Recording Measurements,

Measurement Book,
Technical check, Records at site,
Preparation of Bills

SUNIL POPHALE
IRICEN, Pune

1
 Scope
• Tenders
• Quotations
• Units and mode of measurements
• IS codes related to measurements and specifications
• Methods and procedures of measurements
• Engineering code chapter XI, XII and XIII - relevant part
• Measurement Book
• Recoding of Measurement Book
• Measurement of items
• Test checks and Technical checks
• Supporting documents for contractual payments
• Records to be maintained at work site
• Contract Bills for payments
• Finalization of contract
• Calculation of Price Variation Clause ( PVC ) 2
Maintenance of Records & Registers
Registers & Records in Special Works

• Plans / Approved Drawings

• Technical register
• Site Order register
• Cement Register
• Steel register
• Labour register
• Dismantling register
• Progress report
Continue . . .
• Material Passing Register
• Cement & Steel Challans
• Mix design and test reports
• Cube testing register
• Soil testing register
• Sieve analysis register
• Hindrance register
 Measurements

• Since 18th century development progressed towards unifying

measurement systems and widely accepted standards that
resulted into modern international systems of units i.e. S.I
units.

• The metric system in weights and measures was adopted by

the Indian Parliament  in December 1956 with the
Standards of Weights and Measures Act, which took effect
from 1 October 1958.

• In April 1962, all other systems were banned by law.

7
 Measurements
• Standards of Weights and Measures Act, 1976

• Every unit of weight or measure shall be in accordance with

the metric system based on the international system of units
(SI units) as per Act.

• S.I. is a modern form of Metric system which is widely used in

the world as system of measurements.

• It is the only system of measurement with an official status in

most of the countries in the world and as per the Indian
standards.

8
 Measurements
• Measurement occupies very important role in any
engineering project from planning, estimating,
executing the project up to the final payment.

• Units and methods of measurements are not uniform in the

open market.

• To avoid ambiguities and misunderstandings arising out of

inadequate information and knowledge about measurements
it is important to be very clear about measurements and the
unification of units with methods of measurements.

9
 Measurements of works

Measurements are the basis for payment in different contracts in

Indian Railways :

• Works Contracts.
• Store Contracts : Supply Contracts – material, machinery,
equipments etc.
• Service Contracts.

10
Payments with per unit rates
Accepted rates :
• While publishing tender the unit of measurement and rate
per unit of each item is published in Schedule of Rates and
Quantities.
• Tenderer quotes the rates (at par / below / above ) in
percentage on the basic Schedule rates.
• As the tender is accepted ( LOA issued ) the rates are called as
accepted rates.
• Contractor should start the work within 15 days.
• Contractor will submit Performance Guarantee.
• Contract Agreement is signed by both the parties i.e.
contractor and railway authority only after submitting PG.
• Measurements will not be recorded unless C.A. is signed.
11
MEASUREMENTS, CERTIFICATES AND PAYMENTS
• The Tender Document has a Schedule of Quantities which is
also the part of Contract Agreement.
• This Schedule has full and detail description of items to be
executed, Unit of measurement and also the unit rates which
are binding on both the parties of C.A. . The Contractor will be
paid as per accepted rates.
• Specifications are always associated with each item in which
mode and system of measurement is mention.
• Specifications also lay down quality control requirements to
indicate parameters, target values, tolerances and method of
measurement of various parameters that constitute the
standards of quality and acceptance criteria.
• Supporting IS codes are also available for measurements.
• Any special condition related to measurements/penalties.
12
 IS Codes for Measurements :

• IS 1200 : 1992 ( Part 1 to 28 ) - Method of measurement of

building and civil engineering works.

• IS 3861 : 2002 - Method of measurement of plinth, carpet and

rentable area of buildings. (second revision)

• SP 27 : 1987 - Handbook on method of measurement of building

works. (first revision)

13
 Part 1 : Earthwork
IS : 1200 Part 2 : concrete works
Part 3 : Brickwork
Part 4 : stone masonry
Part 5 : form work
Part 6 : refractory work
Part 7 : hardware
Part 8 : steel work and iron work
Part 9 : roof covering (including cladding)
Part 10 : ceiling and linings
Part 11 : paving, floor finishes dado and skirting
Part 12 : Plastering and Pointing
Part 13 : Whitewashing, colour washing, distempering
and painting of building surfaces
Part 14 : glazing
Part 15 : painting, polishing, varnishing etc

14
 Part 16: laying of water and sewer lines including
appurtenant items
IS : 1200 Part 18: demolition and dismantling
Part 19: Water Supply, Plumbing and Drains
Part 20: laying of gas and oil pipelines
Part 21: wood-work and joinery
Part 22: materials
Part 23: piling
Part 24: well foundations
Part 25: tunneling
Part 26: Acid resistant lining
Part 27: Earthwork done by mechanical appliances
Part 28: Sound insulation works
IS 3861 : Method of Measurement of Plinth, Carpet and
Rentable Area of Buildings
SP 27 : Handbook of Method of Measurement of Buildings
Works
15
 Measurement of works
• Measurements required for following purposes :

1. For record .
2. For calculation of quantities of various items of work.
3. For preparation of drawing.
4. For preparing estimates and proposals.
5. For preparation of bills or payment.
6. For recovery .
7. For verification of measurements which are already recorded.

8. Measurements will be taken of the work in progress, from

time to time to monitor the progress of works.

16
Recording of Measurements :
( Para 1315 of Engineering Code )
• For the payment against contracts, the engineers and
representatives are authorized to carrying out the
measurements of work executed.

• The detailed procedure for recording of measurements, test

check for the release of on account and final payment is given in
the Engineering code.

• The measurements shall be taken by the Engineer or the

Engineer's representative along with the contractor or his
representative.

• The measurements should be recorded in the Measurement

Book duly signed by Engineer’s representative and contractor
17
with his seal.
 Recording of Measurements :
Para 1315 continue . .

• The Contractor shall be paid on the basis of measurements taken by

the Engineer or the Engineer's representative in accordance with the
rules prescribed for the purpose by the Railway.

• On the open line and construction organisation of the Railways the

different powers can be exercised in recording measurements.

• Inspectors of Works and Permanent Way Inspectors in different grade

can record measurement including ballast measurements subject to
the test checks provisions given in the Engineering Code.
•
• A 10%, 20% and in some case 100% Test check by the Assistant
Engineer is necessary according to nature and costing of work.

• In the case of ballast and pitching stones measurements a 100% check

on quality and the quantity by the Assistant Engineer is necessary. 18
 1315. Recording of Measurements
• 1315. Recording of Measurements - On the open line organisation of the
Railways the following powers can be exercised in recording measurements :--
• (i) Inspectors of Works and Permanent Way Inspectors in Gr. II (Rs. 1600-2660)
and Gr. I (Rs. 2000-3200) can record all measurement including ballast
measurements subject to the test checks given below, but cannot record earth
work sectional measurements unless they are specifically nominated by the
Assistant Engineer on considerations of competency and reliability.
• A 10% check by the Assistant Engineer is necessary for works costing upto Rs.
25,000/-,
• if the value of the work exceeds the estimated cost by more than 10% and for
works costing above Rs. 25,000/- a 20% check by Assistant Engineer is necessary.
• In the case of ballast and pitching stones measurements a 100% check on quality
and the quantity by the Assistant Engineer is necessary.
• The Check of the Assistant Engineer in respect of earth work sectional
measurements may be done at his discretion.
• Those Inspectors in Gr. I (Rs. 2000-3200) may finalize measurement for work
upto Rs. 10,000/- even when the total value of the works exceeds the estimated
value by more than 10%. 19
 1315. Recording of Measurements

• (ii) Inspector of Works and Permanent Way Inspectors in Grade III

(Rs. 1400-2300) when they hold independent charge, can record
measurement for works costing upto Rs. 25,000/- each, subject
to a test check of 20% by the Assistant Engineer.

