Luas Operations and Maintenance Contract

National Transport Authority (NTA) and Transport Infrastructure Ireland (TII)

The scope of the Luas Operations and Maintenance (O&M) Contract will include the following to be performed by the Operator: operation of public light rail passenger services, rolling stock maintenance, infrastructure maintenance (e.g. depots, track, etc.) and management and operation of Luas Park and Ride sites. Maintenance of the automatic fare collection system (AFCS) will also be within the scope of the O&M contract. However, TII intends to procure a separate contract for the maintenance of the hardware and software elements of the AFCS, and intends to novate this separate contract to the Operator.

Deadline

The time limit for receipt of tenders was 2018-01-02. The procurement was published on 2017-09-22.

Suppliers

The following suppliers are mentioned in award decisions or other procurement documents:

• Transdev Dublin Light Rail
• Transdev Dublin Light Rail Ltd

Who?

• National Transport Authority (NTA) and Transport Infrastructure Ireland (TII)

What?

Where?

• Éire/Ireland

Procurement history

Date	Document
2017-09-22	Contract notice
2017-11-24	Additional information
2019-07-05	Contract award notice
2024-08-23	Contract award notice

Contract notice (2017-09-22)
Object
Scope of the procurement
Title: Railway transport services
Reference number: TII066
Short description:
“The scope of the Luas Operations and Maintenance (O&M) Contract will include the following to be performed by the Operator: operation of public light rail...”
Notice metadata
Original language: English 🗣️
Document type: Contract notice
Nature of contract: Services
Regulation: European Union, with participation of GPA countries
Common procurement vocabulary (CPV)
Code: Railway transport services 📦
Additional CPV: Railway and tramway locomotives and rolling stock and associated parts 📦
Place of performance
NUTS region: Éire/Ireland 🏙️

Procedure
Procedure type: Negotiated procedure
Type of bid: Submission for all lots
Award criteria
The most economic tender

Contracting authority
Identity
Country: Ireland 🇮🇪
Awarding authority type: Utilities entity
Awarding authority name: National Transport Authority (NTA) and Transport Infrastructure Ireland (TII)
Postal address: Parkgate Business Centre, Parkgate Street
Postal code: D08 DK10
Postal town: Dublin
Contact
Internet address: http://www.tii.ie 🌏
E-mail: paula.lillis@tii.ie 📧
Phone: +353 016463475 📞
URL for documents: http://irl.eu-supply.com/app/rfq/rwlentrance_s.asp?PID=116697&B=ETENDERS_SIMPLE 🌏
URL for participation: http://irl.eu-supply.com/app/rfq/rwlentrance_s.asp?PID=116697&B=ETENDERS_SIMPLE 🌏

Reference
Dates
Date dispatched: 2017-09-22 📅
Submission deadline: 2018-01-02 📅
Publication date: 2017-09-23 📅
Identifiers
Notice number: 2017/S 183-375965
Refers to notice: 2017/S 046-084886
OJ-S issue: 183
Additional information

“There will be a mobilisation and transition period of approx. 9 months from contract signing until operating commencement. The duration of this contract...”

Object
Scope of the procurement
Estimated total value: 495 000 000 EUR 💰
Short description:
“Luas is Dublin's light rail system and consists of 2 lines, the Red Line and the Green Line. The system currently comprises 37 kilometres of track, two...”

“It is anticipated that the O&M Contract will commence operations in Quarter 4, 2019 for a period of six years, with an option to extend by up to a further 5...”

Show more (2)

“A more detailed description of the scope of the Luas O&M Contract is given in Appendices B, C, D & E of the IM and PQQ Document.”

“The full scope of services required will be set out in the Invitation to Tender documentation which will be issued to the successful parties who are...”

Estimated value excluding VAT: 495 000 000 EUR 💰
Duration: 72 months
Description of renewals:
“72 months from operating commencement plus an option to extend by a further 60 months.”
Additional information:
“There will be a mobilisation and transition period of approx. 9 months from contract signing until operating commencement. The duration of this contract...”
Place of performance
Main site or place of performance:
“Dublin.”

Legal, economic, financial and technical information
Conditions for participation
List and brief description of rules and criteria:
“An Information Memorandum and Pre-qualification Questionnaire will be uploaded to e-tenders. This will be used to determine the economic/financial and...”
Contract execution
Deposits and guarantees required:
“A performance bond will be required.”

