Contract types 

 
UNOPS uses four types of construction contracts for all infrastructure works.

The contracts provide the same mechanisms and structure but with differing levels of complexity. This flexibility with the contracts can accommodate works that vary in scale and scope as well as the varying capacities of contractors and governments.

All four contracts are based on those used by the International Federation of Consulting Engineers (FIDIC) and tailored by UNOPS for use in a United Nations context. They provide world-class standards to all of UNOPS physical infrastructure projects.

1. UNOPS Measured Price Construction Contract: (based on the FIDIC Red Book): For construction works priced on a measured price/re-measurement basis.

2. UNOPS Lump Sum Construction Contract: (based on the FIDIC Red Book): For construction works priced on a lump sum basis.

3. UNOPS Short Form Construction Contract: (based on the FIDIC Green Book): For relatively basic construction works priced on a lump sum or measured price basis.

4. UNOPS Minor Works Contract: For use with the most basic of works when working with contactors of low capacity.

Experience and proven track record

The FIDIC-based contracts guarantee that the interests of donors, governments, UNOPS and its contractors are protected in the most professional and transparent way. The contracts are specifically designed to enable fair and reasonable outcomes for all parties in a clearly defined environment. Applying these contract types enhances efficiency, lowers risk and improves quality for all project stakeholders. Additionally, these contracts can strengthen the capacity of partners by offering industry best practice experience.

Based on these contracts UNOPS has developed construction guidance as well as standards for supervision, testing, health and safety, and quality control that will also strengthen the capacity of partners.

Benefits for the project

• The contracts include a practical and professional approach to any variations in the works. Contingency budgets are approved upfront, allowing efficient management of variations.

• The contracts incorporate a unique dispute resolution mechanism fully in line with industry norms and United Nations Commission on International Trade Law (UNCITRAL) processes. The mechanism uses a clear process that is flexible, fair and appropriate.

• Each contract exists as one complete document; they combine all works documents into one legal instrument which removes the problem of conflicting information and discrepancies between documents. This contemporary approach simplifies document management and contract administration and leads to lower risk, improved efficiency and higher quality in the works. 

 


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