On 28 November 2024, the Hong Kong Edition of the New Engineering Contract (NEC) Term Service Contract (TSC) standard template was launched for appointing contractors over fixed periods to provide maintenance, repair or other services on operational assets, in order to promote collaborative partnering in public works projects. The Permanent Secretary for Development (Works), Mr Ricky Lau, announced the launch at the NEC Asia Pacific Conference 2024, noting that NEC, which adopts a more proactive and participative approach, is widely accepted by various stakeholders of the local construction industry, and has come as the right tool to help contracting parties focus on common objectives, and provides incentives for them to walk the extra mile in managing and resolving contractual problems. See the full Government Press Release here: https://www.info.gov.hk/gia/general/202411/28/P2024112700447.htm
With the increasing use of NEC in public works contracts in Hong Kong, in July 2023, the Development Bureau of the HKSAR Government launched the Hong Kong Edition of the NEC Engineering and Construction Contract (HK ECC). The HK ECC is geared to suit local legislation, procurement practices and dispute resolution and also to integrate with the Development Bureau’s works policies.
The city’s own NEC contracts will further develop the use of NEC contracts in the local construction industry.
For further information, please contact:
Joseph Chung, Partner, Deacons
joseph.chung@deacons.com
