Energy Risk Management Services for Scottish Water

Energy Risk Management Services for Scottish Water

Scottish Water(SW) requires a suitable service provider to work closely with them to provide a cost effective technical and commercial service for energy risk management services.

United Kingdom-Glasgow: Energy-management services

2013/S 231-401759

Contract notice – utilities


Directive 2004/17/EC

Section I: Contracting entity

I.1)Name, addresses and contact point(s)

Scottish Water
The Bridge, Buchanan Gate Business Park, Cumbernauld Road, Stepps
For the attention of: Pauline Moscardini
Telephone: +44 1414147990

Internet address(es):

General address of the contracting entity:

Address of the buyer profile:

Electronic access to information:

Further information can be obtained from: The above mentioned contact point(s)

Specifications and additional documents (including documents for a dynamic purchasing system) can be obtained from: The above mentioned contact point(s)

Tenders or requests to participate must be sent to: The above mentioned contact point(s)

I.2)Main activity

I.3)Contract award on behalf of other contracting entities

Section II: Object of the contract

II.1.1)Title attributed to the contract by the contracting entity:

Provision of Energy Risk Management Services.
II.1.2)Type of contract and location of works, place of delivery or of performance

Service category No 27: Other services
Main site or location of works, place of delivery or of performance: Pan Scotland.
NUTS code UK

II.1.3)Information about a public contract, a framework agreement or a dynamic purchasing system (DPS)

The notice involves the establishment of a framework agreement
II.1.4)Information on framework agreement

Framework agreement with a single operator
Duration of the framework agreement

Duration in months: 84
Estimated total value of purchases for the entire duration of the framework agreement

Estimated value excluding VAT
Range: between 200 000 and 400 000 GBP

II.1.5)Short description of the contract or purchase(s):

Scottish Water(SW) requires a suitable service provider to work closely with them to provide a cost effective technical and commercial service for energy risk management services.
NOTE: To register your interest in this notice and obtain any additional information please visit the Public Contracts Scotland Web Site at

II.1.6)Common procurement vocabulary (CPV)


II.1.7)Information about Government Procurement Agreement (GPA)

The contract is covered by the Government Procurement Agreement (GPA): yes
II.1.8)Information about lots
II.1.9)Information about variants

Variants will be accepted: yes
II.2)Quantity or scope of the contract
II.2.1)Total quantity or scope:

Scottish Water
Energy Risk Management Services, Transaction Services
and Associated Advisory Services
The provision of energy risk management services, transaction services and associated advisory services covers all the following service requirements:
— Provision of Energy Market Intelligence by weekly conference call.
— Provision of Energy Market Advice by weekly conference call and update the SW position relative to the market.
— Provision of Reports including:
— Provision of daily market commentary report, highlighting trends in key energy markets, namely electricity, gas and oil, including Price updates
— Provision of a comprehensive overview of the Energy market conditions and the key drivers influencing the market at least once a month
— Provision of ad-hoc energy reports as and when required by SW
— Periodic reports and information to Scottish Water relating to energy market changes and associated matters, including CRC, EMR and other current energy legislation.
— Input into SW Energy Risk Management Policy and strategy as may be required. This could include, but not limited to, using Power Purchase Agreements, financial products and indexes, and offer other options for future price risk management.
— Energy Price Sets, Unsets and Resets for both HH and NHH (or combined) contracts on behalf of SW with SW Energy Suppliers. Energy Sets and Unsets are carried out on SW’s instruction.
— Advice on energy supply industry and related contractual matters
— Additional Service Requirements including:
— Attending additional ad-hoc conference calls as may be required
— Monthly account management conference calls
— Attending bi-monthly SW Energy Risk Management Committee Meetings (two people in person) at SW premises
— Attending additional ad-hoc meetings as may be required
— PPA prospecting, evaluation and analysis on behalf of SW
— Assisting SW with selling of self generation, including advice/validation of export prices, imbalance costs, ROC values, LEC values and embedded benefits.
— Providing periodic reports and information to SW relating to energy market developments and structural changes and associated matters, including (for example) Electricity Market Reform, Energy Legislation, CRC, etc
— Access to online portal for energy management and risk management functions.
The supplier for this service should be approved or accredited by the FCA or equivalent body, in the event of advice relating to non-physical contract services provided.
The supplier should be able to trade (price set, unset, re-set) for any contract period specified by Scottish Water.
Estimated value excluding VAT
Range: between 200 000 and 400 000 GBP
II.2.2)Information about options

Options: no
II.2.3)Information about renewals

This contract is subject to renewal: no
II.3)Duration of the contract or time limit for completion

Duration in months: 84 (from the award of the contract)

Section III: Legal, economic, financial and technical information

III.1)Conditions relating to the contract
III.1.1)Deposits and guarantees required:

