Contractors Guide 2020 - Consultants & - The Chemical Engineer

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Contractors Guide 2020 - Consultants & - The Chemical Engineer
TAXING TIMES
       Get prepared for turbulent changes
       in IR35 legislation

       POSITIVE OUTLOOK
       The emerging areas where
       consultants can add value for clients

       EXPERTS INSIDE
        ompre ensi e listin s and profiles
       of consultants and contractors

                                               Consultants &
                                               Contractors
                                               Guide 2020
c&ccover DG.indd 2                                       27/11/2019 13:20
Contractors Guide 2020 - Consultants & - The Chemical Engineer
www.ottosimon.co.uk
                                   eng@ottosimon.co.uk | 0161 491 7440

                              ENGINEERING CONSULTANCY
                                   PROCESS SAFETY
                                  PROJECT DELIVERY
                              OPERATION & MAINTENANCE
                   Over 140 years of specialist engineering and project delivery services for
                   the process and industrial sectors. An independent contractor based in
                   South Manchester, Otto Simon provides multi-discipline engineering and
                   award winning health and safety performance to serve your project needs.

C&C.IFC.OttoSimon.indd 10                                                                       19/11/2018 10:02
Contractors Guide 2020 - Consultants & - The Chemical Engineer
Consultants & Contractors Guide 2020 1

         Turbulent Times                                                                EDITORIAL
                                                                                        Andrew Campbell:
                                                                                        There are emerging areas
         ADAM DUCKETT welcomes you to this year’s                                       where we can add value ........... 2
         Consultants & Contractors Guide                                                Dave Chaplin:
                                                                                        How individuals need to
         IN this year’s guide we asked        haven’t already started, it is time       prepare for IR35 changes ......... 8
         experts to discuss the risks         to take action.                           Mike Innes:
         and opportunities coming                There are positive shifts too.         How end-clients should
         down the road.                       Andrew Campbell of IChemE’s               prepare for IR35 changes ........ 11
            A key point of conjecture         Consultancy SIG reviews the
                                                                                        John Challenger:
         is the UK’s imminent change          emerging areas where consultants
                                                                                        Chemical sector exclusion from
         to tax legislation. Given it will    can make a positive difference
                                                                                        construction legislation .............14
         affect employers and individual      for clients.
         contractors, we asked experts           As always, many thanks to              CONSULTANTS LISTINGS ................ 18
         Dave Chaplin and Mike Innes          the consultants and contractors           At-a-glance summaries
         to outline what the changes          who support this guide. Their
         mean and how employers and           listings and profiles are detailed        CONTRACTORS LISTINGS ............. 20
         individuals should prepare. If you   throughout. Please call them.             At-a-glance summaries

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c&cintrotofill DG.indd 1                                                                                                   28/11/2019 10:13
Contractors Guide 2020 - Consultants & - The Chemical Engineer
2 Consultants & Contractors Guide 2020

         The Changing
         Face of Consulting

       www.thechemicalengineer.com

c&csig DG1.indd 2                               27/11/2019 13:26
Contractors Guide 2020 - Consultants & - The Chemical Engineer
Consultants & Contractors Guide 2020 3

       New technologies bring a brave new world for consultants,
       says ANDREW CAMPBELL

       OVER recent years in IChemE’s          tools develop at speed. The
       Consultancy SIG we have                development of mobile devices
       looked to providing our                from phones, tablets, watches to
       members a view into a range            Internet of Things (IoT) devices
       of tools that are on the market        are all making the task of
       in terms of collaboration,             designing and managing assets
       project management, and                more efficient. As we see the
       communication. We are seeing           development of technology,
       some significant transitions           we are in a position to do more
       and disruption within industry         with the information and analysis
       – through energy and digital/          that is presented to us in our
       data transformations. This             everyday roles and our time away
       drives the high-end consulting         from work.
       and strategy development that             Some of this brave new world is
       has a significant impact on the        not so new. When I started out as
       work that process engineers            a young engineer in the mid 1990s
       encounter.                             on an operating plant, the use
                                              of trending and basic statistical
       ENERGY TRANSFORMATION                  process control concepts covered
       In terms of the energy                 a lot of the areas that still need
       transformation, the shift away from    to be covered today. The use
       more conventional power sources        of machine learning techniques
       to a mix of gas and renewables         does bring the ability to train
       has seen an increased uptake           these models with more complex
       in these alternative sources of        patterns and allow poor operating
       energy. Due to the generation          conditions to be navigated away
       profile of these sources,              from. This in turn should lead
       batteries have become a serious        to a more controlled and safe
       component of our power supply          operating condition.
       systems. These new technologies
       have an impact on the way we           MANAGING RISK
       operate not only our homes,            With these new transitions there
       but also the industrial plants

                                                                                     “
                                              are risks to be managed. With
       and complexes we help design,          new technologies there is risk
       operate and optimise. In many          in ensuring they deliver to what
       cases, it is more efficient to power   is expected. One example is                   THE DEVELOPMENT AND
       our plants from the sun and wind
       – whilst gas is more valuable to
       operators as an end product.
          As a profession, the use of
       digital tools is nothing new –
                                              with hydrogen arriving as an
                                              energy store, as new safety risks
                                              are present. Additionally, the
                                              development and implementation
                                              of these new technologies and
                                                                                        IMPLEMENTATION OF THESE
                                                                                        NEW TECHNOLOGIES AND
                                                                                        APPROACHES GENERALLY
                                                                                        COME WITH COSTS THAT
                                                                                        ARE NOT ALWAYS WELL
                                                                                                               “
       process simulation software has        approaches generally come with
       been available to us for many          costs that are not always well            KNOWN AT THE START
       years but we are seeing these          known at the start – and these

