---
title: "Provision of Inter-Island Air Services for Orkney Outer North Isles"
ocid: "ocds-h6vhtk-049a12"
canonical_url: "https://d3tenders.com/contract/?ocid=ocds-h6vhtk-049a12"
markdown_url: "https://d3tenders.com/contract/ocds-h6vhtk-049a12.md"
json_url: "https://d3tenders.com/contract/ocds-h6vhtk-049a12.json"
source: "Find A Tender Service"
current_stage: "Award"
buyer: "ORKNEY ISLANDS COUNCIL"
published: "2025-01-21"
---

# Provision of Inter-Island Air Services for Orkney Outer North Isles

Buyer: ORKNEY ISLANDS COUNCIL  
Current stage: Award  
OCID: ocds-h6vhtk-049a12

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## Summary

Orkney Islands Council, a regional or local authority, has confirmed the award for the provision of Inter-Island Air Services operating to the six Outer North Isles (Papa Westray, North Ronaldsay, Westray, Sanday, Stronsay, and Eday) under a Public Service Obligation. The contract, signed on December 20, 2024, with a duration of 48 months, is valued at £6,821,240 and will be executed by Loganair Limited. The procurement process followed an open procedure and is covered by the Government Procurement Agreement (GPA). This contract aims to maintain essential air services that support the economic and social fabric of the Orkney Islands, with further enhancements dependent on additional funding from the NHS Orkney and the Scottish Government to introduce a third aircraft.

This contract presents significant opportunities for businesses involved in air transport services, aircraft maintenance, and related support services to establish or expand their operations within the Orkney Islands. The tender prioritises quality and price equally, making it an attractive prospect for companies that can provide efficient and reliable air transport solutions. Additionally, businesses specialising in community benefits, supply chain development, and environmental impact reduction would find complementary growth potential through contributions to this vital regional service. The contract also includes community benefits, such as work experience opportunities and minimising environmental impacts, ensuring that participating businesses can deliver broader social value.

## Notice

Orkney Islands Council (the Authority) has a requirement for the provision of an Inter Island Air Service operating to the six Outer North Isles of Papa Westray, North Ronaldsay, Westray, Sanday, Stronsay and Eday under a Public Service Obligation (PSO), which establishes the minimum frequencies and sets the maximum fare levels provided to each of the isles.

### Lot Information

Lot 1

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. 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. For North Ronaldsay and Papay Westray these services are defined as lifeline services in terms of the Scottish Government criteria. In recognition of the importance of these services, subsidy is made available by Orkney Islands Council ("the Council") to subsidise the Designated Services. Additional information: The contract value as noted at 11.2.6 is in relation to Option 1 the current services and for the contract duration of 48 months. An estimated contract value of 8,890,243 GBP is estimated to include the enhanced services. Take up of Option 2 and 3 will be subject to a Council decision following subject to Committee approval.

Options: Tenderers are required to provide information and costs for 3 options as follows: Option 1 - current service operation; Option 2 - enhanced service (additional aircraft expected);and Option 3 - enhanced service (additional aircraft and crew expected.

## Key Details

| Field | Value |
| --- | --- |
| Publication source | Find A Tender Service |
| Latest notice | https://www.find-tender.service.gov.uk/Notice/002074-2025 |
| Notice type | Tender Notice |
| Procurement type | Standard |
| Procurement category | Services |
| Procurement method | Open |
| Procurement method details | Open procedure |
| Tender suitability | Not specified |
| Awardee scale | Large |
| All stages | Tender, Award |

## Dates

| Field | Value |
| --- | --- |
| Publication date | 21 Jan 2025 |
| Submission deadline | 14 Oct 2024 |
| Future notice date | Not specified |
| Award date | 20 Dec 2024 |
| Contract period | Not specified |
| Recurrence | August 2028 |

## Values

| Field | Value |
| --- | --- |
| Tender value | £6,890,244 |
| Lots value | £6,890,244 |
| Awards value | Not specified |
| Contracts value | £6,821,240 |

## Status

| Field | Value |
| --- | --- |
| Tender status | Complete |
| Lots status | Cancelled |
| Awards status | Active |
| Contracts status | Active |

## Buyer

| Field | Value |
| --- | --- |
| Main buyer | ORKNEY ISLANDS COUNCIL |
| Locality | KIRKWALL |
| Post town | Kirkwall |
| Postcode | KW15 1NY |
| Country | Scotland |
| ITL 1 | TLM Scotland |
| ITL 2 | TLM2 Highlands and Islands |
| ITL 3 | TLM20 Highlands and Islands |
| Local authority | Orkney Islands |
| Electoral ward | Kirkwall East |
| Westminster constituency | Orkney and Shetland |
| Delivery location | TLM65 Orkney Islands |

## Supplier

| Field | Value |
| --- | --- |
| Number of suppliers | 1 |
| Supplier names | LOGANAIR |

## CPV Codes

### Divisions

- 50 - Repair and maintenance services
- 60 - Transport services (excl. Waste transport)
- 63 - Supporting and auxiliary transport services; travel agencies services

### Codes

- 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

## Release History

- 21 Jan 2025 at 16:23 - Award - Award Notice - https://www.find-tender.service.gov.uk/Notice/002074-2025
- 11 Sep 2024 at 15:10 - Tender - Tender Notice - https://www.find-tender.service.gov.uk/Notice/029147-2024

## Notice URLs

- http://www.loganair.co.uk
- http://www.orkney.gov.uk
- http://www.publiccontractsscotland.gov.uk
- http://www.scotcourts.gov.uk
- https://api.publiccontractsscotland.gov.uk/v1/Notice?id=ocds-r6ebe6-0000777202
- https://www.publiccontractsscotland.gov.uk/search/Search_AuthProfile.aspx?ID=AA00369

## Provenance

This Markdown file is an alternate public rendering of the D3 Tenders contract record. The canonical page is https://d3tenders.com/contract/?ocid=ocds-h6vhtk-049a12. The underlying structured data is available as OCDS JSON at https://d3tenders.com/contract/ocds-h6vhtk-049a12.json.