The FIDIC Green Book, officially titled the Short Form of Contract, is designed for projects with low risk or where simple contract administration is preferred.
- Low Financial Value: Projects where the cost is relatively low, and the risks of cost overrun are manageable.
- Short Duration: Works that can be completed in a short timeframe (typically under 12 months).
- Simple Design: Projects where the design is established before tendering, or where the design requirements are simple.
- Geographical Proximity: Generally intended for use within a single jurisdiction rather than cross-border international projects, though it can be adapted.
- Tailor insurance clauses: ensure types, amounts, and beneficiaries fit project exposure (employer’s property, third-party liability, professional indemnity if design responsibility exists).
- Clarify scope of works and employer-provided information: include schedules, drawings, and performance specifications to reduce latent-conditions disputes.
- Strengthen claims procedure where needed: extend notice windows or add interim relief procedures for projects likely to generate frequent variations.
- Define testing and Taking-Over mechanics: state criteria, thresholds, and consequences for partial completions to avoid disputes on completion certificates and payments.
- Consider dispute resolution ladder: preserve amicable settlement and add adjudication or dispute adjudication board (DAB) steps for faster, low-cost resolution before arbitration.
- Use a clear tender annex: require bidders to price standard items and list assumptions and exclusions to avoid later change-order arguments.
3. The Role of "The Engineer"
Unlike the 2017 Red/Yellow/Silver suite which emphasizes checks and balances, the Green Book retains a simpler structure. The "Engineer" is not an independent certifier in the strict sense but acts as the Employer’s agent. The article notes that this speeds up decision-making but requires a high level of trust between the Employer and Contractor.