Clyde Mission: energy masterplan

9 Contracting Strategy

The contracting strategy for any of the proposed projects will need to address all works and services required to deliver the projects, considering risk allocation and mitigation.

Successful delivery of a project will require careful identification, description, design, and installation of the scheme followed by effective operation. The responsibility for ensuring an efficient affordable system changes during the implementation of the project (initially being with the project owner, then technical advisors, then the contractors' designers, installers and operators) and care needs to be taken to ensure the efficiency of the project remains intact.

Alternative contracting routes ranging from self-delivery where the project owner retains most risk through to DBFOT (Design, Build, Finance, Operate, Transfer) where the project owner passes as much risk as possible to a third party.

Contracting options

• Self-Delivery
  • Developer-sourced design
  • Sub-contracted construction
  • In-house operation and maintenance
• Design & Build
  • Contractor appointed to design & build based on Employer's Requirements
  • Constructed to a price
• EPC
  • Engineering, Procurement & Construction
  • Price & Performance guarantee
  • Often a turn-key contract with less input by employer than under Design & Build
• Operate & Maintain
  • Operate & Maintain
  • Infrastructure & plant design / construction by others
  • Guaranteed availability & standards
• DBOM
  • Design, Build, Operate, Maintain
  • Guaranteed price, performance, availability & standards
• DBFOT
  • Design, Build, Finance, Operate, Transfer
  • Funded solution with guaranteed performance availability & standards asset transfer at end of contract