Engineering Practice and Quantities

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The key takeaways are that the monograph discusses engineering practice, quantities, professionalism, ethics, contracts, tender procedure, public procurement, and bill of engineering measurement and evaluation.

The purpose of the monograph is to provide students with background knowledge on professional ethics, preparation of bills of engineering measurement and evaluation, and procurement of goods and services as it relates to their role as engineers.

The monograph discusses past projects of the University of Ilorin including a staff quarters, steel elevated water tank, embankment dam, water treatment plant, and road network.

Engineering

Practice and
Quantities
A monograph on basic engineering practice and quantities

Olayinka Okeola, Ph.D.


Department of Water Resources & Environmental Engineering
Faculty of Engineering & Technology
University of Ilorin
Ilorin. Nigeria
www.unilorin.edu.ng

Course: WEE/CVE 485 – Engineering Practice and Quantities

(2 Credit/Compulsory)

Lecturer: Olayinka Okeola

Ph.D. (Ilorin), MNSE, MASCE, MIWA, MAISC, R. Eng.

Email: [email protected], [email protected]

Office Location: Block 8, G28, University of Ilorin. Ilorin

Consultation Hours: 3pm – 5pm. (Mondays and Thursdays)

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[Engineering Practice and Quantities] [Department of Water Resources & Environmental Engineering] [Olayinka Okeola]
Table of Contents

Chapter Title Page

1. Professionalism and Engineering Ethics. 4


2. Engineering Contracts 12
3. Tender Procedure 21
4. Public Procurement 25
5. Bill of Engineering Measurement and Evaluation (BEME) 28

PREFACE

Engineering Practice and Quantities


The monograph essentially designed to abreast the students on extant Laws and the obligations reposed
on engineers during practice. It is also to introduce students to public procurement reform in Nigeria as it
concerns the profession. The professionalism and ethical issues within the profession are explored with
several illustration drawn from around the globe of the practice. A professional engineer practice within
the threshold of procurement of goods and services.

The students therefore need basic background knowledge and exposure on professional ethics; as well as
preparation of BEME to function credibly in the planning and implementation of procurement of goods and
services as a contractor, a consultant, or a public civil servant. The monograph in this first revision include
projects illustration that required combinational input of Civil, Water Resources, Mechanical and Electrical
Engineering expertise at the design and execution stages. They also contributed to the project BEME.

Interactive sessions form part of the course delivery to ensure students participation, inquisitiveness and
understanding. The University of Ilorin past projects that are in operation are adopted for academic
discourse on all the focuses of the Monograph. They included GRA Staff quarters Steel Elevated Water tank,
Embankment dam with concrete spillway, Water Treatment Plant and Road network. The students are
urged to refer to listed books and government establishment homepage in the monograph for more
insights. Suggestions and corrections are welcomed for improvement of the monograph.

Acknowledgement
Messrs.’ Alim & Associates Ltd and Ibironke Technologies Ltd for permission to use their M & E bill of
engineering measurement and evaluation for three past projects. Ridwan Busari, a final year student in the
department of Mechanical Engineering, prepared the diagrams in chapter four and photographs in the
chapter PowerPoints

February 2012
January 2017
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[Engineering Practice and Quantities] [Department of Water Resources & Environmental Engineering] [Olayinka Okeola]
CHAPTER ONE

PROFESSIONALISM AND ENGINEERING ETHICS.

1.1 INTRODUCTION
All jobs that require higher standards of conduct are commonly referred to as professions in contract with
simple jobs or trades such as supermarket sales girl, bar or filling station attendants , bus conductors or
even slightly complicated trades. With the risk of trivializing all other non-professions, the society expects
more care and protection from the people that imparts in their live and safety. This is where professional
ethics come in. In addition to their personal integrity professional ethics also requires professionals to go
beyond red tape of duty. Professional work can be more ethically demanding than the rest of their life. The
principal characteristics that make a profession special and unique from jobs or trades are as follows:

1 Professions require significant amount of training.


2 The training requires some significant of intellectual component.
3 Professional work provides an important service to the society.
4 Professionals have a great deal of latitude to exercise their skills to protect the public.
5 Most often a profession fosters the networking of large groups of other professionals in the field and
thus led to creation of professional societies such as the Nigerian Society of Engineers and Nigerian
Bar Association. It these societies that are charged fashioning the professions code of ethics and
credentialing newcomers to the field.

It is instructive to note that for the good of society all works are very important. However the professions
place in the society is such that it can cause more harm than average job or profession. It is due to this
society vulnerability that the society will just not function safely without the professionals acting ethically.
All professional practices are regulated by law. However, the general law cannot encapsulate the
peculiarities of individual professions. Professionals are therefore their own policeman and watchdog and
hold their members for any shortcoming in the corridor of unethical behavior.

1.2 ETHICAL THEORIES


There are five main ethical theories identified applicable to professions. They are (1) Virtue Ethics (2)
Utilitarian Ethics (3) the Ethic of principle (4) Contract theory and (5) Common sense. The virtue ethics
emphasize the fact that character, whether good or bad defines a person. Utilitarian Ethics focuses on the
consequences of a person’s actions. The ethics principle separate human beings from all other animals’
kingdoms. It is important to note that principle is not synonymous with rules. Rules are a set of guidance
imposed by external authorities while principles are law that is applied to oneself or that is personally
embraced. The contract theory put ethics on actual agreement between human beings. The theory focus
on the contracts people formulate if they were thinking rationally. The common sense is simply mean do
onto other what you will want them to do for you. It mainly appeals to common sense.

1.3 CONCEPT OF ETHICS


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There are many different concepts of ethics. But primarily ethic is about good behavior. Engineering ethics
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is the discipline or study of the moral issues arising in and surrounding engineering. It is the field of applied
[Engineering Practice and Quantities] [Department of Water Resources & Environmental Engineering] [Olayinka Okeola]
ethics which examines and sets standards for engineers’ obligation to the public, their clients, employers
and the professions. Engineering does not have a single uniform system or standard of ethical conduct
across the entire profession.

A fundamental mechanism for ensuring professionalism is a code of ethics. A professional code of ethic is a
statement of principles by which the practitioner may calibrate his or her personal attitude and conduct.
Codes are framework upon which profession are built. They are written to guide behavior. Generally, the
first duty recognized by Professional and Chartered engineers is to the safety of the public. The codes of
engineering ethics serve many objectives and functions, some of which are as follow:

1. Inspiration and guidance to members


2. Offer advice in case of moral dilemma and other conflicts of interest.
3. Defend the integrity of the profession and protect the professional’s standards.
4. Inform the prospective clients and employers the standard of service expected of the members of
the profession
5. Encourage members to update knowledge and skills and participate in professional society
activities
6. Alert and remind the professional of the moral aspects of their job in which they may have
overlooked
7. Enhance the profession’s public image

1.4 CODES AS EXEMPLIFED IN SELECTED COUNTRIES


Codes of engineering ethics identify a specific precedence with respect to the engineer's consideration for
the public, clients, employers, and the profession.

1.4.1 Nigeria
The CODE OF ENGINEERING CONDUCT: Every member is expected in his general conduct to uphold and
enhance the honour and dignity of the Engineering profession and the reputation of the NIGERIAN
SOCIETY OF ENGINEERS (NSE) and to act always in the public interest.

It shall be considered unprofessional and inconsistent with honourable and dignified conduct and
contrary to the public interest for any member of the Nigerian Society of Engineers include:-

1 To exert undue influence or to offer, solicit or accept compensation for the purpose of affecting
negotiations for an engineering engagement.
2. To use the advantages of a salaried position to compete unfairly with other Engineers.
3. To accept remuneration for services rendered other than from his clients or his employer.
4. To attempt to supplant another Engineer in a particular engagement after definite steps have been
taken towards his employment.
5. To review the work of another Engineer for the same client except with the knowledge of such
Engineer, unless such Engineer’s engagement on the work which is subject to review has been
terminated.
6. To attempt to injure, falsely or maliciously, the professional reputation, business, or employment
position of another Engineer.

1.4.2. USA
The American Society of Civil Engineers (ASCE) has seven "Fundamental Canons”:
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[Engineering Practice and Quantities] [Department of Water Resources & Environmental Engineering] [Olayinka Okeola]
1. Engineers shall hold paramount the safety, health and welfare of the public and shall strive to
comply with the principles of sustainable development in the performance of their professional
duties.
2. Engineers shall perform services only in areas of their competence.
3. Engineers shall issue public statements only in an objective and truthful manner.
4. Engineers shall act in professional matters for each employer or client as faithful agents or trustees,
and shall avoid conflicts of interest.
5. Engineers shall build their professional reputation on the merit of their services and shall not
compete unfairly with others.
6. Engineers shall act in such a manner as to uphold and enhance the honor, integrity, and dignity of
the engineering profession and shall act with zero-tolerance for bribery, fraud, and corruption.
7. Engineers shall continue their professional development throughout their careers, and shall provide
opportunities for the professional development of those engineers under their supervision."

1.4.3 United Kingdom


The Institution of Civil Engineers (ICE) in the UK has a code of ethics incorporated into its standards of
conduct. The ICE's "Code of Professional Conduct" identifies similar ethical values as the ASCE's thus places
the good of the public as the highest ethic:

"Members of the ICE should always be aware of their overriding responsibility to the public good. A
member’s obligations to the client can never override this, and members of the ICE should not enter
undertakings which compromise this responsibility. The ‘public good’ encompasses care and respect for the
environment, and for humanity’s cultural, historical and archaeological heritage, as well as the primary
responsibility members have to protect the health and well being of present and future generations."

1.4.4 Canada
The Canadian Societies of Professional Engineers accorded codes of ethics a paramount importance.
Canadian engineering codes of ethics place the public good above all other concerns: Professional Engineers
Ontario (PEO): "A practitioner shall, regard the practitioner's duty to public welfare as paramount."

L'Ordre des ingénieurs du Québec (OIQ): "In all aspects of his work, the engineer must respect his
obligations towards man and take into account the consequences of the performance of his work on the
environment and on the life, health and property of every person."

1.4.5 Other Professional Societies in USA


Other American professional societies are likewise specific on public safety and professional integrity:

1. National Society of Professional Engineers (NSPE): "Engineers, in the fulfillment of their professional
duties, shall: Hold paramount the safety, health, and welfare of the public."

2. American Society of Mechanical Engineers (ASME): "Engineers shall hold paramount the safety,
health and welfare of the public in the performance of their professional duties."
3. Institute of Electrical and Electronics Engineers (IEEE): "We, the members of the IEEE, … do hereby
commit ourselves to the highest ethical and professional conduct and agree: 1. to accept
responsibility in making decisions consistent with the safety, health and welfare of the public, and
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to disclose promptly factors that might endanger the public or the environment;"

[Engineering Practice and Quantities] [Department of Water Resources & Environmental Engineering] [Olayinka Okeola]
4. American Institute of Chemical Engineers (AIChE): "To achieve these goals, members shall hold
paramount the safety, health and welfare of the public and protect the environment in
performance of their professional duties."

1.5 PROFESSIONAL ENGINEERS


These are referred to as chartered and incorporated engineers in UK, professional engineer (PE) in USA and
registered engineer in Nigeria. Professional engineer have obtained some form of license or registered from
a government agency (or charter granting authority) acting on their behalf. In Nigeria this granting authority
is COREN. As such in Nigeria they are subjected to regulation by COREN. Professional engineer can also
belong to other affliction and societies. For e.g. NSE, ASCE, etc.

1.6 PROFESSIONALISM
Being accorded with the title ‘professional’ is a honor that should not be treated with levity. Engineers are
expected to bring integrity and competence to whatever work they undertake. A professional in any field
of practice is commonly identified by the following characteristics:
A core of basic knowledge and some advanced techniques are mastered before offering service to the
society.

1. Recognition and approval by society as minimally competent to exercise this knowledge in a practical
way.
2. Adherence to a code of ethics published by leading representative organizations.
3. Subjection to a governing body of peers who enforce provisions of an engineer’s practical act.
4. Accept a high level of responsibility for work completed personally or under direct supervision.

1.7 REGULATORY, MONITORING AND ENFORCEMENT OF ENGINEERING PRACTICE


State regulatory agencies such as COREN also govern member of engineering profession by penalizing
action of misconduct, gross negligence, incompetence, unethical behavior, irresponsible delegation of
design responsibility, supervision responsibility, or improper use of professional seal. (See COREN
deregisters erring engineer in Appendix 1). The short title of the Council for the Regulation of Engineering
in Nigeria (COREN) Act is Engineering (Registration, etc.) Act, Cap E11, LFN, 2004.

