Costain has secured a three-year extension to its managed service provider contract with United Utilities.
The extension took the partnership to its full 10-year term and covered the remainder of the AMP8 regulatory period, which runs from 2025 to 2030.
Costain was first appointed to the managed service provider framework in 2019.
The framework covered the management and delivery of capital maintenance projects across United Utilities’ water, wastewater and bioresources operations in North West England.
It also included a 24-hour reactive maintenance service across the water company’s estate.
Costain said more than 120 of its engineers and other professionals had worked on the framework.
The contractor had supported more than 900 capital maintenance projects and about 9,000 responsive maintenance activities since its appointment.
Its work included multidisciplinary engineering, construction delivery, project management, procurement, asset optimisation, replacement work, refurbishment and asset upgrades.
Costain said the programme had helped United Utilities meet more than 160 regulatory commitments ahead of schedule.
The contractor is expected to continue supporting the client’s AMP8 capital maintenance programme during the extension.
United Utilities plans to invest £13.5bn in water and wastewater infrastructure during AMP8, compared with £3.8bn during AMP7.
The wider programme includes work intended to improve network resilience and reduce storm overflow activations.
Costain is also part of the United Utilities Enterprise delivery arrangement, which is upgrading wastewater treatment works.
The relationship includes an option for further work through AMP9, which ends in 2035.
Costain chief executive Alex Vaughan said: “We are a long-term, trusted partner to United Utilities and this latest extension is testament to our track record of delivering predictably and consistently.
“Across the North West of England, we are working closely with United Utilities and our local supply chain partners to build critical resilience into the region’s water and wastewater infrastructure.”
United Utilities commercial director John Welch said the extension would allow the companies to continue delivering the water company’s investment programme across the region.
Source: Costain announcement and Stock Exchange statement