Infrastructure and EPC

Infrastructure and EPC procurements combine engineering, construction, supply, installation, commissioning and contract-management risk. Opportunities may be structured as item-rate works, turnkey packages, design-and-build contracts, EPC contracts, specialised systems or maintenance works. The tender's allocation of design, quantity, site and performance risk is more important than the label alone.

Start with the procurement and contract model

Model / feature	Key bid question
Item-rate / BOQ works	Are quantities remeasurable, and how are deviations or extra items valued?
Lump-sum / turnkey	What scope completeness and quantity risk is transferred to the contractor?
EPC / design-build	Who owns surveys, design, engineering approvals, interfaces, performance and fitness-for-purpose obligations?
Supply-install-commission package	Where does goods supply end and works/service responsibility begin, including testing and handover?
O&M / maintenance works	What assets, service windows, spares, response obligations and performance standards apply after completion?

Prequalification and eligibility deserve a hard-stop review

• Similar-work definitions, completion status, value thresholds and look-back periods must be matched exactly to the tender.
• Financial capacity tests may include turnover, net worth, working capital, solvency or bidding capacity; use the prescribed formula and evidence.
• Plant, equipment, key personnel and registrations should be checked against mandatory minimums.
• JV or consortium participation, credential sharing and lead-member thresholds must follow the tender's rules.
• Subcontracting restrictions and specialist-agency approvals can affect whether the delivery model is permissible.

Site and interface due diligence

1. Review drawings, surveys, geotechnical information and utility data supplied with the tender.
2. Visit the site where permitted and record access, logistics, storage, working hours, nearby operations and physical constraints.
3. Identify land handover, permits, utility shifting, traffic management and third-party interfaces.
4. Separate buyer-provided information from contractor verification obligations.
5. List every assumption that affects quantity, productivity, schedule or temporary works and decide whether the contract permits reliance on it.

Design responsibility in EPC and design-build bids

Where the contractor owns design, the proposal should establish the design basis, codes and standards, review/approval workflow, multidisciplinary interfaces, constructability, temporary works, value engineering boundaries and design-change control. Confirm whether buyer review reduces contractor responsibility; many contracts state that review or approval does not transfer design risk.

Programme, milestones and critical path

• Link engineering, approvals, procurement, manufacturing, mobilisation, construction, testing and commissioning into one integrated schedule.
• Identify long-lead equipment and dependencies that could consume float.
• Model monsoon, access windows, shutdowns, utility outages and working restrictions where relevant to the site.
• Check milestone-linked payments against cash outflow and performance-security requirements.
• Test whether delay damages, milestone damages or other remedies apply to intermediate as well as final completion.

Commercial structure and cash flow

Area	What to model before bidding
Mobilisation	Site establishment, temporary works, labour, plant, camps, insurance and early procurement.
Payment measurement	Measurement rules, certification cycle, invoice prerequisites and deductions.
Price variation	Whether escalation is fixed, indexed, formula-based, excluded or limited to specified components.
Securities	Bid security where applicable, performance security, additional security, retention and guarantee costs.
Taxes and duties	GST and other tax/duty treatment exactly as allocated by the tender.
Working capital	Lag between expenditure, measurement, certification and receipt, including subcontractor and supplier terms.

Quality, testing and commissioning

• Inspection and test plans should cover materials, workmanship, equipment, factory tests, site tests and integrated commissioning.
• Check who bears third-party inspection, testing laboratory, calibration and repeat-test costs.
• Map documentary deliverables such as as-built drawings, O&M manuals, test certificates, asset registers and training records.
• Do not treat commissioning as a single end milestone when systems require staged energisation, trial runs, performance tests or statutory approvals.

Health, safety, environment and statutory compliance

Infrastructure bids should identify the contractor's obligations for safety management, labour compliance, environmental controls, permits, insurance, site security and incident reporting. Requirements vary by project and jurisdiction; include the cost and management effort necessary to comply rather than treating them as boilerplate.

Variations, claims and change control

Read the contract mechanism for variations, quantity deviations, extensions of time, unforeseen conditions, price adjustments, notices and claims. A commercially viable bid should not depend on future change orders. Preserve contemporary records and comply with notice periods if a contract is awarded.

Infrastructure bid / no-bid questions

• Are qualification credentials fully compliant and verifiable?
• Is the site information sufficient to price the risk retained by the contractor?
• Can the design and approval programme support the contractual completion date?
• Are long-lead materials and specialist subcontractors available on acceptable terms?
• Does cash flow remain workable after securities, retention, certification lag and tax?
• Is downside from delay, performance guarantees, quantity risk and contractual liability within approved tolerance?