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What is inclement weather? Who determines what inclement weather is?
The NSW Office of Industrial Relations defines inclement weather as the "existence of rain or abnormal climatic conditions (whether the be those of hail, snow, cold, high wind, severe dust storm, extreme or high temperature of the like or any condition thereof) by virtue of which it is either not reasonable or not safe for workers exposed thereto to continue working".
Are ther OH&S issues related to poor weather on site?
According to WorkSafe, wet weather on site can potentially cause hazards in regards to injury. The main factors which affect safe construction work in wet weather are:
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Slippery work at heights;
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Slippery, wet floor surfaces, steps and footholds;
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Excavation caving in;
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Electrical hazards - wet electrical cords, cables, sockets, power points and power equipment;
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Welding hazards - e.g. wet steelwork or the welding handpiece becoming "live";
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Lightening strikes during thunderstorms; and
Windy conditions, whether wet or dry, involving additional risk factors:
- Loose roofing materials, scaffold planks, and other unsecured materials at heights;
- Incomplete structures, e.g. roofing, sheds;
- Inadequately secured scaffolding;
- Unsecured free-standing walls or framework; and
- Eye injuries - foreign matter blown into eyes.
What is the impact on construction costs?
Whether delays can, and do, impact on construction costs. Any delay in construction can prove expensive for the developer. Whether is an uncontrollable variable which can put construction back weeks, and maybe even months, depending on the severity of weather interruptions. Construction costs may be impacted by:
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Additional preliminaries: Despite the fact that work often stands in inclement weather conditions, the costs associated with having a site 'open' continue to accumulate with no offset in productivity. Often plant, machinery and equipment such as scaffolding, fencing and excavators can be hired and waiting on site, unable to be used. Depending on the equipment, this could potentially result in the developer losing thousands of dollars.
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Heavy rain early on in the project can often have a roll effect that can render the site unsafe for days after the rain has ceased. Excavated basements often fill with water, taking days to pump out, rendering the site unsafe and delaying works.
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Employees: Having site labour unable to work due to rain also means that they have to be paid (for 32 hours over 4 weeks), further adding to the cost of construction.
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Pre-sales of development: Delaying the completion of construction also means that purchasers of the property will be delaying moving in, and often a sunset clause in the contract will enable them to exit the contract of purchasing the property if it is not finished on time. This could dramatically effect pre-sales, and essentially the financial viability of the development.
What is the effect of the inclement weather on contracts?
In the vast majority of construction contracts, the contractor will not be willing to take the risk on such an unpredictable variable as inclement weather, and as such all major mainstream contracts place the cost risk associated with rain delays squarely on the developer. Generally these contracts allow for extensions of time for inclement weather, but can be structured to limit the actual amount of money claimable by the contractor for these delays. The cost to the developer (such as holding and interested costs) is unavoidable and should be prepared for though appropriate contingencies.
How can developers/contractors minimise weather interruptions?
Pre-constructed materials like frames/trusses, walls etc can significantly reduce construction periods and hence exposure to potential weather claims, not only due to the reduced period of time, but also the fact that these prefabricated elements are generally constructed under cover and hence safe from the effects of weather.
Weather in Australia
According to the ABS: "The frequency of rain days (defined as days when 0.2 mm or more of rainfall is recorded in a 24-hour period) is greatest near the southern Australian coast, exceeding 150 per year in much of Tasmania, southern Victoria and the far south-west of Western Australia, peaking at over 250 per year in western Tasmania. Values exceeding 150 per year also occur along parts of the north Queensland coast. At the other extreme, a large part of inland western and central Australia has fewer then 25 rain days a year, and most of the continent away from the coasts has fewer then 50 pear year. In the high rainfall areas of northern Australia away from the east coast the number of rain days is typically about 80 to 120 per year, but rainfall events are typically heavier in this region than in southern Australia."
Developers and financiers will need to take this into account when planning finance and organising contracts. BMT & ASSOC can provide an accurate cost planning service that takes into account such things as contingencies, protecting the developer and financier from such uncontrollable variables as the weather.
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