Contract

The provision of freight services for the supply of personal protective equipment medical equipment

  • Department of Health and Social Care

F03: Contract award notice

Notice identifier: 2021/S 000-000043

Procurement identifier (OCID): ocds-h6vhtk-028771

Published 4 January 2021, 3:08pm



Section one: Contracting authority

one.1) Name and addresses

Department of Health and Social Care

39 Victoria Street

London

SW1H 0EU

Email

FreightContractNotices@dhsc.gov.uk

Country

United Kingdom

NUTS code

UKI32 - Westminster

Internet address(es)

Main address

https://www.gov.uk/government/organisations/department-of-health-and-social-care

Buyer's address

https://www.gov.uk/government/organisations/department-of-health-and-social-care

one.4) Type of the contracting authority

Ministry or any other national or federal authority

one.5) Main activity

Health


Section two: Object

two.1) Scope of the procurement

two.1.1) Title

The provision of freight services for the supply of personal protective equipment medical equipment

Reference number

SJBKKDSA14

two.1.2) Main CPV code

  • 63521000 - Freight transport agency services

two.1.3) Type of contract

Services

two.1.4) Short description

The provision of freight services for the supply of personal protective equipment and medical equipment

two.1.6) Information about lots

This contract is divided into lots: No

two.1.7) Total value of the procurement (excluding VAT)

Value excluding VAT: 885,000 USD

two.2) Description

two.2.3) Place of performance

NUTS codes
  • UK - UNITED KINGDOM

two.2.4) Description of the procurement

Direct Award under Reg 32 of the Public Contracts Regulation 2015 for COVID-19 response

two.2.5) Award criteria

Price

two.2.11) Information about options

Options: No

two.2.13) Information about European Union Funds

The procurement is related to a project and/or programme financed by European Union funds: No


Section four. Procedure

four.1) Description

four.1.1) Type of procedure

Award of a contract without prior publication of a call for competition in the cases listed below

  • Extreme urgency brought about by events unforeseeable for the contracting authority

Explanation:

1. The consequences of not responding rapidly to the pandemic to meet the exceptional increases in demand for PPE to protect care providers and key workers, and medical products to treat patients, would be a significant excess illness and deaths in the UK.2. Huge increases in global demand, export restrictions from various nation states all contributed to a shortage of product availability. Where product could be sourced it was imperative that this product was moved at the earliest opportunity to prevent it being sold to higher bidders.3. The urgent need for PPE and medical products in the UK created a requirement for the fastest mode of transport. Air freight transit times were in the region of 4-5 days whereas sea freight was between 56-84 days.4. The disruption to freight and exports from China following their lockdown and export restrictions led to the severely restricted availability of freight capacity.5. The market for air freight was particularly disrupted by the cancellation of many scheduled passenger airline flights (removing significant air freight capacity from the market). This created a situation where there was severe lack of physical air freight capacity and dramatic cost inflation in this market.6. No pre existing government commercial agreements were identified which covered the nature and scale of the services required.7. This contract was awarded to Air Charter Service to meet a specific urgent need to transport PPE to the UK, utilising flights from BKK – DSA during June and July 2020.The Department is content the tests permitting use of the Negotiated procedure without prior publication (Regulation 32(2)(c)) are met:1) Air freight charters was identified as strictly necessary to meet anticipated demand.2) It is responding to COVID-19 immediately because of public health risks presenting a genuine emergency.3) The events that led to the need for extreme urgency were unforeseeable: The Commission itself confirmed: “The current coronavirus crisis presents an extreme and unforeseeable urgency – precisely for such a situation our European rules enable public buyers to buy within a matter of days, even hours, if necessary.""4) There was no time to run an accelerated procurement under the open, restricted or competitive procedures with negotiation that would secure services within the required timescales.5) The situation is not attributable to the contracting authority: It has not done anything to cause or contribute to the need for extreme urgency

four.1.8) Information about the Government Procurement Agreement (GPA)

The procurement is covered by the Government Procurement Agreement: Yes


Section five. Award of contract

A contract/lot is awarded: Yes

five.2) Award of contract

five.2.1) Date of conclusion of the contract

11 June 2020

five.2.2) Information about tenders

Number of tenders received: 1

The contract has been awarded to a group of economic operators: No

five.2.3) Name and address of the contractor

Air Charter Service Ltd

Millbank House, 171-185 Ewell Road

Surbiton

KT6 6AP

Country

United Kingdom

NUTS code
  • UK - UNITED KINGDOM
National registration number

Air Charter Services Ltd

The contractor is an SME

No

five.2.4) Information on value of contract/lot (excluding VAT)

Initial estimated total value of the contract/lot: 885,000 USD

Total value of the contract/lot: 731,404.96 USD

five.2.5) Information about subcontracting

The contract is likely to be subcontracted

Short description of the part of the contract to be subcontracted

ACS is a brokerage company-this contract is therefore subcontracted to another company-details withheld because to do so would breach specific confidentiality agreements and would aggravate relationships with their service partners


Section six. Complementary information

six.4) Procedures for review

six.4.1) Review body

High Court

39 Victoria Street

London

SW1H 0EU

Country

United Kingdom

Internet address

https://www.gov.uk/government/organisations/department-of-health-and-social-care