Contract award notice
Results of the procurement procedure
Section I: Contracting
entity
I.1) Name and addresses
Department of Health and Social Care
39 Victoria Street
London
SW1H 0EU
UK
E-mail: Procurement.Operations@dhsc.gov.uk
NUTS: UKI32
Internet address(es)
Main address: https://www.gov.uk/government/organisations/department-of-health-and-social-care
Address of the buyer profile: https://www.gov.uk/government/organisations/department-of-health-and-social-care
I.4) Type of the contracting authority
Ministry or any other national or federal authority, including their regional or local subdivisions
I.5) Main activity
Health
Section II: Object
II.1) Scope of the procurement
II.1.1) Title
Oxygen and Ventilator Workstream: Clinical Items — Hunan Beyond Medical Technology Ltd (3)
II.1.2) Main CPV code
33100000
II.1.3) Type of contract
Supplies
II.1.4) Short description
The purchase of medical equipment and medical consumables by the Department of Health and Social Care direct from suppliers as part of the response to the Covid-19 Pandemic in the United Kingdom.
II.1.6) Information about lots
This contract is divided into lots:
No
II.1.7) Total value of the procurement
Value excluding VAT:
2 077 000.00
USD
II.2) Description
II.2.2) Additional CPV code(s)
33140000
33140000
II.2.3) Place of performance
NUTS code:
UK
II.2.4) Description of the procurement
The purchase of medical equipment and medical consumables by the Department of Health and Social Care direct from suppliers as part of the response to the Covid-19 Pandemic in the United Kingdom.
II.2.5) Award criteria
Cost criterion: Cost
/ Weighting: 100
II.2.11) Information about options
Options:
No
II.2.13) Information about European Union funds
The procurement is related to a project and/or programme financed by European Union funds:
No
II.2.14) Additional information
N/A
Section IV: Procedure
IV.1) Description
IV.1.1) Type of procedure
Award of a contract without prior publication of a call for competition
Justification for selected award procedure:
Extreme urgency brought about by events unforeseeable for the contracting authority and in accordance with the strict conditions stated in the Directive
Explanation
In March the NHS across the UK had access to approximately 8 000 ventilators. Modelling based the trajectory of other European countries forecast the need for significant and extremely rapid increase in the UK ventilator capacity. The Prime Minister outlined the need in March 2020 for a rapid increase in ventilator capacity recognising that Coronavirus is the biggest threat this country had seen for decades and that we faced a moment of national emergency. Significant quantities of extra ventilators would be required to treat seriously ill patients during the first wave of infections. Shortfalls in equipment and consumable stocks were identified globally. Pressure to increase manufacturing capacity was immense, requiring urgent action and rapid delivery to meet demand. In these circumstances a procurement following the usual PCR 2015 timescales, including accelerated options, was impossible. Manufacturers and supply chains were under immediate and unprecedented global pressure to provide products. A delay in engaging with the market by running a usual procurement process ran the risk of failing to acquire the necessary stock of equipment and consumables essential for the safe operation of ventilators and presented a significant risk to life. The Department is satisfied the tests in Regulation 32(2)(c) are met:
1) purchasing these items was identified as strictly necessary to meet anticipated demand;
2) it is responding to Covid-19 immediately because of public health risks presenting a genuine emergency;
3) events leading to the need for extreme urgency were unforeseeable: the EC itself confirmed: ‘The current Coronavirus crisis presents an extreme and unforeseeable urgency — precisely for such a situation our European rules enable public buyers to buy within a matter of days, even hours, if necessary.’;
4) there was no time to run an accelerated PCR process particularly in light of the corresponding delays to timelines associated with securing increased manufacturing capacity and component supply within the required timescales;
5) it has not done anything to cause or contribute to the need for extreme urgency.
IV.1.8) Information about Government Procurement Agreement (GPA)
The procurement is covered by the Government Procurement Agreement:
Yes
Section V: Award of contract
A contract/lot is awarded:
Yes
V.2 Award of contract
V.2.1) Date of conclusion of the contract
24/04/2020
V.2.2) Information about tenders
Number of tenders received: 1
Number of tenders received by electronic means: 1
The contract has been awarded to a group of economic operators:
No
V.2.3) Name and address of the contractor
Hunan Beyond Medical Technology
Beyond Zone Lijiacun Rd, Xueshi Street, Yeulu District, Hunan
Changsha
CN
NUTS: 00
Internet address(es)
URL: http://en.csbeyond.com/
The contractor is an SME:
No
V.2.4) Information on value of the contract/lot (excluding VAT)
Initial estimated total value of the contract/lot:
Total value of the contract/lot:
: 2 077 000.00
USD
V.2.5) Information about subcontracting
Section VI: Complementary information
VI.3) Additional information
Covid-19 is a Public Health Emergency of International Concern as declared by the World Health Organisation on 30 January 2020. The WHO Director General characterised Covid-19 as a pandemic on 11 March 2020. The use of ventilator equipment is critical in treating patients with Covid-19 to take over the body's breathing process when the disease has caused the lungs to fail and allow the patient time to fight off the infection and recover. The ‘Ventilator Challenge’ was created by the UK government and delivered across several government departments (Department of Health and Social Care, Cabinet Office and Ministry of Defence) as part of the drive to increase ventilator supply and support the UK National Health Service (NHS) in its response to the Coronavirus disease global pandemic (Covid-19). A key part of this requirement was to ensure that sufficient medical equipment and medical consumables were available to operate the existing and increased ventilator capacity It was recognised that buying sufficient items to support the increased ventilator capacity was going to be a challenge and a dedicated sourcing team was established within the Department of Health and Social Care (DHSC) to be responsible for procuring medical equipment and medical consumables required for the operation of ventilators from suppliers. Suppliers worldwide were considered by the sourcing team. The sourcing team worked in conjunction with NHS Supply Chain who have also ordered medical equipment and medical consumables through their existing framework arrangements. This contract award notice is one a number of notices that cover all of the direct purchases by DHSC for the purchase of medical equipment and consumables from a range of suppliers. The approach to procuring medical equipment and medical consumables from the market was identical for all direct purchases. These purchases occurred across the world with an emphasis, due to the availability of stock and manufacturing capacity, on the People’s Republic of China. International purchases have been supported and facilitated by UK Embassies with Embassies conducting due diligence checks, confirming stock existed and following up on leads and referrals from across Government. This facilitation includes arranging contracts with suppliers with DHSC paying for the purchasing of all goods directly. All medical equipment and medical consumable offers were assessed primarily against clinical need and the ability to supply and deliver the orders within timescales required.
VI.4) Procedures for review
VI.4.1) Review body
The High Court
Strand
London
WC2A 2LL
UK
Internet address(es)
URL: https://www.gov.uk/courts-tribunals
VI.5) Date of dispatch of this notice
21/09/2020