turnkeyprojekt

Turnkeyprojekt, or turnkey project, refers to a contract and delivery method in which a project is designed, built, tested, and handed over to the client in a complete, ready-to-use condition.

Under a turnkey arrangement, a single contractor or consortium is responsible for the end-to-end process, covering engineering and design, procurement of materials, construction, installation, commissioning, and initial operation training. The contract typically provides a fixed price and schedule, with the contractor bearing much of the risk for cost overruns and delays, while the client gains a single point of contact and reduced management burden.

Common contract forms include EPC (engineering, procurement and construction) and EPCM variants; such projects often include performance warranties and post-handover support for a defined period. The scope and acceptance criteria are explicit, and changes after contract closure are usually controlled to avoid scope creep.

Turnkey projects are common in heavy industry, energy, chemical plants, manufacturing facilities, IT data centers, and large infrastructure installations, where early completion, integrated systems, and predictable outcomes are valued.

Disadvantages include reduced client oversight, potential for higher initial costs, and risk of misalignment if the initial requirements are incomplete. Success depends on clear specifications, experienced turnkey contractors, and robust contract management.

Note on terminology: the concept is widely used in engineering and construction and appears in several languages, sometimes written as Turnkey-Projekt.