Award

Procurement of 500x Palletised Loading System (PLS) Platforms with an option to increase and extend contract quantity and duration

MINISTRY OF DEFENCE

This public procurement record has 1 release in its history.

Award

08 Aug 2023 at 23:57

Summary of the contracting process

The Ministry of Defence in the UK has completed the procurement process for the "Procurement of 500x Palletised Loading System (PLS) Platforms with an option to increase and extend contract quantity and duration" in the industry category of flatbed and tipper trucks. The contract covers the purchase of 500 platforms initially, with potential total value estimated at up to £1 billion. The procurement method used was a negotiated process without public contract notice, and the contracting authority has awarded the contract to Rheinmetall MAN Military Vehicles UK Ltd.

This tender opportunity provides a significant business prospect for companies involved in the manufacturing or supply chain of military vehicle components. The award criteria included options for additional platform quantities, driven by the Land Fleet Requirement. The contracting authority highlighted the technical complexity and interoperability challenges, justifying the selection of the specific manufacturer due to OEM capability and equipment compatibility. This opportunity suits large-scale suppliers with expertise in military vehicle manufacturing and integration to meet specific operational requirements set by the Ministry of Defence.

Find more tenders on our Open Data Platform.
How relevant is this notice?

Notice Title

Procurement of 500x Palletised Loading System (PLS) Platforms with an option to increase and extend contract quantity and duration

Notice Description

Estimated value excluding VAT: Range PS250m and PS350m Ex VAT covering the procurement of 500x platforms across FY23/24. It is estimated that the contract for the 500x platforms will total between PS250m - PS350m. This may increase by further platforms to fulfil the total Land Fleet Requirement of 1827 platforms and therefore have an increased potential total value of up to PS1Bn. This option is only relevant if contractual options are invoked, noting that the Authority has no obligation to do so. Any future procurements would be subject to separate Business Case approval.

Lot Information

Lot 1

The contract will be for the purchase of 500 x PLS Platforms to the contracting authority and will contain options for purchasing additional quantities of PLS Platforms. This contract will cover the procurement of PLS Platforms to mitigate shortfalls against the current Land Fleet Requirement to meet Future Soldier structures.

Options: Options shall be included for the Authority to procure additional platform quantities, noting there is no obligation on the Authority to invoke these. This will also require separate financial approval. This requirement is driven by the published PLS Land Fleet Requirement (LFR) dated 24th May 2023.

Procurement Information

The Vehicle Support Team (VST), as part of the UK Ministry of Defence (MoD), intends to award a two-year contact with the value of approximately PS350m excluding VAT to Rheinmetall MAN Military Vehicles UK Ltd for the purchase of 500 x PLS Platforms with an option to extend for a maximum period of 5-years for purchase of additional quantities of PLS Platforms. In accordance with regulation 4 of The Defence and Security Public Contracts (Amendment) (EU Exit) Regulations 2019 (SI 2019/697) this procurement falls to be regulated under the provisions of the Defence and Security Public Contracts Regulations 2011 as amended (in particular by SI 2019/697 and SI 2020/1450). Prior publication of a contract notice in the Official Journal of the European Union is no longer appropriate. It is considered that the award of the contract without prior publication of a contract notice in the UK e-notification service (as required by the relevant legislation) is lawful in accordance with Regulation 16(1)(a)(ii) of the Defence and Security Public Contracts Regulations 2011 for Technical Reasons. RMMV are the Original Equipment Manufacturer (OEM) for the PLS platform(s)), and they are the manufacturer of the Support Vehicle fleet and owners of the IPR. The Authority does not own or have a right to obtain or provide to third parties the proprietary information and documentation regarding these platforms. Manufacture of these platforms by a third party is not considered possible without direct OEM support and access to the proprietary information. Therefore, as the OEM, RMMV are the only economic operator capable of manufacturing this capability and meeting this requirement within the timeframe required. This vehicle is currently deployed on multiple Operations around the world and further procurement is required to mitigate shortfalls against the Land Fleet Requirement to meet Future Soldier structures. As such, procurement of anything other than the PLS model from RMMV would fail to meet the Authority's requirement and would introduce a level of risk that is not acceptable to the Authority. Furthermore, procuring an alternative PLS platform solution from another supplier is not considered a viable option due to the significant additional technical and interoperability complexity that would be introduced, including but not limited to platform interoperability issues, including safe recovery procedures, safe transport procedures and safe integration with UK equipment and flat racks, all of which are currently established for the current in-service RMMV platforms. Any new vehicles must be interoperable with current recovery systems and fault diagnostic equipment. Failure to achieve a coherent fleet would substantially reduce effectiveness and introduce a level of risk that is not acceptable to the Authority. In addition, introducing different platforms with different support solutions when deployed on contingent operations would not be compatible with the Authority's requirements existing support solutions, modifications and theatre specific role fits would not be compatible with an alternative platform without significant effort to integrate. Finally, increased training burden associated with a mixed fleet of platforms, which would include new training material to ensure safe operation of platforms, does not meet the User's requirement and set pre-deployment training activities. Accordingly, the Authority's view is that the award of a contract under regulation 16(1)(a)(ii)- technical reasons ground has been met.

