Why Price Variation Clause?

The variation in prices in the Electrical Industry created unexpected conflicts between the Client and the Manufacturers. To resolve this problem the Manufacturers came together to form the Indian Electrical manufacturers’ Association (IEMA, later with addition of Electronics changed to IEEMA).IEEMA came up with the concept of Price Variation Clauses as a strong solution to contend with these problems. The Price Variation Clauses, based on robust allocation & analysis of prices of various raw materials become not only the most reliable but also the only source of realistic solution for variation matters.

What are Price Variation Clauses?

IEEMA Price Variation Clauses (PVC) are used in settling claims between purchaser and supplier for variation in the basic price of raw materials from the period of tendering till the date of delivery. These clauses are widely accepted by the industry and purchasing organizations, since they give variations on both sides, either upwards or downwards. By substituting the prices of raw materials in the given formulae appropriately the percentage variation over quoted price can be worked out mathematically.

Price Variation Clauses

Cir. No. 42Domestic Monthly Average Price of AL May 18Download
Cir 117_Cable 2 stage_Nov 17Two stage method for Power Cable_Nov 17Download
Cir 114_Discontinuation Domestic AL Jan2018Discountinuation of Domestic Aluminium prices wef January 2018 applicable for PV clauses of Distribution Transformers and Transmission line Accessories & Hardware (TLA&H)Download
Cir. No. 56Revision in base of Wholesale Price Index Numbers (WPI) to 2011-12 =100 dated 16 Jun 2017Download
Cir. No. 59Download
014/DIV/TRF/05Clarification on applicability of CRGO (ES) price for BEE Star Three and above rated Distribution TransformersDownload
Cir No. 029Discontinuation of prices/indices for TransformersDownload
Cir No. 008Labor Index Link FactorDownload
Cir No. 097Discontinuation of prices/indices for TransformersDownload
Cir No. 135Inclusion of London Metal Exchange (LME) based Aluminium prices in the IEEMA PV CircularsDownload
Cir No. 145 with annxConductor PV formula with applicable two stage methodologyDownload
Cir No. 147Revision in price variation formulae for distribution transformer w.e.f. from 1st June 2015Download
Cir No. 160Discontinuation of Domestic Aluminium price and using only London Metal Exchange (LME) Aluminium prices in Cable PV circular w.e.f September 2014Download
Cir No. 160 with annxDiscontinuation of domestic Aluminium price with two stage methodologyDownload
Cir. No. 169Discontinuation of PV circulars for Transmission Line Towers giving Steel Angle PricesDownload
Cir No. 195 & 223Change in base of Whole Sale Price Index NumberDownload
Cir No. 261Power ElectronicsDownload
Cir. No. 353Change in policy of Wholesale Index from Weekly to MonthlyDownload
AB Cable _Nov 2017LV & HV Aerial Bunch CablesDownload
AL 59 ConductorAL-59 CONDUCTOR-2017 effective from 1st October 2017Download
ArresterSurge Arrester – Polymer HousedDownload
Battery ChargerBattery Charger Equipments, Raw Material – LeadDownload
Cable_2007PVC and XLPE Insulated Power and Control Cables upDownload
Cable round Wire Steel FactorsCable Round Wire Steel FactorsDownload
Cable Round Wire Steel Factors_2012Revised table P3 and P6 Cable Round Wire Steel FactorsDownload
CWER 2017Civil Works and Erection; effective from 1st January 2017Download
Civil Works & ErectionCivil Works & Erection associated with Electrical T&D ProjectsDownload
Conductor_2012Material Pricce Variation Clause for AAC/AAAC/ACSRDownload
Conductor_2014Conductor – Daily London Metal Exchange (LME) AluminiumDownload
Distribution Transformer_2015Distribution Transformers for Domestic Contracts w.e.f. 1st June 2015Download
Distribution Transformer_DE_2015Distribution Transformers for Deemed Export Contracts w.e.f. 1st June 2015Download
Earth Wire_2015Earth Wire w.e.f. 1st April 2015Download