“A Parent Company Guarantee may be required.”
Main financing conditions and payment arrangements and/or reference to the relevant provisions governing them:
“This will be set out in detail in the Invitation to Negotiate.”
Legal form to be taken by the group of economic operators to whom the contract is to be awarded:
“Requests to participate may be submitted by single entities or by groups. A group will not be required to convert into a specific legal from in order to...”
Contract performance conditions:
“This will be set out in detail in the Invitation to Negotiate.”

Procedure
Minimum number of candidates: 3
Maximum number of candidates: 5
Objective criteria for choosing the limited number of candidates:
“TII intends to shortlist a minimum of 3 to a maximum of five candidates provided there are sufficient suitable candidates.”
Time of receipt of tenders: 12:00
Date of dispatch of invitations: 2018-03-30 📅
Languages in which tenders or requests to participate may be submitted: English 🗣️
Tender validity period: 12 months

Contracting authority
Identity
National registration number: 9510201H
Contact
Contact point: Paula Lillis
Internet address: www.tii.ie 🌏
Address of the buyer profile: https://irl.eu-supply.com/ctm/Company/CompanyInformation/Index/120261 🌏
Documents URL: http://irl.eu-supply.com/app/rfq/rwlentrance_s.asp?PID=116697&B=ETENDERS_SIMPLE 🌏

Reference
Additional information

“NTA and TII will be the joint contracting authority for this Contract.”

“Neither NTA nor TII are liable for any participant's costs arising in connection with participating in the competition, irrespective of the outcome of the...”

Show more (13)

“— NTA and TII have the right at any time and without notice to:”

“(i) terminate the competition (or part of it);”

“(ii) change the competition's basis or procedures;”

“(iii) procure the contract by other means,”

“(iv) negotiate with one or more parties at any time;”

“(v) reject any, or all, of the applications/tenders;”

“(vi) not furnish a candidate or tenderer with additional information”

“or to do any combination of the foregoing or anything else deemed appropriate. In no instance will NTA or TII be required to give any reason for any...”

“— If any past or future contracts or other documents are summarised or described in this document, or in other information given to Candidates, the summary...”

“— Award of contract will be subject to the approval of TII and NTA.”

“— Award of contract may be subject to successful interview.”

“— Interested parties are advised that NTA and TII are subject to the Freedom of Information Act 2014 (together with other legislation governing access to...”

“— An Information Memorandum and Pre-qualification Questionnaire are available on the etenders Website at http://www.etenders.gov.ie. Interested parties...”

Complementary information
Review body
Name: HIgh Court
Postal address: Four Courts
Postal town: Dublin
Postal code: 7
Country: Ireland 🇮🇪
Phone: +353 18886211 📞
E-mail: highcourtcentraloffice@courts.ie 📧
Internet address: www.courts.ie 🌏
Source: OJS 2017/S 183-375965 (2017-09-22)

Additional information (2017-11-24)
Object
Notice metadata
Document type: Additional information

Reference
Dates
Date dispatched: 2017-11-24 📅
Submission deadline: 2018-01-16 📅
Publication date: 2017-11-25 📅
Identifiers
Notice number: 2017/S 227-473905
Refers to notice: 2017/S 183-375965
OJ-S issue: 227
Source: OJS 2017/S 227-473905 (2017-11-24)

Contract award notice (2019-07-05)
Object
Scope of the procurement
Short description:
“The scope of the Luas Operations and Maintenance (O&M) contract will include the following to be performed by the operator: operation of public light rail...”
Notice metadata
Document type: Contract award notice

Procedure
Type of bid: Not applicable
Award criteria
Lowest price

Contracting authority
Contact
Phone: +353 16463475 📞

Reference
Dates
Date dispatched: 2019-07-05 📅
Publication date: 2019-07-09 📅
Identifiers
Notice number: 2019/S 130-320607
OJ-S issue: 130
Additional information

“There will be a mobilisation and transition period of approx. 9 months from contract signing until operating commencement. The duration of this contract...”

Object
Scope of the procurement
Short description:
“Luas is Dublin's light rail system and consists of 2 lines, the Red Line and the Green Line. The system currently comprises 37 kilometres of track, 2...”

“It is anticipated that the O&M Contract will commence operations in Quarter 4, 2019 for a period of 6 years, with an option to extend by up to a further 5...”

