9 Sep 2003

Interserve Project Services has been awarded the Highways Agency’s first contract where tenders were assessed solely on quality rather than a combination of quality and price. The project budget of £45m covers improvements to six junctions on the A1 between Peterborough, Cambridgeshire, and Blyth, Nottinghamshire.

The Early Contractor Involvement form of procurement allows Interserve to bring its expertise to bear much sooner than would normally be the case. This contract is also a pilot for the Highway Agency’s “packaged road building” approach where a series of similar schemes in a particular region is let in a single agreement. The benefits of this approach include:

• continuous improvement from the skills and knowledge developed
• greater innovation
• a long-term work stream for the supply chain
• faster delivery
• reduced costs
• improved value to the project

The work will involve the creation of six new grade-separated junctions, by removing existing roundabouts, to create a continuous dual carriageway on the A1. Public consultations for all six junctions have already been held, and Interserve and its design partner will now work with the Highways Agency to develop the proposals in more detail. Construction could be under way by late 2005 following analysis of possible solutions, detailed design work and the completion of the necessary statutory processes.
 
Interserve Plc director John Vyse underlined the significance of the contract saying, “This represents a new approach in infrastructure procurement and we welcome it wholeheartedly. Not only is it the first time that the decision has been made purely on the quality of the contractor’s team and its proposals, the packaged contract is also designed to capture the skills and experience gained as each part of the programme is delivered. The sense of partnership is clear and is sure to result in better value for both the Highways Agency and the road user.”