Find a TenderAwarded without competition
Published 10 Feb 2021, 15:14 GMT

Official UK procurement notice

Supply & Delivery of PLC, HMI, SCADA and Industrial Networking Equipment

Official notice

Authority: United Utilities Water Limited (Public body)

Framework agreementGoodsAward procedure without prior publication of a call for competition
Framework ceiling (notional)Value not publishedframework ceiling, not attributable revenue
Awarded 10 Feb 2021no call for competition

What is being bought

Published requirement description

The requirement is to supply a range of site based hardware & software supported by a supervisory control and data acquisition platform to support the United Utilities Wholesale business and its need to automate, monitor &control.

  • Local Automation PLC/HMI Hardware & Software
  • SCADA Software - Supervisory Control Software
  • SCADA Systems Hardware - Servers & PLC's

CPV: Command, control, communication and computer systems · Industrial process control equipment · Industrial process control equipment and remote-control equipment · Instrumentation and control equipment · Scada or equivalent system · Telemetry and control equipment

The lotProcurement structure

single lot · no lot value published
Lot #1The contractual arrangement for supplies will include:

The contractual arrangement for supplies will include:

  • Local Automation PLC/HMI Hardware & Software
  • SCADA Software - Supervisory Control Software
  • SCADA Systems Hardware - Servers & PLC's

The contractual arrangement for services will include:

  • Pre and post sales application support
  • Technical support and training
  • Engineering software licences.
  • Supply of hardware and software compliant with the BS EN 62443 Standard for Cyber Security and represent best practice with regards to the NIS Directive
  • Associated Spares
  • Field Services

In delivering the supplies under this contractual agreement, it is a requirement that the Supplier shall comply with the relevant technical standards which will be detailed within the agreement.

With regards to the hardware and software (i.e. supplies), these shall be required by a number of third party routes, including but not limited to:

  • UU Internal teams
  • UU Framework Systems Integrators working for UU's delivery partners
  • Maintenance delivery partners
  • Construction delivery partners
  • Design & Build contractors Additional information: Type of procedure

Negotiated procedure without prior call for competition

Additional deliveries by the original supplier ordered under the strict conditions stated in the directive

Explanation:

United Utilities the contracting entity, 90% of its operational sites are controlled, monitored and automated using Siemens S7 PLCs and WinCC SCADA software and the next investment programme calls for circa 2% of its PLC/SCADA to be replaced. Awarding the PLC/SCADA contract to any supplier other than the incumbent will re-introduce 'Islands of Automation' onto our sites.

This introduces numerous potential issues such as:

  • Single Points of Failure;
  • Duplication of both tasks and data;
  • More complex designs;
  • Lengthier troubleshooting; and
  • is generally and much more inefficient way to automate a site.

At a site level United Utilities has mostly eliminated this issue, to introduce differing technology (with limited to no interconnectivity) to these sites would be to reintroduce issues such as the above.

An alternative to introducing Islands of Automation would be to replace all hardware and software on a site that is introducing new hardware. This would require software to be reverse engineered and redesigned in a way to work on the new platform and then being re-commissioned.

Independent third parties have provided proposals for a full PLC replacement project (using non incumbent technology), based on a typical UU Waste Water plant size using the above scenario for verification. The technical complexity (design, coding and testing effort required) to achieve this, when compared to implementing an additional PLC onto a site using the incumbent's technology, was found to be a ratio of 11:1.

The Framework was last tendered in 2009, with minor amendments to scope and terms negotiated with the successful supplier, (Siemens PLC), as part of the strategy for Kit Framework awards for AMP6 in 2015.

Prior to 2009, Siemens were also the incumbent supplier for these products and services and have been the UU SCADA platform provider since 2004

The Kit Framework is still in place with Siemens PLC until Sept 2020, with no further extension options under the current arrangement which has now expired.

United Utilities conducted stakeholders meetings and agreement sought that confirm the optimum solution would be to re-negotiate with the current incumbent, there is a need to justify and confirm the disproportionality of re-tendering v transition costs, i.e. the cost of changing asset base, associated protocols, training material, maintenance regimes, spares and knowledge etc., should the solution provider change.

United Utilities conclusion is that the significant extra technical steps required to transition to a change of supplier would oblige the utility to acquire supplies having different technical characteristics which would result in incompatibility or disproportionate technical difficulties in operation and maintenance. It is therefore, necessary to conduct a negotiated procedure without prior call for competition, as highlighted above United Utilities have acted in good faith prior to coming to this decision based on the due diligence that has been conducted.

