The discrepancy between the figure given in P.72/2008 and P.73/2008 of £6.85 million for project management provided by Fichtner Consulting Engineers Limited and the current figure of £1,492,200

1240/5(4979)

WRITTEN QUESTION TO THE MINISTER FOR TRANSPORT AND TECHNICAL SERVICES BY THE DEPUTY OF ST. MARY

ANSWER TO BE TABLED ON TUESDAY 1st DECEMBER 2009

Question

"Following the response given to a written question on 3rd November 2009, regarding the services provided by Fichtner Consulting Engineers Limited, can the Minister –

1. e x p lain to members the discrepancy between the figure giveninP.72/2008andP.73/2008of £6.85 million for project managementcostsand the figure wehavenow been given of £1,492,200?
2. p r o vide an itemizedandexactbreakdownof the payments madeso far and what they were for?" Answer

1. T  h e figure of £1,492,000 isinresponse to question 1240/5(4878) whichasked "who aretheProject Managementconsultants for the construction of the incinerator, how they wereselected to carryout this task, thetotalvalueof the contract, the nature of the services which they are contracted to carry outfor that sum".

T h e "Project Manager" is a defined term in the Institution of Chemical Engineers (IChemE) form contract

"The Red Book" which is being used for the Energy from Waste project. Fichtner Consulting Engineers are  undertaking  the "Project  Manager" role  and  acting  as  the  States  of  Jersey  consultants  for  the construction of the Energy from Waste plant for the fee of £1,492,000.

T h e £ 6.85 million for project management costs stated in P72/2008 and P73/2008 are the budgeted project

management costs for the whole project.

2. T h e Project Management payments paid upuntilthe end ofSeptember 2009 aredetailedbelow. It should be noted that the costs associated with the project managementofthescheme are only partially attributed to Fichtner ConsultingEngineers. The text in italics summariseswhateach heading comprisesof:-

EfW Feasibility costs (Pre-approval Costs: Outline and Detailed Planning, £2,482,922.69 EIA, HIA, , Site Development and Investigation, Enabling Works Design,

Relocation Works Design, Specification Preparation, Tender Evaluation and

Development,  Contract  Agreement  Preparation,  Architectural  Design

Reviews)

EfW Client Team Costs (Staff salaries, Administrative overheads) £428,119.83 Technical Adviser Costs (Development, Planning, CDM, Enabling Works) £141,324.10 Legal, Insurance & Financial fees £259,658.71 EfW Project Management during Construction (Project Manager Costs) £422,067.06 Enabling Works Project Management during Construction £182,692.74 Air Quality Monitoring  £28,658.73 Asbestos Supervisor     £78,349.43

EfW Project Insurance    £278,265.70

EfW Feasibility costs        £ 2 ,482,922.69

EfW Client Team Costs           £ 4 2 8 ,119.83 Technical Adviser Costs         £ 1 4 1 ,324.10 Legal, Insurance & Financial fees     £ 2 5 9 ,658.71 EfW Project Management during Construction   £422,067.06 Enabling Works Project Management during Construction  £182,692.74 Air Quality Monitoring     £ 28,658.73

Asbestos Supervisor           £ 7 8 ,349.43

EfW Project Insurance     £ 2 7 8,265.70