• (iii) Sub-Overseers, Mistries having a diploma in Engineering and

having more than three years of service and those not having a
diploma in Engineering but having six years experience to be
nominated by name by the Divisional Engineer can record
measurements of works upto Rs. 10,000/-, subject to a test check
of 20% by the Inspector of Works.
• The Check of the Assistant Engineer in respect of earth work
sectional measurements may be done at his discretion.

20
 Recording of Measurements :
• 1316. On construction projects and special works, Sub-Overseer
Mistries cannot record measurements.
• Inspector of Works and Permanent Way inspectors cannot record
measurements for the supply of ballast, pitching stones and earth
work.
• For all other works, Inspectors of Works and Permanent Way
Inspectors in Grade I & II can record measurements subject to a 20
per cent test check by the Assistant Engineer.
• Measurement of ballast and pitching stones, classification of ballast
and measurement for earth work will be done by the Assistant
Engineer.

• Para 1316 of Engineering Code shall not be applicable for those

contracts wherein the measurement of work by contractor is
permitted. (CMB)

21
General rules for measurements.
1. Mode of measurements should be as per unit in
schedule, according to specification of item and
IS code etc.

2. Tolerances of measurements as per relevant

specification or IS Code.

3. Rate includes laying out, setting out, marking

etc., and site clearance for layout if not other wise
mentioned.

22
4. No extra payment for Bailing out of surface,
underground water or rain water if not mentioned.

5.Testing charges for materials and finished work

whenever required.

6. All fees, duties, royalties, rent and compensation

etc.

7.Rate includes all labour, material, T&P, taxes,

contingencies etc.

23
Record of Measurement

• Payments for all works done and for all supplies

made on the basis of measurements recorded in
the Measurement Book (M.B) form No. E 1313

• Form no.E1314 Register of Measurement Books

this book is mint for transaction of M.Bs.

24
REGISTER OF MEARSUMENT BOOK
Form No. E 1314

25
MEARSUMENT BOOK

• The MBs should be carefully preserved for ten years.

• Books no longer in use should be withdrawn promptly

even though not completely written up. The eventual
return of all measurement books should be insisted on.
They should be carefully preserved for ten years.

• To ensure this, measurement books should be carefully

listed and made over to the open line authorities when
the construction divisions are closed.

26
Recording of Measurements :
• Measurements are recorded in M.B as record, ON Account
Bill, Final Bill & recovery bill.
• Lump sum (L.S.) measurements are not permitted in the
case of foundations or other works below ground level or of
hidden work of any description. For such work, detailed
measurements shall be recorded.
• 1330. For lump sum contract: - Detailed measurements are
not required in the case of a work done under lump sum
contract.
• Final measurements in such cases may be made on the
certificate of the AEN to the effect that the work has been
completed according to the drawing and specifications.

27
Recording of Measurements :

• For the work of Bridges and Buildings every

third on account bill should be in detail.

• For the work of Earth work in formation every

fourth on account bill should be in detail.

28
Recording of Measurements :

• Clause 22.(5) of GCC (July 2020) : Meaning and Intent of

Specification and Drawings:
• If any ambiguity arises as to the meaning and intent of any
portion of the Specifications and Drawings or as to execution
or quality of any work or material, or as to the measurements
of the works the decision of the Engineer thereon shall be
final
subject to the appeal (within 7 days of such decision being
intimated to the Contractor) to the Chief Engineer who shall
have the power to correct any errors, omissions, or
discrepancies in aforementioned items and whose decision in
the matter in dispute or doubt shall be final and conclusive.

29
Recording of Measurements :
(GCC – July 2020)

• 45(i). Measurement of Works by Railway:

• The date and time on which ‘on account’ or ‘final’ measurements
are to be made shall be communicated to the Contractor who shall
be present at the site and shall sign the results of the
measurements (which shall also be signed by the Engineer or the
Engineer's representative) recorded in the official measurements
book as an acknowledgement of his acceptance of the accuracy of
the measurements.
• Failing the Contractor's attendance, the work may be measured up
in his absence and such measurements shall, notwithstanding such
absence, be binding upon the Contractor whether or not he shall
have signed the measurement books provided always that any
objection made by him to measurement shall be duly investigated
and considered in the manner set out below:
30
Recording of Measurements :
(GCC – July 2020)

• (a) It shall be open to the Contractor to take specific objection

to any recorded measurements or Classification on any
ground within seven days of the date of such measurements.
• Any remeasurement taken by the Engineer or the Engineer's
representative in the presence of the Contractor or in his
absence after due notice has been given to him in
consequence of objection made by the Contractor shall be
final and binding on the Contractor and no claim whatsoever
shall thereafter be entertained regarding the accuracy and
Classification of the measurements.
• (b) If an objection raised by the Contractor is found by the
Engineer to be incorrect the Contractor shall be liable to pay
the actual expenses incurred in measurements.
31
 1330. Measurements for Lump-Sum Contract

• Detailed measurements are not required in the case of a work

done under a lump sum contract.
• Final payment in such cases may be made on the certificate of
the Assistant Engineer to the effect that the work has been
completed according to the drawings and specifications.

32
 1331. Approximate Measurements
• 1331. Approximate Measurements. - Detailed
measurements may dispensed with in cases in which
payments `on account' for work actually executed are made
on the certificate of a responsible officer (not below the
rank of Assistant Engineer) to the effect that not less than
the quantity of work paid for has actually been done and
that the measurement are from plans or that they are
approximately estimated.
• The officer granting such certificate will be held personally
responsible for any overpayments which may occur on the
work in consequence. Final payments should, however, in
no case be made without detailed measurements.
33
MEASUREMENT BOOK

34
Front Page of Measurement Book

35
Index of Measurement Book

36
 Index of Measurement Book
INDEX
Of
Measurement Book
Serial Item Particulars Agreement Page Remarks
No. of Entries of work From To
running or order Ref.
final

37
Measurement Book

38
Measurement Book

39
 Instructions for the Maintenance of Measurement Books
(para 1322)

• The pages of the book should be machine-numbered and no page should on any
account be torn out, nor should any entry be erased or defaced so as to be illegible.
• If mistake be made, it should be corrected by crossing out the incorrect words or
figures, and rewriting the correct words or figures, and the correction thus made
should be initialed.
• The entries must be made directly in the measurement books at the site of work.
The copying of entries from another rough note book or similar record is strictly
forbidden.
• A reliable record is the object to be aimed at, as it may have to be produced as
evidence in a Court of Law.

40
 Measurement Book : (Para 1324)

• Entries should be recorded continuously in the measurement book.

• No blank pages should be left nor should any page be torn out, the cancellation
being attested.
• When any measurements are cancelled, the cancellation should be supported by
the dated initials of the officer ordering the cancellation, or by a reference to his
orders initialed by the officer who made the measurement. In either case, the
reason for cancellation should be recorded.

41
 Measurement Book
A111222
Particulars No. L B D Contents

42
 Recording Measurements

Before detailing the measurements relating to a work the

following information should inveriably be given at the top of
the first page.
1. Final / On account Contract Certificate No.
2. For previous On account Bill see page . . . Of M.B. No. . . .
3. Name of work
4. Situation of work
5. Agency by which work executed
6. Reference to Agreement of work order
7. Date of commenced
8. Date of completed
9. Date of measurement

43
 Measurement Book
A306301
Particulars No. L B D Contents
Schedule I : USSOR Items

5/117081 : Oil bond distemper after removing old

white/colour wash . . . .
Schedule Qty. : 1000 sqm
Sanction Variation Qty. : 1500 sqm
Prepaid Qty. : 200 Sqm.

