Anglian Water has named its capital delivery partners for a contract worth approximately £1.3billion during AMP6 – with proposals for 15 year contracts.
Balfour Beatty, Barhale, Grontmij, MMB (a joint venture of Mott MacDonald and JN Bentley), MWH and Skanska have signed contracts with the water company after being successful in a procurement process which builds on Anglian Water’s existing @one Alliance. Black & Veatch has also signed a contract as a reserve partner.
The new Integrated Main Works Capital Alliance (IMWC) will deliver the type of work previously undertaken by both the @one Alliance and Special Projects team and is characterised by a focus on 10 key outcomes such as satisfied customers, a smaller carbon footprint and fair profits.
The outcomes were determined by around 50,000 customers who took part in Anglian Water’s consultation last year. This helped to understand customer priorities for the company’s AMP6 business plan.
To drive efficiency, IMWC contractors will commit to the company’s key outcomes and will work on a ‘total outperformance’ basis; only recovering head office costs and earning profit when they outperform Anglian Water’s business plan targets.
The Partners have also signed up to a jointly developed benefits plan for the AMP including a new approach to Industrialised Construction and provision for migrating to TOTEX incentives.
To maximise collaborative working and efficiency, contracts will be proposed for 15 years with a review after each five-year AMP period; one of the longest collaborations in the industry.
Jason Tucker, Head of Capital Delivery and Supply Chain Management at Anglian Water said: “Confirming our partners is a big and positive step forwards in our procurement process for AMP6. We are determined to deliver maximum efficiency and satisfaction for our customers by working closely with partners to drive innovation to transform our business.
“Our procurement process for AMP6 has been developed to ensure we select partners who share our vision and are committed to the same outcomes as our AMP6 business plan.
“We’re looking forward to working together with these partners to begin delivering what will exceed £3bn of investment over the next three AMP periods.”
For the first time Anglian Water has put every aspect of its capital investment out to tender at the same time, ranging from large new treatment works to small leakage repairs and new property connections. The IMWC is the first of four delivery vehicles that will focus on the large scale and complex projects. The remaining three will follow the same pioneering procurement process and are due to be completed throughout 2014.