Vol. 501 No. 2
65 Mr. McDowell asked the Minister for Defence the position regarding the provision of new armoured personnel carriers for the Defence Forces; when a final decision regarding the award of a contract will be made; when the vehicles will come on stream; and if he will make a statement on the matter. [4992/99]
Late last year I announced the result of the first stage of a competition to provide armoured personnel carriers for the Defence Forces. More than 30 prospective suppliers worldwide had expressed interest in the procurement programme and proposals were received from 12 companies. The proposals were evaluated and assessed by a civilian-military project team which was established to manage the procurement process through all stages to ensure that value for money is obtained for the expenditure involved.
Two vehicles have now been selected to go forward to the final stage of the competition having complied fully with the initial technical specification. The successful proposals were submitted by Mowag of Switzerland, who manufacture the Piranha APC, and Steyr-Daimler-Puch of Austria, who manufacture the Pandur APC. Last week these two suppliers were asked to prepare formal tenders on the basis of a more detailed specification. Completed tenders have to be returned to my Department by 19 March and they will be evaluated to determine technical merit and the best economic advantage to the Department. The evaluation process will also include trials in Ireland of both vehicles by the Defence Forces. The trials will commence in April and are expected to last for about two months. The aim of the trials is to assess from a technical and user perspective the suitability of the vehicles.
I expect that a contract will be in place later this year for the supply of up to 40 APCs over five years. A delivery schedule will become clearer when the tender documentation is returned but I would not expect the first APCs to be delivered until next year.
The purchase of modern APCs is regarded by the Defence Forces as the most urgent equipment requirement to enable them carry out all the roles assigned by Government. One of the priorities in An Action Programme for the Millennium is to "equip the Defence Forces adequately for an expanded role in international peacekeeping". The procurement of APCs forms an integral part of an ongoing re-equipment programme.
This is a very valuable State contract. Is the Minister absolutely satisfied with the criteria used to reduce the tendering procedure to two companies?
Yes, I am satisfied with the competence and commitment of the project team. My information is that only these two proposals met the full criteria that were also laid down for the other ten. None of the rest was able to come up to this standard. Therefore, I am satisfied that we can proceed on the basis proposed.
