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Insight - Stakeholder Newsletter
Previous editions of Insight
Edition 9 - June 2012 (3Mb)
Edition 3 - July 2010 (2Mb)
Edition 2 - March 2010 (2Mb)
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How long will contracts last?
Contract duration is a critical component of any tender exercise. It represents a balance between maintaining commercial tension and maintaining the supply chain, whilst providing sufficient time for contractors to implement improvements and make medium/long term investments. Initial contract durations are likely to be 5 years, with optional extensions subject to performance criteria. Contract durations can vary depending upon the nature of the tasks and the risk/reward balance.