Publication & Lifecycle

Open Contracting ID
ocds-h6vhtk-03ee1e
Publication Source
Find A Tender Service
Latest Notice
https://www.find-tender.service.gov.uk/Notice/023159-2023
Current Stage
Award
All Stages
Award

Procurement Classification

Notice Type
Award Notice
Procurement Type
Standard
Procurement Category
Goods
Procurement Method
Limited
Procurement Method Details
Negotiated without publication of a contract notice
Tender Suitability
Not specified
Awardee Scale
Large

Common Procurement Vocabulary (CPV)

CPV Divisions

34 - Transport equipment and auxiliary products to transportation


CPV Codes

34134000 - Flatbed and Tipper trucks

Notice Value(s)

Tender Value
Not specified
Lots Value
Not specified
Awards Value
Not specified
Contracts Value
£350,000,000 £100M-£1B

Notice Dates

Publication Date
8 Aug 20232 years ago
Submission Deadline
Not specified
Future Notice Date
Not specified
Award Date
3 Aug 20232 years ago
Contract Period
Not specified - Not specified
Recurrence
Not specified

Notice Status

Tender Status
Complete
Lots Status
Not Specified
Awards Status
Active
Contracts Status
Active

Contracting Authority (Buyer)

Main Buyer
MINISTRY OF DEFENCE
Contact Name
Available with D3 Tenders Premium →
Contact Email
Available with D3 Tenders Premium →
Contact Phone
Available with D3 Tenders Premium →

Buyer Location

Locality
BRISTOL
Postcode
N/A
Post Town
Not specified
Country
Not specified

Major Region (ITL 1)
Not specified
Basic Region (ITL 2)
Not specified
Small Region (ITL 3)
Not specified
Delivery Location
Not specified

Local Authority
Not specified
Electoral Ward
Not specified
Westminster Constituency
Not specified

Supplier Information

Number of Suppliers
1
Supplier Name

RHEINMETALL MAN MILITARY VEHICLES (RMMV

Open Contracting Data Standard (OCDS)

View full OCDS Record for this contracting process

Download

The Open Contracting Data Standard (OCDS) is a framework designed to increase transparency and access to public procurement data in the public sector. It is widely used by governments and organisations worldwide to report on procurement processes and contracts.

