Terms And Conditions For Bitumen Supplies Prices- Prices are variable and will be fixed by individual oil companies themselves on import parity basis. DGS&D will be kept informed of the revision in the prices. Prices are revised every month and declared in case of any revision by the oil companies Refinery-wise which are market driven and/or on import parity basis. Such changes shall be notified through submission of Master Price List of DGS&D with a copy to CCA alongwith certificate regarding import parity from company’s Auditors, as per AnnexureI enclosed. The firm will furnish every month a certificate duly signed by their auditor that the rates charged from DGS&D against the R/C are lower than those offered to other customers. 2. Surcharges, Sales Tax, Octroi Duty, Other Charges, Etc:(a) Surcharge, Sales tax Central/ State, Octroi Duty, Terminal Taxes, all local/Municipal Taxes/levies, wherever incurred, will be charged extra and recovered from the purchaser at the rate ruling on the date of supply in addition to the price quoted which are exclusive of the same. (b) Changes due to fresh imposition of the taxes/duties/levies/any other changes will be to the buyer’s account from the date of the changes/fresh imposition comes into force. (c) Central Sales Tax/State Sales Tax/VAT as applicable from time to time and as incurred by oil companies on the date of dispatch/delivery will be recovered in addition to the prices and surcharges quoted. For any further amendments to the sales tax rates, oil companies shall give the reference number of the relevant Government Notification and such revision should be accepted without any further documentary evidence. For sales tax paid as per the rules framed under the sales tax Act and as amended from time to time by the sales tax authorities, no responsibility will rest on oil companies to prove or ensure that the particular transaction is legally liable taxation. (d) The ex MI/Refiner/Depot prices indicated in covering letter of the respective oil companies and clause No. 6 of oil companies storage point prices and do not include free delivery within Municipal limits. Excise Duty as applicable on above levies siding and shunting charges will be charged extra. The prices are also exclusive of surcharges/Sales Tax Central/State octroi duty/local Municipal taxes/levies etc, which will be charged extra at actuals. (e) Exemption/concessional rate of Sales Tax, Local Duties, Taxes, Etc:- Where there is an exemption or a concessional rate of Sales Tax, local Duties/taxes, etc on supplies drawn by the Indentors, under this contract such exemption/concessional certificates shall be submitted by the Indentors at the time of placing their orders. Claims on this account, if any, shall be preferred by the Indentors direct on the authorities, concerned and shall not be referred back to oil companies. It may be noted that separate stocks will not be maintained by oil companies for the purpose of this clause. Delivery will be affected from oil company’s normal stocks and all local duties and taxes as levied on the date of delivery shall be charged to the buyer extra.
-23. Excise Duty:- Payable extra as applicable at time of supply. 4. Terms of Supply:4.1 Bulk Bitumen 4.1.1 Bulk Bitumen is supplied by oil companies on ex MI basis at the refineries/main Installations through customers/their contractors transport. 4.1.2 Oil Companies may also assist in arranging the bulk transportation at the consignees cost and risk. 4.2 Packed Bitumen: 4.2.1 Packed Bitumen is supplied by oil companies on ex MI basis at the refineries/main Installations through customers/their contractors transport. 4.2.2 Packed Bitumen Supplies by Rail:-Supplies will be made from the normal sources of supply to any destination freight to pay basis. In case however, supplies are made from sources other than the normal Main Installation/Refineries as authorized by the Ministry of Petroleum & Natural Gas. From time to time the same shall be booked ‘Freight to Pay’ only and the prices payable will be the normal MI/Refinery prices plus national rail freight from the normal MI/Refinery to the destination. You shall adjust the difference between the actual rail freight form the supply point as appearing on the railway receipt point to the same destination in bills submitted to the Chief Controller of Accounts, New Delhi certified by your Internal Auditor, any payment will be effected accordingly pending acceptance of the notional railway freight you shall submit your bills with such national Rly. Freight certified as correct by your accounts office only. In case the supplies are made in full rakes load, the same will be dispatched on ‘Freight paid basis’. 4.2.3 Loading of wagons will be done with due care and in appropriate manner generally adopted by the trade to avoid loss or damages in transit to the containers as well as the contents. 4.2.4 Despatch to customers by rail is dependant on the availability of booking as also rolling stock including bulk rail tank wagons, provided by the Railway authorities. 4.2.5 Siding and Shunting Charges: Siding & Shunting Charges against all supplies by rail on ‘freight to pay basis’ incurred by you and duly certified by your Accounts Officer/Internal Auditor will be paid extra as a separate item in your bills. 4.2.6 Transportation/Handling Charges:-Transportation/handling charges will constitute recoverable cost and will be recovered wherever incurred, for loading of Bitumen drums ex rail heads at actuals duly certified by your Accounts Officer/Internal Auditor. These charges will be shown separately in challans/bills. A copy of agreement with transporters containing schedule of rate & destination-wise shall be furnished to Chief Controller of Accounts, New Delhi under intimation to DGS&D for reimbursement of transportation charges. 4.2.7 Oil companies shall be reimbursed transportation & Handling charges for loading of Bitumen Drum Ex-Rail Heads outside refinery sidings at actuals only certified by oil companies’ Accountant, in the bills.
