How to participate in ESA procurements
As a fundamental rule, participation in ESA procurements is open to all firms (which term we use to include institutes, universities etc.) of Member States participating in the programme(s) concerned, and is, in principle, restricted to such firms. In some special cases, however, which are described below, bidders from non-participating Member States, registered in the ESA List of Potential Suppliers, may be allowed to bid for some procurements.
As explained for most ESA procurements, and for research and technology activities in particular, open competition is the rule. There are, however, exceptions to this rule depending on the nature of the procurement: i.e. competition may be restricted to pre-selected firms or direct negotiations take place, for the reasons mentioned in Topic 2, ‘The The Basic Principles of ESA's Procurement Approach’. However, the limitation may have quite different reasons: limitation to firms of Participating Member States in optional / a la carte programmes, or limitation to firms of some States only as part of special industrial policy measures to redress the situation of deficit countries.
To some programmes even more restrictive rules of participation are applied, namely that potential Tenderers are invited, in the Invitation to Tender/ Request for Quotation (ITT/RFQ), to verify whether their National Authority is prepared to financially support the activity in question before preparing an offer.
For major procurements such as satellites or launchers, the Industrial Policy and Geographical Distribution constraints, combined with the rate of contribution of the main participants, limit in practice the procurement of some key activities (prime contractorship, assembly/integration/ verification) to firms of these States and in some cases even to one of them only.
In other cases limitations are the result of approved policies setting measures for Non-Primes, SMES and R&D entities.
Non-primes are defined as all companies and organisations with the exception of the major system-level integrators (Astrium, Alcatel & Alenia Spazio).
Under this denomination, many different industrial realities can be found (from subsidiaries of major system-level integrators to fully independent companies) and from medium/small satellite system integrators to equipment & component suppliers, software providers, service companies and R&D entities.
No particular distinction is made between types of non-primes. However, depending on the nature of the activities, one or another type of non-primes will have more possibilities to submit satisfactory proposals.
The limitations are defined in the following C(1), C(2), C(3) and C(4) groups:
C(1): Activities in open competition, limited to the non-primes
In these activities, major system integrators are not allowed to submit proposals to ESA.C(2): Activities in open Competition, where a significant participation of non-primes (including SMEs) is requested
These activities are open to all potential bidders, major system integrators and non-primes. However, in case major system integrators bid, they are requested to include in their offers a relevant participation, in quality and quantity, of non-primes (including SMEs). Failure of such inclusion will result in the proposal not being considered for further evaluation.-
C(3): Activities limited to SMEs & R&D organisations, preferably in co-operation
and -
C(4): Activities in open competition, subject to the SME subcontracting clause.
For C(3) and C(4), bidders are required to do their utmost to include in their offer an adequate participation (in terms of quantity and quality) of SMEs as subcontractor(s). Offers shall provide an analysis of the potential advantages (e.g. long-term prospects for future work) of the proposed participation.
If such participation is not offered, the bid shall contain evidence of the efforts made to meet these requirements and the reasons for the lack of success. Otherwise, the bid will not be considered for further evaluation.
The Invitations to Tender (ITT) contains precise information on the rules of participation applicable to each procurement.
Tenderers are invited to carefully check and observe these rules (and ask for clarification in case of doubt) to avoid the effort and cost of preparing and submitting an offer which may be excluded from consideration.
EMITS (Electronic Mail Invitation to Tender System)
It is obviously important for ESA to be aware of suitable potential bidders, and for interested potential bidders to be aware of what ESA's procurement intentions are.
To that effect the Agency has developed an on-line information system offering to ESA potential suppliers, via Internet, all the relevant information concerning the ESA procurement. This system known as EMITS (Electronic Mail Invitation to Tender System) is managed and operated by the ESA Contracts Department and is accessible at the following address http://emits.esa.int/, ESA industrial partners must use EMITS as the baseline system.
Objectives
EMITS has been operational since the mid 1980’s. Its primary objective is to guarantee the principle of fair competition and fair access to ESA’s procurement at all levels.
Services
EMITS provides the following on line services for companies, research institutions, universities and ESA Member States delegations. For further details see Topic 2, ‘The Basic Principles of ESA's Procurement Approach’.
