Procurement News – Europe

Still no clarity on the winner of the multi-million train procurement project in Latvia

April 23 in Daily News by eisc No Comments

See on Scoop.itPublic Procurement – Europe


End of this week marks one month since letters with offers to Pasažieru vilciens’ multi-million train procurement project were opened. However, there is still no exact information available on the winner.

 

The South Korean Hyundai offered the best price, the Swiss Stadler offered the fastest supply period. The Polish Pojazdy Szynowe PESA Bydgoszcz SA is not considered a strong candidate. On top of that, there is a strong political lobby behind this company, Pietiek portal reports.

According to the portal’s information, the most beneficial price for the rent of 15 trains – approximately EUR 350 million – was offered by Hyundai. Stadler’s offer was much higher – around EUR 500 million.

Sources informed of the progress of the project say Pasažieru vilciens has requested the South Korean manufacturer Hyundai to provide technical clarifications, because the trains offered by this company do not comply with Latvia’s conditions. For example, the floor height of these trains does not comply with the height of passenger platforms in Latvia, as mentioned by an anonymous TM official.

Supply terms give additional points in the procurement project. It is one of the priorities set by PV. Stadler offered to supply trains the fastest – within 18 months. Hyundai’s offer was six months longer. According to this TM official, technical specifications of Hyundai’s trains may further impact supply terms. Unlike Stadler’s trains, which are already used in Estonia, Hyundai will have to calibrate and add technical solutions to their trains in order to meet conditions of Latvia’s conditions.


See on bnn-news.com

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Free workshop no clean fleet procurement :: Stockholm

April 23 in Daily News by eisc No Comments

See on Scoop.itPublic Procurement – Europe

The Clean Fleets project aims to assist public authorities and fleet operators with the implementation of the European Union’s Clean Vehicle Directive (CVD), and the procurement or leasing of clean and energy-efficient vehicles.

To demonstrate how procurement of clean and energy-efficient vehicles works in practice, to exchange and learn from each other’s experiences the team have organised a series of four European workshops.

This Stockholm workshop, hosted by Clean Fleet’s project partner the City of Stockholm  will examine:

Different European municipal strategies for expanding electric vehicle charging infrastructure and and EV use;Experiences with the procurement of electric vehicles and charging infrastructure;Exploring the impact of different national frameworks and levels of engagement with governments and the energy sector. 21-22 May 2014 in Stockholm, Sweden 

The workshop is open to public authorities and fleet operators in Europe, and other relevant stakeholders. It is free of charge.

To register for this event, click here.


See on www.clean-fleets.eu

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Millions saved through Kent Council’s new ‘sell not tell’ procurement ethos | Supply Management

April 22 in Daily News by eisc No Comments

See on Scoop.itPublic Procurement – Europe

Estonian Tax and Customs Board (TCB) estimates that currently, the state looses up to 17 mln euros a year at the construction market. State procurements form around a half of the total construction market. TCB deputy director general Egon Veermäe says that the state could regain nearly a half of that by toughening the rules.

 

Currently the main criterion in choosing the procurement winner is low price. TCB together with Estonian State Real Estate Company (SREC) and Union of Construction Companies has now prepared a set of additional requirements that aim to reduce the amount of excessively low bids submitted at the procurements and keep tax fraudsters away from the procurements.

 

In the future, the subcontractors have the obligation to submit a report showing the average wages of employees, average number of employees and tax law violations, in order to get the job; the TCB will issue the report. “The subcontractors who pay considerably lower than construction sphere average wages, who don’t have a sufficient number of employees to do the work or who have valid tax law violations, will not be included in the work,” said SREC board member Elari Udam. Subcontractors who during the work commit tax law violations or don’t fulfill the conditions set by the client are fined or the contract with them can be severed.

 

“The bids should not become more expensive. I think that prices will become truer, not higher. Competition should become healthier, proper bids should emerge and the state should get a better result for its money,” he said.

 

Udam estimated that many honest bidders currently don’t participate at state procurements at all since there are too many bidders who distort the market but that should change now.

 

The new requirement will first be implemented on three test projects, Kaagvere Reformatory School in Tartumaa, Häädemeeste rescue depot in Pärnumaa and National Archives construction objects.


Toni Saraiva – EISC Ltd – Enterprise Europe – WinningTenders.eu‘s insight:


See on www.supplymanagement.com

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Estonia toughens state procurement requirements

April 22 in Daily News by eisc No Comments

See on Scoop.itPublic Procurement – Europe

Estonian Tax and Customs Board (TCB) estimates that currently, the state looses up to 17 mln euros a year at the construction market. State procurements form around a half of the total construction market. TCB deputy director general Egon Veermäe says that the state could regain nearly a half of that by toughening the rules.

