Euston Road Energy Centre and District Heating Network

Euston Road Energy Centre and District Heating Network – Design, Build, Operation and Maintenance Services

The appointment of a contractor by the London Borough of Camden to design, build, operate and maintain an Energy Centre and District Heating Network in the St. Pancras and Somers Town ward of the borough.

United Kingdom-London: District heating

2013/S 140-242881

Contract notice

Works

Directive 2004/18/EC

Section I: Contracting authority

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

London Borough of Camden
Argyle Street
For the attention of: Mark Everest
WC1H 8NG London
UNITED KINGDOM
Telephone: +44 2079745514
E-mail: mark.everest@camden.gov.uk

Internet address(es):

General address of the contracting authority: http://www.camden.gov.uk

Address of the buyer profile: https://uk.eu-supply.com/lbcamden.asp

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

Specifications and additional documents (including documents for competitive dialogue and 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)Type of the contracting authority

Regional or local authority
I.3)Main activity

General public services
Public order and safety
Environment
Housing and community amenities
Social protection
Recreation, culture and religion
Education
I.4)Contract award on behalf of other contracting authorities

The contracting authority is purchasing on behalf of other contracting authorities: no

Section II: Object of the contract

II.1)Description
II.1.1)Title attributed to the contract by the contracting authority:

Euston Road Energy Centre and District Heating Network – Design, Build, Operation and Maintenance Services.
II.1.2)Type of contract and location of works, place of delivery or of performance

Works
Design and execution
Main site or location of works, place of delivery or of performance: Within the London Borough of Camden.
NUTS code UKI1

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

The notice involves a public contract
II.1.4)Information on framework agreement
II.1.5)Short description of the contract or purchase(s)

The appointment of a contractor by the London Borough of Camden to design, build, operate and maintain an Energy Centre and District Heating Network in the St. Pancras and Somers Town ward of the borough.
The scheme requires a proposal compliant with output specifications and existing planning permission reference 2013/0884/P available at: http://planningrecords.camden.gov.uk/Northgate/PlanningExplorer17/GeneralSearch.aspx

An open day will be held for bidders on Monday, 5.8.2013 at 10:00. This session will provide an opportunity to further understand the scheme and ask any questions. If you are interested in attending, further details and information on how to confirm attendance are available on the EU Supply Portal within the ‘Bidders Open Day Details’ document. Presentations and notes from the session will be uploaded onto the EU Supply portal.
Background Information
The London Borough of Camden has identified a cluster of four communally heated estates in Somers Town, Kings Cross, London NW1 which are in close proximity to the Francis Crick Institute, a new major biomedical research facility due to be completed in 2015/16.
The aggregated volume of heat and electrical demands for the estates and Francis Crick Institute has been assessed by Arup on behalf of the Decentralised Energy for London programme and is considered to provide an excellent opportunity for a phased decentralised energy network.
Full planning consent for a centralised energy centre has been secured and full Cabinet approval has been secured from the London Borough of Camden to procure the project. Discussions have also been held confirming the potential for the scheme to be eligible for Energy Company Obligation (ECO) funding. The London Borough of Camden therefore intends to ask bidders to either access this directly or indirectly via the Council to help meet scheme development costs.
Phasing
The scheme will be commissioned and delivered in the following phases:
Phase 1 – would see a heat only district heating project design, built, operated and maintained for the four estates via a district heating network connected to a central energy centre for which full planning permission has been granted.
The Phase 1 construction contract would start in Q1, 2014.
The Phase 1 operation and maintenance contractual period will run for 15 years from the end of the commissioning period of Phase 1. The appointed contractor will be required to operate and maintain the energy centre and associated district heating network in such a manner as to provide and guarantee heating and hot water services at all times on demand to heat customers.
Phase 2 – Once the Francis Crick Institute (“the Crick”) establishes a sufficient electrical demand (envisaged 2016) and an agreement is reached, Camden Council may commission the installation, operation and maintenance of a c.1MWe CHP unit (indicative size only) at the Phase 1 Energy Centre with a direct electrical connection to the Crick. Upon Phase 2 commission, the CHP system shall then also be the primary source of heat supply to the district heating network installed in Phase 1.
The Phase 2 project agreement between the London Borough of Camden and the Crick is under development and its conclusion is a necessary precondition for Phase 2 commission.
The operations and maintenance contractual period for Phase 2 will run for 15 years from the end of the commissioning period of Phase 2 and will be combined with the obligations agreed to under the Phase 1 operations and maintenance contract.
The appointed contractor will be required to maximise the operation of the CHP engine within the electricity demand constraints of the Francis Crick Institute as well as provide and guarantee heating and hot water services at all times on demand to heat customers.
Phase 3 – Camden Council intends to extend the network to connect to Council regeneration planned for the wider Somers Town area over the next 4-5 years. This phase will not be procured within this exercise. However, the design and build under Phase 1 will include the expansion capacity to support future district heating demands.
Summary
The Euston Road Energy Centre and District Energy Network shall consist of:
— A new Energy Centre, located within the basement car park of Phoenix Court, Purchese Street, London, NW1 1EL
Under Phase 1, the Energy Centre will house heat only boilers appropriately sized to efficiently provide all the space heating and domestic hot water demands to the below buildings.
Under Phase 2, up to 1MWe CHP will be installed in the Energy Centre with a direct 11 kV cable connection to the Francis Crick Institute.
— A hot water District Heating Network which shall be used to supply heat for space heating and domestic hot water to the four Council owned estates (339 dwellings across 5 blocks) noted below:
i) The Chenies, Pancras Way, London, NW1 1UH,
ii) Cecil Rhodes House, Goldington Street, London, NW1 1UG,
iii) Clyde Court, 1 Hampden Close, London NW1 1HL,
iv) Monica Shaw Court, 31 Purchese St, London NW1 1EY,
v) Oakshott Court, Polygon Road London, NW1 1ST.
— The operation and maintenance of each project phase upon completion.

