Planning

CHEDDAR 2 RESERVOIR

  • SOUTH WEST WATER LIMITED

UK3: Planned procurement notice - Procurement Act 2023 - view information about notice types

Notice identifier: 2025/S 000-037919

Procurement identifier (OCID): ocds-h6vhtk-055a66

Published 7 July 2025, 3:24pm



Scope

Description

As part of wider plans from the West Country Water and Environment Group (WCWE), two projects are in early planning and development, namely Cheddar 2 Reservoir, and the Poole Water Recycling and Transfer Project. This Planned Procurement Notice refers only to the Cheddar 2 Reservoir, led by South West Water, however a separate Planned Procurement Notice is also concurrently being issued by Wessex Water for the Poole Water Recycling and Transfer Project.

This Planned Procurement Notice is being issued to provide advance information to the market of South West Water's intent to procure a Competitively Appointed Provider (CAP) to design, build, finance, and where appropriate, operate and maintain a new reservoir (Cheddar 2 Reservoir), water treatment and transfer scheme under the Direct Procurement for Customers (DPC) model. Please note that this Notice is not a call for competition.

At this stage, it is intended that the Project scope comprises a new earth embankment reservoir with a useable capacity of 8,200Ml, adjacent to the existing Cheddar Reservoir. The Project also comprises associated ancillary works, including a raw water transfer to a new Water Treatment Works, and approximately 75km of potable water transfer pipeline from South West Water's Bristol area to its customers in Devon. The estimated capital value of the work is approximately £750 million (excluding VAT), and the estimated total expenditure (inclusive of operating and maintenance costs) is c. £1 billion (excluding VAT).

South West Water is planning a programme of market engagement for the Cheddar 2 Reservoir Project, and to this end potential investors and contractors are invited to express their interest in participating in a series of engagement activities, commencing with an initial spring industry briefing and launch event scheduled for Tuesday 9th September 2025, to be held at a central London venue.

The programme of engagement is proposed to help develop a wider understanding of the delivery of the Project from both a construction and investment perspective, and presents an opportunity for South West Water to engage and collaborate with the market in refining its delivery and commercial model, procurement approach and contracting terms.

Additionally, the programme of market engagement seeks to encourage multi-party discussions that will align the Project's development and presentation to market with market trends, taking into account the perspectives of both Investors and Main Works Contractors who it is envisaged would form and comprise the CAP.

To express your interest in attending the initial planned launch event for the Cheddar 2 Reservoir Project, please respond by accessing the link below:

https://www.smartsurvey.co.uk/s/Cheddar2/

Total value (estimated)

  • £1,000,000,000 excluding VAT
  • £1,200,000,000 including VAT

Above the relevant threshold

Contract dates (estimated)

  • 1 July 2029 to 1 July 2054
  • 25 years, 1 day

Main procurement category

Works

CPV classifications

  • 45111000 - Demolition, site preparation and clearance work
  • 45112000 - Excavating and earthmoving work
  • 45113000 - Siteworks
  • 45120000 - Test drilling and boring work
  • 45220000 - Engineering works and construction works
  • 45247000 - Construction work for dams, canals, irrigation channels and aqueducts
  • 45310000 - Electrical installation work
  • 45350000 - Mechanical installations
  • 45520000 - Hire of earthmoving equipment with operator
  • 65100000 - Water distribution and related services
  • 66110000 - Banking services
  • 66122000 - Corporate finance and venture capital services
  • 66152000 - Financial market regulatory services
  • 71300000 - Engineering services
  • 71500000 - Construction-related services
  • 71800000 - Consulting services for water-supply and waste consultancy

Contract locations

  • UKK - South West (England)

Submission

Publication date of tender notice (estimated)

30 July 2027

Submission type

Requests to participate

Deadline for requests to participate

26 November 2027, 11:59pm

Tenders may be submitted electronically

Yes

Languages that may be used for submission

English

Award decision date (estimated)

1 May 2029


Procedure

Procedure type

Competitive flexible procedure

Special regime

Utilities


Documents

Documents to be provided after the tender notice

Further details will be provided in the Tender Notice


Contracting authority

SOUTH WEST WATER LIMITED

  • Companies House: 02366665
  • Public Procurement Organisation Number: PQQD-9198-RDHP

Peninsula House, Rydon Lane

Exeter

EX2 7HR

United Kingdom

Region: UKK43 - Devon CC

Organisation type: Private utility