Tram bosses declare war on contractors PDF Print E-mail
Monday, 03 August 2009 08:35

tie is "almost certain" to commence formal dispute proceedings over contract disagreements with Bilfinger Berger following failed mediation talks, according to a report in the Sunday Herald on 1 August:

Tram bosses declare war on contractors

The contract dispute which has been ongoing since February has yet to be resolved - mediation has been unsuccessful, and a formal adjudication is the ultimate solution.

The dispute could see the cost of the project rise by £100m above the original budget of £545m - additional costs which would have to be borne by the City of Edinburgh Council, as the funder of last resort. The Scottish Government has previously stated that it will not contribute any further monies to the project.

Richard Jeffrey, tie's Chief Executive has refused to be drawn on whether the project will exceed the £545m budget, but expects more clarity, 'by Christmas'.

Last Updated ( Monday, 03 August 2009 09:25 )