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Manufadurers could benefit from PFI deal

11th September 2003
Page 19
Page 19, 11th September 2003 — Manufadurers could benefit from PFI deal
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ORDERS WORTH more than £240m over a two-year period could be placed with UK vehicle manufacturers under new government plans.

The plans are a key part of government moves to award a Private Finance Initiative (PFI) to handle airfield support services on more than 100 British military airbases.

Under the 11.5-2bn Airfield Support Services Project, the government aims to release military personnel currently involved in ground handling for core military duties, and hopes the work can be carried out more cost effectively. The contract includes fire and crash rescue operations, aircraft refuelling, aircraft ground movements, cargo handling and airfield clearance such as clearing runways of snow and ice.

One of three companies shortListed for the bid — a joint venture between Ryder and services company Serco — says it will make updating the 2000-strong vehicle fleet a priority.

The average age of the MoD's fleet is 11 years, and at least one of the vehicles which is slated for immediate replacement is 29 years old.

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