How does NEC help?
NEC provides diverse payment and delivery models tailored to match the complexity and scale of projects:
- For straightforward work where a supplier can handle project risk: Clients can opt for a fixed price contract, ensuring cost certainty.
- In complex or larger projects where both client and supplier agree to pool risk: Clients can use a Target Cost contract, sharing savings or overspends through a pain/gain mechanism.
- When the client is best suited to manage risks: Clients use a Cost-Reimbursable Contract, in which suppliers receive their costs plus an agreed fee or a Management Contract, in which suppliers are paid a fee for managing the sub-contractors delivering the works.
These choices are further complemented by optional contract clauses allowing parties to address issues upfront, while also allowing contracts to reflect public policy priorities such as fair payment or local content provisions. The suite also supports framework contracts and design, build and operate options.