                                                                                             www.thechemicalengineer.com

c&csig DG1.indd 3                                                                                                  27/11/2019 13:26
Contractors Guide 2020 - Consultants & - The Chemical Engineer
4 Consultants & Contractors Guide 2020

       commercial aspects are important         risks, but also take advantage of     part to play in these new and
       as part of the overall success of        this technology. When applied         exciting areas – in identifying,
       projects in this space.                  appropriately, technology is          justifying and implementing these
                                                able to offer benefits. Remote        new technologies in robust and
       DATA: THE NEW OIL                        operation, automation, video          sound ways.
       The risks for data are two-fold.
                                                analysis are all examples of how
       Data is a valuable asset and
                                                we can manage and reduce the
       should be considered as the
       saying goes: “data is the new            risk for people who work in the       Andrew Campbell CEng
       oil”. The cyber security risks are       facilities that we manage. As         FIChemE is Chair of IChemE’s
       also something that needs to             consultants there is a significant    Consultancy SIG
       be considered in a systematic
       way as do all other risks you
       may consider. How will you be              HOW TO GET IN TOUCH WITH THE CONSULTANCY SIG
       able to perform your job if your
       computer and/or control systems            EMAIL: consultsig@ichememember.org
       stops operating, or operates at a          WEBSITE: www.icheme.org/membership/groups/special-interest-
       reduced speed?                             groups/consultancy
          As chemical engineers we                LINKEDIN: www.linkedin.com/groups?gid=4867261
       are in a place to manage the

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                                                            in-company course is ideal. Our unrivalled industry
                                                            knowledge makes us the clear choice to help you deliver
                                                            your training requirements to your team.

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         C&C2019

            InCompanyTrain HP C&C.indd 1                                                                 22/11/2019 5:49 PM

       www.thechemicalengineer.com

c&csig DG1.indd 4                                                                                                     27/11/2019 13:26
Contractors Guide 2020 - Consultants & - The Chemical Engineer
RAS
                                           RISK & HAZARD MANAGEMENT

     Understanding and facilitating the effective management of risk is our core business.
    Our expertise covers the full range of risk assessment and management services across:

                    Safety Risk                 Business Risk                Environment Risk

            Only when the risk facing an organisation is well understood can it be effectively managed.
     Key to the successful identification, assessment and management of risk is engagement with the right
   people, using the right processes at the right time. We believe we are different to many of our competitors
      and our approach is distinctive, we don’t always walk the well-trodden path but look at each client’s
           particular risk context and develop a tailored solution, working in partnership with our client.

             We work across all aspects of risk, from Quantitative Risk Assessments and Predictive &
       Consequence modelling, through to the ‘softer’ risks which may affect an organisation’s reputation.

          +44 (0) 1244 674 612 • enquiries@ras.ltd.uk • www.ras.ltd.uk

C&Cpage13.indd 10                                                                                         30/11/2018 12:33
Contractors Guide 2020 - Consultants & - The Chemical Engineer
BPE
      Excellence in
      engineering
      Leading the way in chemical and
      biochemical engineering design

      BPE is a UK leader in chemical and
      biochemical engineering design. Its deep
      knowledge of process engineering and the
      principles behind it is unrivalled. It’s why
      some of the most significant manufacturers
      in the world, both large and during start-up,
      rely on the award-winning firm to help
      make their processes safer and as efficient
      as they can be.

           Process systems design and project management
           Scale up and process development
           Process simulation
           Process safety and compliance
           Process operations

           Process manufacturing strategy

                                                                      Contact us
                                                                       Telephone
                                                                    01962 717070
                                                                            email
                                                           enquiries@bpe-ds.com
                                                                          website
                                                                      bpe-ds.com

c&cBPE.indd 6                                                                26/11/2019 10:01
Contractors Guide 2020 - Consultants & - The Chemical Engineer
Consultants & Contractors Guide 2020 7

       BPE
       Leading the way in chemical and biochemical engineering design

       ADDRESS                                 NUMBER OF STAFF                          CLIENTS
       Headquarters                            40                                       • Life sciences
       6 Wessex Business Park,                                                          • Fine/speciality chemicals
       Wessex Way, Winchester
                                               ANNUAL TURNOVER                          • Advanced materials
                                               £4m
       SO21 1WP                                                                         • Food/drink
       North West Office                       SENIOR DIRECTORS                         • Renewable energy
       The Innovation Centre,                  Chairman – Ian Shott
       Daresbury, Keckwick Lane,               Managing Director – Noel Quigley
                                                                                        PROJECTS
       Daresby, Cheshire, WA4 4FS                                                       Process engineering design –
                                               SERVICES                                 Concept/feasibility studies, front
       TELEPHONE                               Process systems design and               end and detailed engineering,
       +44 (0)1962 717070                      project management, scale                commissioning and validation
                                               up and process development,              process optimisation/
       EMAIL                                   process safety and compliance,           transformation, site master planning,
       enquiries@bpe-ds.com                    process simulation, process              process safety consultancy – ATEX/
                                               operations including optimisation        DSEAR, SIL/LOPA, HAZOP/HAZID,
       WEBSITE                                 and sustainability, process              sustainability audits/assessments –
       www.bpe-ds.com                          manufacturing strategy.                  SUSOP®

           rofile
         BPE is a UK leader in chemical        every possible consideration of
         and biochemical engineering           a project before deciding on the
         design. Its deep knowledge of         best approach. It’s this informed
         process engineering and the           decision making that ensures
         principles behind it is unrivalled.   its clients’ projects start off on
         It’s why some of the most             the right path, fully optimised to
         significant manufacturers in the      meet the defined objectives.
         world, both large and during              BPE’s team of chemical
         start-up, rely on the award-          engineering specialists can
         winning firm to help make their       assist on any level - from               research papers cover a range
         processes safer and as efficient      simple one-off consultations             of the most topical issues in
         as they can be.                       to the design, installation and          process engineering, including
             BPE offers a full range of        commissioning of complete                continuous processing,
         process engineering services          projects.                                filtration scale-up and LOPA/
         and has developed a unique                The company firmly believes          high containment. The full
         approach to concept studies,          sharing best practice helps the          list is available to view at
         based on interactive workshops        entire industry to progress and          https://www.bpe-ds.com/
         and iterative design steps.           develop. It’s why it’s committed         whitepapers/. There you can
         These workshops bring                 to sharing its all of its insightful     also request a digital copy of
         everyone together to look at          whitepapers for free. The                each whitepaper for free.

