Engineering Profession Act, 2000 (Act No. 46 of 2000)

Board Notices

Guideline Scope of Services and Professional Fees

Scope of Services and Tariff of Fees for Persons Registered in terms of the Act

1. Preamble and Definitions

1.2 Definitions
Purchase cart Previous page Return to chapter overview Next page

 

In this Guideline Scope of Services and Professional Fees any word or expression defined in the Act has that meaning, unless the context otherwise indicates:

 

1.2.1 Authority means any statutory body or organ of the State established in terms of any legislation, regulations or bylaws in South Africa, including local, provincial and national government departments and public authorities who have legislated authority over the project or site. In the context of this Guideline, authority does not include any private entity such as an insurer unless specified in writing in the Agreement.

 

1.2.2 Building Project or Multi-Disciplinary Project means a project comprising building work or multi-disciplinary work, together with its associated engineering work, where the engineer may be subject to the authority of another professional acting as the Principal Agent or Principal Consultant while financial and administrative matters may be dealt with by another professional, and where the engineer is only paid a fee based on the costs of a portion of the works.

 

1.2.3 Client means any juristic person, entity, or organ of the State who enters into an agreement with a consulting engineer for the performance of services on a project. Depending on the form of agreement applicable, the term “employer’’ has the same meaning as “client’’.

 

1.2.4 Consulting Engineer or Consultant, for the purposes of these rules only, means any professional person registered in terms of the Act, or a juristic person or entity who employs such professional person or persons, who enters into an agreement with a client for the performance of services on a project.

 

1.2.5 Construction Monitoring means the process of administering the construction contract and over-seeing and/or inspecting the works, to the extent of the Agreement, for the purpose of determining whether the works are being completed in accordance with the requirements of the contract, that the consulting engineer’s designs are being correctly interpreted and that appropriate construction techniques are being utilised. Construction monitoring, to whatever extent, does not diminish the contractor's responsibility for executing and completing the works in accordance with his contract.

 

1.2.6 Contractor means any person or a juristic person under contract to a client to perform the works or part of it on a project, including a subcontractor under contract to such contractor.

 

1.2.7 Cost of the Works means the total final amount (or a fair estimate thereof), exclusive of value added tax, certified or which would, normally, be certifiable for payment to Contractors (irrespective of who actually carries out the works) in respect of the works designed, specified or administered by the consulting engineer, before deduction of liquidated damages or penalties, including the following:
1. Escalation, assuming continuity of the project through to final completion.Where delays occur in the project cycle the client and consultant should come to an agreement on the escalation that will be applicable to various stages of services.
2. A pro-rata portion of all costs related to the Contractor’s general obligations and overhead (preliminary and general) items, including contractor’s profit, applicable to the works (irrespective of who actually carries out the works).
3. The costs of new materials, goods or equipment, or a fair evaluation of such material, goods or equipment as if new, whether supplied new or otherwise by or to the client and including the cost or a fair evaluation of the cost of installation (the sourcing, inspection and testing of such comprise additional services by the consulting engineer).

 

1.2.8 Electronic and Mechatronic Engineering Services means services related to programming, coding and design of complex control and instrumentation installations and purpose designed electronic circuitry and equipment (low voltage < 48V). It may also include detailing the terminations, signals and interconnections of electronic components as distinct from proprietary designed and commercially available electronic equipment and systems and conventional electrical HV, MV and LV systems and related reticulation. Electronic engineering services are not considered part of the normal services performed by a consulting engineer.

 

1.2.9 Engineering Project means a project comprising mainly engineering work where normally only one consulting engineering firm is appointed to perform consulting engineering services or, if other professional service providers are involved, a consulting engineer is appointed as the principal consultant or principal agent and the other professional service providers perform mainly engineering services.

 

1.2.10 Fees and/or tariff of fees means payment made to a consultant or consulting engineer in exchange for advice or services.

 

1.2.11 Lead Consulting Engineer means the consulting engineer or consultant who assumes leadership of a joint venture or consortium either on the instruction of the client or by agreement among the members of the joint venture or consortium.

 

1.2.12 Normal Services means the services set out in clause 3.2.

 

1.2.13 Principal Consultant means the consulting engineer or consultant appointed by the client to provide engineering and/or project management services to manage and administer the services of all consultants on a multi-disciplinary project, where more than one professional service provider is appointed.

 

1.2.14 Principal Agent means the entity, person, consulting engineer or consultant named or appointed with full authority and obligation to act in terms of the contract between the client and the contractor. Depending on the standard form of construction contract applicable, the term “agent”, or “employer’s agent”, or “engineer”, or “project manager” have the same meaning as “principal agent”.

 

1.2.15 Project means any total scheme envisaged by a client, including all the works and services concerned.

 

1.2.16 Quality Assurance Plan is the plan that is put in place that represents the total of the contractor’s quality control processes as well as other inspections and acceptance testing processes and related activities that are associated with assuring the client that the works will meet acceptable standards.

 

1.2.17 Scope of Work means the portion of the works for which the consulting engineer is engaged.

 

1.2.18 Scope of Services and/or Services means the services contemplated in clause 3 on a project for which a consulting engineer is engaged.

 

1.2.19 Stage means a stage of normal services set out in clause 3.2.

 

1.2.20 the Act means the Engineering Profession Act, 46 of 2000.

 

1.2.21 the Agreement means the agreement signed by the client and consulting engineer that defines their relationship and obligations as well as the scope of work and services to be provided by the consulting engineer and the remuneration of the consulting engineer and related commercial terms.

 

1.2.22 Total Annual Cost of Employment means the total annual cost of employment as defined in clause 4.4.4.

 

1.2.23 Works means the activities on a project for which contractors are under contract to the client to perform or are intended to be performed, including the supply of goods and equipment.