Investigating the contractual capacities and limitations in managing technical inspection activities in the new Iranian Petroleum Contract (IPC) type

Recently, two development projects for the "Sepehr and Jufair" fields and "Aban and Paydar Gharb", have been handed over to their respective contractors under the new petroleum contract type so called the IPC (Iran Petroleum Contracts). Given that these two contracts are the first of their kind in the history of Iran, many aspects of the contract still need to be examined and explained. The legal aspects of the contract have been studied by various researchers, but the technical and managerial aspects of the contract have not been considered so far. Therefore, in this study, the capacities of this type of contract to monitor technical and engineering activities in the field of technical inspection and shortcomings in this regard have been considered. This article answers the question based on financial and environmental risk criteria, whether it is essentially necessary to conduct a technical inspection of the employer in this type of contract or not? Also, the level of required client surveillance on the contractor's activities in this type of contract has been discussed.