The transition from construction to operations covers the period when the infrastructure has been built and is ready to commence operations. An additional element of this phase is sometimes referred to as the 'bedding-in' phase, where full payment deductions ordinarily available to the Procuring Authority may be discounted for several months to allow the Project Company to settle in to the operations phase without being penalised.
This phase can be a time of increased tension between the Procuring Authority and the Project Company because of the contractual milestones and payments involved, as well as a change of contractors.
SUBSECTION STRUCTURE This subsection provides guidance on managing the transition from construction to operations. The key elements of successfully managing the transition are summarised below and detailed in this subsection under the heading 'Guidance': A. Ensure adequate resourcing is employed for testing and commissioning |