Show more (1)

“The full scope of services required was set out in the invitation to tender documentation which was issued to the successful parties who were shortlisted...”

Additional information:
“There will be a mobilisation and transition period of approx. 9 months from contract signing until operating commencement. The duration of this contract...”

Award of contract
Date of contract conclusion: 2019-06-12 📅
Name: Transdev Dublin Light Rail Ltd
National registration number: 354252
Postal town: Dublin
Postal code: D2
Country: Ireland 🇮🇪
Information about tenders
Number of tenders received: 2

Reference
Additional information

“NTA and TII are the joint contracting authority for this contract.”

“Neither NTA nor TII are liable for any participant’s costs arising in connection with participating in the competition, irrespective of the outcome of the...”

Complementary information
Review body
Postal town: Dublin 7
Source: OJS 2019/S 130-320607 (2019-07-05)

Contract award notice (2024-08-23)
Object
Scope of the procurement
Title: Luas Operations and Maintenance Contract
Short description:
“The scope of the Luas Operations and Maintenance (O&M) Contract includes the following services to be performed by the Operator: operation of public light...”
Type of contract: Services
Products/services: Railway transport services 📦
Total value of the procurement (excluding VAT): 540 000 000 EUR 💰
Description
Internal identifier: TII066
Description of the procurement:
“Luas is Dublin's light rail system and consists of 2 lines, the Red Line and the Green Line. Luas is Dublin's light rail system and consists of 2 lines, the...”
Type of contract: Services
Products/services: Railway transport services 📦
Additional products/services: Railway and tramway locomotives and rolling stock and associated parts 📦
Railway maintenance or service vehicles, and railway freight wagons 📦
Railway maintenance or service vehicles 📦
Parts of railway or tramway locomotives or rolling stock; railways traffic-control equipment 📦
Repair, maintenance and associated services related to aircraft, railways, roads and marine equipment 📦
Repair, maintenance and associated services related to railways and other equipment 📦
Repair and maintenance services of rolling stock 📦
System maintenance services 📦
Public transport services by railways 📦
Social objective promoted: Accessibility for all
Country: Ireland 🇮🇪
Place of performance: Dublin 🏙️
Duration of the contract, framework agreement or dynamic purchasing system
This contract is subject to renewal ✅
Description
Description of renewals:
“8 Years”
Title
Lot Identification Number: LOT-0000

Procedure
Type of procedure
Legal basis: Directive 2014/25/EU
Tendering terms
A certain legal form must be taken by a group of tenderers that is awarded a contract ✅

Award of contract
Lot Identification Number: LOT-0000
Contract Number: 1
Date of conclusion of the contract: 2019-06-12 📅
Title: Luas Operations and Maintenance Contract
Address of the contract: www.tii.ie 🌏
Information on value of the contract/lot (excluding VAT)
Total value of the contract/lot: 20 000 000 EUR 💰
Tender identifier: TII066
Identifier of lot or group of lots: LOT-0000
Information about tenders
Name of the tendering party: Transdev Dublin Light Rail
Name and address of the contractor
Name: Transdev Dublin Light Rail
National registration number: transdev
Postal address: Sir John Rogersons Quay
Postal town: Dublin
Region: Dublin 🏙️
Country: Ireland 🇮🇪
E-mail: eoghansweeney@transdev.ie 📧
URL: www.transdev.ie 🌏

Legal, economic, financial and technical information
Conditions for participation
Legal form to be taken by the group of economic operators to whom the contract is to be awarded:
“J&S Liability”

Contracting authority
Name and addresses
Name: National Transport Authority (NTA) and Transport Infrastructure Ireland (TII)
National registration number: 9510201H
Department: Procurement Department
Postal address: Parkgate Business Centre, Parkgate Street
Postal town: Dublin
Region: Dublin 🏙️
Country: Ireland 🇮🇪
Contact point: Rob Grumley
E-mail: rob.grumley@tii.ie 📧
Phone: +353 1 6463650 📞
URL: www.tii.ie 🌏
Information exchange endpoint (URL): www.tii.ie 🌏
Information about joint procurement
The contract is awarded by a central purchasing body ✅

Complementary information
Additional information

“NTA and TII are the joint contracting authority for this contract. Note that the Contracting Authorities decided to tender for a new contract for Luas...”
Review body
National registration number: High Court
Region: Dublin 🏙️
URL: www.courts.ie 🌏

Changes
Other additional information

“Two modifications of the contract were made to reflect impacts of the Covid-19 pandemic which were unforeseeable at the time of entry into of the O&M...”