                                                                                               www.thechemicalengineer.com

c&cBPE.indd 7                                                                                                         26/11/2019 10:01
Contractors Guide 2020 - Consultants & - The Chemical Engineer
8 Consultants & Contractors Guide 2020

             a in imes
         ontractors must prepare or ne off payroll ta c an es, says DAVE CHAPLIN

       NEW tax legislation that will            employment status for tax               client. These include:
       be introduced in the UK in               purposes, or “IR35 status”,             • IR35 status disputes resulting
       April 2020 is set to have a              and then tax the contractor’s             in contractor walkouts.
       huge impact on contractors               rate as employment income if
                                                                                        • Contractor abandonment of
       working in the private sector.           applicable. This is already in
                                                                                          projects, resulting in delays
       The new legislation will force           place in the public sector and
                                                                                          and cancellations.
       private sector companies to              has led to a big reduction on
       be responsible for determining           the hiring of limited company           • Greater cost of retaining
       a freelancer or contractor’s                                                       contractors “inside IR35” due
                                                contractors.
                                                                                          to increased rate demands.

       “
                                                WHAT YOUR CLIENT NEEDS TO               • Employment rights challenges

                S       ,
                                “
               IF CLIENTS IGNORE OR
            DELAY DEALING WITH THE

            PLACE SUBSTANTIAL RISK
                                                RULES
                                                If clients ignore or delay dealing
                                                with the legislation, they will place
                                                                                          from workers deemed
                                                                                          “employed for tax purposes”.

                                                                                        The potential impact of the tax
                                                                                        liability that many clients are
                                                substantial risk on their projects.     seeking to avoid can be effectively
            ON THEIR PROJECTS                   Your first job is to explain the        mitigated, providing they adopt the
                                                impact of such actions to your          correct compliance solution.

       www.thechemicalengineer.com

c&cIR35chaplin DG1.indd 8                                                                                            27/11/2019 13:22
Consultants & Contractors Guide 2020 9

                                                                                     “
                                            won’t be vacant for long.
                                               Once you have secured work
                                                                                                    , S
                                            on an “outside IR35” basis, the
                                            key is to sustain your IR35 status
                                                                                         S      ,
                                            and engage in working practices              OF OBLIGATION (MOO) ARE
                                            that reaffirm this. Brush up on your
                                            understanding of IR35 and the key
                                            employment status factors.
                                               Control, personal service, and
                                            mutuality of obligation (MOO) are
                                                                                         AND CONTRACTORS
                                                                                                           “
                                                                                         THE THREE FUNDAMENTAL
                                                                                         FACTORS WHICH GENERALLY
                                                                                                        S S,

                                                                                         SHOULD HAVE A SOLID
                                            the three fundamental factors
                                            which generally determine IR35               GRASP OF THEM
                                            status, and contractors should
                                            have a solid grasp of them.
                                               Remember that there will now be
                                            two versions of IR35 in play – the
                                            original intermediaries legislation
                                            (Chapter 8 of ITEPA 2003), which
                                            will still be applicable where the
                                            client meets the small company’s         can prove complicated. Our
                                            exemption (https://bit.ly/2OxIr9V),      calculations show that, for a
                                            and the new off-payroll legislation      contractor entering an “inside
                                            (Chapter 10 of ITEPA 2003). Whilst       IR35” contract to maintain the
                                            both are based on the concept of         same level of take-home pay as
                                            “deemed employment”, the tax             before, the cost of hiring for the
                                            treatment is different, and you’ll       client could increase by as much
                                            need to understand why.                  as 43%.
       THE IMPORTANCE OF                                                                ContractorCalculator’s off-
                                            CALCULATING RATE                         payroll (IR35) calculator (https://
       ACTING EARLY                         RENEGOTIATIONS FOR ‘INSIDE               bit.ly/2OtmCbB) provides a
       Having talked to your client,
       you should have established
                                            IR35’ CONTRACTS                          detailed breakdown on the impact
                                            If you’re considering an “inside         of the off-payroll rules on your
       their approach to the off-payroll                                             earnings, including how much you
                                            IR35” engagement under the new
       rules and whether they intend                                                 would need to increase your rate
                                            legislation, you need to understand
       to carry out full and proper IR35                                             by, having factored in your current
                                            the financial impact that the off-
       assessments, or if they plan to                                               rate and annual expenses.
                                            payroll rules have on your income.
       move all their contractors into                                                  April 2020 is only a matter of
                                            Working “inside IR35” under the
       payroll arrangements.                                                         months away so my advice to
                                            new regime not only imposes
          If your client doesn’t appear     an employment tax liability on           contractors is to act now to plan
       to be taking their compliance        your client and/or agency, it also       for your contracting futures.
       requirements seriously, you might    subjects you to a tax hike.
       want to explore opportunities           If the “inside IR35” status
       elsewhere.                           determination has come about             Dave Chaplin is
                                            as a result of a risk-averse client      CEO and founder of
       SECURING AN ‘OUTSIDE IR35’           refusing to conduct a considered         contracting authority
       CONTRACT AND CONTINUED               assessment, you should try to            ContractorCalculator, which
       COMPLIANCE                           renegotiate your rate to counter         provides free online expert
       Opportunities outside of IR35 will   your tax hit.                            advice and information to
       be available but these positions        Calculating the increased rate        contractors and freelancers.

                                                                                             www.thechemicalengineer.com

c&cIR35chaplin DG1.indd 9                                                                                          27/11/2019 13:23
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         LPB HP C&C.indd 1                                                                                               26/11/2019
                                                                   tce- Contractors file - General (144 x105) Apr 2017.indd 1       10:58

C&Cpage10.indd 1                                                                                                                  28/11/2019 12:14
                                                         C&C17.18-19.indd 3
Consultants & Contractors Guide 2020 11

          IR35 for End Clients
       With IR35 legislation changing in 2020, MIKE INNES reviews how end clients should prepare

       THE use of limited company            decide whether IR35 applies to a         Status Determination Statement
       contractors (personal services        specific assignment or not.              (SDS)” decision an end client has
       companies or PSCs) in the UK                                                   arrived at, it will be the end client
       chemical, biochemical and             TABLES HAVE TURNED                       who will be held liable for unpaid
       process engineering industry          IR35 is not a new concept. Nor           PAYE and NICs. For many end
       has been extremely common             is the law changing, it is only the      clients this could mean potential

