10 Steps to a Successful Biofuel Construction Project
by Jacqueline Greenberg Vogt and Robert C. Epstein (Greenberg Traurig LLP/Biofuels Digest) These Ten Steps May Help Biofuels Companies Avoid Headaches, Delays, Higher Costs and Legal Complications — … Construction projects in the U.S. and throughout the world will be necessary to retrofit existing facilities and build new ones to prepare for the future increase in biofuels usage. Biofuels companies beginning such projects should be aware of the potential for delays, overruns, conflicts, defects, and failures. According to a February 2017 Cato Policy Report, one out of ten large construction projects is on budget, one out of ten is on schedule, and one out of ten delivers the promised benefits. A June 2016 study by McKinsey & Co. Inc. found that large construction projects typically take 20% longer to finish than scheduled and end up well over budget.
Achieving a successful biofuels construction project requires effective preplanning, oversight, and cooperation. Here are ten suggestions for planning and managing biofuels construction projects to ensure they finish on time, on budget, and built well.
- Careful Contracting …
- Independent Cost Estimates …
- Establish a Firm Budget …
- Use “Add and Delete” Alternatives …
- Peer Review the Design …
- Review the Plans for Constructability …
- Set a Reasonable Schedule for Construction …
- Submittals as Communication Between Contractor, Designer and Owner …
- Review Construction Activities …
- Periodic Audits of Contractor Billing … READ MORE