The Statement that becomes an Interim Payment Certificate
On a Saudi giga-project there is no Security of Payment statute to lean on. The FIDIC Red or Yellow Book runs the money, and the Interim Payment Certificate is where the valuation turns into a right to be paid.
QScope Team · 3 February 2026 · 6 min read
Across Riyadh, NEOM and the wider Vision 2030 programme, most major building and infrastructure contracts run on the FIDIC Red or Yellow Book. There is no local Security of Payment Act to fall back on, so the interim payment mechanism in Clause 14 is the whole of the payment machinery. Understanding it is not optional on these jobs.
The Statement comes first
Under Sub-Clause 14.3 the Contractor submits a Statement after the end of each period, setting out the amount the Contractor considers due. That Statement is the valuation of everything done to date, and it drives everything that follows. Get it wrong and the certificate that comes back is wrong with it.
- The value of the Works. Measured against the Bill of Quantities or the Schedule of Rates at the percentage genuinely executed.
- Variations. Priced under Clause 13 and included as instructed, not deferred to a later account.
- Materials and Plant. On Site, and off Site where the Contract allows, supported by records.
- Retention. Deducted at the percentage stated in the Contract Data, on the certified value.
What the Engineer does with it
Within 28 days after receiving the Statement and supporting documents, the Engineer issues an Interim Payment Certificate under Sub-Clause 14.6. The IPC states the amount the Engineer fairly determines to be due. It may be less than the Statement, and where it is, the Engineer has to explain the difference. That transparency is what lets an under-certification be argued and corrected on the next cycle.
Why each certificate is cumulative
Interim payment is on account. Each Statement shows the gross value of everything executed to date, then deducts the amounts already certified and the retention held. That is what allows an over-valuation in one month to wash out in the next. Nothing is lost, it is carried and adjusted on the following cycle, which is why a clean cumulative build up matters more than any single month looking tidy.
The discipline on a giga-project
On a project the size of NEOM the Engineer is measuring dozens of Statements against dozens of programmes. A Statement that ties every line to the Bill, itemises variations separately, and evidences materials on Site is one the Engineer can certify quickly and in full. A vague Statement invites a certified figure well below the claimed amount, and a month spent arguing about arithmetic rather than about work.
QScope builds each Statement cumulatively from the measured value, then tracks the 28 days the Engineer has under Sub-Clause 14.6 to certify it as an IPC.