                                                                                      “
       since the early 1970s and it is       party responsible for making the
       rare to see any major projects        decision that has changed. This
       executed in the sector without
       a significant percentage of
       contract labour.
          There is no doubt the IR35
       reforms that are expected to
                                             means end clients now need
                                             to understand the complexities
                                             of IR35 and what constitutes
                                             disguised employment and what
                                             is genuinely an “outside IR35
                                                                                             IR35 IS NOT A NEW
                                                                                           CONCEPT. NOR IS THE LAW“
                                                                                           CHANGING, IT IS ONLY THE
                                                                                           PARTY RESPONSIBLE FOR
                                                                                           MAKING THE DECISION
       become law on 6 April 2020 will       engagement”. The risk to end
       disrupt the use of PSCs while end     clients is significant. If HMRC               THAT HAS CHANGED
       clients adapt to the fact they will   disagrees with the “outside IR35

                                                                                              www.thechemicalengineer.com

c&cIR35innes DG1.indd 11                                                                                               27/11/2019 13:25
12 Consultants & Contractors Guide 2020

                                                                                          “
                                                                                                 IF END CLIENTS WISH
                                                                                              TO CONTINUE TO ENJOY
                                                                                              THE FLEXIBILITY OF
                                                                                              HIRING PSC WORKERS
                                                                                              THEY NEED TO HAVE
                                                                                              THE APPETITE TO
                                                                                                              “
                                                                                              REVIEW ALL INTERNAL
                                                                                              POLICIES REGARDING THE
                                                                                              HIRING, ENGAGEMENT
                                                                                              AND RELEASE OF
                                                                                              CONTRACTORS

       liabilities of several million pounds.   willing to make wholesale changes         for line managers and other
       PSC workers have been grappling          to how they engage and use PSC            internal stakeholders. Also, give
       with IR35 compliance for 20 years        workers are likely to find a much         consideration for a communication
       but the key indicators remain            higher percentage of “outside             strategy for the contractors
       the same. Right of Substitution;         IR35” determinations.                     themselves. This is an unsettling
       Supervision, Direction & Control;           There are many tools available         time for PSC workers; in many
       and Mutuality of Obligation are the      on the market that will help end          cases an IR35 SDS decision
       three critical fundamentals that will    clients meet and manage their             may mean up to 30% difference
       prove if IR35 applies or not.            SDS review obligations, but               in net pay. Be sensitive and
                                                without a really detailed root            communicate expected timelines
       PRACTICES AND PROCEDURES                 and branch review of how PSC              and outcomes as early as possible
       The challenge for most end clients       workers are used within the end           to allow them time to prepare.
       is being able to understand how          client organisation it is unlikely that   Remember, the draft legislation
       these IR35 indicators can be             the “outside IR35” decisions will         allows all SDS decisions to be
       identified within their own hiring       be optimised.                             appealed by the PSC worker so
       practices and procedures. If                                                       make sure you have a published
       end clients wish to continue to          BEYOND PAPER                              process prepared in plenty of time.
       enjoy the flexibility of hiring PSC      One final word of caution for                If you haven’t already got expert
       workers, they need to have the           end clients. Do not be tempted            help in to help you plot your path
       appetite to review all internal          to see this as a paper exercise.          through the reforms, now is the
       policies regarding the hiring,           Any changes to policies and               time to act.
       engagement and release of                procedures for the use of PSC
       contractors. If PSC workers are          workers must be reflective of
       used simply as an extension to           the actual day-to-day situation.          Mike Innes is a Director at
       full-time employee (FTE) workers         Similarly, any changes in                 TRS Staffing Solutions; he led
       and there is little difference to        contracts must accurately reflect         the BCECA response to the
       how PSC workers are deployed,            the changes in policies and               IR35 private sector reforms,
       a high percentage of “inside             procedures. Do not underestimate          and subsequently helped its
       IR35” determinations are likely.         how large a job this is, along            member companies to reduce
       Conversely, end clients that are         with the education required               impact and disruption

       www.thechemicalengineer.com

c&cIR35innes DG1.indd 12                                                                                                27/11/2019 13:25
IChemE process safety training
          January – July 2020                                                                    All courses are also
          IChemE is a market leader in process safety training. All our                          available for in-company
          courses are peer reviewed and designed to help you, your                               training
          staff and your organisation improve safety performance and
          reduce risk.

            Hazard Identification and Risk Analysis
            HAZOP Leadership and Management
            11–13 February, 17-19 March & 12–14 May, UK | 28‒30 April,
            Ireland | 5–7 May, Australia | 16‒18 March, South Africa
            www.icheme.org/hazop-leadership
                                                                           Human Factors
            HAZOP Study for Team Leaders and Team
                                                                           Managing Human Factors
            Members                                                        22‒23 April, UK
            25‒27 February & 17‒19 June, UK
                                                                           www.icheme.org/managing-human-factors
            www.icheme.org/hazop-team

            Layer of Protection Analysis (LOPA)                            Managing Human Failure
                                                                           3‒4 June, UK
            1‒2 April & 9‒10 June, UK | 12‒13 May, Ireland |
            15–16 June & 18–19 June, Australia                             www.icheme.org/human-failure
            www.icheme.org/lopa
                                                                           Understanding Hazards
            Process Safety Management
                                                                           Managing the Hazards of Flare Systems
            Fundamentals of Process Safety                                 3–4 June, UK
            23‒27 March & 22–26 June, UK | 30 March – 3 April & 13–17      www.icheme.org/flare-hazards
            July, Australia | 4‒8 May, South Africa
            www.icheme.org/fundamentals                                    Comprehensive Explosion Science
                                                                           14–15 July, UK
            Process Safety Leadership and Culture                          www.icheme.org/explosion-science
            21 May, UK | 24 June, Australia | 25 March, New Zealand
            www.icheme.org/safety-leadership                                     Online Process Safety Training
            Asset Integrity Management in the Process                     We have a number of safety courses available online, so you
            Industries – Managing your Ageing Assets                      are able to develop your CPD wherever you are in the world.
            7–8 July, UK                                                  Courses are available either live or on-demand, visit www.
            www.icheme.org/asset-integrity                                icheme.org/online-training to find out more.

                                                                                 IChe
          For more information or to request a quotation                                m
                                                                                        E

          contact courses@icheme.org
                                                                         Safet

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    ProcessSafetyTraining FP C&C V3.indd 1                                                                                      28/11/2019 10:58 AM
14 Consultants & Contractors Guide 2020

         When is a Construction Operation
         not a Construction Operation?

