Contract notice
Section I: Contracting
authority
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.3) Communication
The procurement documents are available for unrestricted and full direct access, free of charge at:
https://www.publiccontractsscotland.gov.uk/
Additional information can be obtained from the abovementioned address
Tenders or requests to participate must be sent electronically to:
www.publiccontractsscotland.gov.uk
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.1.5) Estimated total value
Value excluding VAT:
34 800 000.00
GBP
II.1.6) Information about lots
This contract is divided into lots:
No
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
Criteria below:
Quality criterion: Quality
/ Weighting: 70
Price
/ Weighting:
30
II.2.6) Estimated value
Value excluding VAT:
34 800 000.00
GBP
II.2.7) Duration of the contract, framework agreement or dynamic purchasing system
Duration in months: 36
This contract is subject to renewal: Yes
Description of renewals:
With the option of multiple extensions to be extended by up to thirty-six (36) months, subject to mutual agreement
II.2.9) Information about the limits on the number of candidates to be invited
II.2.10) Information about variants
Variants will be accepted:
No
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 III: Legal, economic, financial and technical information
III.1) Conditions for participation
III.1.1) Suitability to pursue the professional activity, including requirements relating to enrolment on professional or trade registers
List and brief description of conditions:
Bidder to ensure that relevant to the specific work element being undertaken, the contractor and/or any of their sub-contractors shall hold current memberships of the following organisations:
- NIC-EIC; SELECT or equal and approved
- HETAS Approved Biomass Maintenance Scheme
- HETAS Approved Chimney Sweep
- MCS Accreditation
- Combustion Engineering Association
- Wood Fuel Quality Assurance (WFQA)
- Forest Stewardship Council (FSC)
- UK Pellet Council
Bidder to ensure that the contractor’s engineers assigned to the contract shall be trained to the following minimal standards:
- Manufacturer’s Service Engineer training for each of the boilers installed. Where any boiler manufacturer no longer trades, the contractor shall provide a robust alternative for engineer training.
- HETAS H009 Service and Maintenance Training
- HEATS H005/DE Training
III.1.2) Economic and financial standing
List and brief description of selection criteria:
As detailed in minimum level(s) of standards required.
Minimum level(s) of standards required:
The winning tenderer and its sub-contractor(s) to provide a current copy and have as a minimum:
- 10,000,000 GBP Employers Liability Insurance (where applicable) for each and every claim;
- 10,000,000 GBP Public Liability Insurance for each and every claim;
- 10,000,000 GBP Products Liability Insurance (where applicable) for each and every claim; and
- Third Party Motor Vehicle Liability Insurance to a minimum indemnity limit of 10,000,000 GBP for each and every claim in respect of property damage, without limit to the number of claims, unlimited in respect of personal injury.
The bidder shall provide the organisations audited accounts covering the last financial three (3) years in the business area covered by the Contract;
The Authority will use an independent credit scoring organisation, Creditsafe, to check the financial status of the winning tenderer. To minimise risk of failure, the desired risk score should not be below Moderate Risk as a minimum. The Authority shall take a view on the risk to the Authority should the winning tenderer credit rating fall below this and may involve further detailed financial checking/assessment.
Where it is considered that the additional supporting information does not provide satisfaction that the risk is mitigated, the tenderer shall be disqualified.
III.1.3) Technical and professional ability
List and brief description of selection criteria:
As per minimum level(s) of standards required.
Minimum level(s) of standards required:
The bidder to provide a copy of -
the organisations current Health and Safety Policy;
- the tenderer must have under the organisations Health and Safety (H&S) procedures a regularly reviewed and documented policy for Health and Safety Management, endorsed by the Chief Executive Officer, or equivalent. The policy must be relevant to the nature and scale of the work and set out responsibilities for H&S management at all levels within the organisation. The policy must be relevant to the nature and scale of your operations and set out your company’s responsibilities of Health and Safety Management and compliance with legislation.
- provide a copy of the organisations current Environmental Management Policy;
- the tenderer must have under the organisations Environmental Management Systems or Standards a regularly reviewed documented policy regarding Environmental Management, authorised by the Chief Executive, or equivalent. This policy must include and describe the bidder’s environmental emergency response procedures, including the preparedness and response procedures for potential accidents and emergency response situations that give rise to significant environmental impacts (for example hazardous substances spill control).
