PV Clauses & Prices/Indices

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.11/PVC/T&D Project/05

PV Formulae for Ungalvanized/Black Steel Structure

Cir.No.10/PVC/T&D Project/05

PV Formulae for steel Tubular Pole and Polygonal Pole


Change in base of Consumer Price Index Number and linking factor

Cir. No. 42

Domestic Monthly Average Price of AL May 18

Cir 117_Cable 2 stage_Nov 17

Two stage method for Power Cable_Nov 17

Cir 114_Discontinuation Domestic AL Jan2018

Discountinuation of Domestic Aluminium prices wef January 2018 applicable for PV clauses of Distribution Transformers and Transmission line Accessories & Hardware (TLA&H)

Cir. No. 56

Revision in base of Wholesale Price Index Numbers (WPI) to 2011-12 =100 dated 16 Jun 2017

Cir. No. 59


Clarification on applicability of CRGO (ES) price for BEE Star Three and above rated Distribution Transformers

Cir No. 029

Discontinuation of prices/indices for Transformers

Cir No. 008

Labor Index Link Factor

Cir No. 097

Discontinuation of prices/indices for Transformers

Cir No. 135

Inclusion of London Metal Exchange (LME) based Aluminium prices in the IEEMA PV Circulars

Cir No. 145 with annx

Conductor PV formula with applicable two stage methodology

Cir No. 147

Revision in price variation formulae for distribution transformer w.e.f. from 1st June 2015

Cir No. 160

Discontinuation of Domestic Aluminium price and using only London Metal Exchange (LME) Aluminium prices in Cable PV circular w.e.f September 2014

Cir No. 160 with annx

Discontinuation of domestic Aluminium price with two stage methodology

Cir. No. 169

Discontinuation of PV circulars for Transmission Line Towers giving Steel Angle Prices

Cir No. 195 & 223

Change in base of Whole Sale Price Index Number

Cir No. 261

Power Electronics

Cir. No. 353

Change in policy of Wholesale Index from Weekly to Monthly




Instrumentation Cable_Jan 23

Instrumentation Cable wef 1st Jan 2023

AB Cable_2021

LV & Amended Aerial Bunch Cable Price variation formula wef 01 Nov 2017

AB Cable _Nov 2017

LV & HV Aerial Bunch Cables

AL 59 Conductor

AL-59 CONDUCTOR-2017 effective from 1st October 2017


Surge Arrester – Polymer Housed


Surge Arrester – Polymer and Porcelain

Battery Charger

Battery Charger Equipments, Raw Material – Lead

Battery Charger_2023

Battery Charger Equipment PV Clause revised, ‘Conventional Battery Charger’ and New formula for ‘Modular Battery Charger’ and ‘Electric Vehicle Charger’ wef 1st Jan 2023




PVC and XLPE Insulated Power and Control Cables up

Cable round Wire Steel Factors

Cable Round Wire Steel Factors

Cable Round Wire Steel Factors_2012

Revised table P3 and P6 Cable Round Wire Steel Factors

Composite Insulator Railway Transmission_Apr 2022

Composite Insulator for Railway and Transmission effective from Apr 22

CWER 2017

Civil Works and Erection; effective from 1st January 2017

Civil Works & Erection

Civil Works & Erection associated with Electrical T&D Projects


Material Pricce Variation Clause for AAC/AAAC/ACSR


Conductor – Daily London Metal Exchange (LME) Aluminium

Distribution Transformer_2015

Distribution Transformers for Domestic Contracts w.e.f. 1st June 2015

Distribution Transformer_DE_2015

Distribution Transformers for Deemed Export Contracts w.e.f. 1st June 2015

Distribution Transformer_2021

Distribution Transformers for Domestic/DE Contracts w.e.f. 1st September 2021

Earth Wire_2015

Earth Wire w.e.f. 1st April 2015


Elevator Works Contract & Comprehensive/Non-Comprehensive Maintenance Contracts

EHV Cable_Nov 2017

Price variation clause for EHV Cables (66kV to 500 kV)

EHV Cable_Sep 19

Revised Price Variation Clause for XLPE Insulated EHV Cables (66 kV to 500 KV) effective from September 2019

