Admeasurement Contract

An admeasurement contract pays the contractor by measuring the quantities of work actually executed on site and applying the unit rates tendered in the bill of quantities, so the final contract value is determined by field measurement rather than fixed at the outset.

What is an Admeasurement Contract?

Admeasurement (sometimes called re-measurement) is the process of formally measuring completed work in the field and applying the contractually agreed unit rates to calculate payment. The FIDIC Red Book (Conditions of Contract for Construction) is the dominant standard form for admeasurement works contracts in international procurement, and development banks including the World Bank, AfDB, and ADB reference it in their standard bidding documents.

In practice, an admeasurement contract works the same way as a unit-price-contract: quantities in the bill of quantities are estimates, contractors price unit rates at tender, and the buyer pays for measured quantities. The term "admeasurement" is used specifically in British, Commonwealth, and FIDIC traditions to name the measurement process itself. The result is a contract where the buyer carries quantity risk and the contractor carries productivity risk. This differs from the lump-sum-contract model used in the FIDIC Yellow Book for plant and design-build, and from the epc model where the contractor takes both.

The engineer (or contract administrator) typically oversees the measurement process and certifies the quantities before payment is released.

Why Admeasurement Contracts matter for bidders

Winning an admeasurement tender is one thing; managing measurement disputes is another. Contractors must maintain accurate site records, daily diaries, and measurement sheets that corroborate the quantities they claim. Disputes about measured quantities are among the most common sources of claims in infrastructure projects. Suppliers bidding on FIDIC Red Book contracts should be familiar with the measurement procedures set out in the specification and the role of the engineer in certifying amounts.

FAQ

What is the role of "the engineer" in an admeasurement contract?

Under standard FIDIC conditions, the engineer (appointed by the employer) measures completed work, certifies payment amounts, and adjudicates disputes about quantities as an initial step before formal arbitration.

Is admeasurement the same as a unit price contract?

Conceptually yes. Admeasurement is the British and FIDIC term for the payment mechanism; unit price contract is the broader international term. Both pay on measured quantities multiplied by tendered unit rates.

Which FIDIC book governs admeasurement works?

The FIDIC Red Book (Conditions of Contract for Construction, 1999 and 2017 editions) is the standard form for admeasurement construction contracts in international procurement.