ECI to be used on £75bn nuclear decommissioning programme

New Nuclear Management, the consortium running Sellafield, the UK's largest nuclear facility, is planning to use Early Contractor Involvement (ECI) contracts as a way of delivering major works under its £75bn decommissioning programme.

Sellafield executives have been holding workshops with its decommissioning and major projects contractors to discuss how ECI can be applied at Sellafield.

The move follows talks with both the Highways Agency and BAA's Terminal Five team about new delivery methods.

The Highways Agency's use of ECI design and build contracts is of particular interest to NMP. ECI works by bringing in the contractor at the project's planning stage, allowing contractor input from the very start of the scheme.

Sellafield's commercial director Keith Case believes ECI could play an important part in procuring some of its projects.

He said: "I can see at least two areas where ECI will pay big dividends. One is in formulating the options for major projects including the innovative ideas from the supply chain before we put the project strategy to bed."

He added: "The second area is in the commercial delivery strategy. How do we formulate that strategy? I would like to see more of an open discussion with suppliers and potential contractors to make sure we are tailoring it, not just to the solution, but to the marketplace as well."

However, Case says the nature of Sellafield's contracts will be a challenge. "It is easier in an environment with repeat business. Sellafield is an organization with a lot of one-off, really difficult and interesting projects, but the strategy and solutions need some innovative thinking."

Case is also keen to find a way to protect contractors' intellectual property. "The trick there will be preserving particular contractors' innovative ideas and ensuring they are rewarded for sharing them with us at a time when we are not in contract."

The move to use ECI contracts is part of a wider programme to streamline Sellafield's procurement strategy in a bid to drive cost savings and speed up its decommissioning programme.