Western Power signs second alliance agreement

Western Power has today signed a five year alliance agreement with Transfield Services, worth approximately $100 million in revenue in its first year of operation.

This latest partnership follows Western Power's announcement last week of a new alliance with Downer EDI Engineering and Tenix Alliance, which is expected to handle $277 million worth of capital works in its first year of operation.

Managing director Doug Aberle said Western Power was spending approximately $1 billion each year on its transmission and distribution network and that the company planned to execute the biggest capital works program in its history through collaborative alliances.

The announcement from Transfield Services is pasted below:

Transfield Services today signed a five-year alliance agreement with Western Power to deliver a major program of sustaining capital works for the upgrade and expansion of its network of transmission lines, distribution network and substations.

The contract includes a five-year extension option.

Transfield Services will provide essential services to Western Power, worth approximately $100 million in revenue in the first year of operations.

Our annual revenue is expected to increase over the contract's five-year term as we expand to support Western Power's $3.5 billion capital works program.

Transfield Services will provide engineering, field resources, supervision and project management.

Transfield Services will work in the South West Interconnected System (SWIS), an area stretching from Kalbarri in the north to Kalgoorlie in the east and south to Albany; and is one and a half times the size of Victoria.

Transfield Services Managing Director and Chief Executive Officer, Mr Peter Watson said today:

"Transfield Services is a leading Australian services company that covers the entire power sector - from transmission and distribution services to power generation services.

"This capability has been firmly established in Western Australia through our relationships with Horizon Power for distribution services as well as power generation services to Transfield Services Infrastructure Fund at Kemerton, Verve Energy at Collie and Griffin Energy at Bluewaters power stations.

This capability continues across South Australia, Tasmania, Victoria, New South Wales, Queensland and in New Zealand," Mr Watson said.

Western Power, Managing Director, Mr Doug Aberle, said: "This arrangement is a new approach for Western Power that signals a commitment to working collaboratively with industry to deliver the biggest capital works program in our history.

We are pleased to form an alliance with Transfield Services to ensure the continuous improvement of the SWIS for the benefit of all in the Western Power network."

"Transfield Services has proven it can meet our needs by constructing the Bibra Lake substation from the ground up in just nine months. The substation now delivers power to surrounding commercial and industrial business, which relieves the network for residential customers," Mr Aberle said.

Transfield Services Australia Chief Executive Officer, Mr Bruce James, said: "Transfield Services has a growing presence in Western Australia with more than 1,500 employees and long-term alliance-based relationships with clients including Woodside, the Water Corporation and Horizon Power.

We are looking forward to working with Western Power to meet their long-term energy needs."

"Our accreditation as a Registered Training Organisation in transmission and distribution services further strengthens our position as a leader in this industry backed by quality and highly-skilled people."