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Construction Contract Leads

Section I: Contracting authority

I.1) Name and addresses

London Borough of Hackney

Hackney Service Centre, 1 Hillman Street

London

E8 1DY

Contact

Ms. Marta Kolinska

Email

marta.kolinska [at] hackney.gov.uk

Telephone

+44 2083562483

Country

United Kingdom

NUTS code

UKI41 - Hackney and Newham

Internet address(es)

Main address

Buyer's address

I.3) Communication

The procurement documents are available for unrestricted and full direct access, free of charge, at

Additional information can be obtained from the above-mentioned address

Tenders or requests to participate must be submitted electronically via

I.4) Type of the contracting authority

Regional or local authority

I.5) Main activity

Environment

Section II: Object

II.1) Scope of the procurement

II.1.1) Title

Colville Heat Network - DBOM Contract

Reference number

DN758497

II.1.2) Main CPV code

• 45232142 - Heat-transfer station construction work

II.1.3) Type of contract

Works

II.1.4) Short description

Procurement of a Design, Build, Operate, and Maintain (DBOM) contractor to deliver a low-carbon heat network for the Colville development in Hackney. This project aims to connect over 1,300 homes, public buildings, and commercial spaces to the network, meeting planning and sustainability targets to save 100,000t CO2e over 40 years.

II.1.5) Estimated total value

Value excluding VAT: £23,500,000

II.1.6) Information about lots

This contract is divided into lots: No

II.2) Description

II.2.2) Additional CPV code(s)

• 09323000 - District heating
• 45251250 - District-heating plant construction work
• 50720000 - Repair and maintenance services of central heating
• 71314000 - Energy and related services
• 71321000 - Engineering design services for mechanical and electrical installations for buildings

II.2.3) Place of performance

NUTS codes

• UKI41 - Hackney and Newham

Main site or place of performance

Colville Development site, Hoxton, London UK.

II.2.4) Description of the procurement

Hackney Council seeks a Design, Build, Operate, and Maintain (DBOM) contractor to deliver critical components of the Colville Heat Network (CHN). This contract focuses on the design, construction, operation, and maintenance of the network's infrastructure, excluding metering and billing services, which will be tendered separately.

The scope of the DBOM contract includes:

1. Design and Build (D&B):

- Development of a low-carbon energy centre employing modern technologies such as air-source heat pumps to meet the stringent carbon reduction requirements for the Colville and Britannia developments.

- Installation of an efficient heat distribution system, including primary and secondary pipework to connect over 1,300 homes, a leisure centre, schools, and commercial premises.

- Integration with existing heat systems where necessary to ensure seamless supply continuity.

- Compliance with planning conditions, noise regulations, and environmental standards, ensuring minimal impact on residents and the surrounding area.

2. Operation and Maintenance (O&M):

- Comprehensive operation of the heat network for 15 years, ensuring reliability, efficiency, and compliance with performance and regulatory standards.

- Lifecycle maintenance, including routine inspections, system optimization, and replacement of components as required to maintain operational standards.

- Provision of a responsive customer support mechanism in collaboration with the Council and future Metering & Billing contractor.

The CHN is a vital component of Hackney Council’s Climate Action Plan, aiming to deliver substantial carbon savings of approximately 100,000 tonnes CO2e over 40 years. This procurement aligns with the Council’s commitment to achieving net-zero carbon emissions by 2040 and supporting affordable and sustainable heat delivery for residents and businesses.

This contract, to be procured under the negotiated procedure with a prior call for competition (per the Utilities Contracts Regulations 2016), emphasizes value for money, technical excellence, and alignment with long-term sustainability goals.

The DBOM contractor will work closely with Hackney Council to meet the project’s strategic objectives, ensuring timely delivery of the heat network and compliance with all statutory obligations and planning conditions. The contract has an initial term of 15 years, with an optional extension of 10 years to ensure long-term operational and financial sustainability.

II.2.5) Award criteria

Quality criterion - Name: .Quality / Weighting: 70

Price - Weighting: 30

II.2.6) Estimated value

Value excluding VAT: £23,500,000

II.2.7) Duration of the contract, framework agreement or dynamic purchasing system

Duration in months

300

This contract is subject to renewal

Yes

Description of renewals

The contract will have an initial term of 15 years, during which the Design, Build, Operate and Maintain components will be delivered. There is an optional 10-year extension for the Operate and Maintain components of the contract.

II.2.9) Information about the limits on the number of candidates to be invited

Maximum number: 5

Objective criteria for choosing the limited number of candidates:

The number of candidates to be invited has been explicitly set in the tender documents. As per the negotiated procedure with a prior call for competition (Regulation 47, Utilities Contracts Regulations 2016), up to five bidders will be shortlisted following the selection stage. This limit ensures a manageable and competitive tendering process​.

II.2.10) Information about variants

Variants will be accepted: No

II.2.11) Information about options

Options: Yes

Description of options

Yes. The DBOM contract includes an option to extend the operation and maintenance phase for an additional 10 years. This ensures long-term stability and value for money while maintaining high operational standards​​.

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

Selection criteria as stated in the procurement documents.

III.1.2) Economic and financial standing

Selection criteria as stated in the procurement documents

III.1.3) Technical and professional ability

Selection criteria as stated in the procurement documents

III.2) Conditions related to the contract

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

Competitive procedure with negotiation

IV.1.5) Information about negotiation

The contracting authority reserves the right to award the contract on the basis of the initial tenders without conducting negotiations

IV.1.8) Information about the Government Procurement Agreement (GPA)

The procurement is covered by the Government Procurement Agreement: Yes

IV.2) Administrative information

IV.2.2) Time limit for receipt of tenders or requests to participate

Date

19 March 2025

Local time

12:00pm

IV.2.3) Estimated date of dispatch of invitations to tender or to participate to selected candidates

17 February 2025

IV.2.4) Languages in which tenders or requests to participate may be submitted

English

IV.2.6) Minimum time frame during which the tenderer must maintain the tender

Duration in months: 6 (from the date stated for receipt of tender)

Section VI. Complementary information

VI.1) Information about recurrence

This is a recurrent procurement: No

VI.2) Information about electronic workflows

Electronic invoicing will be accepted

Electronic payment will be used

VI.4) Procedures for review

VI.4.1) Review body

High Court of Justice

Strand

London

WC2A 2LL

Email

administrativecourtoffice.generaloffice [at] hmcts.x.gsi.gov.uk

Telephone

+44 2079476000

Country

United Kingdom

VI.4.3) Review procedure

Precise information on deadline(s) for review procedures

Challenges must comply with the Utilities Contracts Regulations 2016, requiring legal action within 30 days of the date when the claimant knew or ought to have known of the alleged breach.

VI.4.4) Service from which information about the review procedure may be obtained

High Court of Justice

London

Country

United Kingdom