Territory seeks fuel supplier
Tender call attracted just one unsuccessful bid
Paul Bickford
Northern News Services
Monday, November 28, 2016
HAY RIVER
After its first try failed, the GNWT is going to attempt a new tactic to find a company to undertake its annual marine supply of fuel to eight communities.
The government intends to call a request for proposals (RFP) for the work, which had been undertaken out of Hay River up to this past summer by the financially-troubled Northern Transportation Company Ltd. (NTCL).
The RFP follows the cancellation of a tender that closed on Nov. 4.
"We received one unsuccessful bidder," said Bill Kaip, the director of procurement and shared services with the Department of Public Works and Services (PWS). "So now we're going out for another public RFP. Instead of the tender this time, it will be a request for proposals."
Kaip said the one bid received was "noncompliant" with the terms and conditions of the tender.
"We're going out to the marketplace to see who could provide the services and what level of service they can provide," he said.
As of Nov. 18, Kaip said the RFP had not yet been issued.
"We're right in the middle of just putting it together," he said, adding that it should be issued shortly. "We're hoping to get it out by the end of the month."
Kaip said while a tender contains specific terms, conditions and requirements that have to be met, an RFP is finding out what the marketplace can offer.
John Vandenberg, the assistant deputy minister of energy planning with the Department of Public Works and Services, said the territorial government is responsible for providing petroleum products to communities where there is not a supply being offered by the private sector.
Those communities include Tulita, Fort Good Hope, Lutsel K'e, Sachs Harbour, Ulukhaktok and Paulatuk.
Vandenberg was asked to estimate how many companies might exist that could provide such a service.
"Well, we're going to find out through our RFP posting," he said, noting there are companies besides NTCL that have moved petroleum products in the Arctic.
Vandenberg also said how the product will be moved will be suggested by the responders to the RFP.
"What they actually choose to do this with will be up to them," he said.
While agreeing that barging would seem the only option on the Mackenzie River, Vandenberg said, "There would be other options for other locations outside of the river."