NEC4: the next generation of NEC Contracts

NEC4: the next generation of NEC Contracts

NEC4, the next evolution of NEC Contracts, will be available in June 2017.

Speaking on 3rd March at the Society of Construction Law Conference, the NEC Contract Board’s Matthew Garratt (Commercial Director with Costain) revealed that NEC4 will be made available for the very first time following the NEC Users’ Group Annual Seminar on 22nd June 2017.

NEC4 is an evolution on NEC3, and it has been built from user and industry best practice learnings and has been specially designed to support innovation through digital advances and encourage collaboration across the world.

To answer market’s demands and industry’s developments, NEC4 introduces two new contracts: NEC4 Design, Build and Operate Contract (DBO) and the consultative NEC4 Alliance Contract (ALC).

Rekha Thawrani, NEC Contracts General Manager, commented: “The uptake of NEC products and services has grown exponentially across the globe over the last 20 years and we pride ourselves on the fact that our innovative portfolio will always react to and be shaped by the needs, experiences and feedback of our users.

“As part of our commitment to all our customers, we continue to constantly review ways to enhance and update our products. We believe NEC4’s diverse range of definitive end-to-end project management contracts will empower users to deliver projects on time, on budget and to the highest standards now and in the future to the benefit of both industry and society.”

Discover the new NEC4 suite.

Highlights of NEC4

NEC4 reflects procurement and project management developments and emerging best practice, with improvements in flexibility, clarity and the ease of administration.

NEC4’s highlights are as follows:
  • Reflects user feedback, industry developments and user best practice
  • Increased flexibility in each contract and NEC suite
  • Designed for international use
  • Better value, greater certainty and improved delivery
The key benefits of NEC4:
Streamlined processes and updated definition Improved contract administration and reduces administration costs Greater clarity and reduced potential for problems Provision for BIM and early contractor involvement Improved Risk Opportunity and Risk Management

New contracts: DBO and ALC

The NEC4 Design, Build and Operate Contract (DBO) allows the procurement of a more integrated whole-life delivery solution. It combines responsibility for design, construction, operation and/or maintenance, procured from a single supplier.

It can include a range of different services to be provided before, during and after engineering and construction works are completed.
The NEC4 Alliance Contract (ALC) will be published initially in a consultation form. It was created to support Clients who wish to take a step forward by fully integrating the delivery team for large complex projects. 

The ALC should be used to engage in a single collaborative contract with a number of participants in order to deliver a project or programme of work. The basis of the contract will be that all [arties work together in achieving Client objectives, and share in the risks and benefits of doing so.

The official launch: NEC Users’ Group Annual Seminar 2017

NEC4 will be launched at the NEC Users’ Group Annual Seminar 2017, at the County Hall, in London, on the 22 June 2017.

The event will gather the NEC4 suite drafters to give a full overview of the contracts to the audience. A series of practical workshops throughout the afternoon will also improve attendees’ understanding of NEC4.

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