South West Highways scores Devon hat-trick

South West Highways (SWH) has become the first contractor in the UK to secure pull off athree hat-trick of successive highways maintenance contracts victories with the samea single client.

The latest triumph for the group, a joint venture between Ringway and Colas, is a term-maintenenance deal with Devon County Council, potentially worth £350m, where the pairing has surfaced as preferred bidder. SWH's run in Devon started in 1995. It was re-appointed for another term in 2000, this time for five years, with a two-year extension.

The latest deal, worth £35m a year, kicks off on site next April and will initially run for five years, with the possible extension of the contract for a further five years. A source close to the project said: "If you're successful in the first three years of the contract and strike up a good relationship with the client, you're virtually home and dry for the full Monty."

Devon County Ccouncil's executive member for the environment, Cllr Margaret Rogers, said: "We placed considerable emphasis on quality, as well as securing excellent value for money. "The tender evalauation process was very thorough and I am sure we've got the best possible deal." RCS and Accord also priced the deal. Amey was also originally shortlisted, but it is understood that the firm pulled out of the process only six weeks before tenders were due back in. An industry insider said: "The reasons for Amey's withdrawal aren't clear, but it could be related to workload."

SWH's deal includes routine and winter maintenancemaintenace of 13,000 km of highways and 3,000 structures.

[Contract Journal, 13 September 2006, p18]