Tender for Operation of a Power Plant

Tender for Operation of a Power Plant

Development and Operation of Pool Energy Centre.

UK-Truro: operation of a power plant

2012/S 198-325994

Contract notice

Services

Directive 2004/18/EC

Section I: Contracting authority

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

Cornwall Council
Cornwall Council Corporate Procurement Team Dalvenie House New County Hall Treyew Road Truro Cornwall
Contact point(s): Cornwall Council Corporate Procurement Team
For the attention of: Mike Shillaber, Category Lead
TR1 3AY Truro
UNITED KINGDOM
Telephone: +44 1872322716
E-mail: mshillaber@cornwall.gov.uk
Fax: +44 1872323507

Internet address(es):

General address of the contracting authority: www.cornwall.gov.uk

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
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:

Development and Operation of Pool Energy Centre.
II.1.2)Type of contract and location of works, place of delivery or of performance

Services
Service category No 27: Other services
Main site or location of works, place of delivery or of performance: Pool, Cornwall.
NUTS code
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)

Cornwall Council is seeking to attract a suitably qualified and experienced organisation to develop an energy centre on existing disused Council owned land in Pool in West Cornwall. The overriding intention is for the energy centre to contribute to the energy needs of the Pool regeneration area, whilst responding to the Council’s drivers for carbon reduction, security of energy supply and economic development. The desired principal output is to develop a combined heat and power plant to feed electricity to the national grid, with the possibility of supplying steam or syngas to a nearby commercial laundry and hot water to the mixed use development beyond. The project concept stemmed from a feasibility study for district heating in the area undertaken by an independent consultant on behalf of the Council in 2010-11. The successful provider appointed will be required to operate under the terms and conditions of a formal development agreement which will incorporate details of key items such as the requirements surrounding land lease charges payable to the Council on an annual basis and outline gain share mechanisms.
II.1.6)Common procurement vocabulary (CPV)

65410000

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: yes
II.2)Quantity or scope of the contract
II.2.1)Total quantity or scope:

The Council intends to let a contract for the development and operation of Pool Energy Centre, for a minimum period of 25 years, commencing from when the appointed provider will effectively taking over the lease of the site from the Council of the site in April 2013, with an option to extend for up to a further 5 years.
The site on offer covers 0,6 ha and is located is situated in a light industrial zone 1 km south of the A30 on the site of the disused South Crofty Mine. It is within the Pool regeneration area, which includes the Heartlands Heritage Centre and proposed East-West road link between Camborne and Pool. The site is to be cleared and remediated in 2013 as part of the area’s regeneration and is scheduled to be ready for redevelopment in February 2014.
The site is to be offered under a lease and development agreement. The draft contract documents will be included in the tender pack.
The site on offer covers 0,6 ha and is located is situated in a light industrial zone 1 km south of the A30 on the site of the disused South Crofty Mine. It is within the Pool regeneration area, which includes the Heartlands Heritage Centre and proposed East-West road link between Camborne and Pool. The site is to be cleared and remediated in 2013 as part of the area’s regeneration and is scheduled to be ready for redevelopment in February 2014.
The site is to be offered under an option lease and development agreement. The draft contract documents will be included in the tender pack.
Additional background information concerning the site location and its logistics will be provided alongwith the Pre Qualification Questionnaire.
In terms of anticipated contract value both to the Council and to the appointed developer, taking account of recent ROC re-banding (renewable subsidies) our independent consultant estimates the following:
Contract value to the Council, estimated range: (NPV over 25 years green book 3.5 % discount rate) is £160 k to £1,5 m.
Lower estimate: £10k/yr for 25 years.
Higher estimate: £90k/yr revenue from ‘best case’ biomass CHP model, which has the effect of reducing the developer IRR by 1 %, from 19 % to 18 %.
Contract value to the Developer (NPV over 25 years at 10.8 % private sector discount rate) is: £121k to £6,3 m.
Low estimate: ‘base case’ financial model for 3MWe wood waste CHP (10.9 % project IRR).
High estimate: ‘best case’ financial model for 3MWe wood waste CHP (19 % project IRR).
Accordingly, for the purposes of completing this Contract Notice, the latter, potential value to the Developer, figures have been utilised.
All of these figures are for guidance purposes only and as such prospective providers cannot necessarily rely on their accuracy at this stage and may be refined further.
Estimated value excluding VAT:
Range: between 121 000,00 and 6 300 000,00 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: 360 (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:

No deposits will be required but where applicable the successful tenderer (or in the case of a consortium bid, each member of the consortium) may be required to provide a parent company guarantee or alternative performance bond.
III.1.2)Main financing conditions and payment arrangements and/or reference to the relevant provisions governing them:

These conditions will be provided in the Invitation to Tender documents.
III.1.3)Legal form to be taken by the group of economic operators to whom the contract is to be awarded:

