Client: Nuclear Electric PLC
Programme: 1987 – 1995 (our involvement)
Value: £3.6 billion (base date 2009)
Sector: Energy – Power generation (low carbon), nuclear new build

Description

• The first and currently the only PWR nuclear power station delivering 1200MW.
• Procurement route - Traditional route prevailing between 1987 to 1992. Various contract forms were used depending on the size and type of packages (i.e. ICE, Design & Build and GMP target price contract).

The Challenge

• Procure the contract in a “first of kind” environment.
• Manage and procure a large number of contractors on differing forms of contract.
• Manage design creep and design interfaces between the work packages.
• Eliminating cost risks.
• Control the costs to a defined budget.

The Solution

• Developed individual estimates for each civil engineering project.
• Pre and post cost management services for the construction of the civils structures, reactor plant, turbines, main cabling, cooling water works, controls and instrumentation, radioactive waste and HVAC plant.
• Developed innovative approaches to complex contractual structures.
• Integrated value engineering studies to ensure value for money.
• Developed rigorous project controls, cost reporting and change control systems.

The Results

• Politically sensitive project delivered on time and within the budget and contingency provisions set by Her Majesty’s Government, despite complex procurement of significant supply chain (60 contractors & 3000 suppliers).

The Lesson

• Strong visible leadership team required at the highest levels.
• Clear basis of understanding between client and contractor will ensure a successful project.
• Bring key contractors/consultants/designers on board early.
• Ensure that specific supply chain and procurement processes and procedures are in place early.
• Consolidate the form of contract to one suite of contracts.