Sellafield Ltd

01002607

Hinton House

Warrington

WA3 6GR

UK

Contact person: Tim Smith

Telephone: +44 1925833433

E-mail: Tim.z.smith@sellafieldsites.com

Main address: https://www.gov.uk/government/case-studies/shared-services-alliance-ssa-for-nuclear-decommissioning-estate

Address of the buyer profile: https://sharedsystems.eu-supply.com/ctm/Company/CompanyInformation/Index/3510

Body governed by public law

Other activity:  Nuclear Decommissioning

Programme and Project Partners (PPP Project) Lot 1 - Integration Partner Contract Award Notice

Reference number:  PPP Lot 1 (CTM ref 10016 refers)

This notice is issued as a replacement to the award notice ref 2019/S 107-261590.
Sellafield Ltd (‘SL’) has brought together four partners (‘Lot Partners’) to collaborate with one another and with SL to deliver the portfolio of Major Projects SL is expected to deliver under its Site Licence obligations over the next 20 years. In delivering this portfolio of Major Projects, SL will use the expertise of these Lot Partners to help improve the outcomes of Major Projects (e.g. delivery to time, to budget), to help develop its internal delivery capabilities (e.g. design and engineering capability) and to bring about Site-Wide Project Delivery Improvements.
The award of this contract is made with reference to the original contract notice 2017/s 085-165725 and relates to the award of a contract for the Lot 1 Integration Partner. Details of the associated contracts for Lots 2, 3 and 4 of the PPP Partnership are set out under separate contract award notices.

Main site or place of performance:  

The Integration Partner will provide strategic and enabling project management support as required to structure and deliver the portfolio of Major Projects under the PPP Project. The scope of Lot 1 comprises Major Projects and Site-Wide Project Delivery Improvements:
Major Projects.
Services in support of the delivery of these Major Projects individually and at a programme level will include but not be limited to:
— Coordinating the development and delivery for the PPP Partnership of a socio-economic strategy and related strategies for organisational design, resource management, Most Appropriate Athlete selection, accommodation and communications;
— Coordinating the definition of the delivery strategy for the Major Projects including an overall acquisition strategy for the potential full portfolio of projects, resource and capability planning;
— Coordinating and overseeing logistic requirements for Major Projects on behalf of the PPP Partnership; — Working with Sellafield Ltd to define the project controls and commercial support arrangements for the portfolio and the individual projects within it;
— Coordinating the population of the project management structure for the Major Projects alongside SL;
— Providing access to expertise in project management as required to deliver the portfolio of Major Projects and Site-Wide Project Delivery Improvements;
— Coordinating continuous improvement activities with the other Lot Partners, including the development and implementation of cultural change programmes;
— Coordinating the development of business and IT systems for the PPP Partnership including an integrated management system, BIM strategy development and commercial systems;
— Coordinating EHSS&Q across the PPP Partnership including document control;
— Coordinating engagement with SL's Enterprise Portfolio Office ("EPO") and the individual SL programmes to develop the future Major Projects, deliver studies and an integrated schedule of Major Projects to optimise costs and delivery schedules;
— Providing project controls, estimating, quantity surveying, risk management and commercial support to develop and deliver project business cases and acquisition strategies;
— Supporting SL to develop and improve its programme and project management arrangements, including support to the CDM client; and
— Subcontracting some of these services to other organisations as appropriate.
All of the above services will support integration between the Lot Partners and support SL in its role as a PPP Partner. As with the other Lot Partners, the Integration Partner is required to work with the other PPP Partners (i.e. the Lot Partners and SL) to develop an aligned delivery culture for the PPP Partnership. SL will also make available people from within its organisation to work within the PPP Partnership (as the "5th Partner") to support the Lot Partners in the delivery of their respective services and works (see the Memorandum of Information ("MOI") issued as part of the procurement documents).
Site-Wide Project Delivery Improvements.
Site-Wide Project Delivery Improvements under Lot 1 may include, but will not be limited to: leading business improvements such as BIM, single integrated project IT systems, etc on behalf of the PPP Partnership; providing professional services expertise to SL such as: QS support and related commercial services; project controls; and project management.