The Act was first promulgated as Decree No.55 of 1970 (as amended by Decree 27 of 1992, now Engineering
(Registration, etc.) Act Cap E11, LFN 2004. The council was specifically established as a statutory organ of
Federal Government by S.1 of the Act, and is charged with the responsibility to control and regulate the
practice of the engineering profession in all aspects and ramifications in Nigeria. COREN is generally
mandated and empowered by the Act to regulate the practice of engineering by:

1. Determining who is qualified to practice as engineering personnel.


2. Determining what standards of knowledge and skills must be attained by persons seeking to
become registered as engineering personnel at any point in time. This enables the regulations of
training programmes.
3. Establishing acceptable codes of conduct and fundamental principles of ethics and canon.

The Act thus chiefly empowers the council to regulate and control the training and practice of engineering
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in Nigeria. The details of the powers of COREN as it relates to construction industry are contained in
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S.11(3), S.16(1) and S.21(C). S.11(3) states:


[Engineering Practice and Quantities] [Department of Water Resources & Environmental Engineering] [Olayinka Okeola]
“The Council may, from time to time, make regulations controlling the practice of
engineering in the construction industry, including regulations as to the full-time or part-time
use of persons registered with the Council”.

1.8 UNETHICAL BEHAVIOR OF AN ENGINEER


Unethical behavior of an engineer is not necessary the same as negligent behavior, though the two may
be closely related in some situations. Negligence is not commonly associated with technical inability, but
rather with carelessness. There are several other ethical issues that engineers may face. Some have to do
with technical practice, but many others have to do with broader considerations of business conduct.
These include:

1. Relationships with clients, consultants, competitors, and contractors


2. Ensuring legal compliance by clients, client's contractors, and others
3. Conflict of interest
4. Bribery and kickbacks, which also may include:
Gifts, meals, services, and entertainment
5. Treatment of confidential or proprietary information
6. Consideration of the employer’s assets

1.8.1 Gross negligence


Gross negligence is defined as a reckless act of willful disregard for professional responsibility and
determination of such requires experience, technical competence, and specialized knowledge of the
profession and related standards.

1.8.2 Incompetence
Incompetence is the demonstration of a lack of ability to perform functions of the profession, which may
include actual design of structural members or air conditioning services require for a theater etc or a lack
of understanding of basic principles.

1.8.3. Duty of care


The standard of a master’s duty toward his servant is to see that reasonable care is taken. The scope of that
duty extends to the provision of save fellow-servant, safe equipment, save place of work and access to it,
and safe system of work. It is not enough for the master to show that the danger on the premises of work
is known and fully understood by the servant.
They must ensure that workers comply with safety procedures. It would appear that in deciding the liability
and responsibility of parties for safety, it is less a matter of the fact, circumstances, and relationship. Action
of individual will be scrutinized in term of how reasonable and appropriate they are for a given situation1.

This point was considered in Western Nig. Trading Co Ltd V. Busari Ajao (1965) NMLR 178. The company’s
defense that plastic goggles were provided for the wounded worker (the plaintiff) was not enough. The
court held as per this defendant (company):-

“It was the employer duty at common law to ensure that only the goggles were provided but
also that they were used by strict order followed by reasonable supervision”
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[Engineering Practice and Quantities] [Department of Water Resources & Environmental Engineering] [Olayinka Okeola]
Similar examples are found in Strata Construction (Nig) Ltd V. Okpan Ogarekpe (1991) INWLR 733, English
case of clay Vs. crump (1964) and Nigeria railway cooperation V.J.C. Emeahara & son Co. Ltd (1994) 2NWLR
206.

1.8.4 Negligence
On liability in cases of negligence, the court decision will not be simple on causation but also on
responsibility. In sign v. Detroit Edison company [287 NW 2d 292 (1979)] the court gave the following
instruction to the jury concerning negligence and ordinary care1:

“When I used the word negligence with respect to defendant conduct. I mean the failure to
do something which a reasonable person will do under circumstances which you find existed
in this case. It is for you to decide what a reasonable careful person would do or not do in
such circumstances. When I used the word ordinary care, I mean the care that a reasonable
person would use under the circumstances which you find existed in this case. The law does
not say what a reasonably careful person would or would not do under such circumstances.
That is for you to decide”.

Where any party to an action alleges negligence, there are four requirements which must be satisfied for
defendant to be liable in negligence. These are 2:

1. A duty of care on the defendant to the plaintiff


2. Foresee ability that the defendant’s conduct would have inflicted on the plaintiff the kind of
damage in the suit.
3. Proof that the defendant’s conduct was careless
4. Existence of causal connection between the defendant careless and the damages.

1.9 INDEPENDENT CORRUPT PRACTICES AND OTHER RELATED OFFENCES COMMISSION


The Independent Corrupt Practices and other Related Offences Commission (ICPC) was established by S.3
of Corrupt Practices and other Related Offences Act. Some of the offences and penalties listed under part
3 of the Act relating to issue of kick backs and other corrupt practices involving government officials and
contractors which ultimately leads to the issues of breach of sanctity of contract rule and its consequences
include:-

1. Offence of accepting gratification


2. Offences of giving or accepting gratification through Agent
3. Bribery of public officer
4. Using office or position for gratification
5. Bribery for giving assistance, etc. in regards to contracts

1Smith, G.R and Roth, R.D. (1991) Safety programs and the construction manager. Journal of the construction Division, ASCE, Vol.
108, No 4, Pp 617-623.

2
Oribuyaku, T. (2005) Accident prevention practices and procedures on construction sites and regulatory
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laws in Nigeria. Paper presented at 3-day Workshop on Duties and responsibility of supervising engineers
on construction projects. Techgrade Consulting. Ikeja. Nigeria
[Engineering Practice and Quantities] [Department of Water Resources & Environmental Engineering] [Olayinka Okeola]
1.10 ECONOMIC AND FINANCIAL CRIME COMMISSION (EFCC)
The Economic and Financial Crime Commission was established as a body under S.1 of the Economic and
Financial Crimes Commission (Establishment, etc) Act of its functions as it relates to sanctity of contract in
construction industry includes the provisions of S.5(1)(b), S.6(2)(f) and S.15(3) of the Act. S.5(1)(b) is to the
effect that the commission shall be responsible for the investigation of all financial crimes, including:

1. Advance fee fraud,


2. Money laundering,
3. Counterfeiting,
4. Illegal charge transfers,
5. Futures market fraud,
6. Fraudulent encashment of negotiable instrument,
7. Computer credit card fraud,
8 Contract scam, etc.

S.6(2)(f) is to the effect that the commission is charged with the responsibility of enforcing the provisions
of any other law or regulations relating to economic and financial crime, S.15(3) state:

“without prejudice to the provisions of any other enactment, any regulatory agency or body in the financial
sector shall in the exercise of its functions, liaise with the commission to investigate and monitor the
commission of economic and financial crimes”.

Interactive Session:

Professionals walking the line


Conflict of interest
Whistle blowing
Standard of care

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[Engineering Practice and Quantities] [Department of Water Resources & Environmental Engineering] [Olayinka Okeola]
REFERENCES

1. Adams, D. K. (2008) The Structural Engineer’s Professional Training Manual. The McGraw Hill
companies, Inc. USA (2008)
2. Council for the Regulation of Engineering in Nigeria (COREN) (http://www.coren.ng.org)
3. Ethics for Professional Engineers. Engineer Educators, Inc. Tallahassee. USA.
(www.engineereducators.com)
4. Moonasingha, A.D. (2010)Ethics, Engineering and Social Responsibility.
(www. moonasingha.yolasik.com/anand_civil-engineering_ethics.php
5. Gilman, S. C. (2005) Ethics Codes And Codes of Conduct As Tool For Promoting An Ethical And
Professional Public Service: Comparative Successes & Lessons. World Bank. Washington, DC.
6. Nigerian Society of Engineers (http://www.nseng.org)

EXERCISES

1. In a single sentence define the following: (1) Engineering ethics (2) Professional code of ethic
2. List the three common standard contract forms use for construction and design in Nigeria.
3. What is the name of state regulatory body that govern member of the cadres of engineering profession.
4. List five conducts of a professional engineer that can attract the sanction of the state regulatory body.
5. What is the aim of the term “duty of care” and explain with two examples the responsibility of site
engineer in building construction project within the context “duty of care”

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[Engineering Practice and Quantities] [Department of Water Resources & Environmental Engineering] [Olayinka Okeola]
CHAPTER TWO

ENGINEERING CONTRACTS

2.1 DEFINITION OF CONTRACT


A Contract is:
 An agreement which the law will enforce.
 A promise or a set of promises the law will enforce.
However it is instructive to note that not all agreement will be enforced by law. The law of contract pervades
virtually in all spheres of human activity. The legal relations created by law of contracts enable a person to
whom money, goods, services, or some other benefit has been promised to enforce the promise or to
obtain a remedy for its breach. The primary consideration of contract law is therefore to enforce self-
imposed obligations. At the heart of contract thus lie the related ideas of agreement, promise and bargain.
A contract is taken to result from an agreement between the parties to it and agreement itself is seen as
coming about through inter-locking mechanism of an offer from one party, duly accepted by the other; with
of course consideration for offer and acceptance and intention to enter into legal relationship.

Since contract is concerned with obligations, which people incur to other as a result of their relations and
transactions, agreement normally results. This agreement is usually in respect of certain terms stipulated
in the contract by the parties themselves. These terms are express terms that are binding on the parties as
a result of the agreement between them. They will usually comprise of the written or oral promises of the
parties and a signed agreement will provide conclusive evidence of the terms of the agreement. Sanctity of
contract is, therefore, a strict interpretation rule. This fundamental principle is to the effect that contracts,
including those in construction industry, are binding and parties to them intend to create legal relations
and are duty bound to carry-out in good faith, the obligations entered into by the signatories in respect of
them. This principle of good faith in performance of self-imposed obligation is known in legal term as Pacta
Sunt Serranda. It is a sacred doctrine for the preservation of contract.

2.2 SANCTITY OF CONTRACT


Construction industry as a matter of necessity engages in construction contract to remain in business. Any
deviation from the terms of a construction contract, in an attempt to read the agreement, otherwise than
according to its plain meaning will result in a breach of sanctity of contract rules. It is therefore not the
purpose of the law to control the terms on which parties might contract, nor would it give relief if agreed
terms turned out to harsh and unfair to one party (See Prestige Land Company v. Brian Mullins Excavation
Contractors, Inc. Appendix 2). Most contracts in construction industry require some degree of co-operation
and trust, and a modern society cannot exist without an immense degree of co-operative activities. (See
Niger Dams Authority v. Chief Victor Ladipo (1973))

Also, most arrangements in construction contracts cannot be performed instantly and simultaneously.
Often, such arrangements have to be planned in advance. The importance of advance payment for instance
to mobilize the contractor in big construction contract cannot be over-emphasized. Nearly always, one
party has to perform before the other and often the arrangements needs to be carefully agreed in advance
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before any performance at all can take place. In a reasonably stable and orderly society, making such
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advance arrangements generates expectations about the future behaviour of other parties. “In modern

[Engineering Practice and Quantities] [Department of Water Resources & Environmental Engineering] [Olayinka Okeola]
society, we all have reasonable expectations about how others will behave, and we all depend on trust that
others will behave in future as they have said they will behave”.

There are three reasons for sanctity of contract rule (Sadiq, 2008):

1. It protects restitution interest; for it would amount to unjust enrichment for a part to keep the advance
payment for which he has not performed his obligation as promised.
2. It protects reliance interest; where, for instance, a party has incurred expenditure or forbearance in
reliance on an agreement which the other party subsequently repudiates, although the incurred
expenditure has not enriched the defendant, it is nevertheless generally held that the plaintiff should
have a remedy against the defendant, which have been incurred in reliance on the contract.
3. It protects expectation interest, which is generally the characteristic feature of contract law. The
protection of contractual expectation does mitigate such inconveniencies and so tends to promote
stability, this is where there has been no receipt of benefit under the contract and no loss suffered by
action in reliance on it.

