Nuclear contract gain for Cavendish Fluor
05 September 2014
Cavendish Fluor Partnership, a joint venture between Cavendish Nuclear (a subsidiary of Babcock International Group) and Fluor, has been awarded a 14 year, £4.2 billiion (US$6.9 billion) contract by the UK’s Nuclear Decommissioning Agency to manage 12 UK nuclear sites and their respective decommissioning programmes.
Under the contract, Cavendish will plan to decommission 10 nuclear power stations around the country and take over the two reseacrh facilities, including Magnox and Research Sites Restoration (RSRL), a move that reportedly will save UK taxpayers more than £1.5 billion (US$2.5 billion). The shares of the two Site Licence Companies will be owned by Cavendish for the period of the contract while they coninue to operate the sites on behalf of the NDA.
“The Cavendish Fluor Partnership brings together a world-class team with unrivalled capability; with proven expertise in both international decommissioning and nuclear site management,” said CFP chairman Kevin Thomas.
“We are looking forward to working closely with the NDA and the sites to deliver this extensive decommissioning programme, safely, on schedule and within budget. By combining our breadth of experience and utilising both proven and innovative solutions, we will deliver significant savings to the UK taxpayer.”
Baroness Verma, Parliamentary Under Secretary of State for the Department of Energy & Climate Change, said: “These sites led the world in developing nuclear energy for the citizens of the UK. Today marks an important milestone in the long-term environmental restoration programme for the first generation of nuclear sites in the UK.”
NDA chief executive John Clarke said: “Today is a significant achievement for the NDA. By introducing a fundamentally different contract, based upon a clear understanding of the scope of work to be delivered across 12 sites over 14 years, we have been able to generate real competitive tension during the competition process. We are delighted that our approach looks set to deliver a reduction in decommissioning costs of more than £1.5 billion.”