Electrical subcontracts: the risks and what to negotiate
Electrical packages run from first fix to commissioning, so the contract exposes you longer than most trades: you are on site before the walls close and still there at handover. The clauses that cost electricians money are the ones that tie your payment and your completion to other trades, to the builder's programme and to commissioning you don't control.
AI risk report, not legal advice. The scanner gives general information about the risks in a document. It is not a lawyer, does not know your circumstances, and can be wrong. For decisions with legal consequences, get advice from a construction lawyer.
Where electrical subcontractors lose money
Completion defined as commissioning and certification
If practical completion for your package needs the whole building energised, tested and certified, your liquidated damages clock runs while you wait on the authority, the HV upgrade or another trade's equipment. Define your completion by your own scope.
Variations from late design and coordination
Electrical design moves with every architectural and services change. A short or absolute notice window on variations means the redesign you absorbed on site becomes free work. Check the notice period and whether a written direction is required before you start.
Defects liability that restarts
Fittings and equipment fail for reasons outside your workmanship. A defects liability period that restarts on every rectification can keep your retention locked up well beyond the usual 12 months.
Supply risk on long-lead equipment
Switchboards, generators and specialist fittings can have long lead times. If the contract puts all supply delay on you with no extension of time, a manufacturer's delay becomes your liquidated damages.
Three things to push for in your departures schedule
- Completion of the electrical works defined by your scope, not whole-of-building commissioning
- A notice period for variations of at least 5 business days, as a notice requirement rather than an absolute bar
- Extension of time for supply delays outside your control, with the manufacturer's notice as evidence
The free scanner finds these clauses in your actual contract in about two minutes and writes the departures schedule for you.
What the Index says
Live figures from the Australian Subcontract Index, 90 real subcontracts. The Index holds only 8 electrical contracts so far, under the 10-contract threshold, so these are national figures across all trades. Nothing under 10 contracts is ever shown.
Electrical subcontracts by state
Electrical subcontracts: common questions
Can a builder hold an electrician's retention until the whole building is certified?
Only if the subcontract says so, which is why the release trigger matters. Market practice is half at practical completion of your works and half at the end of the defects period. A trigger tied to the head contract's completion or final certificate can hold your money for years.
Do electrical subcontractors have payment rights that override the contract?
Yes. Every state and territory has a Security of Payment Act that lets you make a payment claim and get to adjudication quickly, and several states cap how long payment terms can be. The state pages below set out each one.
Is the scanner free?
Yes. No account, no card. Upload the subcontract and the full report appears in about two minutes. General information, not legal advice.