MB 90 page No. A358036 200 sqm

Since done

44
 Measurement Book
A306302
Particulars No. L B D Contents
RBM Rd. colony Bldg. No. RB IV /581
Qtr. No. 5
Hall
Ceiling 1 3.5 4.0 -- 14.00
Walls 2 3.50 -- 2.80 19.60
2 4.00 -- 2.80 22.40

Total Qty. : 800.00 sqm

- 200.00 sqm
Less prepaid qty. :
600 .00 sqm
Now to pay qty. :

45
Measurements :

• Water Charges deduction for various items is to be mentioned at the

end of measurements.
• Recovery, if any, for the plant and machinery issued to the contractor or
any other recovery/penalties.
• Conservancy Cess charges to be recovered for the number of labours in
this period.
(Rly. Bd. Circular No. F(X)I/95/1/1 , Dtd. 05.12.2016)

46
47
Certificates in MB with each bill :
• SSE’s Certificate (who is recording measurements).
• Contractor’s Certificate.
• Assistant Engineer’s Certificate.
• SSO’s Certificate.

SSE’s certificate :
 Contractor has carried out work as per specifications.
 Contractor has deployed graduate / Diploma
engineer.

48
Contractor’s Certificate :

 Contractor has to certify that he is accepting the

recorded measurement, satisfy with it and no claim
against it.

 Contractor has to be certified that he has paid wages

to the labour not less than the Minimum wages Act.

 Contractor has to upload the information of labour

on Indian Railways Shramik Kalyan Portal.
( http://www.shramikkalyan.indianrailways.gov.in )
49
Supporting documents :

• Technical Register is to be maintained and submit with MB.

• Approved Drawings are to be submitted along with the MB for verifying the
measurements.
• Reinforcement steel register.
• Cement Register.
• Labour register.
• Site order Register.

50
MB and Bills :

Checking of recorded Measurements (MB) :

• Measurement Book are test checked by Assistant Engineer.
• It is technically checked (100% ) by Drawing office.
• Calculation is checked by OS/rates.
• SSO checks the calculations and other aspects also.

Bill is prepared and signed by all above authority, Accounts

authority and competent authority also.

Then SSO made cross all the pages of recorded measurements in

the MB.
51
 Measurements
(para 1326)
• From the measurement book, all quantities should be clearly
traceable into the documents on which payment are made,
and a reference to the voucher in which the quantities are
entered for payment, as well as the date of entry, should be
given by an endorsement upon the original entries in the
measurement book.

• No contract certificate or bill should be signed without thus

crossing off the connected entry in the measurement book.

• The document on which payment is made (Bill) should

invariably bear a reference to the number and page of the
book in which the detailed measurement are recorded.
52
 Recording measurements
( para 1316 of Engineering Code )

Para 1316 On construction projects and special works

• Sub-Overseer Mistries cannot record measurements.

• Inspector of Works and Permanent Way inspectors cannot record measurements for the
supply of ballast, pitching stones and earth work.

• For all other works, Inspectors of Works and Permanent Way Inspectors in Grade I & II
can record measurements, subject to a 20 per cent test check by the Assistant Engineer.

• Measurement of ballast and pitching stones, classification of ballast and measurement

for earth work will be done by the Assistant Engineer.

53
 Recording measurements

• 1334. The Divisional or Executive Officer should make it a point to see that the
measurement books are maintained in accordance with the rules laid down in
paragraphs 1313 to 1332 ante and that the measurements recorded are complete
records of each kind of work done for which certificates have been given.

54
Delegation of powers to J.E./SE/S.S.E/P.WAY&WORKS
(Para 1315 of Engineering code)

• 1315 : Delegation of powers to SSE/SE/ JE s/works/ p. way. in

respect of measurement :-
(A) open line works where ADEN have responsibility for track
maintenance and Administration:-

• Work supervisor :- Those holding diploma in engineering and

having more than 3 years service. (Rly.Bd.Lr.no.71/WI/CT/16
dt.23.7.87.)
• Or 6 years service but not holding diploma to be nominated by name
by the DEN with 20% test check by S.E./S.S.E. up to Rs 25000/-.

55
 Delegation of powers to J.E./SE/S.S.E/P.WAY&WORKS
(Para 1315 of Engineering code)

• (b) JEs (II) those holding diploma in engineering and having

more than 2 years service and for non diploma holders having
more than 4 years service whom DEN/DY.CE has tested and
certified fit for the same up to Rs 100000/- with 20 % test
check by S.E. in addition 10% test check by AEN.

Where total value of work exceeds the estimate value by more

than 10%
Rs 1 lakh and above but less than 2 lakh with 50% test check by
S.E/S.S.E and 20 % check by AEN.

56
(C) JE / I, SE and SSE for both Works and P. way. not holding
independent charge.
• Up to Rs 1,00,000/- with 20 % check by sup. in charge in
addition 10% check by AEN where total value of work exceeds
estimated value by more than 10%, above Rs 1,00,000/- with no
limit except for ballast, pitching stones and earth work sectional
measurements, full powers with 20 % test check by AEN.
(D)Inspectors of Works and Permanent Way Inspectors in Gr. II and
Gr. I can record all measurement subject to the test checks
given below
• A 10% check by the Assistant Engineer is necessary for works
costing upto Rs. 25,000/-.
• for works costing above Rs. 25,000/- a 20% check by Assistant
Engineer is necessary.

57
• For ballast and pitching stones, full powers of
classification and measurements, subject to 100% check
by AEN.

• But cannot record earth work sectional measurements

unless they are specifically nominated by the Assistant
Engineer on considerations of competency and
reliability.

58
 Electrical : Recording of measurements (para 1315)
(iv) Recording of Measurement of Elec. open line & construction
Works.
• (a) Shop Supdt./ Chief Traction Foreman, in grade Rs. 2375-3500; Sr. Elec.
Foreman/ Elec. Foreman/ Traction Foreman in Grade Rs. 2000-3200/- can record
all measurements.
• A 10% check by the Asstt. Elec. Engineer/Divisional/district Elec. Engg. is necessary
for the work costing upto Rs. 25,000/- each if the value of the work exceeds the
estimated cost by more than 10% and for works costing above Rs. 25,000/- and
20% check by Asstt. Elec. engineer/Divisional/District Elec. engineer is necessary.
• (b) Asstt. Elec.Foreman/Asstt. Traction Foreman/Sr. Elec.chargeman in grade
Rs.1600-2660/- can also record the measurements subject to 10% test check on
the works costing upto Rs. 25,000/- and 20% check on the works costing more
than 25,000/- by Asstt. Elec. Engg./ Divisional/District Elec. Engineer.
• (c) Elec. Chargemen/Asstt. Elec. Foreman in Gr. Rs. 1400-2300 when they hold
independent charge can record measurements for works costing upto Rs. 25,000/-
each subject to a test check by 20% by the Asstt. Elec. Engg./Divisional/District
Elec. engineer.
59
 Standard Measurements
• 1327. Standard Measurements.-Detailed measurements may be
dispensed with in the case of periodical repairs when the quantities
are recorded in efficiently maintained Standard measurement books.

• In the case of letting out the work of whitewashing of quarters on

contract the Railways can group the quarters in Division or Sub-
Division Area in such a way that each group includes quarters which
would individually entrail approximately the same equivalent surface
area for whitewashing.

• The grouping should broadly be such that all the quarters in one
group should be susceptible of being given to one contractor for the
purpose of whitewashing.
60
 Standard Measurements
• Non-standard bungalows of officers may, however, be excluded from such grouping.

• The standard areas of white washing to be paid for in respect of one unit of quarters
in each group and approximate number of units to be whitewashed should be
clearly shown in the tender documents.

• Payments should be made for the number of quarters actually whitewashed on the
basis of such area per unit as indicated in the tender documents.

61
 TEST CHECK
• 22.  Necessary test checks shall be carried out by the SSE/JE
and AEN/XEN for the works done before full payment of on-
account contract certificate/final contract certificate, SSE/JE
and AEN/XEN shall communicate the date of test checks to
contractor in advance.

