Search results

The most important thing before starting the construction project is deciding the type of contract will be used for the project's implementation. In order to get the proper decision, the understanding on various conditions of contracts are required. In Indonesia there are many project using the so called "modified" FIDIC Conditions of Contract for EPC/Turnkey Project, but with the incorrect understanding on the reasons of using EPC/Turnkey Contract, so instead of solving the problem it may caused bigger problems in practice, many problems raised during the execution due to such incorrect understanding of the spirit of EPC/Turnkey Contract. Most of Employers, in this case the government institution or state owned enterprises in Indonesia, choose the EPC/Turnkey Contract with minimum understanding of the essence of the EPC/Turnkey Contract. Their reasons of choosing the EPC/Turnkey Contract was the "tied schedule" and the "higher certainty of cost". FIDIC EPC/Turnkey Contract based on the discussion in this paper, instead of fit the Employer's need only, the EPC/Turnkey Contract still give chance to the contractor to submit their claim (Clause 20) and even the price is fixed, payment could be made once the claim is accepted (Sub-Clause 17.4) means that additional to the contract price can be done. One of the important noteworthy thing is that if there is additional cost it should be "added to the contract price", while in the conventional contract it should be "included in the contract price", so the final price will be the same (Sub-Clause 14.1). Keyword: EPC/Turnkey Contract, tied schedule, higher certainty of cost, added, included. ; The most important thing before starting the construction project is deciding the type of contract will be used for the project's implementation. In order to get the proper decision, the understanding on various conditions of contracts are required. In Indonesia there are many project using the so called "modified" FIDIC Conditions of Contract for EPC/Turnkey Project, but with the incorrect understanding on the reasons of using EPC/Turnkey Contract, so instead of solving the problem it may caused bigger problems in practice, many problems raised during the execution due to such incorrect understanding of the spirit of EPC/Turnkey Contract. Most of Employers, in this case the government institution or state owned enterprises in Indonesia, choose the EPC/Turnkey Contract with minimum understanding of the essence of the EPC/Turnkey Contract. Their reasons of choosing the EPC/Turnkey Contract was the "tied schedule" and the "higher certainty of cost". FIDIC EPC/Turnkey Contract based on the discussion in this paper, instead of fit the Employer's need only, the EPC/Turnkey Contract still give chance to the contractor to submit their claim (Clause 20) and even the price is fixed, payment could be made once the claim is accepted (Sub-Clause 17.4) means that additional to the contract price can be done. One of the important noteworthy thing is that if there is additional cost it should be "added to the contract price", while in the conventional contract it should be "included in the contract price", so the final price will be the same (Sub-Clause 14.1). Keyword: EPC/Turnkey Contract, tied schedule, higher certainty of cost, added, included.

The development of hydroelectric power plant is one of the efforts in utilising water resources for people's welfare by generating the energy for electricity purpose. Nowadays, the installed capacity of hydro electric power plants is 3,529 MW from the total installed capacity 24,846 MW from various power plants owned by PT PLN (Persero) and the hydropower potential 75,000 MW all over Indonesia. Hydroelectric power plant has complex structures and involves large amounts of capital with a long-running construction period. This situation imposes uncertainty factors with considerably high risks. The construction phase is identified as a critical phase in hydropower projects where many unforeseen factors occur. Failure to manage project risks leads to significant problems for the client such as completion time delays and cost overruns. In order to prevent time delays and cost overruns in hydropower construction in PT PLN (Persero), the study on project risk management in the construction stage of hydropower plant projects had been conducted. The purpose of this study was to identify and measure the importance of construction risks and to determine the level of agreement or disagreement between the client, consultants and contractors on the ranking of construction risk in hydropower projects. The author selected the respondents from the clients, consultants and contractors' personnel who had work experience in hydropower construction projects in PT PLN (Persero). JEL Classification: L74—Construction

ABSTRACT The Government of Indonesia was committed to encouraging public-private partnership (PPP) schemes to address gaps in infrastructure development. But not all projects offered through the PPP scheme have a high degree of eligibility because the project is a long-term investment with a considerable degree of risk challenge. Efforts to improve the feasibility of investing in toll road PPP projects were made such as investment guarantees and incentives for the private sector. This study is a continuation of previous research that was an implementation of the incentive system in PPP project contract to increase investment feasibility. In this study, the authors want to obtain a general description of:(1) Existing condition of research location and land use based on Local Regulation around Bali Mandara Highway (Field Observation and Local Regulation), (2) To know the wishes of the people around Highway in a location that allows applied spatial use incentive system (Interview Method), (3) Assessing the spatial plan at the foot of the toll road regarding spatial use plan with guidance on incentives and density utilization of space on the highway (method of cropping the map). From the result of the research, it can be seen the general description of the people's desire to play a role in the utilization of space around the Nusa Dua toll, where the results of satellite image analysis and the spatial regulation on spatial planning allow the availability of land for spatial use activities around highway about 10 hectares. Keywords: highway, KPS, spatial, use of space