Strategic Indigenous Housing and Infrastructure Program (SIHIP)
Northern Territory Client:
Commonwealth of Australia & Northern Territory Government Contract Value:
$657M Completion Date:
The Strategic Indigenous Housing and Infrastructure Program (SIHIP) is a $672 million housing program that will deliver 750 new houses, 230 rebuilds of existing houses and 2,500 refurbishments across 73 remote Indigenous communities and a number of community living areas (town camps) in the Northern Territory by 2013.
The program directors for the NT and Federal Governments indicated that they would select three or four alliance groups to undertake the program which was to be delivered over five years, finishing in 2013. Sitzler initially joined with Laing O'Rourke and subsequently included McMahon Services Australia to form an alliance to bid the project, having very successfully undertaken joint venture projects together over the previous ten years. The companies formed a Transaction Entity named Territory Alliance and successfully bid for the project being selected as one of three Alliances and being awarded the first package values at $54M in October 2008.
In recognition of how effectively Territory Alliance put together its first package it was awarded a further two packages in March 2009 valued at $112M and was further awarded the difficult $115M Alice Springs Town Camps package by the Program Managers in September 2009. A little later in 2009 the Program Managers for SIHIP requested Territory Alliance undertake a significant portion of infrastructure and head works in the communities that it was working, the value of this work is currently in the order of $168M and is being delivered concurrently with the main package works in each of the communities.
In March of this year the Federal and Territory Governments made a decision to reduce the number of alliances delivering SIHIP from three to two. Territory Alliance was asked by the Program Managers to deliver the two packages that had been previously awarded to the third alliance, resulting in TA taking on a further $137M of work in those two communities, a further endorsement of the alliance partners' abilities to deliver against government's expectations.