How can collaborative delivery models accelerate transmission infrastructure?

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This content has been extracted from our Accelerating the electric grid for a net-zero future report.

As the energy transition accelerates, transmission projects are becoming larger, more complex and increasingly time-sensitive. Traditional delivery models like Engineering, Procurement, Construction (EPC) and Design & Construct (D&C), while familiar, often struggle to keep pace with the agility and collaboration required to meet modern demands. In this context, alternative frameworks such as Integrated Project Delivery (IPD) and Alliancing are emerging as powerful tools to unlock faster, more resilient infrastructure outcomes.

As the energy transition accelerates, transmission projects are becoming larger, more complex and increasingly time-sensitive. Traditional delivery models like Engineering, Procurement, Construction (EPC) and Design & Construct (D&C), while familiar, often struggle to keep pace with the agility and collaboration required to meet modern demands.

Traditional EPC, D&C and Design then Construct (D-then-C) models can be hindered by rigid structures and siloed contracts, limiting collaboration and information flow. These strict boundaries are increasingly inadequate for modern, complex transmission projects requiring flexibility and integration.

Why traditional approaches often fall short

The nature of EPC — where entire projects are tendered and priced prior to design development — can lead to costly delays when unforeseen issues arise. Misaligned incentives can further contribute to inefficiencies, as each party focuses on their own contractual obligations rather than project-wide success. Cost overruns, scope creep and poor risk management are common challenges, exacerbated by fragmented delivery models that slow down project progress.

However, another school of thought suggests that the structured sequencing inherent to D-then-C models can help mitigate delays by allowing issues to be addressed in a controlled and predictable manner. In this approach, having a fully resolved design prior to construction provides certainty in pricing and reduces on-site ambiguity and project scheduling. In many utility-led projects — especially where standardised designs are critical to system integrity and life-cycle asset management — early constructor input is already integrated into the design phase, whether through internal expertise or collaborative processes.

Traditional models may also limit innovation and adaptability. Separating design and construction phases can reduce opportunities for contractors to contribute insights early, potentially resulting in less efficient or more expensive outcomes. Though, some experienced practitioners argue that even within these conventional models, there are well-established mechanisms for construction teams to provide feedback during design development, particularly when projects are led by clients with deep operational and technical knowledge.

With evolving energy technologies and shifting regulations, project delivery frameworks increasingly need to support agile responses to change, where possible. While fixed scopes, standardisation and rigid structures may be effective in certain contexts, they can struggle to accommodate mid-project shifts in requirements, leading to delays and increased costs.

The International Energy Agency’s World Energy Outlook 2023 highlights the urgency of a faster clean energy transition, emphasising the need for more effective project delivery models to accelerate electricity transmission infrastructure.

As a result, alternative approaches like IPD and Alliancing are gaining traction. These models promote collaboration, flexibility and agility, leading to more efficient and resilient project execution.

Key characteristics of Integrated Project Delivery (IPD)

1. Early stakeholder involvement
Key participants (owner, designer, contractor) collaborate from the start, often before design completion.
2. Collaborative decision-making
Joint problem-solving leverages the knowledge of all team members.
3. Shared risk and reward

Financial incentives are aligned with project success, encouraging a “best for project” mindset.

4. Multi-party contract

A single agreement binds all key stakeholders, reducing conflicts from separate contracts.

5. Reduced liability exposure

Encourages open communication and innovation without fear of litigation.

6. Enhanced integration

Promotes seamless coordination between all project participants, including trades and suppliers.

Key characteristics of Alliancing

1. Relationship-based model

Emphasises trust, good faith and a “no blame, no disputes” philosophy.

2. Jointly developed target cost

Establishes a realistic budget agreed upon by all stakeholders.

3. Shared risks and reward

All participants share financial outcomes, fostering a collective project focus.

4. Open-book financial transparency

Promotes clear and honest contract pricing among all Alliance partners.

5. Pain/gain share arrangements

Financial performance is shared based on a pre-agreed formula.

6. Unified success or failure

All parties either win together or lose together, eliminating adversarial dynamics.

A mandate for change - Accelerating the electric grid for a net-zero future

Want to go deeper?

Discover how IPD and Alliancing are reshaping transmission project delivery. The full report on Accelerating the electric grid for a net-zero future explores why traditional models often fall short and how collaborative frameworks can unlock speed, resilience and shared success.
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