2.2.1 Implied terms


An implied term is a provision which the court will assume to be part of a contract even though it has not
been so stated in the contract. Such a missing provision might not have been stated in the contract either
because the parties took it for granted, forgot, or did not contemplate the event possibilities. In such a
situation, it is the duty of the court to imply such term into the contract in order to carry out the presume
intention of the parties. There are broadly three types of implied terms as listed below. Terms implied by
statute shall be discussed:

1. Terms implied by custom or usage of a trade


2. Terms implied by statute
3. Terms implied by courts

2.2.1.1 Terms implied by statute


Some terms are implied by statutes into certain contracts, whether or not they are so stated. These include
certain conditions and warranties in sale of goods under the sale of Goods Law. In construction industry for
example, any condition or warranty, made by the council for the Regulation of Engineering Practice in
Nigeria, pursuant to S.21 (c) of Engineers (Registration, etc) which empowers the council to make
regulations, rules or orders conferred by the Act, including power to make provisions for the control of the
practice of engineering in the construction industry, would be regarded as implied terms by statute.
Statutory intervention often stems from the need for legislature to restore some semblance of balance to
the contractual relationship in question.

However, the implications of terms which may rest upon statute to reinforce the language of the parties
and realize their manifest intention are not certain. It is only an integral part of the contract and with this,
there can be no sanctity of contract. These terms are only implied by statute to be in existence whether or
not they are written in the contractual agreement. But the salient terms agreed upon by the parties to the
contract will show the true intention of the parties to abide by the terms, and, any breach of terms or
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agreement by either party will give a right to either of them to act in accordance with the terms agreed
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upon as this will allow for sanctity of contract.


[Engineering Practice and Quantities] [Department of Water Resources & Environmental Engineering] [Olayinka Okeola]
2.3 CONTRACT CLASSIFICATION
2.3.1 Formal and simple contracts
Formal contract are made by deed also known as contract under seal and typed on paper while all other
contracts are simple whether by words of mouth or by writing.

Interactive Session
Illustrations: Formal and Simple contracts.

2.3.2 Express and implied contracts


In express contract, all the terms are clearly stated while for implied the terms are not expressly stated. In
circumstances of implied contract, the court will construe the existence of a contract from the conduct of
the parties rather than from their words of correspondence.

Interactive Session
Illustrations: Express and Implied contracts

2.3.3 Bilateral and Unilateral contracts


In a bilateral contract, there is an exchange of promises between two parties. That is an offeror promising
to do something in exchange for what offeree promise to do in return. However there is yet any
performance by either of the party. In this case the contract is known as bilateral contract, and the
consideration (the mutual promises) is referred to as executor consideration. By contrast, if the
consideration consists of actual performance in return for a promise, it is called a unilateral contrast and
performance is referred to as executed consideration.

Interactive Session
Illustrations: Unilateral and bilateral contracts

2.4 ELEMENTS OF CONTRACT


The elements of a valid contract are offer, acceptance and consideration. For a contract to exist, there has
to be an offer by one party to another and an acceptance by the person to whom the offer is addressed. An
offer may be defined as undertaking or promise made by one party with the intention that it shall become
binding on the party making it as soon as it is accepted by the party to whom it is addressed. Both offer
and acceptance can be made expressly or by conduct.

2.5 STANDARD FORMS OF CONSTRUCTION CONTRACTS


In construction industry, contract drafting is guided by stipulation of neutral parties such as, standard
building and engineering contracts forms are drafted by Royal Institute of British Architects (RIBA), Institute
of Civil Engineers (ICE condition of contract); Federation of Civil Engineering Contractors (FCEC);
International Federation of Consulting Engineers (FIDIC) conditions of contract for use in contracts having
international element), Joint Contract Tribunal (JCT standard form of building contract); Association of
Industry (FOCI). All the British Standards and British Codes of Practice (BC and BSCP) usually referred to in
the specifications or in Bill of Engineering Measurement and Evaluation, or in any drawing or instruction
forming part of the contract. On the whole, they may be said to strike a reasonable balance between the
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interests of the contracts on one hand, and the interest of the clients on the other hand.
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[Engineering Practice and Quantities] [Department of Water Resources & Environmental Engineering] [Olayinka Okeola]
However, the wide spread use of standard conditions in construction industry is due mainly to practical
impossibility of writing new conditions for each contractor. The complexity of modern construction work
and the multitude of legal problems involved also necessitated complicated contractual provisions. It is
essential that their effect should be understood by the parties, and the only practical conditions so that
those professionally involved can acquire experience of the provisions in practice. The use of a single
standard form of contract in the whole construction industry is desirable and practicable. The use of a
standard form of contract does not affect the fundamental principle that parties are in general free to
contract on whatever terms they agree. Accordingly, it is open to the parties to agree to modify a standard
form.

The classical principles created under the influence of the concept of freedom of contract compel courts to
treat these contracts with the same sanctity as would be due to them by agreement between parties.
Where a contract is partly in a printed standard form and partly in terms specifically written, the later will
usually prevail in the event of an inconsistency on the basis that they represent the party’s true intention,
rather than a document which was prepared by others. Thus provisions of a standard form may be over-
ridden by inserted clauses or by contrary stipulation in the specification of bill of quantities. This is subject,
however, to the terms of the contract itself. In Nigeria, the most common standard contract forms used for
construction and design are:
 Joint Contract Tribunal (JCT)
 International Federation Of Consulting Engineers (FIDIC contract rules)
 Federal Ministry of Works contract.

FURTHER INFORMATION
Students are urged to visit FIDIC portal @ www.fidic.org and endeavor to :
 Study conditions of contract for construction
 Study the table of contents for titles and subtitles.
 Also study the definition of terms as applicable to general conditions provisions

2.5 TYPES OF CONTRACT


The major types of contracts for execution in most engineering works fall into two categories: (1) Firm price
contract and (2) Nonfirm price contract.

2.5.1 Firm price contract


The vehicle for obtaining the most accurate assessment of the likely final cost of a project is by using a
professionally prepared firm Bill of Quantities which enables all the tenderers to compete on a fair and
equitable basis. A firm Bill of Quantities is a totally comprehensive contract document which lists all the
activities which have to be performed and all the obligations which the successful contractor will be called
upon to meet. Much of the work which lends itself to measurement is included in a Bill of Quantities by
way of description. The descriptions are also accompanied by the actual extent or quantity of the items of
work involved and these quantities of measurement are expressed in m3 (cubic metres), m2 (square
metres), m (metres), or enumerated items. The precise unit of measurement adopted is dependent on the
15

physical shape of the work involved. This is the most used form of contract for works in most engineering
construction (Civil/Electrical/Mechanical Engineering). This type of contract actually makes use of a B.O.Q
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that is priced by the contractor or subcontractor. The B.O.Q. is prepared as accurate as possible with the
[Engineering Practice and Quantities] [Department of Water Resources & Environmental Engineering] [Olayinka Okeola]
description of item of work, the quantities of each item of work to be done against which the contractor
enters a unit rate. The total sum gives the tender total or contract price which will be paid to the contractor
in accordance with conditions of contract document.

In addition to items of measurement a Bill of Quantities include pricing points for all the many items known
as ‘preliminaries’ and that does not lend themselves to measurement. Typical preliminaries will include
such things as requirements in respect of the contractor’s general obligations, setting out, supervision,
liability for and possibly insurances in respect of injury to persons and property, access to the working area
by others employed directly by the client, obligations and restrictions imposed by the client, temporary
plant and equipment, scaffolding, transport of work people to and from the site, water, lighting and power
for the works, temporary roads and other means of access, all temporary storage, hutting and similar
facilities required by the contractor, temporary telephones, safety, health and welfare facilities, drying out,
temporary fences, screens and similar items, anti-pollution measures and many other items which may
attract a charge on the contract.

Bills of Quantities also incorporate all works which are to be performed by nominated sub-contractors.
When preparing Bills of Quantities the quantity surveyor will collaborate closely with the rest of the design
team whose task it is to prepare drawings and specifications. In this case it may be necessary to include
‘provisional quantities’ for those aspects of the job which cannot be precisely determined in advance. When
the work is actually carried out in respect of any matters included in the Bills of Quantities by way of
provisional quantities, then the quantity surveyor measures and agrees with the contractor the precise
extent of the work involved and sets the cost of such activities against the provisional quantities as
contained in the contract bills.

Bills of Quantities also include provisional sums for items of work which cannot be decided upon in advance
or which may occur but with no degree of certainty. Here, at final account stage, the quantity surveyor will
set the actual values of the work performed against the lump sum provisional allowance. When it is known
that certain specialist activities or materials are required and the designer wishes to exercise direct control
over the selection of appropriate firms then it is customary to include such activities or specialist materials
by way of prime cost sums in the Bills of Quantities. The contractor is given the opportunity by way of
pricing points to allow for his own profit and attendance against such items in the bills.

2.5.2 Nonfirm-Price Contract


Proposals other than the firm-price type generally are applied to construction projects not fully described
by advance plans and specifications or perhaps only envisioned as a preliminary concept of what is required
by the owner/client. Incomplete tender documents are the main reason an owner would award the work
without competitive bids on a conditional basis. Some owners, for reasons of their own that might include
the desire to avoid publicity for their project, prefer to negotiate in confidence with known contractors,
sometimes on a variable-price basis.

There are circumstances where industrial organizations make a practice of negotiating their proposed
construction with given contractors to obtain the superior technical advantages and talents of the
contractor’s organization. The urgency of saving time is possibly the strongest reason for not following the
16

time-proven method of competitive bidding. Proposals other than


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firm-price expose the owner/client to some risks not common to fixed-price bids. Such transactions should
not be entered into except between highly reputable firms and where there is a substantial amount of
mutual confidence. Nonfirm-price contracts fall into these general categories listed below:
1. Cost plus a percentage fee contract
2. Cost plus a fixed fee contract
3. Target price with incentive fee and penalty fee
4. Turnkey projects.

1. Cost Plus Percentage Fee Contracts


The contractor is paid the actual cost of work plus an agreed percentage of the actual or allowable cost to
cover overheads and profit. It is very suitable in
1. Emergency when there is insufficient time to prepare a detailed scope of work before the work
commences.
2. Rehabilitation/renovation of building where the extent of work cannot be fore seen.
3. In an area of limited knowledge, i.e. refinery, atomic/nuclear energy plants etc.

Disadvantages:
1. No incentive exists for contractors to reduce cost or complete on time.
2. It imposes an increased burden of monitoring and supervision on engineer.
3. It can be exploited by unscrupulous contractor to increase profit by delaying completion of works.

2. Cost Plus a Fixed Fee Contract


The contractor receives the fixed actual cost incurred usually based on agreed estimated cost plus a fixed
lump sum. The fixed lump sum has been previously agreed upon and does not fluctuate with the final cost
of the job. Although there is no real incentive for the contractor on efficiency, it to his advantage to earn
the fixed fee as soon as possible and subsequently release his resources for other work. Regardless of the
actual cost of overrun or underrun the preliminary estimate, the contractor receives only the fixed fee
already agreed upon by both parties.

3. Target contract
The aim of this contract is to encourage contractors to be efficient thereby executing the work as cheaply
as possible. Target contract aims at circumventing the weaknesses in “cost-plus” concept contract. The
fee to the contractor increases if the final cost of the work is less than the estimate and decreases if the
final cost is more.

A basic fee is usually quoted as a percentage of an agreed target estimate obtained from priced B.O.Q. Also
provision is made for adjusting the target estimate for variation in quantities and design and for fluctuations
in costs of labour and materials. It may not work in practice because it may be unfair to the contractor. Also
the scope and the risk attached to the work may be large and may or may not materialize hence impossible
to set a target cost.

4. All-in- contract
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The employer (client) either directly or through the services of an engineer, gives his requirements in broad
and general terms only to contractors, who are then required to submit full details of design, construction,
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and terms of payment or probably includes operation/maintenance of work for a limited period. The use of
[Engineering Practice and Quantities] [Department of Water Resources & Environmental Engineering] [Olayinka Okeola]
this form of contract has some advantages in a few special cases but not a good method for most of
contracts. The procedure has been used for gas and chemical works, oil-refineries, and nuclear power
station among others.

2.6 CONTRACT DOCUMENT


The following constitutes a normal contract document for most engineering contract:
1. Form of Agreement.
2. General conditions of contract.
3. Specification.
4. Bill of Quantities.
5. Contract Drawing.
6. Form of Tender.

2.6.1 Form of agreement


This in the real sense constitutes the formal agreement between the client and the contractor for the
execution of the work in accordance with other contract document.

2.6.2 General conditions of contract


This defines in broad term conditions, under which the works are to be undertaken, the relationship
between the client, the engineer and the contractor, the powers of the engineer, the
roles/responsibilities of other professionals in the team and the term of payment.

2.6.3 Specification
This is where the detailed information on contract drawings and the bill of quantities are stated. It describes
in detail the work to be executed under the contract and nature and quality of materials, component and
workmanship. It also states any special responsibilities to be borne by the contractor aside what is covered
in the general conditions of contract. There may be other clauses arising from government agencies or
professional bodies to address peculiar issues as related to their statutory responsibilities.