Delivery: North West

Procedure terms & legal framework

From the official record
Procedure method
Award procedure without prior publication of a call for competition
Legal basis
CELEX · 32014L0024 Public Contracts Regulations 2015 (Directive 2014/24/EU)
Procurement category
Goods
Notice status
Awarded without competition
Procurement threshold
Unspecified in notice
Regulatory regime
Standard
Commercial structure
Framework agreement
Who may use this agreement
Not stated in the notice; call-off rights may be limited to the establishing authority
Competition type
Direct award (no call for competition)
GPA / WTO covered
Unspecified in notice
Recurring procurement
Unspecified in notice
First published
10 Feb 2021, 15:14 GMT
Last source update
10 Feb 2021, 15:14 GMT
Authority reference
PRO004136
FTS notice number
2021/S 000-002731
Classification (CPV)
Command, control, communication and computer systemsIndustrial process control equipmentIndustrial process control equipment and remote-control equipmentInstrumentation and control equipmentScada or equivalent systemTelemetry and control equipment
Delivery area
North West (UKD)
Official registry OCID
ocds-h6vhtk-029212 Find a Tender
Why no open competition
The procurement falls outside the scope of application of the directive
Published justification

United Utilities the contracting entity, 90% of its operational sites are controlled, monitored and automated using Siemens S7 PLCs and WinCC SCADA software and the next investment programme calls for circa 2% of its PLC/SCADA to be replaced. Awarding the PLC/SCADA contract to any supplier other than the incumbent will re-introduce 'Islands of Automation' onto our sites.

This introduces numerous potential issues such as:

  • Single Points of Failure;
  • Duplication of both tasks and data;
  • More complex designs;
  • Lengthier troubleshooting; and
  • is generally and much more inefficient way to automate a site.

At a site level United Utilities has mostly eliminated this issue, to introduce differing technology (with limited to no interconnectivity) to these sites would be to reintroduce issues such as the above.

An alternative to introducing Islands of Automation would be to replace all hardware and software on a site that is introducing new hardware. This would require software to be reverse engineered and redesigned in a way to work on the new platform and then being re-commissioned.

Independent third parties have provided proposals for a full PLC replacement project (using non incumbent technology), based on a typical UU Waste Water plant size using the above scenario for verification. The technical complexity (design, coding and testing effort required) to achieve this, when compared to implementing an additional PLC onto a site using the incumbent's technology, was found to be a ratio of 11:1.

The Framework was last tendered in 2009, with minor amendments to scope and terms negotiated with the successful supplier, (Siemens PLC), as part of the strategy for Kit Framework awards for AMP6 in 2015.

Prior to 2009, Siemens were also the incumbent supplier for these products and services and have been the UU SCADA platform provider since 2004

The Kit Framework is still in place with Siemens PLC until Sept 2020, with no further extension options under the current arrangement which has now expired.

United Utilities conducted stakeholders meetings and agreement sought that confirm the optimum solution would be to re-negotiate with the current incumbent, there is a need to justify and confirm the disproportionality of re-tendering v transition costs, i.e. the cost of changing asset base, associated protocols, training material, maintenance regimes, spares and knowledge etc., should the solution provider change.

United Utilities conclusion is that the significant extra technical steps required to transition to a change of supplier would oblige the utility to acquire supplies having different technical characteristics which would result in incompatibility or disproportionate technical difficulties in operation and maintenance. It is therefore, necessary to conduct a negotiated procedure without prior call for competition, as highlighted above United Utilities have acted in good faith prior to coming to this decision based on the due diligence that has been conducted.

Commercial outcome & contract awards

Published awards, contracts and bid statistics, not a forecast

1 suppliers are admitted to this framework without individual award values or dates, see the supplier list below.

Contracts

  • Supply & Delivery of PLC, HMI & SCADA and Industrial Networking Equipment

    Signed
    10 Feb 2021
    Value
    £8,000,000
    Status
    active

Contracting authority & participating public bodies

UNITED UTILITIES WATER LIMITED

Contracting authorityPublic bodyUtilitiesWater Haweswater House,Lingley Mere Business Park, Lingley Green Avenue, Great Sankey, WARRINGTON, North West, WA53LPContact name, email, phone

Dispute resolution & review bodies

  • High Court of England and Wales, London, United KingdomReview body London

Framework contractors & participating bidders

1 commercial party on the notice
  • Siemens PlcFramework contractor 00727817 Farraday House, Sir William Siemens Square, Frimley, Camberley, South East, GU168QD

Official documents & specifications

Official links; attachments are not copied

No document links were published on the notice.