Peru adopts NEC contracts as preferred framework for infrastructure projects

The announcement comes after several years of NEC, the UK government and the Peruvian government working together.

Peru has so far used NEC contracts to deliver $9 billion worth of public infrastructure projects.

Now, an official translation of NEC4 contracts, guides and training will be published as part of the agreement.

The use of NEC Contracts began in Peru through a Government-to-Government initiative for the construction of the Lima Pan American Games facilities, which opened in 2019. 

The Peruvian government has a pipeline of over 70 infrastructure projects spanning transportation, healthcare, education, facilities, water and sanitation. To support their delivery the country’s Ministry of Economy and Finance (MEF) is moving to NEC as a standardised international construction contract.

The move also paves the way for British companies to access the Peruvian market.

The adoption of the translated NEC4 contract suite also aligns with the recent publication of Peru’s new Public Procurement Law, supported by the UK government, which includes UK principles on transparency, value for money and a reference to free trade agreements.

Global head of NEC Contracts, Rekha Thawrani, said, “The NEC Contract suite was designed to empower collaboration and foster long lasting relationships, so seeing this sentiment being shared across the world and being involved in positive local project outcomes is a great step in the NEC journey. The upcoming translation of the NEC4 contracts represents our commitment to ensuring ongoing support and wider adoption of the contracts across Latin America.”

Speaking on the UK and Peru collaboration, the British Ambassador to Peru, Gavin Cook added, “This memorandum of understanding marks a milestone in our collaboration with Peru to support more transparent and efficient procurement, and to help boost investment in the country. NEC Contracts are a standard in the UK and have provided many benefits, such as collaborative working, dispute reductions and innovation. Their adoption here has already driven huge benefits and I’m delighted that together we are leading the way and pushing the first translation of NEC contracts as we integrate these into Peru’s procurement system.”