High Court overturns €23.5m contract for public lighting retrofit in northwest

High Court Reporters

The High Court has set aside the awarding of a €23.5 million contract to retrofit some 45,000 street lights in the northwest to make them more energy efficient.

Mr Justice Michael Quinn granted orders setting aside a March 2023 decision of Mayo County Council, which was the lead authority for seven councils in the retrofitting project, to award the contract to BAM KLS JV.

The challenge was brought by one of the unsuccessful bidders, White Mountain Quarries Ltd, trading as Breedon, of County Antrim.

A second challenge by a consortium of Republic of Ireland-based companies, called Le Chéile, which was also an unsuccessful bidder, was withdrawn.

White Mountain claimed that in awarding the contract the council failed to comply with a number of EU public procurement regulations.

It was also claimed, among other things, that as well as failing to determine that the BAM KLS JV tender appeared to be abnormally low the council also failed to provide reasons, or adequate reasons, for its decision.

Mayo County Council denied the claims.

In his decision, Mr Justice Quinn said he proposed to make a number of orders including setting aside the decision to award the contract to BAM KLS JV.

He would also make declarations that the council failed to identify that the successful tenderer’s tender "was suspect and therefore appeared to be abnormally low" on the basis of noncompliance with the relevant regulations, including applicable labour law obligations.

He would also make declarations that the council was obliged to and failed to require the successful tenderer to explain the prices and costs in its tender and was in breach of a public procurement regulation.

He would hear later from the parties on what form of orders to make.