What does EPC in engineering mean?

EPC refers to the whole process or several stages in which the design, procurement, construction and trial operation of engineering construction projects are contracted by the company entrusted by the owner according to the contract.

Under EPC mode, the project includes not only the specific design work, but also the overall planning of the whole construction project content and the planning and specific work of the implementation organization and management of the whole construction project.

Procurement is not the procurement of construction equipment and materials in the general sense, but more refers to the procurement of professional equipment and materials; Construction should be translated as "construction", including construction, installation, testing and technical training.

Extended data:

Details of EPC contract mode:

1, determine the construction unit through bidding.

The project bidding system is an effective means for the general contractor to control the project cost. Through bidding, the economic benefits of the project can be improved, the quality of the construction project can be guaranteed, and the payback period of the construction investment can be shortened. The general contractor can make full use of this effective means to control the project cost.

2. Control costs through effective contract management.

Construction contract is the basis of cost control in construction stage. The adoption of contract review system can make all departments of the general contracting unit clear their responsibilities, sign strict construction contracts, transfer the general contracting risks reasonably and strengthen contract management in construction.

3. Strictly control design changes and on-site visas.

Due to the omission of design drawings and the ever-changing site conditions, design changes and site visas are inevitable. Through strict design change visa examination and approval procedures, the general contractor strengthens the examination and supervision of the engineering quantity and content of design changes, changes the previous construction procedures before settlement, and enables the cost engineer to confirm the change price before construction, so as to understand the change of contract price during construction.

4. Cost control in the completion stage of general contracting project

After the completion of the project, the general contractor shall prepare the completion settlement in time and submit it to the owner for approval. At the same time, when auditing subcontracting settlement, we should stick to the contract and strictly control the extra-budgetary expenses of the project. Reduce the cost of the workload not completed according to the requirements of the drawings and the construction visa not implemented according to the regulations.

Baidu encyclopedia -—EPC