High Speed 2 Ltd (HS2 Ltd) is looking to strengthen its grip on costs by appointing two firms to oversee the project.
The newly launched £230M commercial delivery and controls framework comes as HS2 Ltd seeks to keep a lid on the £56bn project’s costs. In February, New Civil Engineer revealed findings from an independent cost cutting report commissioned by HS2 Ltd.
The pilot study, which was independently chaired by Aecom engineering director Mark Raiss, examined ways to streamline the designs of bridges, viaducts, tunnel portals and retaining walls to reduce construction costs.
The new framework will be divided into two lots. The company appointed to lot 1 will be responsible for programme controls and the winner of lot 2 will be responsible for commercial management.
Contracts for both lots are for four years with an option to extend them by a further four. Companies can bid for both lots, but can only win one.
As part of the £125.5M programme controls contract, the company will be required to support across all areas of the business, including baseline management, programme planning, earned value management, change management, reporting and risk management.
It will also provide cost and estimating services, and support the cost management process across the HS2 project and management and assurance of the overall baseline estimate.
The company appointed to lot 2, worth £104.5M, will provide commercial management services, including pre-contract development and post-contract management support, in addition to contributing to, developing and communicating HS2 Ltd’s commercial procedures, processes and systems.
It will also be expected to provide cost verification services to review and validate costs presented by the supply chain and ensure commercial compliance with HS2 Ltd’s contractual agreements.
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