be
drawn up region wise and got approved from the RED /APD- Chennai/Kolkata/
ED(Engg.)/GM (Engg). Such lists should be prepared through press
advertisement by giving wide publicity and shall be in operation for the period of
two years from the date of issue of approved list of contractors.

1.11 The constitution of various Boards and the Committees should be as envisaged
from time to time in the Delegation of Powers.

1.12 All the relevant Technical Instructions and Technical Circular issued in past has
been incorporated in works manual as well as General Conditions of Contract
2017. However, the TI’s and TC’s which are concerned to Technical
Specification / Notice Inviting Tender / Special Conditions of Contract (SCC)
needs to be incorporated by the NIT approving authority on need basis.

Concerned TI’s and TC’s issued upto dtd 20/12/2019 have been incorporated in
Work Manual

2
 AAI Works Manual

CHAPTER-II

Duties and Responsibilities of Engineering Officers

Duties and responsibilities of engineering officers of different levels in A.A.I. should

be as mentioned hereinafter. However, these are not exhaustive. Engineering
Officers at different levels should be responsible to carryout duties and tasks
assigned from time to time as per the requirements and directions issued by the
Authority.

3
 AAI Works Manual

SECTION 2: Senior Assistant (SA) / Senior Superintendent (SS) / Junior Executive

Engineering (Jr. Exe. Engg.) (Civil / Elect.)

2.1 To collect and furnish Site Parameters, Measurement Details and field data;

2.2 Preparation of Preliminary as well as Detailed Estimate for maintenance and

original works;

2.3 Preparation of Market Rate Analysis including collection of Market Rates;

2.4 To make structural designs of Simple Structures, prepare Drawings, Sketch etc. as
required in consultation with department of structure.

2.5 To prepare detailed estimate and related required documents for accord of
Technical Sanction and to prepare Draft NIT for approval of competent authority;

2.6 To plan and ensure that the works are executed strictly as per technically
sanctioned detailed estimate and approved design etc.

2.7 To exercise extensive day to day supervision and quality control of various
works executed by contractors, suppliers and departmental workmen as per
specifications.

2.8 To maintain all records and register of works as required as per manual,
specification and contract;

2.9 To supervise and conduct various field tests/lab tests at work site and exercise
control on quality of work as per standard specifications;

2.10 To record measurements correctly in Measurement Book and Standard

Measurement Book of various items of works executed by contractors, supplies
made by suppliers etc.;

2.11 To prepare contractor’s and supplier’s bills;

2.12 To initiate timely action for taking approval of proposed deviations, substitute or
extra items;

2.13 To interact and co-ordinate with users, concerned officer or the residents as
applicable, where work is being executed;

2.14 Preparation and maintaining Site Order Book, work dairy, Rainfall Data and
Hindrance Register, Cement Register, Bitumen Register, Test Result Registers
and all other records / documents stipulated in the contract etc.;

2.15 To exercise day to day administrative and technical control on the departmental
W.C. staff and workmen;

2.16 To maintain Stores and Stores Records under his charge;

4
 AAI Works Manual

2.17 To ensure regular inspection of Structures and Installations for proper

maintenance and to maintain a Inspection Log Book;

2.18 To carry out preventive maintenance and taking timely, prompt and effective
actions, as required, to ensure that essential services and installations are properly
maintained at the Airport;

2.19 To submit a weekly / fortnightly / monthly physical and financial progress reports
as specified to Assistant Manager / Manager / Senior Manager / AGM (Engg.)
(C) / (E) wherever working independently;

2.20 To prepare Survey Report for unserviceable materials on yearly basis;

2.21 To assist Assistant Manager/Manager/Senior Manager/AGM (Engg.) (C) / (E) in

all technical / administrative works.

2.22 Any other duties assigned by senior officers from time to time.

5
 AAI Works Manual

SECTION 3: Assistant Manager (AM) / Manager (M) Engg. (Civil / Electrical)

He shall carryout all the duties and responsibilities of SA/SS/Jr.Exe, if SA/SS/Jr. Executive is
not posted under him in additions to his own duties and responsibilities. Whenever SA/SS/Jr.
Executive .are posted, Assistant Manager/Manager shall verify the works carried out by
SA/SS/Jr. Executive under his jurisdiction, in addition to the following: -

3.1 To check the Result of Soil Report, Site Parameters, Field Data etc. in
consultation with Department of Structure;

3.2 Checking and certifying of Preliminary as well as Detailed Estimate for

maintenance and original works and onward submission to higher authority;

3.3 To collect and verify the Market Rates and Market Rate Analysis for items of
works;

3.4 Checking and finalization of Structural Design, Drawings, Sketch etc. in

consultation with Department of Structure;

3.5 To ensure correctness of documents for approval of technical sanction and Draft
NIT up to the delegated power of Senior Manager/ AGM, Engg.
(Civil/Electrical).

3.6 To prepare required documents for approval of Technical Sanction and Draft NIT
to be approved by Deputy General Manager and above;

3.7 To plan and ensure that work is executed strictly as per technically sanctioned
estimate, approved design and specification etc.;

3.8 To exercise control on supervision and quality control of various works executed
on regular basis;

3.9 To verify all records and registers of works as per work specifications, works
manuals etc.;

3.10 To verify and check at least 50% of Field Tests, Lab. Tests at works site and
exercise control on quality of work;

3.11 To test check the measurements recorded in Measurement Book by SA/SS/Jr. Ex

Eng. as specified in Works Manual;

3.12 To test check the measurement up-to 100% recorded in standard Measurement
Book.

3.13 To record measurement of items in Measurement Book as specified in the Works

Manual;

3.14 To verify the contractor’s and supplier’s bills and submit for pass and payment;

6
 AAI Works Manual

3.15 Timely identify and put up all proposals regarding substituted, deviations items
and extra items to his superiors for necessary approval along with supporting
documents;

3.16 To interact and co-ordinate with concerned users on works in operational area and
vital installations to ensure its effective maintenance all the time;

3.17 To ensure that Site Order Book, Hindrance Register, Rainfall Data, Cement
Register, Bitumen Register etc. are maintained for all maintenance and original
works and to check these records on regular basis;

3.18 To exercise administrative control on departmental workers wherever Senior

Manager/Assistant General Manager (E/C) are not posted;

3.19 To verify and compile Stores Record including yearly stock taking;

3.20 To take timely action for preparation of Survey Report and taking approval of
Competent Authority;

3.21 To ensure regular inspection of structures, installations and taking timely and
effective actions for preventive and regular maintenance as required;

3.22 To submit weekly/fortnightly/monthly/quarterly reports, MIS etc. as specified;

3.23 Should be overall responsible for the correctness of records, measurement etc.
recorded by his subordinates;

3.24 To maintain Building Register and Land Register under his charge;

3.25 To exercise powers judiciously as delegated in Delegation of Powers and

Technical Instructions issued by Management;

3.26 To provide technical support and assist in all Technical/Administrative works to

his superiors whenever working.

3.27 To act as representative of Engineer-in-Charge for effective contract

implementation;

3.28 To put up case for extension of time with full justification and recommendation
along with contractors applications on prescribed form for obtaining approval of
competent authority.

3.29 Any other duties assigned by Senior Officer from time to time.

7
 AAI Works Manual

SECTION 4: Senior Manager (SM) /Assistant General Manager (AGM) Engg. (Civil / Elect.)
4.1 Finalization and correctness of Preliminary and Detailed Estimate.
4.2 Finalization of Justification Statement before opening of Tender including
approval of Market Rate Analysis for Items;
Amended on dt. 26.03.18
Finalization of Justification Statement before opening of Tender including
approval of Market Rate Analysis for items as per para 37.4.4, 37.4.5 & 37.4.9
4.3 To accord of technical sanction and to approve draft notice inviting tender (NIT)
as per Delegation of Power. Beyond his power shall submit the case for approval
of higher authorities;
4.4 Shall have overall responsibility for correctness of bill of contractor and supplier
and maintaining necessary record thereof and propose the bills to Finance
Directorate for pass and payment;
4.5 Signing of Contract Agreement and maintaining all original Agreements;
(Amended on dt. 26.03.18)
Wherever, DGM/ Jt GM(Civil/Elect) are not posted at airports,
SM/AGM(Civil/Elect) shall function as an Engineer-in-Charge for all works upto
Rs.5.00 crores at their parent station as well as for the outstations under his
control. Hence, signing of contract agreement, for these works and its safe custody
shall be the responsibility of SM/AGM Engg(Civil/Elect).
For parent stations of DGM/Jt.GM Engg (Civil/Elect) the contract agreement shall
be signed by him along with its safe custody for all works upto Rs.300.00 crores.
For outstations of DGM/Jt.GM Engg (Civil/Elect), for all works other than
mentioned as above in Para (i), DGM/Jt.GM Engg (Civil/Elect) shall sign the
contract agreement and its safe custody.
4.6 To function as Engineer-in-Charge of all the Contracts, Work Orders and Supply
Orders of contract value up to Rs.5.00 Cr. each with prior specific approval of
Member(Plg.) to ensure implementation of Contract provision;
4.7 To constantly supervise the works for ensuring quality and timely completion of
works;
4.8 To take timely action regarding effective contract management as per relevant
clauses of contract agreement;
4.9 To carryout test check of measurements as per Works Manual and quality control
as specified in agreement, IS/BIS code, CPWD specification etc.
4.10 To project yearly budget for the works under his jurisdiction;
4.11 To prepare statement of claims, counter claims and effectively assist/defend
arbitration proceedings;
4.12 To prepare replies of CTE’s observations within the stipulated time;
4.13 To submit physical and financial progress reports as per prescribed formats and
compilation of MIS reports;
4.14 To initiate timely and prompt action for obtaining revised A/A & E/S;
4.15 To approve extra items/substituted items, deviation items statement with in his
power and timely action for obtaining approval of higher authorities as and when
required;

8
 AAI Works Manual

4.16 SM/AGM shall counter sign the completion certificate recorded by his junior
officers in MB, and shall issue completion certificate in standard format for the
works with in his TS power. Beyond his TS power, completion certificate shall be
issued by next higher authority.
Amended on dt. 26.03.18
The Completion certificates shall be issued by SM/AGM (C/E) for the
works for which they are Engineer-in-charge and shall be issued in the
format as per Appendix-16, after recording of Completion Certificate by
JET/AM/ Mgr. (C/E) in the format as provided at section 11.4.1.

4.17 To discharge all the duties and responsibilities as prescribed in Works Manual
and to have overall responsibilities of quality control, overall corrections of
measurement and payment for the works executed;

4.18 To be fully responsible for maintaining necessary accounts and record thereof
related to all the works/supplies executed under his jurisdiction;

4.19 To ensure that all the records/registers to be maintained for works are duly
maintained;

4.20 To provide technical support and assistance in all Technical/Administrative

works to his superiors whenever working.

4.21 To exercise powers judiciously as delegated in Delegation of Powers, Works

Manual and Technical Instructions issued by Management;

4.22 Any other duties assigned by Senior Officer From time to time.

4.23 To put up case for extension of time with full justification and recommendation
along with contractors applications on prescribed form for obtaining approval of
competent authority.

4.24 To prepare and record contractor performance on yearly basis.

9
 AAI Works Manual

SECTION 5: Dy. General Manager (DGM) /Joint General Manager (Jt.GM) [Engg.]
(Civil / Elect.)

5.1 Deputy General Manager / Jt. General Manager will be overall in-charge for
proper administration of “Work Contract”.

5.2 To accord technical sanction and approval of Draft NIT as per Delegation of
Power. Beyond his power, shall submit the case for approval of higher
authorities;

5.3 To project yearly budget for all maintenance and original works under his
jurisdiction;

5.4 Should be responsible for utilization of funds provided in the approved budget;

5.5 To prepare statement of claims, counter claims and effectively process and defend
the arbitration proceedings;

5.6 To finalize replies to CTE’s/Vigilance observations and submit the same within
the stipulated time;

5.7 To obtain revised A/A & E/S, wherever necessary;

5.8 Approval of extra items/substituted items and deviation items statement within
his own power as per Delegation of Powers and obtaining approval of higher
authorities as and when required;

5.9 Standardization of engineering procedures and supervision process of

maintenance of engineering installations and buildings ;

5.10 To function as Project-In-charge whenever specifically assigned the

responsibility;

5.11 To ensure that management policies, overall agreed programme and time
schedules are implemented;

5.12 Monitoring the engineering works (capital and revenue), holding regular follow
up meetings to review the progress and taking remedial action on hold up.

5.13 Follow-up observations of quality control and those raised by technical and
financial audit;

5.14 To exercise technical and administrative controls of the engineering personnel at

all the field units and airports within his jurisdiction;

5.15 To exercise effective budgetary control;

5.16 To perform duties and responsibilities as prescribed in Works Manual and

Delegation of Powers;

10
 AAI Works Manual

5.17 To issue completion certificate for the works costing more than technical sanction
limit of Senior Manager /Assistant General Manager(C/E)
Amended on dt. 26.03.18
DGM/JGM (C/E) shall issue Completion Certificate in the format provided at
Appendix-16 for the works for which they are designated as Engineer-In-Charge
after Completion Certificate has been recorded by JET/AM/MGR (C/E) in the
format provided at section 11.4.1 and duly recommended by SM/AGM (C/E).

5.18 To provide technical support and assistance in all technical and administrative
works to his superiors whenever working.

5.19 To perform duties and responsibilities as prescribed in works manual and as per
Delegation of Powers.

5.20 Any other duties assigned from time to time by Senior Officers.

5.21 He will function as Engineer- in-charge for the value of all the works up to Rs.
300 Cr. and also perform the duties and responsibilities as listed in para 57.2.3

5.22 To complete and evaluate contractors /firms performance annually and submit.

5.23 To undertake periodical surprise technical checking, inventory update and survey
reporting of dismantled material of executed works undertaken by sub-ordinates.

5.24 To put up case for extension of time with full justification and recommendation
along with contractors applications on prescribed form for obtaining approval of
competent authority.

5.25 To test check measurement and perform quality control as per works manual.

5.26 To ensure that all the records/registers to be maintained for works are duly
maintained.

5.27 Amended on dt. 26.03.18 (New Para)

Timely action regarding effective Contract Management as per relevant clauses of
Contract Agreement.

11
 AAI Works Manual

SECTION 6: General Manager (GM) Engg. (Civil/Elect.)

6.1 General Manager shall function as head of unit and shall provide all technical
support and assist in all technical/administrative work to ED (Engg.), Regional
Executive Director and Airport Director(ED Level)

6.2 Shall plan new projects right from the conceptual stage;

6.3 Monitoring the projects, periodic follow-up, meeting to review the progress and
taking steps to remove causes of hold-ups for projects;

6.4 Budget formulations, controls and to obtain approval for re appropriation of

funds;

6.5 Approvals of works under contingencies – for works costing up to technical

sanction power of General Manager and below;

6.6 To issue technical and administrative directions to all field units including
standardization of procedures;

6.7 To exercise overall technical and administrative control of all the engineering
personnel within his jurisdiction;

6.8 To decide engineering manpower requirement and its deployment;

6.9 To advise management on all the matters of transfer, promotion and recruitment
and disciplinary proceedings of engineering manpower;

6.10 To arrange training programme and course for engineering personnel;

6.11 To accord T/S and approval of draft NIT as per Delegation of Powers. Beyond his
powers shall submit the case for approval of higher authorities;

6.12 To perform duties and responsibilities as prescribed in works manual and as per
Delegation of Powers.

6.13 Any other duties assigned from time to time by Senior Officers.

6.14 To act as Engineer-in-charge in respect of individual-contract costing more than

Rs. 300.00 Cr and shall also perform the duties and responsibility as defined in
Para 57.2.2.

12
 AAI Works Manual

SECTION 7: Executive Director (ED) (Engineering)

7.1 To function as Technical Adviser to the Management;

7.2 Shall function as Head of Department and shall exercise overall technical control
of all the engineering personnel of all field units, airports, Corporate headquarter;

7.3 To take actions for effective implementation of management’s policy, direction

and decision;

7.4 Monitoring the projects, periodic follow-up meeting to review the progress and
taking action to remove causes of hold-ups for projects;

7.5 Budget formulations, controls and re-appropriation of funds;

7.6 Should be responsible for full utilization of funds provided in the approved
budget;

7.7 Approvals of works under contingencies – for works costing more than T/S
Technical sanction power of General Manager;

7.8 To issue technical and administrative directions to all field units including
standardization of procedures;

7.9 To decide engineering manpower requirement and its deployment;

7.10 To advise management on all the matter of transfer, promotion and recruitment
and disciplinary proceedings of engineering manpower;

7.11 To accord T/S and approval of draft NIT as per Delegation of Powers;

7.12 To perform duties and responsibilities as prescribed in Works Manual and

Delegation of Powers [DOP], and Section 57 of this Manual

7.13 To monitor and guide effectively on CTE’s observations and in arbitration

proceedings;

7.14 Should be responsible to issue orders establishing chain of command and control
authorities for all the works for which, tenders are accepted at CHQ.

7.15 Any other duties assigned from time to time by the Competent Authority.

13
 AAI Works Manual

CHAPTER-III

WORKS

SECTION 8: Classification of Works

8.1 All works of Airports Authority of India have been classified into following
Categories:-

8.1.1 Capital Works;-

a. Major
b. Minor

8.1.2 Repair and maintenance works.

a. Ordinary/Annual repairs
b. Special Repair Works
8.2 “Capital Works” shall comprise of following :-
a. All new constructions;
b. Replacement of equipments and systems;
c. Purchase for new equipments or systems;
d. Additions and alterations of existing structures, works or system;
e. Strengthening of pavement structures;
f. Augmentation of water supply system, power supply system, air-
conditioning and passenger facilitation system.
The capital works shall increase the value of assets.

8.3 “Minor works” shall be comprising of followings:

Additions to the structure/services to upgrade/modify the use;

Alterations to existing structures to modify its use.

The works considered under this category shall not be costing more than Rs. 100
Lac.

8.4 “Special Repairs” shall comprise of following :-

a. Alterations, large scale repairs or replacement in the existing structures,
pavements and systems to improve utility and to enhance life;
b. Resurfacing of pavements
c. Restoration/improvement of performance level of installations /equipment.
8.5 “Ordinary/Annual Repairs and Maintenance” shall comprise of followings :-

14
 AAI Works Manual

8.5.1 Routine maintenance works which are required for up-keep of the structures,
pavements and systems functioning, and in proper condition;

8.5.2 Ordinary repairs and maintenance including surface painting of pavement surface;

8.5.3 Repainting of runway, taxiway and apron marking;

8.5.4 Repairs and maintenance of E&M equipments and installations.

8.5.5 Annual Maintenance Contract (AMC) and Comprehensive Maintenance Contract

(CMC) works for highly specialised works.

There are highly specialised systems owned by AAI which require preventive as well
as break down maintenance during their useful life. Each system has their preventive
maintenance schedule and periodicity. Sometime it may not be possible to carry out
such works departmentally due to non-availability adequate skilled staff. In the case
of AMC contracts, the spare parts required during repairs are to be supplied by the
department while in case of CMC, the responsibility for replacement of part and carry
out necessary repairs remains with the contractor.

15
 AAI Works Manual

SECTION 9: Prerequisite Stages for Execution of Works

9.1 Fundamental Prerequisites :

9.1.1 Before execution of any Civil and Electrical work is taken up and liability is
incurred following basic prerequisites should be fulfilled:

a. Accord of Administrative Approval and Expenditure Sanction (A/A&E/S);

b. Accord of Technical Sanction;
c. Approval of Notice Inviting Tenders (N.I.T.);
d. Appropriation and Re-appropriation of funds.

9.1.2 Under normal circumstances no work should be commenced or liability incurred

until Administrative Approval and Expenditure Sanction has been accorded, a
properly detailed estimate with design has been technically sanctioned and
allocation of funds is available in the approved budget or provision of funds by
re-appropriation is approved by the competent authority.

9.2 Exception of works of inescapable urgency:

9.2.1 In case of “Urgency” or “Emergency” the work may be executed in the absence of
any or all the above mentioned formalities.

9.2.2 For “Urgent or Emergent Works”, A/A & E/S issuing authority shall authorise
to commence the execution of such works in anticipation of administrative
approval and expenditure sanction. No prior financial concurrence is required.
However, case for accord of A/A & E/S should be processed at the earliest.

9.2.3 The maximum value of work which can be accepted under this system shall be
Rs. 200 Lac. This power shall be exercised according to the delegation of power
at various levels.

9.2.4 On receipt of such written order of the competent authority in each case, the
Senior Manager/ Assistant General Manager (Engg.), AAI shall proceed to carry
out the necessary work, subject to the condition that, he will immediately inform
the Self Accounting Unit/Regional Accounting Unit concerned, that he is
incurring a liability. The Senior Manager /Assistant General Manager (Engg.) (C/
E) should simultaneously take actions to obtain the administrative approval and
expenditure sanction and accord of technical sanction by the competent
authorities to regularise such liability incurred. Deputy General Manager/Jt.
General Manager / General Manager concerned should be responsible to co-
ordinate all the activities of regularising the required formalities.

9.3 Administrative Approval and Expenditure Sanction:

9.3.1 Formal acceptance of the proposal of a work/project by the competent authority is

termed as “Administrative Approval”. Financial concurrence of the cost of the
project proposal by the competent authority is termed as “Expenditure Sanction”.
For expeditious execution Administrative Approval and Expenditure Sanction
(A/A & E/S) should be accorded simultaneously by the competent authority.

16
 AAI Works Manual

9.3.2 Administrative Approval and Expenditure Sanction should be accorded for

original / capital works and special repair works.
9.3.3 A/A & E/S Memo should be issued in standard Performa given in Appendix-1. It
should be issued by the Manager and above.
9.3.4 No separate A/A & E/S is necessary for ARMO works for which “Action Plan”
giving work-wise details is to be prepared and approved by REDs/APDs/Airport
In-charges before the commencement of the financial year. However, for all such
repairs and maintenance works, technical sanction to the detailed estimate should
be accorded by the competent authority and financial concurrence should be
obtained prior to award of work.
9.3.5 Administrative Approval and Expenditure Sanction should be accorded on the
preliminary estimate of the work framed and countersigned by the authority
competent to accord technical sanction to the detailed estimate for the work.
9.3.6 A group of works, which forms one project, should be considered as one work.
The necessity for obtaining A/A & E/S of higher authority to a project which
consists of such a group of works shall be necessary even if the cost of each
particular subhead of work in the project is within the powers of such approval or
sanction of a lower authority. Technical sanction can, however, be accorded to
components or subheads of a project separately and independently by engineering
officers of AAI.
As per guidelines composite A/A & E/S is being issued for all associate works in
a project. However, if multiple A/A & E/S are issued due to avoidable
circumstances and site requirement, then the permissible variation limit of ±10%
of accorded multiple A/A & E/S of a particular project shall not be apportioned
between each other and accordingly savings of one A/A & E/S shall not be
allowed to utilize in another A/A & E/S issued for the same project. Each A/A &
E/S shall be treated as separate. (Amendment TI 35 dtd. 24.01.2020)

9.4 Power to accord Administrative Approval and Expenditure Sanction:

For engineering works/services power for issue of A/A & E/S by various
authorities of AAI should be as per the Delegation of Powers of AAI as amended
from time to time.

9.5 Permissible excess over A/A & E/S:-

9.5.1 If the actual expenditure on a project or scheme, other than statutory increases
and cost escalation within the project cycle time payable as per contract
provisions, does not exceed more than 10% of the amount originally sanctioned,
then there is no need for revised A/A & E/S. In case it exceeds this limit, revised
A/A & E/S should be obtained from the authority competent to approve the cost
so enhanced as per the power delegated in the Delegation of Power. The excess
expenditure over and above the budget provision amount will have to be met by
re-appropriation within the overall approved budget.

9.5.2 Engineer- In-charge shall keep a close watch on expenditure during execution
stage itself. Whenever any excess expenditure over permissible limits of
sanctioned estimate is foreseen, a report of the circumstance, along with tentative
quantities and additional cost, should be submitted to next higher authority as
perceived at that stage, for information to the Competent Authority, whose
sanction shall be required for revised A/A & E/S. The Engineer-In-Charge will

17
 AAI Works Manual

adopt following procedure to intimate competent authority for likely increase in

the project cost:

a. To keep a close watch on present and likely expenditure to be incurred for

each subhead and submit a self-contained report indicating financial status
of the project i.e. sanctioned cost and likely completion cost. The report
must also indicate likely deviations, extra and substituted items etc. This
report should be submitted twice by the Project- In-Charge, to the TS
authority, on reaching physical progress of 50% and 85% stage. TS
Authority shall then review the report and initiate timely actions for
apprising the higher authorities, in case revised A/A & E/S is anticipated.

b. If at any stage, Engineer- In-charge notices that the total expenditure of the
project is likely to exceed the permissible limits of sanctioned cost, he
should submit a report along with details on tentative quantities as
perceived at that stage bringing out reasons for deviations, on the Performa
given below, to the next higher authority, for apprising the Competent
Authority / AAI Board for decision”

Abstract of Original and Revised Estimate

Name of work:
(Rate & Amount in Rs)

Subheads of In Original Estimate As per Revised Difference Reasons

PE & items Estimate
of work Qty. Unit Rate Amt. Qty. Unit Rate Amt
.

9.6 Permissible variations in the amounts of subheads of sanctioned A/A & E/S
for multi-disciplinary projects only:

9.6.1 While preparing preliminary estimate for obtaining A/A & E/S all the works
should be grouped discipline/department wise in the respective subhead. For
example, all the civil works in the building including civil services should be
under subhead “Building Works”. Thus, the subheads in the abstract of
preliminary estimate should be as under:

a. Building Works: (All the Civil Works including Civil, Internal & External
Services, Furniture, Furnishings etc.).

b. Electrical Works: (Internal and External Electrical Services, Power Supply

Works, Fire Fighting and Fire Alarm System, HVAC, P.A. System, FID,
EPABX etc.)

18
 AAI Works Manual

c. Equipment Works: (Elevators, Escalators, Aero-bridges, X-ray Machines,

Baggage Conveyer, DFMD etc.)

d. Pavement Works: (All Civil Works).

e. GLF Works: (Runway, Taxiway, Apron Edge Lighting, Apron floodlights,

Approach Lights, CCR etc.).

Abstract of preliminary estimate should be prepared as per above sub-

heads.

9.6.2 Any tender which entails overall increase of more than 10 % from approved A/A
& E/S amount shall not be accepted unless revised A/A & E/S is accorded by
competent authority.

9.6.3 No separate approval should be necessary for apportioning funds from one
subhead to another provided variation are within above-mentioned limits.
However, such apportioning of funds should be subject to following conditions:-

a. The Engineer- in-charge shall ensure that overall excess on A/A & E/S
amount shall not exceed 10% of sanctioned amount at any stage of
execution.
b. If no expenditure is incurred in a particular subhead of A/A & E/S (due to
change in requirement), then amount of that subhead cannot be apportioned
to execute another subhead;
c. Saving from one subhead can be utilized for execution of works in another
subhead of work which are contingent to complete the main work required
as per site conditions with the approval of project in-charge.

9.7 Technical Sanction :

9.7.1 After accord of A/A & E/S by the competent authority detailed estimates are
required to be prepared for technical sanction.

9.7.2 Powers to accord technical sanction to detailed estimates should be as per the
Delegation of Power of AAI and as amended from time to time. The powers of
engineering officers of AAI to accord Technical Sanction in respect of revised
estimates are the same as above.

9.7.3 Authority competent to accord technical sanction shall satisfy himself before
accord of such sanction that the proposals are structurally sound and that the
estimate are accurately calculated and prepared based on adequate data. Technical
Sanction Memo should be in the standard Performa given at Appendix–2. After
accord of the technical sanction by the competent authority, a TS Memo for
allotment of no. should be issued.
9.7.4 In normal circumstances, Technical Sanction should be accorded on receipt of
A/A & E/S only. But in exceptional circumstances, it is permissible for the
competent authority to accord Technical Sanction to the works before receipt of
A/A & E/S only to facilitate call of tenders. In Regional Headquarters/ field
stations prior approval of one step higher authority of Technical Sanction and in

19
 AAI Works Manual

CHQ prior approval of Member [Planning] shall have to be obtained. Award

letter of contract will only be issued after accord of A/A & E/S. However, such
circumstances should be placed on record in writing. In case of revised estimate,
it is not necessary to wait for the revised A/A & E/S to accord revised Technical
Sanction. However, other conditions as brought out above shall apply.

9.7.5 For Design based tenders and Special E&M equipment Technical Sanction will
be issued after technical bids are opened, technical parameters processed and
finalized. Authority competent to accord technical sanction shall authorize the
concerned officer to invite the tenders and opening of technical bid pending the
technical sanction.

9.7.6 For the procurement of high value equipment / highly specialized works detail
STRs (Specifications and Technical Requirements) should be prepared through
call of expression of interest from the manufacturers / authorized dealers to
identify latest specifications of such items and general terms and conditions
applicable for equipment intended to be procured. The NIT specification / terms
and conditions should be formulated on the basis of study carried out by calling
quotations/tenders for expression of interest for call of tenders.

9.7.7 For critical / special equipment [including imported ones], where the correct rate
etc. is not available, issuance of technical sanction can be accorded after opening
of price bid and acceptance of the equipment, in accordance with the stipulated
specifications.

9.8 Technical Sanction to Components:

It is permissible to accord Technical Sanction to components or small parts of a

sanctioned project subject to following conditions: -

9.8.1 For each such work or component part, there must be fully prepared detailed
estimate and in the A/A & E/S of the whole project there must be a clear and
specific amount corresponding to the work or component part in question.

9.8.2 The amount of the detailed estimate of such component work should not exceed
the amount provided in A/A & E/S. Where this limit exceeds the amount to be
sanctioned within the delegated powers of Technical Sanction of the officer, the
matter should be reported to the authority competent to accord Revised Technical
Sanction of the entire project to obtain his prior approval.

9.8.3 In exceptional cases, where the works are authorized to be taken in hand before
accord of A/A & E/S, Technical Sanction to the components or small parts of the
project should be accorded by the authority competent to accord sanction to the
detailed estimate for the project as a whole.

9.8.4 Splitting up of works in small components as per requirement or for execution of

work in phases for the purposes of according Technical sanction or invitation of
tenders shall be decided by Technical sanctioning authority competent to accord
sanctions to the detailed estimates of the project as a whole. If splitting of work is
inevitable then a complete proposal for all works covered in one sanction (A/A &

20
 AAI Works Manual

E/S) for such proposals should be submitted to obtain approval from TS authority
at initial stage. The proposal must indicate full details regarding total number of
proposed packages for call of tender and scope of work under each package.

9.8.5 In case tenders are to be accepted at head quarter, the splitting of components
may be approved by Executive Director (Engg.), CHQ.

9.9 Permissible excess over Technical Sanction :

9.9.1 Excess expenditure up to 10% (ten percent) should be permissible over the
technically sanctioned amount. In such case no revised technical sanction shall be
necessary.

9.10 Revision of Technical Sanction: -

9.10.1 In case the actual expenditure exceeds the original technical sanction by more
than 10% then the revised technical sanction is required and should be accorded
by the competent authority as per DOP for revised T/S.

9.10.2 If at any stage either before or during the construction, it is found that likely
expenditure on work shall be less than 10% of the original Technically
Sanctioned amount due to abandonment of substantial portion of the project or
deviations from the original proposals and designs, then the revised Technical
Sanction should be accorded by the authority who accorded original technical
sanction. However, ED (Engg.) shall have full powers in this regard.

9.11 Approval of Notice Inviting Tender (N.I.T.) :

9.11.1 Notice Inviting Tenders is the complete document comprising of :-

a. Draft of Press Tender Notice;

b. N.I.T. with instructions, to bidders;
c. General Rules and Directions;
d. Conditions and clauses of contract;
e. AAI Safety Code;
f. Model Rules for the Workers;
g. Contractor’s Labour Regulations;
h. Performas of Records and Registers;
i. Special Conditions of Contract, if any;
j. Technical Specification of Items, if any;
k. Particular Specification for Civil Works, if any;
l. Particular Specification for Electrical Works, if any;
m. List of approved makes, if any;
n. Sketch of Cement Godown;
o. Drawings;
p. Bill of Quantities;
q. Any other documents/details considered appropriate by the NIT approving
authority.

21
 AAI Works Manual

Draft N.I.T. documents should be page numbered and indexed. Total number of
pages should be mentioned and certified on the front page of Draft NIT. All the
correction, cutting or overwriting should be initialed wherever applicable.

9.11.2 Brief Tender Notice:

a. Press NIT shall only be issued for works with estimated cost more than Rs.
1.00 Cores, however, E-bidding shall be resorted to for all the tenders
irrespective of the cost. Brief Press Tender Notice should be drafted and
sent for publication as indicated at Appendix-3A to Appendix-3C as
applicable depending upon value of work. Draft detailed tender notices
have been given in Appendix-4A to Appendix-4C for display on AAI
website. Tender notice may be adopted on the basis of value of work for
which tenders are being called. For E&M, HVAC, Aerobridges and
specialized works eligibility criteria, works experiences etc., be suitably
modified and should be approved by NIT approving authority.

b. The eligibility criteria for call of tender have been indicated in above
appendix in detail. The criteria of prequalification need not be changed
under normal conditions. However, in the case of highly specialized work
the modified eligibility criteria may be got approved from authority one
higher than NIT approving authority.

c. Notice Inviting application for short listing of contractors for global tenders
should be given in standard format given at Appendix- 5 and check list
format to be submitted by applicants along with application for tender is at
Annexure-A of this appendix.

9.12 Short listing of contractors for the works pending A/A&E/S and Technical
Sanction (T/S)

9.12.1 For urgent / operationally urgent works, in anticipation of A/A&E/S, to save time,
press notice for pre-qualification of agencies may be released, based on
preliminary estimate pending issue of A/A&E/S and T/S with the approval of
Chairman.

9.12.2 Where prequalification of agencies are required, to save time, press notice may be
released based on preliminary estimate after issue of A/A&E/S but pending issue
of T/S with the approval of Member (Planning).

9.12.3 It should be ensured that tender fee has been deposited by the agency before the
issue of tender document.

9.12.4 In order to have transparency, the firms which are not short listed for issue of
tender papers, should be intimated with the reasons for rejection of their
application.

9.12.5 Authority competent to accord technical sanction shall approve the Draft NIT
after Technical Sanction to the detailed estimate is accorded. Once the technical
sanction is accorded on the details so worked out, no changes whatsoever should

22
 AAI Works Manual

be allowed in NIT. In the event such changes are inevitable, the same should be
brought to the notice of technical sanctioning authority for his approval. The
items and quantities contained in technical sanction and BOQ should be identical,
Approving authority shall examine the Draft NIT document thoroughly and
satisfy himself about relevancy, adequacy and correctness of each provision,
clauses, nomenclature and specifications of items etc. before approving. After
approval, the Draft NIT should be sealed before sending it to the authority
responsible for calling tenders/offers.

In case of any clarifications, the approving authority may seek necessary

clarifications from the legal department before approving the draft NIT.

9.12.6 Once N.I.T. is approved no additions to, deletion from, corrections or

modifications etc. should be made without prior approval of the approving
authority.

9.13 Appropriations and Re-appropriations:

9.13.1 Appropriation means assignment of funds to meet specified expenditure. Re-

appropriation means the transfer of funds from one head to another such head. No
expenditure on a work should be incurred without funds having been allotted for
it by appropriation or re-appropriation. In exceptional and emergent cases
Member (Planning) can authorize expenditure on works in anticipation of the
allotment of funds or in excess of the funds allotted for the purpose, but such
authorization must be regularized subsequently by a formal allotment of funds to
the extent required as per provision of DOP.

9.13.2 Allotment of funds either through approved budget or by re-appropriation is

meant to cover all the charges of current financial year including the liabilities of
the past years to be paid during the current year. It is operative until the close of
the financial year. Any unspent balance of allotted fund at the end of financial
year lapses and is not available for utilization in the following year.

9.13.3 An appropriation or re-appropriation can be authorized at any time before, but not
after the expiry of the financial year.

9.14 Power of Appropriation and Re-appropriation:

Powers to appropriate or re-appropriate of funds should be as per the Delegation

of Powers of AAI.

23
 AAI Works Manual

SECTION 10: Preparation of Estimates

10.1 Preliminary Estimate of Building Works
10.1.1 Preliminary Estimates for capital works should be prepared for obtaining A/A &
E/S of the competent authority. Preliminary estimate gives an approximate value
of the cost involved in the proposal. For all building works preliminary estimate
should be prepared on the basis of plinth area. The preliminary estimate for A/A
& E/S will include expected escalation for the period of completion of the project.
10.2 Methodology and steps for preparation of Preliminary Estimate:
10.2.1 Major Building Works with associated services being finalised at Corporate Head
Quarter
(Amended as per TC No. 9/2018 dtd. 05.12.2018)
Dealing with timely Completion and Commissioning of the Project.
i. The drawings and scope of work of major projects involving multiple
directorates be finalized based on a ground based assessment meeting of all
the stake holders’ viz. CNS, Operations, Planning, Engineering, ATM, APD
and Airlines etc. Further, the drawing & scope of work should include
existing features, proposed changes / re-alignment and associated works to
be carried out for successful implementation of Project.
ii. Project team should execute all associated work of the main project to avoid
any delay for commissioning of the Project.
iii. The Technical Specifications of a Project once approved should not be
changed during implementation without specified reasons to avoid the cost
and time overrun of the Project.
a. Requirements of user agencies and all the concerned directorates of AAI
should be finalised and scope of works should be formulated by the user
department/ED (Planning) in specified format as applicable after due
consultation, field inspection and obstruction surveys etc. The draft scope of
work should be circulated to all concerned Directorates involved in
planning and execution of different packages of the Project before approval
by competent authority and to be forwarded to Directorate of Planning who
will act as a Nodal Directorate to examine the site / location, other
operational factors and to obtain approval of competent authority i.e.
Member (Planning).
b. After obtaining approval of Member (Planning) for the scope of work, the
scope of work once approved shall stand frozen and shall not be changed
without obtaining prior clearance of the authority according A/A & E/S to
the work.
c. Copies of approved scope of work shall then be sent to concerned
Architectural Wing/Architect and Engineering Directorate. Thereafter,
Architectural Wing shall prepare preliminary drawings in accordance with
the approved standards and requirements already circulated for ATC tower
cum Technical block and Fire Station/ E&M workshop and send the copies
to user department. . The user department shall examine the drawings in
consultation with all the associated user agencies and concerned
Directorates of AAI. Comments/ observations should be sent to
Architectural Wing/Architect who shall then finalise the preliminary
architectural drawings and obtain approval of competent authority after
incorporating useful suggestions of user departments. The finalised
drawings shall then be put up for approval to the Approving Committee for
formal clearance of the scheme. User Department/ED (Planning) should be
the co-ordinator.
24
 AAI Works Manual

d. While planning for Terminal Building, the scope of work is to be prepared

by ARA (Planning) in co-ordination with Architectural Directorate. Scope
of work is to be recommended by all concerned HODs in a time bound
manner, before the same is put up for the approval of competent authority.
Thereafter necessary preliminary drawings shall be prepared by
Architectural directorate. ED (Plg) /Planning Directorate shall act as nodal
officer.
e. Project-in charge will interact with end-user, Airport-in- charge/Controller
and Department of Planning at construction stage
Approving Committee shall comprise of Chairperson, Member (Planning),
Member (Operations), Member (Finance), ED (Eng.), ED (Arch), ED
(Planning), ED (CNS) Planning, ED (Operations)/ ED (ATM). Drawing
once approved by the Committee shall stand frozen and no modification
should be carried out without prior approval of Member (Planning). User
Department / ED (Planning) shall sign the drawings in token of approval of
the committee. NOC, if required, should be obtained by Planning
Directorate from the NOC cell of Operational Directorate. Copies of
approved drawings shall then be sent by user Department/Planning
Directorate to Engineering Directorate, Regional Executive Director
/Airport Director and concerned Airport in-charge.
f. If approval of Local Body is required, then the same should be processed
and obtained by Architectural wing/Architect in co-ordination with Airport
in-charge. No work should be commenced without approval of the local
body, if so required.
g. On receipt of approved Layout Plan (LOP) and preliminary architectural
drawings preliminary estimate should be prepared by Directorate of
Engineering to obtain A/A&E/S from Competent Authority.
h. The preliminary estimate should be prepared on plinth area basis adopting
current plinth area rates being followed in CPWD duly enhanced by
prevailing cost index worked out with prevailing rates of labour and
materials. In case, rates are given by consultants, these rates are to be
verified independently by concerned Senior Manager while scrutinising the
estimate. Provisions for services like sanitary, water supply, drainage,
electrical installation and site development etc. should be made on the basis
of percentage of the cost of building, as considered reasonable, based on
specifications to be adopted. For superior specifications extra cost should be
worked out based on prevailing rates and provided for separately. For the
items including E&M Services which are not covered in CPWD plinth area
rates, estimated cost based on budgetary offer/prevailing rates of labours
and materials for items of work involved, should be worked out and
provided.
i. In case of rates based on market rates quotations must invariably be
collected while making analysis of rate during preparation of estimates as
well as at the time of preparation of justification statement. Suitable
provisions for consultancy services if required must be made in PE. In
some of the projects shifting of existing services like power distribution
lines, cable, drains or demolition of existing structure may be required
before taking up construction; suitable provisions for the same may be kept
in the estimate.