• The contractor can accompany during test check. The

contractor shall provide support staff and all required tools &
plants to facilitate test check by railway officials.

62
 TEST CHECK

S.NO. Description of works Test Check in terms of %

of value by
SSE/JE AEN/XEN

(a) Measurement of Ballast, pitching stone, 100% 100%

Earth work and hidden items.
(b) Measurement of all other items. 100% 20%
(c) Initial and Final levels along centre line 100% 100%
for earthwork in embankment and
cutting.
(d) Intermittent levels along centre line for 100%  
earthwork in embankment and cutting. 20%
 
(e) Initial, intermittent and final levels except 100% 20%
centre line for earth work in
embankment and cutting.
63
 TEST CHECK
• Note:  The check regarding levels of earthwork invariably shall be
carried out in cross sections having heavy cross slopes.

• 24. Contractor's recorded measurement sheets shall be checked for

any corrections/over writing during test check. All the
corrections/over writing shall be initialed by.SSE/JE.
• 25. The discrepancy noted (if any) during test check of recorded
measurement shall be communicated by AEN/XEN to the
contractor.

• 26. In case of discrepancy noticed during test check, the contractor

shall submit original and required copies of fresh invoice of amount
corrected for discrepancy, and in case provisional payment has
been released earlier, the required copies of fresh invoice of
remaining amount corrected for discrepancy (if any), along with on
account/final contract certificate to AEN/XEN.
64
Technical Check Engg. Code para 1355

• 1355. The following subsidiary points require attention in the check

of (i) muster sheets and labour pay sheets and (ii) Contractors bills

• (e) that for items for which labour, rates only are paid the quantities of
materials issued and charged finally to works are not excessive ( the cost of
materials wasted in defective works subsequently rectified should be
recovered);

• (f) that the quantities executed are according to the sanctioned

plans and estimates; and 
• (g) that the methods of measurement are correct.

• Technical checks detailed as items (e) to (g) above should, as a rule

be exercised in the Drawing Office under the supervision of the
Executive Engineer. 65
 Contractor's Bills
Engg. Code Para 1355

• 1355 : (ii) Contractor's Bills.---It should be seen—

• (a) that there are no delays in making measurements or in
preparing bills after the measurements have been taken;

• (b) that rates higher than those provided in the agreement

or work order are not allowed without the specific
sanction of the competent authority;

• (c) that the running account and final bills are checked
with the postings in the contractor's ledger, form E. 1483;

66
 Contractor's Bills
Engg. Code Para 1355

• (d) that recoveries have been correctly made according to rules on

account of materials issued against items of works for which labour and
material rates are paid;
• (e) that for items for which labour, rates only are paid the quantities of
materials issued and charged finally to works are not excessive ( the cost
of materials wasted in defective works subsequently rectified should be
recovered);

67
 Contractor's Bills
Engg. Code Para 1355

• (f) that the quantities executed are according to the sanctioned plans
and estimates; and
• (g) that the methods of measurement are correct.

• Technical checks detailed as items (e) to (g) above should, as a rule be

exercised in the Drawing Office under the supervision of the Executive
Engineer.

68
 GCC clause 37. Rates for Items of Works:

• If rates of existing GST or cess on GST for Works Contract is increased or any new tax
/cess on Works Contract is imposed by Statute after the date of opening of tender
but within the original date of completion/date of completion extended under
clause 17 & 17A and the Contractor thereupon properly pays such taxes/cess, the
Contractor shall be reimbursed the amount so paid.
• Further, if rates of existing GST or cess on GST for Works Contract is decreased or
any tax/cess on Works Contract is decreased / removed by Statute after the date of
opening of tender, the reduction in tax amount shall be recovered from
Contractor’s bills/Security Deposit or any other dues of Contractor with the
Government of India.

69
 GST

• Now the GST is 12% for Works Contract

And
• 18% GST for Service Contract.

70
71
 Measurement of Ballast

• 1332. Measurement of Ballast Train Work.-It is not

usually convenient to record in measurement books
detailed measurement of work done by contractors
in connection with the working of ballast and
material trains e. g. loading and unloading of ballast,
permanent way and other construction materials.
• In such cases ballast train or material train challans in
the following form (E. 1332) should be prepared in
four copies by the subordinate supervising the
loading of ballast or material.

72
 Measurement of Ballast
• One copy should be retained as office copy of the subordinate
who trained out the material.
• Two copies should be sent to the receiving subordinate through
the guard of the ballast or material train. One copy should be
sent directly to the Assistant Engineer concerned immediately
after loading to reach within 24 hours to enable the Assistant
Engineer to verify the `ballast or materials if required.
• The receiving subordinate should check the quantites of
materials received with those shown on the challan and accept
it subject to any remarks he may have to make.
• One copy of the accepted challan should then be submitted to
the Assistant Engineer concerned to enable the latter to
prepare the contractor's loading and unloading bill. In this case,
the accepted challan takes the place of a measurement book.

73
 Measurement of Ballast
• 1333. The Measurement of Ballast.—
• Ballast should as a rule, be measured in stacks. When ballast
taken over by the Railway is trained out, the correctness of
the measurements recorded in the ballast train challans, after
making due allowance for shrinkage enroute should be
checked with the original stack measurements.
• In cases where owing to uneven surface of the stacking
ground or for want of space in the quarry, etc. ballast cannot
be stocked in stacks of convenient sizes and where in
consequence ballast has to be measured and taken directly in
wagons, the procedure laid down in para 1332 may be
adopted subject to a test check of 20% of the wagon
measurements by the Assistant Engineer.

74
Construction projects and special works.

(a) Ballast and pitching J.E./S.E./S.S.E can not

record any measurement :- No powers.

(b) Earth work in banks and cuttings :- For

measurements of earth work cross-sections
levels may be recorded by JE/SE/SSE in the
level book with following check by AEN.

75
 Level Book
Following check by AEN of Level book :
(i) 100% in the case of levels along the center- line
of the alignment .
(ii) Not less than 20 % of the remaining levels of the
cross sections with the provision that this check
should invariably be carried out in cross slopes.

(c) Also in order to safe guard any manipulation or

tampering with the entries in the level book.

76
 Level Book :-

• Level book, the following safe guard may be adopted.

(i) All reduced levels in the field should be recorded in ink

or inked before these are checked by AEN.

(ii) All corrections in the level book must be initialed by

AEN and no subsequent corrections should be made by
any person other than AEN, who while doing so should
record reason for the same.

77
 Level Book :-
(iii) After the AEN has checked the levels, he should
record clear certificate in each field book in the
following manner-

Certificate :
Certified that I have fully checked the levels along the
center line and not less than 20% of the remaining
levels and have satisfied myself about the correctness
of the levels. The entries checked by me in this
respect have been duly initialed by me in the level
book.
78
Level Book :-

(iv) Contractor or his authorized agent should also sign

every field book accepting the correctness of the levels
recoded therein .

(v) Plotting of cross sections on graph paper should be

done with minimum possible delay and there after the
field books should be sent to XEN/DY C.E.(Con)
immediately for safe custody.

79
All other works:-

(I) for works up to the value of Rs 3 lakhs subject

to 20 % check by AEN.

(ii) for works from 3 lacks to 10 lacks subject to 50

% check by AEN. For works costing more than
10 lacks AEN /XEN should record the
measurements and should be test checked by
next higher authority.

80
 RECORDS MAINTAINED
By S.S.E. /JEs / incharge of work

1. Site order Register.

2. Labour register.
3. Reinforcement register.
4. Cement consumption register.
5. Technical Register.
6. Quality control register for cement, steel, bricks, concrete
cube testing etc.
7. Earth work calculation register.
8. Cross section sheet.
9. Level Book.
10. Site details register.