EL-ESElevator Works Contract & Comprehensive/Non-Comprehensive Maintenance ContractsDownload
EHV Cable_Nov 2017Price variation clause for EHV Cables (66kV to 500 kV)Download
EHV Cable_Sep 19Revised Price Variation Clause for XLPE Insulated EHV Cables (66 kV to 500 KV) effective from September 2019Download
GLBLUnclad Glass Fabric Laminated ComponentsDownload
INSLR_2013Composite InsulatorsDownload
Instrument TransformerCopper, CRGO, Epoxy Resin and TOBS used in manufacDownload
Instrumentation CableInstrumentation Cable wef 1st July 2014Download
Insulators_2003Insulators – raw materialDownload
Insulator_Nov 2017Porcelain Insulator wef 1st  March 2017Download
LV SWGR _Jan 2019LV SWITCHGEAR AND CONTROLGEAR (up to & including 1100 V) wef 1st Jan 2019Download
NSCClause for Not Specifically covered electrical itemsDownload
MV SWGR _Jan 2019MV AIS (Above 1100 V and Up to & Including 36 KV) SWITCHGEAR AND CONTROLGEAR wef 1st Jan 2019Download
MV Power Cable_Sep 19Revised Price Variation Clause for 3.3-33 KV XLPE Insulated Armoured Single & Three core Screen Cables effective from September 2019Download
PLCC_2010Power Line carrier Communication Equipment, Telemetering Equipment, Transducers and its Accessories PV clauseDownload
Power CapacitorsPower CapacitorsDownload
Power & Control Cable_with XLPE_including Solar DC_ Nov17Revision in price variation clause of Power and Control with XLPE factorsDownload
Power ElectronicsPower ElectronicsDownload
Power Electronics_2010Basic prices of RMs like Copper, Aluminium, WPI & Labour index (Indigenous & Import)Download
Power Transformer_2015Transformers for Domestic/DE Contracts – Power w.e.f. 1st April 2015Download
Rotating MachinesBasic Price of Copper & Electrical Steel used for Rotating MachinesDownload
Star Rated Transformer_DE_2012Star Rated Distribution Transformer PV clause for DE contracts w.e.f. 1 Jan 2012Download
Star Rated_Transformer_2012Star Rated Distribution Transformer PV clause w.e.f. 1 Jan 2012Download
SwitchgearSwitchgear & Controlgear – Raw MaterialsDownload
Switchgear_HTHT Switchgear (Above 36 kV) effective from 1st June 2007Download
TLA&H_2011Transmission Line Accessories & HardwareDownload
TLA&H_2014Transmission Line Accessories & Hardware with effect from 1st April 2014Download
TLT_2010Transmission Line Towers with effective from 2010Download
TLT_2014Transmission Line Towers with effective from 2014Download
Transformer OilTransformer Oil Base StockDownload
Transformer Oil_2011Transformer Oil Base Stock_2011Download
Transformer_2003Transformers for E/DE Contracts – Distribution, Dry type and PowerDownload
Transformer_2009Transformers for Domestic Contracts – Distribution, Dry type and PowerDownload
Transformer_DE_2009Transformers for DE Contracts – Distribution, Dry and PowerDownload
Transformer_REC_2009REC range Transformer for Domestic Contracts – Distribution, Dry type and powerDownload
Transformer_REC_DE_2009REC range Transformers for E/DE Contracts – Distribution, Dry type and PowerDownload
Wave TrapsWave TrapsDownload
6 Quad Cables_Sep 19Price Variation Clause for 6 Quad Railway Signalling Cables as per RDSO specification effective from September 2019 Download

Raw Material Prices/Indices

The basic prices and indices are calculated on the basis of raw material prices, exclusive of excise/C.V. duty wherever manufacturers are eligible to obtain MODVAT benefit.

These basic prices and indices are for operation of IEEMA’s Price Variation Clauses for various products. Basic prices variation clauses, explanation of nomenclature may be obtained from IEEMA office.

Every care has been taken to ensure correctness of reported prices and indices. However, no responsibility is assured for correctness. Authentic raw material prices and indices are available in IEEMA’s basic price variation circulars applicable to various IEEMA PV clauses. These circulars are available on a nominal remittance.

IEEMA Publications