 

Currently the main criterion in choosing the procurement winner is low price. TCB together with Estonian State Real Estate Company (SREC) and Union of Construction Companies has now prepared a set of additional requirements that aim to reduce the amount of excessively low bids submitted at the procurements and keep tax fraudsters away from the procurements.

 

In the future, the subcontractors have the obligation to submit a report showing the average wages of employees, average number of employees and tax law violations, in order to get the job; the TCB will issue the report. “The subcontractors who pay considerably lower than construction sphere average wages, who don’t have a sufficient number of employees to do the work or who have valid tax law violations, will not be included in the work,” said SREC board member Elari Udam. Subcontractors who during the work commit tax law violations or don’t fulfill the conditions set by the client are fined or the contract with them can be severed.

 

“The bids should not become more expensive. I think that prices will become truer, not higher. Competition should become healthier, proper bids should emerge and the state should get a better result for its money,” he said.

 

Udam estimated that many honest bidders currently don’t participate at state procurements at all since there are too many bidders who distort the market but that should change now.

 

The new requirement will first be implemented on three test projects, Kaagvere Reformatory School in Tartumaa, Häädemeeste rescue depot in Pärnumaa and National Archives construction objects.


See on www.baltic-course.com

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How public procurement can boost the economy

April 22 in Daily News by eisc No Comments

See on Scoop.itPublic Procurement – Europe

Government in the UK – at central, regional and local level – enjoys enormous purchasing power. In 2011-12, the UK Central Government alone spent £45 billion buying goods and services for the public sector – equivalent to 3 per cent of our GDP.

Using its massive purchasing power, Government can drive economic growth, and advance its policy objectives – subject to the constraints imposed by EU procurement rules. Government can also screw up massively, wasting millions on failed procurement projects. Iain Duncan Smith’s Department of Work and Pensions has already had to write off £40 million on its flawed Universal Credit implementation. The last Labour Government did not have a flawless record on IT procurement either.

Underpinning public procurement is the conservatism – with a small ‘c’ – with which British Governments of all colours have interpreted EU public procurement rules when designing projects. By contrast, other Member States – notably Germany, France and Italy – have used those same rules much more creatively to promote their domestic policy agenda in government contracting, including local employment, training opportunities, and environmental sustainability. One reason for this is that – with notable exceptions – there is an insufficient understanding in central, regional and local government in the UK about how much freedom is actually allowed within the rules to pursue such wider policy objectives when awarding public contracts.

This issue came to the fore in 2011, when Bombardier missed out on the Thameslink rolling stock contract to a German company, with a threatened loss of 1,400 jobs at its Derby factory. The contract was ultimately signed in June of 2013. Could this result have been avoided if the procurement had been managed differently? We will never know. However, what is clear to public procurement experts is that there is much more scope than most people realise to promote economic and social objectives within the constraints of EU public procurement rules. This understanding must form the basis of Labour’s next manifesto.

Ed Miliband has shown that he gets it by committing the next Labour Government to say to any business: “If you want a major government contract, you must provide apprenticeships to the next generation.” That’s a good start. But it’s only a start, and there is much more that could be done to promote Labour values through public procurement.

To this end, a joint Task Force on Public Procurement has been established by the Labour Finance and Industry Group and the Society of Labour Lawyers. Its membership includes procurement experts from both groups. It aims to produce a joint report for consideration by the Labour Party in time to help shape the Party’s manifesto for the 2015 General Election. The Task Force is working closely with the Labour Front Bench to ensure that its report addresses issues of key concern to incoming members of the next Labour Government. The target date for publication is June this year.

The Report will fall into three parts:

An overview of the EU Public Procurement Directives with particular reference to the rules allowing public policy to be taken into account in tendering for and performing public contracts, and the key decisions of the European and domestic courts in interpreting those rules.Examples of best practice in the UK and abroad in which contracting authorities have successfully used the EU Public Procurement Directives to achieve desirable public policy objectives in their public procurement activities. The Welsh Labour Government in Cardiff and the London Borough of Camden will be cited as exemplars of best practice.A suggested statement of how the next Labour Government could use public procurement rules to deliver a progressive agenda of economic, social, environment and other policy objectives through public procurement of goods, services and construction.

The Task Force is being kept deliberately small in order to ensure rapid progress in drafting and finalising the report. However, it is consulting widely across the Party, among affiliated organisations (including trade unions) and with procurement experts.


See on www.clickonwales.org

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