81
 Earth work measurements:-

(a) General:- Quantities of earth work to be paid for

shall be taken out from sectional measurements at
30m chainages or closer intervals as specified. The
process is follows:-

(i) Divide whole length into sections- chainages wise.

(ii) Mark chainages at site.

82
Earth work measurements:-

(iii) Starting from Bench Mark and establish temporary

B.M.

(iv) Leveling should start from B M and close at BM

each day.

(v) Reduced levels have to be worked out. Based on

R.Ls longitudinal profile and cross sectional profile
are plotted. This work can be done using
computers each sheet of cross section should be
signed by J.E./S.E., AEN and contractor.
83
Earth work measurements:-

(vi)similarly final longitudinal section and cross

section should also be plotted and the volume
of earth work shall be the difference between the
final and initial cross section areas (within
proposed profile) multiplied by chainage length.

The readings are to be noted directly into the level

books in ink, these books should be machine
numbered.
Signature of the contractor should be taken on every
page.
84
LEAD AND LIFT
• Lead and lift :- rates are inclusive of initial lead
up to 50 m and initial lift up to 1.5 m. payment
beyond these is a matter of special agreement.

• Method of measurement of lead:- Horizontally

from centroid of section excavated to the
centroid of the section filled along shortest
practicable route.

85
Different lead may be calculated by mass haul
diagram.

Method of measurement of lift :- lift shall be

estimated by dividing the cross section of the bank
or cutting into successive stages of 1.5 m
commencing from the natural ground level.

The quantity contained in each stage shall be paid

for at the rate pertaining to its height or depth
above or below the natural G.L., respectively.

86
• Measurement of unloading & Loading items:- The
percentage voids to be deducted from the
truck/lorry/wagon measurement will be as follow:
(i ) Coal ash and earth of all types except sandy soil -
15%
(ii ) sandy soil –7.5%
(iii) coarse aggregate up to 20 mm – 8%
(iv)coarse aggregate and ballast over 20mm – 20%
(v) Rubble, pitching stones stacked closely– 20%
Measurement of supply of quarry products– percentage
of voids to be deducted will be same as that in the said
above para.
87
 Measurement of Brick work:-

• Any increase in thickness due to thicker mortar

joints or oversized bricks shall not be paid.

• Length and height are measured with the

accuracy of 1 cm .

88
Measurement of Brick work:-

No deduction/ no payment is made for

(a) Ends of beams, if not more than 500sq. cm.

(b) Opening each not exceeding 1000 sq. cm.

(c) Drainage holes or pipes up to 30 cm.

* measurement for stone work:- Length and height should be

measured up to 1 cm.
Thickness should be measured to the accuracy of 0.5 cm. No
deduction/no payment is made for same as Brick work.
89
 Water proofing:-

• DPC is paid on the plan area covered. Length shall be

measured to the nearest cm and width to the nearest
0.5cm.

• Water proofing with bitumen felt is measured based on

the area actually covered.

• Filling with bitumen emulsion (cold applicant) is

measured based on the actual length of the cracks
repaired.

90
 Pointing/plastering

• Paid on the basis of measurement of the area of

surface pointed.

• Measurement are correct to 1cm.

• No deduction is made for end of joints, beams,

steps, posts, etc. not exceeding 0.5sqm each.

91
 Pointing/plastering

Deduction for openings exceeding 0.5 sq m but not exceeding 3

sq m.

• When a both faces of wall are pointed with the same type of
pointing, deduction shall be made for one face only.

• When both faces of wall are plastered /pointed with different

types of plaster /pointing , deduction shall be made from the
side where reveal is less.

• For all cases other than above deductions actual measurement

will be paid.

92
White washing, Distempering, painting etc:-

• The measurements are similar to pointing or

plastering.

• Corrugated surface shall be measured flat. The

area so measured shall be increased by 20% in
the case of AC sheets, 14% in the case of
corrugated steel sheets and 10 % in case of
semi corrugated AC sheets.

93
 Steel work
• Unless otherwise stipulated, payment for steel
work shall be based on the calculated weight of
the finished work.

• In calculating the weight, the over all lengths of

the members used in the fabrication (i.e
measured square ) will be taken into account
and no deduction will be made for rivet or bolt
holes ,skew cuts,notches etc, gussets will be
measured as per dimension of the smallest
rectangles

94
 Steel work

• Over the total weight of the main components

and gussets thus calculated an addition in
weight for welds,rivets, heads etc., used will be
made as follows:-

• 3% in the case of riveted or composite(riveted

and welded work).

* No extra weight of welding material shall not be

added.
95
 Wood work finishes
• Painting and other wood work finishes shall be
measured in sq.m.

• Measurement shall be the actual area of the

painted surface except in the following cases
where painted area of uneven surfaces shall be
converted into equivalent plain areas by the
application of appropriate multiplying factors as
indicated in each case.

96
Description of How measured Multiplying
work factor

Door window and Measured flat area of clear

other joinery. including frame (with masonry
(a) paneled no separate opening.
frame or battened measurement for 1.3 for each
stop-cleats chocks side
etc.,
-do- 1.2 for each
(b)Flush
(c ) fully glazed 0.8
-do- 1.80
(d) fully ventilated

97
Painting and Iron work:-

(1) painting work shall be measured in sq.m.

(2) measurements shall be of the actual area of the

painted surface except in the following cases:-

98
Sl. Description of work How measured Multiply
no factor

1 Steel doors,windows and Measured flat, (a) 0.5

ventilators. including frame (b) 1.1
(a) fully glazed (no separate For each
(b) fully paneled (all steel measurement for side
type) fittings)
2 Window,bars,grills Measured flat 1 for
excluding frame(no painting
deduction for open allover
spaces)
3. Gates,palisade fencing Measured flat overall 1.5 (for
collapsible gates etc., painting
overall

99
Sl Description of How measured Multiple
no work factor

4 Steel rolling Measured flat 1.1 for

shutters each side

5 Corrugated GI Measured flat 1.14 for

sheets (not grilled) each side

100
 Water supply and drainage :-

• The lengths of pipe lines shall be measured in

linear meters correct to a cm on the finished
work, and it shall include the pipes, specials such
a bends, tees reducers etc. For special extra
payment shall be paid. Fittings such as cocks
etc. shall be paid separately.

101
Sanitary fittings:-

• Shall be enumerated as sets, each sets

consists of one or more appliances as
described in item , along with necessary
accessories.

102
Preparation of Bills

103
 Preparation of Bills
(para 1335)
• 1335.  Subject to provisions of paragraph 1312 and 1327 to
1332 ante, the bills of contractors for work done or supplies
made should be prepared in any one of the following forms
according to that circumstances mentioned below against
each :-

(i) Petty Contract bill, Form E. 1336.

(ii) Running or On Account bill, Form E. 1337.
(iii) Final Bill, Form E. 1338. and
(iv) Hand Receipt, Form E. 1339.

104
 Preparation of Bills
(para 1335)

• The final bill Form (E. 1338) should specifically provide that the contractor
concerned accepts the amount billed for as a final payment in settlement of all his
claims in respect of the particular work.
• Bill for work done should necessarily be prepared in any one of the above forms.
• Bills of supplies submitted on supplier's own forms may, however, be accepted
when prepared in English or Hindi, any further particulars required by the
departmental form being added by the disbursing officer.
• All bills passed against a work order should be noted on the work order.

105
 Preparation of Bills

• 1337. The Running or  Account bill  from (Form E.1337 ) is

indicated for use in contract works only and not supplies. 
• On account payments before the completion of a work should be
made through this form.  
                                                                             
• 1338. The final Bill from (From E 1338) should be used for making
final payments, i. e. on closing running accounts for works.
• Normally only one final bill should be prepared against an
agreement or work order.
• But in cases where groups of annual repair works are included in
one agreement or work order, there is no objection to more than
one final bill being prepared on the completion of each group or
certain groups.

