The price of turnkey projects is usually a lump sum. Although it is possible to express prices in a turnkey contract in the form of unit prices or reimbursement of costs, these agreements appear to be rare. However, it is not uncommon for the turnkey package contract to contain a list of unit prices or prices for certain parts or parts of the plant. These unit and partial prices are then used to assess the spreads and perhaps also to continue to pay. The term turnkey is also often used in the technology sector, most often to describe prefabricated computer “packages” in which everything is needed for a particular type of task (for example. B audio edition) is compiled and sold in packages by the supplier. [Citation required] It is often a computer with pre-installed software, different types of hardware and accessories. These packages are commonly referred to as appliances. A website with a prefabricated solution and certain configurations is called turnkey website. If the work is important, the contract provides for partial payments.
In the case of turnkey package contracts, it is difficult to determine advance payments on the basis of quantity measurement. These partial payments in these contracts are usually made on the basis of milestones such as contracting to suppliers, obtaining certain steps in the manufacturing process, packaging equipment, shipping, arrival on site, etc. A full turnkey construction contract is also called Engineering, Procurement, and Construction (EPC). Projects are carried out with maximum efficiency, minimal intervention, absolute guarantee. Each of the responsibilities is centralized. In case of delay, compensation is allowed (but delays are rare). Performace is also supported. The contractor gets full control of the website and can access each component of the property. However, compulsory licences and authorizations must be obtained. Maintenance and use instructions must be provided. In the end, more details will be settled as part of a turnkey contract construction.
Between the parties, annoying people should be avoided as much as possible. The main clauses of turnkey contracts are: project design, construction of construction sites, duration of project execution, price, remuneration, benefits, credibility and legal governance. The main features of the EPCM (Engineering, Supply and Construction Management) project are that DSEC works “for and on behalf” of the investor. DSEC`s commitment is therefore a financing obligation that provides clients with fully reliable support throughout the implementation of its project. DSEC is, however, able to assume, under certain conditions, certain debts arising from benefits, budget and schedule, in order to significantly reduce the risk of construction. A turnkey computer system is a complete computer with hardware, operating system and applications specially designed and sold for certain commercial requirements. The terms of the FIDIC contract for EPC`s turnkey projects (The Silver Book) are an example of an engineering and construction acquisition contract. The semi-turnkey configuration is a partial EPC configuration (Engineering, Supply and Construction) in which the investor can directly procure specific supplies and work if he feels that it is less expensive and presents a risk that he can control.