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Wessex outsources AMP3 work

WESSEX WATER and consultant Montgomery Watson Harza (MWH) this week launched a joint venture company to manage the water firm's investment programme until 2005.

According to Wessex asset manager Andrew Randall, running the programme with a joint venture will be more efficient than using framework consultants.

The venture, known as MWHWessex, will run Wessex's Asset Management Plan 3 (AMP3).

Both partners will share any savings made through efficiency gains from the £400M programme they will manage over the rest of the AMP3 period.

The two companies will also share losses if they fail to improve efficiency. 'They're incentivised on a pain gain basis, ' said Randall.

The move is also aimed at ensuring the AMP programme has enough staff devoted to it.

Staff from both companies will be formally transferred to the venture under the Transfer Of Undertakings (Protection Of Employment) Regulations 1981 (TUPE).

The joint venture's local knowledge of Wessex's assets will come from 200 Wessex employees who have already been transferred to the new company.

Fifteen MWH staff have also been transferred to the new company. They bring experience of new technologies including activated sludge treatment, ultra violet disinfection and sludge digestion.

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