2.6.4 Bill of quantities


The branches of engineering profession refer to this as Bill of engineering measurement and evaluation
(BEME). It actually consists of a schedule of the items of work to be executed by the contractor under the
contract with quantities entered against each item and subsequently priced by the contractor through
competitive, selective or negotiated tendering.

The primary functions of BEME is to provide the basis on which tenders can be obtained and compare
various tenders after these are priced. Once a contract is signed, the rates in priced BEME will be used to
assess the value of work executed.

2.6.5 Contract drawings


The contract drawings shows the details and scope of work to be executed under the contract. For building
work, the contract drawing is essentially architectural drawing with sufficient detail to assist contractors in
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pricing the BEME properly. Other contract drawing includes (but not limited to) depending on the scope
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and complexity of work: structural drawing, Mechanical and Electrical (M & E) drawings, topographical
survey of the site of work. The contract drawings will finally be used in executing the works and may be
supplemented by further detailed drawings as the work progresses.

2.6.6 Form of tender


This is a formal offer to a contractor to implement/execute a contract works according to various contract
documents for the tender sum.

References
1. Bennett, L.F. (2003). A Management of Construction: A Project Life Cycle Approach. Butterworth-
Heinemann. United Kingdom.
2. Daveyi, K (2005) Building Conservation Contracts and grant aid: A Practical Guide. E & FN spon.
London.
3. Popescu, C. M., Phaobunjons, K. and Ovararin, N. (2003) Estimating Building Cost. Marcel Dekker, Inc.
USA.
4. Sagay, I.E. (1987) Nigerian Law of Contract. Spectrum Books Ltd. Ibadan. Nigeria
5. Sadiq, K. (2008) Construction Industry and Sanctity of Contract: An Appraisal. B.LL Project. Faculty of
Law. University of Ilorin. Nigeria

EXERCISES

1. Obtain a contract documents for a recent or past construction project in your locality.
i. List the major divisions in the technical specification section and one specific item in each.
ii. Note three specific items in the general conditions.
2. What are common nonfirm construction contracting practices?
3. List six components of normal contract document.
4. List three methods commonly used in the invitation of contractor to tender for engineering projects.
5. Explain the Bill of Quantities contract.
6. What is the difference between cost plus percentage contracts and cost plus fixed fee contract?
7. A Federal University is planning to construct an Olympic standard swimming pool. What will constitute
the prequalification criteria for the contractors willing to express interest in the execution of the project?
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CHAPTER THREE

TENDER PROCEDURE

3.1 AN OVERVIEW OF CONSTRUCTION INDUSTRY


The definition of infrastructure within the context of economy includes services from (World Development
Report, 1994): (1) Public Utilities – power, telecommunications, piped gas, water supply, sanitation &
sewerage, solid waste collection and disposals (2) Public Works – roads, major dam and canal works for
irrigation, urban drainage. (3) Other transportation sectors – railways, urban transport, ports and water-
ways, and airports. The most common characterization of an individual element of infrastructure level is as
shown in Table 1.

Table 1. Infrastructure levels

1. Institutional: Regulatory (state & federal), government (local, state, & federal), economic,
social, cultural, etc.
2. Organization: Executives, managers, designers, operators, company procedures (normal
& emergency), standards, etc
3. Cyber/Control: Communications, computers, controls, operating procedures, etc.
4. Physical: Physical structures, plants, pipes, valves, facilities, etc.

Source: Willingham and Bigger (2007)

The importance of the construction industry in national development cannot be overemphasized


considering the fact that at least 50% of the investments in various development plans is primarily in
construction. It is the next employer of labour after agriculture in underdeveloped countries, about 10% of
the labour force. In developed countries, activities in the industry especially the building/civil works are
used as indices of economic growth and buoyancy or recession. There are two Million businesses in the US
operating in the constructing industries. The value of the UK construction industry was £56.3 billion in 1998
representing 9% of the GDP. The output of the industry in Nigeria accounts for over 70% of GDP and
therefore is a stimulator of national economy. The construction industry also encapsulates large numbers
of specialty trade contractors such as electrical, Plumbing, Heating, and painting.

The industry can be divided into 3 major types: (1) Building construction done by general contractors (2)
Heavy construction also done by general contractor and specialty contractors (3) construction done by
speciality trade contractors such as electrician, plumber, etc. In most cases general contractors usually
assume responsibility for the entire construction projects and may subcontract aspect that requires special
skills or equipment.

Construction types can thus be broadly classified as follows:


1. General Building: commercial buildings, offices, stores, educational facilities, government buildings,
hospitals, medical facilities, hotels, apartments, housing, etc.
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2. Manufacturing: auto assembly, electronic assembly, textile plants, etc.


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3. Power: thermal and hydroelectric power plants, waste-to-energy plants, transmission lines,
substations, cogeneration plants, etc.
4. Water Supply: dams, reservoirs, transmission pipelines, distribution mains, irrigation canals,
desalination and portability treatment plants, pumping stations, etc.
5. Sewerage/Solid Waste: sanitary and storm sewers, treatment plants, pumping plants, incinerators,
industrial waste facilities, etc.
6. Industrial Process: pulp and paper mills, steel mills, nonferrous metal refineries, pharmaceutical plants,
chemical plants, food and other processing plants, etc.
7. Petroleum: refineries, petrochemical plants, offshore facilities, pipelines, etc

3.1.1 Building Team


Building project as a whole is made up of many fragmented units with different professionals performing
different functions because of the diversity and complexity involved in building
operation. They share some sort of feedback relationship because the work of each professional
group is depended or related to the other; and are classified and explained as follows:

1. Owner or Developer
In business term, this is known as the client and may be an individual or group of person, local authority,
Government or in general anybody recognized as a legal entity. The client engages the services of a designer
which is usually an architect to carry out his wishes. On upon the recommendation of tender by the architect
or surveyor can sign a contract with a contractor.

2. Architect
This is the man who in front of law has full right to act as design procedure by interpreting the client’s
requirement into specific design and generally take over the task of seeing that they are carried to a logical
conclusion. Right from take-off of the project he is responsible to act and supervise on behalf of the client.
He can appoint clerk of works for the owner whose main responsibility is to ensure compliance with design
and material specification.

3. Structural Engineers
The engineer carries out structural analysis and design of every member of building part depending on
scope and complexity. They are usually private consultant commissioned by the client or Architect for the
project.

4. Mechanical and Electrical Engineer (M&E)


The engineer is responsible for the design of electrical and mechanical services. The design should be
completed with details and specification that are readily interpreted by the contractor. They are also
private consultants.

5. Quantity Surveyor (QS)


The QS carry out quantities of all item of work along with cost implication. They prepare the bill of quantity
(BOQ) used in tendering by interested contractors. They can be engaged by both the client and contractor
depending on the scope of work.
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6. Contractor
The contractor carries out interpretation and turns the architect design into reality. They can engage the
services of subcontractor and specialist to contribute to the successful execution of the project.

3.1.2 Project Planning


Project planning is fundamentally concerned with the cost, time and scope of work. A project has a specific
set of objectives and a definite schedule, budget, and set of performance requirements (Park and Tippett,
1999). Project plans tend to emerge gradually. They are continuously modified and refined in terms of
content, structure, and level of detail.

The most useful tool for accomplishing all these tasks is Work Breakdown Structure (WBS). A WBS connects
the entire project together and portrays scope graphically. It then allows resources to be assigned, permits
estimate of times and costs to be developed. Subsequently provide the basis for the schedule and budget.

Scope Management (SM)


SM is basically identifying what need to be done. This is the first step in project planning process. The WBS
identifies all major elements of work and then subdivides into smaller tasks until each task has become a
comfortable size to estimate, execute and monitor. The WBS does not show the sequence in which work is
to be done until after the schedule has been developed. Activity (or task) consume resources and define
lengths of time and expected cost.

Time Management (TM)


TM is basically identifying how long it will take to complete a whole job. The next step in project planning
after identifying all the activities (i.e. elements of work) is to estimate how long each activity will take. All
the activities are then combined to get how long the entire project would take to complete. This takes into
consideration estimates of when individual activity is scheduled for completion. Some basic terminologies
in time management and scheduling are:

1. Critical activity
This is activity with no latitude in both start and finish times. That is if a critical activity does not finish
by the prescribed time, the project overall time line will be affected.
2. Critical path
This is the longest path in the network and all activities therein are critical activities.
3. Duration
This is the window of time within which an activity is expected to be completed.
4. Float (or slack)
This is the flexibility or latitude with regard to when a specific activity can be worked on.
5. Forward pass/backward pass
This is the technique for analyzing the amount of float in the execution of individual activities. Activities
with no float are known as critical activities.
6. Parallel Activities
These are activities that can be done during the same period of time.
7. Predecessor Activities
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An Activity that must be completed before the Activity under consideration can begin.
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8. Series Relationship
Two Activities that must be done in a particular order, i.e. one must be done before the other.

Cost Management (CM)


CM aims at identifying how much it costs to get the job done. This goes beyond calculating the overall cost
of a project. It also consists of a budget creation and time-scaling of the overall project expenditure.
Estimating budget for project cost involves both the direct and indirect costs. A direct cost is an expenditure
specifically and directly incurred by the execution of the project. These include labour, materials, training,
travel and other miscellaneous costs. An indirect cost is a cost relating to supporting the facilities, general
services, and organizational environment within which the project team function. Example includes fringe
benefits, facilities general and administrative costs.

3.2 TENDER PROCEDURE (Invitation to Tender)


The invitation of contractor to tender for civil/mechanical/electrical etc works is usually performed by
either of three methods and subsequently results in the selection of appropriate contractor:
1. Open tendering (by advertising for competitive tenders).
2. Selective tendering (by inviting tenders from selected contractors).
3. Negotiated tendering (by negotiating a contract with a selected contractor).

3.2.1 Open tendering


Details of the proposed project are advertised in the local or trade publications. The advert would include:
(1) type of work, (2) scope of work, and (3) programme of work. Contractors interested in the work are free
to respond to the advertisement and receive the contract documents from the client representative,
engineer or architect. In some instances contractors
are required to pay a deposit. This covers the cost of documentation and discourages unserious ones. The
deposit is refunded upon receipt of a bona fide tender. Any contractor, irrespective of size or capability,
may apply for the documents and tender.

The advertisement however is not legally binding and the client is not bound to accept the lowest tender.
After completion, all tenders shall be returned latest by the deadline date and time. It is then the decision
of the client with advice from the design team to choose the successful contractor. Government authorities
generally use open tendering.

Advantages of Open Tendering


1. Unknown contactor can tender for the work.
2. There is no restrictive list of tenderers which does not allow favouritism
3. There is no obligations to tender therefore all tenders received will be genuine.
4. Open tendering secures maximum competition.

Disadvantages of Open Tendering


1. Cost of tendering is expensive to the client who must bear the cost of reproducing multiple copies of
drawings, bills of quantities, etc.
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2. It is a lengthy operation requiring skilled estimating, the cost of which must be recovered on the job by
the contractors. The higher the proportion of unsuccessful tenders the higher the cost to be recovered
on the job.
3. The wrong contractor can be chosen. Little may be know about the contactors –their record,
experience, standard of workmanship, etc.
4. The lowest tender may not necessarily be a “bargain”. Choosing a low tender may result in poor
quality and poor organization resulting in late completion, specialist subcontractors delayed, etc.
5. A contractor may be awarded work for which he has little or no experience and may be ill-equipped to
deal with.
6. A contractor who has under-priced his tender to win the contract may try to recoup this shortfall
through claims or hard and unsupported bargaining on the final account.
7. The worst scenario is that the contactor may become insolvent due to incompetence or low pricing on
jobs. This will involve the client in expense and delay.

In summary, open tendering is a method which allows new or unknown contractors to break into the
market, while maximizing competitiveness, and allowing the client to select a contractor offering one of the
lowest prices. However, using unknown contractors without an established record is a risky option, as the
client does not know how well the work will be carried out.

3.2.2 Selective tendering


A number of contractors of known reputation are selected by the design team to submit a price for the
proposed project. The contractor who submits the lowest tender is generally then awarded the contract.
The list of such contractors will be made early enough to allow the contractor to tender for the project if
they so wish. This will range from five to ten contractors depending on the type, scope, and value of work.
Areas to consider while compiling a general or tender list would include:

1. Standard of workmanship.
2. Size of Company.
3. Contractors practice to sub-let work.
4. Reputation to meet completion dates; supervise quality of work and settle final account;
5. Examination of Boards of Directors –‘a sine qua non’.
6. Financial stability – length of time in business, financial checks, bank references, etc.
7. Capacity available in relation to current workload.
8. Labour relations, number of disputes and stoppages in recent jobs.
9. The company’s real willingness to tender.

