Fully Managed Energy Supply Service (Gas and Electric)

CHESHIRE EAST COUNCILcontractFind a TenderRef ocds-h6vhtk-0513d9Procurement Act 2023SME suitablepending
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Estimated value

Awarded value

£50.5m

Awarded 22 Apr 2026

Suppliers

1

Lots

1

1 awarded

Published

01 Jun 2026

Description

The Council sought to make provision for its electricity and gas requirements from 1st April 2027 for a period of three years with the option to extend for 2 x 12 months. The Council procured a fully managed service whereby the Managed Service Provider (MSP) will purchase energy for and on behalf of the Council via an established framework or dynamic purchasing system that is compliant with either the previous or current Procurement Regulations. It will provide a flexible purchasing method of procuring energy and will provide an end-to-end billing and management service. It will take the form of a single contract with the MSP negating the need to have a separate contract with the energy suppliers. Deliveries of services included are as follows: • Account Management including customer service; • Billing; • Management of Sites and Metering; • Data Management; • Purchase of green electricity; • Complaints Handling; • Online Management Portal; • Portfolio Reviews; • Performance Requirements and Service Levels The new procured service will cost £10.1 million per annum, covering an annual volume of around 26 GWh of electricity and 45 GWh of gas. The Managed Service cost will be circa £100,000 per annum whereas the Energy cost will be £10,000,000 per annum (subject to fluctuations.) The contract provides for the possibility that the contract value may be modified by an increase or decrease during the contract term, in line with one or more of the following parameters: energy tariffs; energy volume consumption changes; applicable VAT rates; adjustments to school and academy participation; and/or upon exercise of the option to take up green gas supply. As that potential for modification to contract value has been specifically provided for in the contract, and as such a modification would not change the overall nature of the contract, it shall be considered by the contracting authority to be a permitted modification under section 74 and Schedule 8(1) of the Procurement Act 2023, without the need for a new procurement. The values given in this notice are only estimations and take into account the extension option - the Council gives no guarantee or warranty or makes any representation as to the accuracy of any indicative volumes.

Scope

Reference
C4382
Commercial tool
Standalone contract
Contract dates
31 Mar 2027 to 31 Mar 2030
Possible extension to 31 Mar 2032

2 x 12 months An initial term of 3 years and a maximum extension period of 2 years will apply. Any extension shall be at the Council's sole and absolute discretion and for a period or periods (each to be no less than one (1) year in duration) of up to two (2) years in the aggregate.

CPV classifications
09000000
65200000
65300000
65400000
65500000
71314300
Contract locations
North West England, United Kingdom
Particular suitability
Small and medium-sized enterprises (SME)

Award criteria

Criteria the buyer will use to evaluate bids.

NameDescriptionTypeWeighting
Quality Scorequality70.00%
Total Fee for Managed Serviceprice30.00%

Participation

Conditions suppliers must meet to bid.

Employers Liability Insurance - £10,000,000 (with respect of each and every claim) Public Liability Insurance - £5,000,000 (with respect of each and every claim) Professional indemnity Insurance - £1,000,000 (with respect of each and every claim)

Procured gas and electricity for a local authority or comparable multi-site public sector property portfolio(s) within the last three years Provided a fully managed energy service for electricity and gas with a contract value of more than £6m per annum (including the managed service element and the supply of energy) within the last three years Procured REGO electricity or green gas for a public sector organisation Meet data security requirements (see checklist requirements in tender documents) Must be registered with the ICO Must have Health and Safety Policy Any enforcement/ remedial action orders need to have been met Must not have had complaint upheld following an investigation by the Equality and Human Rights Commission for the grounds of unlawful discrimination

Submission & procedure

Procedure
Open procedure

Award details

Awarded supplier(s), contract period and value as published in the award notice.

Awarded value

£50.5m

Award date

22 Apr 2026

Contract start

31 Mar 2027

Contract end

31 Mar 2030

Awarded to