Definition: Construction risk
“Construction risk” covers events related to the initial state of the involved asset(s). In practice it is related to events such as late delivery, non-respect of specified
standards, significant additional costs, technical deficiency, and external negative effects (including environmental risk) triggering compensation payments to third parties.
Eurostat, "Long term contracts between government units and non- government partners (Public-private-partnerships)"; (2004 edition), Office for Official Publications of the European Communities, 2004, Luxembourg