Bus service outsourcing - tender management


Tender management advisory services to explore and examine scope for privatising Dubai’s bus services through a franchise process

Dubai’s Roads and Transport Authority (RTA) acts as the Public
Transport Regulator, operating all bus services in the Emirate in partnership with the Government-controlled Public Transport Agency.
As part of Dubai’s vision and strategic objectives, RTA launched a project to explore enhanced innovation, efficiencies and cost effectiveness and examine the scope for privatising bus services through a franchise process.

Direx Solutions provided a range of tender management services with partners Ernst & Young (EY) as financial and transactional advisor, and Mott McDonald as technical advisor, delivered in two-stages:

  • A current state assessment to identify the assets and explore the strategic options of privatisation, franchising or outsourcing, supported by a comprehensive global benchmarking and market engagement exercise.
  • A tender management stage to develop the contracting model, tender framework, and request for proposal (RFP) documentation, based on best practice from markets in London, Dublin, Singapore and Sydney.

the tender stage and an extensive review period, RTA decided not to proceed with the outsourcing of bus services.