Reliable Description of Preliminaries Item Using Civil Engineering Preliminaries Protocol (CEPP) In Conventional Contracts

Abstract

Civil engineering work deals with nature and thus, is exposed to enormous discrepancies due to nature’s complexity compared to building works which are more certain. In the Malaysian construction industry, it is generally accepted that civil engineers administer civil engineering contracts and prepare tender documents. The Civil Engineering Preliminaries Protocol (CEPP) for conventional contracts is an ongoing research that deliberates on the cost-related items included in the Preliminaries. Preliminaries are subjective in nature and largely challenging to price. This paper considered previous research findings by conducting a literature review and accordingly, highlighted the problem statements raised on the contractual risks present due to the fallacy of item description. The identification of underlying problems and gaps within the area of study justifies the aim of the research to establishing a common protocol that is conversant to both engineers and contractors. The objective of the protocol is to eliminate disputes due to vagueness, ambiguities, and duplication of preliminary items in order to improve price accuracy. In practice, different approaches are taken by engineers and contractors in dealing with preliminary items. Engineers provide bills of preliminaries and contractors price them accordingly without establishing any mutual understanding and responsibility for risks. Conventional contracts prohibit contractors to provide their own preliminaries. Contractors instead have to obtain clarification on any ambiguities in the contract within the speculated time given during the tender period. As a way forward, the CEPP provides better clarity, accuracy, and transparency to engineers and contractors as well as the other construction players in general. Reliable descriptions of preliminary items ensure better price accuracy for the betterment of the construction industry.