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Section 6— Compensation Events

Clause 60.1(8)

CE — Energy or Material Shortage

Purpose

A shortage of energy, fuel, or materials not caused by the Contractor and not within the Contractor's reasonable control affects the work.

Practical Application

Widespread supply chain disruptions, national energy shortages, or industry-wide material scarcity may qualify if they are genuinely outside the Contractor's control.

Common Pitfalls

Foreseeable shortages that a prudent contractor would have allowed for do not qualify. The test is whether the shortage was reasonably avoidable through proper procurement planning.

Related Clauses

Clause 60.1

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