Prime Cost Items and Provisional Allowances are the estimated price of providing the work (Provisional Sum) or item (Prime Cost Item). Provisional allowances typically apply to trades such as asbestos removal, excavation, electrical and painting for which a fixed price cannot be provided subject to unknown conditions onsite. A Prime Cost Item is a specified allowance for an individual item such as a toilet suite, tap, vanity, kitchen cabinetry etc, that is subject to the client’s selection. Both Provisional sums and Prime Cost items are specified in both the quotation and carried into the fixed price contract, a credit or debit will be applied to the approved work or the selected item upon completion of works.
