What is the effect on the critical path and cost of a CE on a critical path that is ahead of schedule but a revised PoW has not been submitted?

NEC3 and NEC4 Contracts Compensation Events
1

I have a project that since the last Programme of Works (PoW) was submitted and accepted has moved ahead of schedule.

Immediately after submitting this PoW a 1 week delay was encountered as a result of a change in the works information and preparation of a CE was instructed. Since issuing the CE there has been a number of changes to the submission to meet the clients requirements. during the time that has lapsed we have gained time on the programme and more importantly the critical path.

To complete the CE all planned works had to be stopped and the gain we achieved is purely in the original planned works. given there was no programme submitted for the delay and the next time we submit our programme we will be ahead of schedule is this likely to mean the client will try to reduce my costs arguing that we had resources planned to be on site for the duration of this task and even with the CE the critical path remains unaltered hence no additional resources appear to have been needed.

Hopefully this makes sense and thanks in advance…

1 Like
2

The starting point is to take the last Accepted Programme (62.2) , then update for progress and then impact each event on the programme. It is a step by step process to get to the right answer.

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Barry thanks for your response - are you saying the programme should be submitted along the following lines:

Amend the accepted PoW to show the 1 week delay as a result of the CE.
then reamend the programme new submitted programme to show the current progress on site which reduces the time frame by 1 week effectively leaving us at the same point as the first accepted programme. the only difference being that we now have included the CE which pushed the Completion Date out by one week but Planned completion will be as per the initial completion date providing me one week of terminal float?

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  1. Us the last Accepted Programme
  2. Update for progress
  3. Impact each compensation event
5

Thanks Barry