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Design & Build of New Passenger Vessel

Shetland Islands Council

Buyer Contact Info

Buyer Name: Shetland Islands Council

Buyer Address: 8 North Ness Business Park, Lerwick, Shetland, UKM66, ZE1 0LZ, United Kingdom

Contact Name: Graeme MacDonald - Procurement Manager

Contact Email: contract.admin@shetland.gov.uk

Contact Telephone: +44 1595744595

Status
active
Procedure
selective
Value
35100000.0 GBP
Published
29 Jan 2026, 16:34
Deadline
02 Mar 2026, 12:00
Contract Start
n/a
Contract End
n/a
Category
goods
CPV
34512000 - Ships and similar vessels for the transport of persons or goods
Region
n/a
Awarded To
n/a
Official Source
Open Find a Tender

Description

The requirement is for a new 33m Class B Ro-Ro passenger vessel to operate on Shetland’s routes as a relief vessel (the "Vessel"). The Vessel must be built and delivered to the Council in Shetland, Scotland by 31st March 2029. The Council has a strong preference for an earlier handover of 31st October 2028. The contract awarded will be BIMCO NEWBUILDCON with amendments, as described in more detail in the draft Invitation to Negotiate ("ITN") included in the Procurement Documents (the "Contract").

Linked Documents

No linked documents found for this notice.

Opportunity Context

Lots

Lot Description: The procurement procedure being followed for the Vessel​ is the Competitive Procedure with Negotiation (CPN) in accordance with Regulation 30 of the Public Contracts (Scotland) Regulations 2015 (the "Regulations"). The structure of the procurement (the “Procurement”) is as follows: Stage 1: Shetland Islands Council (the “Council”), by publishing this Contract Notice, invites candidates to request to participate in the process by completion of an SPD response; Stage 2: successful candidates from Stage 1 will be invited to submit Initial Tenders (“Initial Tenders”) and to negotiate with the Council with a view to improving the content of their Initial Tenders (the “Negotiation Process”); Stage 3: Tenderers will then be invited to submit Final Tenders (“Final Tenders”) which will be evaluated in order for the Council to identify the most economically advantageous tender (“MEAT”); and Stage 4: subject to completion of the mandatory standstill period, and approval of a full business case by the Council’s elected members, the Council will then enter into the Contract with the successful Tenderer. The Council reserves the right to award the Contract on the basis of Initial Tenders without negotiation in accordance with Regulation 30(16) of the Regulations. In that scenario, the Council will not conduct the Negotiation Process or invite Final Tenders, and will move directly to Stage 4. Additional information: The draft ITN being published with this contract notice is provided for information only. The final version of the ITN will be provided to those candidates who are shortlisted to Stage 2. The Council reserves the right to amend any part of the ITN, including the award criteria, in preparing the final version before Stage 2.

Lot 1 Status: active

Lot 1 Has Options: Yes

Lot 1 Options: The Council reserves the option to procure up to two further similar vessels from the successful Tenderer. These options, if exercised, could be awarded pursuant to this Contract or as new contracts following the negotiated procedure without prior publication, including in accordance with Regulation 33(8) of the Regulations. Exercise of any option to procure a further similar vessel would be conditional upon: -successful delivery of the Vessel procured under the original contract; -the Council receiving the necessary capital funding for the procurement of further similar vessels; -agreement with the successful Tenderer on the terms of any further procurement; and -alignment with the Council’s strategic priorities when considering options for future procurements. The reservation of this option shall not be regarded as a commitment or representation on the part of the Council (or any other person) to enter into any contractual agreement. The Council reserves the right to choose not to award any further contracts to the successful Tenderer. Tenderers should note that the estimated value stated in this Contract Notice is the estimated value for three vessels, as required by Regulation 6 of the Regulations. The Council only intends to procure one vessel at this time, and there is no guarantee that any option to procure further similar vessels will be exercised. The Council anticipates that the value of the first Vessel, covered by this Procurement, will be around 11,700,000 GBP.