{
    "tag": [
        "compiled"
    ],
    "id": "ocds-h6vhtk-03ee1e-2023-08-09T00:57:02+01:00",
    "date": "2023-08-09T00:57:02+01:00",
    "ocid": "ocds-h6vhtk-03ee1e",
    "initiationType": "tender",
    "tender": {
        "id": "708851450",
        "legalBasis": {
            "id": "32009L0081",
            "scheme": "CELEX"
        },
        "title": "Procurement of 500x Palletised Loading System (PLS) Platforms with an option to increase and extend contract quantity and duration",
        "status": "complete",
        "classification": {
            "scheme": "CPV",
            "id": "34134000",
            "description": "Flatbed and Tipper trucks"
        },
        "mainProcurementCategory": "goods",
        "description": "Estimated value excluding VAT: Range PS250m and PS350m Ex VAT covering the procurement of 500x platforms across FY23/24. It is estimated that the contract for the 500x platforms will total between PS250m - PS350m. This may increase by further platforms to fulfil the total Land Fleet Requirement of 1827 platforms and therefore have an increased potential total value of up to PS1Bn. This option is only relevant if contractual options are invoked, noting that the Authority has no obligation to do so. Any future procurements would be subject to separate Business Case approval.",
        "lots": [
            {
                "id": "1",
                "description": "The contract will be for the purchase of 500 x PLS Platforms to the contracting authority and will contain options for purchasing additional quantities of PLS Platforms. This contract will cover the procurement of PLS Platforms to mitigate shortfalls against the current Land Fleet Requirement to meet Future Soldier structures.",
                "awardCriteria": {
                    "criteria": [
                        {
                            "name": "n",
                            "description": "n"
                        }
                    ]
                },
                "hasOptions": true,
                "options": {
                    "description": "Options shall be included for the Authority to procure additional platform quantities, noting there is no obligation on the Authority to invoke these. This will also require separate financial approval. This requirement is driven by the published PLS Land Fleet Requirement (LFR) dated 24th May 2023."
                }
            }
        ],
        "items": [
            {
                "id": "1",
                "deliveryAddresses": [
                    {
                        "region": "UK"
                    }
                ],
                "relatedLot": "1"
            }
        ],
        "procurementMethod": "limited",
        "procurementMethodDetails": "Negotiated without publication of a contract notice",
        "coveredBy": [
            "GPA"
        ],
        "procurementMethodRationaleClassifications": [
            {
                "scheme": "TED_PT_AWARD_CONTRACT_WITHOUT_CALL",
                "id": "D_PROC_NEGOTIATED_PRIOR_CALL_COMPETITION",
                "description": "No tenders or no suitable tenders/requests to participate in response to negotiated procedure with prior publication of a contract notice"
            },
            {
                "scheme": "TED_PT_AWARD_CONTRACT_WITHOUT_CALL",
                "id": "D_MANUF_FOR_RESEARCH",
                "description": "The products involved are manufactured purely for the purpose of research, experiment, study or development under the conditions stated in the directive"
            },
            {
                "scheme": "TED_PT_AWARD_CONTRACT_WITHOUT_CALL",
                "id": "D_TECHNICAL",
                "description": "The works, supplies or services can be provided only by a particular economic operator due to absence of competition for technical reasons"
            }
        ],
        "procurementMethodRationale": "The Vehicle Support Team (VST), as part of the UK Ministry of Defence (MoD), intends to award a two-year contact with the value of approximately PS350m excluding VAT to Rheinmetall MAN Military Vehicles UK Ltd for the purchase of 500 x PLS Platforms with an option to extend for a maximum period of 5-years for purchase of additional quantities of PLS Platforms. In accordance with regulation 4 of The Defence and Security Public Contracts (Amendment) (EU Exit) Regulations 2019 (SI 2019/697) this procurement falls to be regulated under the provisions of the Defence and Security Public Contracts Regulations 2011 as amended (in particular by SI 2019/697 and SI 2020/1450). Prior publication of a contract notice in the Official Journal of the European Union is no longer appropriate. It is considered that the award of the contract without prior publication of a contract notice in the UK e-notification service (as required by the relevant legislation) is lawful in accordance with Regulation 16(1)(a)(ii) of the Defence and Security Public Contracts Regulations 2011 for Technical Reasons. RMMV are the Original Equipment Manufacturer (OEM) for the PLS platform(s)), and they are the manufacturer of the Support Vehicle fleet and owners of the IPR. The Authority does not own or have a right to obtain or provide to third parties the proprietary information and documentation regarding these platforms. Manufacture of these platforms by a third party is not considered possible without direct OEM support and access to the proprietary information. Therefore, as the OEM, RMMV are the only economic operator capable of manufacturing this capability and meeting this requirement within the timeframe required. This vehicle is currently deployed on multiple Operations around the world and further procurement is required to mitigate shortfalls