Official UK procurement notice
Nitrogen and Phosphorous Mitigation Agreement
Authority: NORFOLK ENVIRONMENTAL CREDITS LIMITED (Public body)
What is being bought
Published requirement descriptionThis Contract Award Notice details the award of a contract pursuant to the negotiated procedure without prior publication because of competition being absent for technical reasons.
Norfolk Environmental Credits Limited generate, establish and sells nutrient mitigation credits to offset nutrient pollution generated by new residential developments. The services covered in this notice relate to the provision of high efficiency (HE) nutrient removal package treatment plants (PTP) for the generation, establishment and sale of nutrient mitigation credits.
CPV: Environmental management · Environmental services
The lotProcurement structure
single lot · no lot value publishedLot #1Awarded
This notice relates to an extension to allow for a further 49 Delivered Savings under the Contract, with a new total amount of 149 Delivered Savings under the Contract.
NEC considers the modifications of the Contract without prior publication of a Contract Notice is permitted by the PCR and Directive 2014/24/EU (the "Directives").
The Contract was modified in accordance with regulation 72(1)(b)/article 72(1)(b) on 13 December 2024 and accordingly does not in NEC's view amount to the award of a new contract and/or an unlawful substantial change. The modification does not alter the overall nature of the Contract. The estimated price increase does not exceed 50 % of the estimated value of the original Contract (as identified in the Contract Award Notice).
The extension to allow for a further 49 Delivered Savings is necessary for the provision of additional services, namely for the continued generation of the nutrient mitigation credits.
A change of contractor cannot be made for economic and technical reasons and would cause significant inconvenience and substantial duplication of costs for NEC. The mobilisation of a new contractor to deliver the required nutrient savings in the required timescales is not feasible and would lead to substantial duplication of costs.
Separately NEC has commenced a competitive procurement (notice reference: 2024/S 000-037896), for delivery of permanent nutrient savings from mid-March 2025. The extension will enable further savings to be delivered whilst NEC conducts the competitive procurement.
Procedure terms & legal framework
From the official record · publisher note attached- Procedure method
- Award procedure without prior publication of a call for competition
- Legal basis
- CELEX · 32014L0024 Public Contracts Regulations 2015 (Directive 2014/24/EU)
- Procurement category
- Services
- Notice status
- Awarded without competition
- Procurement threshold
- Unspecified in notice
- Regulatory regime
- Standard
- Commercial structure
- Stand-alone contract (no framework)
- Competition type
- Direct award (no call for competition)
- GPA / WTO covered
- Yes (GPA)
- Recurring procurement
- Unspecified in notice
- First published
- 6 Aug 2024, 16:00 BST
- Last source update
- 17 Dec 2024, 16:33 GMT
- FTS notice number
2024/S 000-040670- Classification (CPV)
- Delivery area
- Official registry OCID
ocds-h6vhtk-048827Find a Tender
- Why no open competition
The works, supplies or services can be provided only by a particular economic operator due to absence of competition for technical reasons
- Published justification
The Purchaser has undertaken market analysis in the design of the services and has established that, due to the technical and legal requirements associated with the installation of the HE PTP to generate nutrient benefit, there was no other reasonable alternative or substitute and that the absence of competition was not the result of an artificial narrowing down of the parameters of the procurement.
A call for nutrient offset investment opportunities has been published on the Purchaser's website and soft market engagement has been undertaken with those service providers who have approached the Purchaser. The Purchaser had a specific requirement to identify a supplier who could generate nutrient benefit through upgrading existing septic tanks to high efficiency nutrient removal package treatment plants. At the time of contract award the appointed supplier are the only company which has demonstrated it is able to provide a tradable nutrient benefit (Phosphorus and Nitrogen measured in kg/yr) in the geographical catchment area of the European protected sites as required by the legal framework and in which the Purchaser is seeking to secure the nutrient mitigation.
Accordingly, after due consideration, the Purchaser has decided to make a direct award pursuant to Regulation 32(2)(b)(ii) of the Public Contracts Regulations 2015 on the grounds that competition is absent for technical reasons.
Publisher note: NEC intends to extend the Contract to allow for a further 49 Delivered Savings as more fully described in VII.1.4) by reference to Regulation 72(1)(b) of the Public Contracts Regulations 2015 ("PCR"). For the purposes of assessing whether the conditions with Regulation 72(1)(b) PCR have been satisfied, NEC has considered it necessary and proportionate to calculate the value of the Contract in the Contract Award Notice and this extension on the basis of the quantum of phosphorus secured. Consequently, notwithstanding the duration as stated in this Modification Notice, the commitment to deliver the total phosphorus (and associated nitrogen offset) as valued in this Modification Notice and the Contract Award Notice during the initial 12 month and extension of the Contract by 6 months may result in circumstances where the actual duration of Contract extends beyond the initial duration and extension of the Contract.
Commercial outcome & contract awards
Published awards, contracts and bid statistics, not a forecast| Awarded to | Value | Date | Status |
|---|---|---|---|
| NORFOLK RIVERS CONSORTIUM LIMITEDSME | £4,000,000 †same award published again · counted once | — | Awarded |
| NORFOLK RIVERS CONSORTIUM LIMITEDSME | £5,960,000 † | — | Awarded |
Contracts
Nitrogen and Phosphorous Mitigation Agreement · NORFOLK RIVERS CONSORTIUM LIMITEDSME
- Signed
- 10 May 2024
- Value
- £4,000,000
- Status
- active
Contract 040670-2024-MIT00002 Septic Tank Upgrades-1 · NORFOLK RIVERS CONSORTIUM LIMITEDSME
- Signed
- 10 May 2024
- Value
- £5,960,000
- Status
- active
- Change Nature and extent of the modifications (with indication of possible earlier changes to the contract): NEC has agreed with the contractor to extend the Contract to allow for the delivery of an additional 49 Delivered Savings which were not originally provided for under the Contract., Need for additional works, services or supplies by the original contractor/concessionaire: The modification is brought about by the need for additional services which were not originally provided for under the Contract. The modifications are in accordance with Part 2 of the PCR which implements the Directive. The modifications are particularly provided for in regulation 72(1)(b) (additional services) of PCR. NEC considers the modification without prior publication of a Contract Notice is permitted by the PCR and the Directive. The Contract was modified on 13 December 2024 in accordance with regulation 72(1)(b)/article 72(1)(b) and does not in NEC's view amount to the award of a new contract and/or an unlawful substantial change. NEC has separately commenced a procurement (Notice reference: 2024/S 000-037896) for the delivery of permanent nutrient neutrality mitigation.
Bid statistics published by the authority
| Bids | SME | VCSE | Valid bid range |
|---|---|---|---|
| 1bids · 1 electronic | 1 | — | — |
Contracting authority & participating public bodies
Dispute resolution & review bodies
- High CourtReview body
Bidders & participating suppliers
1 commercial party on the notice- Norfolk Rivers Consortium LimitedAwarded supplier
Official documents & specifications
Official links; attachments are not copiedNo document links were published on the notice.