25
 AAI Works Manual

j. If cost index for specific station is not published by CPWD, for such
locations cost index shall be derived on the basis of Performa given at
Appendix-6. Please note that rates as far as practicable should be
considered for bulk quantities. Efforts shall be made to follow cost index
issued by CPWD from time to time for different stations or nearby station.
Once cost index has been calculated by AAI officers on the basis of
Appendix -6 and rate of materials &l labour at the specific station, then
same rates of labour/material must be adopted for calculating rates for non
DSR items in the same agreement.
k. No cost index should be added on the items, which are based on lump sum
provision or are estimated based on the prevailing market rates.
l. Preliminary estimate should be prepared on the basis of anticipatory cost
index, in respect of works where anticipated time from submission of the
Preliminary Estimate to completion of the work is more than two years.
Anticipatory cost index shall be considered @ 6.5% per annum for the
period in excess of two years.
10.2.2 Building works with associated services being finalised at Regional
levels
a. Procedures described in above Section should be followed except that GM
(Aerodrome) /Jt.GM (Aerodrome) or any other officer authorized by the
Regional Executive Director or Airport Director should be the co-ordinating
authority for finalising the scope of work. Regional Executive Director or
Airport Director shall approve the scope of work and also approve the
preliminary architectural drawings in consultation with architects, regional
engineers and user directorates. Regional Executive Director/Airport
Director may seek approval of Member (Planning), if considered necessary.
b. Before approving any new structure Regional Executive Director and
Airport Director shall ensure that the proposed structure is in conformity
with the Master Plan.
c. Large scale additions, alterations and modifications to the existing
structures are required to be examined in detail by CHQ with reference to
its conformity to the future plan, architectural and structural compatibility.
Therefore, Regional Executive Director and Airport Director shall ensure
that the project involving large scale additions, alterations and
modifications to the existing structures of the Airport Complex are not
approved without taking prior approval from the Planning Directorate of
CHQ.
10.3 Rules for working out Plinth Area from Plans :

Following rules should be followed in order to ensure the adoption of a uniform

method of working out plinth areas. These are based on the fundamental principle
that the plinth area of a building should represent the covered floor area. These
rules are general in nature and should be considered as guideline only:
General
a. The total plinth area of a building should be the sum total of the plinth areas
at every floor including the basement.
b. Internal sanitary shaft shall not be included in the plinth area in the case of
residential building at any floor level.

26
 AAI Works Manual

c. In case of non-residential buildings, internal shaft for sanitary installations,

air-conditioning duct, lights etc. should be included in the plinth area at all
floor levels.
d. The area of Mumty at terrace level shall not be included in the plinth area.
If a Barsati is provided jointly with Mumty, then the area of the Barsati
excluding the Mumty at the terrace level should be included in the plinth
area.
e. Towers, turrets, domes projecting above the terrace shall not be included in
the plinth area at terrace level, but its cost should be worked out separately.
Plinth Area of Ground Floor
The plinth area of the ground floor should be calculated at the plinth level
excluding the plinth off-sets provided such plinth off-sets are not more than 5
Cm. In cases where the building consists of columns projecting beyond cladding,
the plinth area should be taken up to the external face of the cladding and shall
not include the projections of the columns.

On the other hand, if open Verandas with parapets are provided at the ground
floor projecting out of the building the full area should be taken up to the outer
line of the external Veranda lintel and only 50% of the area should be taken for
the unprotected Veranda. Open platforms (i.e. platforms without parapets) and
terrace at ground floor and porches shall not be included in the plinth area but
should be allowed for separately for costing purpose.

Plinth area at First and Higher Floors:

The plinth area of first and higher floors should be calculated at the relevant floor
levels. Architectural bands, cornices etc. shall not be included in the plinth area
even though they may occur at the floor level. Vertical sun breakers or box
louvers projecting out also shall not be included in plinth area.

In the case of projecting balconies protected to their full width by sunshades, full
width roof projection, or by upper balconies, their full area should be included in
the plinth area. In the case of unprotected balconies equivalent area to the extent
of 50% of the area of the balconies should be included in the plinth area.

Galleries, Mezzanine Floors, Lofts

a. Area of galleries i.e. upper floor of seats in an assembly hall, terminal

building, auditorium, theatre etc. should be fully included in the plinth area.
b. Area of mezzanine floor i.e. intermediate floor introduced between two
main floors should be included in the plinth area, if no separate provision is
made for the same.
c. The area of a loft i.e. an intermediate slab just beneath the floor or roof
without any direct staircase leading to it and used for storage purpose shall
not be included in the plinth area.

10.4 Preliminary Estimate of Pavement Works

10.4.1 Scope of work shall first be decided and approved as described in above Para.

10.4.2 Preliminary estimate of pavement works should be prepared based on similar

work executed in the recent past and so far as possible on the basis of detailed
27
 AAI Works Manual

estimate of actual quantities of item of the work to be executed in consultation

with Department of Structure.

10.4.3 Before processing any proposal to resurface or to strengthen the existing

pavement of runways, taxiway, apron etc. and preparing estimates thereof at
Corporate Headquarters, thorough site inspection of existing pavement condition,
existing pavement structure, drainage system, requirement of development of
basic strip/ runway strip, etc. shall be carried out by a team comprising of officers
from Engineering (Civil, Structure & Electrical), planning and other related
directorates before deciding the necessity and scope of such works.

10.4.4 Determination of PCN value for airfield pavement shall be undertaken by

Department of Engineering (Structure). The approving authority for such PCN
value shall be ED (Engg.) having charge of department of Engineering
(Structure). For pavements more than 5 years old, evaluation of PCN value shall
be done by HFWD. In exceptional case where the strength / quality of airfield
pavement is in doubt and needs check, non-destructive field test could be done
earlier. For pavement less than 5 years old, assignments of PCN value shall be
based on reverse design method / FAA advisory circular.

Determination of PCN value for the work of re-surfacing and / or strengthening

of pavement shall be carried out after completion of work.

10.4.5 In general Determination of in-situ PCN values of runway, taxiway and apron for
each active airport shall be carried out at the time interval of 3 to 7 years
depending upon the condition of pavement and value obtained there of shall be
reported for operational purpose.

10.4.6 The runway friction test for the measurement of co-efficient of runway friction of
all the active airports should be carried out once in six months.

10.4.7 Provision for expenditure to undertake determination of pavement characteristics

in accordance to above sections shall be made by each region in the Budget.

10.4.8 Rates of the items should be worked out based on prevailing local market rates of
labours and materials with norms of Standard Analysis of Rates for airfield
pavement works, Ministry of Road Transport & Highways (MORTH) or recently
accepted tender rates of similar items in the locality. In case, rates are given by
consultants, these rates are to be verified independently by concerned Senior
Manager while scrutinising the estimate.

Note 1:

Site and soil particulars should be furnished by field engineers in Performa

provided at Appendix-7. For preparation of estimate for works of pavement, a
check list has been provided at Appendix-8, similarly L-section of
runway/pavement may be checked as per Appendix-9. For preparation of
preliminary estimate for building check list give at Appendix-10 should be
considered.

Note 2:

28
 AAI Works Manual

While finalising the estimate all aspects involving operations, technical, site
conditions and other user requirement should be properly considered and
incorporated.
(Amended vide TI No. 07 dtd. 21.12.2018)
AAI has to follow the criteria designating / developing any township / residential
colonies as ‘Mini Smart Cities’. In whenever any Scope of Work is issued by
Arch / Planning Dte. for any township / residential colonies, essential feature are
to be incorporated, depending upon the scale of project to enable other
Directorates to frame the estimate accordingly.
i. Assured electricity supply with at least 10% of the township energy
requirement coming from solar.
ii. Adequate water supply including waste water recycling and storm water
reuse
iii. Sanitation including solid waste management
iv. Rain water harvesting
v. Smart metering
vi. Robust IT connectivity and digitalization, Cashless transaction, Digital
security arrangements
vii. Application of Smart Solutions to infrastructure and service & to improve
their delivery and make them cost effective.
viii. Pedestrian friendly pathways. Encouragement to non-motorized transport
(e.g. walking and cycling)/ Environment friendly Transport system
ix. Intelligent traffic management
x. Non-vehicle streets / zones
xi. Smart parking facility
xii. Energy efficient street lighting
xiii. Innovative use of open spaces
xiv. Visible improvement in the area (underground wiring, encroachment free
public areas and ensuring safety of citizens especially children, women
and elderly)
xv. At least 80% buildings should be energy efficient and green buildings.

10.5 Detailed Estimate:

10.5.1 Availability of site is pre-requisite for planning and designing of work. The
preparation of detailed estimate, drawings and design should be taken up after
obtaining the assurance from the Airport In-charge that land is available without
any encumbrance or litigation.
10.5.2 In case shifting of services laid by local authorities for water / electrical line /
Sewer line and dismantling of temporary structure are required before starting of
the work, the cost of shifting of services and dismantling such structure should
also be included in preliminary as well as detailed estimate. The time required for
executing such infrastructure work may also be considered while assessing total
completion time of the project.
10.5.3 After accord of A/A & E/S detailed designs and drawings should be prepared by
the Directorate/Authority indicated below:

i. Detailed architectural design and Architectural Wing/ Architect

drawings appointed
ii. Detailed structural design and Structural Design Wing/ Consultant
drawings appointed.
iii. Pavement structural design and Department of Structure CHQ of
drawings AAI or consultant appointed.

29
 AAI Works Manual

iv Proof checking of structural design. a. Proof checking of structural

design shall be got done only
from Indian Institute of
Technology, National Institute of
Technology for works costing
more than Rs. 5 Cr.
b. Proof checking for the works
costing less than Rs. 5.00 Cr. can
be got done from any reputed
Govt. Engg. Colleges.

Note:
Design of new runway/taxiway/apron pavement structure, strengthening or
resurfacing of existing runway/taxiway/apron pavements should be got approved
from the concerned ED (Engg.) irrespective of the cost of the project in
consultation with department of structure.
.
10.5.4 Detailed estimate of the component/subhead of preliminary estimate having
highest value should be prepared by the engineering authority competent to accord
technical sanction up to that value as per the Delegation of Powers. For other
subhead of works of lesser value he shall decide and direct other authorities, if felt
necessary, to prepare detailed estimate of each such component and to accord
technical sanction accordingly.

10.5.5 Detailed estimate should be comprehensive duly supported by complete

details and based on drawings and calculation of design. Estimate should be
prepared under following subheads :-

30
 AAI Works Manual

i. History Particulars relating to the initiation of and reasons

leading up to the proposal and its general purpose
including reference to previous correspondence,
documents, where necessary.
ii. Design A description of the original proposal and the finally
adopted particularly with regard to location, design and
also with reference to specifications, calculations and
drawings, where necessary.
iii Scope An explicit statement as to what work is and is not
covered by the estimate, also a reference to what
arrangement are being made for any portions which are
not included in the estimate.
iv Rates Particulars as to how the rates have been arrived at
giving reference to the standard schedule of rates and
also to the details accompanying the estimates, where
necessary, with any special explanation connected
therewith.
v Cost Cost of the work and a comparison with the
corresponding amount provided in A/A & E/S.
vi Method The method proposed for carrying out the work whether
by item rate, percentage rate or lump sum contract
tender etc.
vii Establishment Details of any provision made in the estimate for work
charged establishment, if necessary.
viii T&P Details of the provision that has been made for any
construction tools and plants etc.
ix Land Availability of land or otherwise.
x Time Estimated period of construction after award of work.
For preparation of detailed estimate rates for the items should be adopted as
under:
i. Items available CPWD Schedule of Rates duly enhanced by prevailing
in current cost index of the locality. The cost index be worked out
CPWD based on current rates of labour and material adopting
Schedule of standard CPWD Norms.
Rates :
ii. Items not Rate to be analysed based on current rates of materials
available in and labours with standard coefficients or observed
CPWD coefficients of use with 1% water charge and
schedule of 15%contractor’s profit.
rates:
10.5.6 The quotations received from the market should be valid on the date of
finalization of estimated/justified cost. The market rates for materials/components
should be obtained from 2/3 manufacturers/authorized dealers. The quantity
discount available from manufacturer/dealer on the basis of likely estimated
quantity must be considered. In case of cement, quotations should be obtained
from at least two manufacturers / authorized dealers before incorporating the rates
in estimated / justified cost. The preferred make and item code of
material/components must be indicated for electrical/mechanical/electronic items
while calling quotations for such items at the time of preparation of justification
statement.
31
 AAI Works Manual

10.5.7 While forwarding the detailed estimate for technical sanction, following
information should invariably be furnished: -
a. Necessary details in support of the lump sum provision against cost of
works made in the estimate, if any;
b. Basis on which the rates have been provided, i.e. name of schedule of rates
adopted etc.;
c. Calculations of cost index duly supported by prevailing cost at site of
material and labour (As per Performa issued from CPWD) Appendix 6;
d. In case, rates are given by consultants, these rates are to be verified
independently by concerned Senior Manager while scrutinising the
estimate.
e. A brief note on the special construction difficulties, if any that are likely to
be encountered during the project construction stage and provision made
for them in the estimate.
10.5.8 Respective engineering official as per TS power and architect shall ensure proper
checking of preliminary and detailed estimate, drawings, analysis of rates and
justification statement submitted by consultant for sufficiency and adequacy of
estimate and rates adopted thereof, while submitting proposal for A/A & E/S and
technical sanction from the competent authority in the manner detailed below:
a. Verify and check for valid quotations from manufacturers/suppliers/vendors
for materials and items in the estimate.
b. Analysis of Rates and Justifications for item is appropriately loaded with
the applicable components pertaining to CP & OH, statutory provisions,
taxes and levies etc., to arrive at realistic rate.
c. Technical Instructions, issued by AAI after date of issue of WM from time
to time, are duly incorporated and kept in mind in preparation of estimate
and item specifications.
d. Analysis of rates submitted by consultants must be appropriately checked
with reference to Standard Analysis of Rates / CPWD Analysis of Rates /
analysis of Rates of MORTH, as applicable before submitting the estimate
for technical sanction.
e. The estimated quantities should be carefully prepared after checking detail
of measurements to avoid large scale deviation.
f. The specifications of items covered in the BOQ should be complete and in
conformity with the technical parameters and functional requirements of
work.
g. The specifications of manufactured items should be finalized carefully so
that there are more than 3 manufactures having products of similar
specifications in their regular manufacturing range.
10.5.9 Checking of preliminary estimate and detailed estimate shall be the responsibility
of Assistant Manager / Manager. However Senior Manager shall be overall
responsible for finalization of preliminary and detailed estimate as per duties
defined for each officer under chapter 2 of this Works Manual.
10.5.10 Use of glass and its specification has to be selected carefully considering human
safety. In this regard Engineer-In-Charge responsible for preparation of detailed
estimate shall refer “Guidelines on use of glass in buildings – human safety” by
referring to CCPS website www.ccpsindia.com. For selection of glass to be used
on Apron & city side façade, officer must refer BCAS requirements.
10.5.11 Followings must be considered before preparation of drawings for sewerage/
drainage pipe lines and accordingly provisions may be kept in estimates.

32
 AAI Works Manual

a. Design for laying of sewerage and drainage pipes shall be carried out to take care of
aircraft load for such crossings in accordance with Chapter – VII of “Aerodrome
Design Manual Part 3 – Pavements” published by ICAO in consultation with
department of structure.
b. Option for diversion/rerouting of pipes beyond the runway extremity, to avoid
crossing/below the ground level may be explored.
c. If diversion/rerouting are not feasible or advisable and pipes have to cross
runway/taxiway, suitable box culvert/tunnel be provided. Such subsurface structures
may be designed carefully to take aircraft design load. Due allowance should be made
to cater for aircrafts likely to use the facilities in near future, as per Master Plan.
d. Wherever crossing of services across runway occurs, input from State Government
officials may be obtained but independent examination by AAI engineers with regard
to design is essential.
e. The drains must be designed on the basis of metrological data available at airport and
catchment area catered and accordingly drawings must be prepared.
f. The condition for providing elegant Direction Board, Work in Progress shall be
required in case of repair works (road works, pipe line diversion works etc. ) for
operational requirements.
10.5.12 Design engineers may consider use of fly ash in RCC structures, embankments &
fly ash bricks wherever economically viable at the design stage itself.
10.5.13 Completion time for the project must be decided after considering rainy period (in
number of days). The progress during rainy days will be considered 50% of
progress on normal working days. The period considered for rains should be
indicated specifically in the NIT.

10.5.14 Soil investigation for building works shall be carried out as per Appendix-11A
which provides specifications for carrying out soil investigation for building
works. The agency appointed for soil investigation shall submit the soil
investigation report for new building works on the format provided at Appendix-
11B
10.5.15 Soil investigation for airfield pavements works shall be carried out as per
Appendix-12A which provides specifications for carrying out soil investigation.
The agency appointed for soil investigation shall submit the soil investigation
report for new airfield pavement works in the format provided at Appendix-12B.
10.5.16 Results of soil investigation report must be examined carefully in consultation
with department of structure, while designing the structure and preparation of
detailed estimate.

10.5.17 Place of excavation of earth and place of disposal of excess earth should be
specifically mentioned in the detailed estimate and NIT for the work of filling and
cutting of earth respectively.
10.6 Special provisions to be made in estimates:
(Amended vide TI No. 12 dtd. 01.04.2019)
1. Ministry of Environment, Forest and Climate Change, Government of India has issued
guidelines vide their officer memorandum F.NO.22-65/2017-IA.III dated 1st May 2018
for allocation of fund for Corporate Environment Responsibility (CER) in various
Greenfield and Brownfield Projects to have a better sustainable development.

33
 AAI Works Manual

2. The fund allocation shall be of the maximum percentage of projects as prescribed below
for different cases:-
S.No. Capital Investment / Greenfield Project - % Brownfield Project -
Additional Capital Investment of Capital Investment % of Additional
(in Rs.) Capital Investment
1 ≤100 Crores 2.0% 1.0%
2 >100 Crores to ≤ 500 Crores 1.5% 0.75%
3 >500 Crores to ≤ 1000 Crores 1.0% 0.50%
4 From 1000 Crores to ≤ 10000 0.5% 0.25%
Crores
5 >10000 Crores 0.25% 0.125%
3. As per above referred office memorandum, it is mandatory to incorporate the fund for
Corporate Environment Responsibility (CER) in addition to cost envisaged for the
implementation of EIA / EMP while designating & preparing any estimate related to
greenfield & Brownfield Projects.
4. Accordingly, the component for CER shall be included in the Cost Estimate prepared for
accord of A/A & E/S. The provision of CER component shall be the percentage of the
total cost of the Project (excluding GST & Contingency) calculated for execution of
work as illustrated below:
S.No. Description Component
1 Estimated Cost of Project (without GST but ‘X’
inclusive of component of operational area /
remote area work and labour cess)
2 Component of CER (% of ‘X’ as applicable) ‘Y’
3 Total (‘X ‘+ ‘Y’) ‘Z’
4 Add GST (as applicable) ‘A’
5 Total (‘Z’ + ‘A’) ‘B’
6 Add Contingency (% as applicable) ‘C’
7 Grand Total (Cost of the Project) (‘B’ + ‘C’) ‘D’
5. CER schemes shall be approved by concern Executive Director Engg. / RED / APD
Grade-I.
6. For ongoing projects wherein fund could not be kept for CER in original approvals, the
same can be booked from available contingency / saving of the projects.
7. Projects-in-Charge shall maintain proper records for such CER works for monitoring and
compliance to MoEF & other authorities.
10.6.1 In preliminary estimate and detailed estimates following special provisions
should be made whenever applicable: -
i If the work is to be Preliminary estimate – 5% on the amount
executed within the of the estimate.
operational area involving Detailed estimate – 5% on the amount of
restricted working time and the estimate.
restricted movement. Over the cost of component of works to
be executed in operational area under
restricted working conditions.
Ii If the work is to be Preliminary estimate – 2% on the amount
executed within the of the estimate.
operational building Detailed estimate – 2% on the amount of
involving restricted working the estimate.
time and restricted Over the cost of component of works to
movement. be executed in operational building under
restricted working conditions.
34
 AAI Works Manual

iii If the work is to be executed Preliminary estimate – 5% on the amount

in the remote/disturbed areas of the estimate.
(Declared by competent Detailed estimate – 5% on the amount of
authority as perceived from the estimate.
time to time). Present list of
such places has been
provided at Appendix - 13
iv Contingency 3% on the cost of estimate
v Amended on dt. 26.03.18 1/8th (12.5%) extra Component of labour
(New Para V to be added) cost for works being executed in North-
East Region.
a. Above factors under section 10.6.1 (i) to (iii) and any other factors, which
are not covered under standard Analysis of Rates required as per NIT/site
condition (influencing the execution) should be accounted for in working
out analysis of rates of items for justification of tenders.
Amended on dt. 26.03.18
Above factors under section 10.6.1 (i) to (iii) and any other factors, which
are not covered under standard Analysis of Rates required as per NIT/ site
condition (influencing the execution) should be accounted for in working out
analysis of rates of items for justification of tenders along with provisions
as per para 37.4.6 of Works Manual.
b. The effect of GST and Labour Cess are to be added in the preliminary
estimate at the time of submission of P.E.
c. Contingency provisions are meant to meet the expenses of press
advertisements, press tender notices, minor works arising due to site
conditions and contingent to main work for its completion. This provision
shall also be utilised to meet expenses in project work like construction of
temporary site office, site laboratory, site stores room/godown, providing
furniture for field offices/work places, project stationery, type writer,
photocopiers, computers, telephones, cell phones, printing/typing charges,
engaging temporary workers/manpower for project jobs and vehicle
purchase or hire charges and P.O.L. expenses etc. Procurement of items
such as Telephone, cell phone, computer, Photocopier etc. should be
governed by the policy of AAI and approval of competent authority,
accordingly.
d. For the projects where technical sanction has been accorded by SM/AGM,
these officers shall have full powers to sanction expenditure on contingency
work subject to maximum as per DOP. For expenditure beyond this limit he
will obtain prior approval of next higher authority provided funds are
available under contingencies head.
e. For the projects where technical sanction has been accorded by
DGM/Jt.GM, these officers shall have full powers to sanction expenditure
on contingency work subject to maximum of Rs 5 Lac/ Rs 10 Lac
respectively. For expenditure beyond this limit he will obtain prior approval
of next higher authority provided funds are available under contingencies
head.
f. The expenditure on contingency shall be approved by the authority as per
delegation of powers applicable time to time.
g. For the projects where technical sanction has been accorded by GM,
officers shall have full powers to sanction expenditure on contingency work
subject to maximum of Rs 20 Lac. For expenditure beyond this limit he will
obtain prior approval of next higher authority provided funds are available
under contingencies head.
35
 AAI Works Manual

h. In projects where GM is the project in-charge and ED is posted outside

Municipal limits of project site, GM may exercise powers to utilize
provisions under contingencies (being executed by him under each sub head
independently) under intimation to ED concerned subject to maximum of
Rs. 20 Lac.
10.7 Revised Estimate:
When any excess over permissible limits of sanctioned estimate is foreseen and
unavoidable delay in preparation of revised estimate is anticipated, an immediate
report of the circumstance should be made to the authority whose sanction will
ultimately be required for accord of approval in principle. Revised estimate
should be submitted in the Performa given in Appendix-14.
10.8 Repair Estimate for Works:
10.8.1 The Senior Assistant /Sr. Superintendent. /Junior Executive/ Assistant Manager/
Manager (Engg) (C/E) should physically inspect all buildings/ installation where
annual repair needs to be carried out. Senior Manager/ AGM (Engg) (C/E) should
counter check / verify the estimate.
10.8.2 The repair estimate for various works should be prepared and sanctioned
separately for each of the following categories of assets:
a. Residential buildings in groups of different types of buildings.
b. Technical buildings excluding hangars.
c. Hangars.
d. Runway, Taxi Tracks, aprons, side strips and drains in operational area.
e. Roads, external services, gardening, drains (outside operational area) etc.
f. Night landing facilities, VASI/PAPI and other electrical installations.
10.8.3 Repair estimate should be checked by Assistant Manager /Manager (Engg.) and
Senior Manager/Assistant General Manager (Engg.) to the extent of 100% and
50% respectively. It should be ensured that there is no duplication or in fructuous
expenditure in case of annual and special repairs.
10.9 Guideline for preparation of maintenance estimate for Horticulture work
The following norms shall be followed for preparation of maintenance estimates
for various horticulture works in AAI
10.9.1 Manpower
a. Maintenance of lawn –One Mali for 1.00 acre
b. Maintenance of hedge – One Mali for 12000 running ft.
c. Mowing of lawn - One Mali for 12 acres
d. Trees:
 One Mali for 250 Nos. of trees up to 4 years old
 One Mali for 300 Nos. trees between 4-8 years old
 One Mali for 1200 Nos. of trees beyond 8 years old
 One Mali for 500 Nos. shrubs plants
 One Mali for 250 Nos. displayed foliage potted plants
 Labour /Beldar – 18 Nos. per acre for seasonal work.
10.9.2 Manure, Fertilizers, Good Earth
a. Sludge manure/Cow dung manure - 12 cum per acre.
b. Good earth - 12 cum per acre.
c. For Road side plantations Sludge - 5 cum for 100 trees manure/cow dung
manure 5 cum for 1200 shrubs.
d. Fertilizers:
- Urea - 100 kg per acre
- DAP - 100 kg per acre
36
 AAI Works Manual

SECTION 11: Execution of Works

(Amended vide TC No. 10/2018 dtd 05.12.2018)
Expediting CAPEX Goal in a Time Bound Manner.
Further, in order to improve and streamline the Engineering working, it is decided
that Electrical units at CHQ and RHQs shall also process the composite (Civil &
Electrical) work alternatively, from A/A & E/
S stage to award stage and handle the file till completion of work to get well
acquainted with processing of Board note, IRR, DRC, Arbitration, Escalation etc.
in true spirit to familiarize with all the aspects of Engineering working.
Accordingly, all concerned are advised to allot the Project to Civil and Electrical
unit alternatively to expedite the CAPEX goal in a time bound manner.
11.1 Preliminary
11.1.1 It should be ensured that no work is taken in hand without proper technical
sanction except for design based tenders wherein system design and preparation
of Detail Estimate is included in the scope of work. After accord of technical
sanction to the detailed estimate, action should be taken immediately for taking
over the possession of land /work site required for the construction work. Action
is also to be taken expeditiously for approval of draft Notice Inviting Tenders and
publication of Press Tender Notice including release on NIC SPP Portal AAI
Website. Where the project includes works like electrical, air-conditioning,
equipment procurement and installation of navigational aids etc., concerned
Units/ Directorates in respect of these works should be immediately informed
along with the copies of the A/A & E/S, approved preliminary estimate, and
related portions of the detailed estimates. Simultaneously, copies of the
drawings/plans should be furnished to these units for further action on these sub
heads.
11.1.2 If external services i.e. roads, drains, water supply mains, sewerages, electricity
supply (main) are to be provided by local Municipal Authorities or Electricity
Boards etc. then the concerned Engineer-in-Charge of the project shall coordinate
with these agencies expeditiously so that these services are available
simultaneously with the completion of the project.
11.2 Scope of Sanction
11.2.1 Administrative Approval and Expenditure sanction to an estimate means an
authority granted for the precise project for which the estimate was intended.
Accordingly any anticipated or actual savings from a sanctioned estimate for a
definite project shall not, without prior approval of the authority which accorded
administrative approval to the project, is utilised to carry out additional work not
contemplated in the original project.
11.2.2 After grant of technical sanction, if material, structural alterations are
contemplated, the orders of the authority, which accorded technical sanction to
the detailed estimate, should be obtained, even though no additional expenditure
may be involved due to such alterations.
11.2.3 If any additional work is considered necessary for the development of a
sanctioned project, while the work is in progress, which is not fairly contingent to
the work as sanctioned the same should be executed by obtaining a separate A/A
& E/S through a supplementary estimate.
11.3 Inspection of work:
37
 AAI Works Manual

11.3.1 It is incumbent upon various officers concerned to inspect the works frequently
during execution to ensure that works are being executed strictly according to
design and specifications laid down for the purpose. Primarily an officer who
records or test checks the measurements of an item of works shall be responsible
for the quality and quantity and dimensional accuracy of the work that he has
measured/test checked.
11.3.2 Assistant Manager, Engg. (C/E) and Manager, Engg. (C/E) shall ensure quality of
entire work during the progress and Senior Manager Engg. (C) / (E) & Assistant
General Manager (C)/ (E) must make adequate surprise checks to ensure quality
of work. However regarding hidden items of work like concreting and
reinforcement etc. Asstt. Mgr./Mgr./SME/AGM must check/ensure 100% quality
of work.
11.3.3 The works Diary should be maintained as per the Appendix – 15
11.4 Completion Certificates:
11.4.1 The completion certificate of work should be recorded in the measurement book
by the concerned Senior Assistant/Sr. Superintendent/Junior Executive Engg.
(C/E) or Assistant Manager/Manager, Engg. (C/E) or
SM/AGM(C/E)/DGM/JGM(C/E) under whose direct supervision the work has
been completed. This certificate should then be countersigned by the Engineer-in-
charge of the work.
The form of completion certificate to be recorded in the measurement book
should be as under:
“Certified that the work has been physically completed on………., that no defects
are apparent and the contractor has removed from the premises on which the
work was being executed, all scaffolding, surplus materials and rubbish and
cleaned off the dirt from all wood work, doors, windows, walls floors or other
parts of the building, in, upon or about which the work was to be executed or of
which he had possession for the purpose of execution thereof. This is, however,
subject to measurements being recorded and quality being checked by the
competent authority.”
Amended on dt. 26.03.18
The Completion certificates shall be issued by SM/AGM (C/E) for the
works for which they are Engineer-in-charge and shall be issued in the
format as per Appendix-16, after recording of Completion Certificate by
JET/AM/ Mgr. (C/E) in the format as provided at section 11.4.1.
DGM/JGM (C/E) shall issue Completion Certificate in the format provided at
Appendix-16 for the works for which they are designated as Engineer-In-Charge
after Completion Certificate has been recorded by JET/AM/MGR (C/E) in the
format provided at section 11.4.1 and duly recommended by SM/AGM (C/E).
GM (C/E) shall issue Completion Certificate in the format provided at Appendix
16 for the works for which they are designated as Engineer-In-Charge after the
same has been recorded by SM/AGM (C/E) in the format as provided at section
11.4.1 and duly recommended by DGM / JGM (C/E).
11.4.2 Final Completion Certificate of work should be issued by:
a. DGM/JGM (Engg.) will issue completion certificate upto value of work of
Rs.300 cr.
b. GM shall issue completion certificate for all value of works beyond Rs.
300Cr.

38
 AAI Works Manual

11.4.3 Report of completion certificate should be submitted to the next higher authority
within 30 days of issuing such certificate. The completion certificate has to be
issued by the competent authority in the format provided at Appendix-16.
11.4.4 Final payment should not be released to the contractor unless completion
certificate is issued by the competent authority.

11.4.5 One of the following formats as applicable must be used for recording completion
certificate in the measurement book: -

39
 AAI Works Manual

A Building Works
I have inspected the work of contract value of which is Rs.
vide agreement No. _ to-day on . As a result of my inspection,
it is certified that the work has been physically completed on
, that no defects are apparent and the contractor has removed
from the premises on which the work was being executed, all scaffolding,
surplus materials and rubbish and cleaned off the dirt from all wood work,
doors, windows, walls floors or other parts of the building, in, upon or
about which the work was to be executed or of which he had possession for
the purpose of execution thereof. This is, however, subject to measurements
being recorded and quality being checked by the competent authority.
The work is declared completed subject to rectification of following minor
defects.
i.
ii.
B Repair Works.
I have inspected the work of contract value of which is Rs.
vide agreement No. Today on as a result of this inspection, I
find that the work has been executed generally to specifications, and has
been completed satisfactorily without any apparent defects. The
performance of the repaired system has been tested and found satisfactory.”
C Electrical and Mechanical Systems/Works.
I have inspected the work of having contract value of which is Rs.
vide agreement No. Today on . As a result of this
inspection and my previous inspections, I find that the work has been
executed generally to specifications, and has been completed satisfactorily
without any apparent defects. The performance tests on the system have
been conducted by the Engineer-In-Charge according to tendered
specifications and results are found satisfactory as stipulated in NIT. The
work is declared completed subject to rectification of following minor
defects.
……………….
D Operation and Maintenance Works.
I have inspected the work of having contract value of Rs. _ vide
agreement No. today on . As a result of this inspection and my
previous inspections, I find that the work has been executed generally to
specifications, and has been completed satisfactorily without any apparent
defects. The system has been taken over by department / next agency for
operation and maintenance and found all systems in satisfactory working
condition. There are no noticeable defects except for the following minor
defect.
11.4.6 Factual report of completion should be given by Engineer-in-Charge without any
adjectives. Comments if any, in the completion report regarding performance,
technical and financial capability and intent of contractor for timely completion
of work etc. should be recorded. The performance of the contractor should be

40
 AAI Works Manual

recorded on prescribed Performa (Appendix-95) should be submitted to higher

authority for further action.
11.4.7 In case the work is carried out through a JV Company, this fact should be brought
out clearly, indicating the percentage share off all joint venture firms in the
completion certificate.
11.4.8 Engineer-In-Charge and Deputy General Manager (Eng.)/Jt. General Manager
must record completion certificate on standard format for work within their TS
powers. Refer Appendix 16.
Amended on dt. 26.03.18
The Completion certificates shall be issued by SM/AGM (C/E) for the
works for which they are Engineer-in-charge and shall be issued in the
format as per Appendix-16, after recording of Completion Certificate by
JET/AM/ Mgr. (C/E) in the format as provided at section 11.4.1.
DGM/JGM (C/E) shall issue Completion Certificate in the format provided at
Appendix-16 for the works for which they are designated as Engineer-In-Charge
after Completion Certificate has been recorded by JET/AM/MGR (C/E) in the
format provided at section 11.4.1 and duly recommended by SM/AGM (C/E).
GM (C/E) shall issue Completion Certificate in the format provided at Appendix
16 for the works for which they are designated as Engineer-In-Charge after the
same has been recorded by SM/AGM (C/E) in the format as provided at section
11.4.1 and duly recommended by DGM / JGM (C/E).
11.5 Authority to record completion certificate.
11.5.1 Completion certificates shall be recorded by officers at different level depending
on value of work as detailed below.
a. Deputy General Manager/Jt. General Manager shall issue completion
certificate in the format provided at Appendix 16 after C/C has been
recorded by SM/AGM in the format provided at Section 11.4.1 for all the
works upto Rs.300.00 crores.
b. General Manager in charge of work shall issue completion certificate in the
format provided at Appendix 16 after C/C has been recorded by SM/AGM
in the format provided at Section 11.4.1 and formal recommendation has
been received from DGM/Jt.GM for all works costing beyond Rs.300.00
crores.
Amended on dt. 26.03.18
The Completion certificates shall be issued by SM/AGM (C/E) for the
works for which they are Engineer-in-charge and shall be issued in the
format as per Appendix-16, after recording of Completion Certificate by
JET/AM/ Mgr. (C/E) in the format as provided at section 11.4.1.
DGM/JGM (C/E) shall issue Completion Certificate in the format provided at
Appendix-16 for the works for which they are designated as Engineer-In-Charge
after Completion Certificate has been recorded by JET/AM/MGR (C/E) in the
format provided at section 11.4.1 and duly recommended by SM/AGM (C/E).
GM (C/E) shall issue Completion Certificate in the format provided at Appendix
16 for the works for which they are designated as Engineer-In-Charge after the
same has been recorded by SM/AGM (C/E) in the format as provided at section
11.4.1 and duly recommended by DGM / JGM (C/E).
c. The power for recording completion certificates shall remain same for
Electrical, Mechanical and Electronic works but the certificate shall be
recorded in one of the format provided at section 11.4.5 (c) according to
nature of work.
41
 AAI Works Manual

Note: The work of recording of completion certificate in measurement book/

computerised MB shall be done up to the level of Senior Manager/Assistant
General Manager. All other senior officers shall issue completion certificate
in any one of the format provided at section 11.4.5(a) to 11.4.5 (d)
This certificate must be recorded within a period of 3 months from the date of
completion of the work.
11.5.2 In order to minimize time lag between completion and operationalization of new
facilities following procedures will be adopted:
a. On completion of 90% progress, the concerned Project-In-Charge would send
intimation to concerned Regional Executive Director (RED), about likely date of
completion.
b. A board of officers would be constituted by RED to inspect the site/facility with a
view to put the facility into operation and commission the facility for beneficial use:
 HOD (ATC) at station.
 HOD (Comm.) at station.
 APD or his nominated officer.
 RED may consider nominating one officer of the level of DGM and above.
RED may consider nominating one senior officer from RHQ, if required.
i. Board of officers will examine critically all the aspects to put the facilities
into operation on completion and submit its report within 7 days. Defects
/shortcomings/ deficiencies noticed will be brought out in the report. Board
will examine the facility from the ‘Users’ angle, keeping in view the A/A &
E/S of the project.
ii. It will be the duty of the Project-In-Charge to take action to address all the
issues brought out in the report. All efforts should be made by him to remove
shortcomings/deficiencies to ensure that facility is acceptable to Users.
iii. Board of officers will examine the facility once again on completion of
project, as per intimation received from Project-In-Charge. The Board will
see if all the Project features including site clearance are completed and
certify the same. If some minor points are left, the same will be included in
the Report for compliance by the Project-In-Charge.
iv. Board of officers will submit report to RED, through APD/APC, and if
certified ‘Fit for taking over’ by the Board, RED will arrange to put the
facility into operation, at the earliest without waiting for rectification of
minor defects which can be carried out simultaneously along with
commissioning.
11.6 Co-ordination during execution of work:
11.6.1 Co-ordination during actual execution of work should be done by the concerned
Deputy General Manager/Jt. General Manager/ General Manager Engg.. As soon
as the project is started Sr. Manger, Engg. (E) should obtain copies of working
drawings and diagrams for the electrical works from the Senior
Manager/Assistant General Manager(Engg)(C), showing clearly the positions and
sizes of the cut out and chases which are to be left to accommodate the fittings
and provide passage for pipes/cables etc. Similar action should be taken by the
Senior Manager/Assistant General Manager Engg. (C) in respect of sanitary and
water supply installations. Senior Manager/Assistant General Manager Engg. (C)
must ensure that all the holes/cut out and chases are left at proper places while
42
 AAI Works Manual

masonry work is in progress. Joint inspection should be arranged with the Senior
Manager/Assistant General Manager,(Engg.) (E)/Manager, Engg.(E) to ensure
that no mistakes are made in the locations and also to arrange for modifications if
any, that may be considered necessary.
11.6.2 Composite tenders comprising of civil works, water supply, sanitary installations,
internal electrification works, fire fighting and fire protection works should be
called for smooth execution. Civil and Electrical works should be inspected and
measured by the engineers of the respective disciplines i.e. civil and electrical but
overall contract management should rest with the officer designated as Engineer-
in-Charge in the contract agreement.
11.6.3 The representatives of other departments/directorates responsible for operation
and maintenance of various services like PA System, FIDS, CCTV System, Fire
Alarm & Fire Fighting System, Data Cabling etc. must be involved at all stages
of system design, execution of work and performance testing of components /
system. This will invite valuable inputs from them and facilitate handing over of
system for maintenance on completion.
11.6.4 Engineer-in-Charge shall maintain a register called “Consolidated Register of
Works”, wherein, total cost of the project including all components i.e. building,
water supply, sanitary installations, internal electrical installations, air
conditioning, fire fighting and fire detection system, furniture and furnishing etc.
should be entered. For this purpose, different engineering units concerned, on
completion of their portions of work, intimate the audited figure of the
expenditure to the Engineer-in-charge. Overall responsibility for obtaining
revised A/A & E/S for the project as a whole, wherever required, shall rest with
the Engineer-in-charge of the project.
11.6.5 Deputy General Manager/Jt. General Manager will function as Engineer- In-
charge of the contract costing upto Rs. 300 Cr. However Senior
Manager/Assistant General Manger(C/E) shall also be made Engineer –in-
Charge for the works upto Rs.5.00Cr. but with specific approval of Member(Plg).
GM(Engg) will function as Engineer-In-charge for all the contract costing
beyond Rs.300 Cr.
11.6.6 Project In-charge are responsible for timely execution and completion of not only
civil works/ awarded works but a strict watch have to be kept by them on all
items sanction under A/A & E/S. It will also be responsibility to ensure that all
items are executed in synchronised with building constructions and facilities are
commissioned with all items covered under A/A & E/S. He shall coordinate with
concern GM / DGM of CHQ (Eng.) CNS/ Equipment/ Operational Directorate to
keep them informed of progress of work at site. Any slippages / delays and its
resultant repercussions should be brought out clearly and explicitly by him in his
monthly progress report.
11.7 Foreclosure of contract due to Abandonment or Reduction in Scope of Work
11.7.1 AAI may decide to foreclose the contract due to any reasons whatsoever at any
time after acceptance of the tender. In such circumstances NIT approving
authority may decide to abandon or reduce the scope of the work which is no
more required to be executed. In such case Engineer-in-Charge shall give notice
in writing to that effect to the contractor with the prior approval of NIT approving
authority with recorded reasons after obtaining concurrence from the finance as
per DOP. It will be binding on the contractor to act as per the direction of the
Engineer-in-charge.