Quality criterion  -  Name:  Quality  /  Weighting:  70

Cost criterion  -  Name:  Cost  /  Weighting:  30

See VI.3 'Additional Information' re overall PPP Project Value. The Lot 1 estimated value of between 500 000 000 GBP and 750 000 000 GBP over the next 20 years represents the proportional scope of services which will be delivered by the Lot 1 Partner in the delivery of the PPP Project.

Number of tenders received:  3

Kellogg Brown and Root Ltd

00645125

Hill Park Court, Springfield Drive, Leatherhead

Surrey

KT22 7NL

UK

Total value of the contract/lot:  750000000.00  GBP

This contract notice is issued as a replacement to contract notice 2019/S 107-261590 to correct the contractor details which were published in error on the aforementioned contract notice.
The award of this contract is made with reference to the original contract notice 2017/s 085-165725 and relates to the award of a contract for the Lot 1 Integration Partner. Details of the associated contracts for Lots 2, 3 and 4 of the PPP Partnership are set out under separate contract award notices.
SL estimates the value of the PPP Project to be between 3 000 000 000 GBP and 4 500 000 000 GBP based on the current identified scope (see MOI). The 7 000 000 000 GBP estimated value in the Contract Notice recognised the challenge of estimating the total value of a project with such longevity. It includes the estimated value of each of the 4 Lots.
The estimated value of the Lot 1 contract reflects the proportionate value of the services that the Lot 1 Partner is expected to undertaken in the delivery of the PPP Project based on the current identified scope. These estimates are based on SL experience over the last decade and beyond, it also recognised the potential for change/increase in the value range attached to the current identified scope. Such changes could, for example arise out of changes in: UK nuclear strategy; SL Site strategy; costs; changes in technologies; and the operation and development of the PPP Partnership. Any and all such change/increase in value will require SL internal approvals and be subject to detailed project definition, as appropriate, in line with SL's gated project approval process. The duration of the PPP Project is currently stated to be 20 years. This duration coincides with the delivery of the last Major Project as currently envisaged in the portfolio of the Major Projects under the PPP Project. SL does not intend that a Major Project will be approved for delivery under the PPP Project if it has not reached the Detailed Design Gate in SL's Gated Process (see the MOI) by the end of the contract term. However, SL has reserved the right at its sole discretion to extend the duration of the PPP Project to enable completion of any Major Projects the delivery of which would extend beyond the end of year 20 of the PPP Project. Each of the Lot Partners have been appointed to carry out a specific role in the partnership (see descriptions above). For the PPP Project, SL will have two different and distinct roles: first and foremost, its role as Intelligent Client and Intelligent Customer; secondly its employees will take on roles within the delivery teams as the fifth delivery partner. Together, the 4 Lot Partners and SL employees (as a fifth PPP Partner) constitute the PPP Partners/the PPP Partnership. Each of the Lot Partners appointed pursuant to the PPP procurement process have entered into two arrangements with SL:(i) a contract specific to each Lot Partner under which the Lot Partner will be required to provide the relevant services; and (ii) an Aligned Incentive Agreement (‘AIA’) which is intended to motivate collaboration, aligned behaviours, etc. and to assist in delivering SL's longer term objectives for the PPP. Lot Partners are required to put in place subcontracting arrangements as necessary to deliver the PPP Project (the scope of which are included as part of this procurement process). Sub-contracting arrangements will not be subject to secondary competition via further EU contract notices. SL also has in place a range of existing site-wide framework agreements and contracts which may be utilised to fulfil those subcontracting requirements (see the MOI). Use of these existing arrangements will be for the PPP Partnership to determine together with SL and is expected to be most relevant for the Lot 3 and Lot 4 Partners. SL is committed to delivering improvements in social economics and requires the Lot Partners to actively contribute to the attainment of SL's social impact objectives (see MOI).

N/A

London

UK

Royal Courts of Justice

Strand

London

WC2A 2LL

UK

Internet address: http://www.justice.gov.uk

Precise information on deadline(s) for review procedures:
The minimum 10 calendar day standstill period from the date information on award of contract was communicated to tenderers has been observed, and has now lapsed. The requirements of the Public Contracts Regulations 2015 have been met. Any correspondence relating to this Contract Award Notice should be brought to the attention of Richard Lennard of SL at the address specified in Section I above.