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FDW buying hardware

Published on:
12 May 2017
Last checked on:
25 March 2024

The use of the hardware during the project period must align with the project's purpose as described in the project plan. At the end of the project, the hardware must be owned by a local legal entity.

Reimbursement

Hardware will be reimbursed based on actual costs incurred. But, the total budget for hardware can never be adjusted upwards as the respective items, Technical Assistance and Hardware, cannot be mutually offset.

Market conformity checks

SGS certificates

SGS is a supplier of independent inspection, verification and certification services. RVO commissions SGS to determine whether the hardware prices in your project follow current market rates. The final amount of subsidy for hardware is based on the price determined in SGS's Market Conformity certificates.
 
You can submit a maximum of 3 requests for a Market Conformity Check (RMCCs, see the form below) at the expense of RVO during your project. If you choose to submit more requests, the costs of the extra RMCCs are at the project partners' own expense.
 
Please note that the applicant is responsible for arranging the Market Conformity Checks. You can communicate directly with SGS to request a Market Conformity procedure. After finalising the Market Conformity Check, SGS will send the original version of the certificate to RVO while sending a digital copy to the applicant.

When to submit an RMCC

You can submit an RMCC for all second-hand hardware and items in your Project Hardware List that cost €25,000 or more. In the case of second-hand goods, SGS also checks the minimum quality requirements.
 
At the end of your project, at least 90% of all project hardware costs must be checked by SGS. It is possible that the hardware items that exceed €25,000 do not add up to 90% of your project hardware costs. In that case, you must add hardware items to your RMCC until they do.
 
We advise you to submit an RMCC after large hardware purchases and after purchasing second-hand hardware for the following reasons:

  • for administrative efficiency: it gets more complicated to collect the required documents if considerable time passes since purchasing the hardware;
  • to limit your risks; for example, a fire can destroy your hardware between purchase and RMCC;
  • to prevent devaluation, second-hand hardware's market value is determined based on the date of visual inspection.

Hardware invoices

You do not have to send RVO hardware invoices directly, as we receive the invoices for more than 90% of the project hardware costs from SGS. If determining your final subsidy amount requires more information, RVO may ask for more invoices.
 
Hardware costs are only eligible when they are following the current market rates. If SGS indicates that the stated hardware price is not in line with current market rates, RVO.nl must maintain the SGS rate in determining your final subsidy amount.

FDW 2016 and FDW 2017

Specifically for recipients of FDW in 2016 and 2017: please do not submit a Request for a Market Conformity Check for hardware produced by one of your project partners. In this case, the hardware needs to be delivered against actual costs incurred (cost price). Your external auditor has to confirm these costs in the auditor's report at the end of your project. Of the other hardware costs, at least 90% needs to be checked by SGS.

Downloads

Commissioned by:
  • Ministry of Foreign Affairs
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