43
 AAI Works Manual

11.7.2 It will be imperative on the part of Engineer-in Charge to seek and obtain financial
concurrence from associate finance before taking final decision for foreclosure.
11.7.3 The contractor shall have no claim for any payment as compensation or otherwise
whatsoever, on account of any profit or advantage which he might have derived
from the execution of the works in full, but which he did not derive in
consequence of the foreclosure of the whole or part of the work. The contractor
shall be paid at contract rates, full amount for work executed at site and, in
addition, a reasonable amount as certified by the Engineer-in-Charge for the items
hereunder mentioned which could not be utilized on the work to the full extent in
view of the foreclosure;
a. Any expenditure incurred on preliminary site work, e.g. temporary access
roads, temporary labour huts, staff quarters and site office; storage
accommodation and water storage tanks.
b. AAI shall have the option to take over materials brought at site by the
contractor or any part thereof or for which the contractor is legally bound
to accept delivery from suppliers (for incorporation in or incidental to the
work) provided, however AAI shall be bound to take over the materials or
such portions thereof as the contractor does not desire to retain. Cost of
such materials taken over or to be taken over by AAI as decided by
Engineer-in- Charge shall be paid. The cost shall be adjusted taking into
account purchase price, cost of transportation and deterioration or damage
which might have been caused to materials whilst in the custody of the
contractor.
c. If any materials supplied by AAI are rendered surplus, the same except
normal wastage shall be returned by the contractor to AAI at rates not
exceeding those at which these were originally issued, less allowance for
any deterioration or damage which may have been caused whilst the
materials were in the custody of the contractor. In addition, cost of
transporting such materials from site to AAI stores, if so required by AAI,
shall be paid.
d. Reasonable compensation for transfer of T & P from site to contractor’s
permanent stores or to his other works, whichever is less. If T & P are not
transported to either of the said places, no cost of transportation shall be
payable.
e. Reasonable compensation for repatriation of contractor’s site staff and
imported labour to the extent necessary.
Engineer- in-Charge may ask the contractor to furnish, books of account, wage
books, time sheets and other relevant documents and evidence as may be
necessary to enable him to certify the reasonable amount payable under this
condition.
The reasonable amount of items on above shall not exceed 2% of the cost of the
work yet to be completed on the date of closure, i.e. total tendered cost of the
work less the actual cost of work executed under the contract and less the cost of
contractor’s materials at site taken over by the AAI as above. Provided always
that against any payments due to the contractor on this account or otherwise, the
Engineer-in-Charge shall be entitled to recover all outstanding dues from the
contractor for advance paid in respect of any tool, plants and materials and any
44
 AAI Works Manual

other sums which at the date of foreclosure were recoverable by the AAI from the
contractor under the terms of the contract.
11.8 Maintenance Services:
11.8.1 The scope and area of civil engineering maintenance services and repairs will
generally include:
a. Maintenance of runway, taxi way, aprons, shoulders, over run areas, etc.
b. Maintenance of terminal buildings, hangars, various communication
stations like VOR, DVOR, middle marker, outer marker, transmitting
stations, etc., residential buildings and other ancillary buildings.
c. Maintenance of internal roads, culverts, vehicle parking area, etc.
d. Maintenance of water supply system, sewerage system, drainage system,
etc.
e. Maintenance of furniture.
f. Maintenance of security fencing.
g. Minor additions/alterations which do not affect the existing structural
design.
h. The responsibility of grass cutting in operational area/other areas shall be
with Engg. Department. The works shall be taken up after consultation with
Airport In-charge. The work shall be executed considering the availability
of grass cutting instruments. In absence of functional grass cutting
equipment or if the equipment is non-functional, the Engg. Department
shall get grass cutting work executed by outsourcing.
11.8.2 The scope of the work of maintenance and repairs of electrical engineering
services shall include followings:
a. Maintenance and operation of HT/LT, Power supply to the equipments in
airport terminal buildings, airport communication stations, residential
quarters, and ancillary buildings.
b. Maintenance and operation of standby D/G sets at airports, communication
stations, etc.
c. Maintenance and operation of ground lighting facilities for airports.
d. Maintenance and operation of flood lights, apron lights.
e. Maintenance and operation of following mechanical equipments.
i. Baggage conveyors
ii. Lifts
iii. Escalators
iv. Aerobridges
v. F.I.D.S.
vi. Electrically operated road barriers
vii. Electrically operated Automatic doors
viii. Power supply to X-ray Baggage Units
ix. Power supply to PA system and C.C.T.V. system.

f. Water supply and fire fighting system viz. maintenance of pump sets and
operation of pump sets only.
g. Maintenance and operation of central air conditioning plants, cold storage
units, A/C units, water coolers, etc.
h. Internal electrification to terminal building, hand driers, water heaters, sign
boards, rotating beacon, residential quarters, ancillary buildings, fire
stations, communication stations, etc.
i. External electrification of car park lighting, road lighting, etc.
j. Minor additions /alterations in electrical installation.
k. Execution and Maintenance of auto pump for sewage and drainage disposal.
45
 AAI Works Manual

l. Fire detection and Safety system such as Fire alarm system including
addressable main and repeater panels.
NOTE: Above list is not exhaustive and is for guidance only.
11.8.3 Electronic Works: - Maintenance of Electronic services includes followings.
a. Maintenance and operation of Security System such as X-ray machines,
HHMD, DFMD and Access control system, surveillance CCTV etc.
b. Maintenance and operation of communication system such as EPABX, RT
Set, Intercom sets etc.
c. Maintenance and operation of FID System, indicating CCTV, PA system
etc.
d. Maintenance and operation of computer networks, PC’s and allied power
supplies.
e. Cabling network and power supplies related to above system.
f. Other operational and facilitation system in Fire station, cargo etc.

Schedule of maintenance:

Sl. Item Frequency of

maintenance
1 Cleaning of Monitors, FID Boards & other 1 week
equipment
2 Cleaning of Fire detectors 2 months
3 Tuning/alignment of PA Equipment 15 days
4 Alignment of TV monitors 1 month
5 Checking up of software in control equipment, 1 month
EPABX
6 Parameter checking in PA equipment, 1 month.
monitors, EPABX etc.
11.8.4 The tenders for the work of running and maintenance contracts, operation of
various services and electrical equipment shall be called after drafting suitable
pre-qualification criteria for each work. The criteria should be finalised with due
care so that proper agencies are pre-qualified for the execution of work.
Following issues must be considered while drafting PQC.

i. The eligibility criteria shall be based on estimated cost of the work for one
year, even if tender are being invited for a period of two or more years.
ii. For one year contracts eligibility criteria should be defined to prequalify
agency that has completed one year of AMC but work is still not completed
due to longer period of AMC, his experience shall be counted for the value of
work for a completed one year on pro-rata basis.
iii. One of the considerations should be value of works in hand and availability of
work force to be employed on the work under consideration.
11.8.5 The tenders for work of AMC / CMC should be called for maximum period of 5
years. The duration of the period must be decided after due consideration of
warranty period and remaining useful life of individual equipment as well as
system as a whole.
11.9 Type of Maintenance
11.9.1 The various types of maintenance works should be grouped into three categories,
viz:
a. Annual maintenance;
b. Periodical maintenance;
46
 AAI Works Manual

c. Day-to-day maintenance.

The maintenance works involved under each category and their frequency of
execution are indicated in succeeding paragraphs.
11.9.2 The frequencies of annual and periodical maintenance services mentioned at
Section 11.9.3 below are for general guidance. The Engineer-in-Charge
responsible for the maintenance services will physically check the site and
installations and prepare a list of requirements which shall be finalised in
consultation with Airport In-charge. Thus actual requirement may need higher
frequencies of repair services which can be adopted after proper justification and
prior permission of the next higher engineering authority.
11.9.3 The annual maintenance works shall generally consist of:
Civil Works
Sl. Item Frequency
a. White washing/colour washing/ Once in a year
distempering of buildings
b. Painting of doors, windows and i. Once in a year in Terminal Building
other wooden members and and AAI Corporate Head Quarter
structures. Building.
ii. Once in two years in other buildings
and structures.
c. Painting of steel door and i. Once in a year in Terminal Building
window frames, grills and other and corporate Head Quarters building.
components. ii. Once in two years in other building
and structures.
d. Painting of CGI sheet wall, Once in two years.
roofing, etc.
e. Grinding and polishing of i. Once in a year in Terminal Building
mosaic, terrazzo, marble, kota, and corporate Head Quarters building.
granite flooring etc. ii. Once in three years in other building
and structures.
f. Wax polishing of floors. i. Terminal Building-Once in every six
months.
ii. Corporate and Regional Head Quarters
building – Once in a year.
g. Sheen polishing of floors. Once in two years
h. Cleaning of storm water drains/ Twice in a year.
sewer lines/ Over Head tanks/
Underground sumps.

Electrical Works: For frequency of annual maintenance of electrical works

the web-site: www.aai.aero-aai-employees-serving-aai-employees-related
links-Manuals-electrical/engineering Maintenance schedules of Electrical
&Mechanical Installations may be referred.
11.9.4 The periodical maintenance work shall generally consist of:
Civil Works:
S.N Item Frequency
a. Painting of runway, taxiway, As decided by Airport-in-charge.
aprons, etc.
b. Maintaining of pavement Once in a year.
joints.

47
 AAI Works Manual

c. Cleaning bushes and grasses Once in three months.

along the sides of runway,
taxiway, aprons, etc.
d. Cleaning bushes and grasses in Once in six months.
the residential colony and non-
residential area.

Electrical Works: For Electrical works the web-site: www.aai.aero-

aaiemployees-servingaaiemployees-related links-
Manualselectrical/engineeringMaintenanceschedulesofElectrical&MechanicalI
nstallations may be referred.

11.9.5 The day to day maintenance work will be carried out immediately as and when
required and such maintenance and repairs services will normally include:
Civil Works:
a. Repairs to leakage in water pipe lines.
b. Repairs to leakage in sewerage lines.
c. Repairs/replacement of water supply and sanitary fittings, glass panes,
fittings of doors and windows etc.
d. Repairs to security fencing.
e. Repairs to roof leakage.
f. Repairs to plastering and other minor damages to walls, floors, roofs etc.
g. Repairs to potholes or other minor damages developed on pavements of
runway, taxiway, apron, roads etc.
h. Attending other day to day complaints about defects received from
residents and airport officers.

Electrical Works: For electrical works the web-site: www.aai.aero-

aaiemployees-servingaaiemployees-related links-Manuals-
electrical/engineering Maintenance schedules of Electrical & Mechanical
Installations may be referred.

11.9.6 To avoid frequent tendering of each and every small job as far as possible minor
maintenance works at airport and also some works of urgent nature may be
carried out through rate contract with specific approval of airport in-charge. This
rate contract should be based on the rate contract finalised on the percentage rate
over the scheduled items of DSR currently in use.

11.9.7 Following precautions shall be taken while calling tenders for the work of
Annual Maintenance Contract for Window and Split A/C of capacities of 5TR or
below.

a. The period of CMC shall be limited to 3 years only.

b. The BOQ shall be bifurcated into different items taking into considerations
the balance useful life of the A/C and Water Cooler for the number of
months a particular A/C is to be maintained.
c. If any existing A/C is to be replaced during CMC period, then for such
A/Cs shall be only for the remaining period after taking into account
warrantee period/ pre-replacement period.

48
 AAI Works Manual

11.9.8 Procedure for reporting on maintenance/ safety checks: Monthly maintenance

status report to be sent to GM (Engg-E) of the region by 7th of every month as per
technical instruction issued from time to time.

11.9.9 The frequency and nature of maintenance of important components/equipment of

electrical and mechanical systems shall be as per recommendations of OEM.

11.10 Procedure for allotment of funds and carrying out maintenance works

11.10.1 The maintenance year will be reckoned from 01 April to 31 March of the next
year. For each maintenance year, the Field Maintenance Units will prepare
necessary estimates for the airport under their jurisdiction. The estimates must
invariably indicate followings:
a. Items of works proposed to be done under annual maintenance and their
cost.
b. Items of work proposed to be done under periodical maintenance and their
cost.
c. For day to day maintenance throughout the year :

i. Requirement of skilled labourer and their trade.

ii. Requirement of unskilled labourer.
iii. Requirement of various construction materials and building materials.
iv. Anticipated cost of labourer and stores for the year.

11.10.2 During the month of August of every year each Airport In-charge shall work out
the requirement of funds for all the Annual repairs and maintenance and minor
works to be carried out in the airport complex for the next financial year in
consultation with the engineers available at the airport.

11.10.3 By 15th September of every year respective Airport In-Charge shall place his
requirements of funds to the Regional Executive Director /Airport Director

11.10.4 By 31st October the office of Regional Executive Director /Airport Director shall
finalise the details of works and shall compile the requirement of funds so
received from various airports/units in consultation with Regional Engineering
Heads and Regional Finance Directorate.

11.10.5 On approval of Revenue Budget the RED and APD will circulate details of such
approved works and funds earmarked should be intimated by Regional
Engineering Heads to Airport In-charges and field engineers latest by 15th
February.

11.10.6 From 1st April of each year on placement of such funds the respective engineers
of the regions attached to various airports shall thereafter accord the technical
sanctions to the detailed estimates of various annual repairs and maintenance
works in accordance with the powers delegated in the Delegation of Powers and
shall initiate execution of the works. No separate administrative approval is
required to be obtained for such AR & MO works till the total amount to be spent
is within the funds allotted for the respective airport.

49
 AAI Works Manual

11.10.7 Before accepting quotations/tenders for A.R.M.O works, accepting authority

shall obtain financial concurrence from the concerned finance department.
Financial concurrence covers the checks on the following parameters: -

a. Scope of work in tender is covered by technical sanction/revised technical

sanction.
b. Availability of funds.
c. Correctness of the scrutiny establishing the status of Lowest Tenderer (L1)
as evaluated.
d. Availability of certificate from the Engineering Department on the justified
cost worked out.
In case of difference of opinion regarding accord of financial concurrence, the
case should be put up to the immediate next higher authority than the accepting
authority, for his decision.

11.10.8 For normal, A.R.M.O. works at the airport where Assistant Manager/Manger/
Senior Manager (F&A) is not posted, such financial concurrence shall be
obtained by the accepting authority from Regional Accounting Unit.

11.10.9 For urgent A.R.M.O. works costing up to Rs.1, 00, 000/- each at the airport where
AM/ Manager (Finance) is not posted, prior financial concurrence should be
dispensed with. Such works should be undertaken by call of quotations and
should be accepted by the multi-disciplinary committee, constituted by the
airport in-charge, consisting of the local engineer and two non-engineering
officers. However, Airport-in-charge shall ensure that parameters stipulated in
above sections are fulfilled and ex-post facto concurrence is obtained at the
earliest.

11.10.10 Maintenance works need constant presence of the contractors and their
representatives / workmen at airport site. It is, therefore, desirable that contractors
are preferably from the same airport station so that airport in-charges/field
engineers can have proper co-ordination with the contractor for ensuring
immediate attention of such maintenance works. Thus, for the works falling
within the technical sanction powers of Regional/ Field
GM/JGM/DGM/SM/AGM (Engg.) approved NIT should be sent to the Assistant
Manager/Manager (Engg.) of the respective airport for calling tenders at airport
itself. At the airports where AM/ME/SM/AGM (Engg.) is not posted, the
approved NIT should be sent to the Airport In-charge for calling tenders. Tenders
should be called at the airport and should be opened in the presence of Airport In-
charge, available engineers at the airport, finance representative, if available or
representative from any other wing. Within the 15 days of the opening of
tenders, the tender documents, in original, with comparative statement and
justification of rates, etc. should be forwarded by the respective Assistant
Manager/Manager (Engg.) at the airport or by the Airport In-charge (where
Assistant Manager/ Manager (Engineering) is not posted) to the concerned
SM/AGM (Engineering) of the region for taking further action in award of work.

11.11 Fire Prevention Methods

The following Fire Prevention Methods in Terminal Building/ Associated

ancillary building should also be implemented in addition to other measures.

50
 AAI Works Manual

11.11.1 All Electrical installation rooms should be provided with portable Fire
extinguishers and the serviceability of these extinguishers should be physically
verified by Assistant Manager/Manager (Engg.). The Department of Fire should
be responsible for total up-keep and functioning of the fire equipments.

11.11.2 The operation of Fire dampers of AHU’s should be checked physically every
month by Assistant Manager/Manager (Engg.) along with representative of fire
department.
11.11.3 The operation of Inter-locking arrangements in the AHUs, fire Blower Motor/fire
Control Room should be ensured during joint inspection every month.
11.11.4 All AHU rooms should be kept locked, and the key should be available only with
the operators/Engineers or plant room keyboard.
11.11.5 The opening in the AHU rooms for intake of fresh air should be covered with a
fine wire mesh and damper.

11.11.6 All the power points to the window model A/C units shall use Metal Clad plug
and sockets only and not ordinary open type power sockets.

11.11.7 All perishable / combustible materials should be kept away from the
terminal building /Associated ancillary building;

11.12 Maintenance & Operation of Safety Devices of E&M Equipment and

Services at Airports.

In order to ensure safe and smooth operation of various E&M equipment and
services at Airport, airport maintenance engineers and airport terminal managers
shall ensure that following action are taken, implemented and incorporated in
maintenance procedures.

11.12.1 List out safety devices provided by the manufacturer in each equipment/services
such as Aerobridges, Lifts, Escalators, Conveyor Belts, fire Alarm & Fire
Fighting System, Hand Driers, Electrical Panel Boards, D.G. Sets, Transformers
etc. with indications of exact location of such devices incorporated in the
equipment.

11.12.2 Prepare written document for standard operating procedure i.e. methodology and
operational sequence of each safety devices in reference to the likely emergency
situation foreseen. Such documents are to be prepared for all equipments even if
they are being maintained by other agencies on contract basis.

11.12.3 Define the frequency of carrying out physical verification of such safety devices
detailing responsible officer for carrying out such verifications along with the
equipment operators if available.

11.12.4 Maintain a register for safety checks for logging of safety verifications/test results
by designated officer and get countersigned every month by controlling
officer/Head of section.

11.12.5 Carry out familiarization drill for all maintenance and operation staff including
Fire Staff and other agencies working in that area viz. Customs, Police etc. in
operation of emergency safety devices in equipment/services under both
conditions of operations i.e. normal and emergency.
51
 AAI Works Manual

11.12.6 Display information & operating instruction for safety devices near all
equipments to be used in case of emergency.

11.12.7 Ensure that the equipment areas are brightly lit. Stand-alone battery connected
Automatic Emergency Lamps should be provided and maintained near Control
panels, Switch Room, Equipment room and Passenger movement areas near
equipments such as Lifts, Aerobridges, Escalator and Conveyor Belts, VIP
Lounges and Retiring rooms etc.

11.12.8 History register for all equipments should be opened and maintained. All major
maintenance /services/check/repairs& incidents should be recorded in history
register to provide status of the equipment.

11.12.9 The documentation prepared and verifications for safety tests should be reviewed
monthly by Airport In-charge and logged in service register.

11.13 System Design, Maintenance and safety operation for power supply to GLF
& NAV - aid installation.

11.13.1 A mandatory system must be in place so that it is essential to inform all

concerned officer/department timely about time schedule of any maintenance to
be under taken on the system. The activity should be coordinated before taking up
digging or construction work. Fault, if any, should be informed to engineer-in
charge / officer-in charge.

11.13.2 Provision of UPS should be made for GLF installations. (Please refer TI No. 30
dtd. 30.10.2019)

11.13.3 GLF power supply should be separate from other power supplies with adequate
standby arrangement to meet any eventuality.

11.13.4 The settings of relays and other tripping devices should be done in time
descending order towards downstream breaker.

11.13.5 The condition of building housing CCRs and other electrical panels should be
kept in good condition with proper approach roads and an easy access.

11.13.6 The maintenance team shall review the whole power supply system and take
corrective action as per preventive maintenance schedule.

11.14 Procedures to be followed in the Enquiry Offices (Service Centre) for

Maintenance of Buildings of AAI.

11.14.1 Enquiry Offices (Service Centre) should be set up at each airport building and
residential colonies by the respective Airport In-charge. The enquiry office
should be provided with suitable furniture, cup-boards, racks, telephone and
attached store room and toilet. An enquiry clerk should be posted by the
respective Airport In-charge.

52
 AAI Works Manual

11.14.2 The enquiry office shall open at 8.30 A.M. in the morning and shall close at 4.30
P.M. in the evening or as per the schedule decided by the unit-in-charge.

11.14.3 The complaint register separately for Civil and Electrical complaints should be
maintained at each enquiry office for recording complaints. Date and time of
lodging of each complaint should be invariably recorded by the enquiry clerk.
The complaint register should be maintained by the enquiry clerk.

11.14.4 Each recorded complaint should be assigned a serial number and the complainant
should be intimated about the same for his reference.

11.14.5 All maintenance complaints should be lodged by the complainants invariably to

the enquiry clerk of the enquiry office.

11.14.6 A note book should be issued to every worker where the enquiry clerk shall enter
the complaints, their serial number, house number and nature of complaints and
the time of handing over the complaint.

11.14.7 The Inquiry office should have computer and operator with internet connection.
All complaints should be accepted through e-mail as well as physically. The
status of attending all complaints shall be maintained on computer. The Senior
Assistant /Sr. Superintendent/Jr. Executive Engg In-charge of maintenance shall
review the complaints recorded in the computer at least once a day. He shall
invariably carry out personal inspections of all the complaints attended to ensure
that the work has been carried out satisfactorily.

11.15 Records and Registers

For proper accounting of stores, works and for better management of office works
number of records and registers are required to be maintained at various
engineering offices. A list of such records and registers is given below:

Sl. Name of Register To be Maintained by

1 Register of Administrative Assistant Manager/ Manager / SM/

Approval & Expenditure AGM’s office
Sanction.
2 Register of Technical Sanction Assistant Manager / Manager /
SM/AGM’s office
3 Register of measurement books. Senior Manager’s office.
4 Measurement book movement Senior Manager/Manager/ Assistant
registers. Manager/ SA/SS/Jr. Executive’s office
5 Work expenditure register. Senior Manager/Manager/ Assistant
Manager/ SA/SS/Jr. Executive’s office
6 Pre-qualification application Assistant Manager/Manager/Senior
register Manager’s office
7 Register for sale of tender Assistant Manager/Manager/Senior
documents. Manager’s office
8 Register of Security deposit. Assistant Manager/Manager/Senior

53
 AAI Works Manual

Manager’s office
9 Register for earnest money. Assistant Manager/Manager/Senior
Manager’s office
10 Tender opening Register Assistant Manager/Manager/Senior
Manager’s office
11 Register of contracts Assistant Manager/Manager/Senior
Manager’s office
12 Register of work orders Senior Superintendent/ Assistant
Manager/Manager/Senior Manager’s
office
13 Bill Register Assistant Manager/Manager/Senior
Manager’s office
14 Register of supply order Assistant Manager/Manager/Senior
Manager’s office
15 Survey report/Demolition Assistant Manager/Manager/Senior
Register. Manager’s office
16 Stock ledgers for all stores SA/SS/Jr. Exe/ Assistant
Manager/Manager’s office.
17 Meter Register SA/SS/Jr. Executive’s office
18 Register of losses Senior Manager’s office.

19 Dismantle material register SA/SS/Jr. Exe / Assistant Mgr. /

Manager
20 Complaint register SA/SS/Jr. Exe / Asstt. Mgr. / Manager
21 Register for special repair SA/SS/Jr. Exe / Asstt. Mgr. / Manager
22 Register for periodical repair SA/SS/Jr. Exe / Asstt. Mgr. / Manager
23 Register of Handing over / SA/SS/Jr. Exe / Asstt. Mgr. / Manager
taking over of building

In case of e-tender, documents generated through system may be kept as hard

copy.

11.16 Responsibility of officers for maintaining proper control over quality of work

The quality of work being executed should be inspected constantly to ensure

adherence to the specifications and designs. The responsibilities of various
authorities for control over quality should be as under:-

Sl. Items Authority responsible for

inspection
1. Materials
I Sand, stone metal and chips, bricks, SA/SS/Jr. Ex. Engg (C)
glass panes
II Timber, paints, manufactured doors AM/Manager Engg (C)
and windows, doors and windows
frames and fittings, water supply
sanitaryfittings,firefighting
equipments, marble
III Electrical fittings, DG Set AM/Manager Engg (E)

54
 AAI Works Manual

IV Air-conditioning Equipments, lifts SM/AGM Engg(E)/DGM

escalators
2. Items of works
I Foundation up to plinth AM/Manager Engg(C)
II Brick /stone masonry SA/SS/Jr. Ex. Engg(C)
III Centering and shuttering for RCC AM/Manager Engg (C)
work, reinforcement and concrete
IV Flooring, plastering and painting SA/SS/Jr. Ex. Engg(C)
V Joints in pipes, slopes and slabs of AM/Manager Engg (C)
rooms, verandah and terrace etc.
VI General quality of work with particular SM/AGM/DGM(Engg)/
reference to lines and levels /adherence JGM(Engg)/Architect
to architectural details
VII Laying of concealed or surface SA/SS/Jr. Ex. Engg(E)
conduits, points boards etc. for
electrical works.
VIII Electrical wiring, switches, air AM/Manager Engg (E)
conditioning ducts
IX Installation of elevators, escalators, SM/AGM Engg (E)
Transformers& AHU
X Centering and shuttering and SM/AGM Engg (C)
reinforcement for Domes, Folded
plates, Flat roof, coffer roof, shell roof,
high rise structures

11.17 Quality Control:

i. The quality control test registers to be maintained by site engineers as detailed above
and as per specifications and provisions of contract agreement.

ii. Any engineer of the rank of Sr. Manager and above, posted at station or frequently
visiting the project/ station from CHQ/ RHQ shall inspect and check the quality of
work and ensure that the quality control registers are maintained with due diligence as
per specification and the provisions of contract agreement

11.18 Ensuring Labour License before commencement of work:

Contractor must obtain Labour License immediately after award of work and
before starting the execution, as laid down in the relevant clause of the Conditions
of Contract. All concerned must ensure that the contractor obtains a valid Labour
License under the Contract Labour (R&A) Act, 1970 and the Contract Labour
(Regulation and Abolition) Central Rules, 1971 well before the commencement
of the work and retains the validity of license till its completion. Assistant
General Manager Engg./Sr. Manager Engg., Airports Authority of India will
endorse a copy of letter of award to the Regional Labour Commissioner/Labour
Enforcement Officer and issue the required certificate in Form-V i.e. (Form of
Certificate by Principal Employer) to the contractor for obtaining the Labour
License. The Engineer-in-Charge of the concerned work will be designated as
Principal Employer on behalf of Airports Authority of India and should be

55
 AAI Works Manual

responsible to complete all the formalities required under the provisions of

Contract Labour Act/Rules aforementioned.

11.19 Maintenance of proper records for Works/Projects Execution:

For proper control on quality of work, it is essential that test register of all the
materials are properly maintained. Field engineers should also ensure that tests of
materials are carried out strictly as per CPWD specification /agreement and the
register for test results are maintained strictly as given in the said clause.

It should also be ensured that material consumption registers (Only for those
material for which theoretical consumption has to be matched with actual
consumption) are maintained for each work to account for receipt of all the
materials and its use date wise with quantities used for different works to check
the actual consumption.

11.20 Handing /Taking over of charge.

The following procedure should be followed for proper handing / taking over of
charge by respective officers.

11.20.1 An exhaustive note with comprehensive details of various works being executed
and in the planning stage should be prepared as part of the handing /taking over
note. The note must cover the details on important and current cases and files.

11.20.2 The outgoing official shall hand over the measurement books and level books
with up to date measurements duly recorded and the quality of work certified, for
the officers responsible for maintaining these records and measurement of work.

11.20.3 The finalized and the half finished estimates, bills etc. (if pending with him).
Should be completed and handed over with detailed note.

11.20.4 List of documents like technical sanction, NITs, rejected tenders, Current and
closed agreements and various registers must be prepared and documents must
handed over to relieving officer for the officers responsible for maintaining these
records.

11.20.5 All necessary registers like T & P register, quality control registers, stores ledger,
dismantled materials register etc. should be handed over for the officers
responsible for maintaining these records.

11.20.6 Survey instruments, office equipments and other miscellaneous items should be
handed over if maintained by the officer.

56
 AAI Works Manual

11.20.7 List of stores items held under the charge should be prepared indicating therein
detailed description of items, sources and period of receipt, book values, present
quantities and condition if maintained by the officer.

11.20.8 The outgoing officer must prepare a list of closed and current files. The closed
files must be bound and page numbered. A list of current file in movement must
also be prepared and handed over, indicating name of office where same is
available.

11.20.9 Physical verification of each document, items of stores, T & P etc. should be done
by the relieving official before signing the handing /taking over document.

11.20.10 The handing /taking over process between incoming and outgoing officers must
be completed within a time bound manner as decided by controlling officer.

11.20.11 In case it is not possible to verify the store items of large magnitude like steel etc.
within the above stipulated period, the same should be taken on account on the
basis of information available as per the stores ledger/records and a note of this
effect should be mentioned in the handing /taking over note stating that “the item
has been taken over as per records pending physical verification to be completed
within a period of three months”. The incoming official shall ensure physical
verification of such stores within a period of 3 months of his taking over the
charge and in case some discrepancy is noticed the same should be brought to the
notice of higher authority for taking further necessary action. In case the physical
verification is not carried out within 3 months and discrepancy is subsequently
noticed or brought out by the official who has taken over charge after a lapse of 3
months period, the responsibility for such discrepancy in the stores shall rest with
the relieving official only.

11.20.12 Each page of handing /taking over note and lists etc. should be signed by the
relieved and relieving officer in token of their handing and taking over of the
charges.

11.20.13 The incoming official shall send the handing /taking over notes to the Airport In
charge, AM/ME, SM/AGM and DGM/JGM Engg.

11.20.14 The respective Airport In-charge shall relieve the SA/SS/Jr. Exe./AM/ME after
ensuring that proper handing /taking over of charges, as detailed above, has taken
place.

57
 AAI Works Manual

SECTION 12: MISCELLANEOUS

12.1. Expenditure on Preparatory Works

Where survey of site and / or determination of load bearing capacity of soil, CBR
and K-value of soil, sub-soil observations/ survey/ consultancy are required to be
undertaken before proceeding with the main project, the expenditure on these
works shall form part of the main project and can be undertaken after obtaining
approval of A/A & E/S authority, if A/A & E/S authority is higher than Member
Planning, then approving authority should be Member [Planning]. In case A/A &
E/S of the main project is expected to be delayed, then these works may be
undertaken charging the expenditure to the provision of the concerned project in
the annual budget.

12.2 Expenditure on laying of Foundation Stone and Inauguration Ceremonies

All expenditure towards laying of foundation stone and inauguration ceremonies

of the project should be charged to the contingencies of the project concerned.
Member [Planning] should be the authority to accord approval of the expenditure
on these accounts.

12.3 Register of Building

Every Airport In-charge shall maintain a register of building up to date. For

maintaining the register airport In-charge shall take help of engineers posted at
the airport. This register shall indicate brief details of the structures, year of
construction, initial book value, and works done in each year with amount spent
on it. At the end of every financial year airport In-charge shall record a certificate
that the register is maintained up to date. DGM/JGM, Engg (C/E) during the
inspection of the airport shall examine this register to verify that it is being posted
and maintained up to date.

12.4 Safety of Structures / E&M equipment

12.4.1 All buildings/structures are required to be inspected once in a year by the

Manager Engg /Assistant Manager Engg,/Jr. Executive/Sr. Superintendent /Sr.
Assistant. Engg(C)/(E) posted at the airport to ensure that the building/structures
are not unsafe for use. Manager Engg. (E)/Assistant Manager Engineering (E) /Jr.
Executive/ Executive/Sr. Superintendent /Sr. Assistant. Engg(C)/(E) shall inspect
the electrical, mechanical and electromechanical works, and record a certificate to
this effect.
12.4.2 In case of any deficiencies found in the structures/installations, necessary report
should be sent to higher authorities and immediate steps should be taken to get
the same inspected by Senior Manager [Engg.] for further action taken to remedy
the defects. Senior Manager [Engg.] shall also inspect important structures once
in a year. He shall bring to the notice of his Deputy General Manager /Jt. General
Manager [Engg.] the case where he has reasons to doubt the structural soundness
of any building/structure. On receipt of such report, Deputy General Manager /Jt.
General Manager, [Engg.] will take such actions as he considers necessary.

58
 AAI Works Manual

12.4.3 Safety devices of E&M equipment should be checked and verified good for
operation as per OEM recommendations by the engineering head at the airport
and compliance report sent to the Airport- -in-charge / RHQ by 7th of every
month. Any deficiency noticed must be notified and immediate action should be
taken to rectify the same. On receipt of such report Senior Manager/Assistant
General Manager (E) / Deputy General Manager / Jt. General Manager [Engg-E.]
shall take actions considered necessary.

12.5 Disposal of Structures/Plants/Equipments

12.5.1 When any structure /Plant/Equipment is proposed to be dismantled or disposed

off, a survey report (Performa as per Appendix-17) should be prepared and
submitted for the approval of the competent authority as per DOP.

12.5.2 Expected normal life of various equipments in use, at the airport should be
governed by guidelines issued by Directorate of Material Management from time
to time and the action should be initiated to get approval of competent authority,
as per DOP, to write-off the equipment.

12.5.3 Fixing of Reserve Price

A. For Building/Structure: -

Reserve price should be fixed by taking into consideration the life and condition
of the building subject to the minimum as under:-

i. 6% of the value of the building portion on the basis of current cost of

replacement thereof considering value of additions and alterations carried
out during intervening period.
ii. 25% of the value of electrical and water supply installations on the basis of
their current costs of replacement.

or

Cost of salvageable material minus cost of dismantling, whichever is less?

B. For Equipment: -

The reserve price of the equipment is to be fixed as per the guidelines laid down
by Directorate of Material Management and Power to fix reserve prices should be
as per DOP.

12.6 Powers for Acceptance of Tender for Disposal of Buildings

12.6.1 The structures then should be disposed of by call of competitive tenders/bids after
giving wide publicity. The authorities competent to accept the highest bids should
be as per the powers delegated in the Delegation of Powers as amended time to
time.

12.6.2 In case of emergency, the structures should be disposed off as per DOP.

59
 AAI Works Manual

SECTION 13: DEPOSIT WORK

13.1 Definition of Deposit Work

The term “Deposit work’ is applicable to works of construction, repair and

maintenance, the cost of which is met by the department who is asking for deposit
work from the other department which may be either AAI or other PSU/ Govt.
deptt. Deposit work will be of three types:-

a. Major Capital Works

b. Minor Capital Works
c. Repair and Maintenance
Normally AAI takes up deposit work for PSU/ Govt. deptt. Working at airport
and in exceptional cases AAI assigns its work to other departments as deposit
work. However when it is required to assign deposit work to other agency, it
should be done with the prior approval of competent authority as per AAI
delegation of power. An MOU to be signed with the concerned department
specifying terms and condition for the deposit work to be carried out.

13.2 Preliminary Estimate:

13.2.1 For Taking up Deposit Work:
A requisition is required from concerned department who is requesting for
execution of major/minor, R&M works. Such estimate are to be prepared by Jr.
Exec./Assistant Manager/Manager Engg concerned given the probable cost of
each item of work asked for, and got approved by the competent authority. This
estimate shall include departmental charges leviable at rates given in Appendix -
18. These estimates then will be submitted to local Head of client organization at
Airport.
13.2.2 For Assigning Deposit Work:
A requisition is required to be given to the concerned PSU/ Govt. deptt. from
whom AAI wants to get the work executed at the airport. That concerned
department will prepare preliminary estimate and add their departmental charges
over that estimate. Such estimate will be forwarded by them to AAI for approval.
13.3 Administrative Approval:
For every major/minor/R&M work, concurrence of the competent authority of
client department requisitioning/ assigning the work should be obtained for the
preliminary estimates of the work.
13.4 Expenditure Sanction:
The administrative approval and expenditure sanction for major/minor/R&M
works will be issued by the competent authority of the client department.

13.5 Deposit of Funds:

(a) Once the expenditure sanction has been issued by the competent authority of
the client organization and MOU has been signed, immediate action will be
taken by the local Head of the concerned organization to deposit the fund

60
 AAI Works Manual

either by demand draft/RTGS/ to the other organization as per terms and

condition of MOU.
(b) The Engineering officers of AAI should decline to undertake the
construction/maintenance of building not belonging to AAI until funds have
been deposited by client department or unless special permission is given by
the Competent Authority in any particular case.

13.6 Technical Sanction:

On receipt of administrative approval and Expenditure sanction of the competent
authority detailed estimates will be prepared and the engineering officers of AAI
will accord technical sanction in exercise of powers delegated to them. The
technical sanction should be given before work is actually taken in hand.

13.7 Accounting Arrangements

When a deposit work is to be carried out by AAI, the concerned client department
should advance the gross estimated expenditure which is payable by it, in one
lump sum or as specified on MOU. The amount received by AAI should be
credited to respective account code.
A consolidated month-wise report of all transactions relating to all deposit works
should be maintained.

61
 AAI Works Manual

CHAPTER-IV

MEASUREMENT AND WORKS ACCOUNTS

SECTION 14: Measurement Books

14.1 General

14.1.1 The Measurement Book (MB) is the basis of all accounts of quantities, whether of
works done by Contractors or materials received by department. It should be so
written that the transactions are readily traceable.

