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Tuesday 12.11.2019 | Name days: Kaija, Kornēlija
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Authorities prohibit Latvian railway company from contracting Škoda Vagonka

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Baltic news, News from Latvia, BNN.LV, BNN-NEWS.COM, BNN-NEWS.RULatvia’s Procurement Monitoring Bureau has prohibited railway company AS Pasažieru vilciens from signing a train procurement contract with Czech company Škoda Vagonka, according to published information.

Procurement Monitoring Bureay has reviewed Spanish company Patentes Talgo S.L. application regarding Pasažieru vilciens’ organized talks on Suburb Passenger Train and Maintenance Equipment Supply and Personnel Training.

The Procurement Monitoring Bureau’s committee mentioned in its report that Talgo objects to Škoda Vagonka’s submitted electricity consumption. PMB recognized the part of Talgo’s application that doubts if the equipment Škoda Vagonka offers to supply can reduce electricity consumption is even part of trains and if the information regarding reduced energy consumption is justified.

Talgo also mentions that Škoda’s offered train maintenance costs are unjustifiably low. Talgo also questions inclusion of costs for unplanned repairs in the offer. After analysing the opinion of one of the sides, Procurement Monitoring Bureau recognized it as justified.

After analysing Talgo’s application, Procurement Monitoring Bureau decided to prohibit Pasažieru vilciens from signing procurement contract with Škoda Vagonka and cancel procurement committee’s decision on results of the talks procedure. Additionally, Pasažieru vilciens to prevent uncovered violations within 20 days of the decision’s announcement and perform a repeated evaluation of the talks procedure.

Pasažieru vilciens representative Egons Ālers said the company’s legal and technical experts are currently busy evaluating Procurement Monitoring Bureau’s decision to ensure the company is able to procure new trains.

BNN had previously reported that four contenders competed for the right to supply 32 new trains in Latvia – Spanish Talgo, Swiss company Stadler’s Polish subsidiary, Spanish Construcciones y Auxiliar de Ferrocarriles and Škoda Vagonka. Initially Pasažieru vilciens picked Talgo the winner. This company’s offered price was EUR 225,303. However, two other contenders – Škoda Vagonka and CAF – submitted complaints to Latvia’s Procurement Monitoring Bureau.

After viewing complaints, PMB prohibited Pasažieru vilciens from signing a contract with Talgo. However, after reviewing offers again, Pasažieru vilciens decided to pick Škoda Vagonka, whose offered price is EUR 241,888.

The company’s management explained that the winner was changed because Pasažieru vilciens took into account recommendations from PMB on the reassessment of another’s electricity price. Talgo’s offered price was lower, but train maintenance costs offered by Škoda Vagonka over a 35 year cycle were more beneficial. This also means lower general costs.

Talgo later submitted a complaint in regards to the chosen winner.


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