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NEC ECC: Use of CECA Rates for Standing Time in a CE Assessment

+3 votes
48 views
Option B Contract. The published list is the CECA schedule of rates with a negative percentage adjustment.

We have a CE which resulted in equipment being idle for a period of time (cranes, excavators, dumpers etc.)

The CECA rates include fuel. As the equipment is idle no fuel is being consumed.

As such is it correct to use the CECA rates in our assessment for this equipment whilst it's sitting idle?
asked Oct 11 in NEC3 and NEC4 Contracts by richardmiller (230 points)  
   

1 Answer

+2 votes
The percentage adjustment for listed Equipment is essentially a weighted guess'estimate for the Equipment that the Contractor thinks will be used for compensation events.

As such sometimes he will gain and sometimes lose. If he is losing, because circumstances turn out different from his tender guess, would you pay the difference ?

That's the moral argument. The contractual argument is in Equipment 25 "Unless the item is in the published list and the rate includes the cost component, the purchase price of Equipment which is consumed."
answered Oct 11 by Jon Broome (23,720 points)