        JOHN CHALLENGER reviews the exclusion of the chemicals sector from construction legislation

       THE answer to the above               providing access to plant or         now is perhaps less clear than it
       question is apparently simple:        machinery, on a site where the       was at the time that the Act was
       it is when it is specifically         primary activity is:                 being drafted. The legislation
       excluded under the Housing                                                 was proposed as a means of
                                             • nuclear processing, power
       Grants, Construction and                generation, or water or effluent   correcting some of the extremely
       Regeneration Act 1996 and its           treatment; or                      poor practices, ranging from
       various amendments                                                         non-payment to contractual
       (“the Act”).                          • the production, transmission,      and operational inadequacies,
          As is well known to participants     processing or bulk storage         that had existed in the general
       in the chemical and related             (other than warehousing) of        building and construction
       sectors, Section 105(c) of the          chemicals, pharmaceuticals,        industry. These had led to a
       Act excludes the “assembly,             oil, gas, steel or food and        high level of disputes between
       installation or demolition of           drink.                             purchasers, contractors and
       plant or machinery, or erection       The next question might be:          subcontractors. Unfortunately,
       or demolition of steelwork for        why were those construction          IChemE’s Contracts Committee
       the purposes of supporting or         operations excluded? The answer      and several other bodies from

       Visit www.thechemicalengineer.com

c&cchallenger DG1.indd 14                                                                                     27/11/2019 13:15
Consultants & Contractors Guide 2020 15

                                                                                     “
       the power and nuclear industries       In spite of the above, the issue
       were not consulted until late in       of “hybrid” contracts has been
                                              raised and will no doubt continue
                                                                                             THERE WERE
       the drafting process. We raised
       concerns that we might be drawn        to be raised in the future. Such          CONCERNS ABOUT THE
       into unnecessary legislation           contracts contain construction            ACT’S INTRODUCTION OF
       because the chemical industry, in      activities that have now been             ADJUDICATION TO RESOLVE
       particular, had well-established       defined by case law as containing         DISPUTES MORE QUICKLY,
       contracts dating back to the           parts that are both within and are        WHICH WE BELIEVED WOULD
                                              excluded from the Act.
       late 1960s, when the first Lump
       Sum Contract (The Red Book)
       was published and we had
       an extremely low incidence of
       disputes.
                                              EXAMPLES
                                              Deciding whether a given activity
                                              falls inside or outside is not
                                              always straightforward as shown
                                                                                        NOT SUIT THE CHEMICALS
                                                                                        INDUSTRY BECAUSE OF
                                                                                        THE COMPLEXITY OF OUR
                                                                                        PROJECTS WITH THEIR
                                                                                        FAR-HIGHER LEVELS OF
                                                                                                                   “
          In addition, there were
                                              in the following examples:
       concerns about the Act’s                                                         TECHNOLOGY INTEGRATION
       introduction of adjudication to        • In North Midland Construction
       resolve disputes more quickly,           plc v AEE Lentjes UK [2009]
       which we believed would not              EWHC 1371 (TCC) the Court
       suit the chemicals industry              found that a sub-contractor’s
       because of the complexity of             enabling and civil works
       our projects with their far-higher       at a site where a flue gas
       levels of technology integration.        desulfurisation plant was
       Experience showed IChemE that            going to be installed did not
       the appointment of an expert             fall within the exclusion under
       resolved simple or technical             s105(2). North Midland had
       disputes in a cost effective and         been contracted to provide
       timely manner. This led IChemE           temporary fencing, roads,
       and other similar bodies to seek         offices and drainage at the
       and secure the exclusion of              site, as well as demolition
       defined activities from the Act.         and foundations works. The
          The IChemE’s Contracts                Court held such works were
       Committee took a reasonably              preparatory in nature and
       pragmatic view of the legislation        could not be regarded as
       in general. As a result, we felt         works under section 105(2)
       that major changes to our well-          (c), even though the primary
       established contracts were not           activity of the site would be
                                                power generation.
       required, with the exception of
       some editing of the payment            • In Cleveland Bridge (UK) Ltd v
       terms which were brought in line         Whessoe-Volker [2010] EWHC
       with the Act. It is pleasing to note     1076 (TCC) the Court had to
       that in a recent case brought            split the operations performed
       before Mrs Justice O’Farrell in the      by Cleveland Bridge into
       High Court (C Spencer Ltd v MW           those excluded and those
       High Tech Projects UK Ltd) the           within the 1996 Act’s remit.
       terms relating to payment in the         Cleveland had been carrying
       Brown Book were considered to            out works at a liquefied natural
       be compliant with the Act. There         gas terminal. The Court
       are similar terms contained in           found that Cleveland’s prior
       other IChemE forms of contract.          fabrication drawings, off-site

                                                                                        Visit www.thechemicalengineer.com

c&cchallenger DG1.indd 15                                                                                          27/11/2019 13:15
16 Consultants & Contractors Guide 2020

                                                                                                 “
           fabrication and delivery were            Services Contract (Silver Book
           not excluded works but that              – 2017)) and the (Minor Works
           the erection of steelwork to             Contract (Orange Book – 2018))                       ICHEME’S CONTRACTS
           pipe racks and pipe bridges at
           the gas terminal fell within the
           exclusion.

       • In Severfield (UK) Ltd v Duro
                                                    all fully comply with the Act.
                                                       Looking ahead, users of
                                                    IChemE’s Forms of Contracts will
                                                    be pleased to hear that based on
                                                    the changes introduced to the
                                                                                                                     “
                                                                                                    COMMITTEE IS TO REVISE
                                                                                                    THE EXISTING SUITE OF
                                                                                                    MAIN CONTRACTS AND TO
                                                                                                    INTRODUCE SOME NEW
                                                                                                    FORMS IN THE REASONABLY
         Felguera UK Ltd [2015]
                                                    recently-published Professional
         EWHC 3352 (TCC) the
                                                    Services (Silver Book) and Minor                NEAR FUTURE
         Court suggested that where
                                                    Works (Orange Book) Contracts,
         contracts included elements
                                                    IChemE’s Contracts Committee
         that could be considered both
                                                    is planning to revise the existing
         inside and excluded from the
                                                    suite of main contracts and to
         Act, it would be sensible for the
                                                    introduce some new forms in
         parties to the contract to agree
                                                    the reasonably near future. We
         contract terms that were Act
                                                    shall keep readers informed as
         compliant.
                                                    progress develops.
       In this regard, the IChemE
       Contracts Committee considers
       that the IChemE Forms of                     John Challenger CEng
       Contract including the latest                FIChemE is Chairman of the
       publications (Professional                   IChemE Contracts Committee

             IChemE Forms of Contract

             An internationally acclaimed series of model forms of agreement, developed to reflect best practice for project delivery
             in the process industries. Drafted by a team of legal and industry professionals, these contracts address the complex
             way in which the purchaser, contractor and subcontractor divide responsibility for creating new process plants and
             working on existing structures.

