The latest JCT Design and Build contract enforces sustainability, transforming optional guidelines into mandatory provisions.
- Previous optional sustainability clauses are now mandatory in the 2024 JCT Design and Build contract.
- Sustainable development provisions have moved to a central clause, highlighting their importance.
- The amendments align with the Construction Playbook’s emphasis on building sustainably and reducing environmental impacts.
- Despite minimal drafting changes, the new mandate is seen as a crucial step towards zero carbon goals.
The 2024 edition of the JCT Design and Build contract marks a significant shift, mandating previously optional sustainability obligations. The 2016 version allowed parties to decide on the applicability of sustainability provisions, known as Supplemental Provision 8. This optional nature has been replaced by a formal requirement, now integrated into clause 2.1.5 of the new edition. The clause suggests that contractors propose economically viable amendments for improved environmental performance, but it is clear that no such directive should extend the contractor’s design obligations.
This adjustment requires contractors to explore amendments that might enhance sustainability without increasing their design responsibilities, unless they agree to undertake all design aspects. A point of contention arises here: the contractor’s role in design amendments must be clarified if they are responsible for the overall design, a common scenario in design and build contracts. This necessity for clarity is crucial when changes are driven by contractors’ suggestions under the new clause.
Commentary from industry experts reveals a mixed reception regarding the minimal changes within the contract. Nevertheless, many regard the shift to mandatory sustainability as essential, recognising the construction industry’s significant carbon footprint. The updated contract aims to align with the Construction Playbook, a document steering industry recovery post-pandemic and promoting best practices. Central to its ethos is a push for safety improvements and a commitment to building in a ‘better, faster and greener’ manner.
Although the adjustments appear modest, they reflect an important realignment towards more sustainable practices, driven by the Playbook’s principles. It acknowledges that while existing contracts were compliant, an increased emphasis on sustainability was necessary, leading to this mandatory provision. JCT’s decision responds to industry demands, ensuring sustainability is addressed without overwhelming the sector with new complexities.
Future detailed guidance promised by the forthcoming updated Pre-Construction Services Agreement (PCSA) and its guidance documents is eagerly awaited. This will clarify additional drafting obligations and offer model language to better performance and sustainability in design. Should contractors not utilise a PCSA, the main contract might permit similar amendments. These clarifications and models aim to combat waste and emissions effectively.
The new mandatory provisions in JCT contracts represent a vital progression towards integrating sustainability into construction practices.
