Plenary Group and Serco land driver examination services contract

Contract is estimated to generate $800 million in shared revenues

July 2, 2013
by PurchasingB2B Staff

TORONTO—Plenary Group and Serco Inc., working as a consortium, have been awarded a 10-year contract to provide driver examination services for the Ontario Ministry of Transportation (MTO). The contract will generate an estimated $800 million in shared revenues over its term.

The successful bidders will provide application processing and the delivery of vision, knowledge and road testing across all license categories. Serco will oversee approximately 575,000 knowledge tests and 675,000 road tests annually at 95 testing centres across Ontario. Under the new contract, Serco said its role will be expanded to include upgrading and enhancing information technology solutions to improve processing, scheduling and the delivery of services to drivers.

“Serco proudly embraces the mission of the Ministry of Transportation to deliver high quality testing services throughout the province,” said Ed Casey, Serco’s Chairman and Chief Executive Officer. “Being awarded this re-compete contract will allow Serco to further our support for our client and continue to enhance road user safety throughout Ontario.”

Plenary Group is the developer, equity investor and debt arranger for the project and has made financial commitments to guarantee the consortium’s service delivery performance for the concession term.