             Available in hard copy, PDF and editable word document
             formats. www.icheme.org/shop
         C&C2019

           FOC 144x90 C&C.indd 1                                                                                       22/11/2019 6:09 PM

       Visit www.thechemicalengineer.com

c&cchallenger DG1.indd 16                                                                                                           27/11/2019 13:15
Hazards30
                     18– 20 May 2020, Manchester, UK
                               Hazards 30 is IChemE’s annual process safety conference, the leading event of its kind in Europe.
                               It will explore every major aspect of process safety and help you to learn from the experience of others.
                               Join us to stay up to date with process safety good practice, discover new techniques and approaches, and
                               explore lessons learned from past incidents and near-misses.
                               You’ll also have an opportunity to network with 300+ other process safety professionals. Hazards is an
                               international, industry-focused event and attracts practitioners from all over the world.
                               Hazards 30 will mark 60 years since Hazards was first held in Manchester in 1960. Since then, Hazards has
                               grown in size and influence, continuing to be at the forefront of sharing new knowledge and disseminating
                               good process safety practice across the process industries and beyond.

                               Key features
                                    100+ oral presentations and posters from industry
                                    practitioners, researchers and regulators
                                    invited plenary speakers from industry
                                    panel discussion
                                    trade exhibition of process safety products and services
                                    social and networking opportunities

                               Find out more and register: www.icheme.org/hazards30

                               Sponsorship and exhibition packages
                               are available

                               Celebratin
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C&C2019

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                                                                in

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                        process saf

  hazards_REG.indd 2                                                                                                                         18/10/2019 11:41
    Hazards FP C&C.indd 1                                                                                                               22/11/2019 6:32 PM
18 Consultants & Contractors Guide 2020

        Consultants listings
        From independents to major consultancies, these companies help bring your projects to life

         Company name                                                                                                 No. of
                                               Telephone              Email & web address           Contact name
         & location                                                                                                   staff
         BakerRisk Europe                  +44 (0)1244 405960
                                                                     rmagraw@bakerrisk.com
                                                                                                     Rob Magraw         3
         Cheshire, UK                                                  www.bakerrisk.com

         Booth Welsh                       +44 (0)3450 344 344
                                                                  laura.maley@boothwelsh.co.uk
                                                                                                     Laura Maley      250+
         Scotland, UK                                                 www.boothwelsh.co.uk

         BPE Design and Support            +44 (0)1962 717070
                                                                      enquiries@bpe-ds.com
                                                                                                    Simon Wheeler      30
         Winchester, Daresbury, UK                                      www.bpe-ds.com

         Costain                                                     oilandgas@costain.com
         Aberdeen, Manchester,             +44 (0)161 910 3444                                      Robert Pitman     3,700
                                                                         www.costain.com
         Maidenhead, Solihull, UK

         DEKRA Process Safety              +44 (0)2380 760722
                                                                     adam.bell@dekra.com
                                                                                                      Adam Bell        500
         Southampton, UK                                         www.dekra-process-safety.co.uk

         Engenda Group                                              info@clark-eriksson.co.uk
         (t/a Clark Eriksson)              +44 (0)1324 611294
                                                                    www.clark-eriksson.co.uk
                                                                                                    Scott McMartin     62
         Falkirk, UK

         Genesis Oil and Gas Consultants   +44 (0)2075 855643
                                                                 enquiries@genesisoilandgas.com
                                                                                                                       858
         London, UK                                                www.genesisoilandgas.com

         HFL Consulting                    +44 (0)161 304 5902
                                                                      info@hflconsulting.uk
                                                                                                   Chris Greenhalgh    25
         Manchester, UK                                               www.hflconsulting.uk

         HSD Safety                        +44 (0)7540 186628
                                                                  paul.dewhirst@hsd-safety.co.uk
                                                                                                    Paul Dewhirst       3
         UK                                                            www.hsd-safety.co.uk

         Manderstam International Group    +44 (0)207 730 9224
                                                                     migl@manderstam.com
                                                                                                     Peter Lumley      15
         London, UK                                                  www.manderstam.com

         OSL Consulting                    +44 (0)1482 626400
                                                                 simon.hudson@oslconsulting.com
                                                                                                    Simon Hudson       67
         Hull, UK                                                    www.oslconsulting.com

         Otto Simon                        +44 (0)161 491 7440
                                                                      jking@ottosimon.co.uk
                                                                                                     Jennifer King     130
         Cheshire, UK                                                  www.ottosimon.co.uk

         RAS                               +44 (0)1244 674612
                                                                       enquiries@ras.ltd.uk
                                                                                                      Jo Condon        25
         Cheshire, UK                                                    www.ras.ltd.uk

         RB Plant Construction             +44 (0)1622 858387
                                                                    genghis-p@rb-plant.co.uk
                                                                                                   Genghis Perriman    50
         Kent, UK                                                      www.rbplant.com

         Risktec Solutions                                          enquiries@risktec.tuv.com
         UK, Europe, Middle East,          +44 (0)1925 611200                                        Steve Lewis       270
                                                                      www.risktec.tuv.com
         SE Asia, North America

         Rowan House                       +44 (0)1452 341947
                                                                    office@rowanhouse.co.uk
                                                                                                     Zaffer Khan        6
         Gloucester, UK                                              www.rowanhouse.co.uk

         Sigma-HSE (UK)                    +44 (0)1962 840570
                                                                       info@sigma-hse.com
                                                                                                     John Stead        11
         Winchester, UK                                                www.sigma-hse.com

        www.thechemicalengineer.com

c&cconsultantslist19.indd 18                                                                                           28/11/2019 10:25
Consultants & Contractors Guide 2020 19

