Tender

ID5026 Group Energy Commodity Tender

  • MAG Airport Limited

F02: Contract notice

Notice identifier: 2023/S 000-002901

Procurement identifier (OCID): ocds-h6vhtk-03a166

Published 31 January 2023, 11:25am



Section one: Contracting authority

one.1) Name and addresses

MAG Airport Limited

Olympic House, Manchester Airport

Manchester

M90 1QX

Contact

Gregory Mina

Email

gregory.mina@stanstedairport.com

Telephone

+44 7935517711

Country

United Kingdom

NUTS code

UKD33 - Manchester

National registration number

1174865

Internet address(es)

Main address

www.magairports.com

Buyer's address

https://www.mytenders.co.uk/search/Search_AuthProfile.aspx?ID=AA42992

one.3) Communication

Access to the procurement documents is restricted. Further information can be obtained at

https://esourcing.waxdigital.co.uk/MAG/SignIn.aspx

Additional information can be obtained from the above-mentioned address

Tenders or requests to participate must be submitted to the above-mentioned address

one.4) Type of the contracting authority

Other type

Utility

one.5) Main activity

Other activity

Airport-related activities


Section two: Object

two.1) Scope of the procurement

two.1.1) Title

ID5026 Group Energy Commodity Tender

Reference number

ID5026

two.1.2) Main CPV code

  • 09310000 - Electricity

two.1.3) Type of contract

Supplies

two.1.4) Short description

The PQQ consists of 4 Lots:

Proposed contract agreement(s) for offsite Renewable Power Purchasing Agreement(s)(PPA);

Lot 1 Operational Assets

Lot 2 New Build Assets

Lot 3 Combined Existing and New Build Assets

During the ITN process MAG will determine the most economically advantageous outcome for MAG between the Lots.

And;

Lot 4 Proposed Power Supplier Contract to supply to Manchester Airport, East Midlands Airport and Stansted Airport.

two.1.5) Estimated total value

Value excluding VAT: £750,000,000

two.1.6) Information about lots

This contract is divided into lots: Yes

Tenders may be submitted for all lots

two.2) Description

two.2.1) Title

Offsite Renewable Power Purchase Agreement - Operational Assets

Lot No

1

two.2.2) Additional CPV code(s)

  • 09330000 - Solar energy
  • 31121340 - Wind farm

two.2.3) Place of performance

NUTS codes
  • UKD33 - Manchester

two.2.4) Description of the procurement

Lot 1 Offsite Renewable Power Purchase Agreement - Operational Assets

PPA (Lots 1 to 3)

The objectives of this PPA Procurement is to secure long-term competitive price and demand hedging over a maximum 20 year period. We have a desired commencement date for supply of 1st April 2024 and whilst our long-term strategy calls for additionality, we have also allowed for Bidders in the ITN phase to submit bids from existing assets (Lots 1 & 3), in order to provide the most economically advantageous outcome for MAG.

two.2.5) Award criteria

Price is not the only award criterion and all criteria are stated only in the procurement documents

two.2.6) Estimated value

Value excluding VAT: £94,000,000

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

Duration in months

60

This contract is subject to renewal

No

two.2.10) Information about variants

Variants will be accepted: No

two.2.11) Information about options

Options: No

two.2.13) Information about European Union Funds

The procurement is related to a project and/or programme financed by European Union funds: No

two.2) Description

two.2.1) Title

Offsite Renewable Power Purchase Agreement - New Build Assets

Lot No

2

two.2.2) Additional CPV code(s)

  • 09330000 - Solar energy
  • 31121340 - Wind farm

two.2.3) Place of performance

NUTS codes
  • UKD33 - Manchester

two.2.4) Description of the procurement

Lot 2 Offsite Renewable Power Purchase Agreement - New Build Assets

PPA (Lots 1 to 3)

The objectives of this PPA Procurement is to secure long-term competitive price and demand hedging over a maximum 20 year period. We have a desired commencement date for supply of 1st April 2024 and whilst our long-term strategy calls for additionality, we have also allowed for Bidders in the ITN phase to submit bids from existing assets (Lots 1 & 3), in order to provide the most economically advantageous outcome for MAG.

two.2.5) Award criteria

Price is not the only award criterion and all criteria are stated only in the procurement documents

two.2.6) Estimated value

Value excluding VAT: £192,000,000

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

Duration in months

180

This contract is subject to renewal

No

two.2.10) Information about variants

Variants will be accepted: No

two.2.11) Information about options

Options: No

two.2.13) Information about European Union Funds

The procurement is related to a project and/or programme financed by European Union funds: No

two.2) Description

two.2.1) Title

Offsite Renewable Power Purchase Agreement - Combined Existing and New Build Assets

