Minister Jeff Radebe recently signed a R56bn contract to add 2 300 MW of electricity to the national grid over the next 5 years. And with this upswing, especially in the renewable power industry, power and energy-related construction projects across South Africa are on the rise again.
The stakes are enormous for all parties involved and this is the reason why the FIDIC Silver Book (Conditions of Contract for EPC/Turnkey Projects) is growing in popularity as the main form of construction contract. Under an EPC contract, the Contractor is obliged to deliver a completed project to the Employer who need to only ‘turn a key’ to start the facility.
This contract is unique as the Contractor takes on the full responsibility for the design and execution of a project. This of course means that a lot more risk than usual relating to the completion time, cost and quality are automatically transferred to the Contractor. In addition, the FIDIC Silver Book is different to the other usual design and build contracts as the Contractor also assumes the accuracy of the Employer’s requirements.
With so much on the line it is critical that you understand how this contract works and who is responsible for what because the FIDIC Silver Book radically changes the ‘traditional playing fields’ for both the Contractor and the Employer!
That is where this 2-day training course comes in as we will explain the new 2017 FIDIC Silver Book and will highlight and compare it to the widely used 1999 version. Because once you understand the FIDIC Silver Book in detail you can then decide if it is the right contract for you and your project.
The reality is that when this contract is used for the right project under the right circumstances with experienced Contractors and Employers its advantages are incredible!