14.1.2 These books should be considered as very important engineering records for
accounting purpose and maintained very carefully and accurately as these may
have to be produced as evidence in a Court of Law, as and when required.

14.1.3 All the Measurement Books belonging to a Senior Manager/Assistant. General

Manager’s office should be numbered serially. A register should be maintained as
per Performa provided at Appendix – 19, showing the serial number of each
book on receipt, the Senior Manager/Assistant. General Manager’s office to
which it is issued, the date of issue, date of its return to the Regional / Senior
Manager/Assistant General Manager’s office.

14.1.4 A similar register should be maintained in the Assistant Manager /Manager

(Engg) office showing the names of person i.e. Senior Assistant/Senior
Superintendent/Jr. Exe to whom the Measurement Books are issued.

14.1.5 The Measurement Books no longer required for immediate measurement in the
office of Senior Manager / Assistant General Manager or with the Senior
Assistant/Senior Superintendent /Jr. Exe. (Engg) should be withdrawn promptly
even though not completely written up and may be reissued, whenever required.

14.1.6 When the concerned engineer in-charge of the work or stores is transferred, he
shall hand over the all Measurement Books issued to him till date to his successor
and these should be shown as received back from him and re-issued to the
relieving officer. The transfer should also be recorded in the Measurement Book
after the last entry in each book under dated signature of the relieving officer and
relieved officer.

14.2 Recording of Measurements in MB’s

14.2.1 Each set of measurement to be recorded in the MB should commence with entries
stating-

i) In the case of bills for works done-

a) Full name of work as given in the agreement;

b) Situation of work;
c) Name of contractor.
d) Number and date of agreement;

62
 AAI Works Manual

e) Date of written order to commence work;

f) Date of actual completion of work;
g) Date of recording measurements;
h) Reference to previous measurements

ii). In case of bills for supply of materials-

a) Name of supplier;
b) Number and date of supply order/agreement
c) Purpose of supply in one of the following forms as applicable to the case-
 “Stock” ( for all supplies for stock purpose )
 “Purchase” for direct issue to the work ( full name of the work as
given in the estimate may be mentioned ),
 “Purchase” for ....( full name of work as given in the estimate) for
Issue to the contractor ............on.........,
d) Date of written order to commence the supply,
e) Date of actual supply,
f) Date of recording measurements.

14.2.2 A suitable abstract shall then be prepared which should indicate in the case of
measurement for works done, the total quantities of each distinct item of work
relating to each sanctioned sub-head.

14.2.3 Short (Abbreviated) nomenclature of the items should be adopted for preparing
abstract of cost in the measurement book and also in the bill form. The Engineer-
in-Charge may use short nomenclature provided by CPWD with a mention of the
same in the special conditions of form of contract. For items not available in the
short nomenclature book of CPWD, short nomenclature should be prepared, got
approved from Engineer-in-Charge. Whatever the case may be, it should be
mentioned in the special conditions.

14.2.4 If the measurements are taken in connection with a running contract, a reference
to the last set of measurements, if any, should be recorded. If the entire job or
contract has been completed, the date of completion should be duly noted in the
prescribed place. If the measurements taken are the first set of measurements on a
running account, or the first and final measurements, this fact should be suitably
noted against the entries in the Measurement Book and in the latter case, the
actual date of completion should be mentioned in the prescribed place.

14.2.5 All measurements should be recorded neatly and directly in the Measurement
Book at the site of work. The signature of the contractor or his authorised
representative should be obtained at the site of work and at the time the
measurements are recorded in the Measurement Book. The recording of
measurements elsewhere and copying them into a Measurement Book is
forbidden.

14.2.6 Before taking any measurement of any work the Engineer-in-Charge or a

subordinate deputed by him shall give reasonable notice to the contractor. If the
contractor fails to attend at the time of measurements after such notice or fails to

63
 AAI Works Manual

countersign or to record the difference within a week from the date of

measurement, then in any such event the measurements taken by the Engineer-in-
Charge or by the subordinate deputed by him, as the case may be, should be final
and binding on the contractor and the contractor shall have no right to dispute the
same.

14.2.7 Whenever the competent authority has permitted the use of a material of better/
inferior specification and/or use of bigger/smaller size of material than that
stipulated in the agreement in any item of work, the description and the sizes in
the nomenclature of the item recorded in the measurement book should depict
correctly the work done at site, irrespective of the fact whether such permission
was accorded with or without a change in the rate of the item concerned. In such
cases recording of the nomenclature of the item in the Measurement Book as
given in the agreement will not be in order. In case of difference, the contractor
may record his measurements on a separate sheet and submit to the department.

14.2.8 The entries in Measurement Book should ordinarily be made in ink. No entry
should be erased. If a mistake is made, it should be corrected by striking out the
incorrect words or figures and inserting the correction, the correction thus made
should be initialled and dated by a responsible officer. The person recording the
measurements should record a dated certificate “Measured by me” over his full
signature in the Measurement Book.

14.2.9 The page of the Measurement Books should be machine numbered. Entries
should be recorded continuously and no blank page left or torn out. Any pages or
space left blank inadvertently should be cancelled by diagonal lines, the
cancellation being attested and dated.

14.2.10 whenever any measurements are cancelled or disallowed, these must be endorsed
by the dated initials of the officer ordering the cancellation or by a reference to
his orders, initialled by the officer who made the measurements, the reasons for
cancellation being also recorded.

14.2.11 On completion of the abstract, the Measurement book should be submitted to the
Assistant Manager/ Senior Manager/Assistant General Manager (as the case may
be) who after carrying out his test check should enter the word “Check and bill”
with his initials & dated. The concerned official should then check the calculation
of quantities in the abstract, and the bill in case of work carried out by contractor,
and should then place the Measurement Book and the bill before the Assistant
General Manager who after comparing the two, should sign the bill and the
Measurement Book at the end of the abstract. From the Measurement Book all
quantities should be clearly traceable into the documents on which payments are
made. When a bill is paid for a work or supplies every page containing the
detailed measurements must invariably be scored out by a diagonal red ink line
by the Finance Officer. When the payment is made, an endorsement must be
made in red ink by the concerned Finance Officer, on the abstract of
measurements, giving a reference to the number and date of the voucher of
payment.

64
 AAI Works Manual

14.2.12 Any corrections to calculations or rates made in the Assistant Manager’s office or
Senior Manager’s office should be made in red ink and brought to notice of the
Assistant General Manager or Senior Manager, as the case may be, and of the
person recording the original measurements. In the case of final bills, payment
should be deferred until the corrections have been accepted by the person making
the measurements. All corrections made by the Clerical / Finance Officials should
be in red ink.

14.2.13 When work which is susceptible to measurement is carried out by daily labour,
similar plan should be adopted, the quantities of work done as shown on the
Muster Roll being compared with the entries in the Measurement Book before
payment is authorised.

14.2.14 Measurement Book should be sent only by Speed Post / Registered Post,
Authorised Courier Company or by Special departmental Messenger.

14.2.15 Measurements should be recorded only by Senior Manager (Engg.), Manager

(Engg.), Assistant Manager (Engg.) or Senior Assistant/Senior Superintendent /Jr.
Exe (Engg)-in-Charge of the work and to whom the Measurement Book has been
issued for this purpose or other persons specially authorised by the local Deputy
General Manager/Jt. General Manager (Engg.).

14.3 Movement of Measurement Book:

To avoid losses of Measurement Books, which are important engineering record

for accounting purpose, a record of movement of Measurement Book should be
kept in the office of MB issuing authority.

65
 AAI Works Manual

SECTION: 15 COMPUTERISED MEASUREMENT BOOK

Computerized Measurements shall be recorded for the works costing more than
Rs. 5.00Lac. However in case of works costing lesser than Rs. 5.00 Lac
.Engineer-in- Charge may decide for adopting computerized measurement.

15.1 During the progress of work, the measurements are to be recorded from time to
time. The measurements for the items executed during the month shall be entered
by the Contractor or his authorized representative on the A4 size measurement
sheets as per the format prescribed by AAI for preparation of monthly bill
(Measurement sheet performas are enclosed as Annexure 20 & 21 for reference).
These measurements and levels shall be submitted to the Engineer-In-Charge for
getting them checked / test checked as per departmental procedure.

15.2 After necessary corrections if any, made by the Engineer-In-Charge, the

measurement sheets shall be returned to the contractor for incorporating the
corrections and for resubmission to the Engineer-In-Charge for signatures of
Engineer-In-Charge and contractor or their representatives in token of acceptance.

15.3 Whenever bill is due for payment the computerized measurement book
comprising of jointly recorded measurement sheets, secured advance
measurements and abstract cost as per Annexure 22 all duly bound with its pages
machine-numbered shall be resubmitted by the Contractor. Preferably, there shall
be one Measurement Book for each RA Bill. The Engineer-In-Charge or his
authorized representative(s) would thereafter check this MB and record the
necessary certificates for their checks/test-checks.

15.4 The final and fair computerized measurement book based on duly accepted
measurements by engineer-in-charge shall be submitted by the contractor in
bound condition with its pages machine numbered which should be hundred
percent correct without any cutting and overwriting in the measurements. This
computerized MB shall be allotted a number by the Engineer-In-Charge as per the
register of computerized MBs. This should be done before the corresponding bill
is submitted for payment. The contractor shall also submit two spare copies of
such computerized MB’s for the purpose of reference and record by the various
officers of the department.

15.5 Computerized abstract of cost shall be submitted in similar manner as per

Annexure 23 & 24 and bill Form as per the format of department based on these
final measurements duly bound with pages machine-numbered along with two
spare copies shall be submitted to the Engineer-In-Charge. The computerized
record will require certificate and security provisions by the Contractor, so that no
change can be made in figures, data or text etc. in the stored data.

15.6 The final, fair computerized measurement book including the Abstract of Cost
and Bill shall also be transferred in a soft copy (CD) and to the computerized data
for respective work. To facilitate handling of data, the services of a Computer
Operator including one PC and its peripherals shall be taken under the respective

66
 AAI Works Manual

contract and only the PC (including peripherals) shall become the property of
Airports Authority of India after completion of work. A parallel storage data shall
also be kept to avoid any damage or breakdown of the system, besides keeping
soft copies on CDs / pen drive.
Amended on dt. 26.03.18
The final, fair computerized measurement book including the Abstract of Cost and
Bill shall also be transferred in a soft copy (CD/Pen Drive) and to the
computerized data for respective work. A parallel storage data shall also be kept
to avoid any damage or breakdown of the system, besides keeping soft copies on
CD/pen drive.

15.7 After completion of work, record of measurements as standard measurements for

future use in maintenance shall be kept as soft copy record in offices of
engineering head at the airport and at RHQ. Above procedure can also be adopted
for ongoing projects with the written consent of the contractor.

15.8 The computerized measurement for projects shall be recorded by adopting

procedure given under section for “Test Checking of Measurement”.

15.9 For the sake of uniformity in the AAI and to avoid losses of Computerised
Measurement Books, which are important engineering record for accounting
purpose, a record of movement of Computerised Measurement Book should be
kept.

67
 AAI Works Manual

SECTION 16: Important items for measurement

16.1 General Instructions.

Important works, within meaning of the above, include items which owing to the
situation cannot be subsequently checked or which have very high unit rates. For
guidance, these items are classified generally as below:-

16.1.1 Items of work which owing to their situation cannot subsequently be checked:

a. All works below ground level such as “RCC, Lean Concrete, Masonry,
Steel work, etc., in foundation;
b. Fabricated steel work in columns, beams, etc. which are encased either in
masonry or concrete.

c. Wood work, Iron work etc., hidden by ceilings, wall paneling or floor
boarding.
d. Bitumen painting of roofs under roof treatment item.
e. Water proofing compounds used with cement.
f. Lines of pipes buried in floor or masonry in internal sanitary, water supply
or drainage installations.
g. Underground power distribution cables

16.1.2 Items of work which are considered to have very high unit rates:-

a. RCC Work.
b. Item in sunk ashlars stone or marble work, plain sunk or moulded in walls,
columns, arches or domes.
c. Stone or marble work in wall lining.
d. All wood work

i. In chow hats, frames or trusses whether in country, Indian or Burma

Teakwood.
ii. All joinery work in shutters trellis works, miscellaneous wood work,
etc., whether in country, Indian Teak or Burma Teak wood.
iii. All brass oxidized brass or other similar costly fittings of doors,
windows, etc., where payable separately.

e. Steel Work
i. Steel work cut, hoisted and fixed or steel work fabricated hoisted and
fixed.
ii. Steel doors, windows, shutters, grills, etc.

f. Flooring, skirting and dado work in-site mosaic, terrazzo tiles, Shahbad
stone slabs, Agra stone slabs, or marble slabs.

68
 AAI Works Manual

g. False Ceiling.

h. All sanitary fittings such as wash basin, sinks urinals, stall urinals, bath tubs
and water closets.

i. Tanks and valves

i. Storage tank items in water supply.
ii. Sluice valves, fire hydrants etc., in water supply.
iii.C.I. Pipes and specials and their lead caulked joints in water supply.

j. Manhole
i. Manhole, vent shaft, road gully chambers, siphons, manhole covers
and frames.
ii. C.I. inspection bends and chambers in C.I. Pipes drainage.

16.1.3 Electrical Items

i. Underground Cable laying work.

16.2 Record of measurement for steel

16.2.1 The measurement shall be recorded on actual weight basis for bars 10mm dia. and
below and

16.2.2 The measurement shall be recorded on standard sectional weight basis for bars
above 10mm dia. In the case of later the measurements should indicate the total
number with length of bars in each bundle, total number of bundles, standard
weight, running meter weight, of each bundle, total weight of all bundles, etc.
The entry should not be a copy from the invoice issued by the firm. The issues
will also be made in the same manner in the two cases.

69
 AAI Works Manual

SECTION 17: Test Check of Measurement

17.1 General
17.1.1 The Assistant Manager (Engg.) /Manager (Engg.) must satisfy himself before passing
a bill for payment or before submitting it to the Senior Manager/ Assistant General
Manager (Engg) for certifying the payment that the work or supply billed for has
actually been carried out/completed in accordance with the claim preferred. He
should personally inspect all works of any magnitude before authorizing final
payments in connection therewith.
17.1.2 a. For work cost up to 500 Lac.
i. Assistant Manager (Engg)/Manager (Engg), should test check measurements not
less than 50% recorded by his Senior Assistant/Senior Superintendent/Jr. Exe
(Engg) before any running bill is paid.
ii. SM/AGM should test check measurement so that his overall test check is not less
than 10% of measurement recorded by AM/M for final as well as running bill.
Note: 1. Procedure shall be applicable for normal as well computerized bills.
2. In case Senior Assistant/Senior Superintendent/Jr. Exe (Engg) are not posted at
site, initial measurement shall be recorded by M/AM(Engg.)
b. For works costing more than 500 Lac.
i. The agency shall submit a computerized bill along with computerized
measurement sheets. Concerned Assistant Manager / Manager shall check 100%
measurement of each bills submitted by the agency.
ii. Sr. manager / Assistant General Manager shall test check 50% measurements
recorded by Assistant Manager / Manager for all running/final bills and Dy.GM /
Jt.GM shall check overall 10% of measurements recorded by Assistant Manager /
Manager / Sr. Manager for final as well as running bill.
iii. All newly recruited JETs / available JETs may be deployed for quality control
checks, conduct all mandatory site tests, maintain all the test records and registers,
day to day supervision of work as per drawings and specifications to ensure
execution of work as per contract conditions.
iv. In case Manager / Assistant Manager is not posted at the station for that specific
work, the JET shall do the 100% checking of the computerized measurement book
in addition to his normal duties.
Amended on dt. 26.03.18
For Works upto Rs 500 Lakh (Where SM/AGM(C/E) Is Engineer-In- Charge)
Assistant Manager (Engg)/Manager (Engg), should test check measurements not
less than 50% recoded by his Senior Assistant/Senior Superintendent/Jr.
Exe(Engg) before any running bill is paid.
SM/AGM should test check measurement so that his overall test check is not less
than 10% of measurement recorded by AM/M for final as well as running bill.
Note: 1. Procedure shall be applicable for normal as well as computerized bills.
2 In case Senior Assistant/Senior Superintendent/Jr. Exe(Engg) are not posted a
site, initial measurement shall be recorded by M/AM (Engg).
For Works Costing upto and above Rs.500 lakhs (Where DGM/JGM/GM (C/E) Is
Engineer-In- Charge)
• The Agency shall submit a computerized bill along with computerized
measurement sheets. Concerned Assistant Manager/Manager shall
check 100% measurement of each bills submitted by the agency.
• Sr.Manager (Engg)/AGM (Engg), should test check measurements not less than
50% recoded by his Asstt. Manager/Manager (Engg) before any running bill is
paid.

70
 AAI Works Manual

• DGM/Jt.GM (Engg) should test check measurement so that his overall test check
is not less than 10% of measurement recorded for final as well as running bill.
• All newly recruited JETs/available JETs may be deployed for quality control
checks, conduct all mandatory site tests, maintain all the test records and
registers, day to day supervision of work as per drawings and specifications to
ensure execution of work as per contract conditions.
• In case Manager/Assistant Manager is not posted at the station for that specific
work, the NE shall do the 100% checking of the computerized measurement book
in addition to his normal duties.
17.1.3 While test-checking the work, the Assistant Manager (Engg.) (C/E)/Manager, Engg.
(E/C) should test-check 100% of all items of at least one unit taken at random, besides
test-checking isolated and individual items, in other units to bring the total extent of
measurement checked to the desired limit of 50%.
17.1.4 In the case of works, outside the headquarters of the Assistant Manager
(Eng.)/Manager (Engg.) for the works costing Rs.25000/- checking of measurements
by the Assistant Manager (Eng.)/Manager (Engg.) need not be insisted. He will,
however, have to accept general responsibility for the correctness of the bill as a
whole.
17.1.5 The SM/ AGM (Engg.) shall test check 10% of the measurements recorded by his
subordinates for at least every third running bill for works at his headquarter and at
least every fifth running bill for works outside his headquarter. In respect of final
payment of works costing up to Rs. 5 Lac at places outside the headquarters and in
the case of works costing up to Rs. 2 Lac at the headquarters of the SM, the Senior
Manager (Engg.)/ AGM may in his discretion, authorize payment without any test
check by him. He will, however, have to accept general responsibility for the
correctness of the bill as a whole. Test Check of the Senior Manager
(Engg.)/Assistant GM shall also include at least 10% test check of the measurements
of RCC items so as to ensure structural safety of building.
Amended on dt. 26.03.18
The SM/AGM/DGM/Jt.GM (Engg.) shall test check 50%/ 10 % (as applicable) of the
measurements recorded by his subordinates for at least every third running bill for
works at his headquarter and at least every fifth running bill for works outside his
headquarter. In respect of final payments of works costing up to Rs. 5 Lac at places
outside the headquarters and in the case of works costing up to Rs. 2 Lac at the
headquarters of SM, the Senior Manager (Engg.)/AGM/DGM/ Jt.GM may in his
discretion, authorize payment without any test check by him. He will, however, have
to accept general responsibility for the correctness of the bill as a whole. Test Check
of the Senior Manager (Engg.)/Assistant GM/DGM/Jt.GM shall also include at least
10% test check of the measurements of RCC items so as to ensure structural safety of
building.
17.1.6 The individual items checked should be clearly shown in Measurement Book and the
result recorded by the officer concerned in the tabular form provided in the
Measurement Book. The items thus checked should be attested by the dated initials
of checking officer. The result of the test check will be indicated by the work
“Satisfactory” or “Unsatisfactory” as judged at the time on merit of each case.
17.1.7 A test check statement should be prepared for and appended with each Running
Account/Final bill by AME/ME.
17.2 Responsibility of officers recording and test check of measurement
17.2.1 The officer who records/test-checks the measurements for an item of work will be
responsible for the quality, quantity and dimensional accuracy of the work he has
measured/test checked.
71
 AAI Works Manual

17.2.2 In the case of supply of steel the Senior Manager (Engg.) shall test check 10% of the
total consignments received in a month. Any consignment test-checked by Senior
Manager (Engg.) should be checked by him 100% for quality, quantity and
dimensional accuracy. Permitted variation between the quantities as per the suppliers
bills and as received and accounted for in stock account, is 0.5% in the steel bars up
to and including 12 mm dia. and 1% in the case of steel bars of higher dia.
17.2.3 If in any consignment the variation on lower side exceeds the aforesaid limits, 100%
check of the measurements by SM/AGM (Engg.) should be carried out and detailed
investigations into the reasons for the shortage recorded.
In order to regularise the loss due to this variation on lower side (shortage) during a
year, difference in quantities as billed by the suppliers and paid, and the quantity
received and accounted for whether on actual weight basis or on cross sectional
weight basis, as the case may be, should be treated as “losses on stock”. The cost of
quantity found short should be placed in “Misc. Works Advances”. For each such
consignment the cost of quantity where found in excess should be deducted there
from. At the end of the year over all shortage should be sanctioned by the competent
authority under “Losses on Stock”. However, if the net result works out in excess
(gain) the amount should be credited to “Revenue”
17.2.4 The standard sectional weights as indicated below should be applicable for the
payment to contractors for steel bars for works executed.
Size (Diameter) in mm Weight in Kg/m Size (Diameter) in mm Weight in Kg/m
6 0.222 25 3.855
8 0.395 28 4.836
10 0.617 32 6.316
12 0.888 36 7.894
16 1.579 40 9.869
18 1.999 45 12.490
20 2.467 50 15.424
22 2.985
17.2.5 The weighing equipments used for weighing the steel should be kept properly
calibrated and also checked at regular intervals.
17.2.6 The test check referred to above shall, as for as possible, be carried out before the
payment is made.
17.2.7 The individual items checked should be clearly shown in the Measurement book and
the result recorded by the Officer concerned. The items thus checked should be
attested with dated initials of the checking officer.
17.2.8 A collective record of all the checks carried out from time to time will be prepared in
each measurement book in the following tabular form:
a. Date of Check. b. Page recording measurements subject to test check.
c. Value of measurements checked. d. Result of the check exercised.
e. Dated initials and designation of the checking Officer.
The result will be indicated by the word “Satisfactory” or “Unsatisfactory” as
judged at the time on merits of each case.
17.3 The officer accepting the tender for any work may stipulate for Assistant Manager
(Engg.) or Manager (Engg.) to record measurements or exercise 100% test check of
measurement recorded for any item including those, which, owing to their situation,
cannot be subsequently checked measured or which have very high unit rates or
which in the opinion of the officer, are important.

72
 AAI Works Manual

SECTION 18: Recording Measurements for Earth Work (Levelling)

18.1 In case of leveling operations and earth work, measurements are required to be
recorded in level books in addition to Measurement Books. The level books
should be numbered, accounted for and handled like Measurement Books.

18.2 Before starting earth work, original ground levels should be recorded in the level
books in the presence of contractor or his authorized representative and should be
signed by him and the Departmental Officer who records the levels. All the local
mounds and depressions should be indicated clearly in the drawing and field level
book and should be checked by Assistant Manager/Manager (Engg.) before
leveling is started.

18.3 A suitable base line should be fixed with permanent masonry pillars at distances
not exceeding 50 meters to provide a permanent reference line for facilitating
checking of work. The base lines should be entered in the level/field book with
coordinates. This base line/s should be maintained till final payment for the work
has been made.

18.4 While recording levels, it should be ensured that the circuit is closed by taking
final levels of the starting point or any other point, the R.L of which was
previously determined. This procedure should be followed so as to ensure
accuracy of levels taken, as these levels can be test-checked subsequently.

18.5 Plans showing the initial levels, location of bench marks and its reduced levels,
should be prepared and signed by both the parties before commencement of work.

18.6 The Assistant Manager/Manager (Engg.) should exercise test check to the extent
of 50% and the Senior Manager (Engg.) to extent of 10% where the value of item
of work exceeds Rs.1.00 Lac. The test check of the levels should be carried out
independently by each officer and readings should be recorded in the prescribed
level books in the red ink against the old levels which should be neatly scored out
wherever necessary. If the test-checking carried out reveals serious mistakes in
the original levels, these should be got rechecked. The test-check by an officer
should be as representative as possible for the entire work done.

18.7 On completion of work, the levels should again be recorded in the level book and
the contractor’s signatures obtained. These levels should also be test checked by
the Engineers to the same extent as indicated above within one month of the date
of completion of earth work and according to the procedure as laid down in the
case of initial levels as indicated above. The formation levels as per final
execution of the work should be compared with the proposed formation levels
and work rectified within permissible tolerance.

18.8 Every fourth running bill and the final bill should be paid on the basis of levels.

18.9 Intermediate payments can, however be made on the basis of borrow pit
measurements. The Engineers should take care that the quantities thus assessed
are not in any case more than the actual work done.

73
 AAI Works Manual

18.10 In case of large scale leveling works involving both cutting and filling an accurate
site plan should be prepared before the work is commenced. The portions
requiring cutting and filling shall then be divided into squares and corresponding
squares into filling which are complementary to the squares in cutting given in
the same number. A table may be written upon the plan showing leads involved
between the various complementary squares. This would form a lead chart of the
work to be done. Before the work of leveling is commenced, the lead chart should
be checked either by an Assistant Manager/Manager (Engg.) in presence of the
contractor or his authorized representative and his signatures should be obtained
on the same. This should form an integral part of the contract and should be duly
signed by both the parties before commencement of the work. The quantity
payable for earth work shall be lower of the quantity derived from cutting or
filling. The payment for lead should be based on the lead chart prepared in the
aforesaid manner.

18.11 In case of earth is to be imported, the area from where the earth is to be imported
should be carefully predetermined before the start of the work and wherever
feasible, average lead should be worked out. After this is determined, initial
levels of area should be recorded along with the initial levels of the area to be
filled. The levels should be properly checked during the progress of work and on
completion, measurements of earth work should be recorded in both places
(borrow pits as well as area where fitting is done) to determine correctly the earth
excavated and carted. Payment for the earth work should be made on the basis of
the lesser of the quantity in filling or cutting. Distances between the two places
should be measured correctly which should also be test-checked. Where the work
involves huge quantity of earth work in embankment filling, technical sanctioning
authority may specify particular mode of measurement considering situations
prevailing at site.

18.12 In respect of import of sweet earth required for horticultural operations, the
quantity of good earth required is generally small and no single source is
available from where the agricultural soil /sweet earth is readily available. Also,
good earth is lifted by contractors from different works from the same source and
as such it is not possible to take levels of the area from where the earth is
imported. The payments in such cases will be made on the basis of levels of area
where the earth is to be filled.

18.13 Similar procedure should be followed while recording measurements for disposal
of earth.

18.14 In case of small works costing up to Rs. 1.00 Lac, borrow pits measurements and
stack measurements of earth may be recorded indicating clearly the place of
borrowing or disposal, as the case may be, so that the distances can be verified.

74
 AAI Works Manual

SECTION 19: Review of Measurement Books

19.1 General

19.1.1 All the Measurement Books in use in a SM/AGM (Engg) C/E Office should be,
inspected by local engineering unit in the following respects in the month of
September every year:

a. To compare the Measurement books in use with the register of

Measurement Books maintained and to note necessary corrections in the
register.
b. To see that neither original sheet is torn out from the Measurement Book
nor any entry erased or disfigured and that the corrections made therein are
initialed.
c. To see that pencil entries are not inked over.
d. To test check the accuracy of calculations and to ensure that the
instructions regarding writing of Measurement Books, recording of
measurements and their test check are being followed properly.

19.1.2 The defects, discrepancies, etc. noticed should be communicated to the Assistant
Manager / Manager (Engg.) concerned and summarized in the following form in
Measurement Book, which has been test audited:

Pages Calculations Defect & Dated Signature Initial of

reviewed selected by the discrepancies of Manager SM/AGM
generally Manager (F&A) for noticed (F&A) (F&A)
re-check
Pages Dated
initials

19.1.3 The Measurement Book completed and returned for record during the year should
also be similarly examined prior to their final record.

19.2 Loss of Measurement Books

When a Measurement Book is lost or damaged an immediate report of the facts of

the case together with an explanation of all parties concerned responsible for the
loss should be made promptly to the Executive Director (Engg.), who is
empowered to sanction the write-off of the lost or damaged Measurement Books.
Such losses for write- off should be reported in the Performa as at Appendix-25.
It is also necessary that the measurements in the lost or damaged Measurement
Book should be re-constructed at the earliest.

75
 AAI Works Manual

SECTION 20:Standard Measurement Books

20.1 General

20.1.1 Standard Measurement Books are maintained to record the measurements of

permanent nature in a building and are required to be brought up to-date from
year to year on the basis of additions, etc., made to the building during the year.
These are used for preparing the repairs and maintenance estimates and
contractors bills for such works so as to avoid taking detailed measurements on
each occasion.

20.1.2 The work of preparing these books will ordinarily be undertaken in accordance
with the programme for each AGM’s office or such other suitable unit as may be
fixed by the SM.

20.1.3 All the Standard Measurement Books should be numbered in an alphabetical

series so as to be readily distinguishable from those assigned to ordinary
Measurement Books.

20.1.4 These will be accounted for in the same manner as ordinary Measurement Books
in a register.

20.1.5 A similar register (Performa as perAppendix-26) will be maintained in the office

of Assistant Manager/Manager (Engg.) showing the books belonging to it and
reviewed as done in case of the ordinary Measurement Books.

20.2 Writing of Standard Measurement Books

20.2.1 These Standard Measurement Books should be written legibly in ink and certified
as correct by a responsible Officer. These should be maintained very carefully
and accurately as they may have to be produced as evidence in a Court of Law.

20.2.2 The Standard Measurement Books should either be written by the Assistant
Manager/Manager (Engg.) himself or a SA/SS/Jr. Exe (Engg.) under his orders.
Each set of measurements taken by the SA/SS/Jr. Exe (Engg.), should, however,
be fully checked by the Assistant Manager/Manger (Engg.) and declared in
writing in the book itself as finally approved by him for the purpose of preparing
annual repair estimates and contractors bills for the work done. The book will not
be assigned a number and will not be entered in the register of Standard
measurement Books till above process is complete.

20.2.3 The Standard Measurement Books will be brought up to-date under the
supervision of Assistant Manager/Manager (Engg.) with reference to the building
or work concerned within one month of closing of the accounts of the estimate.

20.2.4 The Senior Manager / Assistant GM (Engg) is also required to exercise a check
over the completion of Standard Measurement Books from time to time by
personally examining each book at least once a year:

76
 AAI Works Manual

a. After the close of the financial year, as far as possible, the Assistant
Manager/Manager (Engg.) concerned will arrange for a personal examination of
these Standard Measurement books with a view to satisfy himself that they have
been brought up to-date with reference to the additions, alternations or special
repairs carried out in the building/works executed during the preceding year and
ensuring their submission on such dates as may be fixed for the purpose for the
inspection of the Senior Manager / AGM (Engg.).

20.2.5 A record of the results of the scrutiny referred to above should invariably be
retained and produced, if required, during the inspection of DGM/JGM/GM
(Engg.)/ Audit/Accounts Officer.

20.3 Submission of Certificates

20.3.1 A report should be submitted to the DGM/JGM (Engg.), so as to reach him not
later than the latest by 31st July of each year with copy endorsed to the concerned
AM/Manager (Finance) certifying in clear terms:

a. That all the Standard Measurement Books of the SM’s office have been
inspected by the Senior Manager (Engg.).
b. That the entries made therein have not been tampered with.
c. That all corrections due to additions or alterations to the building / work
concerned have been carried out, and
d. That the books are reliable with up to-date records.

20.3.2 When a payment is based on the Standard Measurements Book, the following
certificate should invariably be recorded on the bill, in his own handwriting, by
the Engineer preparing it:-

“Certified that the complete work billed herein has been actually executed and
that no portion thereof has been previously billed for in any shape”.

77
 AAI Works Manual

SECTION 21: Bills for Payment

21.1 Preparation of Bills

21.1.1 Only full and final payment shall be made in respect of works costing up to Rs
one Lac.

21.1.2 Monthly bills shall be submitted by the contractor for works costing more than Rs
one Lac. Such bills shall be verified by the engineer in-charge before making any
payments. All such payments shall be treated as advance payment and shall be
adjusted in the final bill.

21.1.3 Monthly bill shall be submitted by the contractor on or before the date fixed by
the Engineer-in-Charge for works executed at the site in the previous month and
the Engineer-In-Charge shall verify the bill. If the contractor does not submit the
bill within the time fixed as aforesaid, the Engineer-In-Charge may depute within
seven days of the date fixed as aforesaid a subordinate to measure up the said
work in the presence of contractor whose counter signature to the measurements
will be sufficient and the Engineer-In-Charge may prepare a bill from such list.

21.1.4 Before taking any measurement of any work, Engineer-In-Charge or a

subordinate deputed by him shall give notice of 3 days to the contractor for
attending process of measurements. If after such notice, contractor fails to depute
his representative for recording measurements, the measurement shall be recorded
by departmental officer which shall be countersigned by the contractor or he may
record the differences within a week from the date of recording measurements.
The measurement taken by engineer in-charge shall be final and binding on the
contractor if he fails to do so within specified time.

21.1.5 The contractors shall submit the final bill within one month of completion of
work. The department shall make payment of final bill airport wise for
undisputed items within three months of submission.

21.1.6 The contractor shall submit a list of the disputed items within thirty days of
payment against final bill and in case he fails to do so, he will lose his right for all
such claims.

21.1.7 Before preparing the bill of contractor / supplier, the entries in the MB relating to
the description and quantities of work/supplies should be scrutinized by the
AM/Manager Engg and calculations should be got checked under his supervision.
The bill shall then be prepared from the measurement book entries in one of the
forms prescribed, as applicable, in each case.

21.1.8 Full rates, as per agreement/supply order shall only be allowed if the quantity of
work done or supplies made confirm to the specifications. During the progress of
the work, part rates in running bills should be paid for those items which are not
completed in all respects, with due regard to value of remaining part work to be
executed as per general terms and conditions of the agreement.

78
 AAI Works Manual

21.1.9 In case of supplies, the payment is not permissible until the stores have been
received and surveyed. In case payment has been permitted on production of
dispatch document etc., the payment should be treated as advance against the
final settlement on receipt of the stores.

21.1.10 If the departmental materials are issued for complete item of a contract then
necessary recoveries on account of the cost of the materials supplied to the
contractor should be affected from each bill at the recovery rates fixed for the
purpose.

21.1.11 Each bill should be accompanied by following statements; duly signed by

AM/Manager Engg:-

a. Test check Statement ( Refer Appendix-27)

b. Part Rate Statement (Refer Appendix-28)
c. Recovery Statement of departmental materials (Refer Appendix-29)
d. Statement of Theoretical consumption of cement/bitumen (Refer
Appendix-30)
e. Form to accompany First and Final Bills of Contractors for minor
works/supplies where only one payment is to be made. (Appendix -31)

21.2 Testing of Material

21.2.1 The Engineer-In-charge shall be responsible to carry out all mandatory tests at
frequency, stipulated in the contract/relevant standards. The contractor shall
extend all help in conducting mandatory tests and keeping record of the same.
Details of such ‘Mandatory Tests’ shall be maintained and attached with each
running account bill.

21.2.2 If any additional tests apart from mandatory tests specified in the contract are
required to be carried out at the instance of AAI or any other advisory body, to
ensure conformity of the item to the contract specifications, such test shall be got
done by Engineer-in-charge and the cost of such tests shall be borne by AAI. In
case the material / equipment fails in the above tests, the expenditure incurred by
AAI on testing of such material or equipment along with incidental charges borne
by AAI (if any) shall be recovered from the dues of the contractor. The sample
for such test shall be supplied by the contractor free of cost.

21.3 Forms of Bills:

The standard forms of bills and vouchers should be used for payment to
contractors/suppliers .Their brief descriptions are given below:-

21.3.1 First and Final Bill: This form shall be used for making payments both to
contractors for works and to suppliers, where a single payment is made for a
contract on its completion (Appendix -31).

21.3.2 Running Account Bill: In case of Lump Sum contract, running account bills shall
be prepared on the format provided at Appendix 32and bill for final payment for
Lump Sum contract shall be prepared as per Appendix 33. The running account

79
 AAI Works Manual

bill and final bill for normal contracts/supplies shall be prepared on same format
as provided at Appendix 34. This form should also be used for cases including
where advance payments are proposed to be made. All R/A Bills must be
accompanied by Account of secured advances in prescribed format as provided at
Appendix- 35, along with Indenture form for secured advances as per
Appendix– 36.

21.3.3 Hand Receipt: This should be used for all miscellaneous payments and
advances for which none of the forms mentioned above is suitable (Appendix-
37)

21.4 Authorities to pass the Bill:

The authorities to prepare, verify and pass the bills after observing the required
test check and other formalities should be as under:-

S.N Bills to be paid Authority competent to

Prepare Verify Pass for payment
1. Running and final SA/Sr. Assistant Assistant Manager
bills of contractors or Superintendent
Manager /Manager(Engg)/
suppliers /Jr.Executive
/Manager Sr.Manager
(Engg)/AM/M
(Engg)/Sr. /Assistant General
GR(Engg) Mgr/AGM(En Manager(Engg)
gg)/dgm/Jgm /DGM(Engg)/Jt
GM(Engg)/GM
(Engg).i.e Engineer
-in-Charge
2. Petty payment from SA/Sr. Imprest Imprest Holder
imprest for work Superintendent Holder
done or supplies / Jr. Executive
made Engg

80
 AAI Works Manual

SECTION – 22: Payments to Contractors

22.1 General

The conditions of Percentage Rate Tender/Item Rate Tender and Item Rate for
supply of material provides that no payments should be made for works or
supplies estimated to cost less than Rs. 1 Lac till after the whole of the work or
supply has been completed and a certificate of completion is recorded. In the
case of works or supplies estimated to cost more than Rs. 1 Lac, the contractor
shall on submitting running account bill will be entitled to receive a monthly
payment proportionate to the part thereof executed and passed by the Engineer-
in-Charge. On account payments are also permissible as per the conditions for
the works awarded on piecework contract, work order and Percentage Rate
Tender/Item Rate Tender. The contractors should be required by the Engineer-in-
Charge to submit their bills by a fixed date in accordance with the terms of the
contract e.g. Percentage Rate Tender/Item Rate Tender and only in such cases,
where a contractor fails to submit the bill by the prescribed date, the Engineer-in-
Charge should depute a subordinate authorized by him to measure up the work in
the presence of the contractor and prepare a bill against such measurements.
Running payments must be made monthly as per terms of the contract even
though the amount involved is small, when for any reason, monthly payments
cannot be made on the basis of recorded measurements, advance payments for
alternate running bills be made to contractors after obtaining approval of
DGM/JGM/GM. In this regard, if no payment is to be made, this fact should be
recorded in the Measurement Book. The Engineer-in-Charge should maintain a
register to keep a record of monthly running payments made to the contractors in
respect of contracts costing above Rs. 1 Lac. The register should remain on the
table of Engineer-in-Charge to enable him to watch the payments which are being
made to the contractors every 30 days. If any objection is raised by the concerned
Finance officer, for payment of a particular item or rate in any bill, the Engineer-
in-Charge should make up his mind and pass final orders then and there whether
the item on which objection has been raised should be allowed and if necessary,
the item should be retrenched from the bill but in no circumstances the payment
should be delayed. The register should be posted at the time of making monthly
running payment to the contractor.

22.1.1 If the contractor has quoted different rates for the same item appearing in two or
more subheads, then the lowest of the rates quoted shall only be considered for
payments during execution of work. In case of deviation of quantity of such item,
payments shall be made at the lowest quoted rate for quantity executed upto the
deviation limit specified in the contract. Beyond the deviation limit the rate shall
be derived as per relevant contract provision.

