GPL Civil Engineering Ltd

"Safely delivering the UK's Infrastructure"




GPL Complete Target Cost Project for GCA Ahead of Programme

 GPL undertook a project with GCA at Tuanton Brook UID near Stalybridge which included the installation of a 2m diameter concrete storage sewer and associated Manhole chambers, as part of United Utilities framework AMP5 agreement.

With an initial programme of 14 weeks, GPL completed the works in 10 weeks! which returned the client an 18% saving on the target cost.

The principle benefit of target cost arrangements is their ability to align the objectives of the parties, which helps to create a partnering environment. The contractor and employer are both encouraged to work together to control costs by the sharing of the risk of over / under spend through the pain share / gain share mechanism.

Target cost contracts were originally developed in the infrastructure sector to deal with complex projects that had a high degree of risk around items such as ground conditions. GPL showed that their understanding and nature of such contracts, helped the client make the savings through collaberation.

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© GPL Civil Engineering Ltd   |   2012