Award

Main Address

  • Department for Energy Security and Net Zero

F15: Voluntary ex ante transparency notice

Notice identifier: 2023/S 000-019305

Procurement identifier (OCID): ocds-h6vhtk-03df67

Published 6 July 2023, 2:22pm



Section one: Contracting authority/entity

one.1) Name and addresses

Department for Energy Security and Net Zero

London

SW1H 0ET

Email

renewables.innovation@beis.gov.uk

Country

United Kingdom

Region code

UK - United Kingdom

Internet address(es)

Main address

https://www.gov.uk/government/organisations/department-for-energy-security-and-net-zero

one.4) Type of the contracting authority

Ministry or any other national or federal authority

one.5) Main activity

Environment


Section two: Object

two.1) Scope of the procurement

two.1.1) Title

Main Address

Reference number

prj_2024

two.1.2) Main CPV code

  • 71314000 - Energy and related services

two.1.3) Type of contract

Services

two.1.4) Short description

Department for Energy Security and Net Zero intends to appoint the Offshore Renewable Energy Catapult (OREC) to carry out the work described in Section II.2.4 of this notice. OREC will work in close collaboration with the National Composites Centre (NCC) to deliver the scope of the project. OREC and NCC are members of the UK Catapult Network and are centres of excellence responsible for offshore wind and composite materials respectively. This collaboration is therefore a unique offering of all of the skills and capabilities needed to deliver this project.

two.1.6) Information about lots

This contract is divided into lots: No

two.1.7) Total value of the procurement (excluding VAT)

Value excluding VAT: £4,700,000

two.2) Description

two.2.3) Place of performance

NUTS codes
  • UK - United Kingdom

two.2.4) Description of the procurement

Department for Energy Security and Net Zero is procuring work under Phase 2B of the ‘UK Manufacturing Technology for Next Generation Wind Turbines’. This is a continuation of Joule Phase 1, which investigated the potential for incorporating radically new composite-based components and lightweight designs in 20MW+ offshore wind turbines and Joule Phase 2, which developed more detailed design concepts for a range of composite components within an offshore wind turbine. Engagement with the industry during Phase 2 has highlighted a number of risks with progressing to openly tendered Phase 3, and this Phase 2B has been designed to address those risks and will further progress the technical design and verification of a composite tower product and establish the basis and strategy for the tower’s potential commercial exploitation to best benefit the UK supply chain in the potential Phase 3.

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 four. Procedure

four.1) Description

four.1.1) Type of procedure

Negotiated without a prior call for competition

  • The works, supplies or services can be provided only by a particular economic operator for the following reason:
    • absence of competition for technical reasons

Explanation:

Department for Energy Security and Net Zero (DESNZ) was looking for a Delivery Partner (DP) with a number of characteristics, which would enable effective delivery of the scope of the programme. The DP is required to have deep technical expertise and operational knowledge in offshore wind and composite industries; ability to engage with the market and the supply chain in a neutral way. The Catapult network was set up to be neutral and in the benefit of UK PLC therefore OREC/NCC’s participation in a potential Phase 3 will remain neutral, fair and supports the applicants/successful suppliers in a non-competitive way. While developing the business case for this programme, DESNZ has considered various procurement route options. DESNZ market analysis was informed by holding a market engagement event to seek market input. The technical challenge of this programme is to apply the innovation in both the design and manufacturing of composite components in areas of the wind turbine systems, which have historically not utilised composites. The DESNZ market analysis has indicated that there is no single organisation able to deliver the niche yet demanding technical scope of Phase 2B, it also showed evidence that a consortium of OREC/NCC has the technical capability to deliver Phase 2B and that a different DP would likely have to subcontract OREC/NCC services to deliver the programme. NCC is the UK’s leading authority on the design and manufacture of composite structures, OREC is the UK’s leading authority on offshore wind, including the component design, validation and supply chain growth of the industry. The combination of the NCC and OREC represents the key technology areas required to deliver the programme, combining composite and offshore wind design, manufacturing and supply chain knowledge. The partnership is actively working on other composites / offshore wind programmes and previously delivered Phase 1 and Phase 2 of this programme. As defined by UK Government, the role of Catapults is to engage with industry to drive and support adoption of new technologies. OREC/NCC are technology and solution agnostic, they work with full supply chain without ties to particular suppliers or manufacturers and they are not-for-profit. The justification for the Single Tender Action (STA) is therefore that competition is absent due to technical reasons, and to provide the combination of skills, integration and neutrality a STA to OREC/NCC, is the most suitable procurement route to achieve the objectives and outcomes of Phase 2B of the programme.  

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

The procurement is covered by the Government Procurement Agreement: Yes


Section five. Award of contract/concession

Contract No

con_4302

A contract/lot is awarded: Yes

five.2) Award of contract/concession

five.2.1) Date of conclusion of the contract

6 July 2023

five.2.2) Information about tenders

The contract has been awarded to a group of economic operators: No

five.2.3) Name and address of the contractor/concessionaire

Offshore Renewable Energy Catapult (OREC)

Blyth

Country

United Kingdom

NUTS code
  • UK - United Kingdom
The contractor/concessionaire is an SME

No

five.2.4) Information on value of contract/lot/concession (excluding VAT)

Initial estimated total value of the contract/lot/concession: £4,700,000

Total value of the contract/lot/concession: £4,700,000

five.2.5) Information about subcontracting

The contract/lot/concession is likely to be subcontracted

Value or proportion likely to be subcontracted to third parties

Proportion: 65 %

Short description of the part of the contract to be subcontracted

The contract will be with OREC, who will work in close collaboration with the NCC, subcontracting approximately half of the work to the NCC to lead on all activities related to the use of composite materials. Approx. 30% of the total contract value will go to the UK supply chain to deliver services such as supply of tooling and manufacture.


Section six. Complementary information

six.4) Procedures for review

six.4.1) Review body

Department for Energy Security and Net Zero

1 Victoria Street

London

SW1H 0ET

Country

United Kingdom