This is a complicated question with multiple factors to be considered. Seasonality plays a role depending on the nature of the work to be performed, but the most important thing is for the engineering to be advanced enough to rule out major changes. This means resolving critical components of the design, such as utility corridors, access points and stormwater management, on the civil side, but this must coordinate with other aspects of the project and may involve electrical engineering, process engineering, architecture, landscape architecture mechanical engineering, and structural engineering. You really do not want to begin site work until you are confident that the plan will not change appreciably as a result of ongoing engineering. The schedule can be expedited for certain tasks such as site work, off-site improvements, Consideration may be given on large sites to subdividing the project in phases.
The real challenge with EPC projects is proper planning and estimating in the proposal stage. That is when all of the designers and the contractors should sit down and work out the optimal sequence and schedule. If it is not done then, it can be really difficult if not impossible to get a project on track. One of the great advantages of EPC is that the designers can take advantage of the contractors specific knowledge of means and methods and create a design that meets the owner's requirements making most efficient use of contractor capabilities. If the first time the design consultants and contractor are meeting together is after award, there could be real issues and time consumed in getting all of the considerations worked out so everyone is aware of the limitations and assumptions made by different designers and can reconcile them into a workable plan.
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Michael Byle P.E., D.GE, F.ASCE
Tetra Tech Inc.,
Langhorne PA
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Original Message:
Sent: 01-27-2021 10:53 AM
From: Ricardo Fierro
Subject: EPC Contracts: advantages and difficulties
Hi Alfred
Thans for your answer.
I was thinking of the typical case where the contract is already awarded to an EPC contractor and that company is developing the engineering as part of their contract. That same company is responsible for the "E", the "P" and the "C".
In this situation, the right time to start work on a large project is a complex decision with considerable risk.
best regards
Ricardo Fierro
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Ricardo Fierro Aff.M.ASCE
Partner Senior Consultant
GEDD CONSULTORES
Santiago
Original Message:
Sent: 01-25-2021 05:16 PM
From: Alfred Cranston
Subject: EPC Contracts: advantages and difficulties
At the very least Mr Fierro, you should have completed an indicative design with associated engineering documents so that you then can go to bid and select the most responsive, and preferably, the least cost construction contractor. Then you also need the engineering resources to fully review the detailed designs submitted as the "E" part of the EPC contract.
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Alfred Cranston M.ASCE
Retired
AECOM New Zealand Limited
RD6, Warkworth
Original Message:
Sent: 01-22-2021 04:42 PM
From: Ricardo Fierro
Subject: EPC Contracts: advantages and difficulties
One of the most interesting advantages of EPC contracts is that you can start the works before the engineering design is fully completed, unlike a lump sum construction contract where the engineering is supposed to be completed and coordinated to start the works. But, thinking about not falling into "your own disruption trap", what is the reasonable minimum level of advancement in engineering development to start works on an EPC?
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Ricardo Fierro - Aff.M.ASCE
Partner & Senior Consultant
GEDD CONSULTORES
Santiago de Chile
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