The FIDIC Rainbow Suite: how to choose the right book

FIDIC is not a single contract but a whole family of standard conditions, commonly called the “Rainbow Suite”. Each book is colour-coded and designed for a particular project type and a particular allocation of risk. A mistake at the selection stage is expensive: it runs through the entire life cycle of the contract — from pricing to dispute resolution.

Let’s unpack the logic of the suite so the choice becomes obvious.

The key question: who designs?

Risk allocation in FIDIC starts with the answer to one question — who is responsible for the design.

• If the Employer designs and the Contractor builds “to the drawings” — that’s the Red Book.
• If the Contractor designs — that’s the Yellow Book (or the Silver Book, if even more certainty is needed for an investor).

Almost everything else follows: the payment mechanism, the role of the Engineer, and who is liable for errors in the design documents.

The three core books

Red Book — Construction

The classic form for Employer-designed works. Payment is by re-measurement based on a Bill of Quantities (BoQ). An independent Engineer administers the contract. Design-error risk stays with the Employer. Suited to roads, bridges and civil works.

Yellow Book — Plant & Design-Build

The Contractor designs and builds. The price is a lump sum. The Contractor is responsible for the design’s fitness for purpose. Used for electro-mechanical works and contractor-designed facilities.

Silver Book — EPC / Turnkey

A turnkey form for project-financed schemes (BOT, IPP). There is no independent Engineer — there is an Employer’s Representative. The Contractor takes on almost all risk, including most of the “unforeseeable”, in exchange for a risk premium. The investor gets maximum price and time certainty.

Rule of thumb: the more price and time certainty the Employer needs, the more risk sits with the Contractor — and the higher the price.

The special books

• Pink Book (MDB Harmonised) — a version of the Red Book harmonised with the development banks. This is the key form for Uzbekistan: World Bank, ADB and EBRD projects use it.
• Green Book — a short form for small and simple works.
• Gold Book (DBO) — design-build-operate, with a long (usually 20-year) operation period.
• Emerald Book — underground works; introduces a Geotechnical Baseline Report for a fair allocation of geo-risk.
• White Book — a consultant services agreement (not a construction contract).

How to choose: a short checklist

1. Who designs? Employer → Red. Contractor → Yellow/Silver.
2. Need maximum price/time certainty? Yes → Silver.
3. Financed by a development bank? Yes → Pink Book + the bank’s Particular Conditions.
4. Are the works small and simple? → Green Book.
5. Need long-term operation? → Gold Book (DBO).

Choosing the book is a strategic decision about risk allocation, not a formality. If you are unsure which form suits your project, start with the interactive rainbow suite or request a consultation.