                  Regions of operation                                                                                                            Industry sector                                                                                                                                                                                                                          Technical expertise

                                                                                                                                                                                                                                                                                                                                                                                           Legal arbitration & expert witness

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        Process development/evaluation
                                                                                                                                                                                                                                                                                                                                                              Health & safety management
                                                                                                                                                                                                                                                                                                                  Environmental management

                                                                                                                                                                                                                                                                                                                                                                                                                                Manpower & recruitment
                                       Central & South America

                                                                                                                                                                                                                                                                      Auditing & assessment

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         Project management
                                                                                                                                                                                                                                                                                                                                                                                                                                                         Plant commissioning

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              Quality management
                                                                                                                                                                                                                                                                                              Energy management
                                                                                                                                                                                       Oil, gas & petroleum
                                                                                                                                                                 Inorganic chemicals

                                                                                                                                                                                                                                                                                                                                                                                                                                                                               Plant construction

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   Plant optimisation
                                                                                                                                                                                                              Organic chemicals

                                                                                                                                                                                                                                                    Water treatment
                                                                                                                                                                                                                                  Pharmaceuticals
                                                                                        United Kingdom

                                                                                                                                                                                                                                                                                                                                             Expert witness
                                                                                                         North America

                                                                                                                         Biotechnology

                                                                                                                                                  Food & drink

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    Plant design
                                                                          Middle East
                         Australasia

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   Training
                                                                 Europe

                                                                                                                                         Energy
         Africa
                  Asia

          ✔        ✔        ✔                ✔                    ✔          ✔             ✔                ✔                             ✔                                                 ✔                                                                              ✔                                                                                         ✔

                                                                  ✔          ✔             ✔                ✔                             ✔          ✔                                      ✔                     ✔                   ✔                 ✔                                                                                                                                                                                                     ✔                    ✔                   ✔               ✔                        ✔                            ✔

                                                                  ✔                        ✔                                ✔             ✔          ✔                ✔                                           ✔                   ✔                 ✔                  ✔                      ✔                     ✔                                            ✔                                                                                        ✔                    ✔                   ✔               ✔                        ✔                            ✔                                       ✔

          ✔        ✔        ✔                ✔                    ✔          ✔             ✔                ✔                             ✔                                                 ✔                                                           ✔                                         ✔                     ✔                       ✔                    ✔                                                                                        ✔                    ✔                   ✔               ✔                        ✔                            ✔                    ✔                  ✔

          ✔        ✔        ✔                ✔                    ✔          ✔             ✔                ✔               ✔             ✔          ✔                ✔                     ✔                     ✔                   ✔                 ✔                  ✔                                                                    ✔                    ✔                                                                                                             ✔                   ✔               ✔                        ✔                                                 ✔                  ✔

                                                                  ✔                        ✔                                ✔             ✔          ✔                ✔                     ✔                     ✔                   ✔                 ✔                                                                                                            ✔                                                               ✔                        ✔                    ✔                   ✔               ✔                        ✔                            ✔

          ✔        ✔        ✔                ✔                    ✔          ✔             ✔                ✔                             ✔                                                 ✔                                                                                                     ✔                     ✔                       ✔                    ✔                                                                                        ✔                                        ✔               ✔                        ✔                            ✔                    ✔                  ✔

                   ✔        ✔                                     ✔          ✔             ✔                ✔               ✔             ✔          ✔                ✔                     ✔                     ✔                   ✔                                    ✔                                            ✔                       ✔                    ✔                                                                                                                                 ✔               ✔                        ✔                            ✔                                       ✔

          ✔                 ✔                                     ✔          ✔             ✔                ✔               ✔             ✔          ✔                ✔                     ✔                     ✔                   ✔                 ✔                  ✔                                                                    ✔                    ✔                              ✔                                                                                                                                                                                                                ✔

          ✔        ✔        ✔                ✔                    ✔          ✔             ✔                ✔               ✔             ✔          ✔                ✔                     ✔                     ✔                   ✔                                    ✔                                                                    ✔                                                                                                                                                      ✔               ✔                        ✔                            ✔                    ✔

          ✔                                                       ✔          ✔             ✔                ✔                             ✔                           ✔                     ✔                     ✔                                     ✔                  ✔                      ✔                     ✔                       ✔                    ✔                                                               ✔                        ✔                    ✔                   ✔               ✔                        ✔                            ✔                    ✔

          ✔        ✔        ✔                ✔                    ✔          ✔             ✔                ✔               ✔             ✔                           ✔                                           ✔                   ✔                 ✔                  ✔                      ✔                     ✔                       ✔                                                                                                             ✔                    ✔                   ✔               ✔                        ✔                            ✔                                       ✔

          ✔        ✔        ✔                ✔                    ✔          ✔             ✔                ✔                             ✔          ✔                ✔                     ✔                     ✔                   ✔                 ✔                  ✔                                            ✔                       ✔                    ✔                                                                                                                                                 ✔                        ✔                                                                    ✔

          ✔                                                       ✔                        ✔                                ✔             ✔          ✔                ✔                     ✔                     ✔                   ✔                 ✔                  ✔                      ✔                     ✔                       ✔                    ✔                              ✔                                                         ✔                    ✔                   ✔               ✔                        ✔                            ✔

          ✔        ✔        ✔                ✔                    ✔          ✔             ✔                ✔               ✔             ✔          ✔                ✔                     ✔                     ✔                   ✔                 ✔                  ✔                      ✔                     ✔                       ✔                    ✔                                                                ✔                                                                                ✔                        ✔                            ✔                    ✔                  ✔

                   ✔        ✔                                     ✔          ✔             ✔                ✔               ✔             ✔          ✔                ✔                     ✔                     ✔                   ✔                 ✔                                                                                       ✔                    ✔                              ✔                                                         ✔                    ✔                   ✔               ✔                        ✔                            ✔                    ✔                  ✔

          ✔        ✔        ✔                ✔                    ✔          ✔             ✔                ✔                             ✔          ✔                ✔                     ✔                     ✔                   ✔                                    ✔                                                                    ✔                    ✔                                                                                                                                                                          ✔                                                                    ✔

                                                                                                                                                                                                                                                                                                                                                                                                                                                 www.thechemicalengineer.com

c&cconsultantslist19.indd 19                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       28/11/2019 10:25
20 Consultants & Contractors Guide 2020

