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Presentation On Output and Performance Based Road Contracts (OPRC)

Presentation On Output and Performance Based Road Contracts (OPRC). MR&D, RRMAIDP, LGED-DANIDA. Presentation Outline. About OPRC Brief History of OPRC Why OPRC? Typical Performance Standards Road Selection Steps towards the success of OPRC Tendering & Supervision. OPRC.

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Presentation On Output and Performance Based Road Contracts (OPRC)

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  1. Presentation On Output and Performance Based Road Contracts (OPRC) MR&D, RRMAIDP, LGED-DANIDA

  2. Presentation Outline • About OPRC • Brief History of OPRC • Why OPRC? • Typical Performance Standards • Road Selection • Steps towards the success of OPRC • Tendering & Supervision

  3. OPRC Output and Performance Based Road Contract (OPRC) is a new method of contracting, covering an array of activities needed to achieve and maintain certain road conditions, including RoadManagement & Maintenance

  4. OPRC Output and Performance Based Road Contract (OPRC) starts with initial Repair works followed by a Management & Maintenance period. It also deals with emergencies.

  5. OPRC 1) Initial Repair Works may include activities like spot repairs, reconstruction of minor structures, overlays, seal coating etc; 2) Emergency Works to repair the Road after damage has occurred as a result of natural phenomena with imponderable consequences within the contract period (such as strong storms, flooding and earthquakes, etc).

  6. OPRC Management & Maintenance Period Contractors are not paid directly for “inputs” or physical works (which they will undoubtedly have to carry out), but for maintaining specified Service Levels (Road Conditions).

  7. OPRC Management & Maintenance A monthly lump-sum remuneration paid to the Contractor will cover all physical and non-physical maintenance services provided by the Contractor, except for unforeseen emergency works which are remunerated separately.

  8. OPRC Management & Maintenance Physical works needed to maintain road conditions will fluctuate. Lumpsum payment is linked to road conditions not to physical works. Payment reduction if road conditions are not maintained. Contractor responsible for planning, design & implementation of maintenance works including road condition monitoring. Road conditions mainly defined to road users’ perspective (travel speed, safety, comfort etc.)

  9. OPRC The Repair and Emergency Works will be paid on basis of measurement, as par traditional LGED contract arrangements.

  10. OPRC financial offer • the Maintenance Services: Sum of monthly lump-sum payment • the Repair Works: A Sum, linked to quantities of measurable outputs. Payments will be made in accordance with the progress in the execution of those measured outputs; • Emergency Works in the form of a traditional bill of quantities. A Sum on the basis of the estimated quantities and on the quoted unit prices.

  11. OPRC The contractor shall recover a portion (about 40%) of the initial Repair works through the monthly Road Maintenance & Management Charges.

  12. Cost Savings in different countries • Norway: 20-40% • Sweden:+/-30% • Finland:30-35% • Netherlands:30-40% • UK :10% Minimum • Newzealand:20-30% • USA :10-15% • British Colubbia,Canada:+/-10%

  13. Objectives • Road Agency: • Safe and smooth roads. • Stable and Reduced Expenditures. • Road Users: • Acceptable level of service. • Safety, Comfort, all weather access and Speed. • Contractor • Acceptable profit

  14. Objectives “ To provide road access at desired road conditions (service levels) in the most cost effective manner for the present and future owners and users of the road network.”

  15. Steps towards the Success of OPRC • Training/Workshops. • Technical studies. • Prequalification of Contractors. • Facilitation during Pilot Contracts.

  16. Bidding Process • Restricted tender • Prequalification & Screening • Attendance of training • Qualifications of personnel • Technical Proposal • Selection Financial Proposal

  17. Thank you For Your Attention

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