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Contract price change during the construction phase: unforeseen market conditions

Natasa Suman
Natasa Suman
 y 
Stanko Tominc
Stanko Tominc
   | 19 jun 2024
Organization, Technology and Management in Construction: an International Journal's Cover Image
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Article Category: Research Paper
Publicado en línea: 19 jun 2024
Páginas: 109 - 122
Recibido: 19 ene 2024
Aceptado: 23 abr 2024
DOI: https://doi.org/10.2478/otmcj-2024-0009
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© 2024 Natasa Suman et al., published by Sciendo
This work is licensed under the Creative Commons Attribution 4.0 International License.

Graph 1:

Comparison of price development for new residential buildings from 2020 to 2023. Source: Eurostat (2024).
Comparison of price development for new residential buildings from 2020 to 2023. Source: Eurostat (2024).

Graph 2:

Comparison of the indices of the recognised price increases for the selected method. C1, canal 1; C2, canal 2.
Comparison of the indices of the recognised price increases for the selected method. C1, canal 1; C2, canal 2.

Solutions for changing the contract price in the countries described

Country Guidelines or measure Valid from
Slovenia Explanation of the permissible changes to contracts due to the increase in prices of materials and services November 2021
Croatia Guidelines for the implementation of procedures for the recogni- tion of price differences on the basis of construction contracts February 2022 and April 2022
Serbia Decision of the City of Belgrade June 2022
Decision of Ministry of Construction, Transport and Infrastructure In preparation
Monte Negro Methodology for determining price differences in construction services September 2022
Germany/Bavarian government Application of a sliding scale No information
Italy Unconditional payment of price difference for all contracts No information

Basic characteristics of channels

Channel Pipeline diameter (mm) Projected pipeline drop i = [%] Length L = [m]
C1 DN 200 10.5–94.8 267.54
C2 DN 200 4.00 146.74

Calculated new contract price according to the GZS-ZGIGM method

Channel Base contract price (CPs) March 2021 Index GZS-ZGIGM New contract price (CPc) March 2022
C1 40,802,91 € 117.36 47,886,30 €
C2 40,002,27 € 117.36 46,946,66 €

Calculated indices of recognised price increases according to the calculation method

Channel Base contract price (CPs) March 2021 New contract price (CPc) March 2022 Index
C1 40,802,91 € 45,681,93 € 111.96
C2 40,002,27 € 50907,78 € 127.26

Calculated indices of recognised price increases using the hybrid method

Channel Base contract price (CPs) March 2021 New contract price (CPc) March 2022 Index
C1 40,802,91 € 46,298,56 € 113.47
C2 40,002,27 € 49,781,79 € 124.45
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