Hong Kong airport’s NEC-procured new runway successfully completed

Hong Kong airport’s NEC-procured new runway successfully completed

The new NEC-procured third runway of the Hong Kong International airport was successfully completed in September 2021. It is the first of four NEC contracts worth HK$21 billion (£2 billion) that are helping to deliver the HK$141.5 billion (£13 billion) Three Runway System (3RS) expansion programme.

The new 3.9 km runway pavement and associated taxiways and infrastructure were built on 650 ha of newly reclaimed land north of the existing airport under a HK$6.27 billion (£590 million) NEC4 Engineering and Construction Contract (ECC) Option D (target contract with bill of quantities). Client Airport Authority Hong Kong let the work to a joint venture of Paul Y Construction, Sinohydro Corporation, Powerchina Airport Construction and Rock-One Engineering in April 2019 (Issue 104) and the runway is expected to start operations next year.

Successful NEC trial

The award of the runway contract followed early success on an initial trial of NEC for the complex first section of the automated-peoplemover and baggage-handling-system tunnels at the eastern end of the existing airport island. This was let to China State Construction Engineering (Hong Kong) under a HK$2.4 billion (£220 million) NEC3 ECC Option D in June 2017 and work is ongoing (see page 4).

The remaining section of the 2.6 km long tunnels and associated structures in newly reclaimed land were let under a HK$7.2 billion (£670 million) NEC4 ECC Option D contract to Gammon Engineering and Construction in June 2020, along with a HK$5.2 billion (£490 million) NEC4 ECC Option D for modification of the existing north runway to a joint venture of China State Construction Engineering (Hong Kong) and Fujita Corporation. All these and other 3RS contracts are expected to be completed ‘on time and budget’ in 2024 according to Airport Authorty chairman Jack So.

First use of NEC4 DBO

Elsewhere in Hong Kong, the government’s Electrical and Mechanical Services Department (EMSD) is planning to be the first client in the region to use the NEC4 Design Build and Operate Contract (DBO), which it has chosen to deliver district cooling system projects at Tung Chung East and Kwu Tong North.

To facilitate the procurement process, NEC Users’ Group secretary Robert Gerrard provided an NEC4 DBO accreditation extension course for EMSD’s Accredited NEC4 Term Service Contract (TSC) Service Managers. The new in-house course was held in June 2021 and will be rolled out globally in the near future. All 13 delegates passed their assessments and received their Accredited NEC4 DBO Service Manager certificates from former Development Bureau permanent secretary for development (works) SH Lam at an award ceremony in September 2021. Finally, the NEC Asia Pacific Users’ Group is holding a workshop on 18 November and, on 7 December 2021, I will be giving a talk to the Architectural Services Department’s academy to share practical tips on managing NEC programmes.

Recent Projects

Recent news

How X29 can support implementation of the revised PAS 2080:2023

How X29 can support implementation of the revised PAS 2080:2023

PAS 2080 emphasises system-level change, integration of carbon implications into climate resilience and prioritising nature-based solutions. NEC4 Secondary Option X29 can directly support this.

Read more
Government recommended guidance promotes integration of FAC-1 with NEC4 contracts

Government recommended guidance promotes integration of FAC-1 with NEC4 contracts

At the NEC User’s Group conference this year, NEC and the Association of Consultant Architects launched new guidance on using NEC4 contracts with the ACA Framework Alliance Contract 1 (FAC-1).

Read more
Disallowed cost and the cost of subcontractor disputes in NEC4 ECC

Disallowed cost and the cost of subcontractor disputes in NEC4 ECC

Whether you are the client, project manager, contractor or subcontractor, a proactive and pragmatic attitude to managing and mitigating project disputes will help keep the costs for all to a minimum.

Read more
View all news