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Biggest ever Defence contract signed



11 July 2014

Biggest ever Defence contract signed

On 10 July, Stephen Wells, Aurecon’s Chief Business Development Officer and Rosemary Peavey, Company Secretary, attended a formal ceremony hosted by the Department of Defence where they signed Aurecon’s largest defence contract to date.

This contract is part of a tranche of services packages that will provide support to Defence bases across the country, initially involving the award of contracts to five individual businesses: Aurecon Australia Pty Ltd, UGL Services Pty Ltd, Transfield Services, Veolia Environmental Services Pty Ltd and Wilson Security.

“These contracts will provide key services for Defence bases — everything from routine maintenance and security to pest control, waste management, transport, and even airfield operations,” Parliamentary Secretary to the Minister for Defence, the Hon Darren Chester MP, announced today.

A total of 10 contracts will be signed, each with an initial term of six years and up to four years of extensions. During the 10-year period the contracts are collectively worth more than AUD 9 billion.

Deputy Secretary Defence Support and Reform, Steve Grzeskowiak, who signed the contracts on behalf of the Commonwealth, said the tender process had offered “a once in a decade opportunity to achieve real savings and improvements to service delivery”.

“Signing these contracts at the same time has given us a unique opportunity to streamline the way base services are delivered across the country,” Mr Grzeskowiak said.

“We have been able to achieve new efficiencies and business improvements, while ensuring our people on bases receive a consistently high standard of service across the country,” he said

Under the contract, Aurecon will provide program and project management services to deliver the Defence estate Maintenance Program for a minimum period of six years plus up to four years of extensions. The contract positions Aurecon as a long term, specialist contract partner and service provider to Defence.

The contract will see Aurecon responsible for managing and delivering hundreds of projects annually across Australia at Defence bases and sites with a strong focus on total asset management. Aurecon’s expertise in programme management, whole-of-life outcomes and knowledge of Defence asset and infrastructure means we will build efficient and effective solutions that optimise programme outcomes for Defence.

“Base services are everything that keeps bases functioning and operational,” said David Barnes, Head of Business Development, Defence who was also represented Aurecon at the signing ceremony in Melbourne.

“Across Australia, there are a large number of bases, made up of owned and leased properties, with mixed condition, capacity and compliance. There is a broad geographic spread, with most facilities located in northern and eastern Australia.

“The Defence Base Services contract is a complex, challenging and completely new service delivery approach designed to transform the way services are currently provided, while delivering sustainable quality and value for money outcomes to our key client Defence.”

“We understand how important the national programme packages are to Defence in unlocking and realising the benefits and value that a total asset management approach to estate management provides,” said David.

Led by Programme Director, Peter Pullman, Aurecon’s dedicated team will provide a single point of contact for all Defence personnel to ensure maximum responsiveness.

“We will take an integrated, operational focus from day one. Our programme leadership team includes key staff filling roles for transition-in and operational programme management. This includes Head of Business Development Defence, David Barnes and Transition Manager, Mike Palmer who will work closely with our subcontract partner Mace Australia,” said Peter.

Aurecon has worked alongside Defence in the delivery of its Estate for over 30 years. According to David, it is our deep knowledge of Defence operations and Estate and our understanding of the challenges faced in delivering and maintaining a diverse property portfolio that set Aurecon apart from its competitors.

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