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Engineering Procurement And Construction Agreement

Engineering Procurement And Construction Agreement Template for Nigeria

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Key Requirements PROMPT example:

Engineering Procurement And Construction Agreement

"I need an Engineering Procurement And Construction Agreement for a solar power plant project in Lagos, Nigeria, with a planned completion date of March 2025, including specific provisions for local content requirements and renewable energy regulations."

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Document background
The Engineering Procurement And Construction Agreement is a crucial document for major construction and infrastructure projects in Nigeria. It is typically used for large-scale industrial, energy, or infrastructure projects where the contractor takes full responsibility for engineering design, procurement of materials and equipment, and construction of the facility. This agreement must comply with Nigerian legislation, including the Public Procurement Act, Local Content Act, and Environmental regulations. It provides comprehensive coverage of project execution requirements, risk allocation, performance guarantees, and payment terms. The document is structured to ensure clarity of obligations while incorporating specific Nigerian legal requirements and international best practices in EPC contracting. It is particularly important for projects requiring turnkey delivery and single-point responsibility.
Suggested Sections

1. Parties: Identification of the Employer and the Contractor, including their legal status and registered addresses

2. Background: Context of the project, relationship between parties, and purpose of the agreement

3. Definitions and Interpretation: Definitions of key terms and interpretation rules for the agreement

4. Scope of Work: Detailed description of engineering, procurement and construction obligations

5. Contract Price and Payment Terms: Price structure, payment milestones, invoicing, and payment procedures

6. Project Schedule: Commencement date, completion deadlines, milestones, and extension mechanisms

7. Contractor Obligations: Detailed responsibilities including design, procurement, construction, testing, and commissioning

8. Employer Obligations: Responsibilities including site access, permits, approvals, and employer-supplied items

9. Local Content Requirements: Nigerian content obligations and compliance requirements

10. Quality Assurance: Quality standards, inspection rights, and quality control procedures

11. Testing and Commissioning: Testing procedures, performance guarantees, and acceptance criteria

12. Variations: Procedures for changes to scope, price or schedule

13. Defects Liability: Warranty obligations and defect rectification procedures

14. Force Majeure: Force majeure events and consequences

15. Suspension and Termination: Rights and procedures for suspension and termination

16. Liability and Indemnities: Allocation of risks, limitations of liability, and indemnification obligations

17. Insurance: Required insurance coverage and related obligations

18. Dispute Resolution: Dispute resolution procedures including arbitration under Nigerian law

19. Governing Law: Nigerian law as governing law and related legal requirements

Optional Sections

1. Performance Security: Requirements for performance bonds or guarantees - optional if not required by Employer

2. Parent Company Guarantee: Guarantee from Contractor's parent company - optional depending on Contractor's financial standing

3. Advance Payment: Terms for advance payment and related security - optional if no advance payment is required

4. Interface Management: Procedures for managing interfaces with other contractors - optional if no other contractors involved