106
 1340. Preparation of Contractors Bills

• No fees should be charged either for forms of bills supplied or for clerical assistance
rendered in the preparation of bills.
• A contractor requiring a copy of his contract certificate or an extract from his
account in the contractor's ledger (paragraph 1483) should be furnished with the
same at a charge of Rs. 100/-
• No request from the contractor for supply of a copy of contract certificate or an
extract from his account in the ledger beyond a period of six years from the date of
closing of contract should be entertained.

107
                                                                               

Form E. 1337
.......................... RAILWAY
ENGINEERING DEPARTMENT
ON ACCOUNT' CONTRACT CERTIFICATE
No. ……………………………. Division …………………………………….
Name & Address of Contractor ……………………………………………….
Name of work ………………………………………………………………….
Authority for work ………………………… Agreement No ………………
 
I.         Account of work executed

On account payment Item Unit Rate Quantity Quantity Payment on the Remarks (with reasons for
for work covered by of executed executed basis of actual delay in recording
approximate or plan work since last upto measurement measurement shown in
measurement certificate date as column (1)
Total as Since Total per Upto Since last  
per last last Upto measure date certificat
certificat certific date ment e
e         ate

1 2 3 4 5 6 7 8 9 10 11
Rs. Rs. Rs.           Rs. Rs.  
                     
108
Bill format

109
Bill format

110
Bill format

111
 Payment on the basis of actual
measurement
Bill format Up-to-date Since last
certificate
Total 37041.81 37041.81
Escl.13.15% above 4871.00 4871.00
Total (D) 41912.80 41912.80
Total of Schedule A+B+C+D 1549910.91 182964.31
(% quoted ) Less 05.40% Below 83695.19 9880.07
Gross amount 1466215.72 173084.23
Less Prepaid amount 1293131.49 0.00
Gross total amount 173084.23 173084.23
R/off (-) (+) 0.00 0.00
Gross Payable amount 173084.23 173084.23
Basic amount 154539.49 154539.49
CGST 6% 9272.37 9272.37
SGST 6% 9272.37 9272.37
Total Payable amount 173084.23 173084.23
Less Recoveries 20056.00 20056.00
Net Payable amount 153028.23 153028.23
112
 Bill format

RECOVERY
  (In Rs..)
Income Tax - 2% 3091
Bill Copy 100
Security Deposit @10% (Balanced ) 12177
Conservancy charges @ Rs.208/- per month 1248
for less than 10 labour for six months
Water Charges 350
CGST TDS 1% 1545

SGST TDS 1% 1545

Total Recoveries 20056

113
 Finalisation of Contract

GCC - CLAUSE – 45 & 46

MEASUREMENTS, CERTIFICATES, PAYMENTS

Railway Board’s Letter

No. 2016/CE-I/CT/14/ Measurement, dated 21/09/2017

114
Measurement of Works: (Clause 45)
Clause:45(i)
 The date and time on which ‘on account’ or ‘final’
measurements are to be made shall be communicated to the
Contractor who shall be present at the site and shall sign the
results of the measurements recorded in the official
measurements book as an acknowledgement of his acceptance
of the accuracy of the measurements.

 Failing the Contractor's attendance, the work may be

measured up in his absence and such measurements shall,
notwithstanding such absence, be binding upon the Contractor
whether or not he shall have signed the measurement books
provided always that any objection made by him to
measurement shall be duly investigated and considered.
115
Measurement of Works: (Clause 45)
Clause:45(i)
a) It shall be open to the Contractor to take specific objection to any
recorded measurements or Classification on any ground within 7
days of the date of such measurements.

Any re-measurement taken by the Engineer or the Engineer's

representative in the presence of the Contractor or in his
absence after due notice has been given to him in consequence
of objection shall be final and binding on the Contractor and no
claim whatsoever shall thereafter be entertained regarding the
accuracy and classification of the measurements.

a) If an objection raised by the Contractor is found by the Engineer

to be incorrect the Contractor shall be liable to pay the actual
expenses incurred in measurements. 116
On Account Payment Not Prejudicial to Final
settelment: (Clause 46.(3))
"On-Account" payments made to the Contractor shall be
without prejudice to the final making up of the accounts
(except where measurements are specifically noted in
the Measurement Book as "Final Measurements" and as
such have been signed by the Contractor) and
shall not be considered as evidence of any particular
quantity of work having been executed nor of the manner
of its execution being satisfactory.

117
Maintenance of works: (Clause 47)

The Contractor shall at all times during the progress and

continuance of the works and also for the period of maintenance
specified in the Tender Form after the date of passing of the
certificate of completion by the Engineer or any other earlier date
subsequent to the completion of the works that may be fixed by
the Engineer be responsible for and effectively maintain and
uphold in good substantial, sound and perfect condition all and
every part of the works and shall make good from time to time

118
Certificate of Completion of Works: (Clause 48(1))
 As soon as, the work has been completed and has satisfactorily
passed any final test or tests that may be prescribed, the
Engineer shall issue a certificate of completion duly indicating
the date of completion.
 Period of maintenance of the work shall commence from the
date of completion mentioned in such certificate.
 Completion certificate may also issued to any part of the work,
which has been both completed to the satisfaction of the
Engineer and occupied or used by the Railway and the period of
maintenance of such part shall commence from the date of
completion mentioned in the completion certificate issued for
that part of the work.

119
Contractor Not Absolved By Completion Certificate:
(Clause 48(2))

 The Certificate of Completion shall not absolve the Contractor

from his liability to make good any defects imperfections,
shrinkages or faults which may appear during the period of
maintenance.
 These defects shall be made good by the Contractor at his
own cost.
 in case of default on the part of Contractor, the Engineer may
employ labour and materials or appoint another Contractor to
amend and make good such defects, imperfections, shrinkages
and faults and all expenses consequent thereon and incidental
thereto shall be borne by the Contractor and shall be
recoverable from any moneys due to him under the contract.
120
Final Supplementary Agreement : (Clause 48(3))

 After the work is completed or otherwise concluded

with mutual consent and taken over by Railway and
 there is unequivocal no claim on either side under the
Contract other than as mentioned in item 4 of Annexure
XIV,
 the parties shall execute the Final Supplementary
Agreement as per Annexure XIV.

121
 Final Supplementary Agreement : (Clause 48(3))
ANNEXURE – XIV
FINAL SUPPLEMENTARY AGREEMENT

Articles of agreement made this day in the year between the President of India, acting through the
Railway Administration having his office at herein after called the Railway of the one part and of the
second part. Whereas the party hereto of the second part executed an agreement with the party hereto of the first part being agreement
Number
dated for the performance herein after called the ‘Principal agreement’.
……………………………………………………………………………………………………………………………………………………
4. …………………….
It is further agreed by and between the parties that the party hereto of the second part has
accepted the said sums mentioned above in full and final satisfaction of all its dues and claims under the
said Principal Agreement. (Applicable in case Final Supplementary Agreement is signed after release of
Final Payment) or

………… the parties in the consideration of sums already paid through various On Account Bills
and sums to be paid through Final Bill duly adjusted as per price variation clause (PVC), if applicable,
based on accepted final measurements including the security deposit by the party hereto of the first part
to the party hereto of the second part against all outstanding dues and claims for all works done under
the aforesaid principal agreement, the party hereto of the second part have no further dues of claims
against the party hereto of the first part under the said Principal Agreement.
(Applicable in case Final Supplementary Agreement is signed before release of Final Payment)

5. It is further agreed and understood by and between the parties that the arbitration clause
contained in the said principal agreement shall cease to have any effect and/or shall be deemed to be
non- existent for all purposes.
122
Signature of the Contractor/s for and on behalf of the President of India
Approval only by Maintenance certificate: (Clause 49)

No certificate other than maintenance certificate, if

applicable, shall be deemed to constitute approval of
any work or shall be taken as an admission of the due
performance of the contract or any part thereof or of the
accuracy of any claim or demand made by the
Contractor

123
Maintenance certificate: (Clause 50.(1))
 The Contract shall not be considered as completed until
a Maintenance Certificate, if applicable, shall have
been
signed by the Engineer stating that the works have been
completed and maintained to his satisfaction.
 The maintenance Certificate shall be given by the Engineer upon
the expiration of the period of maintenance or as soon thereafter
as any defects /faults have been made good under Clause (48-2) to
the satisfaction of the Engineer.
 The Competent Authority to issue Maintenance Certificate shall
normally be the authority who is competent to sign the contract,
but not lower than of the rank of JAG
 The certificate should mention that all the contractual obligations
have been fulfilled by the Contractor and that there is no due from
the Contractor to Railways against the contract concerned.
124
C essation of Railway ‘s Laibility : (Clause 50.(2))
The Railway shall not be liable to the Contractor for any matter
arising out of or in connection with the contract of the execution
of the works unless the Contractor shall have made a claim in
writing in respect thereof before the issue of the Maintenance
Certificate under this clause.

