US engineering, procurement and construction (EPC) contractors have until 31 October to submit bids for the $1,300 million contract to carry out infrastructure reconstruction work.

According to the RFP some $1,040 million, 80 per cent of the spend, will be for the restoration and upgrade of electricity, potable water and sanitation infrastructure. Eighteen per cent is to be spent on transport infrastructure, with the remaining 2 per cent for technical support, including design, engineering, construction advisory and procurement services.

A secondary objective of the contract is to increase opportunities for local businesses. 'To the maximum extent practicable the contractor shall use Iraqi firms to carry out its work', the RFP says.

The contract will run in parallel with the $680 million reconstruction contract awarded to Bechtel of the US in April, which is due to be completed in December 2004 (MEED 25:4:03).