| 1. |
INTRODUCTION |
5 |
| 2. |
SUMMARY AND FUTURE PROSPECTS |
7 |
| 2.1 | OVERVIEW |
7 |
| 2.2 | WATER |
7 |
| 2.3 | ELECTRICITY |
8 |
| 2.4 | GAS |
8 |
| 2.5 | TELECOMMUNICATIONS |
9 |
| 2.6 | UTILITY CONNECTIONS |
9 |
| 2.7 | FUTURE PROSPECTS |
9 |
| 3. |
ECONOMIC ENVIRONMENT |
11 |
| 3.1 | GDP |
11 |
| 3.2 | INFLATION & INTEREST RATES |
12 |
| 3.3 | UNEMPLOYMENT |
13 |
| 3.4 | HOUSEHOLD CONSUMPTION |
14 |
| 3.5 | HOUSING & CONSTRUCTION |
15 |
| 3.6 | STERLING |
16 |
| 3.7 | POPULATION PROFILE |
17 |
| 3.8 | CONCLUSIONS |
18 |
| 4. |
UTILITIES SECTOR OVERVIEW |
19 |
| 4.1 | THE UTILITIES MARKET |
19 |
| 4.2 | THE UK WATER INDUSTRY |
19 |
| 4.2.1 | Background and Structure |
19 |
| 4.2.2 | Size of the Industry |
22 |
| 4.2.3 | Factors Affecting The Industry |
24 |
| 4.3 | THE UK ELECTRICITY INDUSTRY |
28 |
| 4.3.1 | Structure and Size of the Industry |
28 |
| 4.3.2 | Factors Affecting the Industry |
30 |
| 4.4 | THE UK GAS INDUSTRY |
32 |
| 4.4.1 | Structure and Size of the Industry |
32 |
| 4.4.2 | Market Share |
34 |
| 4.5 | THE UK TELECOMMUNICATIONS INDUSTRY |
35 |
| 4.5.1 | Background and Structure |
35 |
| 4.5.2 | Industry Revenue |
36 |
| 4.6 | UTILITY COMPANY PROFILES |
39 |
| 4.6.1 | Water Companies |
39 |
| 4.6.2 | Electricity and Gas Companies |
45 |
| 5. |
UTILITIES RENEWABLES MARKET |
50 |
| 5.1 | RENEWABLE SOURCES OF ENERGY |
50 |
| 5.2 | TYPES OF RENEWABLE ENERGY |
51 |
| 5.2.1 | Biofuels |
51 |
| 5.2.2 | Hydroelectric Power |
52 |
| 5.2.3 | Wind Power |
53 |
| 6. |
CONTRACTORS OUTPUT IN THE UTILITY SECTOR |
57 |
| 6.1 | TOTAL CONSTRUCTION OUTPUT |
57 |
| 6.1.1 | Growth in Output |
57 |
| 6.1.2 | Construction Output by Sector |
58 |
| 6.1.3 | Construction Output in 2007 and Beyond |
59 |
| 6.2 | INFRASTRUCTURE AND UTILITIES OUTPUT |
60 |
| 6.3 | WATER INDUSTRY CAPITAL EXPENDITURE |
62 |
| 6.3.1 | Overview |
62 |
| 6.3.2 | Periodic Reviews in the Water Industry |
64 |
| 6.3.3 | Factors Affecting The Industry |
66 |
| 6.4 | ELECTRICITY & GAS INDUSTRIES – CAPITAL INVESTMENT |
67 |
| 6.5 | TELECOMMUNICATIONS INDUSTRY – CAPITAL INVESTMENT |
68 |
| 6.6 | FUTURE PROSPECTS |
69 |
| 7. |
THE CONNECTIONS MARKET |
73 |
| 7.1 | MARKET OVERVIEW |
73 |
| 7.2 | MARKET VALUE |
73 |
| 7.3 | COMPETITION IN THE CONNECTIONS MARKET |
76 |
| 7.4 | PROCUREMENT OF UTILITIES WORK. |
79 |
| 7.5 | MAJOR CONNECTIONS COMPANIES |
81 |
| 7.5.1 | Blyth Construction Utilities Ltd |
81 |
| 7.5.2 | British Gas New Housing Connections |
82 |
| 7.5.3 | Connect Utilities |
82 |
| 7.5.4 | Core Utility Solutions |
82 |
| 7.5.5 | E.on UK Energy Services |
83 |
| 7.5.6 | Energetics |
83 |
| 7.5.7 | Fulcrum Infrastructure Services Ltd |
83 |
| 7.5.8 | Integrated Utility Services (IUS) |
84 |
| 7.5.9 | Intoto Utilities |
84 |
| 7.5.10 | Morrison Utility Services |
84 |
| 7.5.11 | PN Daly |
85 |
| 7.5.12 | Subterra |
85 |
| 7.5.13 | Thames Water Developer Services |
86 |
| 7.5.14 | United Utilities Networks |
86 |
| 7.5.15 | Wales and West Utilities (WWU) |
86 |
| 7.5.16 | Others |
87 |
| 8. |
CONTRACTOR PROFILES. |
89 |
| 8.1 | STRUCTURE OF THE UTILITY CONTRACTING INDUSTRY |
