Bidders for the Government's £80 million contract for new Air Corps helicopters have been asked to come up with a best and final offer within the next week.
The Minister for Defence, Mr Smith, said last night that all four companies involved had met the technical requirements. However, he said that he had decided that all tenderers would be given one week "within which to make a best and final price in relation to the helicopters they offer". This must be submitted by close of business on December 13th.
The Minister confirmed that he had considered the report compiled by a technical group, which was established in his department to evaluate the tenders for medium-lift helicopters. This report, which was submitted last September, is believed to have selected the French Eurocopter Cougar.
The other three bids were made by Sikorsky USA, offering the Sikorsky S-92; EH Industries, UK, offering the EH-101 Merlin designed by the British-Italian firm, Augusta-Westland; and CHC Scotia, formerly Bond Helicopters, which is not a helicopter manufacturer but runs the Shannon and Dublin search and rescue bases on contract to the Irish Coast Guard.
The decision to seek new helicopters was taken after the Air Corps Dauphin crash in Tramore, Co Waterford, in July 1999, which claimed the lives of four airmen. The shortcomings of the Dauphin short-range craft for work on the Atlantic were highlighted in the subsequent report by the Air Accident Investigation Unit.
The recommended Eurocopter design is based on the earlier Puma helicopter leased for the Air Corps two decades ago. The Irish agent for Eurocopter, Mr Nick Fitzpatrick, has been the main supplier for aircraft to the Defence Forces. However, even as the working group's report was being finalised, the Minister had come under severe pressure from a combination of northside Fianna Fβil deputies, Labour and the Tβnaiste, Ms Harney, to favour the bid made by Sikorsky.
Subsequent to its tender, Sikorsky offered a £60 million offset deal from its parent company, United Technologies, which could secure several hundred jobs at FLS Aerospace, formerly TEAM Aer Lingus.
It is understood that Eurocopter recently moved to match this offer, while a spokeswoman for EH-101 told The Irish Times last night that it would also speak to FLS in terms of an offset deal, should this be a requirement. The EH-101 was recently selected for search and rescue by the Portuguese government, after a best and final offer procedure. It was also recently selected by Denmark, the spokeswoman added.
It is expected that it will take at least two years for the new aircraft to come on stream.
