Electric Cars: Plugit Lost Helsinki's Charging Point Tender But Ultimately Secured It

Helsinki's procurement process for over 200 street-level electric vehicle charging points has taken an unusual turn. The city's urban environment committee initially selected Helen, the city-owned energy company, to build the infrastructure. However, the sole competitor, Plugit, was disqualified during the bidding phase because its proposal allegedly failed to meet all stipulated conditions.

Adding a layer of complexity, it was recently reported that Plugit is in the process of acquiring Helen's entire charging business. This development means the contract initially awarded to Helen, from which Plugit was excluded, may ultimately be executed by Plugit. The question of who will actually build the charging stations has become a focal point.

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The business deal was just signed when the Market Court's decision came, somewhat unexpectedly.

Johan Mild, CEO of Plugit, insists the two events are unrelated and the timing is coincidental. He explained that negotiations for the acquisition of Helen's charging business had been ongoing for months before the announcement. Simultaneously, Plugit had appealed its disqualification from the city's tender to the Market Court, which ruled against Plugit in June, dismissing its appeal.

According to Mild, Plugit's disqualification stemmed from the city's strict requirements for "reference sites", previous projects involving the construction of similar street-side chargers. Plugit lacked these specific references, while Helen had prior experience building chargers on Helsinki streets. Kari Pudas, technical director for Helsinki's urban environment division, confirmed that if Plugit acquires Helen's charging operations, the reference site issue would be resolved, posing no problem from the city's perspective. The winning company in the tender does not build chargers for city ownership but secures the right to lease locations and operate the stations, selling charging electricity and maintaining the equipment.

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Plugit was excluded from the tender due to missing references. But, if they buy Helen's charging business, then this problem is solved.