Section one: Contracting authority
one.1) Name and addresses
Orkney Islands Council
Council Offices, School Place
Kirkwall
KW15 1NY
Contact
Rosemary Colsell
rosemary.colsell@orkney.gov.uk
Telephone
+44 01856873535
Fax
+44 01856876158
Country
United Kingdom
NUTS code
UKM65 - Orkney Islands
Internet address(es)
Main address
Buyer's address
https://www.publiccontractsscotland.gov.uk/search/Search_AuthProfile.aspx?ID=AA00369
one.4) Type of the contracting authority
Regional or local authority
one.5) Main activity
General public services
Section two: Object
two.1) Scope of the procurement
two.1.1) Title
Provision of Inter-Island Air Services for Orkney Outer North Isles
Reference number
OIC/PROC/1915
two.1.2) Main CPV code
- 60400000 - Air transport services
two.1.3) Type of contract
Services
two.1.4) Short description
Orkney Islands Council (the Authority) has a requirement for the provision of an Inter Island Air Service operating to the six Outer North Isles of Papa Westray, North Ronaldsay, Westray, Sanday, Stronsay and Eday under a Public Service Obligation (PSO), which establishes the minimum frequencies and sets the maximum fare levels provided to each of the isles.
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: £6,890,244
two.2) Description
two.2.2) Additional CPV code(s)
- 60410000 - Scheduled air transport services
- 50211200 - Aircraft repair services
- 60400000 - Air transport services
- 63730000 - Support services for air transport
- 60420000 - Non-scheduled air transport services
two.2.3) Place of performance
NUTS codes
- UKM65 - Orkney Islands
Main site or place of performance
Orkney Islands
two.2.4) Description of the procurement
Orkney Islands Council (the Authority) has a requirement for the provision of an Inter Island Air Service operating to the six Outer North Isles under a Public Service Obligation (PSO), which establishes the minimum frequencies and sets the maximum fare levels provided to each of the isles.
The maintenance of scheduled air services between Orkney Mainland (Kirkwall) and the islands of Papa Westray, North Ronaldsay, Westray, Sanday, Stronsay, and Eday are essential to counter the islands peripherality, fragile economic base and depopulation of the islands. There is no rapid alternative means of transport to Kirkwall on the Orkney Mainland, and for onward connections with the Scottish Mainland. The designated services, which are currently operated by the air carrier Loganair Ltd, are essential for the maintenance of the economic and social fabric of the islands. They are used for access to essential services (e.g. educational, financial, commercial, professional, advisory and health) which cannot be provided locally; and are also used for tourism. Should these air services be withdrawn the upkeep of the airfields could be placed in jeopardy and this in turn would put at risk the vitally important air ambulance service (currently operated by helicopter) which provides the essential emergency medical link. For North Ronaldsay and Papay Westray these services are defined as lifeline services in terms of the Scottish Government criteria. In recognition of the importance of these services, subsidy is made available by Orkney Islands Council (“the Council”) to subsidise the Designated Services.
two.2.5) Award criteria
Quality criterion - Name: Quality / Weighting: 50
Price - Weighting: 50
two.2.11) Information about options
Options: Yes
Description of options
Tenderers are required to provide information and costs for 3 options as follows:
Option 1 - current service operation;
Option 2 - enhanced service (additional aircraft expected);and
Option 3 - enhanced service (additional aircraft and crew expected.
two.2.13) Information about European Union Funds
The procurement is related to a project and/or programme financed by European Union funds: No
two.2.14) Additional information
The contract value as noted at 11.2.6 is in relation to Option 1 the current services and for the contract duration of 48 months. An estimated contract value of 8,890,243 GBP is estimated to include the enhanced services. Take up of Option 2 and 3 will be subject to a Council decision following subject to Committee approval.
Section four. Procedure
four.1) Description
four.1.1) Type of procedure
Open procedure
four.1.8) Information about the Government Procurement Agreement (GPA)
The procurement is covered by the Government Procurement Agreement: Yes
four.2) Administrative information
four.2.1) Previous publication concerning this procedure
Notice number: 2024/S 000-029147
Section five. Award of contract
Contract No
OIC/PROC/1915
A contract/lot is awarded: Yes
five.2) Award of contract
five.2.1) Date of conclusion of the contract
20 December 2024
five.2.2) Information about tenders
Number of tenders received: 1
Number of tenders received from SMEs: 0
Number of tenders received from tenderers from other EU Member States: 0
Number of tenders received from tenderers from non-EU Member States: 1
Number of tenders received by electronic means: 1
The contract has been awarded to a group of economic operators: No
five.2.3) Name and address of the contractor
Loganair Limited
Lightyear Building, 9 Marchburn Drive, Glasgow Airport
Paisley
PA3 2SJ
Telephone
+44 1418427433
Country
United Kingdom
NUTS code
- UKM83 - Inverclyde, East Renfrewshire and Renfrewshire
Internet address
The contractor is an SME
No
five.2.4) Information on value of contract/lot (excluding VAT)
Total value of the contract/lot: £6,821,240
Section six. Complementary information
six.3) Additional information
Orkney Islands Council reserves the right to cancel the procurement at any stage and not award a Contract. The expenditure, work or effort undertaken by bidders prior to the award of any Contract is accordingly a matter solely for the commercial judgement of bidders. Late tenders will not be considered by the Council and all questions are to be submitted via the questions and answers section of this contract advertisement on PCS. An economic operator that suffers, or risks suffering, loss or damage attributable to a breach of duty under the Public Contracts (Scotland) Regulations may bring proceedings in the Sheriff Court or Court of Session. The award of this Contract is confirmed on the basis of Option 1 in the first instance whilst funding discussions are ongoing with NHS Orkney and Scottish Government in respect of an enhanced level of service through the introduction of a third aircraft. If successful, an enhanced option with a third aircraft is to be taken forward, depending on the level of funding awarded.The award of this Contract is confirmed on the basis of Option 1 in the first instance whilst funding discussions are ongoing with NHS Orkney and Scottish Government in respect of an enhanced level of service through the introduction of a third aircraft. If successful, an enhanced option with a third aircraft is to be taken forward, depending on the level of funding awarded. The award of this Contract is confirmed on the basis of Option 1 in the first instance whilst funding discussions are ongoing with NHS Orkney and Scottish Government in respect of an enhanced level of service through the introduction of a third aircraft. If successful, an enhanced option with a third aircraft is to be taken forward, depending on the level of funding awarded.
(SC Ref:788035)
six.4) Procedures for review
six.4.1) Review body
Kirkwall Sherriff Court
Watergate
Kirkwall
KW15 1DP
Telephone
+44 1856872110
Country
United Kingdom
Internet address
six.4.2) Body responsible for mediation procedures
Kirkwall Sherriff Court
Watergate
Kirkwall
KW15 1DP
Telephone
+44 1856872110
Country
United Kingdom
Internet address
six.4.4) Service from which information about the review procedure may be obtained
Kirkwall Sherriff Court
Watergate
Kirkwall
KW15 1DP
Telephone
+44 1856872110
Country
United Kingdom