EHV Power Cable_2023

Amendment to PV clause for EHV Power Cables effective from Apr 23


Unclad Glass Fabric Laminated Components

HTLS Conductor_Mar 24

PV formulae for HTLS Conductor effective from Mar 24


Composite Insulators

Instrument Transformer_2021

Instrument Transformer PV Clause effective from 01 Jan 2021

Instrument Transformer_2005

Copper, CRGO, Epoxy Resin and TOBS used in manufac

Instrumentation Cable

Instrumentation Cable wef 1st July 2014


Insulators – raw material

Insulator_Nov 2017

Porcelain Insulator wef 1st March 2017

Lead Acid Battery_2001

Lead Acid Battery_2001

LV SWGR _Jan 2019

LV SWITCHGEAR AND CONTROLGEAR (up to & including 1100 V) wef 1st Jan 2019

MV APFC Panel_2023

MV APFC Panel PV formula wef Sep 23

MV GIS_Jun 22

Medium Voltage Gas Insulated Switchgear effective from Jun 22

MV SWGR _Jan 2019

MV AIS (Above 1100 V and Up to & Including 36 KV) SWITCHGEAR AND CONTROLGEAR wef 1st Jan 2019

MV Power Cable_Sep 19

Revised Price Variation Clause for 3.3-33 KV XLPE Insulated Armoured Single & Three core Screen Cables effective from September 2019


MV covered conductors PV formulae wef Dec 22

MV Power Cable_2023

Amendment to PV clause for MV Power Cables effective from Apr 23

Ni-Cd Battery_Mar 2024

PV formula will be applicable for ONLY NiCd Pocket Plate Batteries used in stationary applications and not for the Fibre and sintereted technology NiCd Batteries effective from Mar 24


Clause for Not Specifically covered electrical items


Power Line carrier Communication Equipment, Telemetering Equipment, Transducers and its Accessories PV clause


Steel Tubular Pole and Polygonal Pole effective from Apr 22

Power Capacitors

Power Capacitors

Power & Control Cable_with XLPE_including Solar DC_ Nov17

Revision in price variation clause of Power and Control with XLPE factors

Power Electronics

Power Electronics

Power Electronics_2010

Basic prices of RMs like Copper, Aluminium, WPI & Labour index (Indigenous & Import)

Power Transformer_2015

Transformers for Domestic/DE Contracts – Power w.e.f. 1st April 2015

Power Transformer_2021

Power Transformers for Domestic/DE Contracts w.e.f. 1st September 2021

Rotating Machines

Basic Price of Copper & Electrical Steel used for Rotating Machines

Rotating Machines_Sep 22

AC / DC Rotating Machinery effective from Sep 22

Solar Inverter Duty Transformer_2021

Solar Invertor Duty Transformers w.e.f. 1st September 2021

Star Rated Transformer_DE_2012

Star Rated Distribution Transformer PV clause for DE contracts w.e.f. 1 Jan 2012

Star Rated_Transformer_2012

Star Rated Distribution Transformer PV clause w.e.f. 1 Jan 2012

ST Poles_2023

Galvanised/ungalvanised Steel Tubular Poles effective from Apr 23


Switchgear & Controlgear – Raw Materials


HT Switchgear (Above 36 kV) effective from 1st June 2007


Transmission Line Accessories & Hardware


Transmission Line Accessories & Hardware with effect from 1st April 2014


Transmission Line Towers with effective from 2010


Transmission Line Towers with effective from 2014

TLT_Nov 22

Transmission Line Tower effective from Nov 22

Transformer Oil

Transformer Oil Base Stock

Transformer Oil_2011

Transformer Oil Base Stock_2011


Transformers for E/DE Contracts – Distribution, Dry type and Power


Transformers for Domestic Contracts – Distribution, Dry type and Power


Transformers for DE Contracts – Distribution, Dry and Power


REC range Transformer for Domestic Contracts – Distribution, Dry type and power


REC range Transformers for E/DE Contracts – Distribution, Dry type and Power

Ungalvanised TLT_2022

Ungalvanized / Black Steel Structure effective from Apr 22

Wave Traps

Wave Traps

6 Quad Cables_Sep 19

Price Variation Clause for 6 Quad Railway Signalling Cables as per RDSO specification effective from September 2019

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.

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