Driving Value
from PPP Procurement
The Strategic Defence review was
commissioned by the Government
to enable the Ministry of
Defence (MOD) to identify
opportunities to outsource
non-strategic areas of
responsibility and allow the MOD
to focus on its core functions.
Aquatrine is the MOD's GB-wide
water and wastewater project and
one of the Government's largest
Public Private Partnership (PPP)
projects with a net present
value of about £850million over
the 25 year contract period. It
covers the provision of water
for drinking, fire-fighting and
process usage, the removal of
all surface water and wastewater
and the maintenance and
development of all assets to
support these services.
Additionally, it will ensure
that the MOD will achieve
efficiencies to meet its related
environmental objectives.
Partnerships UK (PUK) entered
into a Development Partnership
Agreement with MOD Defence
Estates in 2001 to provide
financial resources and
individual skills and experience
to help deliver successful,
timely, cost-effective and
efficient procurement. As
co-sponsor of the procurement,
PUK joined the project board and
has played a full and active
role in assisting Defence
Estates achieve improved value
for money from the PPP and
reduced front-end bid costs for
both public and private sectors
alike.
A partnering culture was adopted
throughout the project, working
collaboratively with industry to
procure and deliver the required
services. To sustain and develop
these relationships, charters
have been signed with all three
service providers and a
Partnering Management
Organisation has been
established to strategically
manage the three contracts over
their 25 year lifetime.
The project has cemented the
relationship between PUK and
Defence Estates. PUK has become
an integral part of the Defence
Estates team and provides
additional advice and assistance
on issues such as stakeholder
and contract management.
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