If a formal list is not maintained an ad hoc tender list can be drawn up of contractors who are known to be
suitable for a particular project. Alternatively, contractors can be invited by an advertisement, as in open
tendering, to submit their name for inclusion in the list for a particular project – only those genuinely
interested would reply.

3.2.3 Negotiated tender


Under this method only one contractor is approached, normally because the skills of the contractors are
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that the architect and the other members of the design team wish to take advantage of the contractor’s
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specialist knowledge at the design stage. Following the completion of the design the contractor will price
[Engineering Practice and Quantities] [Department of Water Resources & Environmental Engineering] [Olayinka Okeola]
the bill of quantities and then enter into a negotiation with the quantity surveyor. Selective tendering
provides a restricted but adequate list of technically suitable contractors of comparable standing, capable
of carrying projects through in a reliable manner.

References

1. Adams, D. K. (2008) The Structural Engineer’s Professional Training Manual. The McGraw Hill
companies, Inc. USA (2008)
2. Bennett, L.F. (2003) A Management of Construction: A Project Life Cycle Approach. Butterworth-
Heinemann. United Kingdom

EXERCISES

1. Briefly discuss public procurement reform in Nigeria. (Max of 120 words)


2. What is the name of the Act that established Bureau of Public Procurement (BPP) and for
what major purpose ?
3. What are the two main objectives of BPP?
4. List the essential steps in the procurement process.
5. A Federal University is planning to construct an Olympic standard swimming pool. What will constitute
the prequalification criteria for a major civil engineering contractor expressing interest in the project
construction?
6. What is the difference between cost plus percentage contract and cost plus fixed fee contract?
List three methods commonly use in the invitation of contractor to tender for engineering projects.

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[Engineering Practice and Quantities] [Department of Water Resources & Environmental Engineering] [Olayinka Okeola]
CHAPTER FOUR

PUBLIC PROCUREMENT (PP)

3.1 PUBLIC PROCUREMENT REFORM IN NIGERIA


The growing costs of public contracts in Nigeria have been serious concern. It was even believed that the
cost of contracts in Nigeria was among the highest in world and also most corrupt. In 1999 a country
assessment report (CAR) was conducted and revealed that Nigeria was losing sixty kobo on every one Naira
spent by the government for the provision of social services in last four decades. The Budget Monitoring
and Price Intelligence Unit were set up by the government in 2001. The public procurement bill was
subsequently articulated and sent to the National assembly in 2004. The bill was passed into law by the
National Assembly on May 31, 2007 to provide institutional and legal framework for public procurement.
Under the law bureau of public procurement (BPP) was set up to regulate and implement public
procurement.

3.1 PUBLIC PROCUREMENT ACT


The BPP was established by public procurement Act 2007, as the regulatory authority for the monitoring
and oversight of the public procurement (PP).

3.1.1 Objective of the BPP


The objectives include among others the following:
1. The harmonization of existing government policies/practices on public procurement.
2. Ensuring transparency, competitiveness, professionalism in all public sector procurement system.

3.1.2 Function of the BPP


There are several functions, however those that are relevant to the course CVE 486 (Civil Engineering
Practice) are:
1. Prepare standard bidding/ contract document.
2. Publish major contracts in the procurement journal.
3. Prevent fraudulent and unfair procurement through administrative sanction where necessary.

3.1.3 Public Procurement Act 2007.


The Acts consists of 13 parts. The following Parts are relevant to this course (CVE 486):
1. Part IV - Fundament principles for procurement
2. Part VI - Procurement method (goods and services)
3. Part VIII - procurement of consultant (services)

3.1.4 Part iv section 16 (6)


The Act requires all bidders to in addition to the requirements contained in the solicited document must
also possess the necessary:

1. Professional and technical qualification to carry particular procurement


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2. Financial capability
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3. Equipment and other relevant infrastructure.

[Engineering Practice and Quantities] [Department of Water Resources & Environmental Engineering] [Olayinka Okeola]
4. Have adequate personnel to perform the obligations of the procurement contracts.
5. Possess the legal capacity to enter into the procurement contract.

3.2 ESSENTIAL STEP IN THE PROCUREMENT PROCESS


Efficient procurement plan driven by NEEDS assessment.
1. Appropriation
2. Advertisement
3. Transparent pre- qualification.
4. Bid submission
5. Bid opening
6. Bid evaluation
8. Technical and financial
9. Tender board /Federal Executive Council (FEC) approval
10 Contract award / Execution.

3.3 FUNDING OF UNIVERSITY PROJECTS


The Federal Universities fund their capital projects mainly from following sources. Funding can also come
from individual philanthropic endowment:
 Internally Generated Revenue (IGR)
 National Universities Commission (NUC)
 Education Trust Fund (ETF)
 Petroleum Development fund (PTDF)

Interactive Session:

Discussion and illustration


i. on the essential steps listed in 3.2 from University of Ilorin capital projects.
ii. Commissioned consultants’ roles in the process
iii. Note Appendix 3

FURTHER READING AND INFORMATION

Students are urged to visit the listed institutional domains:

BPP portal @ www. bpp.gov.org.ng


Federal Ministry of Works portal @www.works.gov.ng
Federal Ministry of Finance @ www.fmf.gov.ng (see procurement division)
National Bureau of Statistical @www.nigerianstat.gov.ng
Central Bank of Nigeria @ http://www.cenbank.org/
World Bank @www.worldbank.org
African Development Bank @www.afdb.org
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References

1. Bureau of Public Procurement (BPP): www.bpp.gov.org


2. Federal Republic of Nigeria official Gazette No 65 Vol. 94
3. Bureau of Public Procurement. Second Phase of National Sensitization and Enlightenment
Progrramme on Public Procurement Act 2007 North Central Zone. Kwara Hotels. Ilorin.
September 24, 2009.
4. Stakeholders Capacity Building Workshop on 21 April, 2010 organized by Bureau of Public
Procurement (BPP). Abuja. Nigeria. (Theme: Pre-qualification of contractors)

EXERCISES

1. List four sources of the funding of Federal Universities capital projects.


2. What is the name of the Act that established Bureau of Public Procurement (BPP) and for
what major purpose ?
3. List the essential steps in the procurement process.
4. What are the objectives of BPP.

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[Engineering Practice and Quantities] [Department of Water Resources & Environmental Engineering] [Olayinka Okeola]
CHAPTER FIVE

CIVIL ENGINEERING STANDARD METHOD OF MEASUREMENT (CESMM)

5.1 INTRODUCTION
The main purpose the Bill of Quantities is to assist the contractors to produce an accurate tender figure
efficiently and to enable post contract administration be carried out in an efficient and cost-effective
manner. Estimation is the process of pricing based on the available information, specification, and various
drawings toward arriving at total sum known as tender sum. This is to be done within the context of form
of contract and terms in which the sum will apply or may varied.

5.2 CONSTRUCTION COST INDEXES


In the construction industry, the use of construction cost indexes are commonly used for project estimation
and even cost control. For this purpose and understanding of what the index provides, correct application
to suit individual situation and locality is very important. In USA the indexes commonly apply:

1. The Engineering News-Record’s (ENR) Construction Cost Index and Building Cost Index,
2. The E. H. Boeckh Company’s Building Cost Index
3. The Lee Saylor Inc. Labor/Material Cost Index,
4. The Turner Building Cost Index, and
5. The Means’ Historical Cost Index.

Construction cost index is similar to the consumer price indexes which measure the cost of a specific basket
of goods and services over time for comparison purposes. This information is available with National
Statistical Bureau of Nigeria. The items included in the pricing survey food, clothing, shelter, transportation
costs, medical and dental care charges, and other goods that people buy for day-to-day living. The indexes
are available to the public through the National Statistical Bureau. The Turner Construction Company
develops its cost index using several factors including labor rates and productivity, material prices,
management and plant efficiency, and the competitive condition of the marketplace. 1967 was used as a
base period for this index.

The R. S. Means Company develops a cost index based on a hypothetical composite building. Nine different
types of structures are considered in developing this model. The composite building includes 66 material
elements, 21 trades, and 6 different construction equipment rentals. Each of the elements is weighted
based on the quantity needed to construct the hypothetical building. Means uses an extensive research
network that includes contractors, manufacturers, wholesalers, distributors, labor experts, and individual
estimators throughout 305 cities in the US and Canada. Means provides individual indexes for each of the
cities whereas the ENR publishes an average of the 30 largest US cities.

5.3 PREPARATION OF THE BILL OF QUANTITIES


5.3.1 Introduction
The phrase ‘Bills of Quantities’ is more appropriate to a building contract where the General Summary
29

contains a list of individual Bills. In civil engineering documents the equivalent Bills are called Parts so the
overall document is a Bill of Quantities. The pre-contract exercise of measuring the work also applies to the
Page

post-contract task of measurement. The correct term for this task is re-measurement where the work is
[Engineering Practice and Quantities] [Department of Water Resources & Environmental Engineering] [Olayinka Okeola]
physically measured on site or admeasurement where the actual quantities are calculated from records.
There are five sections in the Bill of Quantities:

 Preamble
 List of Principal Quantities
 Daywork Schedule
 Work Items (divided into parts)
 Grand Summary

5.3.2 Preamble
The Preamble is an extremely important section of the Bill of Quantities and is the potentially vital source
of information to the estimator. If any other Methods of Measurement have been used in the preparation
of the Bill of Quantities, the fact should be recorded there.

5.3.3 Preliminaries
The preliminaries section of the bill of quantities is the engineer or QS’s introduction to the contract. The
section provides information on the location, size, and complexity of the project and gives details of the
conditions of contract under which the project is to be implemented.

5.3.4 Coding and numbering


The aim of the coding is to produce a uniformity of presentation to assist the needs of the estimator and
the post-contract administration.

5.4 PROJECT COST ESTIMATION


5.4.1 Preliminary estimates
There are many approaches to preliminary estimates of proposed projects. They all uses some measures of
gross unit costs from recently completed construction works which are updated by the use of factors which
recognizes cost differences as a result of time frame, location or any peculiarities of the work that is being
estimated. However in general the estimating structure comprises:

 Dividing the project into small elements so as to allow a single rate or unit cost to be applied to
each element (such as listed in Table 5.1)
 Extending the quantities and rates to determine a cost for each element
 Summing the resulting elemental costs and
 Applying indirect costs to give a complete estimate.

5.4.2 Firm estimate of costs


The estimates are carried out based on completed relevant drawings such as architectural, structural,
Mechanical & electrical etc. The outcome becomes the final estimates of costs upon which the project
implementation would be evaluated. The estimate uses quantity of major work items from the design
drawings for example the cubic metre of concrete, the tonnage of structural steel, the length of electrical
and communication cable etc.
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[Engineering Practice and Quantities] [Department of Water Resources & Environmental Engineering] [Olayinka Okeola]
(Adapted from project cost estimating manual. Queensland Government. Australia)

5.5. ELEMENTS OF PROJECT NET COST


The construction cost comprises of the direct and indirect costs. The direct costs are made up of labour,
materials, equipment, and atimes subcontractor work. The indirect costs are incurred on preliminaries.
These include site offices, temporary utilities, permit and fees, company office overheads among other
depending on project scope and complexity.
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[Engineering Practice and Quantities] [Department of Water Resources & Environmental Engineering] [Olayinka Okeola]
Table 5.1 Typical breakdown components of building construction

S/no Division title Description

1 General requirements Temporary structures (ie site office, store etc), quality control
startup and commissioning

2 Site work Site materials, earthwork, site layout, Setting out

3 Concrete Formworks, reinforcement, cast initu concrete, Precast etc

4 Masonry Masonry units, stone refractories, etc

5 Metals Framing, joists, metal finishes, steel trusses, portal frames

6 Wood and plastics Rough carpentry, finish carpentry, fasteners and adhesives,
plastic fabrication

7 Thermal and Damp proofing, waterproofing, insulation


Moisture protection

8 Doors and windows Metal doors and frames, metal windows, etc

9 Finishes Plaster, gypsum, tile, terrazzo, flooring, wall finishes

10 Specialties Display boards, pedestrians control devises, toilet and bath


accessories

11 Equipment Maintenance equipment, library, security and vault equipment

12 Furnishings Casework, artwork, rugs and mats, furniture, seating

13 Conveying systems Lifts, elevators, scaffolding

14 Mechanical Piping, plumbing fixtures, heat-generation equipment,


air handling

15 Electrical Wiring, electricity power, lighting, communications, controls


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[Engineering Practice and Quantities] [Department of Water Resources & Environmental Engineering] [Olayinka Okeola]
5.6 ANALYSIS OF RATES
Analysis of rates is the process of determining the rates of an item. To do this properly, the factors affecting
the rate of that item are studied. The rates of a particular item of work depend on the following:

1. Specification of works and materials


2. Quantity of materials and their costs
3. Cost of labours and their corresponding wages
4. Location of sites and transportation
5. Overhead allowances
6. Profit

5.7 ELECTRICAL WORK


Electrical system and installations are designed by electrical engineers and this system comprises of factory
made pieces of equipment and fittings such as switches, socket outlets, cables, and light fittings among
other. It is instructive to note that there are various ranges of cable types and protective gadgets and each
item must be identified separately in the bill of quantities. The actual works on site include taking delivery,
storing, and installations. Exempt in rare cases, the electrical work is mainly installation and not
manufacturing and subsequently the estimation processes is relatively straightforward.

