News Release Page Title

26 June 2006

BIDS FOR £260 MILLION ROADS SCHEME

The Department for Regional Development's Roads Service has announced the selection of two consortia to bid for a £260 million roads package scheme.

The two consortia have been invited to submit Best and Final Offers (BaFO's) for the second package of road schemes being procured using the Design, Build, Finance and Operate (DBFO) form of Public Private Partnership (PPP). The package with a capital value of some £260 million includes the upgrade of the A1 between Beechill north of Newry and Cloghogue to high standard dual carriageway standard, along with the provision of four new flyover junctions between Sprucefield and Loughbrickland.

In addition, Package 2 will deliver the dualling of the A4 between Dungannon and Ballygawley and single carriageway realignments to the A4 at Annaghilla and A5 at Tullyvar.

Subject to completion of the necessary statutory procedures, it is anticipated that work will commence on the Beechill to Cloghogue scheme in the spring of 2007, with work on the A4 likely to commence in 2008.

The successful bidder will also be required to operate and maintain some 125km of the motorway and trunk road network for a period of 30 years.

The consortia that will be invited to submit BaFO's are:

  • Northern Roads Group 2005 which includes Morgan Sindall Investments Ltd, Balfour Beatty Capital and FP McCann Ltd; and

  • Amey Lagan Ferrovial Consortium which includes Amey plc, Ferrovial Argoman SA and Lagan Holdings Ltd.

Roads Service Director of Network Services, David Orr, said: "We are delighted that we have reached this important milestone in the procurement of this package of major improvements to the strategic road network."

The DBFO Package is supported by the Strategic Investment Board and is included within the Investment Strategy for Northern Ireland, a sustainable programme of capital investment in transport, education, health, housing and water over the next 10 years.

NOTES TO EDITORS:

  1. Former DRD Minister John Spellar, MP, announced that this package would be taken forward as a PPP in January 2004.

  2. Procurement commenced with the publication of the Works Contract Notice in the Official Journal of the European Union in March 2005.

  3. The DBFO approach does not mean tolls are payable by motorists. The service payments are met from public funds.

  4. Roads Service remains as the road authority, with the DBFO company acting under Roads Service supervision.

  5. This second package of the Roads Service DBFO Programme, estimated capital value of some £260m includes:

    • Dualling A1 from Beechill to Cloghogue:

      Dualling of approximately 12km of the A1 between Beechill and Cloghogue to a high quality dual carriageway standard incorporating fully grade separated junctions, central median safety barrier and a hard shoulder. The alignment is largely off-line. Statutory procedures for the scheme commenced with publication of the Direction Order and Environmental Statement in November 2004. Following Public Inquiries, these procedures were completed in January 2006. The vesting procedure to assemble the necessary land for the scheme commenced in January 2006. A Public Inquiry was held in June 2006.

    • A1 Junction Improvements:

      Provision of grade separation at four junctions at Dromore Road Hillsborough, Dromore Road Banbridge, Dublin Road / Grovehill Road Loughbrickland and Banbridge Road Dromore will be included in this package. Statutory procedures for the schemes including publication of the Direction Order and Environmental Statement and the vesting procedure to assemble the necessary land for the schemes commenced in December 2005. Public Inquiries were held in March 2006.

    • Dualling A4 from Dungannon to Ballygawley:

      Upgrade approximately 20.5km of the A4 between Dungannon and Ballygawley as a partially on-line / partially off-line high quality dual carriageway standard incorporating a number of grade separated junctions and central median safety barrier. Statutory procedures for the scheme including publication of the Direction Order and Environmental Statement and the vesting procedure to assemble the necessary land for the scheme commenced in December 2005. Public Inquiries were held in March 2006.

    • Single carriageway improvements to the A4 at Annaghilla:

      A 3.8km realignment of the A4 single carriageway route between Ballygawley and Augher including a section of 2 + 1 overtaking opportunity. Statutory procedures for the scheme including publication of the Direction Order and Environmental Statement and the vesting procedure to assemble the necessary land for the scheme commenced in December 2005. Public Inquiries were held in March 2006.

    • Single carriageway improvements to the A5 at Tullyvar:

      3.1km realignment of the A5 single carriageway route between Ballygawley and Aughnacloy including climbing lanes either side of Tullyvar Hill. Statutory procedures for the scheme including publication of the Direction Order and Environmental Statement and the vesting procedure to assemble the necessary land for the scheme commenced in December 2005. Public Inquiries were held in March 2006.

    • Operation and maintenance of 125km of motorway and trunk road network for 30 years.

  6. Because of the complex financing arrangements surrounding the procurement of a roads project as a Public Private Partnership, it can take around two years between publication of the contract notice and contract signature. In order to facilitate early delivery of these important capital schemes, Roads Service is therefore advancing this procurement in parallel with completion of the statutory processes. This however will not impact on the rights of those impacted by the individual schemes. Works can only commence once the statutory processes are completed.

  7. Strategic Investment Board Limited (SIB), an agency of the Office of the First Minister & the Deputy First Minister, was established as a company under the Reinvestment and Reform Initiative in 2003 to address the legacy of under-investment in Northern Ireland's infrastructure. It has three main roles: to help deliver key investment programmes and projects; to support reform of public services; and to build a 10 year investment strategy for Northern Ireland. SIB's fresh approach to infrastructure development is demonstrated throughout its work, across education, health, transport, water, waste, housing and regeneration and ICT. Detailed information on the Strategic Investment Board can be accessed at - www.sibni.org.

Media queries to: Emma Flynn Davies, Department for Regional Development, Press Office, Tel: 028 9054 0372.

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