Waste plant warranty is for just two years

Saturday 27th June 2009, 2:29PM BST.

waste plantPUBLIC SERVICES failed in its attempt to get the builder of Guernsey’s proposed incinerator to take on full liability if the plant broke down during the 25-year contract, it has emerged.

One of the criteria PSD wanted to fulfil during the tendering process was to have the ‘construction and operating risks carried fully by the contractor over the full life of the plant’.

However, each of the three tenderers baulked at the idea. And, technically, the fact that each company failed to meet this criterion should have led to them being automatically discarded as possibilities.

‘On initial evaluation, it emerged that none of the tenderers had submitted a fully compliant bid in respect of criterion iii, legal compliance, which meant that, strictly speaking, all should have been marked as a “fail” and not been taken to stage two of the evaluation process,’ Public Services minister Bernard Flouquet said in the Billet report released by the department yesterday.

‘However, this was not considered a sensible approach as it would have resulted in there being no tenders.’

After negotiations with eventual preferred tenderer Suez Environnement, it was agreed that the contractor would be liable for anything that went wrong with the incinerator during the first two years of operation.


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  1. 1
    Paul Le P

    Fair enough to not cover the plant for 25 years but a warrantly lasting 2 years is ludicrous. You get a better warranty with most new cars these days!

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  2. 2
    Stephen John

    Time and time again we have been told the costs of the plant will be met by gate charges over 25 years.

    What doesn’t seem nearly so clear is where is the money coming from tO build the plant?.

    Is it coming from the States own funds? Is it being put up by a philanthropic consortium? or what?

    Anyone any input on this?

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  3. 3
    Steve Le Cheminant

    Acording to the PSD Newsletter of 25/6/09.
    The States will pay Suez, from internal sources, £93.5M
    The gate charge will be increased from what it is now. Suez will recieve £1.8M pa plus £11.44 per tonne recieved.
    It does not say who recieves the income from elec sales, so I assume Suez will get that.

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