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Portsmouth City Council ('the Council') is inviting tenders from suitably qualified and experienced operators for the management of day-to-day operations of the shore power system currently under installation at Portsmouth International Port ('PIP'). The system is targeted to enter operation on 1st April 2025 following testing and commissioning in early 2025.
CONTRACT TERM & OPTIONS
The initial contract term will be for 3 years from 1st April 2025 plus approx. 3 months for the initial mobilisation & training period commencing following award in January 2025. The contract may be extended by a further 2 years to a maximum total term of 5 years in increments to be agreed, subject to the agreement and performance of both parties.
DEMAND & PAYMENT MODEL
Demand for connections to the shore power system will be driven by take up or otherwise of the ferry and cruise operators who utilise the Port. Payment to the successful operator will be on the basis of a monthly draw down from their tendered schedule of rates against actual demand.
Tenderers have the option of putting forward discounting models that would be applied to their rates based upon a yearly minimum number of connections guarantee from the Port whereby the Port would underwrite against the guarantee to protect the operator from losses in the event that the minimum number of connections is not achieved.
Although the Port estimates that 650 connections could take place over a year the highest level of minimum guarantee discount that can be proposed by tenderers is capped at 500 connections per year in order to minimise the Port's exposure to underwriting losses.
Tenderers should note that it will be at the sole discretion of the Port on whether it takes up a minimum guarantee discount option at commencement or in the subsequent years of the contract, the level of minimum guarantee that it will commit to and whether to continue with a minimum guarantee model for subsequent years of the contract.
CONTRACT VALUE
As the value of the contract will be demand, led a fixed value estimate for the contract cannot be provided. However, an upper value estimate of £850,000 (excluding VAT) per annum can be applied based upon high take up by both ferry and cruise operators.
Rates may be increased on a yearly basis with increases capped at the relevant CPI (Consumer Price Index) inflation rate. Applying a 2% CPI estimate based upon current projections an upper value estimate of approx. £4.4M (excluding VAT) can be applied to the maximum contract term duration of 5 years.
PROCUREMENT PROCEDURE & ADMINISTRATION
The Council will undertake the procurement process in accordance with the regulations that apply to the 'Open Procedure' as set out within the Public Contracts Regulations (2015).
The Council will administrate the procurement process using its e-sourcing system In-tend which can be accessed free of charge via the following web link:
https://intendhost.co.uk/portsmouthcc/aspx/home
PROCUREMENT TIMETABLE
The procurement timetable is set out below. Tenderers will be notified of any changes to the procurement programme via the council's e-sourcing solution In-tend.
SITE TOUR
Attendance at the site tour and system presentation on Thursday 17th October is a condition of tendering unless tenderers can evidence that they have already undertaken a tour of the site through participation in the prior soft market testing process.
No supplier information available.
This procurement was divided into 1 lots, each awarded separately.
| Lot | Value | Status |
|---|---|---|
| Lot 1 1,080 days (≈3 yrs) | £4,450,000 | active |
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