Find a TenderAwarded
Published 26 Jun 2023, 15:31 BST

Official UK procurement notice

TC1162 Power Purchase Agreement

Official notice

Authority: Manchester City Council (Local council)

GoodsCompetitive procedure with negotiationSME suitable
Published estimate£42,000,000exc. VAT14.7% above published estimate
Submissions closed 26 Jul 2023awarded 19 Dec 2023
Awarded to AGR Power Limited

What is being bought

Published requirement description

The Council has set an ambitious Climate Change Action Plan for the period 2020-25 to achieve reductions of the Council’s direct emissions by at least 50% by 2025, while aiming for a further 50% reduction between 2025 and 2030.

The Council has committed to securing 100% renewable electricity by 2030 and renewable power purchase agreements are considered an integral part of its energy procurement and sustainability strategies.

The Council therefore sought to sign a long-term offsite virtual power purchase agreement (“PPA”) with a wind or solar PV developer with a project that has REGOs that are valid for the Council’s Scope 2 reporting (i.e. REGOs that are valid within Great Britain). In the interest of creating ‘additionality’, the Council sought a “new-to-earth” project, which is not yet constructed but has received permits and consents from local authorities.

CPV: Electricity · Solar energy

The lotProcurement structure

single lot · value published
Lot #1The council ran a competitive procedure with negotiation to procure a long-term…AwardedPublished value£42,000,000

The council ran a competitive procedure with negotiation to procure a long-term offsite virtual power purchase agreement. Further details on the procurement steps can be found within the procurement documents. Additional information: The Council used the e-business portal known as the Chest. Applicants needed to register their details at the following link www.the-chest.org.uk ↗. Applicants needed to electronically submit their completed Request to Participate documents, including standard selection questionnaire, via the on-line portal by 11am on 26th July 2023 referred to in IV.2.2.

Delivery: North West
Variant bids: not allowed

What it takes to win
i

How this buyer will score bids.

The evaluation criteria and weights exactly as published on the notice, grouped by family (price, quality, social value and so on).

Evaluation split and conditions of participation as published; the tender pack may add more
How bids were scored
Quality: 30%Price: 40%Social value: 20%Environmental: 10%
Published sub-criteria (4)
  • Quality: 30%
  • price: 40%
  • Social Value: 20%
  • Carbon and Environment: 10%
Published award criteria (4)
  • Quality: 30
  • Social Value: 20
  • Carbon and Environment: 10
  • Price: 40
Successive reduction
Candidates will be reduced successively across stages
What this means for your bid
  • Price carries 40 of 100 points: a 10% discount moves about 4 points. The method statement decides this lot, not the discount.

Price arithmetic assumes straight proportional scoring; the tender pack may use another formula.

Procedure terms & legal framework

From the official record · publisher note attached
Procedure method
Competitive procedure with negotiation
Legal basis
CELEX · 32014L0024 Public Contracts Regulations 2015 (Directive 2014/24/EU)
Procurement category
Goods
Notice status
Awarded
Procurement threshold
Unspecified in notice
Regulatory regime
Standard
Commercial structure
Stand-alone contract (no framework)
Competition type
Competitive procedure
GPA / WTO covered
Yes (GPA)
Recurring procurement
No (one-off requirement)
First published
26 Jun 2023, 15:31 BST
Last source update
19 Dec 2023, 08:58 GMT
Authority reference
DN675949
FTS notice number
2023/S 000-037217
Classification (CPV)
ElectricitySolar energy
Delivery area
North West (UKD3)
Official registry OCID
ocds-h6vhtk-03dc90 Find a Tender
Review and risk notes
Review procedure

The Council observed a 10 calendar day standstill period at the point information on the award of the contract is communicated to tenderers prior to entering into the contract, which came to an end midnight 18th December 2023. If an appeal regarding the award of a contract has not been successfully resolved, the Public Contract Regulations 2015 provide for aggrieved parties who have been harmed or are at risk of harm by a breach of the rules to take action in the High Court (England, Wales and Northern Ireland)

