Contract

Provision of Air Services between Orkney Mainland (Kirkwall) and the Islands of Papa Westray, North Ronaldsay, Westray, Sanday, Stronsay and Eday

  • Orkney Islands Council

F03: Contract award notice

Notice identifier: 2021/S 000-003419

Procurement identifier (OCID): ocds-h6vhtk-0294c3

Published 22 February 2021, 9:08am



Section one: Contracting authority

one.1) Name and addresses

Orkney Islands Council

Council Offices, School Place

Kirkwall

KW15 1NY

Contact

Rosemary Cosell

Email

rosemary.colsell@orkney.gov.uk

Country

United Kingdom

NUTS code

UKM65 - Orkney Islands

Internet address(es)

Main address

http://www.orkney.gov.uk

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 Air Services between Orkney Mainland (Kirkwall) and the Islands of Papa Westray, North Ronaldsay, Westray, Sanday, Stronsay and Eday

Reference number

OIC/PROC/1083

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 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: £5,300,000

two.2) Description

two.2.2) Additional CPV code(s)

  • 50211200 - Aircraft repair services
  • 60400000 - Air transport services
  • 60410000 - Scheduled air transport services
  • 60420000 - Non-scheduled air transport services
  • 63730000 - Support services for air transport

two.2.3) Place of performance

NUTS codes
  • UKM65 - Orkney Islands

two.2.4) Description of the procurement

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. 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: Service Delivery / Weighting: 35

Quality criterion - Name: Presentation / Weighting: 5

Price - Weighting: 60

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

two.2.14) Additional information

The contract value refers to the value of the 4 year contract duration.


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: 2020/S 162-395337


Section five. Award of contract

Contract No

OIC/PROC/1083

A contract/lot is awarded: Yes

five.2) Award of contract

five.2.1) Date of conclusion of the contract

5 January 2021

five.2.2) Information about tenders

Number of tenders received: 2

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: 0

Number of tenders received by electronic means: 2

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

Email

bethmackay@loganair.co.uk

Telephone

+44 1418427433

Country

United Kingdom

NUTS code
  • UKM83 - Inverclyde, East Renfrewshire and Renfrewshire
Internet address

www.loganair.co.uk

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: £5,300,000

Total value of the contract/lot: £4,880,363


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 Question 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 2015 may bring proceedings in the Sheriff Court or Court of Session.

Tenderers should complete the ESPD (Scotland) document contained within the ESPD Module attached to this notice.

(SC Ref:644984)

six.4) Procedures for review

six.4.1) Review body

Kirkwall Sheriff Court

Watergate

Kirkwall

KW15 1PD

Telephone

+44 1856872110

Country

United Kingdom