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MINISTRY OF
CONSTRUCTION
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SOCIALIST REPUBLIC
OF VIETNAM
Independence - Freedom - Happiness
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No.: 06/2010/TT-BXD
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Hanoi, May 26, 2010
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CIRCULAR
GUIDING
THE METHOD TO DETERMINE MACHINE SHIFT PRICE AND WORKS CONSTRUCTION EQUIPMENT
Pursuant to Decree No. 17/2008/ND-CP dated
February 4, 2008 of the Government stipulating the functions, tasks, powers and
organizational structure of the Ministry of Construction;
Pursuant to Decree No. 112/2009/ND-CP of
December 14, 2009 of the Government on management of cost of works construction
investment;
The Ministry of Construction guides the method to determine
machine shift price and works construction equipment as follows:
Chapter 1.
GENERAL
REGULATIONS
Article 1. Scope of
adjustment
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Article 2. Principle
to determine machine shift price
1. The machine shift price is determined by
each works, consistently with the technical requirements and construction
conditions (such as atmospheric salinity, topography and other similar
conditions), construction methods, construction time of building and the level
of machine shift on the market.
2. The investor, consulting organization and
contractor shall base on the method to determine the machine shift guided in
this Circular, data as a basis for determine the machine shift price and
construction equipment in the Annex issued together with this Circular to
determine the machine shift price in accordance with the works as a basis for
preparation and management of cost of works construction investment;
3. Machine and construction equipment
(hereafter referred to as machine) specified in this Circular are types of
machine and equipment are driven by motor, operated by gasoline, oil,
electricity, compressed air are used for the construction and installation of
equipment at works. A number of equipment having no motor such as trailers,
barges and other similar devices but involving in the above activities shall
also be considered as construction machinery and equipment.
4. The cost for the construction of the
machine covering house, machine foundation, compressed air, water and
electricity supply system and other similar construction carried out in the
field for the installation, operation of a number of machinery like concrete
mixers, asphalt mixers, cranes moving on rails and other similar equipment shall
be estimated separately by the construction methods included in other cost of
works estimate.
Chapter 2.
METHOD
TO DETERMINE MACHINE SHIFT PRICE
Article 3. Content of
cost in machine shift price
The machine shift price is the estimated
level of cost necessary for construction machinery and equipment in a shift.
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In general case, the machine shift price includes
depreciation costs, repair costs, fuel and energy costs, machine operator wages
and other costs of the machine determined by the following formula:
CCM = CKH
+ CSC + CNL + CTL + CCPK (Dong/ca)
(1)
In which:
- CCM: machine shift price
(dong/shift)
- CKH: depreciation costs
(dong/shift)
- CSC: repair costs (dong/shift)
- CNL: fuel and energy costs
(dong/shift)
- CTL: machine operator wages
(dong/shift)
- CCPK: other costs (dong/shift)
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Step 1: Make a list of works machine shift
quotation as prescribed in the Article below.
Step 2: Determine machine shift price as
prescribed in Article 6 below.
Step 3: Guide the application of works
machine shift quotation as prescribed in Article 6 below.
Article 5. Making of
list of works
machine shift quotation
The list of machinery of works machine shift
quotation is determined on the principle in Clause 1, Article 2 of this
Circular and needs ensuring the following contents:
- Types of machine used in accordance with
construction technology and method of works construction organization.
- Specify types of machine, machine name, a
number of essential technical and economic parameters - mainly technical (such
as bucket capacity of one-bucket, excavator, car load, lifting capacity of
crane and (or) other essential technical and economic parameters - other key
specifications) of each machine in the list.
Article 6.
Determination of machine shift price
1. Determination of depreciation costs (CKH)
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b) Formula to determine the depreciation
costs:
CKH
=
(Primary cost –
Salvage value) x Annual depreciation rate
(dong/shift) (2)
Number of annual
shift
In which:
- Primary cost: is all costs the enterprise
has to spend to have calculating machine at the time of putting that machine in
a state ready for use such as the purchase price of equipment (excluding the
cost of supplies and spare parts of accompanied purchase), import tax (if any),
cost of shipping, loading and unloading, storage, warehousing costs, installing
and testing costs and other regular costs directly related to the investment of
machine.
The primary cost for calculating the works
machine shift price is determined by the supplier’s quotation under the machine
sale contract or cost of machine from similar buildings which have or being
done on the principle of consistence with the machine price level on the market
at the time of calculation of machine shift price.
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The annual depreciation rate is determined on
the principle of consistence with the economic service life of machine and
utilization time of each type of mahine at works.
