How will fleet departments be affected by the upcoming lapsing of Contract 366 and Contract 352? IPWEA asks NSW Procurement.
Two major procurement contracts concerning the bulk supply of fuel, grease and lubricants are due to lapse before the end of the year.
Local Government Procurement (LGP) has announced its intention to establish a new contract for the supply of Bulk Fuel and Fuel Cards and Associated Products.
Contract 366 concerns the supply of bulk fuel to all eligible customers within NSW/ACT. The range of products/services available under the contract include:
• Bulk unleaded petrol
• Bulk premium unleaded petrol
• Bulk diesel
• Bulk alpine diesel
• Biofuel (E10 and bio-diesel B5, B10 and B20)
Whereas Contract 352 concerns the supply of a range of products including engine oils, transmission fluids, corrosion preventative products and cleaning fluids to NSW Government agencies and eligible customers.
Contract 366 and Contract 352 will lapse in December 2015 and October 2015, respectively. Additionally the NSW Procurement Contract 370 Card Fuel and Associated Products is due to end on 31 December 2015. Currently there is no confirmation that this contract will be renewed.
PWPro spoke to Executive Director of NSW Procurement, Paul Dobing to find out this will mean for fleet managers.
According to Dobing, when Contract 366 and Contract 352 lapse, fleet managers will be required to make their own arrangements with bulk fuel and lubricant suppliers under the Procurement Policy Framework (and their own agency’s or organisational general delegations).
Dobing told PWPro that all State Government Agencies and relevant Eligible Customers were made aware of this upcoming lapsing of contract by way of NSW Procurement Alert in April 2015.
Packages of supporting information for both Contract 366 and Contract 352 will be made available before the end of May to assist fleet managers in making alternative arrangements to help them meet their business needs.
“Contract C366 will be devolved to the Transport cluster, which will put in place a contract allowing Eligible Customers to piggy back on the arrangement,” said Dobing.
“Agencies and/or Eligible Customer may choose to tender or negotiate directly with lubricants suppliers,” he added. “Contract C352 will also be devolved to the Transport cluster, which will put in place a contract allowing eligible customers to piggy back on the arrangement.”
Dobing said that NSW Procurement has no plans to introduce Federal alternatives to either contracts C366 and C352.
LGP is seeking input from councils to help them establish the best possible solution.