Other additional information

Two modifications of the contract were made to reflect impacts of the Covid-19 pandemic which were unforeseeable at the time of entry into of the O&M Contract and which impacted the contractor’s performance of the Operations and Maintenance Contract. These modifications are summarised as follows:
i) A change to the contractual indexation provisions which allow for adjustments to payments of the Base Yearly Amount to the contractor as a result of annual changes to earnings of staff members performing the Services, which is calculated by reference to economic activities in the published Nomenclature of Economic Activities (“NACE”) index. The modification aligned the indexation mechanism to the most appropriate category of worker involved in the delivery of the services pursuant to the contract (rather than the NACE index identified in the contract, which grouped certain categories of worker together). This modification to the NACE Index resulted in an additional payment of €3,743,858 for the period to end of June 2024 (which was in addition to an earlier payment of €378,745 made in 2020 to reflect an initial assessment of the impacts of Covid-19 at the time).
ii) A revision to a contractual variation to deal with the impacts of the Covid-19 pandemic to provide additional relief for certain system performance deductions (e.g. Lost Kilometre Deductions, Excess Waiting Time Deductions, Fare Evasion Deductions, Light Rail Vehicle Maintenance and Infrastructure Maintenance Deductions) incurred by the contractor. This modification included for additional relief in the form of a reimbursement of deductions previously charged against the contractor of €7,318,000 for the period 2020 to 2023 (which represented approximately 48% of the deductions applied / charged during this period). The review and revision to the contractual variation also resulted in the reimbursement of the contractor for certain additional labour and sub-contractor costs incurred in performing the Services (i.e. seeking to run a full timetable) to the amount of €6,372,951 for the same period between 2020 to 2023.
As noted above the contracting authorities have commenced the procurement competition for the next generation Luas Operations and Maintenance and therefore expect that the current / existing O&M contract will not run for the full possible contract term of 132 months, which also means that the value of the contract will be lower than originally anticipated.

Main reason for change: Need for modifications because of circumstances which a diligent buyer could not predict.
New value
Text:
“In relation to the first modification, the Nomenclature of Economic Activities (“NACE”) index is used in the O&M Contract as part of the indexation...”

Text

In relation to the first modification, the Nomenclature of Economic Activities (“NACE”) index is used in the O&M Contract as part of the indexation provisions of the O&M Contract. Due to the Covid-19 pandemic, the indexation provisions in the O&M Contract produced an irrational outcome, in circumstances where the impact of the Covid-19 pandemic affected different categories of worker in very different manners. The primary reason for the NACE Index not increasing in line with the contractor’s wage increases was the unforeseen collapse of the airline industry due to the worldwide COVID-19 travel restrictions which resulted in many airline staff being made redundant between 2020 and 2021 and minimal wage increases for staff that were retained. This meant that between Quarter 2 of 2019 and Quarter 2 of 2020, there was a significant and unforeseen decrease for the air transport sub-sector of NACE (c. 32%) whereas the average decrease for the three other sub-sectors of NACE was marginal (c. 3%). This significant reduction in the air transport sub-sector of NACE (as a result of the impacts of Covid-19) had a disproportionate cumulative impact on NACE Principal Activity H for 2021 such that there was no increase.
In relation to the second modification, the contracting authorities agreed certain reliefs at the outset of the Covid-19 pandemic which sought to limit the anticipated impacts on the contractor’s performance of the O&M Contract including measures which sought to limit the contractor’s increased exposure to System Performance Deductions in accordance with the variation mechanism under the O&M Contract as well as compensation for additional unforeseen costs related to providing a full service during the pandemic. It was agreed that these measures would be revisited at a later date. Upon review, it was agreed that the measures initially agreed were insufficient to compensate the operator for the additional costs and deductions incurred pursuant to the O&M Contract arising by virtue of the Covid-19 pandemic.
In each case, TII is satisfied that the modifications were necessary to ensure the continued provision of the services pursuant to the O&M Contract, that the modifications were brought about by circumstances which a diligent contracting authority could not have foreseen (namely the Covid-19 pandemic) and that the modifications do not alter the overall nature of the O&M Contract.

Source: OJS 2024/S 165-511729 (2024-08-23)

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