- Salvage value is the value of remaining
part of machine after disposal and is determined as follows:
With machine having primary cost from
10,000,000 dong (ten million dong) or more, the salvage value is smaller or
equal to 5 % of the cost. For machine having cost of smaller than 10,000,000
dong (ten million dong), the salvage value is not included.
- Number of annual shift: number of machine
shift usefully working is selected in a year.
The number of annual shift is determined on
the principle of consistence with the characteristics and operation process of
each type of machine, the volume of construction of works, scale of building, progress
of construction and other specific conditions.
The number of annual is calculated on the
basis of number of machine shift working during their lives and the number of
year of machine.
2. Determination of repair cost (CSC)
a) The repair costs included in the machine
shift price is the costs for repair, maintenance of machine in order to
maintain and restore working capacity under the standard working state of
machine.
b) Formula to determine the repair cost:
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=
Primary cost x
Annual repair rate
(dong/shift) (3)
Number of annual
shift
In which:
- Primary cost and number of annual shift: as
specified in Clause 1, Article 6 of this Circular.
- Annual repair rate: is determined in
accordance with regulation on technical maintenance, periodic repair, machine
operation process, machine quality, specific conditions of works and working
time of machine.
c) In the repair costs, the cost of
replacement of spare parts of working parts of machine with large value but the
depreciation of which mainly depends on the nature of working objects such as
drilling rod, drilling bit and similar replacing spare parts.
3. Determination of fuel and energy costs (CNL).
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b) Formula to determine the fuel and energy
cost
CNL
=
Fuel and energy
consumption rate
x
Fuel and energy
price
x
Kp
(dong/shift) (4)
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- Fuel and energy consumption rate is the
consumption rate of types of fuel and energy such as gas, oil, electricity or
compressed air to generate driven force for machine to work in a shift
(liter/shift, kWh/ca, m3 compressed air /shift).
Fuel and energy consumption rate in a shift
is determined on the principle of consistence with the number of operating
hours of machine in a shift and the fuel and energy consumption rate in an hour
corresponding to each type of machine.
- Fuel and energy price: rate of price
(before VAT) of types of gas, oil, electricity, or compressed air at the time
of calculation of machine shift price and works construction area.
- Kp: Coefficient of additive fuel and energy
for a working machine shift;
Coefficient of additive fuel and energy for a
working machine shift is regulated as follows:
- Gasoline engine: 1, 03
- Diesel engine: 1, 05
- Electric engine: 1, 07
c) If determining the machine shift price of
types of machine for implementing a number of jobs (such as constructional
survey, material testing, component and structure testing and other jobs) in
which the fuel and energy costs have been included in the material consumption
in the rate of works estimate, these costs shall not be included in the machine
shift price.
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4. Determination of machine operator wage (CTL)
a) Machine operator wage is the expense of
wage and allowances corresponding to the level of the machine operator
according to technical requirements.
The operator wage in machine shift price is
determined on the basis of full and accurate calculation of employees’ wages
and in line with the price level of general labour market of each area and
province by each type of employee and specific conditions of works.
b) Formula to determine the machine operator
wage
CTL
=
(dong/shift) (5)
In which:
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- CTLi : Unit price of daily wage
of machine operator type 1
- n : n: Number of machine operator in a
shift
Composition, rank and number of machine
operator of each type of machine determined by the requirements of machine
operating procedures, standard and level of technical workers and the specific
conditions of works.
c) In case of determining the machine shift
price of types of machine to perform a number of jobs whose machine operator
wage has been calculated by the labor cost in the works estimate (such as
constructional surveys, material, component, structure and other jobs), the
cost of machine operator shall not be included in the machine shift price.
5. Determination of other costs (CCPK)
a) Other costs included in the machine shift
price are the expenses to ensure the normal and efficient operation of machine
at works, including:
- Insurance of machine and equipment during
process of utilization;
- Preservation of machine and technical
maintenance in preservation of machine;
- Registration of various kinds;
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- Other expenses directly related to the
management and utilization of machine at the works have not been included in
other contents of expense in the quotation and estimate of the works.
b) Formula to determine other expenses
CCPK
=
Primary cost x
Other rate of annual cost
(dong/shift) (6)
Number of annual
shift
In which:
- Cost and number of annual shift: as
specified in Clause 1, Article 6 of this Circular.
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The other rate of annual cost is determined
on the principle of consistence with each type of machine, size of machine and
conditions for operation and utilization corresponding to the specifiec
conditions of works;
Article 7. Guidance
for use of works machine shift quotation
After determining the works machine shift
price as specified in Article 3, 4, 5 and 6 mentioned aboe, it is necessary to
guide the application of machine shift quotation during the preparation and management
of cost of works construction investment, including the following main
contents:
- Subject and scope of application of machine
shift quotation.
