What is the PCP programme?
About the EuropeWave PCP
This procurement takes the form of a pre-commercial procurement (PCP). In a PCP, R&D service contracts are awarded to several R&D service providers in parallel to progressively develop solutions in a phased approach. This allows the procurers to compare several design solutions in a competitive environment.
The EuropeWave PCP combines the phased approach of the PCP model, a stage-gated industrial development process, and an international evaluation and guidance framework for ocean energy technology.
Each selected operator will be awarded a framework agreement that covers up to three R&D phases:
Phase 1: Concept development
Phase 2: Design/modelling
Phase 3: Open-sea deployment & testing programme
After each phase, intermediate evaluations will be carried out to progressively select the best of the competing solutions. The contractors with the best-value-for-money solutions will be offered a call-off contract for the next phase, under the framework agreement.
Phase 1 is expected to start in January 2022. Phase 3 is expected to start in September 2023 and conclude in May 2026.
The selected operators will retain ownership of the intellectual property rights (IPRs) that they generate during the PCP and will be able to use them to exploit the full market potential of the developed solutions.
This procurement receives funding from the European Union’s Horizon 2020 Research and Innovation Programme, under grant agreement No 883751. The EU is not participating as a contracting authority in the procurement.
The PCP concept explained
Pre-Commercial Procurement (PCP) challenges industry to develop innovative technical solutions to public sector needs and enables public procurers to compare alternative potential approaches and filter out the best possible solutions that the market can deliver.
Competitive development in phases - in PCP, public procurers buy R&D from several competing suppliers in parallel to compare alternative solution approaches and identify the best value for money solutions that the market can deliver to address their needs. R&D is split into phases (solution design, prototyping, original development and validation/testing of a limited set of first products) with the number of competing R&D providers being reduced after each R&D phase.
Risk-benefit sharing under market conditions - in PCP, public procurers share the benefits and risks related to the IPRs resulting from the research and development (R&D) with suppliers at market price. Suppliers retain IPR ownership rights, while procurers keep some usage and licensing rights.