Eni Ghana Exploration & Production Ltd. Post Award Contract - - PowerPoint PPT Presentation

Eni Ghana Exploration & Production Ltd.

Nov, 2019

Post Award Contract Management

Addressing Vendor Payment and Invoicing Challenges

Index eni ghana

2

▪ Overview of Post Award Contract Management ▪ Key Contractual Clauses ▪ Challenges and Improvement Areas ▪ Q&A

Contract Management Process Flow

Handover to Contract Holder Kick Off Meeting Contract Award Call Off or Work Order Goods Receipt or Certification

• f Service

Submission

• f Final

Invoice

Procurement Department Finance Department Contract Holder/Technical Unit

Payment Feedback

Contract Holder/Technical Unit

3

eni ghana Post Award Contract Management

▪

Contract Duration and Termination

▪

Invoicing

▪

Payment

▪

Liquidated Damages

▪

Insurance

▪

Taxes

▪

Work order procedure

▪

Contract Administrator Contact details or Notices

▪

Applicable Laws

▪

Financial Securities

4

Some key Post Award Contract Management clauses Contractor must pay attention to:

All Contract Terms and Conditions must be adhered to by the Contractor

Challenges and Improvement Areas

5

▪

Reading and understanding of contract payment terms modalities

▪

Reading and understanding of contract Pro-forma and Invoicing modalities

▪

Reading and understanding of Contract Compensation and key notes (e.g. documented cost with it supporting documents)

▪

Late Submission of Pro-forma Invoice along with relevant supporting documents (e.g. field tickets/timesheets)

▪

Submission of Final Invoice instead of Pro-forma Invoice for certification

▪

Submission of Final Invoice to wrong address not indicated in the Contract

▪

Incorrect information on Pro-forma Invoice or Final Invoice:

➢ Wrong quotations of contractual Rates ➢ Wrong Contract number on Pro-forma invoices and/or Final Invoice ➢ Repeated mistakes or rejection of Contractor’s Pro-forma Invoice ➢ Incorrectness of Final Invoice with pre-approved Pro-forma Invoice

▪

Performance of Service without approved Call off

▪

Contract Variations

▪

Issues of BOG exemptions for Vendor payments in foreign currencies (FOREX)

▪

Issues with insurance certificates submission to COMPANY

▪

Contractors to read and understand the impact of cost related clauses in the Contract (e.g. insurances, taxes, etc.) at the pre-contract award stage before accepting to sign the Contract

▪

Prompt submission of Pro-forma Invoices for certification and acceptance

▪

Correctness of details on both Pro-forma and Final Invoices

▪

Correct and unquestionable supporting documents

▪

Approved procedure for execution of work, submission

• f Pro-forma and Final Invoice must be followed at all

times

▪

Up to date BOG exemptions or inform COMPANY of any difficulties with BOG in order to pay in local currency at the agreed rates in the contract