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Sunday, March 13, 2011

CONSTRUCTION INDUSTRY

The Planning Commission, Government of India a jointly with the Indian construction industry has set up Construction Industry Development Council (CIDC) to take up activities for the development of the Indian construction industry.

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The Council, for the first time in the country, provides the impetus and the organisational infrastructure to raise quality levels across the industry. This helps to secure wider appreciation of the interests of construction business by the government, industry and peer groups in society.

CIDC is a change agent to accelerate a process of self-reform that should enable the industry to answer the challenges of the future.

Clarity of purpose and intent forms CIDC's mandate. Since its inception in 1996, the Council has taken several initiatives for the development of the industry. Few are given below:
  • Advice the Government on policy formulation related to construction industry.
  • Standardization of construction contracts and procedures.
  • Training manpower at skilled worker level and construction management level.
  • Grading of construction entities
  • Devise mechanisms for workers' welfare.
  • Create an environment that ensures equality of opportunity for all Indian contractors.
  • Help evolve policies for financing.
  • Help the industry move from the current state of rule-bound, lowest-price-based contracting to a more quality-conscious, time-bound & technology-driven one.
  • Dispute Resolution in Construction Contracts.
  • Establishing construction equipment bank.
  • Interaction and networking with international organisations to promote emerging technologies and best practices.
Standardizing Contract Conditions for Domestic Bidding Documents:
  • Considering the long felt need for a review of contract clauses incorporated by Government agencies in their prescribed Standard Bidding Documents for construction works, the Chairman, CIDC set up a Committee in July 1996 for standardisation and rationalisation of contract documents for domestic bidding. The committee, chaired by Shri Harish Chandra, former DG, CPWD, and Member UPSC, with senior level representation from the Ministry of Finance, all major construction departments of the Government, important PSUs and an equal number of private sector agencies, deliberated and reached a consensus and laid down 12 Core Clauses for bidding documents. Further, based on these core clauses, a model contract document was prepared and termed as “Standard General Conditions for Domestic Contracts”.
  • The Ministry of Statistics & Programme Implementation, Govt. of India, has approved the documents and has recommended that it should be used as a model guideline for preparing and awarding contracts for civil engineering works all over the country.

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