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Utility Giant Advertises £5.5bn of Construction Work

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United Utilities is looking for contractors for up to £5.5bn of work in the second half of this decade and beyond.

The company, which serves over 3M customers in the North West of England, formally launched the hunt for construction delivery partners for the next two regulatory cycles.

Preferred contractors will supply oversight, design, construction, and commissioning of intricate capital projects over asset management periods (AMP) 8 and 9.

United Utilities declared it anticipated investment in these spells, which start in 2025 and 2030, respectively, to be “significantly larger” than previous spends.

Lot one of the new frameworks is expected to be worth about £4bn over ten years and will cover non-infrastructure projects such as water treatment, bioresources, and jobs at pumping stations.

As reported, up to six companies will be assigned to this panel and deliver construction works on tunnels, shafts, pipelines, and many other assets, the utility expects.

Meanwhile, lot two, which has an expected value of £1.5bn, will cover infrastructure-focused schemes on water and wastewater networks as well as storage areas and reservoirs.

Similarly, up to six contractors will be appointed, and a range of subterranean projects are predicted alongside those above ground.

Those interested can throw their hats in the ring for the work until 8 September, with shortlisted companies due to be invited to tender from late October.

When granted, the framework will start working in mid-2024 ahead of the beginning of AMP8, and will have a break clause in 2030.

Last week, Yorkshire Water called for interest in £2.8bn of work on its AMP8 and AMP9 schedule as the industry continues to gear up in earnest for a significant regulatory period.

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