-35. Supplies to Indian Islands:(a) Price build up will be as under:(i) Ex main Installation/Refinery price due (ii) All on costs/charges from Main Installations Refinery to the points of loading and or shipment at actuals. (b) Terms of Supply:- Costs/charges for item a) ii) above as certified by OC’s Accountant in the bills will be accepted and paid by the Chief Controller of Accounts without any further supporting documents. Also OC’s bills quoting bills of lading number and date under which the product is dispatched, will be accepted as proof of dispatch for 100% payment as in the case of Railway receipt for supplies by Rail in wagons. 6. Upcountry Supplies:- For supplies of Bitumen in Bulk by rail in tank wagons/container/ buyer’s tank lorries/packed in non-returnable new steel drums ex oil companies Refineries/Main Installation/Depots/Warehouses/storage yard. The Price build up will be as under:(a) Normal MI rate plus notional railway freight from normal MI to the destination, plus loading/unloading/transportation/storing/handling and operating costs of the depot would be charged extra. The selling prices ex depots will be notified through Master price lists. (b) Sales Tax and other taxes will be extra as legally applicable. 7. Delivery in oil companies/contractor’s Transports:Oil companies will, if desired by the purchaser undertake delivery of bulk/packed Bitumen, wherever possible/feasible in their own/their contractor’s transport ex-oil companies MI/Refineries/Depots for delivery at consignee’s end as a special case and will recover transportation charges and any other charges like octroi, Entry-Tax etc legally leviable in transit at acutals in bills dully certified by Oil Companies’ Accountant. 8. Supply Orders:a) Supply order should be placed in triplicate by the DDOs on the respective oil company offices as per the attachment given by the individual oil companies. b) Where supplies are ordered in bulk, delivery is given in buyer’s or their contractors Bulk road tank lorry in loads of 6/7 MT to 12/13 MT or in rail tank wagons loads of carrying capacity approx. 17MT nett at the points specified. Bulk Bitumen supplies by rail is dependent upon availability of booking tank wagons. c) The DDOs Should as far as possible place supply orders in multiple of wagon loads (approximately) and the balance quantity, if any, will be treated as cancelled, unless otherwise it is increased to full wagon load. All supply orders placed by the DDOs and copies of amendments thereof forwarded to CCA should be acknowledged by the CCA under copy to oil companies. Incase any supply order is not received by the CCA New Delhi a certified copy duly attested by an authorized officer of the company whose name & designation shall be given to CCA shall be accepted for payment. d) The indentor will give the following certificates alongwith the supply order. i) Certified that a copy of the supply order has been forwarded to the CCA, New Delhi and the Director of Inspection/Inspecting officer concerned under Regd. Post, and the postal registration No. is………………. Dated………………………….. ii) Certified that the supply order No. and date is the same on all the copies of the supply orders marked to the CCA, New Delhi and the Director of Inspection/Inspecting officer.
