Thames Water puts £258m resurfacing works out to tender

Thames Water has tendered for three road surface reinstatement contracts that could be worth a total of £258m over eight years.

The utilities firm states in a tender notice that with its alliances it completes approximately 150,000 reinstatements a year at a cost of £30m, including ‘avoidable streetworks fines and penalties’.

The tender is valued at a total of £258m and is divided into three lots, with contracts initially awarded for three years but capable of being extended for a further five. The tender notice states that no bidder will be awarded more than two contracts.

The highest value contract is worth up to £104m and covers North London, where approximately 40% of Thames Water’s reinstatements take place.

Other contracts are for South London and the Thames Valley, worth £88m and £66.4m respectively.

Thames Water intends to award a primary supplier in each individual region, who will be responsible for all reinstatements from the contract start date with no guaranteed volume. A reserve supplier will be awarded in each region, also with no guaranteed volumes.

The tender notice states: ‘Reinstatement work is a major challenge for us and our alliance partners; however it offers great opportunities for us to deliver operational efficiencies, best value for money, and provide an excellent customer experience.’

The tender notice adds: ‘The scope may include new ways that reinstatement contractors can work with in and support streetworks activities for example traffic management.’

A reinstatement is repairing or returning a road surface back to a compliant state after an excavation to repair, maintain or put in place a Thames Water asset.

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