In preparation for asset management period 8 (AMP8) stating in April 2025, Southern Water has awarded contracts to eight companies across two new capital delivery frameworks – the ‘strategic delivery partner framework’ and the ‘infrastructure low complexity delivery route framework’.
The total value of the frameworks is approximately £3.7bn over the initial contract term, which is seven years for the strategic delivery partner (SDP) framework and five years for the low complexity delivery route framework (LCDR). Both have options to extend.
Strategic delivery partners will be responsible for major infrastructure projects like constructing new pipelines and pumping stations, or non-infrastructure schemes like upgrades to our water supply works or wastewater treatment works.
Suppliers in the latter group will either focus on water or waste, typically design & build projects on water supply network or sewers.
Costain and MWH Treatment (as part of the CMDP+ joint venture), Kier Integrated Services, and Galliford Try Construction have all been awarded places on the SDP framework for non-infrastructure above ground works.
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Morrison Water Services has been awarded a place on the same framework for infrastructure works.
Contractors selected for the infrastructure LCDR framework are: Clancy Docwra, United Living Infrastructure Services, and Barhale for works on the water side; and Clancy Docwra, J Browne Construction and Morrison Utility Services on the wastewater side.
The LCDR framework is valued at £210m.
This announcement follows Southern Water’s previous award of two other capital delivery frameworks – its professional services framework and non-infrastructure low complexity delivery route – and so completes procurement of the company’s capital delivery supply chain for AMP8.
Southern Water chief financial officer Stuart Ledger said: “This announcement marks an important milestone in our preparation for the next regulatory investment period 2025-30 and beyond. Southern plans to more than double its investment over the next five years to meet the needs of customers and the environment. I am confident that working together with our partners we will fully meet this challenge.”