5. Technology License: Terms for technology licensing - optional if proprietary technology is involved

6. Export Control: Export control compliance - optional if international procurement is involved

7. Site Security: Special security arrangements - optional depending on project location and nature

8. Community Relations: Local community engagement obligations - optional depending on project impact

Suggested Schedules

1. Schedule 1 - Scope of Work: Detailed technical specifications and scope description

2. Schedule 2 - Project Schedule: Detailed project timeline with milestones

3. Schedule 3 - Price Schedule: Detailed breakdown of contract price and payment milestones

4. Schedule 4 - Site Information: Site details, conditions, and access requirements

5. Schedule 5 - Key Personnel: List of key personnel and their qualifications

6. Schedule 6 - Forms of Certificates: Templates for various certificates including completion certificates

7. Schedule 7 - Forms of Securities: Templates for bonds, guarantees and other securities

8. Schedule 8 - Insurance Requirements: Detailed insurance requirements and coverage limits

9. Schedule 9 - Tests on Completion: Testing and commissioning procedures and acceptance criteria

10. Schedule 10 - Local Content Plan: Detailed plan for meeting Nigerian content requirements

11. Schedule 11 - HSSE Requirements: Health, Safety, Security and Environmental requirements

12. Schedule 12 - Quality Assurance Plan: Detailed quality management procedures and requirements

Authors

Alex Denne

Head of Growth (Open Source Law) @ Genie AI | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Linkedin in social icon imageX social icon image
alex.den.21@genieai.co
Relevant legal definitions
Acceptance Certificate
Applicable Laws
Applicable Permits
Background IP
Change in Law
Change Order
Commissioning
Completion Date
Confidential Information
Contract Price
Contractor
Contractor's Documents
Contractor's Equipment
Defects Liability Period
Delivery
Design Documents
Effective Date
Employer
Employer's Requirements
Engineering Services
Force Majeure Event
Good Industry Practice
Guaranteed Performance Levels
HSSE Requirements
Intellectual Property Rights
Interface Points
Key Personnel
Letter of Credit
Liquidated Damages
Local Content Requirements
Mechanical Completion
Milestone
Notice to Proceed
Parent Company Guarantee
Performance Bond
Performance Tests
Project
Project Schedule
Provisional Acceptance
Punch List
Quality Assurance Plan
Ready for Commissioning
Site
Specifications
Subcontractor
Substantial Completion
Technical Standards
Technology License
Termination Event
Testing Procedures
Time for Completion
Variation
Warranty Period
Work
Works
Clauses
Interpretation
Conditions Precedent
Scope of Work
Contract Price
Payment Terms
Performance Security
Parent Company Guarantee
Design Obligations
Procurement Obligations
Construction Obligations
Project Schedule
Extensions of Time
Local Content
Testing and Commissioning
Completion
Defects Liability
Variations
Health and Safety
Environmental Protection
Quality Assurance
Subcontracting
Insurance
Indemnification
Limitation of Liability
Intellectual Property
Confidentiality
Force Majeure
Suspension
Termination
Dispute Resolution
Governing Law
Assignment
Notices
Warranties
Site Access
Materials and Workmanship
Progress Reports
Records and Audit
Compliance with Laws
Permits and Licenses
Risk Allocation
Title and Risk
Interface Management
Performance Guarantees
Liquidated Damages
Relevant Industries

Oil and Gas

Power Generation

Infrastructure

Manufacturing

Petrochemicals

Mining

Industrial Processing

Renewable Energy

Water Treatment

Transportation

Relevant Teams

Legal

Project Management

Engineering

Procurement

Construction

Commercial

Finance

Risk Management

Compliance

Quality Assurance

Health Safety and Environment

Contract Administration

Relevant Roles

Project Director

Contract Manager

Legal Counsel

Project Manager

Construction Manager

Procurement Manager

Engineering Manager

Commercial Manager

Risk Manager

Technical Director

Chief Financial Officer

Compliance Officer

Local Content Manager

Quality Assurance Manager

HSE Manager

Industries
Public Procurement Act 2007: Establishes the legal framework for public procurement in Nigeria, ensuring transparency and fair competition in public contracts
Nigerian Oil and Gas Industry Content Development Act 2010: Mandates minimum Nigerian content requirements in projects, particularly relevant for energy-related EPC contracts
Environmental Impact Assessment Act: Requires environmental impact assessments for major construction projects and establishes environmental protection standards
Labour Act Cap L1 LFN 2004: Governs employment relationships, working conditions, and labor rights in Nigeria
Companies and Allied Matters Act 2020: Regulates business operations, corporate governance, and company formation in Nigeria
Investment and Securities Act 2007: Regulates investment and securities matters, relevant for project financing aspects
National Building Code: Sets standards for building design, construction, and safety requirements
Land Use Act 1978: Governs land ownership, acquisition, and usage rights in Nigeria
Engineers Registration Act: Regulates engineering practice and registration of engineers in Nigeria
Arbitration and Conciliation Act: Provides framework for dispute resolution in commercial contracts
Value Added Tax Act: Governs VAT obligations for goods and services in construction projects
Industrial Training Fund Act: Requires contributions for employee training and development
Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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