Unfulfilled Obligation : (Clause 50.(3))

Railway shall remain liable for the fulfillment of any obligation
incurred under the provision of the contract prior to the issue of
the Maintenance Certificate
the contract shall be deemed to remain in force even though
maintenance certificate has been issued.
125
Final Payment: (Clause 51(1))
 On the Engineer's certificate of completion, adjustment shall be
made and the balance of account shall be paid to the Contractor
subject to
 Contractor enclosing either a full account in detail of all claims he
may have on the Railway in respect of the works or having
delivered No Claim Certificate
 and the Engineer having after the receipt of such account given
a certificate in writing that such claims are not covered under
excepted matter i.e. Clauses 8, 18, 22(5), 39, 43(2), 45(a), 55, 55-
A(5), 57, 57A, 61(1), 61(2) and 62(1) to (xiii)(B) of GCC or in any
Clause (stated as excepted matter) of the Special Conditions of the
Contract, …………….

126
 Measurement of Works by Contractors
RB’ Lt No. 2016/CE-I/CT/14/ Measurement/3 dt 21/09/2017
With the Amendments
in Para 1316 of Engg. Code by introduction of new
para 1316A (advance correction slip no 50) and in GCC-
2014

System introduce with stipulations

• Allowed in works tender having value > Rs 20 crore.
• 3 contracts of construction organization on each
zonal railway, to be decided by CAO(C)
• Provisions to be incorporated in tender document.
• Measurement shall be test checked by Rly within 45 days
of submission of measurement. 127
Measurement of Works by Contractors
( Ref- Rly Bd lt no. 2017/Trans/01/Policy dt 08.02.2018)
It has been decided to extend the scope.

Allowed in works tender having value > Rs 5 crore,

with Approval of DRM/PHOD/CHOD without finance
concurrence.

128
Measurement of Works: (Clause 45)
RB’ Lt No. 2016/CE-I/CT/14/ Measurement/2 dt 21/09/2017
Clause:45(ii)- Measurement or works by contractor’s Authorized
Representative (In case the contract provided for the same).

 The date and time on which ‘on account’ or ‘final’

measurements are to be made shall be communicated to the
Engineer.
 The date and time of test checks shall be communicated to the
contractor who shall be present at the site and shall witness the
test checks, failing the contractor’s attendance the test checks
may be conducted in his absence and such test checks shall be
binding upon contractor provided always that any objection
made by contractor to test check shall be duly investigated and
considered
129
Measurement of Works: (Clause 45)
RB’ Lt No. 2016/CE-I/CT/14/ Measurement/2 dt 21/09/2017
Clause:45(ii)(a)
(i) It shall be open to the contractor to take specific objection to test
checks of any recorded measurement within 7 days of date of
such test checks. Any re-test check done by the concerned
Railway’s authority in the presence of the Contractor or in his
absence after due notice given to him in consequent of objection
made by the Contractor shall be final and binding on the
contractor and no claim whatsoever shall thereafter be
entertained regarding the accuracy and classification the
measurements. of
(ii) If an objection raised by the Contractor is found by the Engineer
to be incorrect the Contractor shall be liable to pay the actual
expenses incurred in measurement.
130
Measurement of Works: (Clause 45)
RB’ Lt No. 2016/CE-I/CT/14/ Measurement/2 dt 21/09/2017
Clause:45(ii)(b)- Incorrect measurement, action to be taken:-
it is detected that agency has claimed by false measurement for the
works which have not been executed; amounting to variation of 5%
or more of claimed gross bill amount, then:
 On first occasion of noticing exaggerated/ false measurement,
Engineer shall recover LD of 10% of claimed gross bill value.

 On any next occasion of noticing any exaggerated/false

measurement railway shall recover LD of 15% of claimed gross bill
value. In addition the facility of recording of measurements by
contractor as well as release of provisional payment shall be
withdrawn. Once withdrawn, measurement shall be done by
Railway as per clause 45(i) above. 131
 Measurement of Works by Contractor and
Provisional Payment (Engg. Code CS 50 dt
21/09/2017)
 Contractor’s MB: shall be arranged by Railway.
 Movement and upkeep of Contractor’s MB:
 Dy.CE in charge of work shall handover required no. of CMBs
to AEN/XENs for further issuance to contractor.
 CMB shall be registered in ‘Resister of MBs’
maintained in
Dy.CE’s office. Separate accountal of CMBs for
each agreement to be maintained.
 In case of change of ‘Contractor’s authorized engineer’ freash
approval to be taken.
 While issuingCMB, AEN/XEN to take
acknowledgement on sheet no. 2A to 4A of CMB and keep
in safe custody.
132
 Similar system to be followed for issuing Field
 Measurement of Works by Contractor and
Provisional Payment (Engg. Code CS 50 dt
21/09/2017)
 Processing Bill:
 Contractor shall take out used pages of CMB with one extra
blank page for processing bill, staple them for submission to
AEN/XEN along with bill, Keep photocopy with him.
 At the time of Final bill, submit all remaining CMBs.
 In case contractor requires provisional payment of on-a/c bill,
he shall submit provisional on account certificate for 75% of
amount of work done. He shall write ‘For Provisional
Payment’ on top of certificate.

133
PVC Clause
GCC Clause 46A

134
 Applicability - Price Variation Clause(PVC)
Ref: RB Letter No. 2017/Trans/01/Policy dt 08.02.2017
(Indian Railways –Transformation Cell)

• PVC clause shall be applicable only for contract value

• (Contract Agreement value) Rs. 5 crore and more
irrespective of the completion period.

• Variation in quantities shall not be taken into account for applicability of

PVC in the contract.
• Thus variation in quantities after signing of the Contract Agreement is not
relevant for deciding whether PVC is applicable to the contract or not.

Letter no. 2013/CE-I/Ct/O/10/PVC/pt-I dt 27.01.15

• PVC shall not be applicable to AMC or Zonal Contract.
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 Clause 46(A)- Price Variation Clause(PVC)

1- Applicability :
• Applicable only in those Contracts where tender conditions
specifically permits it.
• Irrespective of contract completion period.
• Excluding materials supplied free of cost/ fixed rate by Railway.
• Specific payment made to consultant.
• Excluding any extra NS item(s) included in subsequent variation
falling outside the purview of the Schedule of Items of tender
shall fall outside purview of PVC.

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2: Base Month – Month 28 days prior to opening of tender
including extensions, if any, unless otherwise stated elsewhere.
 The quarter for applicability of PVC shall commence from the
month following Base Month.
 PVC shall be based on the average Price Index of the quarter
under consideration.
3: Validity – Rates accepted shall hold good till completion of
work and no additional individual claim shall be admissible
except:
 Payment/recovery for increase/decrease in GST on works
contract or imposition/removal of any tax/cess on Works
Contract as per Clause 37,
 Payment/recovery for overall market situation as per Price
Variation Clause.
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 Clause 46(A) -Price Variation clause(PVC)

Date of Opening Base Month Quarter Commences from

27th July June July

30th July July August

46A.2 : The quarter for applicability of PVC shall commence

from the month following Base month.

