PKP’s decision to cancel locomotive tender upheld by Polish appeal board

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PKP Intercity has had its decision to reject a bid by PESA for 10 diesel locomotives upheld following after being challenged by the rolling stock manufacturer.

Poland’s national rail operator rejected PESA’s bid of 173 million zÅ‚ (40 million euro) bid, describing it as unrealistic and contra to the principles of healthy market competition.

PKP has announced that its decision has now also been upheld by the National Board of Appeal.

Two other bids were received for the order, with Vossloh’s later cancelled because of a “technical failure” and Newag’s bid  rejected for coming in above the estimated cost of the programme.

PKP now plans to rerun the competition in 2015.

Paul HordyÅ„ski, board member responsible for financial PKP Intercity SA, said: “The real price of maintaining diesel locomotive is about 3 zÅ‚ per km.

“We believe that the proposed rate is based on unrealistic, since it is not possible to provide maintenance services for the price offered by the manufacturer of Bydgoszcz. For this reason, we decided to reject pessimism, cancel the tender and submitted to the Office of Competition and Consumer notification of the act of unfair competition. NCA decision confirmed the validity of our position.”

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