4 | Alliances 2014
Collaborating towards AMP6
Alliances and joint ventures in the UK water sector have grown rapidly in recent years, and the trend shows no sign of waning. It seems they are the best way of providing innovation and resourcefulness in a sector focusing on total expenditure
THE ALLIANCES 2014 is the only guide offering an insight into the collaborative ventures formed by the leading civil and process engineering companies and consultants serving the water sector.
We have taken the leading 20-plus joint ventures (JVs) and consortia and profiled each one in turn. This reveals how collaborations are adapting as the water industry moves towards AMP6 from 2015 to 2020. With the emphasis in AMP6 being on Totex it is inevitable that there will be a change in delivery models as the water companies’ procurement strategies become clearer. This means joint ventures and their parent companies can assess how best they can respond to the demands and expectations of the emerging AMP6 marketplace. But what does seem clear is that alliances will continue
A supplement to WET News
to play a very important role in delivering the water and sewerage companies’ capital delivery programmes going forward
LORImtech, the collaboration between Laing O’Rourke and Imtech, says the alliance type model is growing within the water industry as a preferred method for its capital delivery programme.
The trend, adds MWH, is to use either an alliance approach or have an expert client defining solutions together with a design and build partner to deliver projects. The customer, the environment and collaboration “will be the order of the day” from 2015, according to J Murphy & Sons.
The company says these factors are featuring “very strongly” in all of the procurement processes it is engaged in.
It says collaboration with clients, partners and the supply chain will provide added value and cost benefits to new frameworks, joint ventures or major projects, providing a service that is both integrated and transparent, focusing on the delivery of successful outcomes. If tradition is anything to go by, it would be expected that AMP5 starts to wind down as the industry moves towards AMP6.
AMP cycle
However, with last month’s news that Ofwat is to allow AMP6 investment to be accelerated into 2014-15 then the usual boom and bust situation that arises with the AMP cycle should be reduced. However, most of the water and sewerage companies have started tendering early in order for their delivery partners to be in place well ahead of April 2015, when
AMP6 will start.
Thames Water (see p20) is one of the first to have its AMP6 delivery partners in place, having created an alliance featuring a programme manager (MWH), two design and build consortia (CVA and SMB), and technology and innovation provider (IBM). The partners also have 18-month Early Contractor Involvement deals.
This is enabling the company and the alliance partners to create the AMP6 business plan and define the scope of technology and innovation services to be delivered in AMP6 and beyond
Anglian Water aims to have its main works alliance partners in place by next April, a year ahead of the AMP6 start.
The proposed AMP6 early-start programme will give the new main works
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