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Stavanger municipality: A new Control center

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Stavanger municipality: A new control center

The municipality of Stavanger needed a new control center for the city’s structure and building systems. An internal survey concluded that this would be too expensive, and the municipality therefore had to come up with a new idea. The solution came to be an innovative acquisition that saved the municipality a lot of money, and generated great growth for a local business.

Source: difi.no

Requirements

In 2010 the municipality of Stavanger started a comprehensive survey of the municipality’s existing
control center solution. The survey showed that the existing systems were expensive to operate, vulnerable and demanding to maintain. The systems imposed high standards of competence for those who were operating the building structure.

Photo: National program for Suppliers Development

The survey of the municipality’s control center solutions showed a very complex picture where the recommendation was to replace multiple systems that were already established. The conclusion was that this would cost up to 40 million NOK and therefore would not be financially liable. It was then decided to raise the problem to become a pilot acquisition, where the method of innovative procurement was tested

Process
In the fall of 2010 the municipality of Stavanger invited the suppliers market through Doffin to a dialog conference. The municipality presented their needs and described the technical challenges, whilst having an open dialog with the potential suppliers about the possible solutions.


Early dialogue with the supplier market provided valuable information to representable solutions, and gave the municipality insight in what the market could offer them.

After a long process, an acquisition was completed, which eventually resulted in the local supplier F5 IT AS being awarded the assignment. The first delivery was February 2015 and the portal is now in operation.

Solution
The advantage of the new control center is that it communicates with the old operating system. A traditional acquisition suggested an operation system that required a replacement of the existing systems, which would have been very expensive.

The new control center consists of a software tool which provides the Operation & Energy section the ability to provide faster and improved service, and it gives a significant better control of technical constructions. The users of the municipality’s building structure are experiencing today a higher uptime on the facilities, higher comfort in the buildings and an improved indoor environment. It is now also possible to remote control many of the facilities that were previously unavailable for the old control center. Triggered alarms and errors could previously run for a long time without being “shut down”, but today they gets closed from the central.

Innovative procurement Stavanger municipality and F5 IT

Read more about innovative procurements here: anskaffelser.no


Effect

The portal is today in operation and receives alarms and operational messages. The new solution provides a more efficient operation of the building structure, reduces energy usage and lowers the electricity bills. The users experience higher comfort and improved indoor environment. 
The investment of 1.25 million NOK against estimated 40 million gave economic gain of 9-24 million NOK through reduced energy consumption.
The Gains analysis, which was compiled as an assignment from the NHO/KS National Program for supplier development, concludes that the total gain for the municipality to be between 9 and 24 millions. The portal is expected to provide savings between 13-28 mill during its 15-year lifespan.

Scaling
The product solution can be used by others today, and the supplier is currently working with several other municipalities and private companies. The procurement process and results have been a great inspiration to work further internally with the innovative procurement method, and another innovation project was initiated in the municipality in the spring of 2014.

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