News & Media
January 06, 2016

NEC in Action: Happy Valley Underground Stormwater Storage Scheme, Hong Kong

NEC in Action: Happy Valley Underground Stormwater Storage Scheme, Hong Kong
The first “NEC in Action” event in Hong Kong was successfully delivered on 10 December 2015, which was well-attended by 40 practitioners across the industry with an exclusive visit to the project site of the Happy Valley Underground Storm Water Storage Scheme (HVUSSS) procured by Drainage Service Department (DSD) of the Hong Kong Government.
As the current largest Government on-going contract adopting NEC3 Engineering and Construction Contract Option C (target contract with activity schedule), HVUSSS was awarded with the Highly Commended NEC Large Project of the Year at the 2015 inaugural NEC Awards. The focus of this event was to provide an insight of the learning journey of the contract parties in terms of NEC implementation leading to an interim success as recognized by the said NEC award. 
Following a networking luncheon, a project-specific presentation was jointly delivered by the senior management of the three “working partners” in HVUSSS administration, DSD (the Employer and the Project Manager), Chun Wo Construction & Engineering Company Ltd. (the Contractor) and Mott MacDonald Hong Kong Ltd. (DSD’s Financial Consultant).
The Project Manager, Mr. WH Luk, Chief Engineer of Drainage Projects Division of DSD, provided an informative project background plus an overview of how the practical application of the Collaborative Value-engineering Management embedded with the concepts of “one team one goal” team building, value engineering, risk and programme management had enhanced the NEC implementation in HVUSSS so far. 
Mr. Ken W.N. Ko, Director at Chun Wo explained the significance and key practical issues of the subcontract management under the target cost contract regime before he went on highlighting their trial use of the NEC3 Engineering and Construction Subcontract (ECS) – the first ECS trial in Hong Kong. 
Mr. Hayman Choi, Divisional Director at Mott MacDonald shared how the application of a systematic approach in the open book accounting under a proper development of collaborative working culture had facilitated the target cost administration. In particular, he emphasized the essential need for technical and administrative staff involvement in aspects such as stock management and subcontract administration in order to achieve the requisite performance.
Following a highly participative Q&A session, the momentum of “NEC in action” continued with the participants led to visit the project site including an unforgettable journey to enjoy a spectacular view inside the completed Phase 1 underground stormwater storage tank. The event was ended with a relaxing drinking session for the event’s speakers and other participants to network.
Ivan Cheung 
NEC Asia-Pacific Users Group Secretary

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