- provide a copy of the organisations current Quality Assurance Scheme and or Quality Management Policy;
- the tenderer must have a documented policy regarding Quality Management. The policy must set out responsibilities for Quality Management demonstrating that the organisation has, and continues to implement, a Quality Management Policy that is authorised by their Chief Executive, or equivalent, which is periodically reviewed at a senior management level. The policy must be relevant to the nature and scale of the work to be undertaken and set out responsibilities for Quality Management throughout the organisation.
The bidder to provide a statement of the relevant supply chain management and/or tracking systems used;
- provide two (2) relevant examples of services carried out in the past three (3) years;
- provide two (2) copies of Risk assessments specifically relating to similar activities currently undertaken;
- provide details of business continuity and contingency proposals for the service required;
- provide details of exit management plan for the service required;
- provide details of current average annual manpower for the last three (3) years;
- provide current details of relevant tools, plant or technical equipment available to deliver the requirements for the services specified.
III.2) Conditions related to the contract
III.2.1) Information about a particular profession
Participation is reserved to a particular profession: Yes
Reference to the relevant law, regulation or administrative provision:
The bidder to ensure that relevant to the specific work element being undertaken, the contractor and/or any of their sub-contractors shall hold current memberships of the following organisations:
- NIC-EIC; SELECT or equal and approved
- HETAS Approved Biomass Maintenance Scheme
- HETAS Approved Chimney Sweep
- MCS Accreditation
- Combustion Engineering Association
- Wood Fuel Quality Assurance (WFQA)
- Forest Stewardship Council (FSC)
- UK Pellet Council
- Ensure that the contractor’s engineers assigned to the contract shall be trained to the following minimal standards:
- Manufacturer’s Service Engineer training for each of the boilers installed. Where any boiler manufacturer no longer trades, the contractor shall provide a robust alternative for engineer training.
- HETAS H009 Service and Maintenance Training
- HEATS H005/DE Training
III.2.2) Contract performance conditions
Bidders are directed to the Tender Documents which they must comply with.
III.2.3) Information about staff responsible for the performance of the contract
Obligation to indicate the names and professional qualifications of the staff assigned to performing the contract
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:
2021/S 000-016293
IV.2.2) Time limit for receipt of tenders or requests to participate
Date:
13/07/2023
Local time: 12:00
IV.2.4) Languages in which tenders or requests to participate may be submitted
EN
IV.2.6) Minimum time frame during which the tenderer must maintain the tender
Duration in months: 4 (from the date stated for receipt of tender)
IV.2.7) Conditions for opening of tenders
Date:
13/07/2023
Local time: 12:00
Place:
Highland Council
Information about authorised persons and opening procedure:
Contracts Team
Section VI: Complementary information
VI.1) Information about recurrence
This is a recurrent procurement:
Yes
Estimated timing for further notices to be published:
Please refer to the tender documents.
VI.2) Information about electronic workflows
Electronic ordering will be used
Electronic invoicing will be accepted
Electronic payment will be used
VI.3) Additional information
NOTE: To register your interest in this notice and obtain any additional information please visit the Public Contracts Scotland Web Site at https://www.publiccontractsscotland.gov.uk/Search/Search_Switch.aspx?ID=700098.
The buyer has indicated that it will accept electronic responses to this notice via the Postbox facility. A user guide is available at https://www.publiccontractsscotland.gov.uk/sitehelp/help_guides.aspx.
Suppliers are advised to allow adequate time for uploading documents and to dispatch the electronic response well in advance of the closing time to avoid any last minute problems.
A sub-contract clause has been included in this contract. For more information see: http://www.publiccontractsscotland.gov.uk/info/InfoCentre.aspx?ID=2363
Community benefits are included in this requirement. For more information see: https://www.gov.scot/policies/public-sector-procurement/community-benefits-in-procurement/
A summary of the expected community benefits has been provided as follows:
Bidders are directed to the tender documents which they must comply with.
(SC Ref:700098)
Download the ESPD document here: https://www.publiccontractsscotland.gov.uk/ESPD/ESPD_Download.aspx?id=700098
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
14/06/2023