Breaking the barriers to cooperation
Water and environmental issues were resolved at Melbourne by making use of the contractor’s expertise.
Clear communication and trust between clients and potential contractors can make or break major infrastructure projects.
Lack of it often means missed opportunities for cost and environmental savings, but conversely, if there is acknowledgement that contractors, consultants, stakeholders and project owners are not natural opponents but should be partners, not only can procurement costs be minimised, but major disruptions can be avoided.
The Forum on Early Contractor Involvement (being held at the Hilton London Docklands, 23 - 24 June) will be looking at a number of cases, including the issues that arose in the Port of Melbourne.
The port had done its homework and the economic basis of the Channel Deepening Project was well founded. Yet, as the first trailing suction hopper dredger arrived, it was greeted by protestors in kayaks and banners on the beach.
Despite thorough Environmental Effect Statements and five months of trial dredging, where reliable data concerning the effects on precious coral reefs, RAMSAR wetlands and innumerable fish and wildlife species were considered, a Supreme Court legal challenge arose.
The basic truth was that though some environmental threats were perceived, others were real. And here was where the added value and the benefits of “contractual partnering” became evident. Stephen Bradford, the port’s CEO, described how because of this shared responsibility and risk, the port was able to utilise the expertise of the contractor.
Technical modifications were made, a new type of draghead was developed, and precautionary measures were implemented in the direction in which dredging was done (away from the coral reef canyons in the bay). In addition, post dredging video surveys demonstrated to stakeholders as well as the contractual partners that the work had been executed with the best possible outcomes.
The need for this type of communication is what motivated René Kolman of the International Association of Dredging Companies (IADC) and Anna Csiti of the Central Dredging Association (CEDA) to join forces to develop the Forum.
Keynote speaker Dr Dean Kashiwagi of the Del E Webb School of Construction explaied that costs can be minimised by employing a contractor to see things through. However, he added that in any large scale project, there are risks and responsibilities and, like the issues in Melbourne, these need to be shared and managed in an equitable manner. The conclusion is that contractors need to be involved in the planning of the project as soon as possible, but Dr Kashiwagi recognises that trust has to be a two way street.
Daphne Broerse, of Norton Rose LLP suggests that by holding onto old fashioned preconceptions about the role of contractor, client, consultant and stakeholder, the opportunity for further development of roles and contractual arrangements is stymied and the idea of antagonistic parties is perpetuated, despite the parties having the same goals.
To help break out of these seemingly preordained moulds, the forum organisers are putting on interactive workshops with the purpose of identifying and possibly resolving the difficulties that delegates see in implementing this approach.
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