II.1.6)Common procurement vocabulary (CPV)

09323000, 31321000, 31682000, 38554000, 39715200, 42515000, 45232140, 45331110, 50531100, 71321200

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

The contract is covered by the Government Procurement Agreement (GPA): yes
II.1.8)Lots

This contract is divided into lots: no
II.1.9)Information about variants

Variants will be accepted: no
II.2)Quantity or scope of the contract
II.2.1)Total quantity or scope:

Phase 1 Design and Build: 2 650 000 GBP.
Phase 1 Operation and Maintenance over 15 years: 650 000 GBP.
Phase 2 Design and Build: 2 014 000 GBP.
Phase 2 Operation and Maintenance (assuming Phase 1 to 2016 and combined Phase O&M for a further 15 years): 1 035 000 GBP.
Total potential contract value assuming combined phase delivery: 5 699 000 GBP.
Estimated value excluding VAT: 5 699 000 GBP
II.2.2)Information about options

Options: no
II.2.3)Information about renewals
II.3)Duration of the contract or time limit for completion

Duration in months: 204 (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:

The Contracting Authority will set out its requirements in the tender documents. A parent company guarantee or performance bond may be required.
The contracting authorities reserves the right to require deposits, guarantees or other forms of security.
III.1.2)Main financing conditions and payment arrangements and/or reference to the relevant provisions governing them:

Payments will be made in accordance with the standard terms of payment detailed in the tender documents.
III.1.3)Legal form to be taken by the group of economic operators to whom the contract is to be awarded:

Providers applying as a consortium or joint venture must provide full details of each member of the consortium and confirm that the grouping is a legal venture with joint and several liabilities. Each member will be jointly and severally responsible for the performance of the contract. In the case of a consortium bid a lead contractor will be required to represent the consortium and the council may require the consortium to take a legal form.
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: As set out in the pre-qualification questionnaire (PQQ).
III.2.2)Economic and financial ability

Information and formalities necessary for evaluating if the requirements are met: In accordance with the information and formalities set out in Article 47 of Directive 2004/18/EC and Regulation 24 of the Public Contracts Regulations 2006 as set out in the Pre-qualification questionnaire (PQQ).
The Contracting Authority will assess applicants financial risk status based on high, medium or low risk. The assessment will consider all of the information provided by applicants.
The Contracting Authority utilise financial assessment techniques in line with Cabinet Office “Supplier financial appraisal guidance” document issued in 2001 and updated in April 2008.
Minimum level(s) of standards possibly required: The Contracting Authority will assess applicants financial risk status based on high, medium or low risk. The assessment will consider all of the information provided by applicants.
The Contracting Authority utilise financial assessment techniques in line with OGC “Supplier financial appraisal guidance” document issued in 2001 and updated in April 2008.
III.2.3)Technical capacity

Information and formalities necessary for evaluating if the requirements are met:
In accordance with the information and formalities set out in Article 48 of Directive 2004/18/EC and Regulation 24 of the Public Contracts Regulations 2006 as set out in the pre-qualification questionnaire (PQQ).
Minimum level(s) of standards possibly required:
Please refer to the PQQ.
III.2.4)Information about reserved contracts
III.3)Conditions specific to services contracts
III.3.1)Information about a particular profession

Execution of the service is reserved to a particular profession: no
III.3.2)Staff responsible for the execution of the service

