NCC secures road contract worth SEK 1.3 billion

NCC Construction Sweden has been commissioned by the Swedish Road Administration with the assignment of constructing the new Highway 50 between Mjölby and Motala in the county of Östergötland. The order, valued at about SEK 1.3 billion, is for a total package contract, meaning that NCC will also be responsible for operation and maintenance for 20 years.

The comprehensive infrastructure project is a total package undertaking that includes project planning, construction and subsequent responsibility for the operation and maintenance of the completed highway, which is scheduled to be opened for traffic in August 2013. The assignment includes the construction of 28 kilometers of new highway between Mjölby and Motala, 39 road bridges, eight interchanges and a 620-meter long bridge across Skepparpinan in Motala. Highway 50 will comprise 14 kilometers of four-lane expressway and the same length of 2+1 expressway. NCC Infra, a national organization with cutting-edge expertise in infrastructure, has been adapted to meet the Swedish Road Administration’s demands for the outsourcing of total package undertakings. “We find it encouraging that the Swedish Road Administration has decided to sign outsourcing contracts for total package undertakings since this will advance technological development. Construction companies will have to compete on the basis of engineering expertise and long-term sustainable solutions that will generate lower total costs for taxpayers,” says Tomas Carlsson, Business Area Manager, NCC Construction Sweden. Outsourcing on a total package basis entails that the lifecycle cost will be optimized and will impact the entire construction process, which means that the community will receive “more road for the money spent.” Project planning will commence immediately and production will start in the summer. The roads and bridges are expected to be completed and ready for opening in August 2013. Subsequently, NCC’s responsibility for operation and maintenance will commence. The order will be registered during the first quarter of 2010. An average of about 175 individuals will be employed in the project.