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Last edited 07 Jan 2022
Construction operations definition
However, the term is defined more precisely by the Housing Grants, Construction and Regeneration Act 1996 (HGCRA, also known as the Construction Act). Whether works set out in a contract are considered to be construction operations for the purposes of the Act affect the parties' obligations and rights.
The Act suggests that 'construction operations' include a very wide range of construction and engineering operations. However, activities such as mining, nuclear and power generation are expressly excluded, as are contracts with residential occupiers. Section 105 of the Act sets out the precise definition.
- Telecommunication apparatus.
- Aircraft runways.
- Docks and harbours.
- Inland waterways.
- Pipe-lines, reservoirs, water-mains, wells, sewers.
- Industrial plant and installations for purposes of land drainage, coast protection or defence.'
- Power supply.
- Water supply or fire protection.
- Security or communications systems.'
- Site clearance.
- Tunnelling and boring.
- Laying of foundations.
- Erection, maintenance or dismantling of scaffolding.
- Site restoration.
- Provision of roadways and other access works.'
'Assembly, installation or demolition of plant or machinery, or erection or demolition of steelwork for the purposes of supporting or providing access to plant or machinery, on a site where the primary activity is:
- Nuclear processing, power generation, or water or effluent treatment.
- The production, transmission, processing or bulk storage (other than warehousing) of chemicals, pharmaceuticals, oil, gas, steel or food and drink.'
- Building or engineering components or equipment.
- Materials, plant or machinery.
- Components for systems of heating, lighting, air-conditioning, ventilation, power supply, drainage, sanitation, water supply or fire protection, or for security or communications systems.'
There is an exception to the above which is when they are 'under a contract which also provides for their installation.'
More information is provided in Appendix A of Construction Industry Scheme: a guide for contractors and subcontractors (CIS 340).
- Causes of construction disputes.
- Construction contract.
- Construction supply chain payment charter.
- Housing Grants, Construction and Regeneration Act HGRA.
- Industrial plant and construction operations.
- Scheme for Construction Contracts.
 External references
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