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Monday, 19 August 2024 06:24

Southern Water awards £3.7 billion in AMP8 contracts for two Capital Delivery Frameworks to eight companies

Southern Water has awarded AMP8 contracts for two new Capital Delivery Frameworks with a total value of £3.7 billion to eight companies.

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The partners will now carry out work under either the ‘Strategic Delivery Partner’ or ‘Infrastructure Low Complexity Delivery Route’ frameworks.

Those in the former group will be responsible for major infrastructure projects like constructing new pipelines and pumping stations, or non-infrastructure schemes like upgrades to water supply works or wastewater treatment works.

Meanwhile, partners in the latter group will either focus on water or waste - this will typically involve design and build projects on the water supply network or sewers.

Costain and MWH Treatment (as part of the CMDP+ joint venture), Kier Integrated Services Ltd, and Galliford Try Construction Ltd have all been awarded places on the Strategic Delivery Partner framework for non infrastructure above ground works. Meanwhile, Morrison Water Services Ltd have been awarded a place on the Strategic Delivery Partner framework for infrastructure works.

Separately, the Infrastructure Low Complexity Delivery Route framework has awarded places to Clancy Docwra Ltd, United Living Infrastructure Services, and Barhale Ltd for works on the water side, and Clancy Docwra Ltd, J Browne Construction Co Ltd and Morrison Utility Services Ltd on the wastewater side.

The announcement follows Southern Water’s previous award of two other Capital Delivery frameworks – the ‘Professional Services’ framework and the ‘Non Infrastructure Low Complexity Delivery Route’ – marking the completion of procurement of the company’s entire Capital Delivery supply chain for AMP8.

The total value of the frameworks is approximately £3.7 billion over the initial contract term, which is seven years for the ‘Strategic Delivery Partner’ framework and five years for the ‘Low Complexity Delivery Route’ framework. Both have further extension options.

Southern Water’s Chief Financial Officer, Stuart Ledger, said:

“This announcement marks an important milestone in our preparation for the next regulatory investment period 2025-30 and beyond. Southern plans to more than double its investment over the next 5 years to meet the needs of customers and the environment. I am confident that working together with our partners we will fully meet this challenge.”

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