22.2 Final Payments

22.2.1 Final measurements should be recorded within one month of the completion of
work. Final payments for works costing more than Rs. 5.00 Lac should be made
within six months of the completion of work and for other works within three
months. ED (Engg.), CHQ and RED / GM (Engg.), RHQ are requested to furnish
monthly statement where finalization of bill could not be done within six months

81
 AAI Works Manual

of recording of completion of works, indicating specific reason for delay in

finalization of bill. (TC No. 7/2018 dtd. 15.11.2018)
22.2.2 At the time of preparation of final bill, the full bill value shall be prepared for
both agencies who had quoted L1 & L2 rates. The final bill shall be paid as per
lowest of the two final bills.

22.3 Time Schedule for Payment of Bills

22.3.1 The time schedule indicated in table below for payment of bills and issue of
completion certificates shall be strictly adopted:

Stage Time Limit

[1] [2]
Payment of Running Bills As far as possible before expiry of ten
working days from the presentation of the bill,
AME/ME and SM/AGM (C & E) should not
take more than 5 working days each.
Contractor’s notice of 10 days of completion of the work
Completion of works
Issue of completion certificate 30 days
for work
Submission of final bills by the One month of the date final certificate of
contractor completion furnished by Engineer-in-Charge
or three month of physical completion of the
work whichever is earlier.
Payment of final bills for works 2 Months of receipt of final bill from the
up to Rs. 50.00 Lac contractor.
Payment of final bills for works 3 Months of receipt of final bill from the
between Rs. 50.00 Lac to 250 contractor.
Lac
Payment of final bills for works 6 Months of receipt of final bill from the
over Rs. 250 Lac contractor.

22.4 Inspection of Works by DGM/JGM/GM

22.4.1 Before a work is declared as completed in all respects and final payment is
released to the contractor in respect of the following works, it has to be inspected
by the SM/ AGM /DGM/JGM and completion certificate issued.

a. DGM/JGM (Engg.) will issue completion certificate upto value of work of

Rs.300 cr.

b. GM shall issue completion certificate for all value of works beyond Rs. 300Cr.

c. Report of completion certificate should be submitted to the next higher

authority within 30 days of issuing such certificate.

82
 AAI Works Manual

d. Engineer-in-charge should give factual report of completion i.e. facts and

figures only without any adjectives in all the cases wherein Technical
Sanctioning authority is higher.

e. Any comment in the completion report regarding performance/capability-

financial or technical or as regards timely completion etc. should be given
by Technical Sanctioning Authority.

22.4.2 The GM/JGM/DGM/SM/AGM shall record completion certificate in the format

available at Section11.4 above.

22.4.3 The contractor shall submit completion plan (as built drawing) for building,
E&M, and all services including water, sewerage, drainage lines and specialized
services within 30 days of completion of work. The completion plans/drawings
are not required for repair/ O & M works. The completion plan for the building
works should be good enough for submission to the local body for seeking
completion/occupancy certificate. In case the contractor fails to submit the
completion plan as aforesaid, the AAI will get it done through other agency at his
cost and actual expenses incurred plus Rs. 15000/- for the same shall be
recovered from the contractor. The decision of GM (Engg) concerned in this
respect shall be final and binding on the contractor.

22.4.4 The completion certificate is required to be recorded within a period of 3 months

from the date of completion of the work.

22.4.5 AME/ME has to record similar certificate in respect of the works within their
delegated powers.

22.4.6 These defects brought out in completion certificate should be rectified by the
Contractor before making final payment or by the Department at his cost, action
for which should be taken in terms of the contract.

22.4.7 The copy of completion certificate will be attached with the office copy of the
Final bill of the contractor and remain on the record of the SM/ AGM office. The
SM/AGM shall not make final payment till completion certificate is recorded, and
attached to the Office copy. Completion certificate, however, will in no way
reduce the responsibility of the SM/ AGM and the Finance Directorate for due
checking of the work and the bill as required by the rules and code of practice of
the Department.

22.4.8 In order to keep record of inspections carried out by SM/ AGM, DGM/JGM, GM,
ED (Engg) inspection notes shall invariably be issued by them, so that engineer in
charge as well as the contractors are kept appraised of the nature and character of
works and defects, if any.

22.4.9 The completion certificate is required to be recorded by the SM/AGM/

DGM/JGM/GM in whose time the work is completed irrespective of the fact that
a part of the work may have been done during the incumbency of his predecessor.
The SM/AGM/DGM/JGM/GM recording the completion certificate is not

83
 AAI Works Manual

responsible for bad work which may have been covered up during the
incumbency of his predecessor, for instance, work in foundations or below the
concrete flooring, but he is required to point out the defects which appear
outwardly, for instance, defects in the doors and windows, plastering flooring,
painting etc. He can also check up the composition of the mortar in the
brickwork, plastering etc., by removing a portion of the plaster etc., and thus
satisfy himself that the work has been done satisfactorily and according to the
specifications. He can also refer to the inspection notes previously recorded by
the officers of the department and satisfy himself that the defects pointed out
therein have been rectified by the contractor. In this way the
SM/AGM/DGM/JGM/GM should have no difficulty in recording the completion
certificate even if the entire work has not been done during his incumbency.

22.4.10 In specific cases, where due to practical difficulties and failures on the part of
SM/AGM or DGM/JGM concerned in getting the completion certificate recorded
by Engineer-in-charge during his tenure and work is treated as complete by the
present incumbent, ED (Engg) may decide any relaxation of the existing
instructions in respect of recording completion certificate, after examining the
reasons for such failure in detail and can order present incumbent to record
completion certificate. Administrative action should also be initiated against the
SM/AGM or DGM/JGM for not taking proper/timely action in getting the
completion certificate recorded if such failure is not justified, as revealed by the
facts of the case.

22.4.11 In order to avoid delays in recording of completion certificates by DGM/JGM, it

has been decided that in the case of such work the SM/ AGM should inform the
DGM/JGM concerned of the work having been completed in all respects within a
fortnight of the physical completion of the work and request them to carry out
their inspection and record the required completion certificate.

22.5 Deduction of Income-Tax & GST at Source: (GST will be reimbursed as per
TI No. 05 dtd. 08.06.2018)
Before signing the first and final bill/the Running Account bill/or the final bill,
the AM/M/SM/AGM should see that the statutory deduction on account of
income-tax and GST as applicable to the state wherever work has been carried
out, has been made from the bill of the contractors. Under Section 194-C of
Income Tax Act 1961, introduced by Finance Act 1972, deduction of Income Tax
is required to be made at source by disbursing officers from payments made to
contractors. Finance Directorate shall ensure that current Income Tax Laws are
followed at the time of disbursement of any type of payments.

84
 AAI Works Manual

SECTION 23: Advance Payment

No advance payment to contractors / suppliers should be made except the

following:-

23.1 Lump Sum Advance (Mobilisation Advance)

23.1.1 NIT approving authority shall use their discretion carefully and may stipulate
payment of mobilization advance limited to 10% of the contract value against
bank guarantee issued by Scheduled bank but not by cooperative/ Gramin Bank.
The value of contract for stipulating issue of mobilization advance should be
above Rs. 5 Cr.

23.1.2 The application for release of mobilization advance must be received from the
contractor within 30 days for the works costing between 5 Cr. to 100 Cr.
However, contractor shall be permitted 45 days for submission of his application
for works costing more than 100 Cr. for release of mobilization advance.

23.1.3 a. For works costing more than Rs. 100.00 Cr., the mobilization advance shall
be given in more than one instalment with 1st instalment not exceeding Rs.
10.00 Cr., the value of subsequent instalment may be decided by NIT
approving authority considering urgency and requirement of T & P for the
project. Subsequently instalment shall be released only after submission of
utilization certificate by the contractor for the earlier instalment to the entire
satisfaction of Engineer-In-Charge.

b. The recovery of the mobilization advance may be rescheduled by Engineer-

In-Charge with the approval of NIT approving authority, if the delay in
handing over of site / issue of drawings or any other reason is attributable to
AAI.
c. The agency shall accordingly submit Bank Guarantee in the same proportion in
parts and valid for the period as detailed at Para 23.1.4 below.

23.1.4 All such advances shall be paid against submission of a Bank Guarantee
amounting to 110% of mobilization advance in the prescribed format as per
Appendix – 38. The advance payment may be released in stages; value of
1stinstallment should not exceedRs.10Cr.The value of subsequent installment and
total number of installment shall be decided by NIT approving authority
depending upon the progress of work and on receipt of documentary proof for
utilization of previous advance from the contractor to entire satisfaction of
Engineer-in-Charge.

23.1.5 The Bank Guarantee shall be valid for 3 (three) months beyond schedule
completion period or likely extended period for completion of work. The BG will
have to be revalidated with each provisional extension of time.

85
 AAI Works Manual

23.1.6 The recovery of such advance shall be made in suitable instalments commencing
from 2nd running account bill or after 10% work is completed, whichever is
earlier.

23.1.7 The entire amount of advance together with interest should be recovered before
80% of the work is completed.

23.1.8 Advance payment so made shall bear a simple interest @ 10% per annum or
instruction issued from time to time by Competent Authority and stipulated in the
contract.

23.1.9 Up-to date accrued interest should be recovered from running account bills of the
contractor along with recovery of principal advance amount.

23.1.10 Recovery of mobilization advance shall be regulated in such a manner that:

a. 25% of mobilization advance plus interest due shall be recovered by 1/4 of

the stipulated / extended period of the completion.
b. 60% of mobilization advance plus interest due shall be recovered by 1/2 of
the stipulated / extended period of completion.
c. 100% of mobilization advance plus interest due shall be recovered by 3/4th
of the stipulated / extended period of completion or 80% of progress of
work whichever is earlier.

23.1.11 In case the requisite amount as recoverable above is not available in on-account
payments mentioned above at any stage, the agency shall deposit the same within
7 days of its due, otherwise all Bank Guarantees submitted by the agency towards
mobilization advance shall be encased by the Engineer-In-Charge.

23.1.12 However, in rare cases, wherein progress of work is delayed beyond stipulated
period of completion due to reasons beyond control of contractor, deferment in
recovery of mobilization advance with accumulated interest thereon may be
considered by the Technical Sanctioning Authority at an enhanced rate of interest
i.e. 15% per annum with recovery of outstanding mobilization amount @50% of
gross value of running account bill(s), subject to Engineer-In-Charge certifying
that deferment towards recovery of outstanding advance is proposed in the overall
interest of the project and is necessitated to improve the progress of work.

23.1.13 In case 1/4 of the time of completion of work has expired without achieving 10%
progress of work, the Engineer-In-Charge may initiate a case of encashment of
bank guarantee submitted against mobilization advance with the approval of
competent authority.
(Amended vide ED (Fin.) letter no. AAI/CHQ/FIN/BG/2018/353 dtd. 13.02.19)
The process of invocation of BG is flowing from the contract management and
accordingly it is clarified that whenever required, the process of BG invocation
should be approved by the following officer at CHQ / Regional / Station level
under intimation to ED (Finance)-CHQ.
Sl.No Unit Approving Authority for BG Invocation
1 CHQ Executive Director of the respective Directorate
2 REGIONS Regional Executive Director
3 AIRPORTS / FIELD STATIONS Airport Director / Station In-Charge
4 CATC ALLAHABAD Principal, CATC
86
 AAI Works Manual

5 RCDU / FIU-SAP Executive Director

The decision for invocation of BG should be taken immediately as and when the
cause of action arises as per the terms and conditions of the contract and claim
should be filed well in time before the expiry of the claim period as mentioned in
the terms and conditions of the BG document.

23.2 Secured Advance

23.2.1 Secured advance up to an amount not exceeding 75% of the value of material
brought at site for incorporating in the work or 75% of the material cost in the
tendered rate of the finished items of the work, whichever is lower, may be paid
to the contractor under running account bill. A list of items categorized as ‘A’

‘B’ and ‘C’ separately for civil and electrical goods is attached as Appendix -39
for the guidance of field officers. While secured advance for materials in
category ‘B’ may be paid only after indemnifying AAI through an insurance
cover. No secured advance should, however, be paid for materials of perishable
nature listed in category ‘C’.

23.2.2 All such advances should be made after formal agreement (Indenture Bond) is
signed with the contractor under which the authority secures a lien on the
materials.

23.2.3 Advance so granted should be recovered from running account bill as soon as the
material is consumed on the work and payment for the finished item is made to
the contractor.

23.3 Advance payment for the work done but not measured:

23.3.1 Advance payment for work actually executed but not measured may be made in
exceptional cases of real necessity to the extent given in DOP of assessed value of
work.
23.3.2 Such advance payment should be authorized on the certification by an
officer not below the rank of SM / AGM and the officer shall be personally held
responsible for any over payment, which may occur on the work in
consequence.
23.2.5 Advance payment whenever made on the basis of assessed value of work should
be followed by bill based on detailed measurement within three months and
advance adjusted.
23.2.6 2nd advance on the basis of assessed value of work before recovery of earlier
similar advance shall not be permitted under any circumstances.
23.2.7 The record of bank guarantees shall be maintained as per format indicated in
Appendix-40. The renewal of BG as and when required shall be the
responsibility of officer holding BG in his record.

87
 AAI Works Manual

SECTION 24: Payment for Sub-Standard Work

24.1 Acceptance of Sub-Standard Work

The Contractors are required to execute all works satisfactorily and according to the NIT
specifications. If certain executed items of work are below specifications the Contractor
should be asked to redo them according to the specifications. During the progress of the
work, defects/deficiencies in the items of works are to be noted in time and recorded in
site order book. It will be the duty of the field Engineer viz. ME/AME/SA/SS/Jr.
Executive Engg to point out such defects in the work in time during the progress of the
work. These defects should also be brought to the notice of SM/AGM (Amended on dt.
26.03.18) Engineer-In-Charge, through SM /AGM/DGM/Jt.GM(C/E) immediately, so
that he may take timely action to issue notices to the Contractor either to rectify the
defects or even get the work dismantled and redone, if necessary. The contractor will be
given a letter in regard to rectification of defective work and removal of sub-standard
material in standard format provided at Appendix –41. Every attempt should be made to
issue such notices regarding the defective items/work during the progress of the work.
Where, however, this is not found feasible, the same should be issued before finalisation
of bill. Timely action alone can prevent occurrence of defects, which will be difficult or
impossible to rectify later on like hollow vertical joints in brick masonry and similar
defective structural members.

24.1.1 If the Contractor does not rectify the defect, the work should be got redone or
rectified departmentally by employing skilled labourer at the risk and cost of
Contractor in terms of relevant clause of the Conditions of Contract for
Percentage Rate Tender, Item Rate Tender and Piecework and similar conditions
in other forms. However, in case it is decided to accept this sub-standard work,
the SM/AGM should prepare reduction item statement with his proposal of
reduced rates with rate analysis and send the same to DGM/JGM for approval of
rates as the case may be.

24.2 Sanction of Rates for Sub-Standard Work

24.2.1 Acceptance of work below specifications and payment of reduced rates should be
resorted to only for those items where it is structurally impossible to get the work
done and otherwise work is technically safe and acceptable with the approval of
the competent authority. Powers in this regard shall be exercised by officers as
delegated to them in DOP. Before a sub-standard work is accepted by the
department, the Engineer-in-Charge after getting prior approval of competent
authority should write a letter to the Contractor (refer Appendix-42) for and on
behalf of the Chairman AAI, regarding acceptance of the same at the provisional
rates pending the decision of the competent authority with regard to final rates.
In reply to this letter the Contractor should send his consent for acceptance of the
terms specified by the department in the format provided at Appendix – 43. For
this purpose regarding the quantum of reduction as well as justification thereof in
respect of rates for sub-standard work which may be decided by the department
will be final and binding.

24.2.2 The statement of reduction in the rates together with a copy of the orders
approving such reduction for acceptance of sub-standard work by the DGM/JGM

88
 AAI Works Manual

should be sent to the SM/AGM so that they are made available to

Audit/(Accounts) during the inspection, whenever required by them. The
AM/M/SM/AGM should invariably write down in the Measurement Book the
element of the items of work remaining non-executed and the defects in the items
of work for which part rate is allowed side by side when preparing running bills,
along with abstract of the bill in Measurement Book. Part rate statement attached
with Running Account Bill should also clearly indicate in red ink
defects/deficiencies for the sub-standard work. Payment of part rate will be taken
to mean that work done and accepted for part payment is according to
specifications and without defects unless otherwise clearly stated. The SM/ AGM
should clearly show in red ink below the form as well as in the abstract entry in
the Measurement Book that the reduced rates paid in running bill as part rates for
work were only provisional so that the contractor may not come with a plea later
on before the arbitrator, that a certain rate has already been paid for the work and
hence agreed to by the SM/ AGM /Engineer-in-Charge. While making such part
rates payments, care should be taken that the amount withheld is commensurate
with the nature of defects. At the time of scrutiny of the running bills before
payment, the finance directorate will be responsible to ensure that proper reasons
for payment as part rates are given in the abstract of cost entered in the
measurement books and bills. He should also ensure that prior approval of
DGM/JGM is available in respect of part rates for defective work and a proper
notice to the Contractor is available on the record. It is also imperative that
DGM/JGM examine the proposals for sanction of reduction in rates sent by the
SM/ AGM properly and ensure that formalities which are required to be followed
for acceptance of sub-standard work have been followed before acceptance of the
proposals. It is essential that the approval of the DGM/JGM should be obtained
before the final bill for the work is paid.

24.2.3 Reduced rate item arises out of specific non-performance of the provisions of
contract by the Contractor, which however has been condoned by the Department
under certain circumstances. So the procedures and priorities mentioned under
the agreement for working out the rates for substituted/extra items do not ipso
facto apply in these cases. The deduction in rate should be commensurate with
the defect and department should be in a position to defend it in the arbitration
court and should be worked out evaluating the deficiency in the item as compared
to the full specifications mentioned in the agreement, based on principles of
reasonableness and equity, always remembering, however, that such a defect has
occurred due to specific non-performance of provisions of contract, on the part of
the Contractor. These powers are outside the limits of power given for approval
of substituted/extra item.

24.2.4 DGM/JGM should bear in mind these guidelines before they sanction reduced
rate item statements for such sub-standard items of work which are accepted
under special circumstances.

24.3 Removal of Rejected/Sub-standard Material from the Site of Works

24.3.1 The following uniform procedure should be followed for removal of rejected or
sub-standard material from the site of work:

89
 AAI Works Manual

a. Whenever any material brought by the Contractor to the site of work is

rejected, entry thereof should invariably be made in the Site Order Book
under the signature of the AM/M (Engg.) giving approximately the quantity
of such materials.

b. As soon as the material is removed, certificate to that effect may be

recorded by the AM/M (Engg.) against the original entry, giving the date of
removal and mode of removable i.e. whether by truck, carts, or by manual
labour. If removal is by truck, the Registration number of the Truck should
be recorded.

24.4 Substituting the name of manufacturer of the items as specified in contract

agreement

The acceptance of any item manufactured by manufacturer other than

manufacturer specified in the contract agreement (NIT) shall be treated as
substitution of item. Therefore reduced rate item/ substituted item shall be
prepared as per practice of department. The field engineers shall ensure that the
contractor has been issued with a notice intimating that due to substitution of
make, reduced rate will be worked out by the department. Also before the
alternative make of the item is substituted, an undertaking may be obtained from
the contractor that for such substituted make reduced rates as prepared by the
department shall be acceptable to them. It is also essential that the reduced rate
shall be got approved by the competent authority as contained in this section. The
technical suitability shall also be checked and the same will have to be got
approved from competent authority.

90
 AAI Works Manual

SECTION 25: Documentation of Accounts

All the accounts Registers detailed below should be maintained by the Assistant
Manager/Manager/Senior Manager/AGM (Engg) or Engineer-in-charge posted at
the station, if no Senior Assistant/ Sr. Superintendent /Jr. Executive/Assistant
Manager (Account) is posted in the SM’s Office, he will perform the duties of
above.

25.1 Bill Register:

A consolidated record of all the bills received from the Assistant Manager
/Manager ( Engg) for payment in respect of works/supplies should be maintained
in one register known as “Bill Register” in the office the Project Manager in the
form given at Appendix -44. The bills should be entered in the register strictly in
order of receipt. The payments of the bills shall also be made strictly in order of
their receipt.

25.2 Material Accounts

25.2.1 Material can be purchased for maintaining stocks for requirements of various
works-original and maintenance. These mainly fall in two categories.

a. Materials issued to contractors for use in the works in respect of completed

items of works.
b. Materials issued direct to works, when the works is done departmentally or
by contractors whose agreements are for labour only.

25.2.2 The issue rates for the materials stipulated to be issued to contractors for the
completed items of agreements shall include storage and other charges. The
materials other than those stipulated in the agreement shall not be issued without
the express authority of the SA/SS/Jr. Executive (Engg) who shall specify in each
case the “Issue rate” to be charged for the materials inclusive of delivery at the
place where these are stored. However, in respect of petty issues, not exceeding
Rs. 500/- in any month for any one contract can be authorized by AM/Manager
(Engg.).

25.2.3 “Materials-at-site Account” should be kept in the form given in Appendix -45 for
the materials issued direct to works. Make/ Brand, invoices, challan no. of
material must also be recorded in this appendix. Where the materials are issued to
work done departmentally or through a contract on labour rates only, the
Materials-at-site Account should be maintained only if the estimated cost of the
work is more than Rs. 1,00,000/-

25.3 Cement Register:

Cement register should be maintained for all the works at site in the form given in
Appendix-46 by the SA/SS/Jr. Ex./AM/Mgr (Engg.). The cement will be kept in
a godown constructed by the contractor for the purpose.

91
 AAI Works Manual

25.4 Dismantled Materials Accounts:

25.4.1 The numerical account of materials obtained from dismantlement of a building or

structure, wherever not sold by tender or auction should be recorded in the
Measurement Book for record purposes (Transfer of material without value). On
the basis of these measurements, these should be taken in the “Register of
Dismantled Material” in form at Appendix-47. The entries should be made by the
SA/Sr. Supdt/ Jr. Exec. (Engg )/AM/Mgr(Engg) and should be test checked fully
by Asstt. Manager/ Manager/SM/AGM (Engg.) After entries are made in the
register, those in the Measurement Book should be crossed by diagonal red ink
line with a suitable note that these materials have been entered in the register.

a. The dismantled materials will be used in the maintenance works as far as

possible, and will be shown as issued to works accordingly in the register.
The unserviceable material should be disposed of according to powers
vested with various authorities of AAI.
b. The un-disposed balance should be physically verified at least once a year
by the Assistant Manager/Manager (Engg.).

25.5 Accounting of dismantled materials through contract

a. In case a building or structure is dismantled through contract, a

stipulation/provision in the schedule of work can be made in the
NIT/contract that the contractor has to take away the dismantled materials
within specified time, and for which he should give credit to the AAI at
his tendered and accepted rates.
b. There may be cases where the intrinsic value of the dismantled materials
may be more than the cost of dismantlement of the building/structure. In
that event, sufficient safeguard should be taken through suitable
stipulation/ provision in the NIT/contract whereby the contractor deposits
the cost of dismantled materials in full with the AAI before he is allowed
to take up the dismantling work. The cost of dismantling shall be paid to
him after he completes the dismantling work.
c. The contract shall also have the usual provision for security
deposit/performance guarantee to ensure that the contractor completes the
dismantling work, and that he doesn’t just walk away with the costly
dismantled materials.
d. In case where dismantlement is part of construction contract, lump sum
stipulation can be made for dismantling and removing the dismantled
material, recovery of which can be made as early as possible preferably in
first three running bills.

25.6 Dismantled materials arising out of maintenance works

a. Relevant section of Manual may be referred to for disposal of dismantled

materials arising out of maintenance works done through contracts.

92
 AAI Works Manual

b. In case of dismantled materials of negligible salvage value arising out of

departmental maintenance of works, such as electrical lamps and tubes,
A.C. sheet ridges, PVC flooring, etc., may not to be taken in the
dismantled materials account, and they shall be disposed of as deemed
fit. The Manager/Sr. Manager (Engg ) shall exercise a check on the
quantum of materials dismantled from their normal consumption pattern.
c. For other dismantled materials having salvage value arising out of such
works, these should be accounted for in the Register of Dismantled
Materials, and disposed of, or re-used as the case may be.

25.7 Imprest Cash Amount:

25.7.1 Senior Assistant/Senior Superintendent/Jr. Ex. Engg independently posted at the

airport and Assistant Manager /Manager in other cases should be issued imprest
of Rs. 25000/- to defray day to day petty expenses on works and establishment.
Officers entrusted with such permanent imprest or temporary advances shall
maintain and render accounts of disbursement from the cash imprest as per format
given in Appendix-48 for final accounting or recoupment.

a. The amount of imprest should be entered in red ink in column 5, “total”.

The date and manner of the remittance, and, if recouped by cheque, the
cheque number should also be entered, column 3 being utilized for the
latter purpose. The disbursements from this imprest should be entered
daily. On due date the account should be closed and balanced, the right
hand half page being cut off and sent to the disbursing officer, and the
counter foil retained by the imprest holder. The sums received, from time
to time, as recoupment of the imprest should be entered in column 5 in the
red ink.
b. Temporary advances shall also be accounted for in this form, but the
account of these advances should be quite distinct from those from
permanent advances.

93
 AAI Works Manual

SECTION- 26: ESCROW ACCOUNT

26.1 Introduction
Facility of opening of Escrow Account is being provided by few banks. This
account provides protection against diversion of funds by beneficiary for
utilization on other than desired project. It has been decided that opening of
Escrow Account should be considered for projects costing more than Rs.500Cr.
NIT approving authority shall be the competent for opting opening of such
account at the time of approving NIT for amount lesser than Rs. 500.00 Cr. also.
This condition must be clearly indicated in the NIT. There may be other
circumstances where the financial resources are temporarily depleted with the
contractor but even then he intends to complete the work as per terms and
conditions of contract. Department may consider it more appropriate to get the
work completed within revised time schedule through the original agency in place
of adopting long process of recall of tender. Under these circumstances,
Department can protect the interest of department and restrain the contractor from
diverting funds by opening Escrow Account with the consent of contractor on the
basis of mutually agreed conditions.

26.2 Need of Escrow Account:

An escrow account can be opened and operated in the following cases:-
26.2.1 The bank maintaining Escrow account can also be requested under term and
conditions of agreement to check and ensure utilisation of funds on the
project/work for which funds have been allocated by Head Office of AAI.
26.2.2 To ensure the utilization of the mobilization advance and intermediate payments
on the project itself, an escrow account can be opened in any Scheduled Bank.
The Escrow Account shall have one nominee each from AAI and Contractor/
Company.
26.2.3 An escrow account provides additional security to AAI under purchase and
execution of work.
26.3 Opening of Escrow Account
26.3.1 Few banks provide facility of escrow account. The contractor/ suppliers may be
directed to open Escrow Bank Account in one of the nationalized bank.
26.3.2 Opening of separate Escrow Account is mandatory for all works costing more
than Rs.500.00 cr.
26.3.3 The terms and conditions for Escrow Account with the bank as well as with the
executing agency should be drafted carefully in the best interest of AAI.
26.3.4 In case of project/works costing more than Rs.500.00 Cr., the Escrow Account
shall be opened by the successful contractor with the consent of GM (Engg). A
meeting between Contractor, Manager of selected bank and GM AAI shall be
called to formulate terms and conditions of Escrow Account. A tripartite
agreement shall be drawn amongst contractor, GM (Engg.) concerned and bank to
protect interest of the AAI. The release of funds against cheques issued by the
contractor shall be governed by the agreed percentages accepted by contractor

94
 AAI Works Manual

under schedule ‘F’ of the agreement. The agreement with bank must incorporate
percentages of Schedule ‘F’. Bank shall obtain consent of GM concerned for
release of funds against cheques issued by contractor for portion of funds on
which AAI expressed its desire to control payment for proper utilization of funds.
This control will be exercised against each payment released by AAI.
26.3.5 The Bank shall obtain consent of AAI before closing of this account.
26.3.6 The Bank shall maintain balance in the account in two sub heads of first balance
against uncontrolled funds and balance against controlled funds by AAI.
26.4 Conditions to be incorporated in the NIT:
26.4.1 The successful contractor for the works costing more than Rs.500 Cr. will have to
open a separate Escrow Account for the project/work in one of the bank
providing such service. The account number and name of the Bank shall be
intimated by contractor to GM (Engg.) and Engineer-in-Charge of the work. The
account shall be made operational before the disbursement of any payment
including mobilization advance.
26.4.2 The bank charges in this regard if any shall be paid by contractor.

26.4.3 All payment released by AAI on account of Mobilisation advance/RA Bills shall
be credited to the specific Escrow account opened for this project. All cheques
issued by AAI shall be stamped for crediting to this account.

26.4.4 The authorized signatory for recording recommendations on behalf of AAI shall
be as notified in the NIT. He will authorise bank to release payments against
cheques issued by contractor after due verification for utilisation of funds. He will
also keep account of release of controlled funds for the project.
For works costing more than Rs. 10.00 Crores, the prospective bidder has to
submit the Bid Capacity certified by Chartered Accountant as per the
attached Performa – II. (Amendment TI 38 para IX dtd. 03.03.2020)
26.4.5 Contractor shall utilize funds released by AAI, to meet expenses for the execution
of this project / work only. This will be controlled by AAI in following manner.
a. Mobilization advance for mobilisation of resources and purchase of plant &
machinery shall be paid to the contractor for crediting in the Escrow Account for
the project as per terms and condition of contract. The agency shall be able to
utilise 25% of each advance to meet minor expenses like construction of site
office, purchase of office equipment and other minor works, while release of
balance 75% fund shall be regulated by the department for which payment shall
be processed as per Section 26.4.6 to 26.4.8 below.
b. Payment received and credited against each RA Bill, can be utilised 25% directly
by the contractor for minor expenses like salary, stationary, office expanses etc.
AAI shall exercise control for release of payment by contractor for balance 75%.

Note: Percentages indicated in this section are suggestive and can be modified by NIT
approving authority considering functional requirement and urgency of work.

95
 AAI Works Manual

26.4.6 The Contractor shall submit his proposal to the GM/ Engineer-in-Charge or any
other authority indicated in NIT for utilisation of 75% of funds released by AAI
against each payment credited to Escrow Account with following details.

a. Name of agency.
b. Details of work executed/material supplied by agency to whom he intends
to release payment.
c. Advance payment if any, has to be made against acceptance of his order by
supplier.
d. Documentary evidence in support of his claim.

26.4.7 Engineer –in-charge will examine and approve full/part of such payments as per
contractors request within maximum of three working days.

26.4.8 The bank shall clear cheques according to the recommendations of Engineer in
charge.

26.4.9 These conditions can be enlarged as per situation and functional requirement in
each case with approval of ED (Engg.).

26.5 Foreclosure of Work:

In case of fore closure of work by AAI, the contractor may be permitted to close
Escrow Account immediately as soon as the request of the agency is received and
all balances and liabilities shall be left at the disposal of the agency. The
concerned bank shall also be informed about closure of Escrow Account. In such
case the contractor shall indemnify the department against any legal cases,
disputes from any entity, whom the contractor is liable to pay.

96
 AAI Works Manual

SECTION – 27: Business (Bills/Payments) Process through SAP

27.1 General

All payments in AAI have to be made through ERP – SAP system only.
Therefore all payments to contractors/agencies shall be processed through the
SAP system.

27.1.1 SM/AGM shall create a Project Definition for the scheme/ work with detail of all
packages involved in the scheme/work as soon as A/A & E/S for project is
received. He will get the approval from the competent authority for the scope of
work under each package for which independent tenders are to be called. Thus, at
this stage itself provision in the preliminary estimate for each package shall be
made available.

27.1.2 Sanctioned amount (Provision in PE) has to be recorded in SAP-ERP for each
package for which project definition has been created.

27.1.3 SM/AGM shall after award of work for whole scheme/work or part (as individual
package) upload in the SAP system copy of the work order in order to create
agreement and purchase order (P.O.) of the scheme/work. While uploading the
work order the corresponding provisions in A/A & E/S will also be indicated for
the scope of work covered under the package.

27.1.4 Further action has to be taken by executing wing in close co-ordination with
finance of AAI.

27.2 Linking of Project with Finance wing for further payments.

Brief of process is detailed as below:-

27.2.1 Capital/Minor Capital

For such works, once A/A & E/S is accorded following steps must be followed
for entering the data into the ERP system:

a. Project is to be created with WBS elements as per A/A & E/S breakdown
structure (transaction code CJ 20 N). Coding of Project and its WBS
elements should be done carefully using user’s manual.

b. As per the A/A & E/S amount, cost planning and budgeting is to be done
(transaction code CJ 40 & CJ30 respectively). Cost planning is nothing but
the A/A & E/S of respective subheads/packages (Note: it has no relation
with budget allocated by AAI on yearly basis) and the provisions in the
budget should be matching to cost planning and incorporated by utilizing
User’s Manual.

c. After creation of project in the ERP system, this has to be linked with Fund
Center. (Project Definition along with other details is required to be sent to
finance as per Appendix 49 in Excel sheet for this purpose).

97
 AAI Works Manual

d. After linking of fund center, Project needs to be released (transaction code

CJ 20 N) transaction code by the Finance unit.

27.2.2 Material Management

a. All payments / bills for purchase of material on Major Capital, Minor

Capital and maintenance works shall be processed through MM module of
ERP system.
b. All material stores on quantity and value basis shall be managed through
inventory management of MM module.

27.2.3 Capital / Minor Capital works

Composite Rate Contract for Civil and Electrical Minor Capital Works on
Percentage Rate Basis. (Refer TI No. 123 (Renamed TI No. 1) dtd. 01.01.2018)
Engineer-in-charge shall take following action immediately as soon as he is
declared as Project / Work in-charge and Project / Work details are made
available to him.

a. Assure that project is created in ERP system.

b. As soon as work is awarded vendor name (agency) is required to be created
by sending detail to finance. (Note- Vender code is created at CHQ level
once only for any agency).
c. ZCONUP document is prepared and Contract is to be created with
transaction code ZCONUP by the Finance (Contract no is required to be
noted for future purpose).
d. Once contract is created in ERP system and allotted transaction code,
purchase order shall be prepared with transaction code no ME21N (PO
number is required to be noted for future purpose).
e. On submission of bills by vendor, MIGO (transaction code) is processed
(which is similar to abstracts of quantities for bills).
f. After completion of MIGO process, financial transaction (transaction code
MIR7) is to be executed which is similar to abstracts of cost for the bills.
g. Once MIR7 executed Invoice document no. & Accounting document no is
created and bill is parked and hard copy of bill is to be send to finance with
Invoice document no. & Accounting document number for further
processing and releasing of payments.

27.2.4 Expenditure / Maintenance works

a. In expenditure works, project is not created and fund flow is through cost
centre of station.
b. Creation of contract, PO, MIGO, MIR -7 are similar process as in capital /
Minor capital works.

98
 AAI Works Manual

Note –
1. Every official should be careful so that junked document may not be
created (like duplicate PO, MIGO, MIR7 etc.), as same will consume
quantities and funds not actually processed.
2. It is to be noted that single contract is created and the multiple PO‘s are
processed as per running bills through same contract.
3. Respective User’s manual should be referred for further details of
working in ERP System.
4. All material stores on quantity and value basis shall be managed
through inventory management of MM module.

27.3 Other Guidance

27.3.1 The template for linking of Fund Centre and creating of new fund center has been
provided in Appendix-49.

27.3.2 The template for Re-appropriation of funds has been provided at Appendix-50.

27.3.3 The template for methodology for creation of new fund center has been provided
at Appendix -51.

27.3.4 Each running bill processed in the SAP system with modifications, if any, (in
case of extra/deviation item) will require similar modification is made in the
Purchase Order.

27.3.5 The Invoice no. created by SAP system has to be recorded and to be forwarded to
the concerned Finance Directorate with hard copy of the bill.

Since payments are to be made through on line SAP system, it is important that all
running/closed/new schemes are earmarked judiciously for every year.

99
 AAI Works Manual

CHAPTER- V

CONTRACTS

SECTION 28: Contracts and Forms of Contract

28.1 What is a Contract

28.1.1 When two or more persons have a common intention communicated to each other
to create some obligation between them there is said to be an agreement. An
agreement, which is enforceable by law, is a “Contract”.

28.1.2 According to section 10 of the Indian Contract Act. 1872 only those agreements
are enforceable by laws which are made by the free consent of parties competent
to contract, for lawful consideration and with a lawful object and are not
expressly declared to be void. This is subject to any special law according to
which a contract should be in writing and attested by witnesses.

28.1.3 The following are the essential ingredients of a contract:

a. Offer made by one person called the “Promisor”.

b. Absolute and unconditional acceptance of the offer made by the other
person called “Promisee”.
c. Doing of an act or abstinence from doing particular act by promisor for
promisee called consideration.
d. The offer and acceptance should relate to something which is not prohibited
by law.
e. Offer and acceptance constitute an agreement, which, when enforceable by
law, become a contract.
f. In order to make a valid and binding agreement, the party entering into such
an agreement should be competent to make such agreement.

28.1.4 For the purpose of an agreement, there must be a communication of intention

between the parties thereto. Hence in the forms of a Contract there is:

a. A proposal
b. Communication of the proposal.
c. Absolute and unconditional acceptance of proposal.
d. Communication of acceptance of the proposal

28.1.5 The communication of acceptance of the proposal completes the agreement. An

offer may lapse for want of acceptance or be revoked before acceptance.
Acceptance produces something which cannot be recalled or undone. A contract
spring up as soon as the offer, is accepted and imposes an obligation upon the
person making the offer. It has been opined by the Ministry of Law that before
communication of acceptance of an offer the tenderer would be within his right to
withdraw, alter and modify his tender before its acceptance, unless there is a

100
 AAI Works Manual

specific promise to keep the offer open for a specific period backed by a valid
consideration.

28.2 Form to be used for Contracts

The prescribed /approved forms should be used for the agreement with the
contractors for the purpose noted against each. Standard clauses of the forms
have been approved by the competent authority and should not be altered /
violated on any account except with the prior approval of the Authority. Special
emphasis should be given to the due performance of the contract by the
contractors in accordance with the terms and conditions of the contract and
necessary safeguards, for instance provision for levy of liquidated damages,
incorporated in the terms of the contract to ensure adequate compensation to AAI
in the event of breach by the contractors

28.2.1 Percentage Rate Tender

Percentage rate tender could be used in respect of works falling under one sub-
head or repetitive type of works where standard design and drawings are
available, leveling and development works including such work as storm water
drainage, water supply and sewer lines and repetitive types of works such as
construction of residential quarters of various types as per standard design and
drawing. Percentage rate tender shall be called under following conditions:

a. This form should be used for call of tenders for the works where estimated
rate for major items (cost wise) of works are based on CPWD DSR
irrespective of the value of work.
b. In other works, where the bulk of items are not based on CPWD DSR, in
such case NIT approving authority may decide to call percentage rate
tenders on the basis of merit of the case.

28.2.2 Item Rate Tender

For item rate tenders, contractors are required to quote rates for individual items
of work on the basis of schedule of quantities furnished by the department. This
form ensures a more detailed analysis of cost by the contractor and as such is
more scientific. The contractors have to work out the rates against each item.
The element of uncertainty and guess work which is inherent in the use of
Percentage Rate Tender is altogether absent in Item Rate Tender and the authority
competent to accept the tender can always check the rates with reference to his
own calculations and decide which of the tenders is suitable. Care, however, is
needed in respect of likely variation in quantities.

28.2.3 Item Rate Tender for supply of Materials

The details stated above for Item Rate Tender is also applicable for Item Rate
Tender for supply of Materials.

101
 AAI Works Manual

28.2.4 Piecework Contract Form

This form is to be used

a. For work costing less than Rs. 2,00,000/-

b. In cases in which it is necessary to start the work in anticipation of formal
acceptance of contract, and
c. For running contract i.e. those for pipes, laying of sewage etc.

In cases of (b) above, the piecework contract is cancelled as soon as regular

contract is signed.

In case of (c) above, quotations are called periodically and a running rate contract
is drawn up as a result of those quotations usually for a period of 1 year. The
piecework contract form provides for payment of stipulated rates only when
execution is done within said period and also stipulates that the Engineer –In-
Charge may put an end to the agreement at his option at any time.

