Tender Price Index measures the trend of contractors' pricing levels in accepted tenders at commit to construct, i.e. cost to client in the previous quarter (mid-quarter to mid-quarter).
The aim of tender price indexing is to establish a comparison between the level of pricing in a tender and a standard price base. Project Indices are normalised for location, size and procurement.
The index is based on the rates in contract Bills of Quantities for building projects for which competitive tenders have been received, but excluding civil engineering projects, mechanical and electrical work, works or projects where the value of External Works is greater than 50% of the tender. It is calculated on a base of 2016 = 100 (CIDB Ready Reckoner).
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