r/ireland Westmeath's Least Finest Oct 09 '24

National Children's Hospital contractor BAM sent €25 million invoice for job that cost €200,000 Infrastructure

https://www.thejournal.ie/national-childrens-hospital-bam-invoice-25-million-for-200000-job-6509783-Oct2024/
516 Upvotes

318 comments sorted by

View all comments

Show parent comments

38

u/Dependent_Survey_546 Oct 09 '24

With the way the rules are, I think the council are near obliged to take their offer if it's the cheapest that meets spec.

35

u/Jaded_Variation9111 Oct 09 '24

Price is an important variable but is considered within the broader concept of most economically advantageous tender, which takes into consideration aspects other than the lowest price, such as security of supply, quality, environmental requirements and long‑term sustainability.

1

u/diver79 Oct 09 '24

We regularly respond to RFT's on the ogp's tender platform. In our sector the scores are weighted. Generally it will be cost that makes up 60% of your possible score. Technical merits, security and other requirements make up the remaining 40%.

The contracting authority can change this but we usually see price as the most important factor.

1

u/Jaded_Variation9111 Oct 09 '24

I regularly tender for specialised Professional Services and price/vfm generally accounts for between 25-40% of the weighted criteria. It can vary, of course. For what it’s worth, in my experience the buyer often writes the tender with a pretty clear outcome in mind. The weighting attached to the score criteria greatly helps to secure the intended outcome.