28.2.5 Work order

The works can be awarded by using form of work order for works as per DOP.
Work awarded on work order basis may be stopped by engineer-in-charge at any
time and the contractor is also entitled to stop the work at any time, and when it is
not considered necessary to draw agreement on the form of piece work. Before
award of work on work order basis the contractor may be asked to furnish a list of
AAI employees/officers related to him. The procedure and various format and
formalities to be adopted for award of work on work order basis have been given
under Section 29.

28.2.6 Lump-sum Contract

This form, as its name indicate, is used for work in which contractors are required
to quote a lump-sum figure for completing the works in accordance with the
given designs, drawings, specification and functional requirements, as the case
may be. Lump –sum tender can be either for only executing the work as per
given design, drawing and specification or it may include element of doing design
work and preparation of structural drawing as well, which should be in keeping
with the given functional, structural and architectural parameters and subject to
approval by the competent authority beforehand. Normally, lump-sum tenders
may be called for following types of works.

a. Bridges/hangars
b. Overhead tanks
c. Bins/Silos
d. Chimneys
e. Repetitive types of work like residential type quarters
f. Specialized equipment and construction.

102
 AAI Works Manual

In case, work is to be executed as per design and drawings of the department, all
the detailed working drawings, both architectural and structural, must be prepared
before hand and should form part of the tender documents which should also
contain complete and detailed specifications of the work. The tender documents
must set out complete scope of the work and if felt necessary, a rough schedule of
quantities based on the relevant design, drawing and specifications, may be
appended to the tender for guidance. It should, however, be made clear in the
tender documents that only the drawings and the detailed specifications as
contained and/or referred to in the tender documents shall form the basis of
execution and payment. The schedule of quantities is given for guidance only to
the bidders. The extra payment or recovery over and above the accepted rate
shall, therefore, be called for only in the event of authorized deviations from the
drawings and specifications (as given and/or referred to in the tender documents)
in course of execution and not otherwise.

In case, the detailed architectural and structural drawings are to be provided by

the contractor, all the architectural and structural data/ parameters necessary to
work out the cost of the work, details of the functional requirements and
complete/detailed specifications thereof including preliminary drawings, if any,
must be finalized before call of tender and the tender documents must contain all
these details so that there is little scope of guess-work on the part of contractor
while tendering and chances of dispute at a later stage are minimized. A condition
should be stipulated in the tender documents that the work should be executed as
per detailed design and architectural/structural drawings to be prepared by the
successful contractor conforming to the given parameters and functional/design
requirements as enunciated in the tender documents and submitted to the
department within specified time after the award of work. The contractor shall
accordingly, get the design/drawings approved by the department before taking
up execution of the work. In case any modification for any reason is ordered in
the course of execution, suitable adjustment for extra payment or recovery should
be effected only if such modification results in change in the scope of the work as
given in the tender documents or any change from the specified parameters.

28.2.7 Demolition of Buildings

This form of the tenders is adopted for demolition of buildings and removal of
debris from site.

28.2.8 Other forms of contract are;

a. Supply of equipment and machinery

b. Consultancy contract
c. Service Contract
d. Supervision and Quality control

103
 AAI Works Manual

SECTION 29: Work Order

29.1 Procedure

29.1.1 All works even if costing less than Rs 2 Lac must be awarded after call of E-
bidding with wide publicity. Similarly work involving supply of material,
equipments and components costing below Rs 1 Lac may also be awarded after
E-bidding with wide publicity. The call of tenders on e-tendering basis is
mandatory irrespective of the estimated cost.

29.1.2 The award of work on work order basis may be resorted to only in emergency or
for procurement of materials on proprietary basis only. In the case of emergency
Engineer-in-Charge shall initiate a proposal for call of quotations after recording
detailed reasons and type of emergency in each case. Approval for calling
quotations and award of work on work order basis shall be accorded by the
authority competent to accept quotations without call of tenders as per delegation
of powers.

Systematic Improvement – Execution of Proprietary Item – Reg. (Amended

vide TC No. 05/2015 dtd. 01.04.2015)
All the work pertaining to software improvement / modification / integration / up-
gradation of special equipments, special repair which are proprietary in nature
and can be carried out only by the OEMs should be carried out separately as per
DoP provisions and should not be clubbed with other works.

29.1.3 The Notice Inviting Quotations (NIQ) (as per format available at Appendix 52)
for call of quotations must be prepared with detailed description of items and
specifications of work. The terms and conditions for specific work should also be
drafted and made part of Notice Inviting Quotations (NIQ).

29.1.4 The selection criteria for the agencies from whom NIQ’s is being sought may be
based on financial and technical capability of the contractors. Thus, quotations
may be invited only from agencies having adequate financial capabilities and
technical experience. The working/reliable contractors of AAI and other
Government Departments may be given preference. However, minimum three
valid offers shall be required for award of work on work order basis.

29.1.5 For the work of supplies, exception is to be made where the procurement is to be
obtained from the manufacturers / authorised dealers for the equipment / spares /
services such as servicing and overhauling / special repairs to the equipment,
quotations may be obtained directly on the basis of NIQ. The cases should be
processed for award of work after establishing justified cost. Towards guarantee /
warranty obligations, security deposit should be obtained either recoverable from
running payments or Bank Guarantee. Where more than one authorised dealer
exists, the competitive quotations/sealed spot quotations against NIQ are to be
obtained and the cases processed for award as per the delegated authority
prescribed in DOP. Procurement authority shall request quotations from as many
suppliers or authorised dealers as practicable but from at least three suppliers/
contractors/ authorised dealers. Each supplier/ authorised dealer or contractor
from whom a quotation is requested, shall be informed to offer their rates /quoted
price including transportation and insurance charges, duties and taxes etc.

104
 AAI Works Manual

Under normal case press advertisement and e-tendering is required. But in

specific case stated above we may adopt this system.
29.1.6 Urgent works like break down in services, works connected with security, VIP
movements; operational urgency etc. costing up to Rs. 100 Lac may be executed
without call of tenders by calling quotations or by negotiations ab-initio as per
powers delegated under DOP. The precise nature of the emergency involved
should be recorded by the Asst General Manager and approval of NIT approving
authority is obtained before dispensing with call of tenders for works costing
more than Rs. 5 lacs.

29.1.7 The form may normally be used for works costing Rs 2.00 Lac and below.
However, in case of works costing more than 2 Lac, this format can be used only
in urgent/ emergent works after recording detailed reasons of urgency. This
format can also be used in case of requirement of material from manufacturer and
authorized dealers. It is not much different from piece work contract form but any
work awarded on work order form may be stopped by Engineer-in-charge without
notice any time and the contractor is also entitled to stop the work any time but
not in case of urgent and emergent works.

29.1.8 Format for award of work on work order basis is given at Appendix-53. Some of
the suggestive terms and conditions which can be made applicable while
executing work on work order basis aredetailedinAppendix-54.These conditions
can be enlarged/ modified as per requirement on case to case basis.

29.2 Powers

29.2.1 Quotations may be called in case of exigencies with approval of competent

authority within their financial powers delegated under DOP.

105
 AAI Works Manual

SECTION 30: Composite Contract

30.1 Introduction

Modern Buildings being constructed these days normally have 25 to 30 services

to meet their functional requirement. Most of the services are specialized in
nature. Normally these works were being awarded to agencies having experience
in respective field. Thus, number of agreements to be handled by project team is
very large and coordination amongst these agencies becomes difficult un-
manageable causing delays. Thus, it is preferred that number of contracts being
handled by project team may be reduced to minimum for efficient project
management and timely completion of work necessitating concept of calling
composite tenders. The following procedure for composite contract may be
adopted:

30.1.1 The NIT approving authority must finalize number of packages for call of tenders
as soon as administrative approval and expenditure sanction is received from the
competent authority for the project. The suggested packages are indicated in
Appendix – 55. These packages are purely suggestive.

30.1.2 ED (Engg) shall have full powers for deciding number of packages and scope of
work covered in each of them for call of composite tenders.

30.1.3 The representatives of other departments/directorates responsible for operation

and maintenance of various services like PA System, FIDS, CCTV System, Fire
Alarm & Fire Fighting System, Data Cabling etc must be involved at all stages of
system design, execution of work and performance testing of components /
system. This will invite valuable inputs from them and facilitate handing over of
system for maintenance on completion.

30.1.4 The NIT approving authority may also decide list of works for which tenders are
to be called as a part of main civil construction work. NIT approving authority
shall decide before preparation of detailed estimate, a list of packages for call of
tenders and list of works as a part of each package. The decision in this regard
shall be communicated to all concerned for preparation of corresponding detailed
estimate & tender document. The tenders for specialized works may also be
grouped in one package having similar nature of work with the approval of NIT
approving authority.

30.1.5 Separate/composite tenders may be called for other specialised work as per
grouping indicated in Appendix 55 for all specialised works.

30.1.6 The composite tenders can also be called for AMC/CMC works of various
services in a building with appropriate grouping to facilitate easy and economical
maintenance of the buildings. One single composite tender can also be called for
all services in the building (including maintenance of building works) so that only
one agency is responsible for complete maintenance of building.

106
 AAI Works Manual

30.2 Pre-Qualification Criteria.

30.2.1
a. Registration shall be applicable only for works with estimated cost up to
Rs 15.00Crores. The work experience criteria shall not be applicable for
bidders having desired registration requirements. (i.e. valid registration in
appropriate class of work that is Building works/Pavement works on date of
submission of bid). Estimated cost shall fall within financial limit of
registration. Bidders who are not fulfilling the registration requirement
shall be considered for pre-qualification subject to fulfilling the other
qualifying requirements of works completed in last 7 years. The
prequalification criteria shall be applicable as given in Appendix 4A to 4C.
In case of non-registration of contractors for Ground Lighting Facilities
(GLF) Works, the pre-qualification criteria for the works shall be
applicable.
Pre-Qualification on the basis of valid Registration Certificate for
works costing up to Rs 15.00 Crores has been discontinued.
Henceforth, Pre-Qualification shall be on the basis of only Experience
certificate of similar nature of work. (Amendment TI 38 para IV dtd.
03.03.2020)
The Joint Venture firms can be permitted to quote for composite Tenders
amounting to more than Rs 50 Cr. (Amended on dt. 26.03.18) Joint
Venture is permitted for works above Rs.50.00 Cr. for building works and
Rs. 200.00 Cr. for pavement works. The number of firms in J.V should not
be more than two. In case joint venture firm the agreement has been made
before submission of bid & the leader of the J.V firms shall meet 80% of
the qualification criteria and shall accept overall responsibility of the
contract obligations for the total scope of work during execution and
including up to defects liability period. The second partner/ member of
Joint Venture Company should have 40% of the prequalification criteria to
meet the eligibility. If the Joint Venture firm becomes lowest after opening
of price bid only lead partner of joint venture firm must sign agreement
with the department and it should be mandatory for lead partner to attend
all the progress review meetings and to be answerable to all issues relating
to the project for discharging their obligations in full as specified in the
tender documents. The successful renderer shall not be permitted to form
joint venture after award of work.
a. The requirement of T&P must be mentioned for the scope of work in the
NIT document. Regarding requirement of machinery and T&P, it shall be
added that “in case agency do not have their own or possesses required
plant and machinery, an undertaking to this effect that the same shall be
provided either by purchase or lease hold basis if work is awarded to them,
to be submitted along with the application and deployment shall be as per
requirement at site decided by the Engineer-in-Charge”.
b. Integrity Pact is applicable for works costing more than Rs. 5 Crores.
c. The experience criteria shall be as under.
He must have executed at least one work of 80% value of similar
nature of work as per NIT.
or
He must have executed at least two works of 50% value of similar
nature of work as per NIT.
or

107
 AAI Works Manual

He must have executed at least three work of 40% value of similar

nature of work as per NIT.
d. Experience criteria and current costing level to be arrived by enhancing the
actual value of work at simple rate of 7 % per annum, calculated from the
date of completion to the last date of submission of bids.

e. Nature of similar job should be defined by NIT approving authority. In

case of pavement works, irrespective of type of pavement (rigid and / or
flexible), the experience either of rigid or flexible pavement works shall be
considered for pre-qualification.

f. Phase / part completion of work shall not be considered for satisfactory

completion of work for the purpose of experience. However, pre-
determined phasing of work will be accepted by the NIT approving
authority subject to its meeting the laid down criteria.

g. Bidder shall obtain solvency certificate from any bank as specified in the
tender document. The bidder must meet solvency criteria specified in the
NIT.
The provision of submission of solvency certificate by the bidder is
replaced with net worth certificate of minimum 15% of the estimated cost
as per the attached Performa–I. (Amendment TI 387 para VII dtd.
03.03.2020)

h. For Annual Maintenance Contract Work:

All terminal and other completed buildings are to be maintained by the

department. Comprehensive composite contract may be resorted to, incase
maintenance of terminal/other building has to be out sourced. Only
maintenance of highly specialised services can be out sourced
independently if so required, with the approval of NIT approving
authority.

i. The prequalification criteria for O&M/AMC/CMC/AICMC work shall be

considered the estimated cost of one year while deciding PQC even if
tender are being called more than 1 year.

30.2.2 The main contractor may be permitted to execute works covered under more than
one subhead provided he has requisite experience in execution of corresponding
works of subhead and he meets all requirements of pre-qualification including
financial, technical and technological requirement specified in the PQ criteria.

30.2.3 Main agency will associate expert agencies for the execution of specialized works
under various subheads for which he does not meet PQ criteria. In such case he
will appoint his associate for the execution of each specialized work with the
approval of the NIT approving authority. The main contractor shall intimate the

108
 AAI Works Manual

names of only those agencies who fully meet the PQ criteria for each specialized
work.
30.2.4 Main contractor shall not be permitted to change their associated agencies in the
course of execution of work. If change of agency is inevitable then a request
shall be submitted to the engineer-in-charge in writing giving full justification for
change of agency. The proposal must indicate name of the alternate agency along
with his financial, technical capabilities and work experience in the appropriate
field. The proposal shall be submitted to NIT approving authority through proper
channel for the approval. Such change shall be allowed only after receiving
approval from the competent authority.

30.2.5 After acceptance of the bid by competent authority, the GM/Jt. GM/Dy.
GM/AGM/SM/Manager in charge of major component of the work shall issue
letter of award (Appendix-74) on behalf of the Chairman, Airports Authority of
India. Letter of Intent can be issued on the format provided at Appendix 59A if
delay in issue of acceptance letter is anticipated. After award of work, the main
contractor will have to enter into one agreement for complete work with
AGM/SM/Manager in charge of major component. One copy of agreement shall
be handed over to GM/Jt.GM/DGM/AGM/SM/Manager in charge of each minor
component of main work for execution of his portion of work.GM/Jt.GM/D
GM/AGM/SM/Manager of major component will operate major portion of work
and shall be responsible for execution of work as per specifications and terms &
conditions of contract while GM/Jt.GM/DGM/AGM/SM/Manager in charge of
minor component(s) shall operate minor portion of work along associated
responsibility for quality of work.

30.3 Execution of work

30.3.1 Entire work under the scope of composite bid including major and all minor
components shall be executed under one agreement.

30.3.2 Engineer-in charge for execution of all subheads shall be declared by GM (Engg)
concerned. Respective Engineer-in-charge of each subheads of work shall be
responsible for timely execution/ quality of work/processing of running account
bills etc. He shall submit R/A Bills to finance through overall in-charge of major
component of composite contract.

30.3.3 Final bill of whole work shall be finalized and paid by the GM/Jt.GM/Dy.
GM/AGM/SM/Manager. of major component. Engineer(s) in charge of minor
component(s) will prepare and pass the final bill for their component of work and
pass on the same to the GM/Jt.GM/DGM/AGM/SM/Manager of major
component for including in the final bill for composite contract.

30.4 Tripartite agreement

30.4.1 This clause is applicable for the works for which the estimated cost put to tender
is more than Rs.500.00 crores. On receipt of LOI from AAI, the main agency will
select his associated agencies for each subhead of specialized works and finalize

109
 AAI Works Manual

his rates with them. The relationship between main agency and associated agency
may be of any type (either it is back to back contract or associated agency may
use full/part material arranged by main contractor), but specifications of work,
preferred makes of materials and overall performance of system shall be assured
jointly by both of them.

30.4.2 The main contractor shall execute an agreement amongst AAI, main contractor
and associated agencies for all sub-heads of specialized work, on receipt of
acceptance letter from the engineer-in-charge so that the associated agency is
fully responsible to the department to meet all obligations as per NIT document.

30.4.3 Main contractor shall submit list of associated agencies for all specialized work
within 1/12th of stipulated completion period or within one month period
whichever is later. The contractor shall also submit documentary evidence for
financial and technical capabilities of his associated agencies of their experience
in executing similar specialized works along with his application. The department
shall examine the capabilities of associated agencies on the basis of respective
PQC and convey approval/rejection of the department on merits within 15 days.
30.4.4 The main contractor shall submit duly signed tripartite agreement (as per
Appendix - 56) within 2/12th of stipulated completion period or 60 days
whichever is more for approval and signatures of department. The extension of
time for signing of this tripartite agreement shall not be generally permitted. The
signing time shall only be extended if handing over of site is delayed by the
department.

30.5 Condition of composite contract

30.5.1 Main contractor shall be responsible for submission of earnest money.

30.5.2 The mobilization advance shall be paid to main contractor as per conditions and
limits indicated in Section 23.1.1 of Works Manual. The first instalment of
mobilization advance shall be corresponding to the value of work which shall be
executed by the main agency (Value of main work plus Value of specialized
works for which main contractor meets PQC and found eligible to execute such
works). The subsequent mobilization advances corresponding to value of each
subhead shall be released on signing of each Tripartite Agreement with
specialized agency.

30.5.3 The recovery of mobilization advance shall be made from the bills of main
agencies on pro-rata basis for each sub-head of work in accordance with section
mobilization Section 23.
30.5.4 The security deposit shall be deducted from the running bills of main contractor.

30.5.5 Main contractor shall be responsible for completion of work as per time schedule
indicated in the NIT. The compensation for the delay shall be levied on the main
contractor only.

30.5.6 The coordination meetings called by AAI shall be attended by associated

agencies as and when required. Associated agency shall be responsible for

110
 AAI Works Manual

technical soundness, quality of work and adherence to tender specifications. The

main contractor as well as associated agency shall be responsible for rectification
of deficiencies noticed during course of execution.

30.5.7 The main contractor shall be responsible to carry out all obligations of repair/
replacement of any type for major as well as other components of work during
warrantee period of respective systems. The proper performance of all systems
during warrantee period shall also be responsibility of main contractor.

30.5.8 Main contractor shall be responsible for submission of warrantee bond/ bid-bond
or any other obligation as specified in the tender documents.

30.6 Payment Condition

30.6.1 The main contractor may be directed to finalize specialized agencies for the
execution of works covered under all subheads of NIT as early as possible. The
main contractor shall not be paid for value of work covered under second running
bill and subsequent bills till all Tripartite Agreements are signed by all parties
concerned.

30.6.2 The running bill for specialized work shall be processed as per terms and
conditions of the contract. The main contractor and specialized agency shall
indicate in Schedule ‘F’ of tender, percentage of direct payment to be made to the
specialised agency. In case of default 75% of the net payable amount (after all
deductions) shall be paid directly to the specialized / expert agency and balance
25% shall be paid to the main contractor. All deductions like security deposit,
income tax & recoveries for any works shall be made from the main contractor.

30.7 Quality Assurance

The responsibility of quality assurance and structural stability would rest with
DGM / Jt.GM.

30.8 Completion Certificate

Completion certificate in respect of specialized agency shall be recorded by

concerned officer as per delegation of power under Section 11.4.5 and Section
11.5 for respective works under his control. Overall completion certificate for
composite contract shall be recorded by the Engineer-in-charge of overall work
after recording of individual completion certificate in respect of all specialized
works.

111
 AAI Works Manual

Section – 31: Global Tenders

31.1 Introduction

Most of the airports are being used by international airlines and it is necessary to
provide the latest sophisticated facilities for operation of international flights.
Many of the equipments required to be installed at international airports are not
being manufactured in India. Few of the international manufactures are prepared
to supply their equipments directly to us while manufacturer of other equipments
/ material prefer to execute turnkey projects in India. In both the cases we have to
call tenders for supply or supply, installation, testing and commissioning at global
level for such specialized equipments. Indian manufactures/suppliers can be
allowed to quote for the work covered in the NIT.

31.2 Scope of Global Tender

The scope of work for global tenders should include design, supply, installation,
testing, commissioning etc. of equipment/system including testing at the works of
OEM. The scope of work must also include all pre commissioning checks and
commissioning the installation for safe operation of the equipment/ system and
handing over to AAI. The training of AAI engineers at site and other staff may
also be included in the scope of work.

31.2.1 The NIT must clearly indicate followings

a. Estimated cost and completion period of work.

b. The requirement of experience of vendor in the respective field. There should
not be any ambiguity in these aspects.
c. NIT should clearly bring out Technical evaluation criterion

31.2.2 It will be appropriate to prepare NIT in such a manner that items inviting different
taxation are kept in different subheads, which will facilitate ease in accounting
and payment of applicable taxes. The entire work of under Global Tender consist
of items like import of material, transportation of material, from foreign origin to
Indian port and thereafter, supply of Indian Material, erection of equipments,
testing and commissioning of system and AMC for the period specified in the
contract. Thus, the scope of work for global tender may be grouped in five
distinct subheads.

a. Subhead 1 (SOQ -1): This subhead should include description of imported

equipment/ component/ material along with quantities of items covered in the
scope of work in many cases item described under this subhead may contain
many components some of them may be manufactured in foreign country and
some may be available within the country. In such case bidder shall be free to
assemble item using foreign and Indian component together thus this subhead
shall be further divided into following parts.

112
 AAI Works Manual

i. SOQ 1.1 “This sub item will contain quantity, rates and amount for foreign
components”.
ii. SOQ 1.2 “This sub item will contain quantity, rates and amount for Indian
components to be incorporated in imported systems but to be paid in INR”.

Note: In this manner all items of Sub-head SOQ-1 shall have two sub items.

b. Subhead 2 (SOQ-2): This subhead must include description of item along with
quantity for freight and insurance (ocean and inland) which is to be paid in
INR.
c. Subhead 3 (SOQ-3): This subhead should include description and quantities
for completely indigenous items covered in the scope of work to be paid in
INR.
d. Subhead 4 (SOQ-4): This subhead should include the item of Installation,
testing and commissioning charges to be paid in INR for works and
equipments covered in SOQ-1 and SOQ-3.
e. Subhead 5 (SOQ-5): This subhead must include following two components.

i. Operation and maintenance of equipment and system during

warrantee period as specified in NIT (The warrantee period may be
decided by NIT approving authority according to functional
requirement of the work). The rate must be quoted per year per
system/equipment and not on the basis of per month.
ii. Five years of Operation and All Inclusive Comprehensive
Maintenance Contract (or as specified in tender document) after
successful completion of warranty period. The rate must be quoted
per year per system/equipment and not on the basis of per month.

31.3 Publicity for call of tenders

The global tenders must be invited through e-tendering system for achieving
wider publicity in global markets and to facilitate foreign firms for their
participation. A copy of NIT should also be sent to selected Embassies / High
Commissions located in India for vide publicity. The list of such embassies/ High
Commissions shall be got approved from NIT Approving authority.

31.4 Call of Tenders

31.4.1 The Tenderer may be asked to bear all costs associated with the preparation and
loading the bid for e-Tender.

31.4.2 The Joint Venture firms can be permitted to quote for global tenders amounting to
more than Rs 50 Cr. The number of firms in J.V should not be more than two. In
case joint venture firm the agreement has been made before submission of bid &
the leader of the J.V firms shall meet 80% of the qualification criteria and shall

113
 AAI Works Manual

accept overall responsibility of the contract obligations for the total scope of work
during execution and including up to defects liability period. The second partner/
member of Joint Venture Company should have 40% of the prequalification
criteria to meet the eligibility. If the Joint Venture firm becomes lowest after
opening of price bid only lead partner of joint venture firm must sign agreement
with the department and it should be mandatory for lead partner to attend all the
progress review meetings and to be answerable to all issues relating to the project
for discharging their obligations in full as specified in the tender documents. The
successful tenderer shall not be permitted to form joint venture after award of
work.

31.4.3 A period of 30 – 45 days may be provided to the bidder from the date of
uploading of tender document. However the NIT approving authority shall have
full power to modify time limit on case to case basis.

31.4.4 All Global tenders shall be called on 3 BOT basis. Three envelops submitted by
bidders shall contain following documents which shall have minor deviations
from the contents of tenders called under Section 36.

a. Envelop I-
i Scanned copy of BG against EMD along with copy of Bid Bond, (if
not done through RTGS/ NEFT). Scanned copy of qualifying required
documents.
b. Envelop II
i Technical Bid containing scanned copy of Unconditional Acceptance
of AAI’s Tender Conditions and BG for EMD/Integrity Pact.
ii Scanned copy of other Technical Documents and details as per SOQ-
I and II of NIT .

iii Details of Indian Associates.

iv List of foreign components against each item of scope of work
under SOQ-I and list of Indian component against each item of
scope of work under SOQ-I
v Undertaking from bidder for meeting NIT specifications.

c. Envelop III - Financial Bid.

31.4.5 Successful tenderer shall not be permitted to supply Indian components against
his commitment under SOQ –I of his offer.

31.4.6 The Earnest Money in case of global tender shall be submitted in the form of
irrevocable Bank Guarantee as per Appendix-57 amounting to Rupees/USD as
specified NIT document as detailed under Section 38 along with Bid Bond as per
Appendix-58.

114
 AAI Works Manual

31.5 Instructions to Bidders

31.5.1 Prices quoted by the tenderer shall remain fixed and valid till completion of work
including testing, commissioning of equipments / system and related warranty
period. The rates for five years AMC period shall also remain fixed for the entire
duration of AMC as quoted in the tender for which a supplementary agreement
will be drawn. No variation of cost shall be payable under any circumstances.

31.5.2 The bidder shall not be permitted to withdraw his offer after submission of tender
till expiry of validity of his offer. The fifty percent of earnest money (Amended
on dt. 26.03.18) The entire earnest money shall be forfeited if the offer is
withdrawn by the bidder before expiry of validity period.

31.5.3 The successful bidder shall be informed in writing by Speed Post/Mail or email or
facsimile that his tender has been accepted on the format provided at Appendix
59 A. The confirmation to this effect shall be sent in writing also on Performa
enclosed at Appendix –59 to the successful bidder.

31.5.4 Rate should be quoted by the agencies including present rate of taxation in India
for inland taxes, duties, GST etc. Additional cost due to any increase/decrease in
present rate of taxes shall be adjusted accordingly by AAI on production of
documentary evidence for having paid the same. (GST to be reimbursed vide
TC No. 5 dtd. 08.06.18 – Impact of GST on Engg. Works – Guidelines – reg)

31.5.6 AAI shall be entitled to deduct at source any tax as may be required by the law in
force in India. AAI shall furnish a certificate to this effect in the prescribed form
to the supplier.

31.5.7 The quoted rates for local supplies are deemed to be inclusive of all Taxes and
duties applicable as on one day prior to the date of submission of price bid.
Introduction of new Taxes or variations subsequent to the cut-off date in India
shall be adjusted accordingly on actual basis on production of documentary
evidence.

31.5.8 Any claim by the contractor for re-imbursement shall be made before submission
of final bill of main work for that particular Airport. No claim for re-imbursement
shall be accepted regarding enhanced Taxes and duties subsequent to settlement
of final bill for respective Airport.

31.5.9 The tenderer shall declare his Indian representative/Associate in P.Q. documents.
He will also enclose copy of agreement/MOU with his Indian representative. The
successful tenderer shall not be permitted to change his Indian
associate/representative during currency of the contract. Contractor shall submit
request for change of his associate/representative only in exceptional
circumstances with proper justification/reasons. AAI may accord such permission
115
 AAI Works Manual

only in unavoidable circumstances after examining the request. The tenderer or

his authorized representative may be directed to make all correspondences with
AAI only. Any correspondence made through agents shall not be entertained.
31.6 Scrutiny of technical bid:
The technical bid of all bidders shall be examined for completeness and technical
suitability of the offer and its compliance with NIT requirement. The scrutiny of
technical offer shall bring out followings.
a. A list of non-conformity for all bidders shall be prepared.
b. The list of deviations from NIT specifications shall be informed in writing to
all bidders for their clarifications within a specified time (not more than 14
days).
c. The deviations from NIT requirements must be considered and final view
shall be taken. Modification in the specifications may be considered if found
necessary (only in exceptional circumstances) which shall be got approved
from NIT approving authority.
31.7 Earnest Money Deposit
The successful tenderer shall submit the BG for EMD (Appendix 60) directly to
AAI or request his banker to send the original Bank Guarantee regarding EMD
directly to the Airports Authority of India (AAI) under registered post. In case of
direct submission of BG by the bidder to AAI, then the banker should send a
stamped duplicate copy of the Bank Guarantee by Registered Post directly to the
AAI. The Engineer In-Charge shall compare copy of the BG with original BGs
received directly from tenderer. In case of any discrepancy the same shall be
reported to the issuing branch. Such reference from AAI must be responded
promptly by the banker of the tenderer.
31.8 Security Deposit of Capital Work & All Inclusive Comprehensive Annual
Maintenance Contract:
31.8.1.1 Security Deposit of Capital Works
31.8.1.2 The successful tenderer shall be directed to furnish Irrevocable Bank Guarantee
against Security Deposit immediately to complete formalities of signing
agreement. The Bank Guarantee against Security Deposit shall be valid for six
months (Amended on dt. 26.03.18) 90(Ninety Days) after expiry of defect
liability period. Further formalities of executing agreement between contractor &
AAI and opening of letter of credit (L.C.) shall be taken up only after receipt of
BG against Security Deposit. The Irrevocable Bank Guarantee and Bid Bond
submitted by the bidder against EMD shall be returned on receipt of this BG.
Many of the tenderers which include import of materials / equipments and
payment through LC, takes reasonable time around 3 to 4 months to open the LC.
As prior to opening of LC, none of International Global Vendor take up of the
manufacturing of materials / equipments, which results delay in project and EOT
etc. Hence, NIT approving authority shall ensure that an appropriate additional
time period is included in all the future contracts. (Amendment TI 34 dtd.
07.01.2020)
31.8.1.3 The SD shall be in the form of irrevocable Bank guarantee to the extent of 5%
(five percent) of the contract amount of SITC work for all airports (if work is to
be executed at more than one airport). The value of Bank Guarantee shall be 5%
of Contract value minus amount quoted by bidder against SOQ-5 (cost of 5years
116
 AAI Works Manual

of AMC). The format for BG shall be as Form “C” from a

Nationalized/Scheduled Bank (as per Reserve Bank of India schedule), having
office in India along with undertaking as per Form “C1”. The Bank Guarantees
shall remain valid for contract period + defect liability period (24 months) + 6
months after the expiry of warrantee/defects liability period.
31.8.2 All Inclusive Comprehensive Annual Maintenance Contract Security Deposit
31.8.2.1 The scope of work may include supplying, installation, testing & commissioning
of equipment at more than one airport in case of global tenders. Such agreement
may include All Inclusive Comprehensive Annual Maintenance Contract
(AICMC), for which liability of the original contractor is extended for the
AICMC period also. The responsibility under AICMC is to be delivered to
Engineer In-Charge of respective Airports where such work has been carried out
by the Global agency. Therefore, Bank Guarantee towards security Deposit for
the AICMC contract shall be submitted to the Engineer-in-charge of respective
airport, as per format given as form “C” Appendix-61 from a
nationalized/scheduled Bank (as per RBI schedule), having office in India, along
with undertaking as per Form “C1” Appendix-62 for the values given below:
31.8.2.2 Contractor shall submit separate Bank Guarantee (BG) to meet his obligations
indicated in the scope of work covered under SOQ-5 for 7 years (Two years of
warrantee period) of operation & maintenance including 5 years of AICMC. The
BG shall be submitted separately to Engineer In-Charge of each airport for value
equal to 10% of the total contract amount quoted against SOQ-5 of respective
airport (i.e. 10% on the total accepted amount for a total period of 7 years which
includes 7 years of operation & Maintenance & 5 years of comprehensive
maintenance contract (SOQ-5) for respective airport). The BG for this purpose
shall be valid for six months beyond the scheduled date of completion of AICMC
contract (i.e. validity shall be for 90 months). The contractor shall ensure that this
bank guarantee is submitted to AAI at least 30 days before the date of
commencement of Operation & Maintenance period.
Note: The period of operation and maintenance and comprehensive maintenance
indicated above is suggestive. NIT approving authority may decide period of DLP
& AICMC depending upon the functional requirement in each case.
(Amendment TI37 para 2 dtd. 26.02.2020)
Guidelines for inclusion of Operation & Maintenance cost for equipment’s /
facilities.
In order to bring uniformity in Operation and Maintenance cost for equipments
during SITC works / composite tenders, following procedure shall be adopted.
i) For individual SITC works / item rate Composite tenders with Operation and
AICMC (Excluding EPC tenders) :
a) During tendering, the BOQ of price bid shall be prepared for SITC, operation and
AICMC items, however agency is able to quote rates for SITC portion only and
Operation and AICMC price fields shall be in disabled mode (Sample
Template is attached as Appendix-A). After opening of price bid, the portal will
display the total of SITC including position of bidders. (In case of reverse
auctioning only L1 price will be displayed before reverse auctioning).

117
 AAI Works Manual

The cost of operation and AICMC will be worked out on the basis of pre-decided
percentage of SITC amount (in case of reverse auctioning the discounted SITC
amount shall be considered) and subsequent cumulative escalation for 5/ 7 years.
b) The pre-decided percentage for AICMC cost for the first year after Defect Liability
Period (DLP) shall be derived based on previous awarded works trend, offers from
OEMs, life of equipment, standard practices depending upon location of the site.
The concerned ED (Engg.), CHQ (in case of CHQ tender) / GM (Engg.), RHQ (in
case of RHQ / station tender) shall finalize the prefixed percentage judiciously.
c) The pre-decided percentage for Operation & routine maintenance cost for the first
year during Defect Liability Period (DLP) and thereafter shall be derived on the
basis of standard AOR for manpower as per site requirement / OEM’s
recommendations considering minimum wages act and applicable benefits as per
labour laws and rules. The concerned ED (Engg.), CHQ (in case of CHQ tender) /
GM (Engg.), RHQ (in case of RHQ / station tender) shall finalize the prefixed
percentage judiciously.
d) The final tender evaluation shall be done on the basis of total cost i.e. after adding
cost of Operation and AICMC (after reverse auction).
31.9 Performance Guarantee:
31.9.1 The successful tenderer is also required to submit Performance Bank Guarantee
which shall be furnished within 30 days of issue of work order. In case the
contractor fails to deposit performance guarantee within the stipulated period, no
payment for the work done in respect of first running account bill will be released
to the contractor. Moreover, interest @ 10% p.a. on performance guarantee
amount would be levied (Non-refundable) for delayed period of submission of
PBG. The performance guarantee shall be submitted in the form of irrevocable
Bank guarantee to the extent of 5% (Five Percent) of total contract amount minus
quoted amount against SOQ-5 as per format given as form “D” (Appendix 63)
from a nationalized/Scheduled Bank (as per RBI schedule), having office in India
along with undertaking as per Form “D1” (Appendix 64). The performance Bank
Guarantee shall remain valid for 6 months beyond the scheduled date of
completion/authorized extended period of completion (for the works covered
under SOQ-1 to SOQ-4). If the agency fails to extend the validity of the
performance guarantee, the same can be encased by AAI.
31.9.2 The Performance Bank Guarantee shall be accepted after due verification from
the bankers of the tenderer.
31.9.3 No other form of Performance Guarantee other than the above shall be accepted.
31.10 Release of Bank Guarantee submitted towards Security Deposit
31.10.1 The Bank Guarantee submitted towards security deposit for the work of SITC
covered under SOQ-1 to SOQ-4 will be released after satisfactory completion of
defects liability period and only after submission of Bank Guarantee towards
Security Deposit for the work covered under SOQ-5.
31.10.2 The Bank Guarantee submitted towards security deposit for the work of O&M
(AICMC) work (SOQ – 5) will be released after satisfactory completion of
AICMC period as specified in the tender document.
31.10.3 The format for Bank Guarantee towards SD shall be as per Form “C”. No other
form of security shall be acceptable to AAI.

118
 AAI Works Manual

31.11 Dispatch Instruction

The material / system purchase through global tender may be required at more
than one airport. Tender documents shall indicate clearly quantity and date of
delivery airport wise and detailed location of Airport where delivery shall be
performed. The contractor shall dispatch material/equipment/ items/ stores by
Air/ Ship / Road /Rail up to respective airport. Contractor may collect all the
required information and other details for transport of huge materials in size and
weights etc.
31.12.1 Taxes & Duties on import of material
31.12.2 All Tendered rates should be inclusive of all taxes including GST. Wherever
supplies/services involve imports, the same should be identified separately. Basic
Custom Duty will be paid by AAI by utilizing EPCG license/duty scrip under SEI
scheme of Govt. of India (G.O.l.). GST shall be paid to bidder for any taxable
supply/services against a valid Tax Invoice. (GST to be reimbursed vide TC
No. 5 dtd. 08.06.18 – Impact of GST on Engg. Works – Guidelines – reg)
31.12.3 The bidder is required to provide Tax type and Tax percentage in all bids other
than that of civil works.
31.12.4 In case of composite works having component of SITC items, such as Electrical
& Mechanical Installation, Airport System. Security, IT, Furniture etc should be
identified separately with value of goods and services, Tax Rate, amount of Tax
so as to enable AAI to claim Input Tax Credit on such items.
31.12.5 In case of change in rate of Tax or any provision relating to levy of Tax resulting
in increase in burden of Tax on the contactor, the contractor shall be entitled to
receive any compensation for such increase in quantum of Tax payable by the
contractor. Similarly recovery shall be made from the contractor on account of
decrease of rate of Tax or any provision relating to levy of Tax.
31.13 CUSTOMS DUTY:
31.13.1 AAI is entitled for concessional customs duty and to avail the benefits the
requisite certificate will be issued by AAI. A suitable condition in the contract
shall be incorporated directing contractor to co-ordinate with custom authorities
for claiming concessional custom duty.

