Public procurement notice: Contract Award Notice
Published: 2019-10-16
Buyer: Banedanmark
Country: DK
Contract type: Services
Procedure: Contract award without prior publication
CPV classification: 71311200 | 71311300
Estimated value: 2900000000 DKK
Award criteria: Lowest price

Technical requirements: Technical Consultancy and Support for the National Signaling Renewal Programme in Denmark (ERTMS Deployment)
In January 2009 the Danish Parliament decided to fund a 18 000 000 000 DKK national replacement programme of renewing all Danish railway signaling by 2023 (ERTMS). As part of this, in 2009, Banedanmark entered a main consultancy agreement concerning technical consultancy and support (multiconsultancy services) with a Joint Venture (see Section V.2.3). This initial contract was subject to a call for competition. In the contract notice from 2009 it was stated that the estimated value of the contract was between 500 000 000 DKK and 1 000 000 000 DKK, and that the stated amount was a rough estimate. During 2018 – 2019, the programme has been subject to re-planning, and the final roll-out has been postponed to 2030 due to an unforeseen complexity in the installation of the IT based signaling programme. This notice regards the concluded amendment of provisions to the contract following the re-planning of the signaling programme.
As mentioned, in 2009, Banedanmark entered a main consultancy agreement concerning technical consultancy and support (multiconsultancy services) with a Joint Venture (see Section V.2.3)). This is referred to as the Joint Venture contract and covers technical multiconsultancy during the completion of the signaling replacement programme (from design to end phase).
In order to ensure that the Joint Venture contract is fully updated and complies with the new planning set up of the signaling programme, Banedanmark has entered into a contract amendment with the Joint Venture, which this notice regards to. The contract amendment has not been concluded/signed before the expiry of 10 calendar days with effect from the day following the date of publication of the previous notice, cf. Section 4 (1) (2) of the Act on the board of appeal.
The amendment includes the settlement of several contractual issues that have arisen during the term of the contract since its initiation in 2009 and as a result of the re-planning of the national signaling programme. The amendment cover:
(i) clarification as regards the duration of the contract (15.1): in the contract notice from 2009 it was stated that the contract covered multi-disciplinary consultancy services from August/September 2009 to the closing of the signalling programme around 2023. The closing of the signalling programme is now estimated to be in 2030. Consequently, it is clarified in the amendment that the duration of the contract has been updated to cover; ‘the end of the programme, latest by 31.12.2030.’ In relation to this, the Joint Venture is compensated with 50 % of the documented additional costs for the project insurance with a cap of 800 000 DKK;
(ii) Banedanmark’s right to partially terminate the contract (15.2): on at least 3 months notice, Banedanmark can partially terminate tasks inherent in the contract;
(iii) the scope of the contract (17.2): In relation to point ii), Banedanmark further has the right to award these tasks to another contractor if Banedanmark finds these more capable;
(v) integrated teams: strengthened management of work performed in integrated teams consisting of Banedanmark and Joint Venture resources. The Joint Venture is compensated with additional 2 FTE’s for this purpose.
Banedanmark finds that the amendment does not change the overall purpose and scope of the Joint Venture contract. The overall scope of the contract is – also with the amendment – to provide multidisciplinary technical consultancy and service for the completion of the programme (covering tender phase, design, early deployment, roll-out on both the city line S-banen, regional and national lines and Programme Closing). Further, certain circumstances (the above-mentioned) have changed in a way which was not and could not have been foreseen, and Banedanmark finds that it is necessary to continue to purchase consultancy services from the Joint Venture, which since 2009 has built up and obtained unique competences and knowledge of the Danish Signalling Programme. Thus, Banedanmark considers that the amendment – with reference to Article 89, paragraph 1, litra b) and c) of the Utilities Directive (2014/25) — does not constitute a substantial change and is consequently permitted under the public procurement rules. Reference is made to the detailed explanation hereof in Annex D2, Section 3, below.
Banedanmark estimates that the total value of the contract, covering the period from 2009 to 2030, will be approximately 2 900 000 000 DKK.
2014-DK-TM-0183-W “ERTMS Trackside deployment along the section Copenhagen H – Køge Nord – Ringsted in East Denmark”
Overall, Banedanmark considers that the agreed changes to the ‘Joint Venture Contract’, following the replanning of the Danish signaling programme, do not constitute a substantial change to the contract. Thus, it is Banedanmark’s assessment that the amendment – with reference to Article 89, paragraph 1, litra b) (additional supplies) and c) (unforeseen events) of the Utilities Directive (2014/25) – is permitted under the public procurement rules.
The national roll-out of the new signaling programme (ERTMS) in Denmark has included the development of an IT based system. This has covered IT development according to new European standards of a system of which Denmark is a national first-mover. The complexity of the programme has, however, been greater than could have been foreseen, as other similar European ERTMS programmes also show. This has resulted in the re-planning of the national roll-out in Denmark postponing the last roll-out of the ERTMS system from 2023 to 2030.
The Joint Venture has provided and still is providing critical technical expertise, which is critical for the success of the programme and which would be very difficult for a new contractor to similarily build up. Hence, it would be a vast setback for the signalling programme and extremely resource-demanding and expensive to re-tender the contract. In addition to this, Banedanmark needs the unique competences and knowledge that the Joint Venture has built up specifically of the Danish signaling programme since 2009 to finish the programme in 2030.


Winner: Rambøll Danmark A/S, Atkins Danmark A/S, Emch+Berger AG Bern, Parsons Group International Ltd. And Rambøl – Atkins – EMCH + Berger – Parsons Joint Venture
Award value: 2900000000
Number of bids: 1