- Grounds for determining components of
expense in machine shift price.
- Noteworthy cases during the application of
machine shift quotation;
Article 8.
Determination of stand-by machine shift, machine rental
1. Determination of stand-by machine shift
price
a) The stand-by machine shift price is the
machine shift price of all types of machine mobilized to the works for
construction but there is no work to do but through no fault of the contractor.
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2. Determination of machine rental
a) The machine rental is the cost paid by the
lessee to the lessor for the right to use the machine during a period of time
such as shift, day, week, month, quarter, or year to perform a volume of
product or work under units of measurement such as unit, kilograms, ton, m, m2,
and m3.
b) In the general case, the machine rental
includes the following costs: depreciation costs, repair costs, fuel and energy
costs and machine operator wages and other costs, costs for transporting
machinery to and from the works, costs of removal and installation of machine,
costs for waiting time due to technology or methods of construction, taxes,
fees and charges.
The contents of cost in the machine rental
are determined depending on the specific conditions of works, forms of machine
rental and agreement between the lessor and the lessee.
Article 9. Adjustment
of machine shift price
The machine shift price in accordance with
the specific conditions of each works on the basis of the price fluctuations of
the cost factors for machine shift price such as the primary cost, fuel and
energy price and salary.
The machine shift price is adjusted by the
methods:
- Direct compensation method;
- Method of adjustment factor;
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1. Adjustment of machine shift price by the
method of direct compensation
Formula to determine the adjustment machine
shift price (CCMDC) by the method of direct compensation:
CCMDC = (CKH
+ CSC + CCPK) . K1 + CNL . K2
+ CTL . K3 (dong/shift) (7)
In which:
- CKH, CSC, CCPK,
CNL, CTL: depreciation cost, repair costs, other costs,
fuel and energy costs and manchine operator in the machine shift price at the
original time
- K1: primary cost adjustment factor is
defined by the formula (8)
K1
=
Primary cost at the
time of adjustment
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Primary cost at the
original time
- K2: Adjustment factor of fuel
and energy costs is defined by the formula (9)
K2
=
Fuel and energy
price at the time of adjustment
(9)
Fuel and energy
price at the original time
- K3: Adjustment factor of machine
operator cost is defined by the formula (10)
K3
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Machine operator
cost in machine shift price at the time of adjustment
(10)
Machine operator
cost in machine shift price at the original time
2. Adjustment of machine shift price by the
method of adjustment factor
The formula to determine the adjustment
machine shift price (CCMDC) by the method of adjustment factor:
CCMDC = CCM
. KDC (dong/shift) (11)
In which:
- CCM: machine shift proce at the
original time (dong/shift)
- KDC: Adjustment factor of
machine shift price
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3. Adjustment of machine shift price by the
method of construction price index
The formula to define the adjustment machine
shift price (CCMDC) by the method of construction price index:
(dong/shift) (12)
In which:
- CCM: machine shift price at the
original time (dong/shift)
- KMTC1: performance machine shift
price index of works construction at the original time
- KMTC2: performance machine shift
price index of works construction at the time of adjustment
Performance machine shift price index of
works construction is under the guidance of Ministry of Construction or
announcement of locality where the works are built or investor’s calculation;
Chapter 3.
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Article 10. Appraisal
and approval of works machine shift price
1. The investor shall base on the technical
requirements and specific works construction methods to appraise and approve
the works machine shift price while organizing the appraisal and approval of
unit price of works construction.
For constructional works in the line form
going through a lot of localities such as transportation routes, transmission
lines, canals, pipelines and other constructional works in line form, the
investor shall decide on the machine shift price of works to prepare and manage
the works construction investment;
The investor may hire the cost management
consulting organizations and inviduals that have professional qualifications and experiences to determine or appraise the machine shift price
before making decision on application.
2. Provincial People’s Committee shall direct
and assign the Service of Construction to assume the prime responsibility and
coordinate with the Services concerned based on the guidance in this Circular
and specific conditions at locality to calculate and announce the general
machine shift price as a basis for reference in preparation and management of
works construction investment;
3. The construction contractor shall manage
the machine shift price as prescribed in Article 27 of Decree No.
112/2009/ND-CP.
Article 11.
Transitional provision
The determination of works machine shift
price in the transitional period is specified in Article 34 of Decree No.
112/2009/ND-CP.
Article 12. Effect
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Any difficulty arising during the course of
implementation should be promptly reported to the Ministry of Construction for
consideration and settlement.
FOR MINISTER
DEPUTY MINISTER
Tran Van Son
ATTACHED FILE
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