The Price Variation shall be based on the average Price

Index of the quarter under consideration.

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 Clause 46(A.10) -Price Variation Clause(PVC)
PVC during Extended Period:
• Increase or decrease shall be applicable up to the stipulated date
of completion including the extended period of completion
(granted under clause 17-A).
• When extension of time is under Clause 17-B of GCC, price
adjustment shall be as follows:
 Increase in indices above the indices applicable to the last
month of original completion period or the extended period
under Clause 17-A – escalation payable as per the indices
applicable to the last month of the original completion period or
extended period under Clause 17-A.
 Decrease in indices below the indices applicable to the last
month of original completion period or the extended period
under Clause 17-A – escalation payable as per lower value of
indices.
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 Clause 46(A)-Price Variation Clause(PVC)

46A - 4 & 5.
• Components - Material, Labour, Fuel, Explosives,
Detonators, Steel, Cement.
• No price variation for fixed components.

46A- 6. % of these component in various type of

engineering work is given. ( Table )

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 Clause 46(A.6)-Price Variation Clause(PVC)
Component E/W & Minor Bridges Tunneling Major Building P-Way Other
Contracts, Ballast Contracts and Imp Contracts linking Works
Supply Contracts, (with Bridges (Manua Contracts
Tunneling Contracts explosives) l)
(without explosive)
Labour
Component 20 20 20 40 50 20
Other Material
Components 10 15 30 35 5 20
Plant Machinery
& Spares 30 15 20 5 15 30
Fuel &
Lubricants
Component
25 15 15 5 15 15
Fixed
Component* 15 15 15 15 15 15
Detonators &
Explosive
Component
- 20 - - - -

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 Clause 46(A.7)-Price Variation Clause(PVC)
L = W x (LQ – LB) x LC
LB 100
‘W’ for any quarter = Gross value of work done by contractor as
per on-account bill(s) - cost of materials supplied by Railway at
fixed price - the price values of cement and steel - specific
payment, if any, to be made to the consultants engaged by
contractors
LB - Consumer Price Index for Industrial Workers - All India : Published in
R.B.I. Bulletin for the base period
LQ- CPI for Industrial Workers - All India : the average price index of the 3
months of the quarter under consideration
LC – Component of Labour for that type of Work

S = SW x (SQ – SB)/ SB C = CV x (CQ – CB) / CB

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 Clause 46(A.7)-Price Variation Clause(PVC)
(Labour) L= W x (LQ – LB) x LC
LB 100

(Material ) M = W x (MQ – MB) x MC

MB 100

( Fuel ) F= W x (FQ – FB) x FC

FB 100

( Explosive )E = W x (EQ – EB) x EC

EB 100

(Plant & M/c ) PM = W x (PMQ – PMB) x PMC

PMB 100

( Steel ) S = SW x (SQ – SB)/ SB

( Cement ) C = CV x (CQ – CB) / CB 143

 Clause 46(A.7) -Price Variation Clause(PVC):

• W for any quarter =Gross value of work done by

contractor as per on-account bill(s) - cost of
materials supplied by Railway at fixed price - the price
values of cement and steel.

• W = Gross Value – Cement – Steel – Mrly – Conslt.

• This will also exclude specific payment, if any, to be made to

the consultants engaged by contractors (such payment shall
be indicated in the contractor’s offer)

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 Clause 46(A.7) -Price Variation clause(PVC)
LB - Consumer Price Index for Industrial Workers - All India : Published in R.B.I.
Bulletin for the base period
LQ- CPI for Industrial Workers - All India : the average price index of the 3
months of the quarter under consideration
MB- Wholesale Price Index: All commodities – as published in the R.B.I.
Bulletin for the base period
MQ- WPI : All commodities –the average price index of the 3 months of the
quarter under consideration
FB- Wholesale Price Index for the group Fuel & Power as published in the
R.B.I. Bulletin for the base period
EB- Index number of Monthly Whole Sale Price Index for the category
‘Explosive’ of (g).Manufacture of other chemical products under (J).
MANUFACTURE OF CHEMICALS AND CHEMICAL PRODUCTS, published by
Office of Economic Adviser, Govt. of India, Ministry of Commerce &
Industry, Department of Industrial Policy & Promotion (DIPP), for the base
period
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 Clause 46(A.7) -Price Variation Clause(PVC)
PMB- Index number of Monthly Whole Sale Price Index for the category
‘k. Manufacture of machinery for mining, quarrying and construction’
under (R) MANUFACTURE OF MACHINERY AND EQUIPMENT, published
by Office of Economic Adviser, Govt. of India, Ministry of Commerce &
Industry, Department of Industrial Policy & Promotion (DIPP), for the
base period.
SW - Gross value of steel supplied by the Contractor as per the ‘on-account’
bill for the month under consideration
SB - Index number of Monthly Whole Sale Price Index for the relevant
category of mild steel item as mentioned in Clause 46A.9, published by
Office of Economic Adviser, Govt. of India
CV - Value of Cement supplied by Contractor as per on account bill in the
quarter under consideration
CB - Index No. of Wholesale Price Index of sub-group Cement, Lime & Plaster
as published in RBI Bulletin for the base period

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 Clause 46(A.9) -Price Variation Clause(PVC)
• Categories of Steel for the purpose of PVC
S Category Of Steel Supplied In Category Of Steel Item mentioned by the
L Railway Work office of Economic Advisor to Govt. of India,
Ministry of Commerce & DIPP
1 Reinforcement bars and other “MS Bright Bars” individual commodity of
rounds group item (d) Mild Steel-Long Products under
(N) Manufacture of Basic Metal.
2 All types and sizes of angles, “Angles, Channels, Sections, Steel” individual
channels and joists commodity of group item (d) Mild Steel-Long
Products under (N) Manufacture of Basic
Metal.
3 All types and sizes of plates “e. Mild Steel- Flat Products of (N)
Manufacture of Basic Metal.
4 Any other section of steel not Average price for the 3 categories covered
covered in the above categories under SL 1, 2 & 3 above.
and excluding HTS

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 Clause 46(A.10) -Sample Calculation of PVC
140
17(A) 17(B) 17(A)
BM Q1-Avg Q2-Avg LM M1 M2 M3 Q3 -AVG Q4-AVG
110 129 100 112 118 112 107 107 105 105 108 115
130

120

110
17(A) Q1-Avg; 129

17(A) Q2-Avg; 100

100

17(B) Q3 -AVG;

17(A) Q4-AVG;
17(A) BM; 110

17(B) M2; 107

17(B) M3; 105

17(B) M1; 118
17(A) LM; 112

17(B); 112

17(B); 107

17(B); 105

108

115
90

80
BM Q1-Avg Q2-Avg LM M1 M2 M3 Q3 - Q4-
AVG AVG
17(A) 17(B) 17(A)
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Calculate :

W = Value of work done – Value of Cement &

Steel

Value of Cement Cv = calculate cement from

items

Value of Steel Sw = Gross value of Steel

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Website : eaindustry.nic.in - Office of The Economic Adviser

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CPI & WPI
Website : bulletin.rbi.org.in Item No. 19 & 21

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Website : rbi.org.in WPI & CPI

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153
Consumer Price Index for Industrial Workers

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Reinforcement Bars – Mild Steel – Long Products :
WPI - Item No. 21/1.3/14.4

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Cement : Cement, Lime & Plaster : WPI - Item No.
21/1.3/13.5

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Website : https://eaindustry.nic.in/ WPI

https://eaindustry.nic.in

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Thank you

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