CHC Ireland takes legal challenge against State after losing coast guard contract

CHC Ireland has filed legal proceedings against the Government’s tendering process for the Irish Coast Guard Aviation Service, after recently failing to secure a new contract.

On Wednesday, the company said it was challenging the validity of the tender process.

“Upon considering the outcome of the tender process as notified to CHC, CHC is concerned that there are a number of flaws in the conduct of the competition,” it said.

“In view of the strict time limits in Irish law for taking steps to protect our rights we were left with no option but to initiate proceedings to challenge the outcome of the process.”

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Last month, the Government approved a recommendation from Minister for Transport Eamon Ryan and Minister of State Jack Chambers to offer the next search-and-rescue contract to Bristow Ireland Limited, expected to be worth €670 million.

In announcing its legal challenge, CHC said it submitted a tender it believed to be innovative and representative of the best value to the taxpayer and best outcome for the Irish Coast Guard Helicopter Search and Rescue Service.

“Foremost in our thoughts are the staff who provide the service and the people who rely on it. This is consistent with our philosophy of putting people at the forefront of everything, as we have done for the past 20 +years,” it said.

The new contract provides for the operation of four helicopter bases in Sligo, Shannon, Waterford and Dublin. It will also include a fixed-wing aircraft for the first time.

The contract is to run for 10 years in relation to the helicopter service and five for the fixed-wing element.

In a statement last month, the Department of Transport said the preferred bidder was selected following a “comprehensive procurement project”.

This included an initial market engagement process, a pre-qualifying process, an initial request for tender, a negotiation process, and final evaluation from the shortlisted bidders.

CHC Helicopter describes itself as a leader in the provision of helicopter support to the offshore energy market, search & rescue and Government departments.

The Department of Transport did not immediately respond to requests for comment.