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Construction Law/PC-I and PQ Requirements


Sir, I want to ask the following:

What is meant by PC-I and who prepares it?

What is criteria for calculating turnover,cashflow and line of credit figures, for pre-qualification requirements of contractors.



Dear Zany,
Hope you will be Ok and waiting for the answer.Here is reply of your Q:

PC-1 Form means a document containg justification ,viability,and estimated cost of a project on a standard format of Planning commission, Govt. of Pakistan. It is generally prepared by the personnel of  Govt Organization for the approval of Planning Commission. After its approval,funds are allocated for the implementation of the project.We may also call it Performa for Development Project.

Turnover is the total cashflow amount of a company during the financial year or we may say the total certified payments received for the completed  or on-going contracts  during the year.
Normally Average annual turnover of a constructor for the last few years are considered to determine its financial soundness for prequalification. Line of credit is obtained from the bank which is a specfic limit of money for the crdit purpose,for which bank take responsability. It may include in the assets of a copany and is considered in evaluation of abidder. Net worth of a bidder  is calculated as difference between  total assets and total Liabilities which should be positive as a minimum.Hope It will help you.
This time, I,m answering late due to some my personal business for which I,m extremly sorry.
Engr Arshad Mahmood  

Construction Law

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Arshad Mahmood


I may answer to the questions relating to FIDIC 4th as well as FIDIC 2010 MDB Harmonized version,price adjustment ,Variations,Eot and Cost claims,EPC Contract,Bidding Document,consultancy Contracts,certification,Standard Forms, Dispute resolution; and others pertaining to Contract implementation.


Contract management and Contract Administration, using FIDIC Conditions of 4th Addition as well as Fidic 1999 Red, Yellow and Silver Books including MDB Harmonized Edition 2010. Particularly in the area of Procurement of Contracts, Certification,Price Adjustment, variations,disputes management, EoT and Cost Claims; and other contractual issues arises from time to time during currecy of the Contracts.

Member -Pakistan Engineering Council Member -Pakistan Engineering Congress Member -FIDIC Organisation

Joint Venture and Consortium Agreements for Pakistan Engineering Council,Pakistan

BSc Civil Engineering; Basic Management course; Hydro power Projects; and various other on Job Trainings

Awards and Honors
Commendation Certificate for the excellent management qualities and dedication at Ghazi Barotha Hydropower Project; and Certificate of Excellent work performed during Survey Camp.

Past/Present Clients
Water and Power Development Authority (WAPDA),Associate Consulting Engineer(ACE) and National Engineering services Pakistan(Pvt.) Limited (NESPAK)

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