Defence Online

Type of document: Voluntary ex ante transparency notice
Country: United Kingdom
OJEU Ref: (2019/S 082-196166/EN)
Nature of contract: Service contract
Procedure: Award of a contract without prior publication
Regulation of procurement: EU
Type of bid required: Not applicable

Voluntary ex ante transparency notice
Services

Section I: Contracting authority
I.1) Name and addresses
Official name: Ministry of Defence, Ships, Other
Postal address: #3030, Cedar 0c, DE&S Abbey Wood
Town: Bristol
Postal code: BS34 8JH
Country: United Kingdom
Telephone: +44 3067982784
Email: DESShipsFMSP-Comrcl@mod.gov.uk
Internet address(es):
Main address: www.contracts.mo.d.uk

I.4) Type of the contracting authority
Ministry or any other national or federal authority, including their regional or local sub-divisions
I.5) Main activity
Defence

Section II: Object
II.1) Scope of the procurement
II.1.1) Title: FMSP Submarine Engineering at Devonport and Clyde

Reference number: FMSP/006
II.1.2) Main CPV code: 35512000
II.1.3) Type of contract Services
II.1.4) Short Description:
The supplier is required to provide submarine engineering services to meet the requirements of the Authority at Devonport and Clyde Naval Bases.
II.1.6) Information about lots
The contract is divided into lots: no
II.1.7) Total value of the procurement(excluding VAT)
Value:2114000000
Currency:GBP
II.2) Description
II.2.2)Additional CPV code(s)
Main CPV code: 35512000
Main CPV code: 35500000
Main CPV code: 50240000
Main CPV code: 50246000
Main CPV code: 63723000
Main CPV code: 98363000

II.2.3) Place of performance
Nuts code: UKK41, UKM81 Main site or place of performance:Plymouth, East Dunbartonshire, West Dunbartonshire and Helensburgh and Lomond.

II.2.4) Description of the procurement
Provision of submarine engineering for the Royal Navy at Devonport and Clyde comprising the following elements: fleet time engineering; work package planning; production and upkeep of technical docs; design support; underwater services (engineering); upkeep of “A” class submarines; upkeep of “V” class submarines; engineering design and safety management data; radiological and health physics.

II.2.5) Award criteria
II.2.11) Information about options
Options:yes
Description of options:
Initial contract length will be for 5 years with an option to extend by up to 2 years.

II.2.13) Information about European Union funds
The procurement is related to a project and/or programme financed by European Union funds: no
II.2.14) Additional information:
The cyber risk level for this contract has been assessed as “High”.

Section IV: Procedure
IV.1) Description
IV.1.1) Type of procedure
Award of a contract without prior publication of a call for competition in the Official Journal of the European Union in the cases listed below
(please complete point 2 of the Annex D)
IV.1.8) Information about the Government Procurement Agreement(GPA)
The procurement is covered by the Government Procurement Agreement: no
IV.2) Administrative information
IV.2.1) Previous publication concerning this procedure
Notice number in the OJ S:2018/S 031-068954

Section V: Award of contract/concession
Contract No: FMSP/006
Title: FMSp Submarine Engineering at Devonport and Clyde

V.2) Award of contract/concession
V.2.1) Date of conclusion of the contract/concession award decision:2019-04-01
V.2.2) Information about tenders
V.2.3) Name and address of the contractor
Official name: Devonport Royal Dockyard Ltd
Postal address: Devonport Royal Dockyard
Town: Plymouth
Postal code: PL1 4SG
Country: United Kingdom
Telephone: +44 1752605665
Nuts code: UKK41
The contractor is an SME: no

V.2.4) Information on value of the contract/lot/concession(excluding VAT)
for framework agreements – total maximum value for this lot
for contracts based on framework agreements, if required – value of contract(s) for this lot not included in
previous contract award notices

Section VI: Complementary information
VI.3) Additional information:
The Authority reserves the right to amend any condition related to security of information to reflect any changes in national law or government policy. If any contract documents are accompanied by instructions on safeguarding classified information (e.g. a security aspects letter), the Authority reserves the right to amend the terms of these instructions to reflect any changes in national law or government policy, whether in respect of the applicable protective marking scheme, specific protective markings given, the aspects to which any protective marking applies, or otherwise. The link below to the Gov.uk website provides information on the Government Security Classification.

Advertising Regime OJEU: This contract opportunity is published in the Official Journal of the European Union (OJEU), the MoD Defence Contracts Bulletin and www.contracts.mod.uk GO Reference: GO-2019423-DCB-14827551.
VI.4) Procedures for review
VI.4.1) Review body
Official name: Ministry of Defence, Ships, Other
Postal address: #3030, Cedar 0c, DE&S Abbey Wood
Town: Bristol
Postal code: BS34 8JH
Country: United Kingdom
Telephone: +44 3067982784
E-mail: DESShipsFMSP-Comrcl@mod.gov.uk

VI.5) Date of dispatch of this notice:
2019-04-23

Other justification for the award of the contract without prior publication of a call for competition
in the Official Journal of the European Union
The procurement falls outside the scope of application of the directive

3.Explanation
Please explain in a clear and comprehensive manner why the award of the contract without prior publication in the Official Journal of the European Union
is lawful, by stating the relevant facts and, as appropriate, the conclusions of law in accordance with the directive:
The Future Maritime Support Programme (FMSP), part of DE&S, intends to award a contract to Devonport Royal Dockyard Ltd and Babcock Marine (Clyde) Ltd for the provision of Submarine Engineering at Devonport Naval Base, Plymouth and Clyde Naval Base for a period of 5 years to 31 March 2025, with an option to extend by up to a further 2 years.
The contract is being procured under the Single Source Contracts Regulations 2014 because of the existence of legally binding agreements, namely the Terms of Business Agreement with Babcock International Group plc, Devonport Royal Dockyard Ltd, Babcock Marine (Clyde) Ltd and Babcock Marine (Rosyth) Ltd which grants the contractor exclusivity for nominated roles, including the scope of these services, and the Sale of Dockyard Agreement which granted ownership of Devonport Naval Base to Babcock Marine. In addition, there are synergies across the 2 sites which are critical to submarine availability. It is therefore, impractical for any other supplier to provide these services, as they are in support of other contractual arrangements which are also being procured through single source arrangements.
This contract is considered to be exempt from the Treaty of the Functioning of the European Union (TFEU) under Article 346(1)(a). The economic operator to be awarded the contract may be required to handle and protect UK Eyes Only (UKEO) National Caveated information or assets and they must not permit anyone who is not a UK National to access such information or assets, as the contract concerns the maintenance of the UK’s continuous at-sea nuclear deterrent (amongst other things). Information identified as UKEO must not be sent to foreign governments, overseas contractors, international organisations or released to any foreign nationals (either overseas or in the UK) without the originator‘s specific consent. Due to this requirement, the Authority is proceeding with the procurement process in reliance on the exemption in Article 346(1)(a) TFEU and the general exclusion from the Defence and Security Public Contract Regulations 2011 (DSPCR) under Regulation 7(1)(a).
In addition, it is considered that Article 346(1)(b) also applies to this procurement as it is in support of War Material (specifically submarines) as set out in the official translation of Council Decision 255/58.