5.7.1 Cabling
Cabling has three material components: (1) the cable support, ie conduit (2) fixing of cable tray or conduit
to the structure and (3) cable itself.

5.7.2 Builder’s Work


This is covered in the SMM and it actually comprises preparatory work such as chiseling concrete, drilling
holes etc which are normally done by the contractor for the electrician.

5.7.3 Cost Estimation Procedure


The procedure is as enumerated during interactive sessions on this chapter. The 500level Electrical
Engineering students should note that arrangement has been made for M& E consultant to further deliver
the basic practical requirements on the preparation of M&E, BEME particular those released for this
monograph for purely academic purposes. Esteemed Electrical Engineering Students are urged not to meet
this opportunity to listen and interact with reputable and successful M&E consultants.

5.8 INTRODUCTION TO BUILDING-UP RATES AND PREPARATION OF BEME

1. Concrete
Concrete ratio = 1:2:4
3.81m³ Capacity lorry (5tons)
1 load of 5tons Sand = #10,000.00
1 load of 5tons crushed granite = #20,000.00
33

1 bag of cement = #2250.00


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[Engineering Practice and Quantities] [Department of Water Resources & Environmental Engineering] [Olayinka Okeola]
Cement 1𝑚³ = 28𝑏𝑎𝑔𝑠 × 2250 = #63,000.00

10,000
Sand 2𝑚³ = ×2 = #5249.34𝑘
3.81

Crushed
20,000
Granite 4𝑚³ = ×4 = #20,997.38𝑘
3.81

Total 7m³ = #89,246.72k

Void & Shrinkage 50% = #44,623.36k


Add waste 5% = #4,462.34k
Add 25% overhead & Profit = #22,311.68k
Grand Total = #160,644.10k

Therefore the rate for 1:2:4 concrete is #160,644.10/m3

2. Bill of Engineering Measurement and Evaluation (BEME) for a drainage work

A 200 Metre line drainage made of sandcrete hollow block filled solid with concrete (1:3:6) is to be
constructed along segment of the newly opened Banks road on the campus. The cross section of the
drainage is shown below. A 50 m concrete blinding (1:3:6) is recommended and a lump sum of N50,000 is
allowed for the preliminaries. Also 12mm cement and sand (1:4) rendering on internal wall of the drainage
is recommended. The following rates of item apply: Concrete 1:2:4 -N25,000/m3; 1:3:6 –N18,000/m3;Solid
blocwall –N2700/m2; cement mortar (1:4) –N250/m2; Excavation –N190/m3. Compute the quantity of each
of the drainage components.

Add 2% and 5% for contingencies and VAT respectively on net cost.


Prepare the Bill of Engineering Measurement and Evaluation (BEME) for the drainage work.

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[Engineering Practice and Quantities] [Department of Water Resources & Environmental Engineering] [Olayinka Okeola]
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[Engineering Practice and Quantities] [Department of Water Resources & Environmental Engineering] [Olayinka Okeola]
Solution
Let us compute the quantity of each of this drainage components. Note that working clearance of 100mm
is provide at both sides of the excavation.

1. Quantity computation

i. Excavation: 1.25m x 1.0m x 200m = 250m3


ii. Concrete blinding: 0.05m x 1.25m x 200 = 12.5m3
iii. Concrete base: 0.15m x 1.05m x 200 = 31.5m3
iv. Concrete coping: (0.1m x 0.23m x 200m) x 2 = 9.2m3
v. Blockwall: (0.55m x 200m) x 2 = 220m2
vi. Wall rendering: (0.65m x 200m) x 2 = 260m2

2. Net cost Computation

i. Excavation: 250m x N250/m = N62500


ii. Concrete blinding: 12.5m3 x N18,000/m3 = N225000
iii. Concrete base: 31.5m3 x N25,000/m3 = N787500
iv. Concrete coping: 9.2m3 x N18,000/m = N165600
v. Block wall: 220m2 x N3000/m2 = N660000
vi. Wall rendering: 260m2 x N250/m2 = N650000
vii Preliminaries: = N50000

Net Cost = N2,015,600

Add 2% Contingencies = N40312

Total = N2,055,912

Add 5% VAT = N102,795.6

Grand Total = N2,158,707.6

3. Building-up rates and preparation of BEME for an electrical installation

The M&E design component for a metropolitan school project gave the following specification listed under
(A) Electrical installation and (B) Plumbing/Fire Fighting installation. You are to prepare BEME that includes
5% tax, 5% VAT and 15% profit on all the item of works. From the market survey in the locality, the prevailing
rates on materials are as indicated boldly in the parenthesis. Also the sum of N100,000 and N200000 are to
be provided for preliminaries and a prime cost item respectively. While a 5% contingency on the subtotals
A & B be included and get the grand total representing the contract sum
36
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[Engineering Practice and Quantities] [Department of Water Resources & Environmental Engineering] [Olayinka Okeola]
BILL OF ENGINEERING MEASUREMENT AND EVALUATION (BEME) FOR A DRAINAGE PROJECT

RATE
S/No DESCRIPTION QTY UNIT (N) Amount in Naira

1 Excavation for drainage not exceedind 1m 250 m 250 62500


2 Provide plain insitu concrete blinding (1:3:6) 15.5 m3 18,000 225000
3 Ditto drainage bed (1:2:4) 31.5 m3 25,000 787500
4 Ditto coping (1:2:3) 9.2 m3 18,000 165600
5 Provide 225mm sandcrete hollow laid in
stretcher bond in cement mortal 1:6 and fill
solid with concrete 1:3:6 220 m2 3,000 660000
6 12mm cement and sand (1:4) rendering on
internal wall 260 m2 250 65000
7 Preliminaries LS 50,000

Total 2,015,600

Add 2% Contingencies 40,312

Sub Total 2,055,912


Add 5% VAT 102,795.6

Grand Total 2,158,707.6

A. Electrical Installation

1. 1 x 36 Watts, 1200mm pack battern fluorescent light fittings with prismatic


diffuser CAT no. PPB 140. -36Nos (N1700)
2. Standard range MK logic lighting switches complete with mounting screws
18 Nos, 10Amps 1-Gang 1-Ways Switch (N300)
3. PVC insulated & Color coded cables to BS 6004. To include cable loops, glands, termination & all
necessary accessories (Lin.m):
(i) 500m; 2 x 4mm PVC single core cable (N250)
(ii) 200m; 3 x 2.5mm PVC core cable (N150)

A. Electrical Installation

1. 1 x 36 Watts, 1200mm pack battern fluorescent light fittings with prismatic


diffuser CAT no. PPB 140. -36Nos (N1700)
2. Standard range MK logic lighting switches complete with mounting screws
18 Nos, 10Amps 1-Gang 1-Ways Switch (N300)
37

3. PVC insulated & Color coded cables to BS 6004. To include cable loops, glands, termination & all
Page

necessary accessories (Lin.m):

[Engineering Practice and Quantities] [Department of Water Resources & Environmental Engineering] [Olayinka Okeola]
(i) 500m; 2 x 4mm PVC single core cable (N250)
(ii) 200m; 3 x 2.5mm PVC core cable (N150)

4. 2Nos; 100Amps 8 ways TP7N MCCB distribution board made by MEM or other approved manufacturer
with complete fuses. (N25000)

5. 1No; 60Amps TP & N current operated ELCB (N15000)


6. Earthing Installation

(i) Copper earth rod buried such that it gives resistance not more than 5 ohms complete with cable
connecting clamp -2Nos. (N7000)
(ii) 200m, 6 mmsq. PVC insulated & colour coded single cable (Lin.m) (N100)

B. Plumbing/Fire Fighting Installation

1. Unplasticised pvc waste pipes with ring seal joints


(i) 200m; 100mm dia pipe (Lin.m) (N500)
(ii) 4 Nos; Bend (N100)
2 Medium gauge galvanized iron pipe work
(i) 200m; 13mm dia pipe (N500/m)
(ii) 2Nos; 13mm dia 400mm long flexible connector (N250)
(iii)2Nos; 13mm stopcock (N500)

3. Sanitary fittings
(i) 2Nos; Supply & Fix 2Nos low level WC suite with S-trap of white “Twyford” type (N5000)
(ii) 2Nos; 400 x 365mm Twyford or other equal & approved wash hand basin complete with pair 13mm
pillar trap, 32mm waste fitting with plug chain and stay, 32mm trap and pair cantilever brackets
including plugging and screwing bracket. (N73000)

4. Supply & Fix 9Kg ABC multipurpose dry powder fire extinguisher complete with charge and wall
mounted brackets fixed 1050mm above floor level (N7000)

Let build up rates by first identifying all the required inbuilt-rates as shown

Tax 5%
VAT 5% 25%
Profit 15%

Apply 1.25 to all items as follow


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[Engineering Practice and Quantities] [Department of Water Resources & Environmental Engineering] [Olayinka Okeola]
A. Electrical Installation

Item No # #
1. 1.25 x 1700 = 2125
2. 1.25 x 300 = 375
3. i. 1.25 x 250 = 312.5
ii. 1.25 x 150 = 188
4. 1.25 x 25000 = 31,250
5. 1.25 x 1500 = 18750
6. i. 1.25 x 7000 = 8750
ii. 1.25 x 100 = 125

B. Plumbing and Fire Fighting

Item No # #
1. i. 1.25 x 500 = 625
ii. 1.25 x 100 = 125
2. i. 1.25 x 500 = 625
ii. 1.25 x 250 = 312.5
iii. 1.25 x 500 = 625
3. i. 1.25 x 5000 = 6250
ii. 1.25 x 73000 = 9125
4. 1.25 x 7000 = 8750

C. Preliminaries = 100000

D. prime cost item = 1.25 x 250000 = 312500

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[Engineering Practice and Quantities] [Department of Water Resources & Environmental Engineering] [Olayinka Okeola]
S/No DESCRIPTION QTY UNIT RATE (N) Naira

A ELECTRICAL INSTALLATION
1 x 36 Watts, 1200mm pack battern fluorescent
light fittings with prismaticdiffuser CAT no. PPB
1 140. 36 No 2125 76,500
Standard range MK logic lighting switches
complete with mounting screws
2 10Amps 1-Gang 1-Ways Switch. 18 No 375 6,750
PVC insulated & Color coded cables to BS 6004.
To include cable loops, glands, termination &
3 all necessary accessories:
i 2 x 4mm PVC single core cable. 500 M 313 156,250
ii 3 x 2.5mm PVC core cable. 200 M 188 37,600
100Amps 8 ways TP7N MCCB distribution board
made by MEM or other approved manufacturer
4 with complete fuses. 2 No 31,250 62,500
5 60Amps TP & N current operated ELCB. 1 No 18,750 18,750
6 Earthing Installation
Copper earth rod buried such that it gives
resistance not more than 5 ohms complete with
i cable connecting clamp. 2 No 8750 17,500
6 mmsq. PVC insulated & colour coded single
ii cable. 200 M 125 25,000
B PLUMBING AND FIRE FIGHTING INSTALLATION
Unplasticised pvc waste pipes with ring seal
1 joints:
i 100mm dia pipe 200 M 625 125,000
ii Bend 4 No 125 500
2 Medium gauge galvanized iron pipe work:
i 13mm dia pipe (N500/m) 200 M 625 125,000
ii 13mm dia 400mm long flexible connector. 2 No 313 626
iii 13mm stopcock (N500) 2 No 625 1,250
3 Sanitary Fittings:
Supply & Fix low level WC suite with S-trap
i of white “Twyford” type. 2 No 6250 12,500
400 x 365mm Twyford or other equal &
approved wash hand basin complete with
pair 13mm pillar trap, 32mm waste fitting
with plug chain and stay, 32mm trap and pair
cantilever brackets including plugging and
ii screwing bracket. 2 No 9125 18,250
Supply & Fix 9Kg ABC multipurpose dry powder
fire extinguisher complete with charge and
wall mounted brackets fixed 1050mm above
4 floor level. 1 No 8750 8,750
C Preliminaries LS 100,000 100,000
D Prime cost item 312,500 312,500

Subtotal (A + B +C +D) 1,105,226


40

Add 2% Contingencies 22104.52


Page

Grand Total 1,127,330.52


[Engineering Practice and Quantities] [Department of Water Resources & Environmental Engineering] [Olayinka Okeola]
4. Building-up rates and preparation of BEME for water treatment plant installation

Let out discuss University of Ilorin water treatment plant construction/installation by Messrs Mantec
Water Treatment (Nig.) Ltd. A brief conventional water treatment is given in Appendix 4

SCOPE OF the PROJECT

A UTC packaged treatment plant to treat 100 cu.m per hour of raw water via the following treatment
process of specification and includes :
1. Inlet chamber and dosing unit
2. 1 Clarifier
3. Filters
4. pH correction as necessary
5. Disinfections
6. Treatment water pumping equipment
7. Treated water storage tank with pipework, valves and equipment.