List of current Intended Invitations To Tender (IITT)
A list of Intended Invitations to Tender (IITT) defining the ESA procurement programme for the year, is issued on EMITS by the Agency at the beginning of the year, and is updated at least once a month. The ESA List of Intended Invitations to Tender is the only document containing the actions that are funded and approved for initiation.
Each potential supplier is invited to regularly consult this list and if interested in participating in an IITT listed activity should declare its interest to ESA by following the on-line instructions. These replies are directly entered in the computerised system which allows a quick preparation of the list of firms to be individually notified for each ITT when the individual actions are initiated (see below).
Each listed IITT consists of a summary of the work to be carried out, an estimated price range, the planned publication date in terms of yearly quarters and the initiating services within ESA. This list is updated at least once a month.
List of current open Invitations To Tender (ITT)
Each listed ITT contains a summary of the project and its associated technical, administrative and contractual requirements.
ESA standard administrative and technical reference documentation and relevant Information for Industry.
ESA has prepared a number of supporting documents which are available to everybody in order to facilitate their relations with the Agency and, eventually, their involvement with the Agency procurement programmes.
Accessing the services
The ESA Contracts Department which is responsible for the overall procurements of the Agency takes care of the management and operations of EMITS and provides any pertaining information when so required.
As a fundamental rule, participation in ESA procurements is open to all firms (which term is used to include institutes, universities etc.) of Member States participating in the programme(s) concerned, and is, in principle, restricted to such firms.
Access to, and use of, the EMITS database are free of charge, but is protected by means of user ID and password.
The Industrial Policy and Cost Analysis Department in co-operation with the ESA Contracts Department (both located in Head Office, Paris) maintains a list of potential suppliers and their areas of interest. This list is open to all companies qualified and interested in 'doing business with ESA'. The list may always be added to by in-house knowledge of existing capabilities, by specific inputs received from national Delegations, and by individual application made via EMITS.
The companies willing and qualified to become an ESA supplier may freely register to the above list of potential suppliers. The registration is a simple procedure, applicants need only to fill in a questionnaire and return it to ESA, which shall subsequently provide them with a password to the EMITS system.
The only costs incurred for using EMITS are those related to the basic hardware required (standard office automation equipment), the Internet service provider costs and the pertaining telecommunication cost.
Benefits
The comprehensive system of EMITS simplifies the procurement process both on the procurers’ and the suppliers’ side. It especially facilitates access to call for tenders for small and medium size enterprises.
Last update: 26 September 2007
- Topic 1 - ESA Procurement Department
http://www.esa.int/About_Us/Industry/The_ESA_Procurement_Department - Topic 2 - Basic principles of ESA procurement approach
http://www.esa.int/About_Us/Industry/Industry_how_to_do_business/The_basic_principles_of_ESA_s_procurement_approach - Topic 3 - How to participate in ESA procurements
http://www.esa.int/About_Us/Industry/Industry_how_to_do_business/How_to_participate_in_ESA_procurements - Topic 4 - Ensuring fainess of competition in ESA procurements
http://www.esa.int/About_Us/Industry/Industry_how_to_do_business/Ensuring_fairness_of_competition_in_ESA_Procurements - Topic 5 - The procurement process
http://www.esa.int/About_Us/Industry/Industry_how_to_do_business/The_procurement_process - Topic 6 - How to make good offer to ESA
http://www.esa.int/About_Us/Industry/Industry_how_to_do_business/How_to_make_good_offers_to_ESA - Topic 7 - Industrial policy geographical return
http://www.esa.int/About_Us/Industry/Industry_how_to_do_business/Industrial_policy_and_geographical_distribution - Topic 8 - Other aspects and related questions
http://www.esa.int/About_Us/Industry/Industry_how_to_do_business/Other_aspects_and_related_questions - The procurement process (pdf-46k)
http://esamultimedia.esa.int/docs/industry/How%20to%20do%20Business%20with%20ESA%20-%20THE%20PROCUREMENT%20PROCESS.pdf - ESA Conference Bureau: 'Developing trends in Public Procurement and Auditing'
http://www.congrex.nl/07a01/
