Network Rail Eastern Midland Main Line Electrification Partnership Framework

Description

Network Rail (NR) intends to select suppliers to the Midland Main Line Electrification (MMLE) Partnership Framework for an initial term of 5 years with the option to extend yearly increments up to a further 5 years. The MMLE programme will extend electric operation on the MML through to Nottingham and Sheffield. To help realise early electrification benefits Route Section (between Market Harborough to Wigston South) has been delivered separately from the remaining route sections as a continuation of the existing programme. The scope of this procurement is for the next stage of the electrification between Wigston and Nottingham out to Sheffield. The values for each Lot are estimates only. As such, they are not guaranteed and do not act as a minimum or maximum work value for the programme nor a guarantee as to volume. One key MMLE objective is ‘delivery on spend per single track kilometre (£/STK) target’. The recently commissioned London to Corby electrification was delivered at a rate of £3.7m per STK with the application of SPEED principles. The next stage of electrification is targeted to deliver £2.5m per STK. This programme focuses on challenging and driving down the STK rate. Details of all the MMLE objectives can be found in the Strategic Brief. The Framework shall be split into the 4 work disciplines across the following delivery lots: Lot 1 – Power & Distribution; Lot 2 – Structures & Civils; Lot 3 – OLE & Integration; Lot 4 – Signalling & Telecoms. The values for each Lot are estimates only. As such, they are not guaranteed and do not act as a minimum or maximum work value for the programme nor a guarantee as to volume. There will be 1 Partner plus 2 pre-qualified reserve suppliers appointed to Lots 1, 2, 3 & 4 on the framework. Reserve suppliers have been included to achieve appropriate resilience in delivery and to ensure business contingency. Tenderers may bid for any number of lots, and be awarded on a maximum of 2 different lots. The Partnership Framework includes a performance-based incentive mechanism to drive the STK rate and achieve the other MMLE objectives, including health and safety, decarbonisation and social value. Partners will be incentivised both individually and collectively. There will be an opportunity to comment on the contractual documentation. NR will determine which, if any, changes should result in revisions to the Framework based on the objective merit of the proposed changes. Further detail is set out in the Instructions to Participants. The contractual documentation will not be subject to negotiation. The negotiations will relate to the price element only. Participants will have an opportunity to update their tenders following negotiations. Initial Tenders will be evaluated but feedback will not be shared with participants. Only feedback on Final Tenders will be shared. Please note, that the value ranges of each Lot in the Instructions to Participants are indicative only. Similarly, whilst the Contract Notice states a Framework value cap of £1.2bn, NR currently has internal governance approval for a Framework value of £950 million (associated with the main elements of the MMLE works as currently envisaged). The higher value included in the Contract Notice is not an absolute cap but is indicative of the potential level to which the original budget could increase if additional works and services to that which is currently envisaged, are required. All values are estimates only, and the final values will depend on the precise works and services required to be delivered, the means of delivery, the way in which projects and project risks materialise, the actual rates of inflation up to completion of the programme, and other factors.

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