SPECIFICATION
Part 5 – Electrical Plant and Equipment
This includes Switchgear, Particular requirements, Motors, Cabling, Power cables, Control and indication
cables, Earthing, Remote motor control, Lighting and small power

PART 4 – MECHANICAL PLANT


This includes Washwater pump, Dosing pump, Treated water pumps, Pumps general, Surge operation,
Valves (sluice, butterfly, non-return, and penstocks), Pipes, fittings and tubes

5. Building-up rates and preparation of BEME for Embankment Dam

Let us discuss University of Ilorin Embankment Dam (with concrete central spillway) construction by
Messrs. Construction Products (Nig.) Ltd.

SCOPE OF the PROJECT


A dam of capacity 1.8 X 106M3, total length of 178m and a maximum height of embankment of 10.3m. The
upstream has a slope of 1:3 while the downstream has a slope of 1:2:5. The spillway has a crest length of
50m with a maximum height of 7.7m, while the treatment plant has a capacity of 100m3/h

SPECIFICATION
Part 2: Site Clearance and preparation
Part 3: Excavation
Part 4: Concrete
Part 6: Water mains
Part 7: Water Retaining Structure
41
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[Engineering Practice and Quantities] [Department of Water Resources & Environmental Engineering] [Olayinka Okeola]
Summary of the BEME
I. General items
II. Earth dam
III. Concrete spillway
IV. Upstream wingwall
V. Downstream wingwall
VI. Stilling basin
VII. Retaining wall of stilling basin
VIII. Electrical installations
IX. Intake structure
X. Allow 10% contingency
XI. Allow 5% VAT

6. Building-Up Rates and Preparation of Road Project BEME


This session is a discussions on a road projects with detail in Appendix 5
1. A road project in which four different options were considered.

7. Building-Up Rates and Preparation of Mechanical & Electrical BEME


This session is a discussions on the following projects details in Appendix 6
1. Offices for College of Health Sciences at University of Ilorin Teaching Hospital by Messrs. Ibironke
Technologies Limited. Ilorin (completed).
2. Offices For Faculty Of Business & Social Sciences University Of Ilorin by Messrs Alim & Associates
Ltd. Kaduna (completed)

References
1. Buchan, R.D, Fleming, F.W. and Grant, F. E. K. (2006) Estimating for Builders and Surveyors.
Second edition. Elsevier Butterworth-Heinemann. UK.
2. Project Cost Estimating Manual. (December 2007). 3rd Edition. Queensland Government. Department
of Main Road. Australia.
3. Messr Alim & Associates Ltd. Kaduna
4. Messr Ibironke Technologies Limited. Ilorin.

EXERCISES:
1. What are the direct and indirect costs of a project?
2. Differentiate between unit-area and unit-volume estimates in term of application.
3. What is estimating?
4 List and explain the major sections of the Engineering Measurement and Evaluation (BEME).
5. Calculate the quantities and amount of materials required for foundation, block work and plastering
for the 100m jail wall whose cross section is shown below. Cement sand mortar in block work and
plastering is 1:6 while concrete mix in foundation is 1:2:4. Thickness of plastering is 20mm.
42
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[Engineering Practice and Quantities] [Department of Water Resources & Environmental Engineering] [Olayinka Okeola]
Note: All dimensions in Millimeters.

6. An access culvert is to be constructed across a 12m width road in Fufu Local Government Area in Kwara
state. The specification is 900 mm diameter, 75mm thick precast ring culvert to be surrounded with
150mm concrete. A ring of precast culvert is 1m long. The cost of producing 1m3 of concrete including
labour and material is N 25000. A ring of precast culvert cost N 9000 per unit. The width of rectangular
portion of the apron is 1000mm and the slab extends by 500mm beyond the centers of both wingwalls.
What is the total number of required precast culvert?
i. What is the total volume of concrete required?
ii. What is the total cost of the two components of the access culvert project?
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[Engineering Practice and Quantities] [Department of Water Resources & Environmental Engineering] [Olayinka Okeola]
Figure 1: Access Culvert

7. A retaining wall to prevent land slide in a 5 meter portion of a road is as shown with the cross section.
Using the prices of sand, cement and crushed granite in the locality compute total volume of concrete
required and cost implication using 2:4:8 concrete.
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[Engineering Practice and Quantities] [Department of Water Resources & Environmental Engineering] [Olayinka Okeola]
45
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[Engineering Practice and Quantities] [Department of Water Resources & Environmental Engineering] [Olayinka Okeola]
Appendix 1

The Law:

“COREN Deregistered Erring


Engineer”

The Council for the Regulation of Engineering in Nigeria (COREN) found a septuagenarian, Mr. S. O. Banjo
guilty of gross professional misconduct and subsequently deregistered him from the council’s register for
two years. In Late 2009, COREN tried the Structural Engineer where he pleaded guilty to the charges of
aiding and abetting Bldr. M. B. Animashaun and Bldr (Mrs) D. M. Adesina in throwing their professional
ethics into the dusbin.

The tribunal chaired by the then COREN’s President Engr. Habu Gumel, ruled that the accused having
admitted to breaching Rules 5(1) as provided in the engineers code of conduct and Part 2 (f) of the 2nd
schedule to the Engineers (Registration etc) Act 11 2004 by pleading guilty thus the full wrath of the said
part should be invoked on the accused.

The charges read as follow: “..in the complaint letter by (CORBON), Engr. S. O. Banjo alleged to have as a
structural Engineer given a blank “form C” to Bldr. M.B. Animashaun to sign on the project which
Animashaun did not participate, thereby given the impression builder was involved in the production
process. The project in question was the WEMCO Hotel Limited in Lagos”.

In his ruling, Engr. Habu Gumel said, “the judgement of the tribunal is that going by the evidence and the
plea of guilty by the accused, he is thereby found guilty as charged. His name is hereby ordered to be struck
off the register for two years after which the tribunal upon application by the accused will decide will decide
whether to relist his name in the register”

Conclusion:
Students should note that all necessary machinery would have been put in place to ensure compliance with
the directive in addition to publication in Federal Gazette

Extract From:
Council for the Regulation of Engineering in Nigeria (COREN) (http://www.coren.ng.org)
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[Engineering Practice and Quantities] [Department of Water Resources & Environmental Engineering] [Olayinka Okeola]
Appendix 2

The Law: In Prestige Land Company v. Brian


Mullins Excavation Contractors, Inc.
“Owner Not Liable For Contractor’s
‘Unilateral’ Bid Mistake.”

A low bidder contractor claimed he had made an error in its bid and filed a counterclaim against the client
because of client’s failure to disclose the bid spread. The contractor, Messrs Mullins, argued that the client
is aware of the error but was quite in order to unfairly exploit and capitalized on it. The dispute in Prestige
Land Company v. Brian Mullins Excavation Contractors, Inc., arose from the construction of commercial
shopping centre in Harriman, Tennessee, USA.

At trial, the owner testified that it knew Mullins’s bid was substantial lower than the next lowest but it felt
comfortable with Mullins’s bid after a pre-award meeting with the firm. The owner testified that Mullins
gave three credible reasons to justify its low bid.

The trial court found that Mullins made unilateral mistake on its bid but that it failed to prove that the
owner engaged in fraud. Despite these findings, the trial court ruled that it was “equitable” to award Mullins
$101,357. The owner appealed, contending that the trial court’s award was wholly inconsistent with its
factual findings.

The appeals court concluded that Mullins failed to meet its burden of proof that the owner was aware of
the mistake and fraudulently took advantage of it. Because Mullins assured the owner that it could
complete the project for the bid amount, the appeals court found that there was no fraud by the owner.
Legally, the contract could not be reformed on the basis of Mullins’s unilateral mistake.

Extract From:
Owner Not Liable For Contractor’s ‘Unilateral’ Bid Mistake
By : Michael C. Loulakis
(President and CEO, Capital Project Strategies, LLC, Reston, Virginia)
Civil Engineering. American Society of Civil Engineer. February, 2011 47
Page

[Engineering Practice and Quantities] [Department of Water Resources & Environmental Engineering] [Olayinka Okeola]
Appendix 3

“Court Allows Unsuccessful Bidder to Sue Architect


for ‘Malice’ in Bid Selection Process”

In Cedromi Associates Inc. v. Tomblinson, Harburn Associates Architect and Planners, Inc. (THA), the low
bidder on a project alleged that an architect retained to assist the owner with the bid selection intentionally
interfered with its bid, causing it bid, causing it to lose the award. The case arose from the construction of
a school sites in Michigan for the Davison Community Schools (DCS) in which DCS retained THA to review
and make recommendations on final award.

At the trial level, the court ruled in favor of THA at the summary phase and dismissed Cedroni’s lawsuit,
finding that it had no legal grounds for the suit because it lacked any “valid business expectancy” In other
words, Cedroni had no right to assume it would have otherwise obtained the contract. On appeal, however,
the Michigan Court of Appeals reversed the lower court’s finding.

The court found that Cedroni presented enough evidence to support its claim that THA had intentionally
and improperly interfered with its bid by “inaccurately portraying” its past performance. Further, it found
that THA did so out of spite arising from the previous projects.

Legally, contractors are not permitted to sue architecture and engineering firms in the absence of a contract
between the parties because economic damages cannot be recovered in negligence claims. In this case,
however, the legal theory was unusual in that it was predicated upon the bidder’s loss of expectancy
damages. What is most surprising about this decision is that the court found that conflicting versions of
events on past projects somehow rose to the level of finding that THA might have been intentionally
“untruthful”.

Conclusion:
Architecture and engineering firms providing clients with bid selection services need to take heed to this
atypical ruling.

Extract From:
“Court Allows Unsuccessful Bidder to Sue Architect
for ‘Malice’ in Bid Selection Process”
By : Michael C. Loulakis
(President and CEO, Capital Project Strategies, LLC, Reston, Virginia)
Civil Engineering. American Society of Civil Engineer. February, 2011
48
Page

[Engineering Practice and Quantities] [Department of Water Resources & Environmental Engineering] [Olayinka Okeola]
Appendix 4

Conventional Water Treatment


Conventional surface water treatment plants are essentially sequence of processes. After screening out
large objects (eg fish, sticks, etc) coagulant chemicals are added to the water to cause suspended particles
that which make water turbid to be attracted to each other and form “flocs.” Flocculation is the
formation of larger flocs from smaller flocs. This is achieved using gentle, constant mixing of the water to
encourage particles and small floc to coalesce and form larger floc. The water is then moved into a quiet
sedimentation basin to settle out the solids. Once the flocs are large and heavy enough to be settled, the
water moves into quiet sedimentation or settling basins. When most of the solids have settled out, some
form of filtration either with sand or with membranes typically occurs.

Disinfection is usually the next step. After disinfection, various chemicals may also be added to adjust pH,
to prevent corrosion of the distribution system, or to prevent tooth decay. Free chlorine, chloramines,
and chlorine dioxide are common disinfectants. Ozone, a colorless gas, treats organic and inorganic
contaminants in much the same way as chlorination but is even more effective against bacteria and other
germs. Ozone systems are uncommon in much of the world because they are infrastructure intensive, and
they can be expensive to implement. Distribution move water from a source or a water treatment plant
to the people. Water distribution requires infrastructure which can range from complex pipe systems to
the simplest of water containers.

