F1Part 2ARegulation of provision of infrastructure

36BTendering

(1)

Regulations under section 36A may—

(a)

allow the Minister to specify one or more infrastructure projects which must be put out to tender;

(b)

allow the Authority to specify one or more infrastructure projects which must be put out to tender;

(c)

allow the Minister to delegate the power under paragraph (a) to the Authority.

(2)

The regulations must prohibit a water undertaker or sewerage undertaker from undertaking an infrastructure project which is to be put out to tender in accordance with the regulations.

(3)

But the regulations may permit or require a water or sewerage undertaker to undertake preparatory work of a specified kind or for a specified purpose.

(4)

The regulations must make provision about the extent to which companies associated with a water undertaker or sewerage undertaker (as defined by the regulations) are permitted to bid in a tender process.

(5)

The regulations must specify the procedure to be followed in a tender process; in particular, the regulations—

(a)

may require the undertaker to consult the Authority or the Minister about the terms on which an infrastructure project is put out to tender;

(b)

may specify factors to be taken into account in considering bids;

(c)

must provide for the water or sewerage undertaker responsible for the tender process to determine which bid to accept (if any).