Decision details

DECLARATIONS OF INTEREST MADE FOR ITEM:

None

RESOLVED:

That Cabinet:

1. Approved the Council undertaking a formal procurement exercise for the provision of dockless e-bike hire services, with the purpose of appointing operator(s) to officially operate these services in the borough.
   
   
2. Noted that following the completion of the procurement process to appoint up to two service providers in the borough, the contract award decision would be returned to cabinet for approval.

Reasons for decision

The purpose of the procurement exercise is to secure new and improved agreements with appointed operator(s), to govern the operation of these services.

A key objective of this approach is to achieve warranted levels of revenue generation from these services. This will support Council staffing and resourcing costs – for the on-going management of these services – and will provide sufficient recompense for the re-allocation of kerbside and carriageway space – to provide dedicated parking locations for these services.

In accordance with the Council’s Contract Standing Orders, the awarding of contracts – anticipated to be valued in excess of £500,000 – must be subject to a competitive tendering process, as they are above threshold.

To carry out a procurement exercise would ensure there is competition between prospective bidders, assuring openness and provide opportunities for any operator in the market to bid on this opportunity.

Since dockless e-bike hire services began formally operating in Haringey as part of an initial pilot/trial scheme, dockless e-bikes have become an established mode of transport in the borough, with substantial user and journey figures, which have continued to increase over time. New arrangements would allow the Council to support the provision of these services, which is in accordance with broader transport and active travel policies.

Alternative options considered

The Council attempting to negotiate new agreements with dockless e-bike hire service operators.

The Council could attempt to negotiate new agreements with either the incumbent operators, or new operators. However, this would not provide an open opportunity for other operators in the market to bid to operate these services, while this may hinder the ability for these agreements to deliver the desired outcomes for the Council. Nevertheless, due to the anticipated value of contracts, this option may be prohibited.

The Council not entering into agreements with dockless e-bike hire service operators / do nothing

If the Council were to not enter into agreements with operators, it is likely that these services would still be in operation, but without any form of management or governance from the Council. This absence of agreement may result in a poor overall service, with no input or accountability from the Council to maximise benefits (including revenue generation) and mitigate issues, with the potential for reputational damage to the Council.