Lot No

3

two.2.2) Additional CPV code(s)

  • 09330000 - Solar energy
  • 31121340 - Wind farm

two.2.3) Place of performance

NUTS codes
  • UKD33 - Manchester

two.2.4) Description of the procurement

Lot 3 Offsite Renewable Power Purchase Agreement - Combined Existing and New Build Assets

PPA (Lots 1 to 3)

The objectives of this PPA Procurement is to secure long-term competitive price and demand hedging over a maximum 20 year period. We have a desired commencement date for supply of 1st April 2024 and whilst our long-term strategy calls for additionality, we have also allowed for Bidders in the ITN phase to submit bids from existing assets (Lots 1 & 3), in order to provide the most economically advantageous outcome for MAG.

two.2.5) Award criteria

Price is not the only award criterion and all criteria are stated only in the procurement documents

two.2.6) Estimated value

Value excluding VAT: £246,000,000

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

Duration in months

240

This contract is subject to renewal

No

two.2.10) Information about variants

Variants will be accepted: No

two.2.11) Information about options

Options: No

two.2.13) Information about European Union Funds

The procurement is related to a project and/or programme financed by European Union funds: No

two.2) Description

two.2.1) Title

Energy Supplier Contract

Lot No

4

two.2.2) Additional CPV code(s)

  • 09310000 - Electricity

two.2.3) Place of performance

NUTS codes
  • UKD33 - Manchester

two.2.4) Description of the procurement

Lot 4 - Energy Supplier Contract

MAG Airport Limited (hereafter MAG) is seeking a long term energy supplier partner to meet

the power demands across its three sites (Manchester Airport, Stansted Airport and East

Midlands Airport) with a current consumption of over 210GWh from the grid. MAG is

separately looking to enter into a Power Purchase Agreement (PPA) program with one or a

small number of renewable energy generation parties to provide new generation by end of

2024, and is in the process of developing onsite solar power generation. The new energy

supplier will need to act as a sleeving agent to support MAG in managing its existing and new

PPAs and therefore achieving its ambitious decarbonisation targets, its growing role as a

climate leader, and its ambition to achieve carbon neutrality by 2038.

MAG is seeking an energy supplier from 1st April 2024 that can integrate MAGs existing PPAs

(expected to generate between 65 GWh and 75 GWh of power per annum from 2025), new

offsite PPAs (generating a further 100-140GWh per annum from 2024), and provide shaping

and flexibility to allow for its future energy strategy. MAG will need balancing and shaping services as part of

the offering with the new energy supplier in order to facilitate a seamless sleeve of baseload

power into MAGs import hedging structure.

two.2.5) Award criteria

Price is not the only award criterion and all criteria are stated only in the procurement documents

two.2.6) Estimated value

Value excluding VAT: £218,000,000

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

Duration in months

84

This contract is subject to renewal

Yes

Description of renewals

The Contract will have a duration of 5 (five) years, plus an extension period of 2 (two) years.

two.2.10) Information about variants

Variants will be accepted: No

two.2.11) Information about options

Options: No

two.2.13) Information about European Union Funds

The procurement is related to a project and/or programme financed by European Union funds: No


Section three. Legal, economic, financial and technical information

three.1) Conditions for participation

three.1.2) Economic and financial standing

Selection criteria as stated in the procurement documents

three.1.3) Technical and professional ability

Selection criteria as stated in the procurement documents


Section four. Procedure

four.1) Description

four.1.1) Type of procedure

Competitive procedure with negotiation

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

The procurement is covered by the Government Procurement Agreement: Yes

four.2) Administrative information

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

Date

15 February 2023

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

6 March 2023

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

English

four.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 six. Complementary information

six.1) Information about recurrence

This is a recurrent procurement: No

six.3) Additional information

Parties interested in obtaining more information about MAG's Energy Commodity Tender Project are asked to firstly register on Manchester Airport Group's e-tendering system on the Link:

https://esourcing.waxdigital.co.uk/MAG/

Once you have registered please email gregory.mina@stanstedairport.com and advise that

you have registered. You will then be given access to the information pack on the portal.

six.4) Procedures for review

six.4.1) Review body

Public Procurement Review Service

Cabinet Office

London

Email

publicprocurementreview@cabinetoffice.gov.uk

Telephone

+44 3450103503

Country

United Kingdom

Internet address

https://www.gov.uk/government/publications/public-procurement-review-service-scope-and-remit