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| Skanska to develop PFI street lighting in London Skanska and John Laing have been selected as preferred-bidder to develop the street lighting network for the London Boroughs of Croydon and Lewisham in the UK. During the next phase, negotiations will be concluded and financing arranged. Contract award and financial close is expected to be reached during spring 2011. The project is being carried out via a UK private finance initiative (PFI) program. This means that the Skanska-Laing consortium will be responsible for the finance, design, build, operation and maintenance of the lighting network for 25 years, starting July 2011. Once contracts are finalized, Skanska Infrastructure Development will invest approximately GBP 4.5 M, SEK 46 M, during the project period, representing its 50 percent share of the special purpose company, and will be responsible for the development and management of the project together with its partner. The contract is estimated to amount to approximately GBP 74 M, SEK 760 M. When the financing of the project is finalized, the construction contract will be signed and subsequently included in Skanska UK's order bookings. The first five years of the project will involve replacing approximately 38,000 streetlights with new energy efficient lights, refurbishing about 4,000 lighting columns, replacing some 8,000 street signs and bollards as well as implementing a central control system. Skanska will also be responsible for operation and maintenance during the contract period. write your comments about the article :: © 2011 Construction News :: home page |