NEC 4 Option B - Increased Costs

[Peter_Papadakis]

Hi Paul,

Since X1 does not apply, any price increases would only be dealt within the CE mechanism, meaning that, in general, the Defined Cost would be based on current or forecasted costs (e.g. current or forecasted material prices), save for rates set out in Subcontract Data Part 2 for people and Equipment.

Based on the above, your logic is correct. You may wish to check a similar post below:

Material Price Increases

You would have to notify a CE for one of the reasons stated in clause 60.1 and subject to any time-bar if you became aware of the delay more than 8 weeks ago (unless there was an instruction). When you come to the quotation stage, you will build-up the Defined Cost based on current costs, adding risk allowances as Steve Brown correctly mentioned. So in short, I would suggest that you have a case, but you need to follow the process carefully as set out in your contract - read carefully Section …