Section IV: Procedure

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

Restricted
IV.1.2)Limitations on the number of operators who will be invited to tender or to participate

Envisaged number of operators: 5
Objective criteria for choosing the limited number of candidates: Expressions of interest will be scored using the PQQ evaluation criteria and scoring methodology set out in the PQQ Scoring Criteria document attached in the attached documents section of the portal and the 5 highest scoring organisations will be invited to tender subject to an organisation not having been disqualified under any of the criteria allowing or requiring disqualification.
IV.1.3)Reduction of the number of operators during the negotiation or dialogue
IV.2)Award criteria
IV.2.1)Award criteria

The most economically advantageous tender in terms of the criteria stated in the specifications, in the invitation to tender or to negotiate or in the descriptive document
IV.2.2)Information about electronic auction

An electronic auction will be used: no
IV.3)Administrative information
IV.3.1)File reference number attributed by the contracting authority:
IV.3.2)Previous publication(s) concerning the same contract

no
IV.3.3)Conditions for obtaining specifications and additional documents or descriptive document

Payable documents: no
IV.3.4)Time limit for receipt of tenders or requests to participate

19.8.2013 – 17:00
IV.3.5)Date of dispatch of invitations to tender or to participate to selected candidates

20.9.2013
IV.3.6)Language(s) in which tenders or requests to participate may be drawn up

English.
IV.3.7)Minimum time frame during which the tenderer must maintain the tender
IV.3.8)Conditions for opening of tenders

Section VI: Complementary information

VI.1)Information about recurrence

This is a recurrent procurement: no
VI.2)Information about European Union funds

The contract is related to a project and/or programme financed by European Union funds: no
VI.3)Additional information

To express an interest and receive more information about this contract you must register on our etendering system: https://uk.eu-supply.com/lbcamden.asp

If you have not previously registered with us simply click on the New Supplier Link shown on this page and complete/submit the form. You will then receive an email quoting your unique system username and password which will enable you to access all the relevant documentation via the contract opportunities link on this page and also all future advertised contract exercises via this system. Further to item iv 1.2, the number of suppliers invited to tender will depend on the quality of responses received, but will be sufficient to ensure genuine competition. The Contracting Authority is not bound to accept the lowest or any tender and confirm that the issue of the Invitation to Tender or other tender documentation does not constitute any form of instruction. As such, the Contracting Authority accepts no responsibility for any costs in relation to the preparation or submission of tenders (or for the avoidance of doubt, PQQ’s). Please note that all prices must be quoted in GBP. The Contracting Authority undertakes to use its best endeavours to hold confidential any information provided in the proposal submitted, subject to the contracting authority’s obligations under law, including the Freedom of Information Act 2000. However, this does not give any cast iron guarantees of confidentiality as circumstances (for example an FOIA request or a court order) may arise which require disclosure and are outside the control of the Contracting Authority. The deadline for receipt of expressions of interest shall be deemed to be met upon the receipt of a completed pre-qualification form via the Councils etendering system only. The Contracting Authority is committed to delivering social, economic and environmental benefits to its residents and local businesses. Bidders need to be aware that, should they be shortlisted, they will be asked to propose solutions to deliver the social, economic and environmental benefits specified in the Invitation to Tender and to pay the National or London living Wage to employees including their sub-contractors working on LB Camden contracts in accordance with the criteria set by the Living Wage Foundation. Tenderers should be aware that the Contracting Authority reserves the right to hold interviews during the tender process. These might be scored as part of the tender, in which case the relevant criteria will be specified in the Invitation to Tender documents. In keeping with the Contracting Authority’s commitment to sustainability, please do not include any publicity material with your submission.
Please note that TUPE does not apply to this contract.

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: The Contracting Authority will incorporate a minimum ten calendar day (when using electronic means) standstill period at the point information on the award of the contract is communicated to tenderers. This period allows
unsuccessful tenderers to seek further debriefing from the Contracting
Authority before the contract is entered into and to start proceedings
where such action is necessary. Such additional information should be
requested from the person stated in the contact details in section I.1 of
this document. If an appeal regarding the award of a contract has not been
successfully resolved the Public Contracts Regulations 2006 (SI 2006/5 (as
amended)) provide for aggrieved parties who have been harmed or at risk of
harm by a breach of the rules to take action in the High Court (England,
Wales and Northern Ireland). Any such action must be brought within the time limits as defined in the above regulations. Where a
contract has not been entered into the court may order the setting aside
of the award decision or order the Contracting Authority to amend any
document and may award damages. If the contract has been entered into the
court has the options to award damages and/or to shorten or order the
contract ineffective.
VI.4.3)Service from which information about the lodging of appeals may be obtained

VI.5)Date of dispatch of this notice:19.7.2013