The alliance delivery method be retained and developed further as one of the mature procurement strategies for the delivery of government's infrastructure projects that are complex with significant risks that cannot be dimensioned in the business case or soon thereafter.
The State Treasuries collaborate to develop a comprehensive Procurement Selection Guide and training materials for use by government agencies on when to use the alliance delivery method.
The State Treasuries (and relevant line agencies) collaborate to develop common policy principles, guidelines and training for the selection of the NOPs and implementation of the alliance delivery method that reflect the outcomes of this Study.
Governments take a greater role in ensuring that alliance best practice is captured and disseminated; and also take a greater oversight role on individual alliance projects to ensure that VfM is optimised at WOG level.
An adequate business case, which includes the case for the procurement decision, to be prepared and approved as required by relevant state government guidelines before the alliance selection process commences. (This will recognise the development of fast track processes for times of genuine urgency such that the alliance is provided as a minimum with appropriate delivery objectives and a robust cost plan.)
Furthermore, business cases that recommend an alliance delivery method must:
■ considerably increase the accuracy of their capital cost estimates and scope statement
■ address how the state will manage possible asymmetry of commercial capability and capacity in engaging with alliance NOPs throughout the project lifecycle.
A competitive process should be used as the default approach to selecting NOPs having price (including outturn costs/TOCs) as a key selection criterion. This will be consistent with established government procurement policies that support a competitive process with one of the key selection criteria being price unless compelling reasons (which are outlined in the same government procurement policies) for non-price competition can be made and approved.