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State Govt principles for administration of works contracts during COVID-19

2 Jun 2020 4:30 PM | Alice Graham (Administrator)

CCF WA has been advised that in response to industry concerns, the State Government has implemented a set of guiding principles for all works agencies to assist in the collaborative and pragmatic approach to the administration of works contracts during the Coronavirus (COVID-19) pandemic.

Important aspects of these guidelines include:

  • The potential impacts of COVID-19 will vary based on the type, nature and status of a project, as well as its location, workforce composition and supply chain arrangements.
  • Mitigating the impact of COVID-19 is a shared responsibility between government and industry. Early advice from contractors about potential issues is critical to managing project risks.
  • Contractors demonstrating genuine efforts to continue project delivery, after having taken steps to otherwise mitigate any potential impact, will be supported to put alternative arrangements in place, where appropriate.
  • Where existing contract terms do not give rise to any such entitlement, Agencies will consider claims from contractors for extensions of time and cost relief, where such claims:
    • are directly attributable to the COVID-19 pandemic and have significant time and costs consequences; and
    • cannot be offset by contractors, having regard to other potential or actual time and/or cost efficiencies on a project.
  • Additionally, Agencies will be open to considering reasonable requests from contractors directly impacted by COVID-19, particularly with respect to:
    • more frequent payment claims and I or alternative payment terms; and
    • substitute products and materials, arising from supply chain issues.


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