2014 Report details for project: Thames Tideway Tunnel

Project name: Thames Tideway Tunnel - there are 4 reports for this project: 2014, 2015, 2016, 2017
Google search: Google search on project name (opens in new window) opens in new window
Organisation: DEFRA (D7) - see all reports for this organisation
Report year: 2014 (data is from Sept 2013)
Category: Infrastructure - see all reports for this category
Description: The Thames Tideway Tunnel project aims to underwrite the extreme risks which may arise during the building by the private sector of a new sewage tunnel under London. Population growth, increased urbanisation and changes in rainfall patterns mean that London’s sewerage system, largely built in the late 19th century, is operating close to capacity and as a result discharges of sewage to the Thames are occurring regularly and not just as exceptional events. This is unacceptable on environment and health grounds. The proposed Thames Tideway Tunnel is the most cost effective, comprehensive and timely solution to address the problem of combined sewer overflows into the Thames in London, and is due for completion in 2023. In principle the duty to build the £4.1 - 4.2bn Thames Tideway Tunnel falls to Thames Water (who lead the project) and oversight of customer interests falls to Ofwat. As lead Department, Defra is responsible for the regulatory regime for the water sector and is exposed to the risk of fines arising from an ECJ (Court of Justice of the EU) case, which has found the UK in breach of the Urban Waste Water Treatment Directive in London. If the project requires some form of government support to enable the capital markets to finance the Tunnel then Defra is the lead Department to manage the risks to the taxpayer. Defra is working with Ofwat, Infrastructure UK and HM Treasury to ensure the costs of this large and complex project are minimised and it is delivered with a structure and financing mechanism that delivers value for money for Thames Water customers and UK taxpayers.
DCA (RAG): Amber/Red
DCA text: The Amber/Red rating reflects the high level of risk inherent in a project of this type. Key areas of focus for the project have been establishment of the Infrastructure Provider, negotiation of the Government Support Package and the need to strengthen commercial capability. The project is progressing well and is on track for delivery despite the high level of challenge.
Start date: 2010-09-07
End date: 2023-03-31
Schedule text: On schedule.
Baseline: £3.13m
Forecast: £3.13m
Variance: 0.00%
Variance text: The 2013/14 budget relates to Government costs for the Enabling Project (see below). No budget variance.
Whole Life Cost: £4,217.88m
WLCost text: The whole life cost is made up of two elements: the whole life capital cost of £4.2bn (2011 prices) which relates to the Thames Water run private sector project; and the Government costs, currently estimated at £17.88m for the duration of the project, which relate exclusively to the Enabling Project and include staff costs for the Thames Tideway Tunnel Project Team in Defra and their external advisers. The whole life cost is a best estimate at this stage.
Notes1:
Notes2:
Sourcefile: IPA_2014.csv

Home Selection Search All Reports All Projects (+dates) All Projects (+costs) All Organisations All Years All Categories


Acknowledgement: GMPP data has been re-used under the Open Government Licence.