        Contractors listings
        From independents to major contractors, these companies help bring your projects to life

         Company name                                                                                        No. of
                                       Telephone              Email & web address          Contact name
         & location                                                                                          staff
          BPE Design and Support                             enquiries@bpe-ds.com
          Winchester,              +44 (0)1962 717070                                      Simon Wheeler      30
                                                               www.bpe-ds.com
          Daresbury, UK

          Costain                                            oilandgas@costain.com
          Aberdeen, Manchester,    +44 (0)161 910 3444                                     Robert Pitman     3,700
                                                                 www.costain.com
          Maidenhead, Solihull, UK

          DEKRA Process Safety     +44 (0)2380 760722
                                                             adam.bell@dekra.com
                                                                                             Adam Bell        500
          Southampton, UK                                www.dekra-process-safety.co.uk

          Engenda Group                                     info@clark-eriksson.co.uk
          (t/a Clark Eriksson)     +44 (0)1324 611294
                                                            www.clark-eriksson.co.uk
                                                                                           Scott McMartin     62
          Falkirk, UK

          HFL Consulting           +44 (0)161 304 5902
                                                              info@hflconsulting.uk
                                                                                          Chris Greenhalgh    25
          Manchester, UK                                      www.hflconsulting.uk

          HSD Safety               +44 (0)7540 186628
                                                         paul.dewhirst@hsd-safety.co.uk
                                                                                           Paul Dewhirst       3
          UK                                                  www.hsd-safety.co.uk

          Otto Simon               +44 (0)161 491 7440
                                                             jking@ottosimon.co.uk
                                                                                            Jennifer King     130
          Cheshire, UK                                        www.ottosimon.co.uk

          RB Plant Construction    +44 (0)1622 858387
                                                            genghis-p@rb-plant.co.uk
                                                                                          Genghis Perriman    50
          Kent, UK                                             www.rbplant.com

            Enhance your CPD
            online in 2020
             To view the full range of online training courses
             we offer visit www.icheme.org/online-training

           C&C2019
                                                         ONLINE
        www.thechemicalengineer.com

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Consultants & Contractors Guide 2020 21

                      Regions of operation                                                                                                           Industry sector                                                                                                                                                                          Technical expertise

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   Specification, bid analysis & procurement
                                                                                                                                                                                                                                                                        Conceptual design/process feasibility

                                                                                                                                                                                                                                                                                                                                                                                                                                                  Site supervision/commissioning
                                                                                                                                                                                                                                                                                                                                                                                                          Project management/execution
                                       Central & South America

                                                                                                                                                                                                                                                                                                                                                            Modular construction
                                                                                                                                                                                                                                                                                                                Engineering services
                                                                                                                                                                                       Oil, gas & petroleum
                                                                                                                                                                 Inorganic chemicals

                                                                                                                                                                                                                                                                                                                                                                                   Operations services
                                                                                                                                                                                                                                                                                                                                       Materials handling
                                                                                                                                                                                                              Organic chemicals

                                                                                                                                                                                                                                                    Water treatment
                                                                                                                                                                                                                                  Pharmaceuticals
                                                                                        United Kingdom
                                                                                                         North America

                                                                                                                         Biotechnology

                                                                                                                                                  Food & drink
                                                                          Middle East
                         Australasia

                                                                 Europe

                                                                                                                                         Energy

                                                                                                                                                                                                                                                                                                                                                                                                                                         Safety
         Africa
                  Asia

                                                                  ✔                       ✔                                ✔              ✔         ✔               ✔                                            ✔                   ✔                 ✔                       ✔                                    ✔                     ✔                     ✔                     ✔                        ✔                          ✔             ✔                                 ✔

          ✔       ✔        ✔               ✔                      ✔         ✔             ✔                ✔                              ✔                                                ✔                                                           ✔                       ✔                                    ✔                                           ✔                     ✔                        ✔                          ✔             ✔                                 ✔

          ✔       ✔        ✔               ✔                      ✔         ✔             ✔                ✔               ✔              ✔         ✔               ✔                      ✔                     ✔                   ✔                 ✔                                                            ✔                     ✔                                                                                               ✔

                                                                  ✔                       ✔                                ✔              ✔         ✔               ✔                      ✔                     ✔                   ✔                 ✔                       ✔                                    ✔                                           ✔                     ✔                        ✔                          ✔             ✔                                 ✔

                  ✔        ✔                                      ✔         ✔             ✔                ✔               ✔              ✔         ✔               ✔                      ✔                     ✔                   ✔                                         ✔                                    ✔                                                                 ✔                        ✔                          ✔             ✔

          ✔                ✔                                      ✔         ✔             ✔                ✔               ✔              ✔         ✔               ✔                      ✔                     ✔                   ✔                 ✔                                                                                                                                                                                  ✔

          ✔       ✔        ✔               ✔                      ✔         ✔             ✔                ✔               ✔              ✔                         ✔                                            ✔                   ✔                 ✔                       ✔                                    ✔                     ✔                     ✔                     ✔                        ✔                          ✔             ✔                                 ✔

          ✔                                                       ✔                       ✔                                ✔              ✔         ✔               ✔                      ✔                     ✔                   ✔                 ✔                       ✔                                    ✔                     ✔                     ✔                     ✔                        ✔                          ✔             ✔                                 ✔

                  IChemE Global Awards 2020                                                                                                                                                                                                                                                                                                                                                                                              Global
                                                                                                                                                                                                                                                                                                                                                                                                                                         AWARDS
                                                                                                                                                                                                                                                                                                                                                                                                                                         2020

                                                                                                                               Save the dates
                                                                                                                               Open for entries:                                                                                     6 March
                                                                                                                               Entry deadline:                                                                                       26 June                                                                                                                                               Sponsor
                                                                                                                               Global Awards:                                                                                        12 November

                                                                                                                         To sponsor the IChemE Global Awards 2020, email awards@icheme.org
           C&C2019                                                                                                       www.icheme.org/globalawards

             GlobalAwards Third C&C V3.indd 1                                                                                                                                                                                                                                                                                                                                                            28/11/2019 10:34 AM
                                                                                                                                                                                                                                                                                                                                          www.thechemicalengineer.com

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