Powerco recently shortlisted the contractors expected to tender for nine major projects and up to 11 companies, including a number of Tasmanian firms, are expected to participate in the closed tender process which closes on October 10.

The successful firms should be announced by the end of October, with construction work starting soon afterwards, says Powerco corporate development manager Jeff Kendrew.

He said the development agreement with the Tasmanian State government provided for gas connections within 18 months and Powerco was keen to see construction work underway as soon as possible.

"The work being put out to tender includes the supply, installation and commissioning of approximately 40 kilometres of steel pipeline in Hobart, Launceston and Devonport, 100 kilometres of polyethylene pipeline in Hobart, Launceston, Devonport, Burnie, Wynyard and Bell Bay and crossings of the Derwent, Mersey, Tamar and Esk Rivers."

"We are also seeking tenders for off-take, pressure reduction and customer metering stations and pipeline testing services to complete the backbone network."

Kendrew said Powerco was keen to provide opportunities for Tasmanian suppliers, contractors and sub-contractors to work on the project so that the state can gain maximum value from this important infrastructure development. As well as the Tasmanian contractors included on the shortlist, local subcontractors would be involved in the construction.

"The letting of the contracts for the construction of the main distribution infrastructure will be a major milestone and will bring gas much closer for Tasmanian large industrial and commercial customers."

Early this year the Tasmanian government awarded Powerco a $A34 million contract to build, own and operate a gas distribution network on the island state and initially serve around 23 large industrial and commercial users. A second-stage development of the network, to service up to 100,000 residential users, is also planned.