The slides associated with John Houlden's presentation at the 2016 TotalDecom event. On the topic of Nuclear Decommissioning contracting structures - lessons learned.

1. Nuclear decommissioning contracting
structures - lessons learned
John Houlden

2. Nuclear decommissioning contracting
structures – lessons learned
Background – Nuclear decommissioning
in the UK
 A busy decade for UK nuclear
decommissioning contracting
 NDA’s role in decommissioning and
clean-up of the UK’s civil public sector
nuclear sites:
- Early nuclear research facilities
- Magnox nuclear power plants
- Processing plant and facilities at
Sellafield
 NDA’s (and its contractors’)
experience has shaped the UK’s
nuclear decommissioning sector
 The market and contracts have
changed significantly over the last 10
years Sites designated to the NDA

3. Nuclear decommissioning contracting
structures – lessons learned
NDA’s decommissioning contract
models
 The NDA’s contract models influence the rest of the sector:
- Largest buyer – contracts are a barometer for the maturity of the wider market
- End customer – terms/risk allocation agreed between NDA and SLCs are flowed down to
supply chain
 Two/three? generations of NDA decommissioning contract model:
- Management & Operations Contracts (M&O) – Sellafield, LLWR, Magnox, RSRL
- Site Licence Company Agreements (SLCAs) – Dounreay (2010), Magnox and RSRL (2014)
- Strategic partner? – Sellafield (2015)
Risk
M&O
Cost plus
Future?
Fixed Price
SLCA
TCIF
Future?
TC

4. Nuclear decommissioning contracting
structures – lessons learned
NDA’s Contracting Framework
Parent Body Organisation
Site Licence Company
(including employees
contributed by the PBO known
as the secondees)
2nd tier Subcontractors
NDA
Regulators
Ownership
of SLC
Parent Body
Agreement
M&O/SLCA
Statutory
Consultation
Requirement
Sub-contract(s)
Statutory and/or
Licence or consent
Overview of the key parties, relationships and contracts:

5. Nuclear decommissioning contracting
structures – lessons learned
Legal issues: contract
Cost
Time
Quality
Delivery

6. Nuclear decommissioning contracting
structures – lessons learned
Legal issues: getting to contract
Process:
Contract Notice PQQ Dialogue
Final
Tender Clarification/
Contract
PHASE 3:
Refined Solutions
PHASE 2:
Detailed Solutions
[Downselect?]
PHASE 1:
Outline Solutions
[Downselect?]
Decision/
Standstill
Only period for
negotiation
 Key issues:
 Compliance with EU procurement law
 Time/costs
 Competitive pressure

7. Nuclear decommissioning contracting
structures – lessons learned
Lessons learned

8. Nuclear decommissioning contracting
structures – lessons learned
Contact Details
John Houlden
Partner
Tel: 0117 902 2796
Email: john.houlden@burges-salmon.com

9. Nuclear decommissioning contracting
structures – lessons learned
This presentation gives general information only and is not intended to be an exhaustive statement of the law. Although we have taken
care over the information, you should not rely on it as legal advice. We do not accept any liability to anyone who does rely on its content.