31.13.2 Payment towards customs duties and other levies imposed by custom authorities
at the port of entry in India shall be made by Airports Authority of India directly
to Custom authorities on production of Estimates/Bills from Customs authorities.
The successful tenderer shall provide necessary assistance regarding coordination
with custom authorities.
31.13.3 All duties payable on replacement of defective material / component during
warrantee period shall be payable by the contractor, so as replacement of
defective part is to zero cost to AAI.
31.14 Evaluation Criteria
31.14.1 The tender shall be evaluated in Indian rupees. If price bid is received in foreign
currencies then the same shall be converted to Indian rupees on the basis of
prevailing conversion rates of foreign currency on the previous day of opening of
price bid as published in RBI.
31.14.2 The contractor shall indicate rate of custom duty including CVD, applicable cess
etc. in the tenders where custom duty is to be paid by AAI separately to the

119
 AAI Works Manual

custom department for the tenders involving import of equipment on FOB/CIF

basis. Such taxes and duties (CIF+ Landing charges as applicable) payable by
AAI shall be added to the offered rates while deriving lowest tenderer.
31.14.3 The lowest bidder shall be evaluated on the basis of total cost of work to AAI
after considering all taxes and duties applicable on one day prior to date of
opening of tender as detailed above in this section.
31.14.4 In case actual custom duty paid by AAI is more than custom duty considered
while deriving lowest tenderer, the additional amount paid by AAI shall be
recovered from the due amount to the contractor. (This issue may be included
while formulating special conditions of contract)
(Amendment TI 37 para 1 dtd. 26.02.2020)
Guidelines for inclusion of Custom Duty amount for evaluation of price bid:
It has been observed in one of the tender that, the evaluation of bid to establish L1
Bidder has been carried out without considering the custom duty amount. In case of
make in India bidders, imported components for every bidders will be different,
accordingly, different values of custom duties amount will be applicable, hence L1
position may change on addition of customs duty. Hence non-inclusion of custom
duty for reverse auctioning will defeat the purpose of “Make in India” policy of the
Govt. of India.
a) To encourage the domestic manufacturer under the “Make in India” policy,
following clauses shall be incorporated in the tender.
i) “Custom duty at prevailing rate (prevailing rate of custom duty is ___%)prevailing
rate of custom duty including social welfare surcharge/ Cess / CVD (Countervailing
Duty)etc. on applicable amount (CIF amount), shall be quoted by creating a
separate line item to evaluate the financial bid for establishing L1 bidder.
However, work order should be placed excluding GST & Custom Duty.”
b) Reimbursement / Adjustment of custom duty:
 In case the Custom Duty paid by AAI directly to Custom Authorities of Government
of India by utilizing EPCG license / duty scrip under SEI scheme of Govt. of India /
Cash by AAI directly to custom authority, is more than the custom duty amount
quoted by agency then the difference of amount will be deducted to that effect from
the agency’s bills.
If it is less; the agency shall not have any claim for difference in the actual amount
& quoted amount.
 In case AAI allows agencies to pay directly the custom duties, then the actual
custom duty amount paid by agency shall be reimbursed by AAI against
documentary evidence subject to quoted amount or actual custom duty amount
whichever is less.
31.15 Opening of LC:
31.15.1 The performance Bank Guarantee shall be accepted after due verification from
the bankers of the tenderer. The acceptance of performance guarantee and
submission of bid bond shall be pre-requisite for opening of L/C or for release of
any payment.
31.15.2 LC (Irrevocable) shall be opened by AAI for FOB value for the schedule of items
quoted in SOQ-1 after acceptance of bank guarantees for security deposit and
performance bank guarantee and receipt of Performa Invoice.
31.15.3 The Engineer In-Charge may open one time L/C for 100% value of FOB or part
value of FOB or Airport-wise value of FOB or in a phased manner to suit site

120
 AAI Works Manual

requirement or requirement of delivery schedule of material after obtaining

approval of NIT approving authority.
31.15.4 AAI shall bear bank charges for opening of LC in India while successful tenderer
shall bear bank charges of foreign banks in case it is desired by the tenderer that
AAI may open LC in banks outside India.
31.16 Release of LC payment:
31.16.1 Following term and conditions shall be adopted in case of foreign supplier.
a. FOB cost of materials in the quoted currency will be paid by way of letter of
credit (LC) in stages, as below.
b. 70% of FOB value of contract (SOQ-1) for each Airport will be released through
LC on compliance of documents listed in Appendix - 65.
c. 10% of FOB value for each airport will be released on successful delivery of
equipment in good condition at respective Airport on compliance of documents
listed in Appendix - 66.
d. 20% of FOB value of each airport will be released on successful completion of
installation testing and commissioning of equipment/systems in good condition
at respective Airport on compliance of documents listed in Appendix -67.
31.16.2 Rupee element of quote:
a. Payment of 100% value of Insurance & freight value for respective Airport
destination shall be paid in Indian Rupees after delivery of equipment/systems
etc. in good condition at site and on submission of bill and supporting
documents. Payment shall be released after adjusting/withholdings /recoveries
towards liquidated damages/ compensation for delay, if any, which the firm
might have rendered themselves liable as per provisions of contract.
b. Release of payment against supply of indigenous material & execution of work
covered under SOQ-2 & SOQ-3 shall be treated as any other work and all
payments including running payment and final payment shall be governed as per
existing Section-22 (Payment to Contractors) of Works Manual. The payment of
secured advance shall be governed by Clause 10 B of General Condition of
Contract for any other work.
31.17 Execution of work covered under SOQ-5
31.17.1 A separate/ Supplementary agreement shall be drawn on completion of works
covered under SOQ-1, SOQ-2, SOQ-3 and SOQ-4, which will contain scope of
work of SOQ-5 only. All conditions of the main agreement shall be applicable to
this the separate agreement drawn for execution of work covered under SOQ-5.
The agency shall be paid for only operation, preventive maintenance and cost of
consumables during first two years of warranty period (or as stipulated in the
contract) at his quoted rates. The agency shall be paid for the work of AICMC at
his quoted rate during next five years (total seven years). The supplementary
agreement shall be drawn between AAI and main agency/ Authorized Indian
representative.
31.17.2 The main work having scope of work defined under SOQ-1, SOQ-2, SOQ-3 &
SOQ-4 shall be treated as completed on successful testing and commissioning of
equipments or handing over of equipment for its use, whichever is later.
31.18 Payments:
All payments to the contractor shall be governed by relevant NIT and terms and
conditions of the contract.
31.19 Compensation for delay.
The Compensation for delay in completion of work shall be dealt with as per
Section 46.
121
 AAI Works Manual

31.20 Extension of time

The Extension of time for completion of work shall be dealt with as per Section
46.

31.21 Determination of contract

The Determination of contract shall be dealt with as per Section 45 and Clause 3
of GCC.

31.22 Completion Certificate:

The Completion Certificate shall be recorded in accordance with the provisions

under Section 11.4 above

31.23 Works to be executed in accordance with specification drawing, orders, etc.:

The contractor shall execute the whole & every part of the work in the most
substantial and workman like manner and both as regard to materials and
otherwise in every respect in strict accordance with the specifications. The
contractor shall also confirm exactly, fully and faithfully to designs, drawings and
instructions in writing in respect of the work signed by the Engineer-in-Charge.

31.24 Testing and inspection of equipment/ components:

31.24.1 The contractor at his own expense shall provide all facilities to inspecting
officer/Inspector during inspection as per entitlement of inspecting officer as per
Government of India norms. He will also provide testing equipment for
conducting tests for verification of quality of work executed and
material/equipment manufactured in accordance with the specifications laid down
in the tender documents and according to relevant standards. The
Inspector/Purchaser shall have full and free access at any time during the
execution of the contract to the contractor’s works or site in case of execution of
work for the purpose aforesaid, he may require the contractor to make
arrangements for inspection of work or any part thereof or any material at his
premises or at any other places specified by the Inspector/Purchaser and if the
Contractor has been permitted to employ the services of a sub-contractor, similar
right shall be available to inspector in such case also.

31.24.2 The contractor shall provide all materials, tools, labour and assistance of all kind
which the Inspector/Purchaser may require from him for any test/inspection and
examination to be done at the Contractor’s premises and/or at site of Installation
and shall bear all costs thereof. If the contractor fails to comply with this
condition, the Inspector in his sole judgment may decide to shift location of
testing and examination of the equipment manufactured by the contractor to any
other premises. In such case the contractor shall bear the cost of transport and/or
carrying out such tests elsewhere.

31.24.3 The Inspector shall have the right to put all the equipment and materials forming
part of the same or any part thereof to such tests as he may think fit and proper.

122
 AAI Works Manual

The Contractor shall not be entitled to object on any ground whatsoever to

method of testing adopted by the Inspector.

31.25 Inspecting Authority to Certify Performance

31.25.1 The Inspector shall have the power:

a. To certify that equipment or any portion thereof are not in accordance with
the contract, owing to adoption of any unsatisfactory method of
manufacture/ installation, before any equipment or part thereof are
submitted for pre-delivery inspection;

b. To reject any equipment or parts submitted or faulty installation as not

being in accordance with the specifications;

c. To reject the whole of the equipment tendered for inspection, if after

inspection of such portion he may in his discretion think fit, he is satisfied
that the same is unsatisfactory and;

d. To mark the rejected equipment or parts with a rejection mark so that it may
easily be identified if re-submitted.

31.25.2 AAI may depute their authorized representative to inspect the equipments/ system
at various stages of fabrication or pre assembly condition, etc to witness the
method/process of manufacturing in order to ensure that the items are being
manufactured according to the standards/specifications, in addition to the pre-
delivery inspection.

31.26 Rectification of defect at risk and cost

31.26.1 If the equipment or workmanship of installation work, or performance of

equipment or its part thereof, being rejected by the inspector or owner, the
contractor shall be asked to replace rejected equipment or rectify the defects
within a reasonable time. If he fails to make satisfactory supplies or rectify the
faulty work thus executed within the stipulated period of delivery/completion
period, the owner shall be at liberty to:
a. Allow the contractor to replace the equipment or parts or re-do the installation or
rectify the defects within a specified time. Contractor shall bear the cost of
freight, insurance and material, if any, on such replacement without being entitled
to any extra payment on any account thereof; or
b. Purchase/execute departmentally or authorize the purchase/ execution of rejected
equipments/parts/ installation work through a separate agency at risk and cost of
the contractor with the same specifications and description of work and without
affecting the contractor’s liability as regards supply and installation of any further
installation done under the contract. The decision of engineer in-charge shall be
final and binding on contractor for rejection of work described above on account

123
 AAI Works Manual

of not meeting tender specifications and performance required for the

equipments.
c. Cancel the contract and purchase/execute or authorize the purchase/execution of
the equipment/installation with a similar description for rejected and balance
work through a separate agency at the risk and cost of the contractor. The
decision of engineer in-charge shall be final and binding on contractor for
rejection of work described above on account of not meeting tender specifications
and performance required for the equipments.

31.27 Authority for rejection:

The decision of inspector for rejection of material, equipment and its performance
shall be final subject to contractor’s appeal to the competent authority.

31.28 Removal of Rejected Material/Equipment:

31.28.1 Any equipment/Installation or parts rejected must be removed by the contractor

within fourteen days of the date of such rejection. It will be deemed to have been
served on the contractor if a letter containing such intimation is posted to him at
the address mentioned in the schedule, The Inspector/engineer-in-charge may call
upon the contractor to remove what is considered to be dangerous, infected or
perishable equipment or parts to be removed within 48 hours of the receipt of
such intimation.

31.28.2 Such rejected equipment or parts must be removed as per time limit indicated
above; otherwise action to remove shall be taken at the risk of contractor if the
same is not removed by him. The engineer-in-charge may either return the same
to the contractor at his end by such mode of transport as the engineer-in-charge
may decide or dispose of such equipment or parts at the contractor’s risk on his
account and retain such portion of the proceeds as may be necessary to cover any
expense incurred in connection with such disposal. The engineer-in-charge shall
also be entitled to recover handling and storage charges for the period during
which the rejected equipment or parts are not removed.

31.29 Pre delivery inspection at works:

31.29.1 The AAI shall carry out inspection before acceptance of materials/equipments
before these are dispatched from the works. Sufficient advance intimation shall be
provided by the firm to enable AAI representative to attend inspection on
mutually acceptable dates.

However the firm may indicate the various tests plan, which they intend to carry
out as per standards during factory inspection in advance.

31.29.2 Factory tests are to be carried out on equipment/systems and the testing facilities
shall be provided by contractor at their works. This is besides the Performance
Tests to be offered by firm after completion of works at site.

124
 AAI Works Manual

31.29.3 All testing equipments shall be supplied by contractor. The test equipment must
have valid calibration certificate as per relevant standards to ensure the quality
and performance of the equipment used for testing.

31.29.4 As a result of rejection of any equipment during inspection or equipment found

incomplete for inspection after inspection call, the expenditure on additional visit
of inspecting authority in connection with re-inspection including to and fro air
fare, boarding & lodging of the inspectors shall be borne by the Contractor.

31.29.5 Member (Planning.) AAI may decide to waive off the Pre-Delivery Inspection for
imported items/systems in case of non-critically of specific tests or for any other
valid Technical/commercial reasons.

31.30 Appeal against rejection:

If the contractor desires to appeal the decision of the Inspector against the
rejection of any equipment or work as not being in accordance with the contract,
he shall appeal to the Chairman, Airports Authority of India within fourteen days
after the Inspector’s decision and if, an appeal is so preferred, the decision of the
Chairman, Airports Authority of India shall be final and Binding.

31.31 Dispute Resolution Mechanism & Arbitration

This issue has been dealt in detail under specific section for “Dispute Resolution
Mechanism & Arbitration” which may be referred.

125
 AAI Works Manual

SECTION – 32: Award of Work on Build Own & Operate basis

Introduction (BOO Contracts)

32.1.1 There are few capital intensive works having definite payback period. Many of
the global / indigenous agencies may be interested to execute such works.
Therefore, authority may call tenders for award of work on Build Own & Operate
basis. The approval of Chairman AAI must be obtained before call of tenders for
execution of work on BOO basis.

32.1.2 The performance of such project will be monitored closely with special emphasis
on maintenance, overall performance on year to year basis, data logging,
reliability and financial viability for the period system is covered.

32.1.3 The scope of work shall contain supply, installation, testing, commissioning and
operation for pre decided period for the system covered in the scope of work. The
system shall be utilized by AAI for beneficial use for a specified period as per
NIT at a rate accepted by AAI on the basis of most economical / beneficial offer.

32.1.4 The scope of work for such contracts shall be very carefully defined. The scope
must include capacity and technical specifications of each and every equipment/
component, the performance level desired from each equipment/component shall
be part of the tender specifications. Details of all accessories and associated
equipments required for making the system functional must be clearly indicated.

32.1.5 The agency shall carry out survey, analysis of climatic conditions at site, safety
rules & regulations, Indian Standards if any, before designing of plant and
equipment. Agency shall submit his design details to the department for detailed
scrutiny.

32.1.6 Airports Authority of India shall make available the space free of cost at the
desired location for most economical layout of plant and machinery. The layout
of the plant and machinery shall be submitted by the intending bidders and
scrutiny must be carried out by engineer-in-charge and thereafter proposal shall
be considered by the NIT approving authority for final acceptance. The value of
the land required for installation of plant and machinery shall also form part one
of the selection criteria for finalization of lowest bidder.

32.2 Safety Regulations

32.2.1 The NIT must indicate that work shall be executed by the vendor adopting all
safety regulations as per Indian Electricity Rules and National Building Code
2005 and any other Act applicable.

32.2.2 It will be the responsibility of agency/contractor to obtain necessary approval and

clearances from all local bodies for the scheme as well as for the work executed
by them on completion of work, wherever necessary.

32.2.3 The execution of work shall be carried out with due care without causing any
damage to the existing structure and without hampering the airport operations. It

126
 AAI Works Manual

shall be the responsibility of the contractor to make good all damages, if any,
caused during execution of work.

32.3 Preparation of NIT and execution of work

32.3.1 The intending bidders shall be responsible for supplying, installation, testing and
commissioning of all the equipments, accessories, cables, panels and monitoring
equipments etc. as required for the completion of project. He shall also be
responsible for effective preventive / breakdown maintenance and replacement of
any component required for achieving desired level of performance of the system
year after year, during complete period of BOO contract.

32.3.2 The successful bidder shall submit the detailed project report and system design
after award of work along with drawings, system integration plans, performance
monitoring methods, period of operation, benefits to be accrued to AAI on daily,
weekly and monthly basis etc. before commencement of installation for approval
of competent authority.

32.3.3 Each work likely to be executed shall have different requirements, specifications,
scope of work, conditions of contract, desired performances of system and
components, period of BOO contract, Govt. rules and regulations applicable.
Moreover technology for specialized works is changing very fast and
performances of the systems are progressively improving, therefore conditions of
contract cannot be generalized and made part of GCC. Thus it will be necessary
to prepare Special Conditions of Contract for each work separately and shall be
made part of tender documents. In case technical knowhow for works to be
awarded on BOO basis is not available with the department or such resources are
very limited, a consultant having adequate experience in the field may be
appointed for preparation of drawings, scope of work, specifications and BOQ for
the work.

127
 AAI Works Manual

SECTION – 33: Preparation of Tender Documents

33.1 General

33.1.1 A valid tender is an offer. Whenever an offer is invited and its acceptance is
communicated to the tenderer, agreement is complete. Broadly stated, the
following are the requisites of a valid offer.

a. It must be unconditional.
b. It must be made at proper place.
c. It must conform to terms and obligations.
d. It must be made at the proper time.
e. It must be made in the proper form.
f. There must be reasonable time for inspection.
g. The person who submits tender must be willing to perform his part of
obligations.
h. Tender must be submitted to the proper person.
i. It must be for full scope of work for award.

33.1.2 Before tenders for a work are invited, a detailed estimate showing the quantities,
rates and amount of the various items of work and also the specifications to be
adopted should be prepared and technically sanctioned based on the architectural
drawings. The final authority to decide the specifications is the technical
sanctioning authority.

33.1.3 In the case of urgent works, when there is no time to prepare a complete estimate,
rough quantities and rates for the main items of the work for which tenders are to
be called and which cover the major cost should be worked out, before tenders
are invited and adopted for the purpose of comparison.

33.1.4 In case of works for which tenders are invited, tender documents comprising of
the following should be prepared and approved by an authority that is competent
to approve the NIT before notice inviting tender is issued:

a. The notice inviting tender.

b. The form of tender to be used along with a set of conditions.
c. The schedule of quantities of work.
d. A set of drawings referred to in the schedule of quantities of work.
e. Specifications of the work to be done.
f. Essential architectural drawings and adequate structural drawings for
commencing the work together with specifications are to be made available to
the contractors at the time of inviting tenders.
g. Special conditions.
h. AAI GCC 2017 (it will be the responsibility of NIT approving authority to
ensure downloading the GCC from the website only or use the printed copy of
GCC. Retyping of GCC must be avoided).

128
 AAI Works Manual

33.1.5 A condition should be stipulated in the NIT under Special Condition of Contract
that purchase vouchers of cements, steel, bitumen, paints and other specified
materials procured for consumption in the work under consideration are to be
submitted to Engineer-in-charge and be kept as mandatory office record.

33.1.6 Experience certificates submitted by tenderer should be examined carefully. In

cases where submission of false certificate has been established following action
shall be initiated by concerned ED (Engg.):

a. Matter will be brought to the notice of Member (Planning) and Chairman.

b. A show – cause notice be issued to the concerned Firm/Agency, bringing
out his fraudulent conduct and intimating that no further tender shall be
issued till a final decision is taken in the matter.
c. In case it is established that firm /Agency is fully responsible for forgery or
fraud or any other default covered at section 35.12, the case shall be
processed by concerned ED for WAB for debarring/ blacklisting the firm
through Member (Planning) as per provisions mentioned therein.
d. If it is decided by the competent authority to blacklist a contractor,
concerned Department/Organization (viz. CPWD, MES, Railways etc.
where he is registered), shall also be intimated about it.

33.1.7 The NIT approving authority must ensure that tender documents (NIT) is serially
numbered for all pages before according approval of the NIT. A certificate to this
effect is recorded on the front page. The record of all sanctioned NITs should be
kept in NIT approving register.

33.1.8 It may be necessary to introduce Special Condition of Contract for highly

specialized works as GCC may not be able to take care of all conditions required
for execution of such work. In such cases, SCC should be drafted very carefully
to avoid repetition of Clauses already existing in GCC. Special Conditions of
Contract shall be got approved from NIT approving authority before they are
made part of the NIT. In case there is contradiction between SCC and GCC, then
condition provided in SCC shall be applicable.

33.1.9 Most of the E & M works require operation and maintenance of the plant/ system
after completion of the work. There is a warrantee period associated with capital
works. Therefore, due care should be taken while preparing NIT for such capital
intensive works by including item of operation of plant/system during defect
liability period in the BOQ. This item of operation need not include cost of
consumables during defect liability period however repair/replacement of
component/equipment is covered under the warrantee period. The decision of
Engineer-In-charge shall be final and binding on the contractor for
replacement/repair of the components/equipment.

33.1.10 Particular brands of cement and steel are specified in NIT to have better quality
control and to ensure structural safety. The manufacturers of cement and steel
must be selected from the approved list of AAI.

129
 AAI Works Manual

33.1.11 Following must be checked by NIT approving authority before issue of tender
document:

a. The NIT should be unambiguous and complete with all criteria’s clearly
spelt out for short-listing. NIT displayed on website should include the
complete eligibility criteria.
b. The Firms which are not short-listed for issue of tender document should be
intimated with reasons for rejection of their application.
c. Short-listing of Firms should be approved by the concerned T/S authority.

33.1.12 License fee for land / space allotted to contractor(s) by AAI

A security deposit of Rs. 500.00/ sq. m in the form of Cash/DD/BG is also to be

obtained from the contractor in addition to License fee for land/space allotted for
installation of plants, labour camp (if provided), cement go-down and site office
etc. The license fee from contractor is chargeable as per prevailing AAI rates
circulated by commercial department per Sq. M per annum with annual
compounding escalation beyond the stipulated period including extension of time
granted by the department. This security deposit can be released only after
ensuring that allotted land has been vacated in original conditions free of debris,
malba, cement, concrete deposition etc and Engineer-In-Charge has certified this
fact in the final bill. Land used for stacking of material to the extent available is,
however, provided at free of cost, with the approval of Project/Airport In-charge.

This may be included in Special Terms & Conditions in Tender Document.

33.1.13 Additional conditions for providing proper and elegant direction boards for the
“Work in Progress” and “Inconvenience caused is regretted” shall be deleted in
the Tender Document for the works in Operational Area wherein no public
movement is involved.

33.1.14 Drains should be designed based on the metrological data available at the airports
and catchments area catered to.

33.1.15 NIT approving authority must ensure that detailed Technical Specifications for
market rate (Non-DSR) items are made part of the tender documents.

33.1.16 NIT approving authority must ensure that Schedule – ‘F’ of GCC has been filled
completely and properly.

33.1.17 All materials to be used shall be BIS Marked or approved make.

33.1.18 All Electrical Equipments having 3 Star or higher Bureau of Energy Efficiency
rating must be used in the works of AAI.

33.1.19 Preferred makes of 3-5 manufacturers for all materials should be indicated in the
tender document. All such makes should be selected from approved list of makes
issued by AAI from time to time and having price variation within 10%. The use

130
 AAI Works Manual

of word “equivalent” for any material may be avoided. No list of authorized

fabrication vendors/application vendors shall be incorporated in the NIT
(Amended vide TI No. 19 dtd. 12.09.2019)
Procedure for listing of preferred makes for use in AAI works for Civil &
Electrical Engg. Items.
On the basis of recommendation of the designated committee on “Standardization
& Uniformity of makes / products” specified in NITs for use in AAI works, the
list of makes / products specified in the tenders shall be project specific. The
following criteria / guidelines for selection of makes / products shall be adopted:
1. The approved list of preferred makes issued by AAI from time to time shall be
provided to PMC / Engineering Consultants by the concerned CHQ / RHQ
engineering officials for various works for their consideration in the NITs. (Please
follow preferred list Annexure ‘A1 & A2’ of TI No. 19 dtd. 12.09.2019)
2. Based on the above details provided, the PMC / Engineering Consultant
(appointed for a particular work) shall give their recommended list of makes to
the engineering officials dealing the matter.
3. The Terms of Reference of PMC / Engineering Consultant for a particular work
shall include the following:
 To ensure that ‘monopoly’ for any item does not take place and recommend all
equivalent acceptable makes.
 To give due consideration to the makes / vendors / products from approved list of
preferred makes issued by AAI from time to time as well as CPWD.
 To give recognition to BIS approved makes.
 Preference shall be given to makes / brands manufactured near the vicinity of site
of work as well as their service center.
 Ease of availability of the make.
 PMC / Engineering Consultant may recommend any other make / brand apart
from the approved list of preferred makes issue by AAI from time to time, at the
time of TS, to have the benefit of market intelligence.
 The equivalent makes proposed shall be within the price range of ± 10% as per
Para 58.4.1 of Works Manual.
4. Thereafter, the recommended list provided by the PMC / Engineering Consultant
for a particular projects shall be scrutinized by the concerned engineering officials
considering the nature of project / location / time period / past experience, etc. and
shall seek approval from the concerned ED (Engg.) for CHQ schemes and GM
(Engg) for RHQ schemes. On approval of the above list, the NIT approving
authority shall specify the manufacturers, in the tender document.
5. Thereafter, these make / brands shall be forwarded to Committee Head for
“Standardization & Uniformity of makes / products’ for updating the AAI
approved list of preferred makes.
6(i) Concerned ED(Engg.) shall, have the powers to approve the makes / products for
a particular projects, case to case, at the time of TS, without formal enlistment, on
merits of the case.
6(ii) Project specific items, which are not covered in the list of approved preferred
makes for Civil and Electrical Engg. Items may be considered with the approval
of concerned ED (Engg.) for CHQ schemes and GM (Engg.) for RHQ schemes.
7. Where applicable, NIT approving authority shall give equal opportunity to local
manufacturer’s along with foreign make / brands in the tender document to
comply with GFR 2017. Technical specifications shall, to the extent practicable,
be based on national technical regulations or recognized national standards or
building codes, wherever such standards exist, and in their absence, be based on
131
 AAI Works Manual

relevant international standards. Govt. of India guidelines for provisions for

products / companies covered under make in India policy & MSME policy to be
given due consideration.
(Amended vide TI No. 37 para 3 dtd. 26.02.2020)

Make in India Policy:

(i) The “Make in India” policy circulated by Govt. of India on Dtd. 15.06.2017 with
upto date revisions shall be applicable for Engineering works for global tenders.
Accordingly, copy of policy adopted by AAI is enclosed for ready reference and
applied on SITC portion considering the spirit of the policy.(i.e. to minimize the
outflow of foreign exchange)
(ii) The following para shall be incorporated in NIT and Tender document for evaluation
of make in India component.
(a) The bidder who wish to avail preference under Make in India policy should submit
the undertaking (Annexure – A) for submission of Make in India documents in
Envelope – II stating that the rates quoted towards local content shall not be less than
50% of total quoted amount (as per BOQ).
(b) The bidder shall submit the details as per Form – III i.e. calculation of local content
in goods / services provided in make in India policy available in tender document.
This details should match with the rates quoted in Schedule of Quantities (i.e.
submitted price bid), failing which AAI shall have full rights to consider their bid as
non-make in India bid and price preference as per the provision of Make in India
policy shall not be applicable even though the local content is more than 50%.
(c) The bidder should submit filled and signed Forms – I, II, III & IV in sealed envelope
(Make in India envelope) to bid manager in original hard copy such that the
documents should reach before scheduled date of opening of price bid. In case of
non-submission of these documents till scheduled time and date, their bid shall be
treated as non- make in India bid.
(d) The bid manager shall open the sealed envelopes containing Forms- I, II, III & IV as
above after completion of reverse auction process in presence of tender opening
committee members. Accordingly, eligibility of make in India bidders shall be
verified based on the local content and L-1, L-2, L-3, etc., shall be finalized.

33.2 Invitation of Tenders for electrical works

33.2.1 Indian Electricity Act provides that all electrical works shall be got executed
through contractors having electrical license from local authorities for executing
LT & HT works. This condition should be incorporated in the tender document.
The list of works where contractor should possess electrical license is given at
Appendix-68.
33.3 Invitation of Tenders for Component Parts
33.3.1 Splitting of works for the purpose of inviting tenders should not be resorted to
unless approved by technical sanctioning authority. However, due to
administrative convenience and expediency, works may be split and tenders may
be invited separately for the split portions as per powers delegated under DOP.
Work can also be split according to their specialized nature of works covered in
the Subhead of work.
33.3.2 Accord of technical sanction and call of tender for component, part of the project,
the amount of which appears as a distinct sub-head in the Preliminary Estimate
will not amount to splitting the work and can be dealt with by the respective
authorities as per powers delegated even if the overall amount of the project may
be beyond the competence of any individual authority.
132
 AAI Works Manual

33.4 Composite Tenders

33.4.1 Composite tenders should be invited wherever felt necessary, with the approval of
respective T/S authority subject to availability of detailed architectural drawings
including various components of building to ensure better co-ordination.
33.4.2 Turnkey tender should be invited only with the specific approval of Member
(Planning).
33.4.3 Prequalification criterion must be carefully decided as per above guide lines
under Section 33.5 below. Criterion of similar nature of work may be defined in
detail. The scrutiny of applicant should be carried out thoroughly to check details
of BOQ of work executed by the bidder for his claim to satisfy PQC.
33.4.4 Refer Section 30 for call of tenders for composite work.
33.5 Prequalification criteria
Different nature of work needs prequalification criteria according to functional
requirement of work and agencies are invited having experience in execution of
work covered in the NIT. The criteria must be decided in following manner.
Pre-Qualification on the basis of valid Registration Certificate for works
costing up to Rs 15.00 Crores has been discontinued. Henceforth, Pre-
Qualification shall be on the basis of only Experience certificate of similar
nature of work. (Amendment TI 38 para IV dtd. 03.03.2020)
33.5.1 Pre-qualification Criteria (civil works)
The tender for works costing more than Rs. 15 Cr. should be called with
prequalification criteria for the work. The prequalification criteria should be drafted
very carefully keeping following factors in consideration:
a. Registration shall be applicable only for works with estimated cost upto Rs. 15 Cr.
The work experience criteria shall not be applicable for bidders having desired
registration requirement (i.e. valid registration in appropriate class of work i.e.
building works/pavement works on date of submission of bid). Estimated cost
should fall within financial limit of registration. Bidders who are not fulfilling the
registration requirement shall be considered for pre-qualification subject to fulfilling
other qualifying requirements of works completed in last 7 years.
b. Joint venture is permitted for works above Rs. 50 Cr. for building works and Rs.
200 Cr. for pavement works.
c. The requirement of submission of no dues certificate can be dispensed off.
d. The requirement of T&P must be mentioned for the scope of work in the NIT
document. Regarding requirement of machinery and T&P, it shall be added that “in
case agency do not have their own or possesses required plant and machinery, an
undertaking to this effect that the same shall be provided either by purchase or lease
hold basis if work is awarded to them, to be submitted along with the application
and deployment shall be as per requirement at site decided by the Engineer-in-
Charge”.
e. The Integrity Pact shall be applicable for works costing more than Rs.
5.00 Cr.
f. The experience criteria shall be as under.
He must have executed at least one work of 80% value of similar nature of work as
per NIT.
or
He must have executed at least two works of 50% value of similar nature of
work as per NIT.
or

133
 AAI Works Manual

He must have executed at least three work of 40% value of similar nature of
work as per NIT.
g. Nature of similar job should be defined by NIT approving authority. In case of
pavement works, irrespective of type of pavement (rigid and / or flexible), the
experience either of rigid or flexible pavement works shall be considered for pre-
qualification.
h. Experience criteria and current costing level to be arrived by enhancing the actual
value of work at simple rate of 7% per annum, calculated from the date of
completion to the last date of submission of bids.
i. Phase / part completion of work shall not be considered for satisfactory completion
of work for the purpose of experience. However, pre- determined phasing of work
will be accepted by the NIT approving authority subject to its meeting the laid down
criteria.
j. The prequalification application / bids shall be obtained in sealed cover and record
of receipt of application shall be maintained in a register. In case of e-tendering this
may not be needed.
33.5.2 Pre-qualification Criteria for Electrical, Mechanical & Specialized works.
The tender for above works should be called with prequalification criteria. The
prequalification criteria should be drafted very carefully considering following
issues:
a. The prequalification criteria for the work should be in accordance with the scope of
work covered in the NIT. The specific mention about nature of work and value of
works for which experience of the agencies is required must be made in the PQ
Criteria.
b. If the design of the system is also to be carried out by the tenderer, the same shall
also form as one of the prequalification criteria.
c. While drafting prequalification criteria for specialized work where experience in
executing works of appropriate technology or for having installed large capacity of
plant and equipment is required, the same may be included as one of the PQ
Criteria. This shall be in addition to the financial criteria of one work of 80% or two
works of 50% or three works of 40% value of estimated cost.
(Amended vide TI 24 dtd. 27.07.2019)
It has been observed in one of the rate contract tender for GLF items that various
GLF items in different subheads were clubbed in single tender wherein, the PQ
criteria was fixed subhead wise. This resulted in a situation, where one agency
qualified in the PQ criteria for few subheads but same agency was not eligible for
other remaining subheads.
To avoid such situation in tender for rate contract, different items / subhead shall
not be clubbed in one tender / BOQ for calling of tender for rate contract.
Note: In case of AMC works, the estimated cost must be derived by considering one
year of AMC even if tenders are being called for more than one year. PQC shall
be decided accordingly.
33.5.3 Prequalification Criteria for the works of purchase of highly specialized
equipment and parts.
The NIT for purchase of Spare Parts and Equipments should be prepared
carefully giving Part Number, description, quantity and desired performance of
part / system.
134
 AAI Works Manual

Followings may be included in Special Terms and Condition of Contract for

Purchase of Spare Parts and Equipments.
a. The bidder shall be under obligation to provide timely information to
purchaser, if any part/equipment is likely to go out of production in recent
future. Necessary arrangements shall be made to procure spare parts for life
time requirement.
b. A suitable clause should be incorporated in the S.C.C so that release of
payment on LC basis can be stopped if spares supplied by the contractor are
not in conformity with the tender specifications. The manufacturer may also
be asked through condition in S.C.C that he will provide technical support
/supply of spares to AAI during life time of system.
c. The supplied spares/material shall be tested in respect of compatibility with
the existing system and should be capable of providing output according to
NIT specifications before release of final bill.
d. Certificate of inspection should be carefully verified with respect to contract
document/supply order before forwarding bill for payment to finance
department. Discrepancy, if any, should immediately be brought to the notice
of Finance Department and the supplier.
33.6 Bidding Capacity of Tenderer:
In case of works costing more thanRs.50Cr. NIT approving authority may specify
in the NIT that bidding capacity of tenderer shall be additional criterion for pre-
qualification of the contractor. The bidding capacity of tenderer shall be worked
out from the following formula.
B = 2N – A
Where: N is the maximum value of completed works in any of the financial year
during last 7 years
A is the total value of work in hand.
B is the bidding capacity of the tenderer.
(Amended on dt. 26.03.18)
B = 2 NT-A
Where
B - is the Bidding Capacity.
N - Maximum value of Civil Engineering Works executed in any one year during
the last 5 (five) years (updated the completed works to current costing level of
enhancing at a simple rate of interest @ 7% per annum.)
T - is the number of years prescribed for completion of the work in question.
A - is the value(updated at the current price level) of the existing commitments and
ongoing works to be completed in the next ‘T’ years.

In case available bidding capacity of the bidders is less than the estimated cost of
work put to tender, the financial bid of such tenderer shall not be opened.
33.7 Issue of tender to Joint Venture Company/ Consortium/ Firm.
33.7.1 Joint venture company/consortium/firms shall be permitted to purchase tender
document subject to their meeting PQC and satisfying following conditions and
submitting documentary evidence:

135
 AAI Works Manual

a. Consortium of firms should not comprise more than two firms.

b. Joint venture firm as a single unit or each member of consortium should
have Permanent Account Number (PAN).
c. A detailed and valid agreement exists between the consortium members
defining clearly role, responsibility and scope of work of each member
along with nomination of leader for the purpose of work under
consideration commensurate with their experiences and capabilities and a
confirmation that the members of the consortium assume joint and several
responsibilities. It shall be mandatory for lead partner to attend all
progress review meetings and shall be answerable to all issues relating to
the project.
d. The leader of the consortium of firm shall meet 80% of the qualification
criteria of NIT and shall accept overall responsibilities of contractual
obligations for the total scope of work during execution and up to defects
liability period. Second partner of the consortium shall meet 40% of the
PQC.
e. Both the firms of consortium should jointly possess the required T&P,
Machinery and manpower and should produce self-attested documentary
proof of owning and possessing required machinery.
f. Both the members of consortium must meet fully / jointly or as a single
unit of Joint Venture the required PQC.
33.7.2 If application for issue of tender is received from joint venture / partnership firm
then following should be considered while scrutinizing application for
prequalification:
a. Only actual contribution of applicant firm which has carried out a
portion of work under joint venture / partnership should be considered in
proportion to their agreement for execution of the total work on basis of
which prequalification is sought.
b. Documents submitted by the firms in support of their credentials are
properly examined and if any discrepancy is noted, it should be got
clarified from issuing authority at once.

NIT approving authority may decide necessity of conducting pre bid meeting
considering the nature of job.

33.8 Other requirement for eligibility:

33.8.1 NIT approving authority shall ensure that eligible contractors possess valid
electrical license issued by State Licensing Authority for all works having
electrical component detailed at (a), (b) & (c) below. This must be treated as a
mandatory requirement for award of electrical works.
a. Internal electrification works.
b. External electrification works.
c. Sub-station works
33.9 Evaluation criteria for arriving at lowest agency
While preparing justification of tender, cost of each spare part must be
ascertained while processing procurement.

136
 AAI Works Manual

The criteria for deciding lowest agency on receipt of tenders must be clearly
defined in the tender document. In the case of works involving supply of part/full
imported equipments following should be indicated in the tender document:
33.10 Duties and Taxes:
33.10.1 Customs duty i/c CVD/applicable cess etc. @ * % shall be loaded on
applicable amount (CIF amount +1% applicable landing charges) to evaluate the
financial bids” (*While issuing tenders rate of customs duty prevailing at the time
of tender shall be mentioned in the tender.)”.
33.10.2 The tenderer can quote their rates in any of the major fully convertible currencies
i.e. US Dollar, Euro, Yen, UK Pound, etc. for the important items while for the
items to be paid by contractor in Indian Rupees must be quoted in Indian
Currency.
33.10.3 While assessing the tendered value conversion rate for foreign currency shall be
adopted as prevailing on the last day of submission of tender and as published on
following day in Economics Times.
33.10.4 In some of the tenders the life cycle cost of the equipment may be considered for
arriving at lowest tenderer. In such cases method of calculating life cycle cost
may also be indicated in the tender document.
33.11 To claim Input Tax Credit:
33.11.1 To avail Input Tax credit while discharging AAI’s own GST liability under the
head ‘Airport Services’, the tenderer may be directed to separately indicate the
GST component in his offer as per Government guidelines. (GST to be
reimbursed vide TC No. 5 dtd. 08.06.18 – Impact of GST on Engg. Works –
Guidelines – reg)
33.11.2 The bidder is required to provide Tax type and Tax percentage in all bids other
than that of civil works.
33.11.3 In case of composite works having component of SITC items, such as Electrical
& Mechanical Installation, Airport System. Security, IT, Furniture etc should be
identified separately with value of goods and services, Tax Rate, amount of Tax
so as to enable AAI to claim Input Tax Credit on such items.
33.11.4 The work shall be awarded to lowest tenderer after evaluating tenders on the basis
of above.
33.11.5 If necessary special terms and conditions of contract may be prepared and got
approved from NIT approving authority covering specific requirement of work
under consideration.
33.11.6 It must be specified in the NIT that contractor requesting for issue of tender
documents by post shall mention the same in his application itself. The tender
issuing authority must ensure that tender documents are issued by post if so
requested (applicable for physical tender).
33.12 Global tender
Details for call of Global tender and associated issues have been provided at
Section 31.

137
 AAI Works Manual

Section-34: Publicity of Tenders

General

34.1.1 Tenders must be invited in the most open and public manner possible, whether by
advertisement in the press/e-tendering portal or by notice in English/Hindi and
the written language of the district, pasted in public places. Wide publicity
should, therefore, be given to the Notice Inviting Tenders including release on
AAI Website and NIC CPP Portal. A copy of the notice should be e-mailed to
the other offices of the region and the Deputy General Manager/Jt. General
Manager.

34.1.2 A tender notice does not amount to an offer or proposal but merely an invitation
for making an offer. An advertisement for tenders is not a proposal, which would
bind the authority to sell to the person who makes the highest tender. It is merely
an attempt to ascertain whether an offer can be obtained within such a margin, as
the seller is willing to adopt. The advertisement calling for tenders, therefore, is
not a proposal within the meaning of the Contract Act, but it invites a proposal.

34.1.3 Publicity of tender in case of e-tendering

a. In addition to the existing rules and practices regarding giving publicity of

tenders through newspapers, trade journals etc. the complete bid documents
should be published on NIC CPPP portal. All up to date documents which
are legally valid should remain available for participation in the tender
process on NIC CPPP portal.
b. The complete PQ Performa should be made available on the web site for
purposes of downloading and application made on such a form should be
considered valid for participating in the tender process as stipulated in the
NIT.
c. Web site address must be given in the advertisement / NIT published in the
newspapers.
d. Charges for the bid documents downloaded from the website may be asked
from bidding party in the portal itself at the time of submission of bid
documents.
e. Efforts should be made to eventually switch over to process of e-
procurement/e-sale wherever it is found to be feasible and practical as per
prevailing guidelines issued by AAI from time to time.
f. Short press notice as per Appendix 3A shall be released in case of works
estimated cost more than Rs.1 Crore.
g. For details and procedure of e-tendering Section 36 of works manual may
be referred.

