Lowest level of conditionality

2.12 When bidders respond to a tender document, they may attach conditions to their bid. The STEPS Legal Group assessed the bids to establish the level of conditionality, or the amount of change to the draft contract, that each bidder was requesting. Mapeley STEPS had only one comment that the Departments considered to be a material change to the risk allocation proposed in the draft contract. The Departments expected that this condition could be eliminated during the course of the preferred bidder stage. As the other bidders had a much greater number of comments on the draft contract, the Legal Review Group therefore concluded that Mapeley STEPS' bid was the clear winner.

11

 

Bids at selection of preferred bidder

 

 

Bidder

NPC with £220 million up-front payment

NPC with nil up-front payment

 

Mapeley STEPS

£1,427 million

£1,464 million

 

Trillium

£1,982 million

£2,104 million

 

Servus

£1,920 million

Late bid considered non-compliant.

 

 

 

 

 

Source: Financial Review Group Evaluation Report

 

 

12

 

Mapeley STEPS bid versus the best available alternative

 

 

Option

Base Case NPC

Minimum Likely NPC

Maximum Likely NPC

 

Business Improvement (PSC)

£1.83 billion

£1.729 billion

£1.976 billion

 

PFI Scheme with Mapeley STEPS

£1.486 billion

£1.43 billion

£1.542 billion

 

 

 

 

 

 

Source: STEPS Final Business Case