Balfour BeattyConstruction Northern

Contract Clauses

Jim Duffy (BBCNL)

Balfour BeattyConstruction Northern

Agenda

• Market Response (Construction Industry)

• Specifying Timber

• Contract Clauses

• Barriers In The Supply Chain

• Awareness Raising

Balfour BeattyConstruction Northern

Market Response (Construction)

How is the Market currently Responding to Verified Legal Timber?

• Recognition of responsibility

•Timber Procurement Policies Terminology

•“Wherever Possible”, Where Appropriate”

• BBCL Timber Procurement Policy revised

•Recognising Credibility of Certification Schemes

•In tune with CPET guidance on Certification Schemes

Balfour BeattyConstruction Northern

Market Response (Construction)

Balfour BeattyConstruction Northern

Market Response (Construction)

• BREEAM, SEAM & NEAT Assessments

• Scoring highly for use of Sustainable Timber

• Use of Sustainable Timber Taken for granted on PFI Projects

Balfour BeattyConstruction Northern

Specifying According to Credibility

• FSC Certified

• FSC Certified Alternative Species

• Other Certification Schemes

• PEFC

• SFI

• MTCC

• Other Forms of Evidence (independently audited)

• No Evidence

CPET Guidance

Increasing Risk

Balfour BeattyConstruction Northern

How are requirements communicated?

BBCL

• Timber Procurement policy Embedded in Subcontract Conditions

• Subcontractor/Supplier Clauses

For Subcontractor and Suppliers, evidence required prior to placing orders

Balfour BeattyConstruction Northern

How are requirements communicated?

BBCL

• Timber Procurement policy Embedded in Designer Agreements

• Design Consultant Agreement

The Consultant shall support the Contractor’s commitment to environmental improvement and its timber procurement policy and where the Consultant is in the provision of the Services to specify types of timber and/or their source shall wherever possible only specify timber which is not on a recognized list of threatened species and shall only specify timber from an independently certified, well managed source, e.g. FSC or similar. If unable to do so the Consultant shall as soon as possible inform the Contractor in writing.

Balfour BeattyConstruction Northern

Flow Chart

Balfour BeattyConstruction Northern

What are the barriers in the Supply Chain?

• Missing links in COC

• Understanding of requirements

• Knowledge of Credible Schemes

Balfour BeattyConstruction Northern

Awareness Raising

• Use Existing Expertise (CPET)

• Stepped Approach With Supply Chain

• Commitment from Supply chain

• COC Sites for BBCL

•“Preferred Supplier” benefits (repeat business)

• Training

Balfour BeattyConstruction Northern

Any Questions?