NDA Will Take Over Management of Sellafield From NMP

The U.K. Nuclear Decommissioning Authority will take over management of Sellafield cleanup from contractor Nuclear Management Partners, the U.K. government announced today. NMP, composed of URS (now owned by AECOM), Amec and AREVA, has managed the site since 2008 as owner of the site license company Sellafield, Ltd. However, site management has received strong criticism in recent years amid cost overruns and schedule delays. “This decision is the result of careful consideration and review of various commercial approaches in use where the combination of public and private sector comes together to deliver complex programmes and taxpayer value,” NDA CEO John Clarke said in a statement.

He added: “I believe we can build on progress to date and drive further improvements in performance and value for money by enhancing the capability of the Site Licensed Company (Sellafield Ltd) through a different approach.” Under the new plan, ownership of Sellafield Ltd. will revert to the NDA from NMP during a transition period expected to take 12 to 15 months. In October 2013, the NDA decided on a five-year extension to NMP’s contract, which could run up to 17 years in total. However, the NDA emphasized that it could terminate the contract early if improvements weren’t made.

Under the new arrangement, the U.K. government will seek a “strategic partner” from the private sector “to advise and assist the Sellafield Ltd executive team in the work necessary to take an overview of all site activities,” according to a U.K. Department of Energy and Climate Change statement. “This means the private sector becomes a supplier to the Site Licensed Company (Sellafield Ltd) rather than a parent of it. Engagement with the supply chain at all levels will remain central to this new approach and key programmes of work will continue to be competitively let to the private sector.”