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Tue January 26 2021

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MoD shortlists 10 for construction work

13 Dec 12 The Defence Infrastructure Organisation has invited 10 construction contractors to begin tendering for a new framework agreement to deliver projects across the UK defence estate.

The companies shortlisted for the framework are: Balfour Beatty, BAM, Carillion,  Interserve, Kier Graham, Lend Lease Construction, Miller Construction, Morgan Sindall, Skanska and Wates. Only half will make the cut.

As previously reported, the procurement process has already suffered slippage.

The National Capital Works Framework will be used for the design and build of construction projects up to a value of £50m. It will include up to five companies who will participate in 'mini-competitions' for individual projects. It is due to be awarded before the end of 2013 and run for an initial four-year period, with the potential to extend for up to three years.

The framework forms part of the DIO Next Generation Estate Contracts (NGEC) programme, and will operate alongside six regional capital works frameworks for projects valued below £12m. It has an estimated value of between £250m and £400m over the four-year period and could be used at any site across the UK estate.

The shortlisted companies attended a bidders’ conference at the Defence Academy Shrivenham yesterday. Delegates were taken step-by-step through a typical Defence construction project, looking at processes involved, legislative influences, sustainability and other requirements.

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Each tender will be evaluated based on the company’s approach to commercial and technical matters such as supply chain management, quality assurance, sustainable development, health and safety, and issues relating to the government's construction strategy. The tenderers have also been provided with a demonstration construction project and will be evaluated on their proposed approach to its delivery. For all projects, contractors will be required to use systems that meet government requirements for Building Information Modelling (BIM).

Steve Rice, head of the NGEC Programme, said: “Changes to UK military basing arrangements are expected to generate requirements for new capital works in the years ahead, and it is vital these are met flexibly and cost-effectively, enabling us to provide a Defence estate which meets military needs and supports our Armed Forces. Early in the NGEC programme our research determined that framework arrangements were the best mechanism to achieve this, and I am delighted that we have such a strong field of companies in the competition.”

Jon Wooden, NGEC Capital Works Frameworks project manager, added: “This national framework is designed to deliver a range of potential major construction projects to support the Defence frontline. We are determined to ensure firstly that all companies involved in the tendering process have a full and robust understanding of the potential demand, and secondly that we use the evaluation process to identify the best providers to meet that demand.”

The framework contractors will be required to observe fair payment practices and, where appropriate, project bank accounts will be set up.

Tenders are due to be returned by mid-February 2013 and it is expected that the National Capital Works Framework agreements will be awarded before the end of 2013.

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