National standard contract for the construction of buildings, roadworks and bridgeworks
27 June 2019
Austroads and the
Australian Procurement and
Construction Council (APCC) have released new General Conditions of
Contract for Construction, titled National Capital Works 4 (NCW4).
APCC and Austroads developed the new General
Conditions of Contract to
improve the efficiency of project delivery and reduce the potential for
contractual
disputes by driving greater consistency in the contractual
conditions and clauses used by members.
It is important to note that NCW4 is primarily for public sector use and
‘Construct Only’ contracts with special conditions to be considered at
the jurisdictional level.
Teresa Scott, APCC Executive Director, said “Having new standard General
Conditions of Contract will have many benefits, such as reducing the
cost of doing business with Government and the potential for contractual
disputes.”
“NCW4 will mitigate the need for tenderers to seek legal advice
regarding the myriad of contract conditions currently in use. It will
also be easier for contractors to transfer their skills and experience
between jurisdictions,” Teresa said.
Nick Koukoulas, Austroads Chief Executive said, “NCW4 adopts
contemporary contract drafting practice and addresses legislation such
as security of payment, personal property securities, GST and work
health and safety.”
“As owners of NCW4, Austroads and APCC will be able to keep NCW4 current
and relevant through annual reviews and industry consultation,” Nick
said.
It is expected that each state and territory will amend the NCW4 to
address local legislation and policy and publish a State based NCW4. The
APCC website will host both the Master version and links to State
versions.
NCW4 is accompanied by:
-
Explanatory Notes that provide more background and explanation for each clause in NCW4
-
Annexure A: Contract Particulars
-
Annexure B: Commercial Framework.
There are also optional documents agencies can adopt:
-
Annexure C: Subcontracting Framework (optional)
-
Annexure D: Alternative Dispute Resolution (optimal)
-
Conditions of Subcontract for Construction.
APCC and Austroads members have
been widely consulted on the draft NCW4. In addition, an industry
consultation took place in May-June 2018.
Documentation link:
https://austroads.com.au/publications/project-delivery/ap-c104-19
--ENDS--
Source: Austroads - www.austroads.com.au
Contact: N/A
External Links: https://austroads.com.au/publications/project-delivery/ap-c104-19
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