against the Land Fleet Requirement to meet Future Soldier structures. As such, procurement of anything other than the PLS model from RMMV would fail to meet the Authority's requirement and would introduce a level of risk that is not acceptable to the Authority. Furthermore, procuring an alternative PLS platform solution from another supplier is not considered a viable option due to the significant additional technical and interoperability complexity that would be introduced, including but not limited to platform interoperability issues, including safe recovery procedures, safe transport procedures and safe integration with UK equipment and flat racks, all of which are currently established for the current in-service RMMV platforms. Any new vehicles must be interoperable with current recovery systems and fault diagnostic equipment. Failure to achieve a coherent fleet would substantially reduce effectiveness and introduce a level of risk that is not acceptable to the Authority. In addition, introducing different platforms with different support solutions when deployed on contingent operations would not be compatible with the Authority's requirements existing support solutions, modifications and theatre specific role fits would not be compatible with an alternative platform without significant effort to integrate. Finally, increased training burden associated with a mixed fleet of platforms, which would include new training material to ensure safe operation of platforms, does not meet the User's requirement and set pre-deployment training activities. Accordingly, the Authority's view is that the award of a contract under regulation 16(1)(a)(ii)- technical reasons ground has been met."
    },
    "awards": [
        {
            "id": "023159-2023-1",
            "relatedLots": [
                "1"
            ],
            "status": "active",
            "hasSubcontracting": true,
            "suppliers": [
                {
                    "id": "GB-FTS-89699",
                    "name": "Rheinmetall MAN Military Vehicles (RMMV)"
                }
            ]
        }
    ],
    "parties": [
        {
            "id": "GB-FTS-27003",
            "name": "Ministry of Defence",
            "identifier": {
                "legalName": "Ministry of Defence"
            },
            "address": {
                "locality": "BRISTOL",
                "region": "UK",
                "countryName": "United Kingdom"
            },
            "contactPoint": {
                "email": "deborah.hambridge100@mod.gov.uk"
            },
            "roles": [
                "buyer"
            ],
            "details": {
                "url": "https://www.gov.uk/government/organisations/ministry-of-defence",
                "classifications": [
                    {
                        "scheme": "TED_CA_TYPE",
                        "id": "MINISTRY",
                        "description": "Ministry or any other national or federal authority, including their regional or local subdivisions"
                    },
                    {
                        "scheme": "COFOG",
                        "id": "02",
                        "description": "Defence"
                    }
                ]
            }
        },
        {
            "id": "GB-FTS-89699",
            "name": "Rheinmetall MAN Military Vehicles (RMMV)",
            "identifier": {
                "legalName": "Rheinmetall MAN Military Vehicles (RMMV)"
            },
            "address": {
                "locality": "BRISTOL",
                "region": "UK",
                "countryName": "United Kingdom"
            },
            "roles": [
                "supplier"
            ],
            "details": {
                "scale": "large"
            }
        },
        {
            "id": "GB-FTS-89700",
            "name": "Ministry of Defence",
            "identifier": {
                "legalName": "Ministry of Defence"
            },
            "address": {
                "streetAddress": "Vehicle Support Team, Cedar 1A, MOD Abbey Wood",
                "locality": "BRISTOL",
                "postalCode": "BS34 8JH",
                "countryName": "United Kingdom"
            },
            "roles": [
                "reviewBody"
            ]
        },
        {
            "id": "GB-FTS-89701",
            "name": "Ministry of Defence",
            "identifier": {
                "legalName": "Ministry of Defence"
            },
            "address": {
                "streetAddress": "Vehicle Support Team, Cedar 1A, MOD Abbey Wood",
                "locality": "Bristol",
                "postalCode": "BS34 8JH",
                "countryName": "United Kingdom"
            },
            "roles": [
                "mediationBody"
            ]
        },
        {
            "id": "GB-FTS-89702",
            "name": "Ministry of Defence",
            "identifier": {
                "legalName": "Ministry of Defence"
            },
            "address": {
                "streetAddress": "Vehicle Support Team, Cedar 1A, MOD Abbey Wood",
                "locality": "Bristol",
                "postalCode": "BS348JH",
                "countryName": "United Kingdom"
            },
            "roles": [
                "reviewContactPoint"
            ]
        }
    ],
    "buyer": {
        "id": "GB-FTS-27003",
        "name": "Ministry of Defence"
    },
    "contracts": [
        {
            "id": "023159-2023-1",
            "awardID": "023159-2023-1",
            "status": "active",
            "value": {
                "amount": 350000000,
                "currency": "GBP"
            },
            "dateSigned": "2023-08-04T00:00:00+01:00"
        }
    ],
    "language": "en"
}