Birmingham City Council is planning to open bidding for a new contractor to deliver its restructured £2.7bn PFI highways upkeep tender. The bidding process for the new partner is anticipated to begin on Valentine’s Day. Since Amey was ejected, PFI concession holder Birmingham Highways Limited together with the council have toiled to offer the procurement performance criteria an improvement cutting scores of KPIs to make it more appealing to the market.
The entire £2.7bn PFI highways upkeep tender process for the 12-year PFI contract term remaining has been structured to run over a nine months period to offer bidders enough time to carry out due diligence fully. This will be assisted by the enhanced Management Information System, BHL and BCC executed during the interim term. The MIS fetches data from across the road network to offer a wider understanding of current conditions and parts for enhancement. Bidders will be offered with access to all information through a data room.
Read also: Plans underway for Knowsley Council’s big cinema complex in Kirkby town
PFI highways upkeep tender bid
Back in 2010, Birmingham signed a 25-year contract for highways management and maintenance with Amey. The tender became embroiled in a lengthy performance quarrel with the council which was cut short in March 2020 with Amey paying £215m to detach itself from the PFI. Kier chipped in as the interim contractor as the council and PFI special purpose vehicle owned by Equitix and PIP Infrastructure Investments toiled to set the stage for a victorious reprocurement of the 12 years delivery term remaining from April 2023 to June 2035.
Natasha Rouse, the BHL’s CEO said: “It has been a successful supplier day, which offered us chances to present significant aspects of the updated and restructured tender to the market. The positive answer and engagement from crucial market players offer us a good foundation for the beginning of procurement process on Monday 14 February.” Advertisements for bid invitation will be on the Government’s UK Find a Tender service.
