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Olympic utilities tendered as DBFO

News - Civils 2006

ALL UTILITIES work for London's Olympic Park and the neighbouring Stratford City development were put out to tender this week under a single concession package.

The design, build, nance and operate (DBFO) contract will cover both sites' electrical, gas, water and sewerage networks, as well as energy centres to generate heat and power from renewable sources, such as the planned Olympic wind turbine.

Bidders will also be asked to design and build for heating and cooling water pipework and a telecom duct network.

Speaking at Civils 2006, Olympic Delivery Authority (ODA) infrastructure and utilities director Simon Wright said that the successful concessionaire would probably take the form of an energy services company with private investment backing.

Wright refused to reveal the potential value of the concession and added that it was too early to tell whether the DBFO would free up funds in the ODA's infrastructure budget.

'We have our estimates of capital cost and this is a great opportunity to get the private sector to invest, ' said Wright.

'We are confident that our model is robust, but it would be foolish to jump to conclusions until we see what the industry interest is.'

In London's bid the cost of installing utilities was incorporated into an overall infrastructure budget of £1.1bn.

Deadline for bids is 12 January 2007, with an appointment later in the year.

The tender follows the ODA's advertising of a design and build contract for a primary substation in the Olympic Park, which will be run by the utilities concessionaire.

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