Main Roads Western Australia trials NEC

Main Roads Western Australia trials NEC

NEC has been successfully trialled for the first time in Western Australia. A new 16km stretch of the Great Northern Highway in the semiarid Wheatbelt region north of Perth is about to be finished using an NEC3 Engineering and Construction Contract (ECC) Option D (target contract with bill of quantities).

Client Main Roads Western Australia and its project delivery partner Arup-Jacobs joint venture decided to trial NEC on one of ten works packages on the A$375 million (£200 million), 218km second stage of the Great Northern Highway Muchea to Wubin Upgrade project.

The A$25 million (£14 million) Pithara section was let to a joint venture of Highway Construction and Albem Operations in March 2018. The NEC-procured section is scheduled for completion on 21 June 2019.

Scope of work

The Pithara works involved building 10.3km of new single carriageway next to the existing route, upgrading 5.7km of the route through Pithara town plus 1.5km of an adjoining road, improving junctions and providing new overtaking lanes and bus bays.

Main Roads contracts manager Andrew Ives says, ‘Following consultation with industry we decided trial a target-cost contract on at least one of our projects. We believe there might be potential advantages both to ourselves and our supply chain from adopting this type of contract.

‘After analysis of the various contract options from a commercial and technical perspective, we decided to trial the NEC3 ECC Option D on the Pithara section of Great Northern Highway upgrade. Given the success of the trial to date, we are now considering further use of NEC target-cost contracts on other projects in the near future.’

Recent Projects

Recent news

New guide on using NEC4 ECC with geotechnical baseline reports

New guide on using NEC4 ECC with geotechnical baseline reports

Guidance on NEC and underground works enables a geotechnical baseline report to trigger compensation events for defined physical conditions instead of the standard NEC4 ECC clause 60.1(12).

Read more
Embracing the NEC spirit: aligning Hong Kong practices for collaborative success

Embracing the NEC spirit: aligning Hong Kong practices for collaborative success

This article explores how certain local adaptations may have drifted from NEC’s original intent. It then suggests practical ways to realign the industry’s approach for greater success.

Read more
Disallowed costs: how to avoid the contractual and commercial pitfalls

Disallowed costs: how to avoid the contractual and commercial pitfalls

This article examines some of the risks associated with disallowed costs and highlights some of the key issues for consideration by the parties to an NEC4 ECC Options C, D or E.

Read more
View all news