The objective of Prime Contracting is to deliver improved value for money through a more collaborative approach to working, including improved Supply Chain Management, incentivised payment mechanisms, continuous improvement, economies of scale and partnering. A Prime Contractor has overall single point responsibility for the management and delivery of a project or provision of an integrated estate service including new assets (to a pre-agreed value and/or type) and maintenance of the existing infrastructure. The Prime Contractor also co-ordinates and integrates the activities of his pre-appointed Supply Chain to meet the service delivery specification, efficiently, economically, innovatively and on time, with a recognition of the military and other needs of the MOD.
Defence Estates has awarded five Regional Prime Contracts across Great Britain where Private Finance Initiative (PFI) is not appropriate. These Regional Prime Contracts are geographically based and take into account such factors as the deployment of services and estate maintenance. Each Regional Prime Contract may typically have replaced between 10 and 20 separately procured contracts and comprise two key components of work:
Core Services – Generally the maintenance of assets and facility
Core Works – Generally new build or refurbishment works involving capital expenditure or additions to assets, sometimes referred to as 'Capital Works'.
See the links in the right hand menu for more information on each of the five Regional Prime Contracts.