Guidance on the Implementation of State Investment Projects in the Energy and Mining Sector (Ministry of Energy and Mines, Vientiane, December 2021) — Continuation

Article 1

Contract Extension. The implementation period of a state investment project may be extended; the extension period shall be determined based on the cause of the project delay. The extension of the contract implementation period shall be considered together with the extension of the payment period in the state investment plan, and shall be reported by the project owner to the Ministry of Planning and Investment. The conditions and procedures for extension are as follows: 1) Conditions for extendable projects must arise from one of the following causes: (1) Occurrence of modifications, suspensions, or other circumstances as specified in item 3.4.7 of this Guideline; (2) Emergency situations where the project cannot be implemented due to natural disasters; (3) Temporary suspension of the project; (4) Delays in project implementation due to the project owner's inability to fulfill contractual obligations. 2) Procedures for submission and review of project contract extension: For projects using the budget of the Ministry of Energy and Mines, the contractor/consulting company shall raise the issue with the project owner, who shall study and review it, then submit it to the leadership of the Ministry of Energy and Mines for review and issuance of an agreement to extend the contract, and subsequently notify the Ministry of Planning and Investment for acknowledgment and updating of the budget catalog; for projects using the budget of a province or capital, the contractor/consulting company shall raise the issue with the project owner, who shall study and review it, then submit it to the leadership of the province or capital for review and issuance of an agreement to extend the contract, and subsequently notify the Provincial Department of Planning and Investment for acknowledgment and updating of the budget catalog. A contract extension may be processed only once (one time), and the extension period shall not exceed one-half of the original contract period, based on the contractor's submission, the study by the project responsible team, and the agreement of the ministry leadership; if it is a project using the provincial/capital budget, prior agreement from the provincial/capital leadership is also required.