Lot 1 Value: GBP 35,100,000.00

Lot 1 Contract Start: 2026-10-31T00:00:00Z

Lot 1 Contract End: 2029-03-31T23:59:59+01:00

Raw Notice JSON

Expand raw payload
{
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    "name": "Shetland Islands Council"
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  "date": "2026-01-29T16:34:03Z",
  "description": "Please note that it is an essential requirement of the procurement process that Tenderers fully complete and submit a satisfactory Single Procurement Document (SPD) (Scotland) and satisfy all requirements specified or referred to in the Contract Notice.\nThe Council is not and shall not be under any obligation to award a contract and shall be at liberty to abandon the procurement exercise at any time including any time after submission and evaluation of Tenders.\nThe Council intends to negotiate all Initial Tenders received with a view to improving their content. The anticipated Negotiation Process is set out in the draft ITN included in the Procurement Documents.\nHowever, the Council reserves the right to award the Contract on the basis of Initial Tenders without negotiation in accordance with Regulation 30(16) of the Regulations. In that scenario, the Council will not conduct the Negotiation Process or invite Final Tenders, and will move directly to Stage 4.\nThe Contract shall be subject to Scots Law and the jurisdiction of the Scottish Courts.\nGBP means Great British Pounds.\nThe Council, having considered whether to impose community benefit requirements as part of the Procurement, has determined that these cannot be imposed in a manner which is proportionate and relevant to the subject matter of the Contract. The geographical location of the Council\u2019s area means that there are limitations to the local community benefits that shipbuilders can offer as part of this contract.\nNOTE: To register your interest in this notice and obtain any additional information please visit the Public Contracts Scotland Web Site at https://www.publiccontractsscotland.gov.uk/Search/Search_Switch.aspx?ID=820272.\nThe buyer has indicated that it will accept electronic responses to this notice via the Postbox facility. A user guide is available at https://www.publiccontractsscotland.gov.uk/sitehelp/help_guides.aspx.\nSuppliers are advised to allow adequate time for uploading documents and to dispatch the electronic response well in advance of the closing time to avoid any last minute problems.\nThe Contracting Authority does not intend to include a sub-contract clause as part of community benefits (as per Section 25 of the Procurement Reform (Scotland) Act 2014) in this contract for the following reason:\nThe Council, having considered whether to impose a sub-contract requirements as part of the Procurement, has determined that these cannot be imposed in a manner which is proportionate and relevant to the subject matter of the Contract.\nThe Contracting Authority does not intend to include any community benefit requirements in this contract for the following reason:\nThe Council, having considered whether to impose community benefit requirements as part of the Procurement, has determined that these cannot be imposed in a manner which is proportionate and relevant to the subject matter of the Contract. The geographical location of the Council\u2019s area means that there are limitations to the local community benefits that shipbuilders can offer as part of this contract.\n(SC Ref:820272)\nDownload the ESPD document here: https://www.publiccontractsscotland.gov.uk/ESPD/ESPD_Download.aspx?id=820272",
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        "postalCode": "ZE1 0LZ",
        "region": "UKM66",
        "streetAddress": "8 North Ness Business Park"
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        "name": "Graeme MacDonald - Procurement Manager",
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      "description": "Ferry boats",
      "id": "34512100",
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      "performanceTerms": "Candidates at Stage 1 should have regard to the Contract Summary included within the Procurement Documents.  In particular, please note terms regarding guarantees, including the requirement to provide a Refund Guarantee.  The full Contract is to be provided to those candidates who are shortlisted to Stage 2."
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    "description": "The requirement is for a new 33m Class B Ro-Ro passenger vessel  to operate on Shetland\u2019s routes as a relief vessel (the \"Vessel\"). The Vessel must be built and delivered to the Council in Shetland, Scotland by 31st March 2029. The Council has a strong preference for an earlier handover of 31st October 2028.\nThe contract awarded will be BIMCO NEWBUILDCON with amendments, as described in more detail in the draft Invitation to Negotiate (\"ITN\") included in the Procurement Documents (the \"Contract\").",
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          "description": "The Tenderer must demonstrate one of the following requirements:\n-Full financial statements for the last 3 financial years available; if no accounts are available (eg new company) then a bank reference is required.  Where accounts are not in English, the Tenderer must provide certified extracts in the English language.\n-A current bank reference which supports that the company could currently support an annual contract value of at least 6.143m GBP per annum.  This is 70% of the estimated annual contract price over a 4 year period, which is based on the risk profile of the contract; or\n-A credit rating check report to support a minimum annual value of 6.143m GBP; or\n-An average minimum general turnover of 4.388m GBP for the last 3 financial years available and an average minimum specific turnover of 4.388m GBP for the last 3 financial years available; or\n-A minimum general turnover of 4.388m GBP and minimum specific turnover of 4.388m GBP for the last financial year available; or\n-A minimum general turnover of 4.388m GBP and minimum specific turnover of 4.388m GBP for the current financial year by supporting verifiable evidence such as an extract from the company\u0027s finance and accounting software.\nThe standard ratios and metrics which will be used as part of the assessment are detailed in SPD Guidance Document.\nTenderers must confirm that they have or will be able to obtain the following required types and levels of insurance:\n- Employers (Compulsory Liability Insurance - 10,000,000 GBP for each and every claim;\n- Public and Products Liability Insurance - 5,000,000 GBP for each and every claim.\nPlease refer to the SPD Guidance document for further information on requirements.",
          "type": "economic"
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          "description": "Within Section 4C of the SPD, the Tenderer must respond to the following questions:\n4C1.1 \u2013 Relevant examples - Design Development\n4C1.2 \u2013 Relevant examples - Similar Vessels\n4C2 - Technicians or Technical Bodies for Quality Control\n4C7 - Environmental Management Measures\n4C9 - Tools, Plant or Technical Equipment\nPlease refer to the SPD Guidance document for the detailed requirements for each question and information on how each question will be weighted and scored.\nWithin Section 4D of the SPD, the Tenderer must respond to the following questions:\n4D.1 \u2013 Quality management, quality management procedures, and health and safety procedures\n4D.2 - Environmental management systems or standards\nPlease refer to the SPD Guidance document for the detailed requirements for each question and information on how each question will be assessed.",
          "type": "technical"
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    "tenderPeriod": {
      "endDate": "2026-03-02T12:00:00Z"
    },
    "title": "Design \u0026 Build of New Passenger Vessel",
    "value": {
      "amount": 35100000.0,
      "currency": "GBP"
    }
  }
}