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Thames Water alliances sign biggest contracts in water industry history

  • Thames Water alliances sign biggest contracts in water industry history
  • Partnerships feature some of Britain’s biggest companies
  • Ceremony in Friday today sets seal on largest contracts ever signed in UK water industry

Thames Water chief executive Martin Baggs and the CEOs and senior leaders of the partner companies gathered at the Gherkin, in the heart of the capital’s financial district, to set the seal on the largest contracts ever signed in the UK water industry.

Two major new alliances KCD and Agility set to deliver billions of pounds worth of work and services for Thames Water signed long-term delivery contracts at a ceremony in London Friday.

Joint Venture KCD, made up of Clancy Docwra and Kier Group has been chosen after a rigorous and innovative selection process that broke new ground in the water industry.

Clancy Docwra Joint Chairman Kevin Clancy commented, “We’re tremendously excited and proud to have our names on the contract today. What’s being done here is extraordinary and it’s a welcome direction that Thames Water is going in now and we look forward to being a part of something that we’re sure is going to be successful.”

In a move designed to transform the way Thames Water does business, it has established eight₂O and the infrastructure alliance to handle up to £4bn of capital investment programmes and network and developer services over the next five years, with an option to include other major scopes in the future.

Immediately before today’s signing ceremony, Thames Water chief executive Martin Baggs hosted a meeting of all the CEOs involved in the two alliances.

He hailed the new partnerships as a fantastic opportunity, stressing all involved should be proud of the work that has been done to bring companies and joint ventures together in what he said heralded a “whole new era” for the water industry.

He said: “The alliances will change the way we work and change the mindset, but it’s fantastic to have a team that’s all working together, focusing on our priorities of health and safety and customer service. Problems will be problems for all of us but we’ll share the benefits as well.”

Using the alliance model, Thames Water aims to achieve greater efficiency in the delivery of its business plan, with a greater emphasis on collaborative teamwork, innovation, health and safety, sustainability and an integrated supply community, giving long-term value to the company and its customers.

The infrastructure alliance has been set up to deliver around £1bn worth of water network and developer services over the AMP6 period, with an option to include up to a further £0.5bn in additional network and metering services in the future.

Thames Water’s wholesale water MD, Bob Collington, said: “Agility and KCD are joining the Thames Water family, along with our other partners in eight₂O, to deliver our AMP6 programme and beyond.

“We strongly believe these two alliances will create aligned goals and objectives throughout the supply chain, putting us in the best possible position to deliver customer and stakeholder promises.”

His opposite number in wastewater, Lawrence Gosden, said: “We started this complete transformation in the way we do business in 2012 and to see it now, with all the teams in place and this level of energy and enthusiasm for what we’re trying to achieve, is remarkable.

“The water industry since privatisation has come a long way but this is a dramatic change in the level of customer focus. These alliances are founded on what customers have been telling us but the only way to deliver customer satisfaction and deliver affordable bills is to innovate and create an environment where innovation flourishes.”

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