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Rail conquers the Alps

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AlpTransit GOTTHARD<br />

A ceremony was<br />

held at Bodio<br />

earlier this year<br />

(above) to mark <strong>the</strong><br />

holing-through of a<br />

3·2 km tunnel.<br />

Completed in nine<br />

months, this will<br />

carry spoil away<br />

from <strong>the</strong> sou<strong>the</strong>rn<br />

worksite. The 6 km<br />

conveyor belt<br />

linking Bodio with<br />

a disposal area in<br />

<strong>the</strong> Blenio valley is<br />

now being installed<br />

(below right)<br />

Below: The<br />

sou<strong>the</strong>rn approach<br />

to <strong>the</strong> base tunnel<br />

will parallel <strong>the</strong><br />

existing Gotthard<br />

main line from<br />

Biasca using a mix<br />

of surface and cutand-cover<br />

European countries submitted tenders<br />

for <strong>the</strong> two lots.<br />

The tendering concept developed<br />

by AlpTransit Gotthard AG provides<br />

for a comprehensive risk analysis,<br />

assessing <strong>the</strong> methods and potential<br />

dangers of <strong>the</strong> work. This is followed<br />

by <strong>the</strong> specification of preciselydefined<br />

suitability and awarding<br />

criteria. Using <strong>the</strong>se criteria, analysis<br />

and evaluation of <strong>the</strong> bids is carried<br />

out as <strong>the</strong> basis for letting <strong>the</strong> contracts.<br />

The criteria are set out in<br />

detail in <strong>the</strong> tender documentation in<br />

accordance with federal legislation for<br />

<strong>the</strong> award of public contracts.<br />

On <strong>the</strong> basis of <strong>the</strong> risk analysis<br />

carried out for <strong>the</strong> Bodio and Faido<br />

lots, <strong>the</strong> following suitability criteria<br />

were established:<br />

• proof of experience;<br />

• proof of technical, managerial and<br />

staff competence;<br />

• proof of financial standing;<br />

• proof of a quality management<br />

system.<br />

All bidders that submitted tenders<br />

within <strong>the</strong> deadline are checked for<br />

<strong>the</strong>ir fundamental suitability to carry<br />

out <strong>the</strong> work. Only <strong>the</strong>n are <strong>the</strong>ir<br />

bids evaluated for <strong>the</strong> awarding<br />

criteria.<br />

Risk analysis for <strong>the</strong> two lots led to<br />

<strong>the</strong> definition of <strong>the</strong> following award<br />

criteria:<br />

• deadline guarantees;<br />

• safety of work programme and<br />

working practices;<br />

• worksite organisation;<br />

• fitness for purpose and durability<br />

of <strong>the</strong> design;<br />

• effects on <strong>the</strong> environment;<br />

• quality management processes.<br />

The tender documents set out <strong>the</strong><br />

details of <strong>the</strong> evaluation process for<br />

<strong>the</strong> award criteria, and a threshold<br />

was set based on <strong>the</strong> award criteria to<br />

serve as a minimum level for contractors<br />

to qualify. Only after this are <strong>the</strong><br />

economic elements of a bid and <strong>the</strong><br />

tender price assessed.<br />

Clearly <strong>the</strong> price in absolute terms<br />

cannot be <strong>the</strong> primary consideration,<br />

although it is of course one of <strong>the</strong><br />

most important criteria for choosing<br />

<strong>the</strong> contractor. Inevitably, with such<br />

complex works over a long period<br />

and numerous risks, price cannot be<br />

<strong>the</strong> sole deciding factor.<br />

For those holding responsibility at<br />

AlpTransit Gotthard AG, it is vital to<br />

establish if <strong>the</strong> bidders have made a<br />

sufficiently thorough assessment of<br />

<strong>the</strong> work, examined <strong>the</strong> potential<br />

dangers and taken measures necessary<br />

to manage <strong>the</strong> risks – and to check<br />

that <strong>the</strong>y have integrated all this into<br />

<strong>the</strong> tender. This philosophy was made<br />

quite plain in <strong>the</strong> tender documentation<br />

and during worksite inspection<br />

visits for potential contractors.<br />

During evaluation of <strong>the</strong> tenders we<br />

found, inevitably, that <strong>the</strong> different<br />

bidders had not given equal weight to<br />

<strong>the</strong>se considerations.<br />

The process concludes with <strong>the</strong><br />

award of <strong>the</strong> contract to <strong>the</strong> bidder<br />

providing <strong>the</strong> most cost-effective<br />

tender of those that have qualified by<br />

reaching <strong>the</strong> awarding criteria<br />

threshold.<br />

The tendering process obviously<br />

demands a great deal from <strong>the</strong> bidders.<br />

But it was clear right from <strong>the</strong><br />

start that <strong>the</strong> particularly demanding<br />

objectives in <strong>the</strong> contracts could not<br />

be met simply by basing a decision on<br />

price. Equally important are <strong>the</strong><br />

suitability of <strong>the</strong> contractor, <strong>the</strong><br />

technical quality of <strong>the</strong> bid and how<br />

<strong>the</strong> contractor proposes to deal with<br />

<strong>the</strong> risks.<br />

Every assessment carries <strong>the</strong> risk of<br />

making a wrong choice. To minimise<br />

this, <strong>the</strong> tenders were evaluated<br />

independently by two team of engineers,<br />

and <strong>the</strong> teams included specialists<br />

with plenty of experience of<br />

project management and tunnelling.<br />

The results of <strong>the</strong> independent<br />

reviews were carefully analysed and<br />

compared, and in most cases <strong>the</strong>re<br />

was agreement. In a few instances we<br />

had to clarify different views by<br />

fur<strong>the</strong>r technical analysis.<br />

This detailed and comprehensive<br />

tendering analysis process is quite<br />

different from <strong>the</strong> functional specifications<br />

that have found favour<br />

recently in a number of o<strong>the</strong>r<br />

European countries. The award<br />

criteria and <strong>the</strong>ir weighting are<br />

intended as a measure of <strong>the</strong> technical<br />

evaluation of <strong>the</strong> bids. Questions to<br />

be answered include:<br />

• How does <strong>the</strong> bidder plan to tackle<br />

<strong>the</strong> work and carry out <strong>the</strong> various<br />

tasks?<br />

• What concepts and methods have<br />

been chosen to ensure that work is<br />

completed on time, that worksites<br />

are well organised, that working<br />

practices are safe, that <strong>the</strong> environment<br />

is respected and that quality<br />

is assured in a comprehensive way?<br />

The final step will be analysis and<br />

comparison of <strong>the</strong> costs. Here <strong>the</strong><br />

choice will be made by checking that<br />

<strong>the</strong> bid has been handled in a professional<br />

way, addressing <strong>the</strong> fundamental<br />

issues at stake. It is also important<br />

that <strong>the</strong>re is real competition between<br />

<strong>the</strong> bidders, and <strong>the</strong>re is no doubt<br />

that this was <strong>the</strong> case for <strong>the</strong> Bodio<br />

and Faido sections.<br />

On <strong>the</strong> basis of <strong>the</strong> contract awarding<br />

process and experience to date,<br />

we believe that <strong>the</strong>re should be no<br />

need for price negotiations in <strong>the</strong><br />

traditional sense. ■<br />

844 www.railwaygazette.com <strong>Rail</strong>way Gazette International December 2001

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