What is an ECI agreement?

What is an ECI agreement?

Early contractor involvement (or ‘ECI’) is a method of construction contracting that allows a builder to become involved, and potentially start work, before the design has been completed.

What is ECI procurement?

An ECI (sometimes referred to as ‘ECE’ – early contractor engagement) is a procurement model that allows the contractor of a project to be involved in the early phases of design between parties such as the Principal and designers. It is usually a two-stage process.

What is ECI and what is its chief advantage to the contractor and client?

ECI enables appointment of a Contractor before details of the project have been fully developed, allowing the Contractor to contribute to design development and planning of the construction phase. Through use of ECI the importance of the Contractor, who is an expert in delivery of construction projects, is recognised.

What are the methods of ECI?

Methods of ECI Contract ECI Contract refers to contractor engagement early in the project development process, which can occur through a variety of methods such as alliancing, management contracting, Integrated Project Delivery (IPD), or even a conditional two-stage contract in a construction project.

What are the benefits of early contractor involvement?

Early contractor involvement can enable the contractor to:

• Contribute to the design process.
• Build a better team-working ethic.
• Introduce innovations.
• Advise on buildability, sequencing, and construction risk.
• Advise on the packaging of the works.
• Advise on the selection of specialist contractors.

How does early contractor involvement work?

Under an early contractor involvement (ECI) system a single contractor is selected at an earlier stage in the process and is paid for their work on the scheme. This can be either at the preliminary/concept design or detailed design stages, depending on client preference.

What is EPC contractors?

An engineering, procurement and construction contract (EPC contract) is an all-inclusive contract framework, which requires the contractor to complete an agreed scope of work by an agreed completion date, in return for an agreed lump-sum contract price.

What is the ECC contract commonly known as?

NEC3: Engineering and Construction Contract (ECC) The NEC3 Engineering and Construction Contract is the core document from which the options A-F are extracted. It contains all core clauses and secondary option clauses, together with the schedules of cost components and forms for contract data.

What is a GMP contract in construction?

GMP stands for the guaranteed maximum price. That refers to the highest amount of labor, materials and profit costs the contractor can charge the customer in the construction industry.

How many NEC contracts are there?

The New Engineering Contract (NEC), of which the Engineering and Construction Contract (ECC) forms a part, is a suite of standard form construction contracts created by the Institution of Civil Engineers. There have been three editions: the first in 1993, the second in 1995 and the most recent – NEC3 – in June 2005.

What is an NEC 4 contract?

The NEC4 Alliance Contract is a multiparty contract for the appointment of a number of partners to create an alliance to deliver a major project or programme of work.

What does early works mean in construction?

An early works letter is a practical way to get started on a project before the formal contract is finalised. Properly prepared, an early works letter will give both parties protection before the final contract is put in place.

What is 2 stage tendering?

Two-stage tendering involves an initial information stage, facilitating early collaboration between client and contractor. For most projects, and especially for those that are more complex, it is useful to obtain input before there is sufficient information available for the main contract.

What is the difference between EPC and contractor?

An EPC is a construction project that is detailed out to the letter of the contract. The contractor (company) will provide all labor, materials, equipment, and other expenses for the project through one agreement in exchange for a fixed price.

What is the difference between EPC contract and turnkey contract?

EPC is a contract comprising Engineering, Procurement and Construction. Turnkey is a contract comprising Engineering, Procurement and Construction.

What is the difference between lump sum and EPC contract?

The major difference between lump sum and EPC is that, in EPC the contractor has the responsibility of design and construction. b. Where as in lump sum contract the design and drawings are prepared by the technical team of the owner.