“It is a unique moment because we have never undertaken such work before. This is the largest project not only in Lithuania but also in the Baltic states and we want to implement it successfully and have a new capability in the Lithuanian Armed Forces by 2023. We are consulting with Lithuanian and foreign experts in the area, enjoying cooperation with the Central Project Management Agency PI which is experienced in it, and other institutions, as we are preparing for the implementation,” Vice Minister of National Defence G. Jeglinskas said while opening the event.
According to the Vice Minister, the public discussion was held not only to present procurement documents to potential bidders but also to hear topical queries, insights, doubts or issues.
During the public consultation experts of the Ministry of National Defence presented to an audience of investors, representatives of large constructions companies, banks and embassies the investor selection procedure and its stages, explained minimal qualification requirements. They also presented criteria of advance selection, criteria of tender evaluation, and main technical aspects of the project implementation.
Managers of the MoD PPP projects are going to modify the procurement documents on the basis of the responses received. “We will specify and formulate requirements in the procurements documents in a way that would be as clear to the potential participants as possible,” one of the project managers Aurimas Banys said.
The call to tender for all three objects will be announced in early February and contracts with investors will be signed in late 2020.
The partnership contracts will be signed for the period of 15 years, until 2035, roughly two years and a half will be allowed for developing infrastructure, and the investors will have it under their supervision for the remaining roughly 12.5 years.
Private entities will be investing their own financial resources as part of the PPP projects into the infrastructure generated for the state for military functions and will take on the risks arising from construction works and operation of the new infrastructure.
The decision to implement the new military infrastructure development projects through PPP was made in order to avail not only of the capacity of private sector to execute several large-scale projects at the same time, but also with regard to the fact that the National Defence System required large investment over the next 2-3 years.
The new military infrastructure is developed as a priority activity on the Government of the Republic of Lithuania Programme for the National Defence System aimed at developing the Lithuanian Armed Forces – increasing Lithuania’s combat capabilities, ensuring physical infrastructure for permanently deploying the increased combat capabilities of the Lithuanian Armed Forces.
This is the second public discussion the Ministry of National Defence has held to provide extensive information to interested investors and builders on the strategic projects of the national defence system. The first discussion took place in October last year.