Peter C Hunter BWEA Offshore Wind Conference – March 2003 Approaches to Offshore Contracting.

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Presentation transcript:

Peter C Hunter BWEA Offshore Wind Conference – March 2003 Approaches to Offshore Contracting

Peter C Hunter BWEA Offshore Wind Conference – March 2003 Approaches to Offshore Contracting

The Contractual Triangle Manufacturers Contractors Developers

The Contractual Struggle Manufacturers Contractors Developers

Negative Contractual Struggle Agreement Manufacturers Contractors Developers

Positive Contractual Approach Agreement Manufacturers Contractors Developers

The Distorted Contract Manufacturers Contractors Developers

BWEA Offshore Wind Finance Forum Identified distortions Single contract structure Joint & Several Liability Geotechnic risks Lack of risk appreciation

BWEA Offshore Wind Energy “That seemed like a good idea. I wonder why it never happened ?“ Our grand-childrens‘ reflections: Scorched Europe 2003

Offshore Wind - Stalled MikeLeffel©2001 Now look what a fine mess you‘ve got us into !

EPC / Turnkey Tenders A Reverse Bid Bond ! Murmurs of discontent

Offshore Contracting The Way Forward: Continued dialogue Standard Form of Contract Eliminate the Unknown “A Road Map to Peace“ Developer / Financier Confidence Measured Risk for Contractors Manufacturers Confidence in the Future

Standard Form of Contract UK Only or, Pan European ? All sides of the triangle to be represented Speedy progress essential

Offshore Contract Conditions Standard Form of Contract Conditions of Particular Application

Offshore Wind - Standard Form of Contract Let‘s do it together Let‘s do it today Tomorrow could be too late !

Peter C Hunter BWEA Offshore Wind Conference – March 2003 Approaches to Offshore Contracting