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The Ministry of Oil's EPC Contract Dispute Resolution System from the Perspective of Administrative Law; with Emphasis on the Permanent Committee for Dispute Prevention and Resolution
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Sajedeh Azizi   , Mohammadreza Afshari |
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Abstract: (25 Views) |
Engineering, Procurement, Construction and Installation (EPC) contracts are among the most significant contractual arrangements in the downstream oil and gas industry. In recent years, increasing attention to privatization and the necessity of concluding such contracts between public employers and private contractors have led to a remarkable expansion in their application. On the one hand, the public nature of the employer in these contracts subjects them to specific legal requirements; on the other hand, the increasing technical complexity of projects highlights the need for regulatory frameworks established by governmental bodies associated with such projects. Accordingly, the Ministry of Petroleum has formulated the General Conditions of EPC Contracts, the latest version of which was promulgated in 1403 (2024/2025). This research adopts a descriptive-analytical approach and is based on library research. By analyzing the regulations governing the General Conditions of the Ministry of Petroleum’s EPC Contracts, this study examines the dispute resolution system applicable to such contracts from the perspective of administrative law, with particular emphasis on the status, jurisdiction, and functions of the Standing Committee for the Prevention and Resolution of Disputes. Article 75 of this document establishes certain requirements for the resolution of disputes between the contracting parties and refers to an institution known as the Standing Committee for the Prevention and Resolution of Disputes, which possesses distinctive characteristics in comparison with other dispute resolution mechanisms. The findings of the research indicate that an administrative law analysis of this Committee requires consideration of its position within the regulatory structure of the Ministry of Petroleum, the scope of its jurisdiction in addressing contractual disputes, and its relationship with the principles governing the State’s administrative and contractual relations. Provided that more coherent institutional mechanisms are established and the requirements of administrative law are observed, this Committee may serve as an effective mechanism for the resolution of disputes arising under EPC contracts.
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| Keywords: general conditions of EPC contracts in the oil industry, settlement of disputes, permanent dispute prevention and resolution committee, privatization, downstream oil and gas contracts |
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Type of Study: Research |
Subject:
Special
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