Norway transport firm seeks administrator for public pension
NORWAY - Kollektivtransportproduksjon AS (KTP), the Norwegian public transport provider, is seeking a supplier of administrative and operations services for its public occupational pension scheme.
The company, which provides public transport in Oslo, Akershus and Vestfold and manages and builds infrastructure for railways, is tendering a five-year contract ahead of the expiry of its existing mandate at the end of the year.
KTP Group, which includes six limited companies and employs 3,300 workers, is seeking a provider to take on the administration of the pension resources of KTP and its subsidiaries Oslo T-banedrift and Oslotrikken, which are valued at approximately NOK 2.5bn (€313.3m).
The transportation company is also considering whether to extend the contract to cover the closed pension scheme of its Unibuss subsidiary, but in the meantime it noted the administrator will also have to operate the pension schemes of the three companies, including paying out the correct benefits at the correct time.
KTP highlighted in the tender notice that the existing administration and operation contract, which ends on 31 December 2010, includes an advantage programme for employees with additional benefits such as discounted interest for health insurance. It added: "Consideration will be given to continuing this in the new contract".
The closing date for submissions is 23 June 2010 and it is expected the new mandate will begin on 1 January 2011. Further information on the tender can be obtained from KTP.