Last October water and sewerage companies in England and Wales became responsible for private sewers that were previously the responsibility of property owners.
MD Infrastructure Support Services - which specialises in the inspection, maintenance and repair of underground pipes and drains - has subsequently won a number of maintenance contracts from the utility companies and seen a 75% increase in its workload.
It is one of a few companies that use hi-tech remote controlled surveying and robotic equipment that can inspect, clean and repair underground pipes without the need to excavate roads or pavements.
It is now expanding and investing £372,000 in state-of-the-art remote controlled robotic equipment to secure and retain a number of multi-million pound contracts.
The investment in equipment is supported by £153,000 from the Welsh Government Economic Growth Fund and will create six new jobs – the company currently employs thirty people.
Business Minister Edwina Hart said the fund was set up to provide fast track access to finance to enable companies in Wales expand and take advantage of new market opportunities.
“It’s really good news to hear how the Fund is supporting business growth and enabling companies like MD Infrastructure Support Services to invest and win new contracts while also creating new jobs in the area.”
Director Julian Powell said the company had previously leased or hired equipment and this investment will help reduce costs and increase the long term sustainability of the business.
“We are delighted to get support from the fund for new equipment . This investment is vital for the future growth of the company and will help us win and retain a number of long term multi-million pound contracts. These include a five year contract with London Underground worth £1m a year.
“The change in legislation opened up a raft of new opportunities for us as the maintenance work is outsourced. The fact we use trenchless technology with no need to excavate roads means we can offer an extremely fast, efficient and cost effective solution.
“Although we only set up the business in 2009 we have secured contracts with blue chip clients including Welsh Water and Tube Lines Ltd and will be in pole position to take advantage of new contracts as they arise.”