The Interstate Consultants Engineers Guild (ICEG) is researching national practices in various countries regarding the evaluation quality of consulting engineer services and pricing model formation in the engineering sector. To this end, ICEG initiated outreach to foreign EFCA and FIDIC partners. The goal of this work is to implement transparent and balanced market rules in the context of the professional implementation of Ukraine reconstruction projects.

The response from the Lithuanian Association of Engineering Consulting Companies (LPĮA), that ICEG has been working with under a Memorandum of Understanding for 10 years now, has made it possible to gain a deeper understanding of the practices applied in Lithuania and to compare them with Ukrainian experience.

The conducted analysis revealed the following specifics:

• market scale: Ukraine is a transformational market with high reconstruction potential; Lithuania is a stable EU market;
• regulation: Ukraine is harmonizing its regulatory framework with European standards, while Lithuania is fully aligned with the EU acquis;
• financing: Ukraine relies on donor funds and IFIs, whereas Lithuania relies on private investment and EU funds;
• role of the consulting engineer: in Ukraine, this institution is actively being formed, while it is an established practice in Lithuania.

In Lithuania, there is a free market model without state regulation of fees for engineering consulting services. The main approaches to pricing include lump-sum payments, time-based rates, mixed models, and framework agreements. Outcome-based remuneration models are rarely used in the public sector.

The cost of services is determined taking into account:

• project size and technical complexity;
• required services and scope of responsibility;
• risk allocation and clarity of work scope;
• contract type (often FIDIC-based);
• expert qualification level;
• timelines, BIM requirements and reporting obligations.

The assessment of complexity and scope of work is carried out through project classification, functional breakdown of services, determination of qualification requirements and labor inputs, as well as formalization of the scope of work in accordance with FIDIC standards.

Lithuanian practice has formed in the context of EU integration and development of quality oriented public procurement. Despite the absence of a separate national methodology for pricing in the engineering sector, the combination of legislation, procurement procedures, and international standards ensures a transparent and structured professional environment. Quality, performance, and efficiency of services are evaluated indirectly through a combination of legal regulation, public procurement practices, technical regulations, and contractual agreements.

The legal framework and regulatory documents of the Republic of Lithuania in the field of construction are available at: https://www.ssva.lt/cms/teisine-informacija/teises-aktai.

ICEG positively assesses Lithuania’s approach to regulating the engineering consulting activities. Such a model creates a balanced environment in which the cost of services correlates with the content, complexity, and level of expertise, and can serve as a practical benchmark for the development of the Ukrainian market.

Ukraine possesses a significant professional potential for large-scale reconstruction. A modern model envisages that an engineering company providing consulting engineer’s services not only carries out monitoring and oversight in construction but also contributes to minimizing financial risks, ensures transparent fulfillment of contractual obligations, prevents delays and unjustified cost increases, and guarantees stability and predictability of project implementation.

If a consulting engineer performs only engineering oversight functions, this is insufficient to mitigate the risks. However, when such an entity with a team of professionals is involved in project value chain management, projects become more understandable, predictable, and resilient.

This is only the initial stage of large-scale work.

ICEG continues to analyze international practices and develop professional dialogue with EFCA and FIDIC member associations.

A previous publication regarding the experience of our partners can be found HERE.