Galileo Concession - The Galileo Joint Undertaking (GJU) ready to start negotiations

Brussels, Jun 2005

Today the Executive Director of the GJU, Rainer Grohe, reported to the Supervisory Board regarding the evaluation of the joint proposal received from the two consortia in the running for the Galileo concession. The two consortia are Eurely (core members: Aena, Alcatel, Finmeccanica, Hispasat) and iNavSat (core members: EADS Space, Inmarsat, Thales).

The competitive process to obtain the Galileo concession, which is being carried out by the GJU, started in October 2003; four consortia answered the call for interest launched by the GJU. Two consortia remained in the running for the competitive negotiation phase held from April 2004 to January 2005. On the 1st March 2005, the GJU invited the two consortia for parallel negotiations on the concession contract. The competitive process was ruled by the principles of equal treatment, fairness and transparency. The prevailing principle was to achieve the best value for the public.

In May 2005, the two consortia expressed their intention to join forces. An analysis showed that this doesn't pose difficulties with regard to public procurement and competition rules. The two consortia delivered a joint proposal on the 20th June. The evaluation of this joint proposal, compared to both individual offers showed a significant reduction in the financial contribution from the public sector and an increase in the foreseen commercial revenue.

It also complies with the foreseen timetable and will not lead to any delay in the programme. Rainer Grohe, GJU Executive Director: The GJU's evaluation of the joint proposal clearly showed better value for the public, the overriding criterion in the decision-making process. This can only be achieved with the merger, as the joint proposal combines complementarity and possibilities from the two consortia.

The GJU will now start to prepare the negotiations on the concession contract on the basis of this joint proposal; the negotiation process shall be concluded before the end of 2005.

Press Contact:
Hans Peter MARCHLEWSKI,
General Counselor
B-1000 Brussels
Tel. +32 2 507 80 00
Fax +32 2 507 80 01
www.galileoju.com
GALILEO JOINT UNDERTAKING
Rue du Luxembourg 3 (Sweden House)
B-1000 Bruxelles
Tel. + 32 2 507 80 64, Fax + 32 2 507 80 01.
e-mail: hans.marchlewski@galileoju.com

Galileo Joint Undertaking
Item source: http:///www.galileoju.com/doc/6533%20Pres s%20release%20concession%20th%20June%2 020052.pdf Previous Item Back to Titles Print Item