Whole life costings for Peel site 3,knockaloe and Kirk Michael

Summary

The request sought whole life costings for sewage works at Peel site 3, Knockaloe, and Kirk Michael; costings were provided for Peel site 3 and Knockaloe, but information for Kirk Michael was withheld as it was not held due to a change in design solution.

Key Facts

• Peel site 3 whole life cost is £7,808,628 but the site was discounted as not deliverable.
• Knockaloe farm proposed site whole life cost is £17,356,608.
• Manx Utilities does not hold whole life cost analysis for Kirk Michael in its current IRBC form.
• The Kirk Michael project was delivered for less than 50% of the original business case value.
• All provided cost figures represent discounted NPV over 25 years at a 3.5% rate.

Data Disclosed

• £7,808,628
• £17,356,608
• 25 years
• 3.5%
• 2 August 2017
• 4 August 2017
• 31 August 2017
• February 2011
• 50%
• £2M

Exemptions Cited

• Section 11(3)a of the Freedom of Information Act 2015 (Information not held)

Data Tables (1)

Full Response Text

Manx Utilities • PO Box 177 • Douglas • Isle of Man • IM99 1PS e: foi@manxutilities.im • t: 687687 • www.manxutilities.im

REFERENCE NUMBER IM97762I

REQUEST UNDER THE FREEDOM OF INFORMATION ACT 2015 (“the Act”)

Thank you for your online application dated 2 August 2017 and subsequent clarification dated 4 August 2017 requesting the following information:

‘Please provide whole life costings for Peel regional sewage works provision at site 3, and proposed site at Knockaloe farm. Please also provide the whole life costings for the regional sewage works at Kirk Michael. ’

The answer to your question is;

The initial whole life costings for site 3 referred to in the Peel Sewage Treatment Work feasibility study are £7,808,628.

Note: This whole life cost figure is the total lifetime discounted NPV figure over 25 years based on a 3.5% discount rate.

This site has since been discounted on the basis that it is not deliverable. As such, Manx Utilities does not hold any further information.

In relation to the proposed site at Knockaloe farm, the whole life cost is £17,356,608.

Note: This whole life cost figure is the total lifetime discounted NPV figure over 25 years based on a 3.5% discount rate.

In relation to the whole life costings for the regional sewage works at Kirk Michael; whilst our aim is to provide information wherever possible, in this instance, under section 11(3)a of the Act we confirm that Manx Utilities does not hold the information you have requested.
This is because there is no whole life cost analysis on record for the Kirk Michael STW in its current form as an IRBC sewage treatment plant. A whole life costing exercise was completed for the original design solution previously recommended by AECOM (an activated sludge plant) as part of the Stage 3 activity completed in February 2011.

The appointed design team’s first task was to establish whether the design solution previously recommended by AECOM still offered the best value for money.

They undertook a brief study and concluded that the use of IRBCs on the existing sewage treatment site was a much more cost effective solution.

Their recommendation was accepted and subsequently the project has been delivered for less than 50% of the original solution proposed at business case stage.

The savings made against the business plan values c. £2M obviated any need for further commercial analysis to take place.

Your right to request a review

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1. Whether we have responded to your request for information in accordance with Part 2 of the Freedom of Information Act 2015; or
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Yours sincerely

Coordination Team