Project
Dover Cargo Terminal Demolition
Timescale
2018 – 2020
Value
£3,500,000
Client
Dover Harbour Board (Port of Dover)
Introduction
In 2018, Dover Harbour Board (DHB) commenced a programme of demolition work at the site of their Cargo Terminal within the Eastern Docks at Port of Dover.
The core works comprised of demolition of refrigerated and ambient cargo terminal buildings, demolition of a passenger services building, and demolition of a redundant ro-ro ferry berth.
The drivers for the programme of works centred around poor asset condition and an expired Crown estates lease of the seabed at the site of the ferry berth requiring full reinstatement of the seabed.
The works also acted as an enabler for a follow-on programme of works which M&P are engaged on to Re-Order the Outbound Border and Check In Controls.
The Project
Moreton & Partners were engaged by DHB towards the end of the feasibility stage to provide pre and post-contract commercial services for a range of packages under the programme of works. Design services were procured via an NEC3 PSC pursuant to DHB’s consultant Framework and M&P worked closely with the Employer’s delegate to draft the package, evaluate tender submissions and award the contract. As design progressed, a cost plan was prepared by Moreton & Partners and updated and reported on at prescribed intervals at DHB’s governance meetings. The cost plan was a vital element as DHB sought EU grant funding for the works, and Moreton & Partners supported the DHB team with this application.
Moreton & Partners led on the procurement of a demolition contractor and the tender process was governed by the requirements of the Utilities Contract Regulations. This process was utilised to ensure transparency of inviting interest for the purposes of the EU grant funding.
Due to uncertainty around DHB’s wider business strategy, the procurement sought tender prices for differing approaches to the proposed demolition works and M&P remained responsive to DHB’s changing business requirements. Following tender notifications, Moreton & Partners facilitated workshops with DHB’s Project Manager, stakeholders and the ‘Preferred Bidder’ to develop the risk register and conclude the application to the Marine Management Organisation for a license necessary to undertake the marine demolition. Following final board approval, the contract (NEC3 ECC) was finalised and formally awarded to the contractor.
From the outset it was key to establish the NEC3 contract management principles with the contractor and a regime was set out in the early stages to ensure all were clear upon and committed to the requirements for management reporting, programme submissions, payment assessments, risk reduction meetings, compensation event assessments, and the like. Administration of the contract took place via the Asite Adoddle NEC management platform with M&P acting as the administrator on behalf of the Project Manager. With Moreton & Partners understanding the importance of the programme under the contract, collaborative workshops were undertaken to improve the programme quality and maximise the chance of acceptance.
The landside demolition works progressed well, however the marine demolition proved somewhat more challenging. A number of compensation events were notified by the contractor which were not agreed by the Project Manager. Moreton & Partners played a key role in evidencing the reasoning behind the decisions; however, escalation was ultimately required in an attempt to reach agreement between the parties. Moreton & Partners prepared position papers for DHB’s senior management, however the parties were unable to reach a mutually agreeable position and the contractor notified adjudication proceedings. DHB’s defence was led by their legal representative.
Moreton & Partners played a crucial supporting part in the responses to the contractor’s claims and the Adjudicator’s questions. Whilst clearly not a position either party wishes a contract to reach, the fact the Adjudicator found in DHB’s favour upheld Moreton & Partners’ contract administration approach and advice given to the Project Manager, whilst also providing DHB a significant risk saving following final account agreement.
Services Provided
- Regulated procurement
- Tender analysis / contract award
- Pre and post contract administration
- NEC3 PSC & ECC
- Cost planning
- Risk management
- Project financial control and reporting
- Programme review and acceptance (NEC)
- Quantification and costing change
- Dispute resolution
- Final account