-4e) Acknowledgement of Supply orders by the Chief Controller of Accounts:All supply orders placed by the DDOs and copies of amendments thereof forwarded to the Chief Controller of Accounts office should be acknowledged by the Chief Controller of Accounts under copy to the concerned oil company’s offices as per clause 6. f) The DDOs should indicate in the supply orders the alternative sources from which supplies are acceptable to them to enable oil companies to undertake supply from any source, in case supplies from the sources required is not available for any reasons what so ever. 9. Excess Supply against supply order:- Supply made in excess of the quantities stipulated in the supply orders upto 10% thereof irrespective of its value will be accepted by the consignee and payment made by the Chief Controller of Accounts without an amendment to the supply order. 10. A supply order should placed by the DDOs as per the addresses of the offices of the firm as given in schedule-B. i) To ensure prompt service, supply orders duly complied in accordance with the terms of the contract with detailed dispatch instructions together with the Sales Tax Declaration form etc where applicable should be forwarded to the firm’s offices concerned. On receipt of the supply order, firm will acknowledge the same and arrange delivery of the stores. ii) The bills are to be submitted by oil companies and the payments there of will be made to them. iii) Records of quarterly drawals will be submitted as usual. 11. Railway undercharges :-In case any Railway undercharge is required to be paid by consignee, while receiving packed Bitumen supplies by Rail from other than normal Main Installations, the consignee has to obtain the reasons for such undercharge from the appropriate Railway Authorities and have the levy verified by the Chief Commercial Superintendent (Rates) of the booking station of Railway zone. In case of latter’s concurrence, the consignee should lodge a claim with the oil companies within 90 days form the date of receipt of supplies or one month of receipt of such concurrence whichever is earlier attaching certified/photo copies of his letter to CCS (Rates) and latter’s reply along with relevant connecting information, such as:a) Designation & Address of Indentor. b) Supply Order reference. c) Booking station & Destination d) Quantity e) Reference Nos. of Railway Receipts & Oil Company’s Delivery challans. f) Money receipt/credit Note reference for the undercharge, in the event of non-receipt of concurrence/reply from the CCS (Rates) of the booking station of Railway zone, oil companies will not be in a position to reimburse the undercharge and it will be the consignee’s responsibility to settle the matter directly with the Railways by lodging a formal claim with them, if necessary.
-512. Force Majeure :- DGS&D Standard Force Majeure clause is applicable to this contract subject to the following:‘Import or Export restrictions or reduction in Foreign Exchange allocated for importation of products, crude oils additives and drums steel as compared to the current foreign exchange requirements etc. 13. Dispatch Of Railway Receipt By Registered Post :- The Railway Receipt or other forwarding documents will be dispatched by registered post. If the indentor so desires, firm can send the Railway Receipt by speed post to enable the indentor to get the same quickly. R/R will be dispatched promptly after receipt from the Railway. If dispatch of the R/R is delayed due to intervening Sundays or Holidays, under such circumstances the firm will not be responsible for demurrage/wharfage and/or incidental expenses, if incurred by the consignee, on this account. In case of postal delay in receipt of RRs, consignee may take delivery on production of Indemnity bond as per Railway Rules, to avoid demurrages. 14. Weight And Measures:- Weight/Measures as in the delivery/dispatch documents shall be accepted by the Paying Authority as a conclusive evidence of the quantity supplied/delivered for effecting payment. The purchaser may have the weight/measurements checked before the product leaves oil company premises/filled in buyers containers, if so desired, provided always that Oil Company shall be entitled to proceed in the absence of such a representative to bill for dispatches/deliveries in accordance with the quantities determined by Oil Company which shall be accepted by purchaser as correct and payment effected accordingly by Pay and Accounts Officer. 15. Fall Clause:- Fall Clause will be applicable for supply to the DGS&D consignee procuring individual items as per current DGS&D R/C and subject to conditions stipulated below:1. Individual DGS&D consignee actually uplifts individual item of a product (as per RC) which is equal to or more than the quantity uplifted by another direct consumer at – a) Same source of supply b) Within same supply zone of the supplying depot c) Ex-depot price without considering freight, taxes, duties and other levies 2. The fall clause will be applicable only during the currency of the DGS&D Rate Contract excepting the sale to other Oil Companies and sale thru’ export. 16. Transit Risk For Supplies By Rail :a) Oil companies shall be responsible for any loss in transit only in case the supplies are not packed in drums fully conforming to IS: 3575/93 with amendments No.1 &2. The drums shall be got pre inspected before filling. Alternatively, ISI marked drums shall also be acceptable. Oil Company’s responsibility ceases once the stocks are despatched/booked by oil companies to the consignees at carriers risk. The indentors, if so desire, verify the weight of the stores due for despatch to them at oil company’s storage. No rejection or acceptance in part of the quantities dispatched will be acceptable to the firm and the CCA shall settle oil companies bills for the full quantity dispatched irrespective of any remarks of consignee of short receipt or transit loss. Claims for shortage or transit loss shall be preferred on the carriers directly by the consignees themselves. Under no circumstances, any retrenchments shall be made from any oil company bills by CCA/DGS&D on this account:
