The UK ministry of defence has selected seven companies to submit proposals to provide airfield support services for all the UK armed services airfields, in a long-term deal that could be worth at least £1 billion ($1.64 billion)over 10 years, according to one industry estimate.
The tender, which will be run as a private finance initiative, is for a variety of services, including fire and crash support, refuelling, de-icing, airfield clearance and sweeping, air traffic caravan provision and cargo handling. The deal will cover air bases in the UK and abroad.
Following a pre-qualification stage, seven companies have been shortlisted. They are Air BP, Amey Ventures, Bombardier Services, Hunting Contract Services, Lex Service, Logicair and Serco Defence Support.
A contract award is likely at the end of 2000. Although the MoD declines to give a value for the deal or a likely contract duration, it is "likely to be for a long time". One estimate puts the MoD's current assets for ground handling as being worth around £350 million.
Source: Flight International
