Victoria releases whole-of-government datacentre tender

Analyst: Victorian tender just the latest in a wave of government data centre contracts to come

The Victorian Government has released a tender for a Tier 3-rated whole-of-government datacentre facility and support services.

The Victorian Government currently runs two datacentres that support mission-critical systems. Any datacentre provider that wishes to tender for the job will need to be located within Victoria. The preference will be for a single provider.

The contract would initially take the form of a five-year lease with two further five-year options. The Government estimates it will require 300m2 of computer space immediately, 500m2 by the 2010/2011 financial year, 1200m2 by 2011/2012 and 1500m2 by 2012/2013. An additional 100m2 will be used as office space.

According to the tender documents, the successful applicant would need to provide electrical services, mechanical services, security services, data cabling, account management services and customer services.

Intermedium head of consulting, Kevin Noonan, said the whole-of-government tender was in line with a general push by Australian governments to centralise datacentres, as recommended in the recent Gershon report.

“Datacentres have become a hot issue nationally. All governments have become highly aware of the issue that datacentres are in short supply,” Noonan said.

The nature of datacentres meant government organisation were key clients, he said.

“One of the unique things about datacentres is that they have more in common with shopping centres than any other piece of IT equipment,” he said. “They are large spaces that are highly specialised that require long-term tenants with high set-up costs.”

The analyst added the datacentre market had become a seller’s market thanks to enterprise and government clients snapping up available space.

“This is a good, sound and long-term contract that would appeal to a space provider because it’s a very straightforward arrangement,” Noonan said. “The looming issue is that government clients are lining up for datacentre space. This is something that will be in hot contention for the next few years.

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