49
Page

[Engineering Practice and Quantities] [Department of Water Resources & Environmental Engineering] [Olayinka Okeola]
Appendix 5

Bill of Engineering Measurement and Evaluation For Proposed Ring Road Section A (Pages 51-53)

The four feasible option of the road segment are listed below:

1. Road Type A
Dual carriage (2 X 5.5m and 2m median) with concrete Drainage and pedestrian walkway

2. Road Type A1
Dual carriage (2 X 5.5m and 2m median) with Filled Block Drainage and pedestrian walkway

3. Road Type B
Single carriage (7.2m) with concrete Drainage and pedestrian walkway.

4. Road Type B1
Single carriage (7.2m) with Filled Block Drainage and pedestrian walkway.

50
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[Engineering Practice and Quantities] [Department of Water Resources & Environmental Engineering] [Olayinka Okeola]
51
Page

[Engineering Practice and Quantities] [Department of Water Resources & Environmental Engineering] [Olayinka Okeola]
52
Page

[Engineering Practice and Quantities] [Department of Water Resources & Environmental Engineering] [Olayinka Okeola]
53
Page

[Engineering Practice and Quantities] [Department of Water Resources & Environmental Engineering] [Olayinka Okeola]
BILL OF ENGINEERING MEASUREMENT AND EVALUATION
FOR TYPE A ROAD (Dual carriage with concrete drainage at
both sides)

Amount in
DESCRIPTION Qty Unit Rate Naira
A SITE CLEARANCE & EARTHWORK
1 Allow for preliminaries to be dispenced as directed LOT 500000.00
Clear site on either side of the centre line of all bush, roofs, anthills and cart
2 to spoil 40000 sq.m 30 1200000.00
Excavate from approved borrow pit, haul excavated material any distance,
deposit, spread, shape to 100% BS completion in layer of 150mm as sub-
3 base 60000 cu.m 1500 90000000.00
4 Ditto as base material (Provisional) 60000 cu.m 1500 90000000.00

B CULVERTS AND DRAINS


Provide and lay 900mm diameter precast RC ring culvert including blinding
1 and surround complete. Rate inclusive of excavation and shuttering 80 m 35000 2800000.00
Provide, mix and place concrete grade 20 in headwalls, wing walls and
2 aprons of culvert. 3 cu.m 18000 54000.00
2a HT 10mm in headwall, wingwall and aprons of culvert 500 Kg 270 135000.00
2b Sawn formwork to sides of wingwall and headwall 25 sq.m 600 15000.00
3 Excavate for sides drainage not exceeding 1m depth and cart to spoil 4000 m 260 1040000.00
Provide and lay reinforced concrete rectangular drainage, 100mm wall and
4 150mm base. Rate inclusive of formwork and H10 reinforcement. 4000 m 11700 46800000.00

C PAVEMENT AND SURFACING


Provide and lay prime coat using MC1 cut back bitumen at 1.0L/m2
1 including blinding with quarry fine or sharp sand 22000 sq.m 300 6600000.00
Provide, lay, and compact asphaltic concrete wearing course to a compacted
thickness of 40mm on carriageway inclding bituminous tack coat application
2 at the rate of 0.3Li/m2 22000 sq.m 2500 55000000.00
Provide and lay concrete kerb to demarcate the median, island, both sidesof
3 the road and as directed including blinding and haunching 8500 m 1200 10200000.00
4 Allow for road markings and erection of road signs LOT
Provide, mix and place 100mm insitu concrete in pedestrian pavement 1.5m
wide. Rate inclusive BRC (A195) and 15mm expansion joint at 1m
5 intervals. 40000 m 3400 136000000.00

Total 440344000.00
5% Vat 22017200.00
2% Contingencies 8806880.00

GRAND TOTAL 471168080.00


54 Page

[Engineering Practice and Quantities] [Department of Water Resources & Environmental Engineering] [Olayinka Okeola]
BILL OF ENGINEERING MEASUREMENT AND EVALUATION
FOR TYPE A1 ROAD (Dual carriage with solid blockwall
drainage at both sides)

Amount in
DESCRIPTION Qty Unit Rate Naira
A SITE CLEARANCE & EARTHWORK
1 Allow for preliminaries to be dispence as directed LOT 500000.00
Clear site on either side of the centre line of all bush, roofs, anthills and cart
2 to spoil 40000 sq.m 30 1200000.00
Excavate from approved borrow pit, haul excavated material any distance,
deposit, spread, shape to 100% BS completion in layer of 150mm as sub-
3 base 60000 cu.m 1500 90000000.00
4 Ditto as base material (Provisional) 60000 cu.m 1500 90000000.00

B CULVERTS AND DRAINS


Provide and lay 900mm diameter precast RC ring culvert including blinding
1 and surround complete. Rate inclusive of excavation and shuttering 80 m 35000 2800000.00
Provide, mix and place concrete grade 20 in headwalls, wing walls and
2 aprons of culvert. 3 cu.m 18000 54000.00
2a HT 10mm in headwall, wingwall and aprons of culvert 500 Kg 270 135000.00
2b Sawn formwork to sides of wingwall and headwall 25 sq.m 600 15000.00
3 Excavate for sides drainage not exceeding 1m depth and cart to spoil. 4000 m 260 1040000.00
Provide 225mm hollow blockwall laid in strecher bond fill solid with 1:3:6
concrete on 150mm 1:3:6 concrete bed. Rate inclusive of 100mm concrete
4 coping and 12mm rendering on internal wall at 600mm distance 4000 m 4500 18000000.00

C PAVEMENT AND SURFACING


Provide and lay prime coat using MC1 cut back bitumen at 1.0L/m2
1 including blinding with quarry fine or sharp sand 22000 sq.m 300 6600000.00
Provide, lay, and compact asphaltic concrete wearing course to a compacted
thickness of 40mm on carriageway inclding bituminous tack coat application
2 at the rate of 0.3Li/m2 22000 sq.m 2500 55000000.00
Provide and lay concrete kerb to demarcate the median, island, both sidesof
3 the road and as directed including blinding and haunching 8500 m 1200 10200000.00
4 Allow for road markings and erection of road signs LOT 100000.00
Provide, mix and place 100mm insitu concrete in pedestrian pavement 1.5m
wide. Rate inclusive BRC (A195) and 15mm expansion joint at 1m
5 intervals. 40000 m 3400 136000000.00

Total 411144000.00
5% Vat 20557200.00
2% Contingencies 8222880.00

GRAND TOTAL 439924080.00


55 Page

[Engineering Practice and Quantities] [Department of Water Resources & Environmental Engineering] [Olayinka Okeola]
BILL OF ENGINEERING MEASUREMENT AND EVALUATION
FOR TYPE B ROAD (Single carriage with concrete drainage at
both sides)

Amount in
DESCRIPTION Qty Unit Rate Naira
A SITE CLEARANCE & EARTHWORK
1 Allow for preliminaries to be dispence as directed LOT 500000.00
Clear site on either side of the centre line of all bush, roofs, anthills and cart
2 to spoil 30000 sq.m 30 900000.00
Excavate from approved borrow pit, haul excavated material any distance,
deposit, spread, shape to 100% BS completion in layer of 150mm as sub-
3 base 4500 cu.m 1500 6750000.00
4 Ditto as base material (Provisional) 4500 cu.m 1500 6750000.00

B CULVERTS AND DRAINS


Provide and lay 900mm diameter precast RC ring culvert including blinding
1 and surround complete. Rate inclusive of excavation and shuttering 60 m 35000 2100000.00
Provide, mix and place concrete grade 20 in headwalls, wing walls and
2 aprons of culvert. 3 cu.m 18000 54000.00
2a HT 10mm in headwall, wingwall and aprons of culvert 500 Kg 270 135000.00
2b Sawn formwork to sides of wingwall and headwall 25 sq.m 600 15000.00
3 Excavate for sides drainage not exceeding 1m depth and cart to spoil. 4000 m 260 1040000.00
Provide and lay reinforced concrete rectangular drainage, 100mm wall and
4 150mm base. Rate inclusive of formwork and H10 reinforcement. 4000 m 11700 46800000.00

C PAVEMENT AND SURFACING


Provide and lay prime coat using MC1 cut back bitumen at 1.0L/m2
1 including blinding with quarry fine or sharp sand 14500 sq.m 300 4350000.00
Provide, lay, and compact asphaltic concrete wearing course to a compacted
thickness of 40mm on carriageway inclding bituminous tack coat application
2 at the rate of 0.3Li/m2 14500 sq.m 2500 36250000.00
3 Provide and lay concrete kerb at both road sides and as directed. 4500 m 1200 5400000.00
4 Allow for road markings and erection of road signs LOT 100000.00
Provide, mix and place 100mm insitu concrete in pedestrian pavement 1.5m
wide. Rate inclusive BRC (A195) and 15mm expansion joint at 1m
5 intervals. 4000 m 3400 13600000.00

Total 124244000.00
5% Vat 6212200.00
2% Contingencies 2484880.00

GRAND TOTAL 132941080.00


56 Page

[Engineering Practice and Quantities] [Department of Water Resources & Environmental Engineering] [Olayinka Okeola]
BILL OF ENGINEERING MEASUREMENT AND EVALUATION
FOR TYPE B1 ROAD (Single carriage with solid blockwall
drainage at both sides)

Amount in
DESCRIPTION Qty Unit Rate Naira

A SITE CLEARANCE & EARTHWORK


1 Allow for preliminaries to be dispence as directed Lot 500000.00
Clear site on either side of the centre line of all bush, roofs, anthills and cart
2 to spoil 30000 sq.m 30 900000.00
Excavate from approved borrow pit, haul excavated material any distance,
deposit, spread, shape to 100% BS completion in layer of 150mm as sub-
3 base 4500 cu.m 1500 6750000.00
4 Ditto as base material (Provisional) 4500 cu.m 1500 6750000.00

B CULVERTS AND DRAINS


Provide and lay 900mm diameter precast RC ring culvert including blinding
1 and surround complete. Rate inclusive of excavation and shuttering 60 m 35000 2100000.00
Provide, mix and place concrete grade 20 in headwalls, wing walls and
2 aprons of culvert. 3 cu.m 18000 54000.00
2a HT 10mm in headwall, wingwall and aprons of culvert 500 Kg 270 135000.00
2b Sawn formwork to sides of wingwall and headwall 25 sq.m 600 15000.00
3 Excavate for sides drainage not exceeding 1m depth. 4000 m 260 1040000.00
Provide 225mm hollow blockwall laid in strecher bond fill solid with 1:3:6
concrete on 150mm 1:3:6 concrete bed. Rate inclusive of 100mm concrete
4 coping and 12mm rendering on internal wall at 600mm distance 4000 m 4500 18000000.00

C PAVEMENT AND SURFACING


Provide and lay prime coat using MC1 cut back bitumen at 1.0L/m2
1 including blinding with quarry fine or sharp sand 14500 sq.m 300 4350000.00
Provide, lay, and compact asphaltic concrete wearing course to a compacted
thickness of 40mm on carriageway inclding bituminous tack coat application
2 at the rate of 0.3Li/m2 14500 sq.m 2500 36250000.00
3 Provide and lay concrete kerb at both road sides and as directed. 4500 m 1200 5400000.00
4 Allow for road markings and erection of road signs LOT 100000.00
Provide, mix and place 100mm insitu concrete in pedestrian pavement 1.5m
wide. Rate inclusive BRC (A195) and 15mm expansion joint at 1m
5 intervals. 4000 m 3400 13600000.00

Total 95444000.00
5% Vat 4772200.00
2% Contingencies 1908880.00

GRAND TOTAL 102125080.00


57 Page

[Engineering Practice and Quantities] [Department of Water Resources & Environmental Engineering] [Olayinka Okeola]
Appendix 6

MECHANICAL & ELECTRICAL BILL OF ENGINEERING MEASUREMENT AND


EVALUATION (BEME).

PROJECT No 1:
Offices for College Of Health Science
University of Ilorin

PROJECT LOCATION: University of Ilorin Teaching Hospital

CONSULTANT: Ibironke Technologies Limited. Ilorin.


(Electrical and Mechanical Engineers)

PROJECT No. 2:
Offices for Faculty of Business & Social Sciences
University of Ilorin

PROJECT LOCATION: University of Ilorin

CONSULTANT: Alim & Associates Ltd. Kaduna.

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[Engineering Practice and Quantities] [Department of Water Resources & Environmental Engineering] [Olayinka Okeola]

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