The provision of freight services for the supply of personal protective equipment medical equipment

Concepts

• freight transport agency
• provision of freight services
• medical equipment
• supply of personal protective equipment

Location

London

Description

The provision of freight services for the supply of personal protective equipment and medical equipment

Total Quantity or Scope

Direct Award under Reg 32 of the Public Contracts Regulation 2015 for COVID-19 response

Award Detail

Award Criteria

CPV Codes

• 63521000 - Freight transport agency services

Indicators

• Award on basis of price.

Legal Justification

1. The consequences of not responding rapidly to the pandemic to meet the exceptional increases in demand for PPE to protect care providers and key workers, and medical products to treat patients, would be a significant excess illness and deaths in the UK.2. Huge increases in global demand, export restrictions from various nation states all contributed to a shortage of product availability. Where product could be sourced it was imperative that this product was moved at the earliest opportunity to prevent it being sold to higher bidders.3. The urgent need for PPE and medical products in the UK created a requirement for the fastest mode of transport. Air freight transit times were in the region of 4-5 days whereas sea freight was between 56-84 days.4. The disruption to freight and exports from China following their lockdown and export restrictions led to the severely restricted availability of freight capacity.5. The market for air freight was particularly disrupted by the cancellation of many scheduled passenger airline flights (removing significant air freight capacity from the market). This created a situation where there was severe lack of physical air freight capacity and dramatic cost inflation in this market.6. No pre existing government commercial agreements were identified which covered the nature and scale of the services required.7. This contract was awarded to Virgin Atlantic to meet a specific urgent need to transport PPE to the UK, utilising flights from China to UK during June 2020.The Department is content the tests permitting use of the Negotiated procedure without prior publication (Regulation 32(2)(c)) are met:1) Air freight charters was identified as strictly necessary to meet anticipated demand.2) It is responding to COVID-19 immediately because of public health risks presenting a genuine emergency.3) The events that led to the need for extreme urgency were unforeseeable: The Commission itself confirmed: “The current coronavirus crisis presents an extreme and unforeseeable urgency – precisely for such a situation our European rules enable public buyers to buy within a matter of days, even hours, if necessary.""4) There was no time to run an accelerated procurement under the open, restricted or competitive procedures with negotiation that would secure services within the required timescales.5) The situation is not attributable to the contracting authority: It has not done anything to cause or contribute to the need for extreme urgency