Kier Group plc has this morning announced that it has attained preferred bidder status on two new long-term contracts with Anglian Water under its AMP6 programme, with a combined total value of up to £130 million. Both contracts start in 2015 and are expected to run for 15 years.
Kier has been selected to deliver Anglian Water's AMP6 Integrated Metering and Developer Services (IMDS) contract, valued at up to £12m a year. Together with Clancy Docwra, the contract will cover the whole Anglian Water region for both Metering and Developer Services, as opposed to the current east/west split that exists for the AMP5 Metering framework. The contract is expected to be formally awarded in the summer, with the focus over the coming three months on initiative development, business planning and work allocation.
The firm has also been selected as one of three contractors to deliver Anglian Water's Integrated Operational Solutions (IOS). The contract is worth approximately £70m over five years, with an extension of a possible ten years, and will start in April 2015. The IOS contract works will include appraisal and feasibility studies, preliminary and detailed design, construction and installation of components. It will also cover asset refurbishment, demolition, dismantling and decommissioning, as well as maintenance of the corporate asset and cost data for both water and water recycling assets.
Kier's bid focus was on a need to increase efficiency and extend asset life to meet OFWAT objectives and to support the outcomes defined in Anglian Water's AMP6 business plan, which were defined following extensive customer consultation.
Haydn Mursell, Kier Group finance director, said:
"We look forward to working with Anglian Water to tackle the ever more challenging regulatory requirements they face. Through our partnership experience, we will deliver these services effectively and efficiently, working as one fully integrated organisation, and collaborating with them and the partner service providers to deliver the best possible service to customers. These contract awards demonstrate how our acquisition of May Gurney last year has enhanced Kier's capabilities and strengthened our offering to clients."
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