20 June 2002
A multi-million pound private finance initiative (PFI) deal for army tank transporters has won a major award.
The £290 million, 20-year contract, negotiated on behalf of the British Army by the Defence Procurement Agency (DPA), was voted the best Ministry of Defence project above £20 million at the Public Private Finance 2002 awards.
The DPA saved nearly 20 per cent on a conventional procurement through a series of innovative measures, including leasing the transporters' tyres for their operational life rather than buying them outright for £6 million.
The awards, supported by the Office of Government Commerce-backed advisory body publicprivatefinance, also recognised Quadrant Systems and Evans and Sutherland's upgrade of the Royal Air Force's E-3D Sentry aircraft's training service.
The build phase of the project was completed three months ahead of DPA targets, and the judges said the small private-sector team beat much bigger rivals by maximising the use of existing assets.