ESA Opens Galileo Procurement: Let the Games Begin!

Giuseppe Viriglio, ESA’s Director of Telecommunication and Navigation. ESA photo, A. Le Floc’h

Today (July 1), the European Commission (EC) — with the support of the European Space Agency (ESA) — launched the procurement process for Galileo with an invitation to companies to submit requests for participation as prime contractors for six work packages (WPs) valued at €2.145 billion (US$3.39 billion).

Today (July 1), the European Commission (EC) — with the support of the European Space Agency (ESA) — launched the procurement process for Galileo with an invitation to companies to submit requests for participation as prime contractors for six work packages (WPs) valued at €2.145 billion (US$3.39 billion).

The deadline for replying to the invitation is August 7. Requests to participate (RTPs) submitted to ESA must include documentation of companies’ core team and industrial organization, professional and technical capacity including GNSS expertise, financial soundness, and ability to comply with security and export regulations.

ESA will act as the procurement and design agent for the EC, which is the program manager and contracting authority of the publicly financed project. The process will follow a distinctively European process that includes a “competitive dialog” between ESA and the prospective prime contractors.

Under the current schedule, within seven weeks following the RTP deadline ESA will approve a short list of companies that will be invited to submit preliminary proposals on the work packages and take part in a dialog. After vetting during an intermediate dialog phase, selected companies will offer “refined proposals.”

The competitive dialog phase is projected to take 15–30 weeks at the end of which successful companies will be invited to submit best and final offers (BAFOs) and supporting documentation. Contract awards would follow within three weeks, according to the current plan; however, the EC and ESA emphasize that the proposed timeline is “purely indicative” and may be shortened or lengthened.

Individually, the following estimated values have been earmarked for the six work packages:
• WP 1: System Support: €120 million
• WP2: Ground Mission Segment: €270 million
• WP 3: Ground Control Segment: €45 million
• WP 4: Space Segment (satellites): €840 million
• WP 5: Launch Services: €700 million
• WP 6: Operations €170 million

The overall program objective for Galileo is the deployment, by 2013, of a full operational capability (FOC) GNSS system comprising 30 satellites and ground facilities. The FOC Galileo system will provide five main services: Open Service, the Safety of Life Service, the Commercial Service, the Public Regulated Service, and the Search and Rescue Service.

A detailed description of the FOC program, the tendering procedure, and requirements can be found in a Galileo Tender Information Package and downloaded with the following link: <http://estext231.estec.esa.int/Galileo-FOC>. Companies may participate in an EC/ESA presentation on the tender information package scheduled July 17 in Brussels. Further information about the meeting will be available on-line from July 3 at <http://galileo.teamwork.fr>.

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