34.1.4 The E-bidding shall be resorted for all the tenders irrespective of the cost.
However, only under exceptional circumstances with recorded reasons tenders
can be called without e-tendering with the prior approval of Member (Planning)
concerned.

a. For works costing up to Rs 5 Cr, brief tender notice Performa is given at

Appendix 3Aand all other details as per Appendix 4A, for the works costing

138
 AAI Works Manual

within these limits and shall be uploaded on NIC CPP e-portal and AAI
website.
b. Press advertisement is not required for the works costing up to Rs. 100 Lac
and supplies costing up to Rs. 10 Lac The publicity through display on notice
board, NIC CPP e-portal and AAI website shall be sufficient. The notice may
also be sent to nearby AAI offices, Regional Headquarter and nearby Govt.
offices like CPWD, State PWD etc. for display on their notice boards. The call
of tenders can be from approved and valid list of contractors / suppliers who
have been prequalified through wide publicity.
c. In respect of works estimated to cost above Rs. 5.00 Cr. and up to 50 Cr, a
brief advertisement inviting tenders should invariably be published in the press
as per Appendix-3B in this section. All other details for the works costing
within this limits, shall be made available at NIC CPP Portal & website of
AAI as per Appendix -4B.
d. In respect of works estimated to cost more than Rs. 50.00 Cr, a brief
advertisement inviting tenders should invariably be published in the press as
per Appendix -3C. All other details as per Appendix 4C shall be made
available at NIC CPP Portal & website of AAI.

34.1.5 Works costing more than Rs. 2.00 Lac and up to Rs. 100.00 Lac should be
executed through call of e-tenders from the approved and pre-qualified list of
contractors /suppliers which is to be finalized by wide publicity through
newspaper advertisement and on AAI’s Web site. This list will be valid for 2
years from the date of approval of short listing. Display in web site is required for
individual work for short-listed agencies. However under unavoidable
circumstances, the option of award of work without call of tenders can be
exercised and further action can be taken adopting procedure laid done under
Section 29 of Works Manual.

34.1.6 Sometimes, tenders may have to be invited for different works by the same office
at the same time or at short intervals of one or two days. In such cases, it is not
desirable to send separate press advertisements for each work and so far as
possible composite advertisements should be sent to avoid unnecessary
expenditure on advertisement.

34.1.7 The following guidelines are to be followed by the Senior Manager /Asstt GM
(Engg) regarding publicity of tenders:

a. Request for release of advertisement should be sent well in advance so

that adequate time is available for release through Press.
b. A watch should be kept on publication of advertisement in those
newspapers where advertisements are being released.
c. Newspaper cuttings in each case should be collected and kept on record as
a proof of publicity actually achieved as far as possible.

139
 AAI Works Manual

d. Full details of the dates on which advertisements have actually appeared

in the Newspapers should be indicated while sending cases to higher
officers.

34.1.8 Global tenders may be invited for highly specialized works for equipment and
consultancy for special designs with the limited tender approval of competent
authority as per D.O.P.

34.2 Pre Bid Conferences:

NIT approving authority may decide necessity of conducting pre bid meeting
considering the nature of job. Minutes of the meeting shall be circulated to all
prospective tenders and uploaded on e-tender portal.

34.3 Limited Tenders

34.3.1 Call of Limited Tenders for Works: Limited tenders can be called for, on the
following grounds.

a. The work is required to be executed with very great speed which not all
contractors are in a position to generate (to be decided by A/A Authority).

b. Where the work is of special nature requiring specialized equipment which

is not likely to be available with all contractors; (to be decided by T/S
Authority) and

c. Where the work is of secret nature and public announcement is not

desirable (to be decided by Authority having accorded A/A & E/S).

34.3.2 Generally contracts should be placed only after open tenders have been invited.
However, where open tenders are not invited, contract/purchase is effected by
limited tenders, the specific reasons for so doing should be recorded and prior
approval in writing from the competent authority to accept the tender as per DOP
should be obtained.

34.3.3 The Directorate concerned will issue limited tender inquiries to reputed and
competent firms. These inquiries may be made to the parties whose credentials
are verified with the help of pre-qualification bids called once in three years by
the EDs at CHQ/REDs /APDs. However, in the absence of this process the Whole
Time Member concerned should be empowered to approve the list of parties for
limited tender action.

34.3.4 It is the duty of tender inviting officer to ensure that all NIT’s remain on notice
board / e-portal from the date of issue of NIT to the date of opening of tender.

34.4 Time Limit for Publicity of Tenders

The following time-limits between the date of call for tenders and the date of
opening of the tenders are laid down but this period may be varied at the
discretion of the Officer competent to accept the tender. However, any reduction

140
 AAI Works Manual

in the time specified should be effected only in rare cases and the authority
ordering reduction will record reasons for the same.

Minimum time period to be kept for call of tender shall be as below:

Activity Estimated cost of work in Rs

Up to Rs.1.00 Rs.50.00 Cr. Above Global
Rs.1.00Cr. to to 250.00 Cr Rs.250 Cr. Tenders
50.00cr
Time for bid 7 days 7-15 days 15-21 days 21-30 Days 30 – 45
submission end Days
date after Sale
State date

34.4.1 E-tendering shall be resorted to for all the tenders irrespective of the cost. The
draft tender notices to be displayed at AAI web-site have been provided at
Appendix-4A to 4C. The press NIT shall only be issued for works with
estimated cost more than Rs 1 Crores.

34.4.2 The press advertisement may be given in format at 3A to 3C.

34.4.3 The time limits for Global tenders may be revised after taking specific decision
from NIT approving authority for fixing the period accordingly, if applicable

34.4.4 The copy of press NIT of all works costing more than Rs.15 crores and called on
opened tender, shall be send to CIDC on e-mail ID: [email protected] /
[email protected] for wide circulation amongst its empanelled agencies.

34.4.5 If the response to tenders from the contractors of the appropriate class is poor, the
tender may be thrown open to the contractors in the next lower class (with
modified PQC) with the prior approval of the next higher authority but not to
favour a particular contractor. In urgent cases, the Deputy General Manager / Jt.
General Manager can approve issue of tender to next lower class (with modified
PQC) in anticipation of approval but he should get the matter regularized
immediately but before opening of tenders. It should also be noted that where a
tender is thrown open to contractors of the lower class (with modified PQC), it
should get the same publicity as the notice inviting tenders in the first case. If the
response to tenders is still poor, the tenders may be thrown open to the
contractors two categories below the original (with modified PQC) the
appropriate class in individual cases with the prior approval of the next higher
authority. The second call of tender should also be given proper publicity.

Note: The value of work may be reduced to 75% to derive at PQC criterion during
first recall of tender. If the response in 1st recall is still poor, the PQC may
be derived considering 50% of actual value of work.

141
 AAI Works Manual

34.5 Formalities for Re-Invitation of Tenders

34.5.1 In case of re-invitation of tenders, all the formalities adopted originally should be
followed. In case when the date and the time for sale and receipt of tenders is
required to be extended due to unavoidable circumstances, a proper notice for the
same will be put up on the Notice Board as well as e-portal. Press advertisement
may also be given in this regard.

34.5.2 Whenever it is decided to reject the tenders received for particular work and
recall the same, the reasons for rejecting should be recorded and duly approved
by the authority competent to accept that tender.

34.5.3 While assessing and deciding to accept a tender on recall, the most favorable cost
of the tender during the second call should be compared in detail with the most
favorable cost of the tender of the first call. Such comparisons should be made in
the performa given in Appendix-69. Reasons for difference in the total cost of
tender on re-tendering as compared to first call should be properly examined and
recorded before accepting the tender by the competent authority.

34.5.4 If corrigendum is necessary to be issued for extending date of receipt of tender or

due to relaxation in eligibility criteria, such corrigendum should be published
through press notification similar to original call of tender to invite more bidders.

34.5.5 However, if notification is intended for bidders who have already applied, such
corrigendum needs to be published on NIC CPPP portal and all bidders
participating be intimated through fax/email/telephone.

34.6 Purchase Preference

Purchase Preference will be given to CPSEs/ MSE or other similar bodies in

conformity with the Government Policies in vogue.

142
 AAI Works Manual

SECTION-35: Sale of Tender Documents

35.1 General

35.1.1 Draft tender documents i.e. NIT should be prepared and got approved from the
competent authority as per DOP. It is the responsibility of the tender inviting
officer to see that tender documents are uploaded on the e-tender portal.

35.1.2 ED (Engg) is competent to allow any particular person or firm, who are not borne
on the approved list of CPWD or any other Government Department to tender for
specialized works after recording reasons. Specialized firms should not be
insisted for registration with any other department for issue of tender documents.

35.1.3 Tenders can be issued to eligible applicants (fully meeting eligibility criteria)
provided tender cost including charges has been submitted for tenders.

35.2 Issue of Tender Documents for Specialized Jobs

35.2.1 In order to obviate difficulty to get competitive rates in respect of all specialized
jobs, it is necessary that the tenders for specialized works should be issued to the
firms concerned who deals in the items of works for which tenders are being
invited in addition to registered contractors. For this purpose, the following items
should be taken as specialized items of work.

35.2.2 If an Indian company/firm claims the experience in specific field on the basis of
experience of his foreign principals, the firm can be issued tender documents
subject to his submitting documentary evidence to prove that Indian company/
Firm is indeed a subsidiary or branch of a foreign company. They may be asked
to produce balance sheet showing equity holdings or certificate by the company
Chartered accountants / auditors showing equity holding patterns between the
Foreign principal company and its Indian subsidiary / branch or a certificate by
the Foreign principal company that the Indian company is their wholly owned or
partly owned subsidiary (which should be duly notarized) and the Indian
subsidiary company/ branch may be allowed to participate in the AAI tenders.
The foreign principal must submit an undertaking to provide all required technical
knowhow to Indian firm for successful completion of the project.

35.3 List of specialized Items/Jobs/Works

35.3.1 Civil works

a. Termite proofing (Anti-termite Treatment work)
b. Water proofing treatment work
c. Stone work including wall/column cladding
d. Marble work
e. Wood work-
Flush Doors, Panelling of walls, Iron grills or ornamental type.

143
 AAI Works Manual

f. Steel work:
Collapsible steel gates, Sliding steel shutters, Rolling steel Shutters, Steel
doors and windows, Tubular trusses (not ordinary steel trusses), pre-
engineered structured Steel buildings, Steel bridge work, space frames for
long span structures, Steel towers for flood lighting in stadium (up to height
50m)
g. Flooring:
Mosaic and Terrazzo tiles flooring, marble flooring, ceramic tiles, granite or
any other polish stone of flooring.
h. Roofing: False ceiling, water proofing of roofs and providing special
roofing.
i. Roads/ Pavements: Asphaltic/ Cement concrete works for roads and
runways, sealing compound, runway marking paint.
j. Furnishing : Items of furnishing, like pillows in foam rubber, pillow covers,
Bed sheets, Curtains and Rubber Mats, carpet, Aluminium glazing.
k. Miscellaneous civil works:
Works such as under reamed piles, Foundations and pile foundation tanking
for basements, Fibrous plaster ceiling. Acoustic treatment and other
decorative items such as glass ceiling, sinking of tube wells, Erection of
food storage – both slips and flat type. Aluminium doors and windows,
Aluminium cladding, curtain wall/structure glazing/frameless glazing.
Design fabrication and erection of steel towers, fabrication of hydraulic
platform and incinerator and laundry equipment, Fabrication of steel cabin
or body of trucks chassis, Fabrication of water and sewage treatment plants.

35.3.2 Electrical Works – Miscellaneous

Power supply works like HT and LT Switch-gears, Transformers, AMF
Generating sets etc. Air-conditioning works like supply and installation of
chilling units, AHUs and connected works, cold storage plant. E&M equipments
like Elevators, Escalators, Baggage Conveyors, Baggage scanner (X-ray)
machines, Door Frame Metal Detector System, Aerobridges, Internal Electrical
Installation works including supply and installation of various electrical fittings.
Airport lighting works including runway/Taxiway/ Approach lighting system and
connected works including High Mast lighting, Fire alarms, Fire fighting
equipments, Fire detection and any other co-related items.

35.3.3 Electronic Equipments:

There is present day need to provide many Electronic based systems for airport
and other buildings. These systems are highly specialised. These works such as
supply, installation, testing and commissioning of sound reinforcement system,
PA system, Conferencing System, CCTV, Video projection & video recording
System etc. which are being executed by expert agencies only.

144
 AAI Works Manual

35.3.4 Procurement of Costly Equipment:

For the procurement of high value equipment/ highly specialized works detail
STRs should be prepared through call of expression of interest from the
manufacturers / authorized dealers to identify latest specifications of such items
and general terms and conditions applicable for equipment intended to be
procured. The NIT specification / terms and conditions should be formulated on
the basis of study carried out by calling quotations for expression of interest for
call of tenders.

ED (Engg.) may approve any other work as specialised item.

35.3.5 Centralized Procurement:

Centralized procurement of stores can be resorted with multiple recipients. In
such cases following procedure shall be adopted.

a. A copy of supply order with details of items, specifications and terms and
condition of supply must be uploaded on to AAI website “infosaarthee”.
The supply order uploaded to the website should also indicate quantities
to be supplied at each location, rate of material, scope of work like
installation, testing & commissioning and training of manpower etc. so
that recipient of supplies is fully aware of responsibilities of the supplier
for enforcing contract conditions.
b. Standard Operating Procedures (SOP) shall be prepared & issued by
Procurement Directorate in such a manner that by the time material is
delivered, SOP is available with concerned officials at the Airports so that
equipments are put to use without any delays.

Any other work approved by ED Engineering.

35.4 Procedural Requirement

35.4.1 It should be made very clear in the NIT that previous experience in the execution
of such works (Specialized items of works concerned) is necessary, details of
which should be appended by the Contractor. Besides, the contractor should
possess the necessary special T&P for proper execution of job.

35.4.2 It order to get competitive rates in respect of all specialized jobs, it is necessary
that the NITs [Notice Inviting Tender] for specialized works should be sent to the
firms while inviting tenders for the above type of works. The tender should be
issued to the specialized firms as well as to the registered contractors for similar
nature of job.

35.4.3 The provision should be made in the tender documents for all specialized items of
work such as anti-termite, water proofing work, kiln seasoned and chemically
treated wooden shutters, roofing, false ceiling, painting work etc. which are got
executed through specialized firms or registered contractors that the main Agency
/ Firm executing the work should be asked to give a specific guarantee towards

145
 AAI Works Manual

responsibility for rectifying of defects noticed during the guarantee / defect

liability period.

The specific security deducted @ 10% from the bills for such specialized items of
work shall be refunded to the contractor only after expiry of guarantee period in
accordance with the terms and condition of the contract. Such provision must be
made in the NIT for all specialized works.
The Engineer-In-Charge of the work shall, however maintain a register in which
all specialized works carried out in the Project / Maintenance Unit shall be
entered. This register shall be periodically reviewed by the Engineer-in-Charge.
The Register will contain the following heads:

a. Name of work:
b. Date of completion :
c. Specification in brief :
d. Rate paid :
e. Name of the firm / contractor
f. History of all defects, with date(s) of occurrence noticed during the
guarantee period.
g. ACTION taken by the firm / contractor.

This register shall be handed over to the next incumbent either in project or
maintenance unit following proper procedure for handing over/taking over.
The form of the guarantee to be executed by the contractors is given vide
Appendix-70.

35.4.4 If application for issue of tender is received from joint venture / partnership firm
then following should be considered:

a. Actual contribution of a firm which has carried out some work under joint
venture / partnership should be taken in proportion to their agreement for
execution of the total work; and
b. Documents submitted by the firms in support of their credentials are
properly examined and if any discrepancy is noted, it should be got
clarified from issuing authority at once so that such mistakes are not
repeated.

35.4.5 The contractor for specialized work shall take additional precautions not to
damage water proofing treatment in the building. They may also not cause any
damage of permanent nature to the building structure. They shall seek permission
of Engineer-In-Charge before providing support for electrical systems from
existing walls, columns, slabs & beams. To avoid such damages Engineer-In-
Charge shall include following condition in the NIT and ensure:

a. Project Team In-charge, must bring the crucial terms and conditions of
guarantee, for Water Proofing Treatment and similar works, to notice of
maintenance officials and concerned user Department/ Directorate.

146
 AAI Works Manual

b. Concerned design Engineer and Project Team In-charge must keep

provisions for installation of antenna mast and other such accessories at
roof at construction stage itself before commencement of water proofing
work. To cater for future requirement, pedestals of suitable size at
identified locations should be provided in consultation with
User/Communication Officers to facilitate installation of antenna etc.
avoiding damage to water proofing treatment.
c. Utmost caution must be exercised by maintenance, upkeep / cleaning staff
and other officials not to disturb such treatment work under guarantee
period. However, if some erection or such work is inevitable, it should be
planned in consultation and co-ordination with the Guarantor, so that his
responsibility during the guarantee period remains unaltered.

35.4.6 Where jobs of a specialized nature are involved, the concerned officers should
satisfy themselves that the persons selected to tender and award the work, is well
experienced and knows fully about the job. If there is no such men available
conveniently then the Engineer in-Charge should familiarize himself with the job
and its process, obtain appropriate market intelligence regarding the competent
persons available in the field, the rough cost of their material or job before
preparing the estimate or inviting tender. Where the tender is not advertised, he
should also write to the parties concerned so that they may also get a chance to
respond to the enquiry.

35.4.7 In case tenders have been called from the specialized/prequalified firms with a
prequalification criteria, all the prequalified firms should be informed in writing
about their qualification for issue of tenders, and a proper record be kept to this
effect in office files.

35.4.8 Following must be checked by NIT approving authority before issue of tender
document:

The NIT should be unambiguous and complete with all criteria clearly spelt out
for short-listing. The NIT displayed on website should include the complete
eligibility criteria.
The Firms which are not short-listed for issue of tender document should be
intimated with reasons for rejection of their application.
Short-listing of Firms for issue of Tender documents should be approved by the
concerned Technical Sanctioning or Tender Issuing Authority.

35.4.9 A Committee may be appointed for opening of Tender and Technical Evaluation.
The responsibility of Committee formed is indicated below:

a. To open the bids as per laid down procedure.

b. Bring out any short-coming observed with respect to NIT criteria.
c. Technical evaluation of bids with reference to tender stipulations.
d. Make a report for submission on technical evaluation of bids received, to
concerned Tender Issuing Authority/TS Authority.

147
 AAI Works Manual

35.4.10 Correspondence with bidders seeking clarifications etc., to be done by TS

Authority/Tender Issuing Authority or any Officer designated by him. Technical
Evaluation Committee should not enter into correspondence with bidders.

The findings/recommendations of Technical Evaluation Committee should be

considered carefully by the T/S or Tender Issuing Authority who should record
his decision in writing on them.

35.5 Enlistment of contractors for works costing up to Rs. 20 Lac

35.5.1 Contractors should be enlisted in AAI for particular airport/region after an open
Press advertisement and proper verification of their financial and technical
credentials. All works costing up to Rs.20.00 Lac should be invited from them by
putting NIT at notice board of the concerned office and also other local offices of
AAI and offices of State PWDs as well.

35.5.2 The list shall be valid for the period of 2 years. For fresh enlistment re-
advertisement to be done and all procedures shall be adopted as per requirement.
This enlistment shall be valid only if they fulfill other requirements of NIT.

35.6 Sale of Tender Documents to Registered Contractors

35.6.1 Tender documents can be issued to the contractors registered with

CPWD/Railways/MES/P&T/PSU in appropriate classes and specialized
contractors for the particular work or as per eligibility criteria indicated in notice
inviting tender.

35.6.2 Contractors registered with the State PWD shall include contractors registered not
only with the State PWD where PWD is a distinct department in itself but also
include contractors registered with other allied departments i.e. irrigation, public
health Engineering etc. provided the registration obtaining in these departments
of the State makes them eligible for tendering for the State PWD works in that
State.

35.6.3 The list of Blacklisted/Debarred/Restrained contractors available on AAI website

should be checked before issuing tender documents to the firm.

35.6.4 For deciding the limit up to which a particular contractor is eligible to participate
in the tender, the cost of materials whether proposed to be issued free or on
payment shall not be deducted from the cost of work put to tender.

35.7 Supply of Duplicate Set of Tender Documents

35.7.1 Where a request is received from a contractor for the supply of a duplicate set of
tender documents the same may be supplied to him at the same cost of the
original copy at the time of issue of the original papers. The copy to be supplied
should be stamped “Duplicate” so that it may not get mixed up with the original

148
 AAI Works Manual

tender documents. A complete list of relevant drawings should be attached to

each tender document for the information and guidance of the contractors.

35.8 Issue of Tender Documents for Sewerage and Water Supply to B&R
Contractors.

Tenders for sewerage, external drainage and external water supply should also be
issued to the B&R contractor of appropriate class in addition to S&W contractors.

35.9 Procedure for issuing Tender Documents for Non-Registered Contractors

Tenders to Non registered contractors may be issued only if the same is stipulated
in NIT/ Press notification.

35.10 Sale of Tender Documents for Residual Works

35.10.1 When under Clause 3 of contract, Form 7 or 8, the unexecuted portion of the
work is taken out of the hands of the original contractor; the tender documents for
the residual work shall not be sold to the original contractor, if asked for.

35.10.2 In case of rescinded contracts, the NIT for residual work shall be approved by the
authority that had approved the original NIT. However the tender shall be
accepted by the authority that has the powers to accept tenders as per the
delegated financial powers.

35.10.3 In case a contractor does not start the work after award or withdraws the tender
after acceptance, he shall not be issued tender for the same work on recall. The
Engineer-in-charge shall also intimate the enlisting authorities.

35.11 Sale of Tender Documents to Weeded out Contractors in Govt. or any

PSU’s.

35.11.1 Tenders for works in AAI should not be issued to contractors already
blacklisted/debarred in Government/PSUs.

35.11.2 In case where a contractor is removed from the approved list of contractors
maintained or recognised by AAI for reasons other than that of inactivity, such
contractor would not be eligible to take up works in AAI on the basis of his
enlistment in any other Engineering Department.

35.11.3 The applicant can be refused issue of tender documents in only following
conditions:

a. If applicant has failed to meet PQ criteria.

b. Issue of tender documents can be refused, in case tenders are being call
for balance work / withdrawn portion of work from the same
contractor.

149
 AAI Works Manual

35.12 Action against contractor for unsatisfactory performance

35.12.1 Any contractor can be blacklisted / debarred under following conditions.

a.If he has submitted false certificate/documents as desired in the NIT.
b.If the performance of contractor has been reported bad during/on
completion of work.
c. If an adverse advice is received from law enforcing agency or any other
appropriate/related agency of Government of India/ State Government.
35.12.2 The procedure to be adopted for debarring a contractor is given at Section-48.3
for works where tenders are accepted by ED or higher officer and at Section 48.4
where tenders are accepted by RED/APD (KOLKATTA/CHENNAI) and their
subordinate officers.

35.13 Short Listing of firms.

Following procedure should be followed in respect of proprietorship concern/
individual contractor for short listing and signing the tender document and
agreement.

a. Verify the original affidavit wherein particulars of the individual is

furnished including its validity.
b. Verify the Permanent Account number (PAN).
c. Verify the original registration certificate and its validity.
d. Only after satisfaction on above the firm may be short listed for issue of
tender documents. It should be made clear in writing that duly completed
tender documents are to be signed only by the individual in whose name the
tender is issued. Further, it should be made clear therein that in the event of
acceptance of the tender, contract agreement should only be with the same
individual to whom the tender is sold.
e. On award of the contract as explained above, person holding power of
attorney duly authorised for particular purpose(s) may be allowed to act on
behalf of contractor to whom work is awarded.

35.14 Time Interval between Sale of Tender Documents and Opening of Tenders

35.14.1 Any physical tender form which is being issued either for sale to contractor or for
any office use, should be issued under the signature of the Senior
Manager/Assistant General Manager or the Manager/ Asst. Manager as the case
may be. In order to give contractors sufficient time to study tender documents
and work out reasonable rates, the last date for the issue of tender documents
should be a minimum of two days before the tenders are scheduled to be opened.
But in the case of works costing less than Rs. 2 Lac, the sale of tender forms can
be stopped at least 24 hours before the opening of tenders. Every tender
document issued must contain the following information at the time of its issue.
a. Name of contractor
b. Date of application for issue of tender by contractor/date of receipt of
application in AAI Office.
c. Date of issue of tender documents and
d. Due date and time of receipt of tender documents.

150
 AAI Works Manual

35.14.2 The Senior Manager/Assistant General Manager should have rubber stamps with
the above information to be put on each tender and the dates and other particulars
may be filled in at the time of issue of tenders.

Note: The term large work appearing above means “Works costing more than the
power delegated to Senior Manager/Asstt. General Manager for acceptance of
tender.

35.15 Scale of Charges for Tender Documents

35.15.1 The cost of tender documents should be charged from the contractors as per given
below or directions from CHQ from time to time.

(a) Estimated Cost (E.C.) up to Rs.5.00 Cr. Rs. 1000/-

(b) E.C. Beyond Rs. 5.00 Cr. Up to 10.00 Cr. Rs. 1500/-
(c) E.C. Beyond Rs. 10.00 Cr. Up to 25.00 Cr. Rs. 3000/-
(d) E.C. Beyond Rs. 25.00 Cr. Up to 50.00 Cr. Rs. 5000/-
(e) E.C. Beyond Rs. 50.00 Cr. Rs. 10000/-

Note 1: The above rates are applicable for physical as well as E-tendering mode.
In case of E-tendering the fee shall be defined as tender processing fee
and shall be non-refundable. In case of physical tender, it shall be
defined as tender cost and shall be refundable if tender is not issued.

2: Cost of tender document for Global bids: To be decided by the NIT

approving authority.

3: The agencies may be asked to pay GST extra on the cost of tender
document, if applicable.

4: For GST: The GST on the cost of tender form, if chargeable as per the
General GST Act of the respective state, it should be levied on the cost
of tender form at the specified rate of the respective state. The GST, thus
collected on sale of tenders, are to be remitted to concerned GST
authorities within the time limit specified in the GST Act.

5: Contractor requesting for tender document by post cell mentioned the

same in application itself. The contractor shall add Rs.200/- towards
postal charges in the tender cost amount. AAI shall not be responsible
for delay/loss of documents. This will be applicable for tenders invited
through physical mode only.

35.15.2 Authorities competent to approve NITs have got the discretion to add to the
prices, mentioned above, any additional cost of drawings to be supplied/ attached
along with tender documents depending on the labour actually involved in their
preparation.

35.15.3 NIT should be supplied along with tender documents to intending tenders.

151
 AAI Works Manual

35.15.4 As it is not always practicable to supply plans and Drawings along with each set
of tender documents the contractors for the purposes of tendering, plans and
drawings should be kept with the designated officer in o/o SM/AGM for study by
the contractors and a recorded entry in register or a certificate obtained in lieu of
having seen the plans.

35.16 Accounting of Tender Forms (for physical tenders)

35.16.1 The following is the procedure, laid down, for the accounting of tender forms: -

a. The tenders to the eligible contractors will be sold from the office of tender
inviting officer against the price mentioned in the NIT.

b. The cost of tender document will be accepted in the form of demand draft
of a scheduled Bank payable at (place mentioned in NIT
should be written here)

c. The register for the sale of tender documents should be kept in the office of
tender inviting officer. It should be got issued from competent authority and
each page of register should be serially numbered. Tender register should
contain chronological record of issue of tender forms showing the name of
the person to whom the tender is issued and the DD no , date and
amount.

35.16.2 To avoid the possibility of bogus and fake tenders being submitted, it is necessary
that tender documents are sold individually and acknowledgements taken from
contractors or their accredited representatives while handing over tender
documents to them. In cases where tender documents are dispatched by post,
these should be with Registered A.D. Post/Speed Post.

35.17 Prequalification Applications (for physical tenders)

35.17.1 It is to ensure that applications received for pre qualifications of various works
are properly entered in prequalification application register.

35.17.2 In order to have transparency, the firms which are not short listed for issuing
tender papers, should be intimated with the reasons for rejection of their
application. The tender fee submitted by the firm may be refunded to them in case
they are not pre-qualified for issue of tender documents.
35.18 Amendments / Addendums after sale of tender(for physical tenders)

At times it becomes necessary to issue amendments/ addendums to the tender

conditions/ provisions after sale of tender documents to the contractors before
opening of tenders. Such amendments/addendums should ultimately become part
of the contract for the accepted tender. Therefore, while issuing such
amendments/ addendums to each intending bidders, they must be asked to attach
letters containing amendments/addendums with tender document, duly signed,
before it is submitted. While opening tenders, tender opening officer shall ensure
that copies of such amendments / addendums are attached with the tender
documents and shall initial the same.

152
 AAI Works Manual

SECTION 36: Call of tenders through e - Tendering

36.1. Introduction of e-Tendering in AAI

36.1.1 The e-tendering system for procurement of material as well as execution of work
has been introduced in AAI to create more transparency and get competitive rates
for award of works. The main objectives of e-tendering are as below.
 Increase Transparency.
 Time saving by means of faster communication.
 Reduce cost of operations.
 Increase efficiency.
 Standardization of tendering processes.
 Improved corporate image.

36.1.2 The System of e-Tendering shall be resorted to for all the tenders irrespective of
the cost.

36.1.3 Tender Inviting Authorities (TIA) & the bidders should enrol in
http://etenders.gov.in to carry out the procurement activities.

Tender Inviting Authority (AAI Purchasers/bid managers) have to co-ordinate

with their respective regional IT coordinators for the enrolment / user creation in
NIC Portal. (User-id for NIC Portal is different from the E-TAPS id).
Bidders have to enrol themselves to the portal by following the bidder’s guide for
enrolment to the portal.
Entry will be through two factor login i.e. User id & password followed by the
login through DSC.
The intending bidder must obtain class-III digital signature to submit the bid.
The Bid Document as uploaded can be viewed and downloaded free of cost by
anyone including intending bidder.

36.1.4 All AGMs/SMs/ Managers who have been assigned the work of calling e-tenders
must take following action immediately.

a. Obtain Digital Signatures and User ID & Password by applying to Local /

RHQ / CHQ, IT Directorate.
b. All officials shall get acquainted with e-tendering procedures in the e-
tendering portal by going through a self-help files and any
clarification/deficiency can be directly sorted out with the help desk. The
address and contact numbers of self help desk are as under. The same is
available in the e-portal also.
c. Ensure that before taking up e-tendering, Digital Signature of appropriate
class, User ID and Password are available with the official. All AGM /
SM / Mgr. dealing with e-tenders should have digital signatures.

153
 AAI Works Manual

d. The Officials has to keep the User ID, Password and Digital Signature etc.
as confidential and its usage in e-portal shall be the sole responsibility of
the official concerned.
e. Understand the method of inviting bids in three envelope system.
36.1.5 For any Issues/Clarification relating to the publishing and submission of AAI
tender(s)
a. In order to facilitate the Vendors / Bidders as well as internal users from
AAI, help desk services have been launched between 0800-2000 hours for
the CPPP under GePNIChttp://etenders.gov.in. The help desk services shall
be available on all working days (Except Sunday and Gazetted Holiday)
between 0800-2000 hours and shall assist users on issues related to the use
of Central Public Procurements Portal (CPPP).
b. Before submitting queries, bidders are requested to follow the instructions
given in “Guidelines to Bidders” and get their computer system configured
according to the recommended settings as specified in the portal at “System
Setting for CPPP”.

SL Support Escalation E- Mail Address Contact Timings*

No. Persons Matrix No.
1. Help Desk Instant [email protected] 011- 0800-2000
Team Support 2463295 Hrs.(MON
0, - SAT)
Ext.3512
(Six lines)
2. Sanjeev After 4Hrs etendersuppot@aai. 011- 0930-1800
Kumar of Issue aero or 24632950 Hrs.
Mgr.(IT) sanjeevkumar@aai. Ext.3523 (MON
aero - FRI)
3. S Nita, After 12 [email protected] 0930-1800
AGM(IT) Hrs. Hrs
(MON-
FRI)
4. General After 03 [email protected] 011- 0930-1800
Manager days 24657900 Hrs
(IT) (MON-
FRI)
*The Helpdesk services shall remain closed on all Govt. Gazetted Holidays.
c. The above mentioned help desk numbers are intended only for queries
related to the issues on e-procurement portal and help needed on the
operation of the portal. For queries related to the tenders published on the
portal, bidders are advised to contact concerned Bid Manager of AAI.

154
 AAI Works Manual

d. To streamline the process and to ensure that bidder queries are replied promptly
following paragraph shall be added in the General guidelines for the bidders
under the heading “Queries, Replies and clarifications”.

Issues faced / queries of the bidders pertaining to technical support on e-portal for
submission of tender documents should normally be addressed to AAI Help Desk
Support (Details as mentioned in the web-NIT). In case of technical support regarding
e-tender portal, if the AAI Help Desk support is non-responsive, the Bid Manager,
Name - may be contacted at telephone no - , Ext. - , e-
mail ID - , Fax - , (To be filled appropriately by concerned Bid
Manager)
To make a uniform provision for receiving / replying queries, queries received
through CPP Portal only will be entertained. Queries received through any other
than CPP Portal shall not be entertained. In order to provide sufficient time to
bidder for raising queries, the time interval between clarification start date and
clarification end date may be kept as 30 days for EPC / Composite tender.
(Amendment TI 38 para VI dtd. 03.03.2020)

36.2 Digital Signatures

36.2.1 Utmost care needs to be taken while DSC mapping in CPPP. User’s – id should
be mapped with his/her own DSC. In case, somebody’s DSC is mapped with
some other user-id, it cannot be reverted back.
36.2.2 After login to the e-Tendering portal for the first time, system will ask to change
your password. Password can be changed and same be used for future references.
Password can also be changed by clicking on "modify password" link from the
left menu.
36.2.3 Send a mail to the [email protected] for retrieving lost password. Mention
name and User ID for easy and immediate reference.
36.3 Preparation of Bid Document
36.3.1 The pre-qualification criteria shall be adopted on the basis of value of work for
which tenders are being called. The complete criteria in various category of work
have been indicated at Section 12.2.1
36.3.2 NIT approving authority has to categorically specify the period within which
required documents shall be submitted in the office of AGM/SM/Manager by the
intending bidder after uploading of bids. The following shall be mentioned in the
NIT.
a. Time and date up to which EMD and other documents can be uploaded.

b. Time of opening of first envelope after uploading of bid document.

The documents received in 1st Envelope shall be down loaded on the same day as
mentioned for opening of first Envelope.
36.3.3 The date of opening of Technical and financial bids may be intimated through e-
portal and confirmed the same through email to the qualified bidders after
approval by NIT approving authority.

155
 AAI Works Manual

36.3.4 The list of documents to be scanned and uploaded by the intending bidder shall be
clearly mentioned in the bid documents.
The sample Press Notice to be published in newspapers, (Appendix 3A to
Appendix 3C), the Guidance to intending bidder /Contractors should be attached
in NIT by modifying suitably on case to case basis as per requirement, if found
necessary by the NIT approving authority.
The time for opening of bids may be decided by NIT approving authority. In any
case the date of opening of bid should be fixed after not less than 72 hrs ( 3 days)
of submission of tender to ensure receipt of documentary proof for submission of
EMD.
EMD for the works for which tenders have been called on e-tendering mode shall
be submitted in the format provided at Section 38.

36.4 Publicity
36.4.1 Time limit for publicity of bids shall be as per the provisions of Section 34.4
36.4.2 In case of e-Tendering, the Press Notice also to be published as per the limits
mentioned in Appendix 3A to 3C in addition to publishing on the website
http://etenders.gov.in as per Appendix 4A to 4C. Press NIT only be issued for
works with estimated cost more than Rs 1 Crores.

36.4.3 In case of e-Tendering there is no necessity to publish a large size Press Notice in
News Papers. Only a condensed form of Notice Inviting e-Tenders is to be
published in leading News Papers for wide publicity as mentioned in the
Appendix 3A to 3C
36.5 Bidding Process in NIC CPP Portal
36.5.1 NICCPPP Portal allows multi-cover tenders, Limited Tender, Offline payment
(Tender fees, EMD) and online bid submission and other important clauses as
necessary.
36.5.2 3-BOT: Envelope 1 containing of submission of scanned copy of tender fee,
prequalification criteria and other documents. Envelope 2 Technical Bid, scanned
copy of Unconditional Acceptance of AAI’s Tender Conditions, Integrity pact
and EMD. Envelope 3 containing of financial bid.
2-BOT: Envelope 1 containing of EMD, technical bid and unconditional
acceptance of AAI condition. Envelope 2 containing of financial bid
2 Envelope Tender System shall be adopted instead of 3 Envelope System
(Amendment TI 38 para III dtd. 03.03.2020)
36.6. Details when tender is invited in 3-BOT.
36.6.1 When bids are invited in three stage system following steps are to be followed:
a. Entire bid document related to eligibility criteria, technical bid and financial
bid are to be uploaded at one time. A letter for Unconditional acceptance of
tender conditions shall be uploaded along with tender document. The original
EMD and letter for unconditional acceptance of all NIT conditions and
integrity pact should reach in physical form in the office of Bid Manager
within 72 hours ( 3 working days) of opening of envelope-I (Amended on dt.
26.03.18) Bid submission end date.

156
 AAI Works Manual

b. Various envelopes shall be containing documents as indicated below:-

Envelope-I: - Scanned copies of containing qualifying requirement, copy of
demand draft for Tender fee and other details.
(Amended on dt. 26.03.18)
Scanned copies of unconditional acceptance of AAI’s tender conditions,
Tender Fee, EMD and Integrity Pact (If applicable).
Envelope-II: - Technical bid containing scanned copy of unconditional
Acceptance of AAI’s Tender Conditions, EMD and Integrity Pact.
(Amended on dt. 26.03.18)
Envelop-II shall contain scanned copy of Pre-qualification documents,
Scanned copy of duly notarized affidavit on Non-Judicial stamp paper of Rs.
100 regarding compliance of minimum wages, scanned copy of duly notarized
declaration on non-judicial stamp paper of Rs.100 regarding blacklisting/
debarring of firm, scanned copy of undertaking on GST and digitally signed
Tender Document.
Envelope-III: - Financial bid.
The original BG /Demand draft against EMD and Tender Fee, Signed Hard
copy of AAI Unconditional Acceptance Letter and signed Integrity Pact
should be submitted to Bid Manager within 72 hours (3 days) of bid
submission end date. Tender of the tenderer whose EMD, Integrity Pact and
unconditional acceptance of AAI’s tender conditions are not received by the
time of the opening of pre-qualification of tender then their tenders will be
summarily rejected. Any postal delay will not be entertained.
36.6.2 The intending bidder has to pay cost for tender document and submit EMD as
detailed below.
a. Tender fees (Non-Refundable) shall be required to be paid in the form of
demand draft in favour of Airports Authority of India.
b. EMD as demand draft in favor of AAI up to Rs.10 lacs and demand draft/bank
guarantee for EMD more than Rs.10 lacs.
The original document for tender fees, EMD, unconditional acceptance of all
NIT conditions and Integrity pact should reach the office of Engineer-in-
charge within 72 hours (3 working days) of opening of the Envelope-I.
(Amended on dt. 26.03.18)
EMD in the form of Demand Draft/FDR/Bank Guarantee in favour of
Airports Authority of India. The original documents for Tender fees, EMD,
Unconditional acceptance of AAI tender conditions and Integrity Pact (If
applicable) should reach the office of Bid Manager within 72 hours (3
working days) of bid submission end date.
Provision of accepting EMD, SD and PG in the form of FDR has been
discontinued. The same should now