25.10.07

World class consortium selected for tram infrastructure contract

tie Limited has recommended BBS (a consortium comprising Bilfinger Berger and Siemens Group) as its preferred bidder for the contract to carry out the design, construction and maintenance of Edinburgh’s tram network.

The Edinburgh trams infrastructure contract is one of the largest construction contracts in the UK and forms part of the scheme’s final business case that will be debated by City of Edinburgh Council on Thursday 25 October. Following this debate, at which approval is expected, tie and BBS will work closely together to achieve “financial close”, where all contracts are finalised and signed.

Willie Gallagher, Chairman of tie, said: “Our recommendation of BBS as preferred bidder for building the tram infrastructure represents a tremendous milestone for the project. A contract of this nature is unprecedented in Scotland, and tie has spent over 12 months of intensive negotiations ensuring that we secure the best deal for our capital city. The scale of this circa £300m construction contract underlines Edinburgh tram’s position as one of the highest-profile infrastructure projects in the UK and establishes our ability to appoint the best international experts to do the job.

“BBS is a formidable consortium made up of two global companies that have delivered some of the most exciting and challenging projects across the world. By working in partnership they will be best placed to meet Edinburgh’s high expectations.

“The quality of the construction and the finished infrastructure has been a key part of our negotiations and BBS will deliver a fantastic product. This quality will ensure smooth, quiet journeys for commuters and assist in integration with other public transport networks. All in all, it will give the people of Edinburgh a superb travelling experience.

“I look forward to the City Council endorsing the business case and our recommendations for tram and infrastructure preferred bidders this week. Together these companies will be a winning partnership for Edinburgh and are committed to delivering the 21st century tram system that our city deserves.”

Members of the BBS consortium have played a major role in the construction of over 30 urban transport schemes around the world, in countries including France, Portugal, USA, China, Turkey, Taiwan and Mexico.

Neil Renilson, Chief Executive of TEL (Transport Edinburgh Limited) the organisation that will run the integrated bus and tram network, said: “Having partners with the experience of BBS will ensure that our vision of a fully integrated and modern transport system in Edinburgh is one step closer.

“This priority has been at the forefront of our minds throughout the procurement process and will drive our work until the first trams start running in Edinburgh’s streets.”

Cllr Phil Wheeler, Transport Convener at the City of Edinburgh, said: “The INFRACO contract will be the single biggest capital contract ever agreed by the Council and the process of selecting a preferred bidder has been duly rigorous. Choosing the right contractor is absolutely critical for ensuring the initial phase of the tram scheme is delivered on time and on budget. The experience that BBS bring to our scheme will be invaluable in ensuring this happens and I will be recommending BBS, along with CAF as the tram vehicle provider, to Full Council on Thursday.”

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