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Single contract DBFO for M25 widening

WIDENING OF the remaining 106km of three lane, dual carriageway section on the M25 is almost certain to be let as a single £1.5bn privately financed DBFO contract, the Highways Agency confirmed last month.

Procurement director Steve Rowsell confirmed that the Agency was in final discussions with the Treasury about the project following July's Comprehensive Spending Review.

The Agency hopes to make a formal announcement by the end of the year.

'It (Treasury) wants to be satisfied on value for money.We believe that it is, ' said Rowsell.

Once the Agency has Treasury backing it will give the industry six months to form consortia ahead of formal tender.

This would keep the project on schedule for a 2007 start, as set down in the Agency's Targeted Programme of Improvements.

Rowsell added that the project will use a new DBFO contract that will incorporate the principles of its Early Contractor Involvement contract and will also use a process that will minimise the cost of tendering.

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