Publisher note: Manchester City Council’s (“the Council”) mission is to make Manchester a healthy, green, socially just city where everyone can thrive. Our target is to become a zero-carbon city by 2038 at the latest, 12 years ahead of the Government’s target for the UK of 2050. The Council has set an ambitious Climate Change Action Plan for the period 2020-25 to achieve reductions of the Council’s direct emissions by at least 50% by 2025, while aiming for a further 50% reduction between 2025 and 2030. The Council has committed to securing 100% renewable electricity by 2030 and renewable power purchase agreements are considered an integral part of its energy procurement and sustainability strategies. The Council therefore sought to sign a long-term offsite virtual power purchase agreement (“PPA”) with a wind or solar PV developer with a project that has REGOs that are valid for the Council’s Scope 2 reporting (i.e. REGOs that are valid within Great Britain). In the interest of creating ‘additionality’, the Council sought a “new-to-earth” project, which is not yet constructed but has received permits and consents from local authorities. The Council used the e-business portal known as the Chest. Applicants needed register their details at the following link www.the-chest.org.uk . Once registered, applicants were emailed a log-in and password which allowed them to gain access to the documentation relating to this opportunity. Applicants needed to electronically submit their completed Request to Participate documents, including the standard selection questionnaire, via the on-line portal by 11am on 26th July 2023 as referred to in IV.2.2. Any clarification queries were also required to be submitted via the Chest website by the date referred to in the tender documentation. The contract will be for 15 years, expected to commence September 2025 The successful supplier will be required to actively participate in the economic and social regeneration of the locality of, and surroundings of, the place of delivery of the contract. Therefore, selection and award criteria, specification requirements and contract performance conditions related in particular to social and environmental considerations as relevant to the subject matter of this project.

How it was run

Official notice
Run through: ProContract (Due North) · Who buys & how to bid on ProContract
Supplier login requiredLanguage: EN
Access & registration note: Free · short registration with manual review; public opportunity list
Submission deadline
26 Jul 2023, 16:00 BST
Submission channel
{"electronicSubmission"}
Accepted languages
en
Detailed submission instructions & authority contactsFrom official release

Timeline

26 Jul 2023 → 19 Dec 2023 · 3 dates
  1. Submission deadline
    26 Jul 2023, 16:00 BST
  2. Invitations to tender expected
    9 Aug 2023, 00:00 BST
  3. Notice published
    19 Dec 2023, 08:58 GMT

Notice history

1 event · 2 releases on Find a Tender
  1. Status changed to complete
    19 Dec 2023, 08:58 GMT

Commercial outcome & contract awards

Published awards, contracts and bid statistics, not a forecast
Awards 1
Awarded value £48,169,7171 contract exc. VAT
Bids received 62 from SMEs
Contracts signed 1latest 19 Dec 2023
Awarded toValueDateStatus
AGR Power LimitedSME£48,169,717 †—Awarded

Contracts

  • Contract 037217-2023-TC1162-1 · AGR Power LimitedSME

    Signed
    19 Dec 2023
    Value
    £48,169,717
    Status
    active

Bid statistics published by the authority

BidsSMEVCSEValid bid range
6bids · 6 electronic2——

Contracting authority & participating public bodies

Manchester City Council

Contracting authorityLocal CouncilRegional or local authorityGeneral public services Floor 5 (Mount Street Elevation), Town Hall Extension, Albert Square, Manchester, North West, M60 2LAContact name, email, phone Published organisation website ↗

Dispute resolution & review bodies

  • The High Court (England, Wales and Northern Ireland)Review body London

Bidders & participating suppliers

1 commercial party on the notice
  • AGR Power LimitedAwarded supplier 4th Floor, Burlington Building, 19 Heddon Street, London, North West, W1B 4BG

Official documents & specifications (2)

Official links; attachments are not copied

Tender pack and attachments

  • Economic and financial selection criteriatenderEconomic and financial selection criteria
  • Technical selection criteriatenderTechnical selection criteria