Pipe up: the UK nuclear supply chain is in demand

“Not for decades has the ­biggest challenge facing the sector been the volume of ­lucrative opportunities.”

As the government pen hovers over the signing of the £25 billion contract to build a new nuclear plant at Hinkley Point, it seems there has never been more scrutiny on the nuclear supply chain.

Main contractor EDF has named its preferred bidders for £1.3 billion in construction contracts, with a potential bonanza of work awaiting contractors in lower tiers.

Meanwhile, the UK nuclear industry is braced for at least a further £70 billion-worth of work to clear ageing nuclear power stations closed down by the Nuclear Decommissioning Agency (NDA). That work is expected to go on beyond 2100 and doesn’t include the soon-to-close operating nuclear fleet.

Not for decades has the biggest challenge facing the sector been that the volume of lucrative opportunities raises questions about supply chain capacity, and whether industry can successfully deliver all the work. Further, with investment from overseas as well as the UK, the pressure is on to position the UK as a role model globally for safe, effective and responsible procurement and supply chains.

Given the reliance of the industry on extensive supplier standards there is an opportunity for the UK nuclear supply chain to collaborate and organise itself in alignment with the rest of the utilities industry to streamline the inevitable high volume of paperwork which will be required to advance all the works with suppliers.

There’s no doubt the current variety of approaches to supplier qualification within the nuclear sector contributes to putting off many new and innovative firms from getting involved and competing for work, exacerbating skills shortages and any lack of supply chain capacity.

In Achilles UVDB, 80 buying organisations work together to streamline their requirements and agree a standardised pre-qualification approach for suppliers. This means a potential supplier applies once and is then searchable for work with all companies involved.  

As the nuclear sector advances towards this approach, it will enable huge savings in terms of time and effort. It will also encourage new and innovative suppliers to get involved and showcase themselves to the nuclear sector as it gives a simple, single route to market while giving buyers the assurance of dealing with suppliers of proven credibility.

Tom Grand is regional director for Achilles in the UK and Ireland, with responsibility for UVDB