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12/10/2007

Construction Conference Calls For Withdrawal Of GCCC’s

Delegates at the National Construction Conference 2007 called for the withdrawal of the draft short form of contract circulated by the Government Construction Contract Committee (GCCC).

Director of Contracting at the Construction Industry Federation (CIF), Don O’Sullivan also told the audience it was difficult to see that any contractor would want to do business on its terms.

Mr O'Sullivan said the draft contract should be withdrawn and the Government should engage with the industry in this endeavour. Also, he said, the construction industry had previously expressed concern that the introduction of the new forms of Government contract may delay vital infrastructure projects.

"It is now evident that these concerns are well founded by reference to the obvious reluctance of many public procuring authorities to use the new contract. If the Government intends to persist with these contracts it must ensure that all public sector personnel and their consultants receive adequate training and are fully conversant," Mr O'Sullivan said.

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"CIF for its part has provided training to two thousand industry personnel during the past year. Notwithstanding, CIF remains concerned that the new Government contracts are not in the best interests of either the state or the construction industry and reiterates its call on Government to develop a partnership form of contact as an alternative to the risk transfer model pursued in recent years."

He continued, saying the CIF acknowledged the need for a simple, straightforward contract for very small construction projects.

"Above all such a contract should be fair and equitable,” he said. "The draft short form of contract circulated by the Government Construction Contract Committee (GCCC) fails to meet these requirements."

Don O’Sullivan was one of a number of leading industry commentators who spoke at the Conference. Others at the eighth annual National Construction Conference included Environment Minister John Gormley; Annette Hughes, Director of DKM Economic Consultants and Pat MCArdle, Chief Economist at the Ulster Bank.

(JM)

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