Contract award notice
Results of the procurement procedure
Section I: Contracting
entity
I.1) Name and addresses
Manchester City Council
Floor 5 (Mount Street Elevation), Town Hall Extension, Albert Square
Manchester
M60 2LA
UK
Contact person: Mr Josh Ward
Telephone: +44 1612345000
E-mail: joshua.ward@manchester.gov.uk
NUTS: UKD3
Internet address(es)
Main address: http://www.manchester.gov.uk
Address of the buyer profile: http://www.manchester.gov.uk
I.4) Type of the contracting authority
Regional or local authority
I.5) Main activity
General public services
Section II: Object
II.1) Scope of the procurement
II.1.1) Title
TC1162 Power Purchase Agreement
Reference number: DN675949
II.1.2) Main CPV code
09310000
II.1.3) Type of contract
Supplies
II.1.4) Short 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.
II.1.6) Information about lots
This contract is divided into lots:
No
II.1.7) Total value of the procurement
Value excluding VAT:
48 169 717.00
GBP
II.2) Description
II.2.2) Additional CPV code(s)
09310000
09330000
II.2.3) Place of performance
NUTS code:
UKD3
II.2.4) Description of the procurement
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.
II.2.5) Award criteria
Quality criterion: Quality
/ Weighting: 30
Quality criterion: Social Value
/ Weighting: 20
Quality criterion: Carbon and Environment
/ Weighting: 10
Price
/ Weighting:
40
II.2.11) Information about options
Options:
No
II.2.13) Information about European Union funds
The procurement is related to a project and/or programme financed by European Union funds:
No
II.2.14) 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.
Section IV: Procedure
IV.1) Description
IV.1.1) Type of procedure
Competitive procedure with negotiation
IV.1.8) Information about Government Procurement Agreement (GPA)
The procurement is covered by the Government Procurement Agreement:
Yes
IV.2) Administrative information
IV.2.1) Previous publication concerning this procedure
Notice number in the OJ S:
2023/S 000-018136
IV.2.9) Information about termination of call for competition in the form of a prior information notice
The contracting authority will not award any further contracts based on the above prior information notice
Section V: Award of contract
Contract No: TC1162
A contract/lot is awarded:
Yes
V.2 Award of contract
V.2.1) Date of conclusion of the contract
19/12/2023
V.2.2) Information about tenders
Number of tenders received: 6
Number of tenders received from SMEs: 2
Number of tenders received from tenderers from EU Member States: 0
Number of tenders received from tenderers from non-EU Member States: 0
Number of tenders received by electronic means: 6
The contract has been awarded to a group of economic operators:
No
V.2.3) Name and address of the contractor
AGR Power Limited
4th Floor, Burlington Building, 19 Heddon Street
London
W1B 4BG
UK
NUTS: UKD3
The contractor is an SME:
Yes
V.2.4) Information on value of the contract/lot (excluding VAT)
Initial estimated total value of the contract/lot:
Total value of the contract/lot:
: 48 169 717.00
GBP
V.2.5) Information about subcontracting
Section VI: Complementary information
VI.3) Additional information
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.
VI.4) Procedures for review
VI.4.1) Review body
The High Court (England, Wales and Northern Ireland)
The Strand
London
WC2A 2LL
UK
VI.4.3) Review procedure
Precise information on deadline(s) for review procedures:
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)
VI.5) Date of dispatch of this notice
19/12/2023