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Construction Development Board

Allowable Range of Contract Cost

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Posted on 1st June, 2009

MoW&HS/CDB-3/03-04/                                                                               June 10, 2004

Notification

This is to remind all the procurement agencies that the 'Allowable Range of Contract Cost' against the 'Classification of Contractors' as stipulated in CDB Manual 2001, Revision 3 (reproduced below) must be complied with while advertising works (NIT).  This is to avoid complications that generally arise between the procuring agencies and the contractors.  Further, procuring agencies are urged to authenticate the CDB certificate copy submitted with tender with the original certificate during the evaluation process.

Classification of Contractors

Allowable Range of Contract Costs

1.Petty                                

a) Petty Contractor is eligible to bid for any category of works up to Nu.1.00 million.

b) Petty Contractor is allowed to undertake only one contract at a time subject to maximum of Nu 1.00 million.

2. Small (Class " C" )

a) Class "C" Contractor is permitted to bid for the Class of Works he is qualified for an individual contract of estimated value above Nu. 1.00 million up to Nu. 5.00 million

b) The Contractor may be allowed to undertake not more than three different contracts at a time subject to the maximum amount of Nu.10.00 million on verification of his/her financial capacity and technical capabilities.

3. Medium (Class "B" )

a) Class "B" Contractor is permitted to bid for Class of Works he is qualified for an individual contract of estimated value above Nu.5.00 million up to Nu. 10.00million.

b) The Contractor may be allowed to undertake not more than three different contracts at a time subject to the maximum amount of Nu.20.00 million on verification of his/her financial capacity and technical capabilities.

4. Large ( Class "A" )

a) Class "A" Contractor is permitted to bid for Class of Works he is qualified for an individual contract of estimated value above Nu.10.00 to 15.00 million with no upper ceiling. 

b) The Contractor may be allowed to undertake any number of contracts at a time