Winning bidders for massive infrastructure framework include Balfour Beatty and Skanska

economics

Six firms, including Balfour Beatty and Skanska, have won a place on Anglian Water鈥檚 massive new capital works framework, which is potentially worth up to 拢9bn over 15 years.

The six contractors appointed to the new Integrated Main Works Capital Alliance framework are: Skanska, Balfour Beatty, Barhale, Grontmij, and MMB (a joint venture between Mott MacDonald and JN Bentley), and MWH.

The framework will run over the AMP6 regulatory period from 2015 to 2020 and is worth 拢1.3bn over the first five-year period but has the potential to be extended for two further five year periods to 2030, taking its potential value to between 拢6bn and 拢9bn.

The six firms have been appointed as part of a team, called One Alliance.

Anglian Water said it expects to recruit three further alliances this year, with all four tasked with delivering Anglian Water鈥檚 capital projects, from large water treatment works to repairing small leaks and collecting new properties to the network.

Skanska said the contract would be worth 拢40m a year to the firm, while Balfour Beatty said it was worth 拢115m to the firm over the first five year period.

Bill Hocking, Skanska UK executive vice-president, said: 鈥淥ver the past 10 years the One Alliance has emerged as an exemplar collaborative partnership and we are delighted to have played our part in making it a success.鈥

Andrew McNaughton, Balfour Beatty chief executive, said: 鈥淟ong-term alliances help to maximise efficiency through collaborative working, and we are looking forward to helping Anglian Water outperform its AMP6 business plan.鈥

John Abraham, MWH treatment managing director, said: 鈥淭he alliance has been an exciting place for MWH to be in over the past 8 years and I am now looking forward to bringing the wider capability of MWH into the new Alliance for AMP6 and beyond.

鈥満诙瓷缜 on the collaborative culture, we will work together with our partners and the whole supply chain to ensure that we provide affordable and sustainable solutions for Anglian Water鈥檚 customers.鈥

Chris Newsome, asset management director, Anglian Water, said: 鈥淭hese partnerships are formed on the principles of making our business as efficient as it can be, and ensuring our customers are completely satisfied with what we do for them.

鈥淥ur progressive approach to these partnerships is also fundamental to our ability to keep bills below inflation for the six years through to 2020.鈥