MOD industry event opens door to England and Wales regional primes
The Defence Infrastructure Organisation (DIO), the MOD’s land and property arm, has hosted more than 200 industry representatives at an event to discuss future contracting arrangements for managing Defence facilities across England and Wales.
The event was held in the Defence Capability Centre at theDefenceAcademy, Shrivenham, and focused on three new regional prime contracts for facilities management, namely:
- Regional Prime Central (North of England, Wales, the Midlands and East Anglia)
- Regional Prime South West (South West England)
- Regional Prime South East (South East England)
The contracts have an estimated combined value of up to £4.35 billion over a minimum of five years and a maximum of 10 years. Individual contract values range between £500 million and £1.8 billion, depending on potential contract extensions.
The industry day was designed to provide potential bidders with a common understanding of the procurement process, and enable smaller supply chain businesses to network with those pursuing prime contracting roles.
Around 70 supply chain businesses were represented, including nine from Greater London, seven from the West Midlands, six from Bristol, and three from each of West Yorkshire, Nottinghamshire,Essex, Hampshire and Wiltshire.
Military representatives also attended from the estate user community, namely the Royal Navy, Army, RAF and Joint Force Headquarters.
Delegates received an overview of frontline Defence activities such as the current operations in Afghanistan, the wider Defence transformation agenda as it affects the estate, and more specifically the DIO corporate transformation programme.
The DIO’s Next Generation Estate Contracts (NGEC) Programme is developing a new suite of contracts for the UK Defence estate. Key NGEC issues covered at the event included the role of future prime contractors in managing estate energy usage, and the provision of asset condition data and other management information.
Brigadier John Wootton, the Director of Land Forces Infrastructure, said:
“A modern, fit-for-purpose Defence estate and supporting services are fundamental to the generation of trained and motivated forces for operations and for success once deployed. Future MOD contractors and suppliers will play a key part in this, and it is important that all those in the commercial supply chains understand the underpinning importance of their role to Defence.”
Gill Hodson, senior NGEC project manager, said:
“During this period of fundamental change for UK Defence we are determined that businesses with an interest in these three major contracts have a coherent understanding of the challenges and issues for our future industry partners. I am delighted that such a wide range of businesses were able to attend and engage in the networking session.
“This is the outset of procurement for these significant regional arrangements, and we would now urge other smaller businesses with estate solutions – from low carbon technology and roads maintenance to plumbing, roofing and pest control – to consider where they might contribute and then to make contact with those seeking prime contracting roles.”
DIO has now published online Potential Bidders Directories for each of the three contracts, to enable supply chain businesses to engage with organisations with a formal interest in prime contractor positions. It is expected that the three Regional Prime contracts will be awarded in 2014.
ENDS
Further information:
Press enquiries to Tony Moran, Senior Communications Officer 0121 311 3879 or email tony.moran572@mod.uk
Defence internet – NGEC programme: http://www.mod.uk/DefenceInternet/MicroSite/DIO/WhatWeDo/NextGenerationEstateContracts.htm
NGEC Regional Prime contracts: http://www.mod.uk/DefenceInternet/MicroSite/DIO/WhatWeDo/NGEC/RegionalPrimes.htm
NGEC Potential Bidders Directory (links at bottom of page): http://www.mod.uk/DefenceInternet/MicroSite/DIO/OurPublications/NGEC/IndustryDaysAndPotentialBiddersDirectory.htm
Notes to editors
1. The Defence Infrastructure Organisation (DIO) is part of the Ministry of Defence (MOD). It is responsible for managing and maintaining land and properties to meet the current and future needs of the MOD and personnel at home and abroad, and to support current operations.
2. Our work includes providing, supporting and improving: operational units; single living and service family accommodation; training areas and historic military sites. DIO actively manages these to ensure the needs of Defence are met, value for money is achieved, our heritage is protected and to achieve our environmental goals.
3. The DIO was formed on 1 April 2011 when the former Defence Estates (DE) organisation was brought together with other property and infrastructure functions within the department to form a single organisation. The DIO manages the MOD’s property infrastructure and ensures strategic management of the Defence estate as a whole.
4. The Defence estate is valued at approximately £15.3 billion, spanning 230,000 hectares and 45,000 buildings.
5. The Next Generation Estate Contracts (NGEC) Programme is developing a new suite of contracts for the UK Defence estate, comprising four Regional Prime contracts for hard facilities management, one national and six regional Capital Works Frameworks for construction projects, a National Housing Prime contract, and the National Training Estate Prime contract. The contracts are estimated to be worth between £500m and £600m per annum, and more than £5 billion over 10 years, exclusive of construction projects.
6. Under the NGEC programme, the DIO is developing and procuring a total of four Regional Prime contracts for the provision of Hard Facilities Management (Hard FM) across the UK Defence estate. Each contract will deliver maintenance and repairs to the built estate, with other services including a 24/7 helpdesk for estate-users, a regional energy management bureau, grounds maintenance, and snow and ice clearance. The contracts also include options for land management services and construction projects valued below £3.93m.
7. Major sites covered by the ‘Tranche 2’ Regional Prime contracts include: Regional Prime Central – Catterick Garrison, Beacon Barracks Stafford, RAF Shawbury and RAF Valley training bases, DST Leconfield, Wattisham Airfield, RAF College Cranwell, and the intelligence and security centre at Chicksands Regional Prime South East – RMA Sandhurst, DMRC Headley Court, HQ Land Forces Andover, Hyde Park Barracks, Woolwich Barracks, Horse Guards, RAF High Wycombe and RAF Northolt Regional Prime South West – various Royal Marines bases, RNAS Yeovilton, RNAS Culdrose, Defence Equipment and Support (DE&S) headquarters, Bristol.
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