HC Deb 02 March 1989 vol 148 cc255-6W
Mr. Campbell-Savours

To ask the Secretary of State for Defence what proposals he has for changes in the management of the A90 project.

Mr. Sainsbury

The National Nuclear Corporation Ltd. was appointed in June 1988 to provide a comprehensive management and co-ordination service.

Mr. Campbell-Savours

To ask the Secretary of State for Defence what financial claims against his Department are outstanding or expected from Balfour Kilpatrick relative to the A90 project.

Mr. Chope

I have been asked to reply.

No claims are outstanding or expected from Balfour Kilpatrick. The PSA has no contract with this company. It is subcontractor to Haden Young, which is the main contractor for the mechanical and electrical engineering works services on the A90 project. The contract was substantially completed in March 1988. Negotiations on the final account for the contract are proceeding. Haden Young has submitted a claim which is under consideration in accordance with the conditions of contract. The amounts and grounds of the claim are a matter of commercial confidence.

Mr. Campbell-Savours

To ask the Secretary of State for Defence what discussions have been held between his Department and Balfour Kilpatrick on the financial position of the company and its impact on its ability to fulfil the A90 contract.

Mr. Chope

I have been asked to reply.

The answer is none.

Mr. Campbell-Savours

To ask the Secretary of State for Defence whether any assessment has been made of the quality of materials supplied by Messrs Hargreaves of Bury for the A90 project as against the original specifications.

Mr. Chope

I have been asked to reply.

All materials supplied by Messrs Hargreaves of Bury have been inspected in accordance with the contract specification. Certain duct flange welds have failed to meet the specified requirements and options for overcoming this problem in the most economical way are under discussion with the Ministry of Defence.

Mr. Campbell-Savours

To ask the Secretary of State for Defence what is his estimate of the cost of aborted mechanical and electrical work on the A90 project.

Mr. Chope

I have been asked to reply.

A broad estimate of the cost of mechanical and electrical work which has been rendered abortive by changes of requirement during the course of the contract is £1 million.

Mr. Campbell-Savours

To ask the Secretary of State for Defence (1) whether he has assessed the fitness of Balfour Kilpatrick to undertake further government contracts;

(2) if he will make a statement on the management by Haden Young of the A90 project;

(3) what assessment he has made of the achievements of Balfour Kilpatrick in ensuring the speediest possible achievement of targets in the A90 construction project;

(4) if he will carry out an assessment of all contracts awarded by his Department to Balfour Kilpatrick in the past five years.

Mr. Chope

I have been asked to reply.

The financial position and performance of all companies working or likely to be engaged on work for PSA are kept regularly under review and appropriate action taken where necessary. Findings concerning specific firms are a matter of commercial confidence.

Mr. Campbell-Savours

To ask the Secretary of State for Defence if he will investigate disputes in the A90 construction project between the main contractors and Balfour Kilpatrick; and if he will make a statement.

Mr. Chope

I have been asked to reply.

Any disputes which may exist between Haden Young and Balfour Kilpatrick are a matter for them.

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