-6b) Oil companies will endeavour to obtain” Clear Railway Receipt” from the Railway Authorities for the dispatches effected by Oil Companies, wherever possible. However, if the Railway authorities are able to issue only ‘said’ to contain receipts or endorse on the receipts such remarks as “Sender’s weight Accepted”. “Loading/Unloading by owner not supervised by the Railways” “Packing conditions not complied with” “P-3 not complied with”, etc, such receipts shall be treated as “Clear Railway Receipts” unless they are qualified by a statement of actual damage as discrepancy at the place of loading. 17. Consignee’s Right Of Rejection :- Consignee reserves the right to reject the stores in regard to the quality of the product for Bulk supplies made by oil companies/oil companies contractors tank trucks only. Tank Trucks should not be decanted and returned if the consignee suspects the quality of the product. Consignee may carry out penetration test at the site before decanting the truck in case of suspicion of quality. 18. Set-Off:- DGS&D standard set-off clause in acceptable to oil companies on the understanding that if there is any problem in future in its working, the matter would be reviewed. 19. Arbitration:-In the event of any dispute or difference relating to the interpretation and application of the provision of the contract, such dispute or difference shall be referred by either party to the arbitration of one of the Arbitration in the Department of Public Enterprises to be nominated by the Secretary to the Government of India, Incharge of the Bureau of Public Enterprises. The Arbitration and conciliation Act, 1996 shall not be applicable to the arbitration under this clause. The award of the Arbitration shall be binding upon the parties to the dispute, provided however, and party aggrieved by such award may make a further reference for settling the issue of revision of the award to the Law Secretary, Deptt of legal Affairs, Ministry of Law & Justice, Govt of India. Upon such reference the dispute shall be decided by the Law Secretary or the Special Secretary/Additional Secretary so authorized by the Law Secretary, whose decision shall bind the parties finally and conclusively. The parties to the dispute will share equally the cost of arbitration as intimated by the Arbitrator. In case the disputes are not resolved as above, the matter will be referred for settlement to a constituted committee for decision in terms of cabinet secretariat O.M.No. 53/3/91-cab dated 31.12.91. 20. Country of origin:- Indigenous. 21. Packing & Marking:a) Packing supplies will be made in 150/200 Kg capacity non returnable new steel drums conforming to IS:3575 (DOC:MCPD) 12 (338) finalized in 1977/1993 type B. The drums will also be marked with a monogram of ISI i.e. IS:3575 on each and every drum of lithographed or embossed. The name of the brand will be stenciled and oil painted or lithographed or embossed. Drums will be fitted with standard lids with allowance for breathing of air under temperature variation. b) If supplies are made from imported stocks, there will be no ISI markings on such drums.
-722. Supply Points: Supplies will be made subject to the availability of stocks and facilities at oil companies supply points at the time of receipt of order. Oil Companies may regret their inability to hold any minimum guaranteed stocks at their supply points, even though oil companies have offered supplies ex oil companies. Installations/Refineries are different modes of supply of oil companies who reserve the right to withdraw, amend and/augment oil companies storage points at oil company’s discretion without prior notice and as may be deemed advisable by firm in the context or oil company’s general trade requirements. 23. Delivery:a) The indenters should intimate 30 days in advance of the date by which the supplies are required by them. Oil companies shall endeavour to meet the indentors requirements in time. If, however, for any reason it cannot be complied in time the same will be intimated to the indentor concerned with the request to either extend the date of delivery or cancel the supply order. b) Products available ex stock will be supplied earlier. c) Loading of wagons will be done with due care and in appropriate manner generally adopted by the trader to avoid loss or damage in transit to the containers as well as the contents. d) Delivery in buyer’s or their contractor’s tank lorry will be effected only in full lorry loads based on the capacity of the lorry. i)Oil companies shall, if desired by the purchaser, undertake delivery of bulk bitumen wherever possible in oil companies own/contractor’s transport ex oil company’s MI/Refineries for delivery at consignee’s place as a special case and will recover transportation charges and any other charges like octroi, entry tax, etc legally leviable in transit at actual in the bills duly certified by oil companies Accountant/Internal Auditor. ii) In case, however, supplies are made by oil companies from sources other than normal MI/Refineries, oil companies will recover the actual Road/rail transportation charges from the normal MI/Refineries alongwith any other charges like octroi, entry tax etc legally leviable in transit at actuals in the bills duly certified by oil company’s Accountant/Internal Auditor. e) Oil companies will, if desired by the purchaser and subject to being feasible, undertake delivery of packed Bitumen in oil companies/contractor’s transport ExDepot/MI/Refineries for delivery to destinations indicated by the indentors as a special case and will recover transportation charges and any other charges like octroi, entry tax, etc legally leviable in transit at actuals in the bills duly certified by oil company’s Accountant/Internal Auditor. Products available ex-stocks will be supplied earlier. Delivery will be made in one lot if preferred by the indentor but the firm will not undertake to supply to any indentor at any time in any month more than/1/12th of the Indentor’s normal annual offtake.
