NEC Option C: Target contract with activity schedule
NEC was first published in 1993 as the New Engineering Contract. It is a suite of construction contracts intended to promote partnering and collaboration between the contractor and client.
The Engineering and Construction Contract (ECC) is the most frequently used, and can be adopted on projects such as infrastructure, buildings, highways and process plants. It is used for the appointment of a contractor for engineering and construction work, including any level of design responsibility.
Option C is a cost plus contract which is subject to a pain/gain share mechanism by reference to an agreed target cost built up from an activity schedule. It includes core and secondary option clauses, the schedules of cost components, and contract data
A target cost contract introduces a mechanism enabling the contractor, and/or the consultant team, to share in the benefits of cost savings, but also to bear some of the cost when there are cost overruns.
[edit] Related articles on Designing Buildings Wiki
- Activity schedule.
- Conditions of contract.
- Construction contract.
- Contract documents.
- Contractor's working schedule.
- NEC Option A: Priced contract with activity schedule.
- NEC Option B: Priced contract with bill of quantities.
- NEC Option D: Target contract with bill of quantities.
- NEC Option E: Cost reimbursable contract.
- NEC Option F: Management contract.
- NEC3.
- Right to payment.
- Target contract.
- Target cost.
- Term contract.
Featured articles and news
Homes England creates largest housing-led site in the North
Successful, 34 hectare land acquisition with the residential allocation now completed.
Scottish apprenticeship training proposals
General support although better accountability and transparency is sought.
The history of building regulations
A story of belated action in response to crisis.
Moisture, fire safety and emerging trends in living walls
How wet is your wall?
Current policy explained and newly published consultation by the UK and Welsh Governments.
British architecture 1919–39. Book review.
Conservation of listed prefabs in Moseley.
Energy industry calls for urgent reform.
Heritage staff wellbeing at work survey.
A five minute introduction.
50th Golden anniversary ECA Edmundson apprentice award
Showcasing the very best electrotechnical and engineering services for half a century.
Welsh government consults on HRBs and reg changes
Seeking feedback on a new regulatory regime and a broad range of issues.
CIOB Client Guide (2nd edition) March 2025
Free download covering statutory dutyholder roles under the Building Safety Act and much more.
Minister quizzed, as responsibility transfers to MHCLG and BSR publishes new building control guidance.
UK environmental regulations reform 2025
Amid wider new approaches to ensure regulators and regulation support growth.
BSRIA Statutory Compliance Inspection Checklist
BG80/2025 now significantly updated to include requirements related to important changes in legislation.