Awarded contract

Expanding Pay As You Go on Rail in the South East

  • Department for Transport

F15: Voluntary ex ante transparency notice

Notice reference: 2021/S 000-030896

Published 10 December 2021, 10:45pm



Section one: Contracting authority/entity

one.1) Name and addresses

Department for Transport

Great Minster House, 33 Horseferry Road

London

SW1P 4DR

Email

RailPayasyougo@dft.gov.uk

Country

United Kingdom

NUTS code

UK - United Kingdom

Internet address(es)

Main address

www.dft.gov.uk

one.4) Type of the contracting authority

National or federal Agency/Office

one.5) Main activity

General public services


Section two: Object

two.1) Scope of the procurement

two.1.1) Title

Expanding Pay As You Go on Rail in the South East

Reference number

TROP0016

two.1.2) Main CPV code

  • 34980000 - Transport tickets

two.1.3) Type of contract

Supplies

two.1.4) Short description

The Rail Group's Passenger Services Directorate within the Department for Transport ("DfT") is planning the expansion of Pay As You Go (PAYG) rail ticketing in the South East of England, following publication of the Williams-Shapps Plan for Rail. Following a consultation held in 2019, the DfT settled on an expanded geography that will see circa 233 new stations converting to a new EMV based contactless payment system. The Government's timetable for implementation requires the majority of the extension stations to be delivered by May 2024, with extension of PAYG to all stations completed by the end of 2024. The contactless payment system will also need to seamlessly integrate with the existing Transport Trading Limited ("TTL")/TOC CPAY area in order to allow passengers to travel to/from London using a single tap in/tap out with their bank card. TTL is a wholly owned subsidiary of Transport for London ("TfL"). The project therefore requires a technical solution that can be deployed and integrated successfully within the existing operating environment to achieve the DfT's required objectives.

The DfT is publishing this transparency notice to inform suppliers of its intention to grant funding to TTL for the delivery of a new EMV-based contactless payment system across circa 233 stations in the South East of England. TTL will deliver the required PAYG solution, subcontracting the provision of on-station validation equipment to Cubic Transportation Systems Limited ("Cubic"), a provider of PAYG services to TfL under the existing Revenue Collection Contract.

Entry into the contract will take place following a period of at least 30 days from the date of publication of this notice.

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: £68,100,000

two.2) Description

two.2.2) Additional CPV code(s)

  • 60210000 - Public transport services by railways

two.2.3) Place of performance

NUTS codes
  • UK - United Kingdom

two.2.4) Description of the procurement

The Rail Group's Passenger Services Directorate within the Department for Transport ("DfT") is planning the expansion of Pay As You Go (PAYG) rail ticketing in the South East of England, following publication of the Williams-Shapps Plan for Rail. Following a consultation held in 2019, the DfT settled on an expanded geography that will see circa 233 new stations converting to a new EMV based contactless payment system. The Government's timetable for implementation requires the majority of the extension stations to be delivered by May 2024, with extension of PAYG to all stations completed by the end of 2024. The contactless payment system will also need to seamlessly integrate with the existing Transport Trading Limited ("TTL")/TOC CPAY area in order to allow passengers to travel to/from London using a single tap in/tap out with their bank card. TTL is a wholly owned subsidiary of Transport for London ("TfL"). The project therefore requires a technical solution that can be deployed and integrated successfully within the existing operating environment to achieve the DfT's required objectives.

The DfT is publishing this transparency notice to inform suppliers of its intention to grant funding to TTL for the delivery of a new EMV-based contactless payment system across circa 233 stations in the South East of England. TTL will deliver the required PAYG solution, subcontracting the provision of on-station validation equipment to Cubic Transportation Systems Limited ("Cubic"), a provider of PAYG services to TfL under the existing Revenue Collection Contract.

Entry into the contract will take place following a period of at least 30 days from the date of publication of this notice.

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

Negotiated without a prior call for competition

  • The products involved are manufactured purely for the purpose of research, experiment, study or development
  • The works, supplies or services can be provided only by a particular economic operator for the following reason:
    • absence of competition for technical reasons

Explanation:

The Department for Transport (DfT) held a market engagement day with potential suppliers of the required PAYG solution on 7 September 2021 and followed this up with a questionnaire to potential suppliers. The DfT reviewed responses to the questionnaire and has concluded that there is an absence of competition for technical reasons. The potential options for delivery of the required PAYG solution proposed by respondents to the questionnaire did not in the DfT's judgment constitute alternative, effective methods of delivering the required PAYG solution in a way that would meet the DfT's objectives (as outlined above, including timeframe for delivery, seamless integration, risk transfer and/or delivery itself).

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/concession

Contract No

TROP0016

Title

Expanding Pay As You Go on Rail in the South East

A contract/lot is awarded: Yes

five.2) Award of contract/concession

five.2.1) Date of conclusion of the contract

9 December 2021

five.2.2) Information about tenders

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

five.2.3) Name and address of the contractor/concessionaire

Transport Trading Limited (TTL)

5 Endeavour Square

London

E20 1JN

Country

United Kingdom

NUTS code
  • UK - United Kingdom
The contractor/concessionaire is an SME

No

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

Total value of the contract/lot/concession: £68,100,000

five.2.5) Information about subcontracting

The contract/lot/concession is likely to be subcontracted


Section six. Complementary information

six.4) Procedures for review

six.4.1) Review body

The High Court

London

WC2A 2LL

Country

United Kingdom