NEC3 - Option A (ECC):
Hello, we have a client that would like to use incentivised “Key Dates”, to ensure the Contractor delivers to a tight programme, they have suggested using Secondary Option X6. Reading X6 in detail this only relates to full “Completion” of the works (i.e. a one off performance bonus paid if Completion is achieved before the Completion Date), or a performance bonus linked to “Sectional Completion”. We do not want to include Sectional Completion in the contract.
Would X20 (KPI’s) be the best route to include “incentivised Key Dates” into the contract? Under X20 the incentive schedule is included in the contract. My plan would be to make the KPI’s dependent upon meeting the criteria listed in Contract Data Part one for the Key Dates. As the Contractor meets the KPI criteria they pick up the incentivised bonuses.
i,e, KPI N0.1 = The Contractor meeting the requirements of Key Date N0.1 on date xx/xx/2023, as detailed in Contract Data part One.
This approach (using X20) would allow for multiple incentivised Key Dates. It appears that X6 would not.