CSC is the sole economic operator capable of delivering PDS activities due to its role as the approved Design Organisation (DO) and OEM, holding the design licence, technical drawings, product knowledge, and in-service reliability data for the equipment. Any alternative supplier would require licences from both CSC and the air system OEMs, incur significant additional costs, and need to demonstrate suitability as a DO. An option to separate spare parts procurement from the PDS function was considered and rejected by the MoD Engineering Authority due to significant airworthiness, safety, and interoperability risks. The air system Design Organisation specifies exact part numbers that are manufactured exclusively by CSC to approved drawings and processes, making CSC the only supplier capable of providing compliant spares. CSC also holds the specialist tooling required to manufacture these components and ensure configuration and quality control. Introducing an alternative supplier would require costly and complex aircraft design revalidation, part requalification, and approval activities, with no guarantee of acceptance by the air system DO. This would create unacceptable safety and operational risks, including potential aircraft grounding, while imposing disproportionate cost and technical burden on the Authority.

Procurement Act 2023

Direct award The Support Capabilities and Commodities Team within National Armaments Director Group (NADG), part of the UK Ministry of Defence (the “Authority”), intends to award a contract to Chesterfield Specialist Cylinders Limited (“CSC”) (the “Contractor”) for minor specification redesign, Post Design Services (PDS) and associated procurement of spares relating to the uplift of aircraft cylinder specifications. The total value of the contract is £1,997,450.00 Ex VAT. CSC currently supplies the goods and services in question to the Authority under a contract valued at £797,500 that is due to expire in October 2027 and is being extended for 6 months until April 2028. The Authority sent a request for information (“RFI”) to market participants as a means of gauging interest in alternative delivery mechanisms but received no responses. In accordance with Section 41(1)(a) of the Procurement Act 2023 (the “Act”), the Authority intends to rely on the Single Supplier direct award justification, as set out in Paragraph 6 of Schedule 5 of the Act, to award this additional requirement directly to CSC. CSC is the sole economic operator capable of delivering this requirement due to its role as the approved Design Organisation (DO) and Original Equipment Manufacturer (OEM), holding the design licence, technical drawings, product knowledge, and in-service reliability data for the equipment. CSC also holds the specialist tooling required to manufacture these components and ensure configuration and quality control. Given the complexity, age, and airworthiness-critical nature of the equipment, there is no alternative supplier that could acquire the necessary expertise, design authority, trend history, and regulatory approvals within acceptable timescales without unacceptable safety, interoperability, and operational risks to the armed forces, including potential aircraft grounding.

Defence security