The collapse of the contractor “will not stop the work of the wastewater treatment plant”
The engineering company NMCN won the design and construction contract to replace the existing system in Bellozanne in 2018, and has since been working alongside several subcontractors to complete the project in several stages.
However, the company was recently put into receivership after a planned refinancing of the company failed.
Infrastructure Minister Kevin Lewis said: “The Jersey government is aware of the position of its prime contractor for the wastewater treatment works project. This is something that has been followed for many months and has been the subject of many conversations between the NMCN and the Jersey government.
“We are currently assessing our contractual and legal position as the formal administrative process becomes clearer. The government intends to continue with the wastewater treatment plant project and to continue supply chain relationships, especially those involving local businesses. ‘
He added, “We have systems in place for such eventualities and these processes will now begin. I hope to be able by the end of next week to clarify our next steps. Until then, our business on the project continues.
The work, which was due to be completed by the end of 2022, has already been impacted by Covid-19 travel restrictions and supply chain issues. When completed, the new system would be capable of treating wastewater from a population of around 118,000 people.
This is the second time that the larger redevelopment of the Bellozanne site has encountered such a problem. During the construction phase of a new sludge treatment platform, another UK-based contractor entered administrative management, leaving many local subcontractors considerably out of their pocket. It is not clear whether the island companies were paid for work as subcontractors for the NMCN.