Amey has submitted its bid for Sheffield’s Streets Ahead project. The project centres around the refurbishment and maintenance of the entire highway network in the South Yorkshire city over a 25-year concession period and is generally considered to involve the largest PFI credits awarded to a local authority (£674.1 million). It also has the distinction of being one of only three existing highway PFI projects in England, the other two being the highway projects in Hounslow and Isle of Wight.
The work would see the replacement of streetlighting columns, traffic signals and highway trees, as well as the improvement of street cleaning and grounds’ maintenance. Construction / replacement works are scheduled to run for seven years followed by an 18-year maintenance period.
Amey is vying with a Carillion-led consortium and a Colas-led consortium to chosen as the service provider. The preferred bidder would be appointed in March 2011, while financial close is tentatively scheduled for August 2011.
Operis conducted a high-level review of Amey’s financial model during this submission exercise.