89 |
| 8.2 | MAJOR CONTRACTORS INVOLVED IN THE UTILITIES SECTOR |
93 |
| 8.2.1 | AMEC PLC |
93 |
| 8.2.2 | Alfred McAlpine Plc |
93 |
| 8.2.3 | Balfour Beatty |
95 |
| 8.2.4 | Clancy Docwra Ltd |
96 |
| 8.2.5 | Costain |
96 |
| 8.2.6 | Galliford Try |
97 |
| 8.2.7 | MJ Gleeson |
98 |
| 8.2.8 | Interserve Project Services |
99 |
| 8.2.9 | Kier Construction |
99 |
| 8.2.10 | McNicholas Construction |
100 |
| 8.2.11 | Morgan Est |
101 |
| 8.2.12 | Others |
101 |
|
TABLES AND CHARTS |
| CHART 1 | INTEREST RATES AND INFLATION (CPI) FROM 1990-2012 |
13 |
| CHART 2 | PDI & SAVINGS RATIO AT CURRENT PRICES 1990-2012 |
14 |
| TABLE 3 | EXCHANGE RATE FLUCTUATIONS 2000-2007 - STERLING TO THE DOLLAR, AND THE EURO, SPOT RATES |
16 |
| CHART 4 | AGE DISTRIBUTION OF THE RESIDENT UK POPULATION 2001 (‘000) |
17 |
| TABLE 5 | WATER AND SEWERAGE COMPANIES IN THE UK BY TURNOVER 2001/02 AND 2005/06 - (£M) |
20 |
| TABLE 6 | WATER INDUSTRY TURNOVER & OPERATING PROFIT 2001/02-2005/06 (£M) |
23 |
| TABLE 7 | AVERAGE PRICE LIMITS SINCE WATER PRIVATISATION |
25 |
| TABLE 8 | ELECTRICITY SUPPLIERS, BRANDS AND ULTIMATE PARENT |
30 |
| TABLE 9 | NATIONAL MARKET SHARES OF DOMESTIC ELECTRICITY SUPPLY – 2002, 2004 AND 2006 |
31 |
| CHART 10 | DOMESTIC ELECTRICITY MARKET SHARES – MARCH 2006 |
31 |
| CHART 11 | DOMESTIC GAS MARKET SHARES – MARCH 2006 |
34 |
| CHART 12 | UK TELECOMS INDUSTRY REVENUE £BN |
36 |
| CHART 13 | UK TELECOMS INDUSTRY RETAIL REVENUE |
37 |
| CHART 14 | % SHARE OF TOTAL UK TELECOMS CONNECTIONS - 2005 |
38 |
| TABLE 15 | WIND FARMS COMMISSIONED 2004-2006 |
54 |
| TABLE 16 | UK OFFSHORE WIND FARMS ROUND 2 |
55 |
| CHART 17 | VALUE OF CONSTRUCTION OUTPUT NEW WORK 2000-2012 (£ BILLION) |
57 |
| CHART 18 | VALUE OF CONSTRUCTION OUTPUT NEW WORK BY SECTOR - % BY VALUE 2006 |
58 |
| CHART 19 | INFRASTRUCTURE OUTPUT |
60 |
| CHART 20 | INFRASTRUCTURE OUTPUT - % SHARE BY SECTOR - 2006 |
61 |
| TABLE 21 | INFRASTRUCTURE OUTPUT BY TYPE OF UTILITY 2002-H1 2007 - VALUE (£M) |
62 |
| TABLE 22 | GROSS CAPITAL INVESTMENT BY SERVICE – INDUSTRY £M 2002/3 TO 2006/7 |
63 |
| TABLE 23 | GROSS CAPITAL INVESTMENT BY WATER AND SEWERAGE COMPANIES £M 2006/7 |
64 |
| TABLE 24 | AVERAGE ANNUAL CAPITAL INVESTMENT (WATER & SEWERAGE) – 1990-95 TO 2005-10 (£BN) AT 2002-03 PRICES |
65 |
| TABLE 25 |
INVESTMENT & CAPITAL MAINTENANCE SUMMARY (WATER & SEWERAGE) 2006/07 TO 2009-10 (£M) 2003/4 PRICES |
65 |
| TABLE 26 | POST AND TELECOMMUNICATIONS INDUSTRY – TOTAL NET CAPITAL EXPENDITURE £M 2000-2006 |
69 |
| TABLE 27 | UTILITIES CONSTRUCTION OUTPUT BY VALUE 2002-2012 (£M AT CURRENT PRICES) |
71 |
| TABLE 28 | VALUE OF UTILITY CONNECTIONS INDUSTRY – 2004-2012 |
74 |
| TABLE 29 | VALUE AND NUMBER OF GAS CONNECTIONS 2003/4-2006/7 |
75 |
| TABLE 30 | VALUE AND NUMBER OF ELECTRICITY CONNECTIONS 2003/4-2006/7 |
76 |
| TABLE 31 | EU THRESHOLDS FOR ALL SECTORS TO 31 DECEMBER 2007 |
80 |
| TABLE 32 | CIVIL ENGINEERING CONTRACTORS - BY NUMBER OF EMPLOYEES 2002 AND 2005 |
90 |
| TABLE 33 | TOP CONSTRUCTION COMPANIES INVOLVED WITH UTILITIES BY TURNOVER |
92 |