Joint and several liability.
III.1.4)Other particular conditions

The performance of the contract is subject to particular conditions: yes
Description of particular conditions: The terms and conditions of Cornwall Council which will include a bespoke Developer Agreement.
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: Parties will be provided with detailed instructions concerning the information they must provide. This will be contained in the Pre-Qualification Questionnaire. Consideration will only be given to those contractors who complete and return the Pre-Qualification Questionnaire by the required date.
Economic operators subject to any of the following will not be considered where the said operator.
(a) is bankrupt or is being wound up, where their affairs are being administered by the court, where they have entered into an arrangement with creditors, where they have suspended business activities or is in any analogous situation arising from a similar procedure under national laws and regulations;
(b) is the subject of proceedings for a declaration of bankruptcy, for an order for compulsory winding up or administration by the court or of an arrangement with creditors or of any other similar proceedings under national laws and regulations;
(c) has been convicted by a final judgment in accordance with the legal provisions of the country of any offence concerning his professional conduct;
(d) has been guilty of grave professional misconduct proven by any means which the contracting authorities can demonstrate;
(e) has not fulfilled obligations relating to the payment of social security contributions in accordance with the legal provisions of the country in which they are established or with those of the country of the contracting authority;
(f) has not fulfilled obligations relating to the payment of taxes in accordance with the legal provisions of the country in which they are established or with those of the country of the contracting authority;
(g) is guilty of serious misrepresentation in supplying the information required under this section or has not supplied such information;
(h) has been the subject of a conviction for participation in a criminal organisation, as defined in Article 2(1) of Council Joint Action 98/733/JHA;
(i) has been the subject of a conviction for corruption, as defined in Article 3 of the Council Act of 26 June 1972 and Article 3(1) of Council Joint Action 98/742/JHA3 respectively;
(j) has been the subject of a conviction for fraud within the meaning of Article 1 of the Convention relating to the protection of the financial interests of the European Communities;
(k) has been the subject of a conviction for money laundering, as defined in Article 1 of Council Directive 91/308/EEC of 10 June 1991 on prevention of the use of the financial system for the purpose of money laundering.
(l) has been the subject of a conviction for failing to prevent Bribery or Corruption as stated under section 7 of the Bribery Act 2010
III.2.2)Economic and financial ability

Information and formalities necessary for evaluating if the requirements are met: May include, but shall not be limited to.
(a) appropriate statements from banks or, where appropriate, evidence of relevant professional risk indemnity insurance;
(b) the presentation of balance sheets or extracts from the balance sheets, where publication of the balance sheet is required under the law of the country in which the economic operator is established;
(c) a statement of the undertaking’s overall turnover and, where appropriate, of turnover in the area covered by the contract for a maximum of the last three financial years available, depending on the date on which the undertaking was set up or the economic operator started trading, as far as the information on these turnovers is available.
(d) the criteria listed in III.2.1; and
(e) any other information or documents referred to in the Pre-Qualification Questionnaire.
Minimum level(s) of standards possibly required: Please refer to the Pre-Qualification Questionnaire.
III.2.3)Technical capacity

Information and formalities necessary for evaluating if the requirements are met:
May include, but shall not be limited to.
(a) service providers must be able to demonstrate they are able to deliver the full range of services specified, and can demonstrate ability to coordinate multi disciplinary resources
(b) a list of the principal deliveries effected or the main services provided in the past three years, with the sums, dates and recipients, whether public or private, involved. Evidence of delivery and services provided shall be given:
— where the recipient was a contracting authority, in the form of certificates issued or countersigned by the competent authority,
— where the recipient was a private purchaser, by the purchaser’s certification or, failing this, simply by a declaration by the economic operator.
(c) an indication of the technicians or technical bodies involved, whether or not belonging directly to the economic operator’s undertaking, especially those responsible for quality control and, in the case of public works contracts, those upon whom the contractor can call in order to carry out the work;
(d) the educational and professional qualifications of the service provider or contractor and/or those of the undertaking’s managerial staff and, in particular, those of the person or persons responsible for providing the services or managing the work;
(e) for public works contracts and public services contracts, and only in appropriate cases, an indication of the environmental management measures that the economic operator will be able to apply when performing the contract;
(f) a statement of the average annual manpower of the service provider or contractor and the number of managerial staff for the last three years;
(g) an indication of the proportion of the contract which the services provider intends possibly to subcontract;
(h) the criteria listed in III.2.1; and
(i) any other information or documents referred to in the Pre-Qualification Questionnaire.
Minimum level(s) of standards possibly required:
Please refer to the Pre-Qualification Questionnaire.
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

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

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

2011.10F
IV.3.2)Previous publication(s) concerning the same contract

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

Time limit for receipt of requests for documents or for accessing documents: 20.11.2012 – 12:00
Payable documents: no
IV.3.4)Time limit for receipt of tenders or requests to participate

20.11.2012 – 12:00
IV.3.5)Date of dispatch of invitations to tender or to participate to selected candidates
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 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

In evaluating the suitability of organisations it may be necessary to request additional information and for applicants to attend an interview and/or site visit. Organisations must be able to demonstrate through the Pre-Qualification Questionnaire that they possess the necessary skills, knowledge and experience to undertake this service.
VI.4)Procedures for appeal
VI.4.1)Body responsible for appeal procedures
VI.4.2)Lodging of appeals
VI.4.3)Service from which information about the lodging of appeals may be obtained

VI.5)Date of dispatch of this notice:11.10.2012