Commercial Options

EDSR are happy to get involved in remediation and regeneration projects from the earliest stages. This allows clients to develop a full understanding of the issues costs and timescales attached to a regeneration project. By working closely with our clients we can provide a full range of commercial solutions for projects that will meet the client’s budgetary requirement timescales and ensure that environmental liabilities are discharged and meet the requirements of the next site user.

Risk / Reward Solutions

EDSR have a wide range of proven risk / reward solutions where amounts and elements of risk and reward can be apportioned between the contractor and the client. We discuss relevant scenarios with the clients and explain the risk implications. This allows our client to manage levels of risk that they are comfortable with and transfer risk out if they prefer. We also operate an innovative selection of reward packages where delivering projects ahead of budget or time can allow considerable cost savings to be generated and these savings are shared between the client and the contractor. Examples of the risk / reward apportionment are discussed below. The target cost option is often used on complex projects where the scheme design cannot identify the magnitude of all risk at the point of tender. The fixed price / lump sum option is at the other end of the scale from target cost and is used when the client and their advisors have designed the scheme to a point where EDSR can take on all risk for a designed scope of work.

Target Cost

The client and their technical and cost advisors in conjunction with EDSR determine the budget and risk register in an ‘open book’ basis. EDSR design and deliver a remediation scheme that will deliver the optimum remediation solution within the budget. If the project is completed with the budget the client and EDSR share the difference between actual cost and budget in pre-agreed proportions incentivising EDSR to complete the project as economically as possible. If the target cost is exceeded EDSR bear all costs above the agreed budget.

Fixed Price / Lump Sum

Once the scope of works has been defined and agreed EDSR will complete the remediation works guaranteeing not to exceed the fixed price costs. All risk is undertaken by EDSR to ensure work is completed on time and in compliance to the specification irrespective of any unforeseen events.