From a commercial perspective, delayed completion of any major infrastructure project (such as a PFI project or a power station/process plant project) will result in loss of revenue for the project company and the inability to meet debt service obligations. It will also incur additional costs, for example extension of insurance cover and other overheads. There may also be financial consequences for late completion under the project agreement. So what remedies are available to the project company under the construction contract for late completion? Most construction contracts impose general obligations on the contractor to carry out the works "regularly and diligently" and to proceed with "due expedition" and "without delay".
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