Section 120
Period Of Procurement Contract May Be Extended
(1) If the work under the procurement contract cannot be completed within the period of such a contract because of the occurrence of the circumstance set out in Section 56 of the Act, the concerned construction entrepreneur, supplier, service provider or consultant shall make an application, stating the reason therefor, to the concerned public entity for the extension of the period, at least twenty-one days before the expiration of the term of such contract.
(1a) Notwithstanding anything contained in sub-rule (1), in the case of a procurement contract which has been concluded and of which term has expired prior to the commencement of this sub-rule,
the concerned construction entrepreneur, supplier, service provider or consultant shall make an application for the extension of term, not later than twenty-one days of the commencement of this sub-rule.
(2) Upon receipt of an application pursuant to sub-rules (1) and (1a), the concerned competent authority may make, or cause to be made, necessary inquiry into the matter. In so making or causing to be made inquiry, the authority shall have regard to the following matters:
(a) Whether the concerned construction entrepreneur, supplier, service provider or consultant has made best efforts to complete the work under the procurement contract in time or not,
(b) Whether the concerned public entity has provided the construction entrepreneur, supplier, service provider or consultant with the matters required to be provided under the contract or not, …….
(b1) Whether the delay in work has been made because of the requirement of documents pursuant to Section 67A. of the Act or not,
(c) Whether the delay in work has been made because of a force majeure event or not,
(3) If, upon inquiry made pursuant to sub-rule (2), the reason referred to in the application appears to be reasonable, the authority accepting the bid may extend the term if it is required to extend the term not exceeding fifteen percent of the original period of the
contract, and the head of department may extend the term if it is required to extend the term exceeding the said period but not exceeding twenty-five percent period of the term.
(4) If there is a reasonable for extending the term of a period exceeding the period set forth in sub-rule (3), the secretary of the concerned Ministry or entity may extend the term.
(5) The decision on extension of the term referred to in sub- rules (3) and (4) shall be made within the period of the contract.
(6) Notwithstanding anything contained in this Rule, no extension of term shall be so made as to exceed fifty percent of the original term of the contract.
218Provided that if, in the case of any procurement contract concluded prior to 6 June 2019 (23 Jesta 2076) and for the extension of the period of which an application has been made, it appears on the basis of, inter alia, the technical report and upon an analysis of the work progress and remaining work that the work under the contract can be completed if the period is extended, the special class or equivalent officer of the concerned Ministry or entity may so extend the period not exceeding one year that such extension does not result in any additional financial burden on the public entity or project. In the case of one who fails to complete the work under the contract even within the period so extended, the performance security and other security or guarantee, if any, furnished by such a person shall be forfeited and the loss and damage resulted from such failure to complete the work shall be recovered in accordance with the
prevailing law and such person shall be blacklisted and subject to action under the prevailing law.
(7) If the term is not extended pursuant to sub-rules (3), (4) and (6), the contract shall be terminated.
(1a) Notwithstanding anything contained in sub-rule (1), in the case of a procurement contract which has been concluded and of which term has expired prior to the commencement of this sub-rule,
the concerned construction entrepreneur, supplier, service provider or consultant shall make an application for the extension of term, not later than twenty-one days of the commencement of this sub-rule.
(2) Upon receipt of an application pursuant to sub-rules (1) and (1a), the concerned competent authority may make, or cause to be made, necessary inquiry into the matter. In so making or causing to be made inquiry, the authority shall have regard to the following matters:
(a) Whether the concerned construction entrepreneur, supplier, service provider or consultant has made best efforts to complete the work under the procurement contract in time or not,
(b) Whether the concerned public entity has provided the construction entrepreneur, supplier, service provider or consultant with the matters required to be provided under the contract or not, …….
(b1) Whether the delay in work has been made because of the requirement of documents pursuant to Section 67A. of the Act or not,
(c) Whether the delay in work has been made because of a force majeure event or not,
(3) If, upon inquiry made pursuant to sub-rule (2), the reason referred to in the application appears to be reasonable, the authority accepting the bid may extend the term if it is required to extend the term not exceeding fifteen percent of the original period of the
contract, and the head of department may extend the term if it is required to extend the term exceeding the said period but not exceeding twenty-five percent period of the term.
(4) If there is a reasonable for extending the term of a period exceeding the period set forth in sub-rule (3), the secretary of the concerned Ministry or entity may extend the term.
(5) The decision on extension of the term referred to in sub- rules (3) and (4) shall be made within the period of the contract.
(6) Notwithstanding anything contained in this Rule, no extension of term shall be so made as to exceed fifty percent of the original term of the contract.
218Provided that if, in the case of any procurement contract concluded prior to 6 June 2019 (23 Jesta 2076) and for the extension of the period of which an application has been made, it appears on the basis of, inter alia, the technical report and upon an analysis of the work progress and remaining work that the work under the contract can be completed if the period is extended, the special class or equivalent officer of the concerned Ministry or entity may so extend the period not exceeding one year that such extension does not result in any additional financial burden on the public entity or project. In the case of one who fails to complete the work under the contract even within the period so extended, the performance security and other security or guarantee, if any, furnished by such a person shall be forfeited and the loss and damage resulted from such failure to complete the work shall be recovered in accordance with the
prevailing law and such person shall be blacklisted and subject to action under the prevailing law.
(7) If the term is not extended pursuant to sub-rules (3), (4) and (6), the contract shall be terminated.