JTC has awarded Singapore’s inaugural public sector New Engineering Contract 4 (NEC4) collaborative contract to Eng Lam Contractors Co (Pte) Ltd for infrastructure works at CleanTech Park in Jurong Innovation District. This marks a significant shift in the construction sector, aiming to improve risk management and reduce project delays and cost overruns through enhanced collaboration.
The NEC4 framework, originating from the UK, has been successfully implemented in regions like Hong Kong, where it has led to time and cost savings. In Singapore, the Building and Construction Authority (BCA) began exploring NEC4 in 2024, adapting it to local legal and industry standards. Unlike traditional contracts, NEC4 promotes mutual trust and collaboration, incorporating features such as a “Pain-Gain Share” mechanism, an early warning system, and holistic dispute management.
The pilot project at CleanTech Park involves extending CleanTech Loop and constructing an elevated walkway to improve connectivity. Scheduled for completion in the second half of 2027, the project will serve as a testbed for assessing NEC4’s effectiveness in managing risks and controlling costs. JTC plans to share insights from this pilot with other public sector agencies to encourage broader adoption.
Nelson Liew, Group Director of New Estates at JTC, emphasised the importance of mutual trust in NEC4, stating it provides stakeholders with firsthand experience in collaborative contracting. Ang Lian Aik, Group Director at BCA, highlighted the milestone as a step towards better project outcomes through strengthened communication and balanced risk-sharing. Rekha Thawrani, Global Director of NEC Contracts, praised Singapore’s adaptation of NEC4, noting its potential to transform infrastructure project delivery.
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