Engineering (engineering design)
Procurement (equipment procurement)
Construction (presiding over construction)
EPC means that the general contracting enterprise undertakes the design, procurement, construction and commissioning services of the project according to the contract, and is fully responsible for the quality, safety, construction period and cost of the contracted project.
Foreign engineering companies (called design institutes in China) are responsible for the project for the owners, which is this model, and all three stages are responsible;
Many domestic companies have adopted this model and done a good job, such as China Electric Corporation.
Turn-key should have nothing to do with land acquisition. The owner is responsible for land acquisition and construction permit, which is completed by the National Development and Reform Commission and local administrative departments. This is for approval.
General contracting mode is one of EPC general contracting modes.
In this mode, as long as the construction unit generally puts forward the use requirements and completion time limit, the contractor can conduct the whole process and all-round general contract for project proposal (optional), feasibility study (optional), process package (optional), basic design, detailed design, equipment inquiry and procurement, material ordering, engineering construction and production personnel training until it is completed and put into production, and is responsible for the overall management and operation of all subcontracted tasks. In order to facilitate the connection between construction and production, if necessary, we can also absorb part of the strength of the construction unit and participate in the related work of engineering construction under the unified organization of the contractor. This contracting method requires close cooperation between the contracting parties; Major issues involving decision-making nature should still be decided by the construction unit or its superior competent department. This contracting method is mainly suitable for all kinds of large and medium-sized construction projects. Its advantages are that it can accumulate construction experience, make full use of existing experience, save investment, shorten construction period, ensure construction quality and improve economic benefits. Of course, the contractor is also required to have strong technical and economic strength and rich experience in organization and management. In order to meet this requirement, some large foreign contractors often form an integrated contracting company with survey and design units, or further expand to a number of professional contractors and equipment manufacturers to form a horizontal economic consortium.
The turnkey range can also be changed. The preliminary project proposal, feasibility study and process package are optional, and the later scope can end at the end of performance evaluation or defect liability period, depending on the requirements of the owner.