-824. Periodical Inspection Of Bitumen (For Civil Indentors) i) There will not be any consignment-wise inspection for Bitumen. Instead, with a view to ensure quality of stores as per the contract, the Inspecting officer will visit contractor’s refineries periodically (once in every 2 months) and conduct necessary verifications and spot tests as per proforma enclosed at Annexure-II. The contractor shall provide every facility to the inspecting officer during his visit to conduct these checks. ii) Method of batch production is used for production of Bitumen. The batch test reports shall be made available to the inspecting officer for verification during his visit. iii) If the inspecting officer finds any discrepancy in the quality of a product or if the spot tests results of the samples tested during his visit are failing to meet the specification requirement, supplies of the product from the specific batch shall be stopped with immediate effect and the inspecting officer will report the position to the purchaser requesting him to advise the Controller of Accounts to stop payments against dispatches made, if any, from the lots manufactured by the works on or after such date. For this purpose, the contractor shall furnish details of dispatches made by them from that specific batch. iv) Further dispatches from the specific batch will be allowed only after the Inspecting Officer is satisfied with the quality of the product. For this purpose, the Inspecting Officer shall visit the contractor’s refineries again as early as possible and not later than within 7 days of the receipt of request for re-inspection. v) Should a consignee find fault with any consignment of stores supplied as delivered supplies only, he should send the samples drawn at the time of taking delivery to NABL approved or Government laboratory for confirmation. If the test results obtained from the laboratory are unsatisfactory the stores shall be rejected and the contractor shall be required to replace the same and deliver such replacement supply duly inspected free of cost. Test charges for such tests shall be borne by the consignee, if the test results are satisfactory and by the contractor, if otherwise. vi) Inspecting officer may also send the samples drawn at the time of delivery at consignee’s end in case of delivered supplies only at the discretion for the purpose of quality audit and send the same for testing to NABL approved or Government Laboratory for tests. In case of unsatisfactory results, the decision of the Inspecting Authority regarding the quality of supplies shall be final and contractual action shall follow accordingly. vii)Consignees Receipt Certificate:-The consignee will hand over copy No. 1,2,3 and 6 duly signed to firm at the time of taking delivery of the product and retain copy No. 4 as his office copy. The firm will keep copy No.5 as their Accounts officer’s copy. The firm will send copy nos. 1&2 to the CCA for claiming payment. The challan-cum-despatch advice form will be printed, machine numbered in book form which also shall carry the number consignee receipt certificate portion printed on the back of the CCA copy of I/Note to make it self contained. Accounts officer’s copy no.1 and copy no.2 and signature of the consignee below for them would be printed in the CRC and also these copies would be printed in different coloured papers. Copies No. 1 and 3 to 6 are to be printed in white and only copy No.2 to be printed in green. 25. Inspection:i) No separate inspection will be necessary in view of the quality certificate procedure being undertaken by oil companies. There will be no Inspection Notes.
-9ii) Laboratories responsible for testing samples: Director, NTH Calcutta/Mumbai/ Chennai/Kanpur/Delhi. iii) Inspecting officers:- Director of Quality Assurance, Mumbai/Calcutta/Chennai/ Kanpur/New Delhi as the case may be or their authorized representative. 26. System of Payment:a) For supplies by Rail/Sea/ex main Installation/ Refineries/Depot 100% payment will be made by the paying authority on submission of bills by oil companies indicating the R/R No. and date, Bill of lading No. and date under which the dispatches are made and duly supported by Accounts officer’s copies the challan-cum-despatch advise. Payment should be made within four working days on submission of bills to CCA. b) Delivery on other modes/local delivery:-100% price of each shall be paid to oil companies by CCA immediately on submission of bills accompanied by separate consignee Receipt certificate copies. No. separate delivery challans will be required where consignees receipt certificates are submitted. c) Chief Controller of Accounts, Deptt, of supply, New Delhi shall be the Paying Authority. 27. Product Certificate:-Oil companies shall furnish the following certificate in its bill in each case. “We confirm that the supply of product dispatched/delivered on…………………….. from Refinery/Main Installation Depot at…………………………. confirms to contract specification at the time of dispatch/delivery.” 28. Certificate of Genuineness And Correctness of Railway Receipt No. and Date:Oil companies will furnish the following certificate along with the bills to Chief Controller of Accounts, New Delhi. “Oil companies have examined and verified that goods in respect of which the payments is being claimed have been actually dispatched by them under RR No…………………………….. date …………………….. which has been forwarded to the consignee mentioned in the contract under Registered A/D letter on …………………. Oil companies undertake responsibility for the genuineness and correctness of the R/R details. The responsibility in this regard will rest with oil companies as the contractor.”
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