UNDER THE PATRONAGE OF THE PRIME MINISTER AND MINISTER OF FOREIGN AFFAIRS, H.E. SHEIKH MOHAMMED BIN ABDULRAHMAN BIN JASSIM AL THANI
UNDER THE PATRONAGE OF THE PRIME MINISTER AND MINISTER OF FOREIGN AFFAIRS, H.E. SHEIKH MOHAMMED BIN ABDULRAHMAN BIN JASSIM AL THANI
Qatar announced investment in several major infrastructure projects following the Qatar 2022 FIFA World CupTM. The Qatari government identified new projects valued at US$14.8 billion in its 2021 budget, and its construction market was valued at US$53.3 billion in 2022. The market is projected to reach a value US$123.1 billion by 2030. Qatar's 2050 Transport Plan alone anticipates the award of 22 new projects in 2023 at a total cost of US$2.7 billion.
Two examples of major projects that may be procured in 2023 are:
1) Second phase of the Doha Metro Project – this involves the construction of the Blue Line which is an extension of the current Doha Metro network.
2) Sharq Crossing – the multi-billion-dollar construction of a three-part bridge connected via underwater tunnels which will connect Hamad International Airport with Katara Cultural Village.
There are several ways of managing risks on major infrastructure projects, one of which is selecting the most appropriate procurement model. In Qatar, the most common methods of procurement are traditional, and design and build. The following are some alternative methods of procurement that procuring authorities may consider for upcoming projects:
Construction management – the employer enters into contracts directly with the trade contractors who undertake the physical works. The management contractor manages the project, including coordination and sequence of work. This is typically used on projects which require several specialist packages that are all managed by a single construction manager.
Management contracting – the employer appoints a management contractor to manage contractors appointed directly by the management contractor. This is similar to construction management, but the construction manager enters directly into contracts with each contractor.
Early contractor involvement – this is a two-stage procurement process under which the employer appoints a contractor for early construction services to gain advice on issues such as the design, the employer's requirements and long lead items. A contractor is then appointed to undertake the works. This method allows for greater time and cost certainty.
Framework contracting – framework contracts define the scope and prices for work or services likely to be required during the defined time period. The terms and conditions of contracts are pre-agreed and pre-qualified. This allows an employer to expedite the tender process.
It is key to understand the type of project to be undertaken, the risks involved and how best to utilise the appropriate procurement model. This will allow an employer to adequately manage risk and deliver projects in the most cost-effective and time-efficient manner possible.
Source Credits: dentons.com
