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Sat April 20 2024

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EM wins £600m West Midlands asset support contract

2 Jan 14 Mouchel subsidiary EM Highway Services has been awarded the Area 9 asset support contract (ASC) by the Highways Agency.

The appointment will see EM operate, maintain and improve the strategic road network in the West Midlands from July 2014.

The contract covers more than 450 miles of major roads such as the M5, M6, M40 and the M42 around cities like Birmingham, Coventry and Stoke-on-Trent.

The Highways Agency said that the contract was valued at £599m over five years. EM said it was worth up to £160m a year, with extensions possible until 2022.

This is the sixth ASC contract to be let by the Highways Agency, which allows contractors more freedom to decide how they carry out their work. They replace the existing managing agent contractor (MAC) arrangements.

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EM already has the MAC contract for Area 13 and Area 1 and was last year awarded the Area 3 ASC having previously had the MAC contract.

EM managing director Dave Wright said: “I am delighted that EM has been awarded the Area 9 asset support contract – the second ASC for the company. We continue to successfully deliver our portfolio of MAC contracts to a high standard and, having recently mobilised our first ASC contract in Area 3, I am confident we can make Area 9 ASC, along with Area 3 ASC, the leading examples of how a successful contract of this type should perform.”

Tim Harbot, divisional director for the Highways Agency’s Midlands region, said: “By specifying the outcomes required for a safe and well maintained road network, and giving suppliers greater freedom to innovate to achieve those outcomes, ASCs incentivise our supply chain to deliver results for road users, and will achieve significant cost savings too. I am looking forward to working alongside EM Highways to deliver the best service we can for the region.”

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