Contract award notice
Results of the procurement procedure
Section I: Contracting
entity
I.1) Name and addresses
The Highland Council
Council Headquarters, Glenurquhart Road
Inverness
IV3 5NX
UK
Contact person: Scott Henderson
Telephone: +44 1463702979
E-mail: contracts.team@highland.gov.uk
NUTS: UKM6
Internet address(es)
Main address: http://www.highland.gov.uk/
Address of the buyer profile: https://www.publiccontractsscotland.gov.uk/search/Search_AuthProfile.aspx?ID=AA00045
I.2) Joint procurement
The contract is awarded by a central purchasing body
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
Renewable Heat Services-2023-SER051
Reference number: HC/P&H/SER051/2023
II.1.2) Main CPV code
50000000
II.1.3) Type of contract
Services
II.1.4) Short description
The Authority wishes to appoint one Contractor submitting the Most Economically Advantageous Tender (MEAT), to manage, operate and maintain renewable heat and associated services across the estate.
The Contractor will be required to undertake the management of heat provision, which will include fuel delivery and supply, management and undertaking of the servicing, maintenance and repair of biomass plant, and associated equipment, including fuel storage facilities, ancillary equipment and plant controls.
The contract specifically excludes the building heating system such as pipework and heaters and the Authority’s Housing stock which is specifically excluded from the scope of the requirements described.
The Contract shall commence on 06 September 2023 and will endure until 05 September 2026, with the option of multiple extensions to be extended by up to thirty-six (36) months, subject to mutual agreement. The option of multiple extensions may be exercised by the Authority giving written notice to the Contractor to that effect, not less than three (3) months before the contract would otherwise expire.
The estimated annual value (based on historical data of approximately 35,000,000kWh heat consumption across the estate) is 5,800,000.00 GBP. Please note these are estimated and for guidance purposes only.
Tenderers should note and consider the background of market conditions and decreasing public sector budgets and the need to target and achieve budgetary pressures against the current annual costs experienced by the Council for the Services provided by this Contract.
II.1.6) Information about lots
This contract is divided into lots:
No
II.1.7) Total value of the procurement
Value excluding VAT:
28 701 093.18
GBP
II.2) Description
II.2.3) Place of performance
NUTS code:
UKM6
Main site or place of performance:
Covers Highland Council Area
II.2.4) Description of the procurement
The Authority wishes to appoint one Contractor submitting the Most Economically Advantageous Tender (MEAT), to manage, operate and maintain renewable heat and associated services across the estate.
The Contractor will be required to undertake the management of heat provision, which will include fuel delivery and supply, management and undertaking of the servicing, maintenance and repair of biomass plant, and associated equipment, including fuel storage facilities, ancillary equipment and plant controls.
The contract specifically excludes the building heating system such as pipework and heaters and the Authority’s Housing stock which is specifically excluded from the scope of the requirements described.
The Contract shall commence on 06 September 2023 and will endure until 05 September 2026, with the option of multiple extensions to be extended by up to thirty-six (36) months, subject to mutual agreement. The option of multiple extensions may be exercised by the Authority giving written notice to the Contractor to that effect, not less than three (3) months before the contract would otherwise expire.
The estimated annual value (based on historical data of approximately 35,000,000kWh heat consumption across the estate) is 5,800,000.00 GBP. Please note these are estimated and for guidance purposes only.
Tenderers should note and consider the background of market conditions and decreasing public sector budgets and the need to target and achieve budgetary pressures against the current annual costs experienced by the Council for the Services provided by this Contract.
II.2.5) Award criteria
Quality criterion: Quality
/ Weighting: 70
Price
/ Weighting:
30
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
Section IV: Procedure
IV.1) Description
IV.1.1) Type of procedure
Open procedure
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 000-016800
Section V: Award of contract
Contract No: SER051
A contract/lot is awarded:
Yes
V.2 Award of contract
V.2.1) Date of conclusion of the contract
28/08/2023
V.2.2) Information about tenders
Number of tenders received: 5
Number of tenders received from SMEs: 5
Number of tenders received from tenderers from EU Member States: 0
Number of tenders received from tenderers from non-EU Member States: 5
Number of tenders received by electronic means: 5
The contract has been awarded to a group of economic operators:
No
V.2.3) Name and address of the contractor
Alternative Heat Ltd.
Unit 18-19 Scarva Road Industrial Estate
Banbridge
BT32 3QD
UK
Telephone: +44 2843770700
Fax: +44 2843778404
NUTS: UK
Internet address(es)
URL: https://www.alternativeheat.co.uk/
The contractor is an SME:
Yes
V.2.4) Information on value of the contract/lot (excluding VAT)
Total value of the contract/lot:
: 28 701 093.18
GBP
V.2.5) Information about subcontracting
The contract is likely to be subcontracted
Value or proportion likely to be subcontracted to third parties
Value excluding VAT: 2 560 000.00 GBP
Short description of the part of the contract to be subcontracted:
The supply of wood pellets shall be subcontracted on this contract. Various support maintenance services shall also be subcontracted
Section VI: Complementary information
VI.3) Additional information
(SC Ref:743563)
VI.4) Procedures for review
VI.4.1) Review body
Inverness Sheriff Court and Justice of the Peace Court
The Inverness Justice Centre, Longman Road
Inverness
IV1 1AH
UK
Telephone: +44 1463230782
E-mail: inverness@scotcourts.gov.uk
Internet address(es)
URL: https://www.scotcourts.gov.uk/the-courts/court-locations/inverness-sheriff-court-and-justice-of-the-peace-court
VI.5) Date of dispatch of this notice
04/09/2023