Scottish Water reserves the right to require deposits, guarantees, bonds or other forms of appropriate security.
III.1.2)Main financing conditions and payment arrangements and/or reference to the relevant provisions governing them:

All prices quoted shall be in Sterling (UK) and all payments shall be made in Sterling (UK). Payment shall be made on the basis of completed services in accordance with the agreed contract rates, schedules and conditions of contract.
III.1.3)Legal form to be taken by the group of economic operators to whom the contract is to be awarded:

In the event of a group of companies submitting an accepted offer it will be necessary for each member of the group to sign an undertaking that each company in the group will be jointly and severally liable for the satisfactory performance of the contract.
III.1.4)Other particular conditions:

The performance of the contract is subject to particular conditions: no
III.2)Conditions for participation
III.2.1)Personal situation of economic operators, including requirements relating to enrolment on professional or trade registers

Information and formalities necessary for evaluating if the requirements are met: Expressions of interest should be submitted through Public Contracts Scotland by the date indicated. Thereafter all applicants will be requested to complete a Pre-Qualification Questionnaire. Questionnaires will be issued electronically to all applicants through Public Tenders Scotland. Responses to Pre-Qualification Questionnaires will be assessed and used to short-list applicants who will be invited to proceed to the next stage of the tender process. Applicants will only be assessed based on the answers provided in the questionnaires.
III.2.2)Economic and financial ability

Information and formalities necessary for evaluating if the requirements are met: Applicants will be expected to be of sufficient financial and economic standing to support the anticipated contract value. All applicants must complete the financial questions within the pre-qualification questionnaire and tender documents. Financial standing relevant to the anticipated contract value will be determined by Scottish Water based on the response to the pre-qualification questionnaire and any further financial checks deemed necessary.
III.2.3)Technical capacity

Information and formalities necessary for evaluating if the requirements are met: Applicants must complete the technical questions within the pre-qualification questionnaire and tender documents.
III.2.4)Information about reserved contracts
III.3)Conditions specific to services contracts
III.3.1)Information about a particular profession
III.3.2)Staff responsible for the execution of the service

Legal persons should indicate the names and professional qualifications of the staff responsible for the execution of the service: yes

Section IV: Procedure

IV.1)Type of procedure
IV.1.1)Type of procedure

Some candidates have already been selected (if appropriate under certain types of negotiated procedures): no
IV.2)Award criteria
IV.2.1)Award criteria

The most economically advantageous tender in terms of the criteria stated in the specifications or in the invitation to tender or to negotiate
IV.2.2)Information about electronic auction
IV.3)Administrative information
IV.3.1)File reference number attributed by the contracting entity:

IV.3.2)Previous publication(s) concerning the same contract

Periodic indicative notice

Notice number in the OJEU: 2013/S 204-354204 of 19.10.2013

IV.3.3)Conditions for obtaining specifications and additional documents

Time limit for receipt of requests for documents or for accessing documents: ..
IV.3.4)Time limit for receipt of tenders or requests to participate

17.12.2013 – 12:00
IV.3.5)Language(s) in which tenders or requests to participate may be drawn up

IV.3.6)Minimum time frame during which the tenderer must maintain the tender
IV.3.7)Conditions for opening of tenders

Section VI: Complementary information

VI.1)Information about recurrence
VI.2)Information about European Union funds
VI.3)Additional information:

This contract notice does not preclude Scottish Water from issuing other contract notices for specific requirements from time to time. The contents of this Notice are sufficient for submissions of pre-qualification data all other communications are discouraged. Responses to the OJEU Notice will be evaluated based on Section III.2 and only successful applicants following PQQ evaluation will be invited to submit a tender. Scottish Water reserves the right to divide the scope of the contract into lots at tender and contract award stages as it deems appropriate. Applicants who fail to supply all of the information requested in response to this Notice or any resulting tender exercise may risk elimination.
All interested parties please note they should be registered with:

(SC Ref:286231)

VI.4)Procedures for appeal
VI.4.1)Body responsible for appeal procedures
VI.4.2)Lodging of appeals

Precise information on deadline(s) for lodging appeals: In accordance with regulation 33 of The Utilities Contracts (Scotland) Regulations 2006 as amended (the Regulations) Scottish Water will incorporate a minimum of 10 calendar day standstill period between the communication of the award decision and the decision to enter into the contract with the successful tenderer. A breach of any duty owed under the Regulation is actionable by any economic operator which, in consequence of the breach, suffers, or risks suffering, loss or damage and such proceedings may be brought either the Sheriff Court or Court of Session. Any such action must be brought within 3 months from the date when grounds for the bringing of proceedings first arose unless the Court considers that there is good reason for extending the period within which proceedings may be brought.
VI.4.3)Service from which information about the lodging of appeals may be obtained

VI.5)Date of dispatch of this notice:26.11.2013