Why should investors apply EPC contract?
The application of the EPC contract form brings many benefits to the investor, not only saving management costs but also ensuring the quality and progress of the project.
EPC stands for Engineering, Procurement and Construction. EPC is a construction contract in which the EPC general contractor must perform all the work from technical design, procurement of materials and equipment, then construction on time and handover to the investor.
For investors, the application of EPC contracts brings many benefits.
- Ensure the quality and progress of the project by taking advantage of the technical qualifications and management experience of the general contractor when implementing the project. It is even possible to shorten the project implementation time because the general contractor is more proactive at all stages of the work in the implementation process.
- Saving costs and labor: During the implementation process, less manpower and project management costs are needed because only one main contact is responsible for whole responsibility.
- Financing for projects and bidding packages is more convenient: Because the advance and payment of capital is mainly carried out according to the implementation stage or completed items, the financing is more convenient.
- Risk reduction: Part of the risks, if any, in the design, supply and construction process will be shared by the general contractor with the investor.
Meanwhile, on the side of the general contractor, the implementation of the EPC contract creates favorable conditions for the contractor to increase his autonomy and flexibility in the project implementation process. There will also be a better cooperation with the supervision consultant of the investor on the construction site.
Thus, the article has helped you get more information about the role of EPC contract in the construction field. However, for the contract implementation to go smoothly and with quality, you need to find a reputable general contractor.
Tan CC Construction Consultant Co., Ltd (New CC) is the EPC General Contractor chosen by many FDI investors. New CC’s prestige is increasingly affirmed in the market by many large-scale construction projects.
With the advantages of finance, design experience, project management experience, construction techniques and a team of highly qualified personnel, many years of experience including Japanese, Singaporean experts, architects, engineers … New CC confidently brings customers a suitable and quality project. Along with that, New CC is committed to providing customers with the best after-sales service, warranty, and maintenance.
If you would like to learn more about our services, please contact us via:
Hotline: (+84) 028 3864 1262
Address: 18B, Road No. 2, Lu Gia Residence, Ward 15, District 11, Ho Chi Minh City, Vietnam