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Ministry of Defence

Answer

Dr. Cable: To ask the Secretary of State for Defence how many private finance initiative and public private partnership contracts with his Department have been won by subsidiaries of Halliburton in each year since 1997; what the terms were of each contract; and if he will make a statement. [205078] Mr. Ingram: The Ministry of Defence has let two private finance initiative (PFI) contracts and no public private partnership (PPP) contracts with subsidiaries of Halliburton since 1997. In December 2001 a contract was signed with the FASTRAX consortium which is led by the United Kingdom element of the Halliburton subsidiary Kellogg Brown & Root (KBR). The contract is for the provision of Heavy Equipment Transportation (HET) Services (i.e. primarily Challenger 2 Main Battle Tank), using Sponsored Reserves. The other consortium members are Oshkosh Truck Corporation, Deutsche Bank, King Trailers and Tru-hitch. Details are as follows: 20 year PFI contract worth, in Whole Life Cost terms, approximately £290 million (excluding VAT). Service under the contract commenced on 7 July 2003 and became fully operational in July 2004. The project was awarded the "Best Operational PFI Project" at the Public Private Partnership Industry awards in May 2004. In April 2003 a contract was signed with Brey Utilities a Yorkshire-based consortium comprising Yorkshire Water (45 per cent.), Earth Tech Engineering (45 per cent.) and the UK element of the Halliburton subsidiary Kellogg Brown & Root (KBR) (10 per cent.). The contract is for the provision of water and wastewater services at over 3,000 MOD sites in the UK. Aquatrine Package A covers approximately 1,000 sites in the Midlands, Wales and South West England. Details are as follows: 25 year PFI contract worth, in Whole Life Cost terms, approximately £1 billion (excluding VAT). Service delivery under the contract commenced and became fully operational on 1 December 2003.

Secondary information

Type

Written question

Reference

432 c1113W; 205078

Session

2004-05

Subjects

Contracts Government departments Private finance initiative Public private partnerships Ministry of Defence Halliburton

Contains statistics

Yes

Link

View this Written question on www.publications.parliament.uk