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A turnkey contract is typically a construction contract under which a contractor is employed to plan, design and build a project or an infrastructure and do any other necessary development to make it functional or ready to use at an agreed price and by a fixed date.
What is the difference between an EPC and a construction contract?
While an EPC contract takes the form of a design and construction contract, the EPCM model can be regarded as a professional services contract. The EPCM contractor has a duty to ensure that the engineering and design of the project is in compliance with the projects technical and functional specifications.
What are the disadvantages of EPC contracts?
Disadvantages of EPC Contracts Limited Owner Control: Project owners may have limited control over the design and execution processes, which can be a concern for some stakeholders. Higher Initial Costs: The perceived cost of EPC contracts may be higher initially due to the comprehensive nature of the services provided.
What is the difference between EPC and turnkey contract?
Scope of Work: In Turnkey contracts, the contractor is solely responsible for delivering the project in a ready-to-use state. In contrast, EPC contracts encompass engineering, procurement, and construction, focusing on the contractors involvement in all project phases.
What is the difference between EPC and turnkey contracts?
EPC contracts often shift a significant portion of the project risk to the contractor. As they are responsible for design, procurement, construction, and commissioning, the contractor assumes a higher level of risk. In turnkey contracts, the contractor bears a considerable portion of the project risk.
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What does Turnkey contract mean? In an turnkey contract (also known as an EPC contract), the contractor engineers, procures, constructs and commissions a project from its inception to completion.
What is the Clause 4.12 of the FIDIC?
Clause 4.12 provides that the Contractor accepts responsibility for having foreseen all difficulties and costs of successfully completing the Works. Controversially the Silver Book at Clause 5.1 also passes to the Contractor responsibility for the accuracy and completeness of the Employers Requirements.
What are the different types of contracts in FIDIC?
How many types of FIDIC contracts are there? There are five main types of FIDIC contracts: Red Book (construction), Yellow Book (plant and design-build), Silver Book (EPC/turnkey), Green Book (short form), and Pink Book (consulting services).
the contract pdf free download
FIDIC -Conditions of Contract for EPC-Turnkey Projects.doc
This document elaborates on the FIDIC conditions of contract specifically designed for EPC (Engineer, Procure, Construct) turnkey projects.
The FIDIC Yellow Book, officially known as the FIDIC 1999 Conditions of Contract for. Construction, remains a cornerstone of international construction
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