International Research Journal of Engineering and Technology (IRJET) e-ISSN: 2395-0056 Volume: 05 Issue: 10 | Oct 2018 www.irjet.net p-ISSN: 2395-0072 © 2018, IRJET | Impact Factor value: 7.211 | ISO 9001:2008 Certified Journal | Page 237 COMPERATIVE ANALYSIS OF THREE MAJOR TYPE OF CONTRACTS WITH CASE STUDY Abhijit Langhe 1 , Pravin Minde 2 1 M.E Student (Construction Management), PVPIT Engineering College, Pune, Maharashtra, India. 2 Assistant Professor, Dept. of Civil Engineering, PVPIT Engineering College, Pune, Maharashtra, India. ----------------------------------------------------------------------***--------------------------------------------------------------------- Abstract - The thirteenth FYP shows large interest in investments in infrastructure sector by India, so there is need for different types of contract that will satisfy the purpose. Engineering, procurement and construction (EPC) contracts are on the way to become the most usual form of contracting applied by the private sector to undertake construction works on large scale infrastructure projects like roads, telecommunication, petroleum, real estate etc. In every project, it is necessary to have good contract management in place; otherwise it can have negative consequences for all parties involved – the client, contractor, lenders, government, etc. Here the contractor carry’s out the designs of project, procure materials and equipment’s required as per the specifications and delivers the project in agreed duration of time. If contract management is not implemented and controlled properly, it may have a negative impact on the project as a whole. Such failures may include a delayed schedule, cost overruns, quality, safety and more. It was also found that the EPC contracting scheme could work very well, especially in the cases where the contractor is in a good position to understand all legal aspects of the contract, including the allocation of risks. A comparative study between PPP, Item Rate and Lump-Sum mode of contract will enable to know the feasible mode of contract in India. It lists certain advantages, disadvantages and their need in contract. Key Words: Contracts, EPC Contract, Lump-Sum Contract, Item Rate Contract, Contract Comparison. Construction industry is rapidly growing and therefore requires various models of contracting. For mega infrastructure projects a flexible and effective method is needed. Engineering Procurement Construction (EPC) contract is a popular type of contract for infrastructure and power projects. EPC contractors carryout designs, procure the material and equipment’s as per the specifications and deliver the project in stipulated time. Following factors are considered to measure the execution of project. Time, Cost, Quality, Cost-overrun, Time- overrun, Unit cost of building, Rate of construction, Client satisfaction EPC contracts will continue to be the predominant form of construction contract and will be used on large scale infrastructure projects in most jurisdiction. EPC contracts vary on the basis of the assignment of responsibility and related penalties. 2. LITERATURE REVIEW:- According to Ashwini Wadedwer, Shreedhar Patil (December 2015). The PPPs are good projects which deliver value for money when they are toll financed. The design and construction risk to private partners. The EPC contract plays vital role in infrastructure development. Due to investment of private partners in PPP, risk is more to private sector, mainly to the lenders or financers which goes into bad loans and delay in project completion. Because of these risk factors nowadays there is low interest from the investors in PPP. Therefore government is moving towards the EPC mode as it has fixed time limit with fixed cost. 3. OBJECTIVE:- 1. To determine most suitable type of contract for construction of flyover/road. 2. To compare three different types of contracts of same organization. 3. To identify factors causing loss or profit of project. 4. METHODOLOGY:- Fig-1 Methodology Flow Chart 1. INTRODUCTION