Fletcher Energy shelves e-tender after Shell bid

Fletcher Challenge Energy had to scrap an in-progress tender for an electronic procurement platform once its sale to Shell became clear.

Fletcher Challenge Energy had to scrap an in-progress tender for an electronic procurement platform once its sale to Shell became clear.

The tender had already received replies from vendors but was one of a number of projects shelved when Shell’s takeover application to the Commerce Commission began rolling.

The tender had been posted after notices of the restructuring of the Fletcher Challenge Group, but before Shell made its first bid in late August.

IT manager Peter Muggleston said his department had lost its authority to spend as it and the rest of Fletcher Energy, except for the assets the commission deemed had to be divulged, would be absorbed into Shell.

Muggleston points out that the tender was also unnecessary because of Shell Group’s international partnership with Commerce One, its founding part-ownership in Commerce One-run exchange Trade-Ranger and involvement in other exchanges. They include chemical marketplace Elemica, marine exchange OceanConnect, transport exchange LevelSeas, energy marketplace IntercontinentalExchange and foreign currency exchange Currenex.

It is unclear how far Shell New Zealand has progressed its e-procurement plans. Spokesman Antonius Papaspiropoulos says no-one with knowledge in that area was available or in the country to comment.

But Shell New Zealand is part of a global initiative by its parent conglomerate Royal Dutch/Shell Group, announced in the US two weeks ago. Shell Group’s IT services arm is undertaking a “standardisation” project across 135 countries to create a common, unified desktop and server operating environment, with standardised telecommunications and IT support. The project will include global procurement contracts, automated web-based supply chain processes and rationalised telco networks and support.

Getronics Australia – formerly part of the global Wang company – will take on the project in Australia and New Zealand, employing local agents to do the work here.

Shell has been a major client of the Amsterdam-based Getronics international group for 30 years. Getronics group has a global agreement for the Shell programme, worth $A131 million (Euro 75 million) and meant to be completed by 2002.

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