Coal-fired power plant

In the course of a coal plant megaproject in Asia a dispute arose between the developer and the equipment supplier over technical design and construction related issues. The developer also claimed commercial damages for delays in completion and disruption of operations.

Brief

HKA was retained by the equipment supplier’s legal team to provide expert witness services in an arbitration. The technical opinions related to the coal-fired boiler, steam turbine and ancillary plant. Two experts from our Forensic Technical Services team worked alongside HKA colleagues specialising in commercial damages and delay as part of our integrated QED+ service offering.

What we did

The dispute hinged on the developer’s allegation that the design prepared by the equipment supplier was defective, resulting in operational problems of plant systems.

Our technical experts were able to draw on extensive experience of steam turbine technology and boiler design, manufacture and power plant construction.

As part of their investigation, they examined plant control system records, inspection reports, correspondence and photographic evidence as well as design drawings and technical reports prepared for both parties.

They drafted two rounds of technical reports, and met with experts appointed by the plant’s developer in an effort to narrow down the matters in dispute, and gave testimony at the hearing, which also incorporated ‘hot tubbing’.

The technical forensic work also informed the parallel delay analysis and evaluation of commercial damages arising from loss of revenue.

Outcomes

The technical experts’ independent and impartial opinions were that the design and construction of the boiler, turbine and ancillary plant were fit for purpose. Their analysis rebutted the developer’s claim that design and construction defects caused the operational problems.

The findings of the tribunal are awaited.