Engineering, Procurement and Construction (EPC)

Engineering, Procurement and Construction, also known as EPC, refers to a specific type of contracting arrangement or project delivery method that is often used for large-scale infrastructure work, industrial facilities, power plants, and other complex construction projects.

Engineering, Procurement and Construction contractors (EPC contractors) are responsible for the entire project lifecycle, from engineering and design to procurement of materials and construction, as well as commissioning and project handover. The EPC contractor provides a comprehensive, turnkey solution, overseeing and managing all aspects needed to deliver a successful project to the client.

Project owners will frequently engage EPC contractors to undertake feasibility studies aimed at evaluating the project's viability. In these assessments, the EPC contractor thoroughly examines the technical, financial, and logistical aspects of the project. These studies play a pivotal role in ascertaining whether the project's engineering prerequisites can be accomplished while adhering to certain constraints such as location, budget, and schedule.  

The EPC contractor also ensures that the engineering designs adhere to all local and national regulations, codes, and standards as well as adhere to required safety, environmental, and building codes. 

Throughout the project's duration, the EPC contractor employs creative approaches to address any engineering challenges that emerge. Their efforts aim to refine designs, enhance efficiency, and overcome any technical obstacles that may impede the successful delivery of the work. 

The EPC contractor's involvement in procurement spans the entire spectrum, from selecting and negotiating with suppliers to meticulously managing supply chains and orchestrating logistics. 

These contractors bear the responsibility of not only identifying and acquiring all essential materials, equipment, and components from suppliers, manufacturers, and distributors but also evaluating and choosing these suppliers based on critical factors like quality, reliability, cost, and delivery timelines. Beyond the task of identifying and sourcing, EPC contractors are also responsible for managing the purchasing and logistical aspects associated with these components.

After the materials are delivered, the EPC contractor conducts inspections, testing and verification to ensure that they meet the specified quality and safety standards. 

An EPC contractor’s proficiency in procurement ensures that the necessary resources are available on time, within budget, and in compliance with quality standards and is key to the successful delivery of the project.

The EPC contractor is responsible for overseeing and managing all of the construction activities of the project. This entails maintaining project schedules, milestones, and timelines to meet project objectives. In addition to ensuring the project stays on schedule, the EPC contractor is responsible for cost control and monitoring construction expenses so that they remain within the predetermined budget. 

The EPC contractor additionally enforces quality control procedures to guarantee adherence to predetermined quality assurance criteria and specifications. This encompasses performing thorough inspections and tests to validate the quality and operational integrity of finalised scopes as well as promptly addressing any shortcomings or challenges that arise.

During construction, the EPC contractor implements and enforces on-site safety protocols. With the welfare of all crews, contractors, and subcontractors in mind, the EPC contractor abides by regulatory guidelines and industry best practices to mitigate potential risks.

Throughout the entire construction phase, the EPC contractor oversees both their work crews and subcontractors, while also providing the project owner with regular updates on construction progress, challenges, and any deviations from the devised plan.