NEC3 ECC: Assessing a revised CE under option C

I priced a PMI under cl 61.1.(1) & made an allowance of 5% risk, we since had comments back & provided a revised quotation, this time increasing the risk to 8% following the revised quotation (at which point the works were underway), further comments returned, however these were after the works were complete. Again we made minor amendments and again further comments returned this time with the risk being assessed at 0%, on the basis that the revised CE was submitted after the works had been complete.

Does the PM have a valid argument under the contract or should they not have raised the issue regarding risks within their initial response and by not doing so, have to assess the CE on the forecasted cost as per our initial quotation.

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The PM’s argument is not a valid argument under the contract.
The PM does not have the authority to decide how a compensation event is assessed.
Both the PM and the Contractor must assess the compensation event in accordance with clause 63.1 .This clause confirms that the switch date between actual Defined Cost and forecast Defined Cost is the date of the instruction etc. Further information is also provided in the Guidance Notes