Container pv kit EPC service price in Malaysia
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Read moreFAQs 6
What are EPC & EPCM contracts in Malaysia?
Many clients in Malaysia face the same dilemma. Whether you’re building a new factory, a power plant, or some other major facility, understanding your options is crucial. Two popular approaches you’ll often hear about are EPC (Engineering, Procurement, and Construction) and EPCM (Engineering, Procurement, and Construction Management) contracts.
Are there standard Australian contracts for EPC & EPCM?
There are no standard Australian contracts for EPC or EPCM, and careful drafting of contracts is important. FIDIC international contracts are available. It’s important to adapt contract approaches to the local context in Malaysia. Here are some practical tips for choosing the right contract:
What is an EPC contract?
With an EPC contract, you, the client, have minimal involvement with the various contractors and suppliers; the main contractor handles all of that. The key point is that the contractor takes on all the project risks and delivers the final result. What are EPCM Contracts? Now, EPCM is a bit different.
How do I Choose an EPCM project?
Assess Your Internal Capabilities: Decide if you have the in-house expertise to manage an EPCM project or if an EPC approach is more suitable. Define Your Project Goals Clearly: Establish clear objectives to ensure the chosen contract aligns with them. Evaluate Your Risk Tolerance: Decide how much risk you are comfortable taking on.
Should you choose an EPC contract for a construction project?
Keep these points in mind when considering EPC: Limited control: You have minimal say in the construction process. Dependence on the contractor: The project’s success relies heavily on the contractor’s competence. Higher costs: EPC contracts are typically more expensive because the contractor takes on more risk.
What is the difference between EPC and EPCM?
EPCM: Contractor provides management services, while the client takes responsibility for the final outcome. A useful way to remember the difference is with this formula: EPCM + Owner’s Engineering = EPC. It shows how the addition of the owner’s engineer role in an EPCM contract can lead to an outcome that is similar to a traditional EPC contract.
