Contract

Demand Management & Renewables DPS - Technical Assistance Facility 2

  • DESNZ & DSIT Group Commercial

F20: Modification notice

Notice identifier: 2025/S 000-029299

Procurement identifier (OCID): ocds-h6vhtk-03d720 (view related notices)

Published 2 June 2025, 4:42pm



Section one: Contracting authority/entity

one.1) Name and addresses

DESNZ & DSIT Group Commercial

3-8 Whitehall Place

London

SW1A 2EG

Email

hthcommercial@energysecurity.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


Section two: Object

two.1) Scope of the procurement

two.1.1) Title

Demand Management & Renewables DPS - Technical Assistance Facility 2

Reference number

2024/S 000-004704

two.1.2) Main CPV code

  • 71314000 - Energy and related services

two.1.3) Type of contract

Services

two.2) Description

two.2.2) Additional CPV code(s)

  • 75100000 - Administration services
  • 79000000 - Business services: law, marketing, consulting, recruitment, printing and security

two.2.3) Place of performance

NUTS codes
  • UK - United Kingdom

two.2.4) Description of the procurement at the time of conclusion of the contract:

Original scope of the TAF 2 contract:

TAF 2 supports grant recipients in their applications to Warm Homes Social Housing Fund (WH:SHF) and Warm Homes Local Grant (WH:LG), to ensure the successful delivery of these schemes by providing a pipeline of high-quality applications that also deliver value for money. TAF 2 supports all aspects of the energy retrofit process and also aims to build capacity in the market to deliver domestic retrofit. A key aim of TAF 2 is to get grant recipients to a 'self-starter' position, being able to deliver retrofit schemes regularly and successfully with an increased focus on building and leveraging established networks.

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

End date

2 June 2025

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.2) Administrative information

four.2.1) Contract award notice concerning this contract

Notice number: 2024/S 000-004704


Section five. Award of contract/concession

Contract No

con_5585

Title

Demand Management & Renewables DPS - Technical Assistance Facility 2

five.2) Award of contract/concession

five.2.1) Date of conclusion of the contract/concession award decision:

2 June 2025

five.2.2) Information about tenders

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

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

Turner and Townsend Consulting Ltd

Low Hall, Calverly Lane, Horsforth

Leeds

LS18 4GH

Country

United Kingdom

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

No

five.2.4) Information on value of the contract/lot/concession (at the time of conclusion of the contract;excluding VAT)

Total value of the procurement: £26,600,000


Section six. Complementary information

six.4) Procedures for review

six.4.1) Review body

Department for Energy Security and Net Zero

3-8 Whitehall Place

London

SW1A 2EG

Email

hthcommercial@energysecurity.gov.uk

Country

United Kingdom


Section seven: Modifications to the contract/concession

seven.1) Description of the procurement after the modifications

seven.1.1) Main CPV code

  • 71314000 - Energy and related services

seven.1.2) Additional CPV code(s)

  • 75100000 - Administration services
  • 79000000 - Business services: law, marketing, consulting, recruitment, printing and security

seven.1.3) Place of performance

NUTS code
  • UK - United Kingdom

seven.1.4) Description of the procurement:

The current scope of the TAF 2 contract, providing pre-delivery support to GRs of the WH:SHF and WH:LG schemes will continue, with the inclusion of the Interim Delivery Model (IDM) to provide temporary in-delivery support to Grant Recipients (GRs), introduction of the Learning Communities into the TAF 2 contract for the remainder of the contract term, and an update to the wording of the existing TAF 2 KPIs and SLAs.

seven.1.5) Duration of the contract, framework agreement, dynamic purchasing system or concession

End date

2 June 2025

seven.1.6) Information on value of the contract/lot/concession (excluding VAT)

Total value of the contract/lot/concession:

£12,100,000

seven.1.7) Name and address of the contractor/concessionaire

Turner and Townsend Consulting Ltd

Low Hall, Calverly Lane, Horsforth

Leeds

LS18 4GH

Country

United Kingdom

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

No

seven.2) Information about modifications

seven.2.1) Description of the modifications

Nature and extent of the modifications (with indication of possible earlier changes to the contract):

This Modification Notice gives notification of a variation to the TAF 2 contract, which supports the delivery of the Warm Homes Social Housing Fund (WH:SHF) and Warm Homes Local Grant (WH:LG) energy retrofit schemes. The supplier for this contract is Turner and Townsend Ltd (T&T).

This variation has been made to:

• Enable T&T to provide Interim Delivery Model (IDM) services, addressing a gap in delivery support for Grant Recipients (GRs) of the WH:SHF and WH:LG schemes, due to unforeseen delays in procuring the wider Delivery Partner 2 (DP2). This support will be required up until the DP2 supplier is mobilised (TBC – indicative date of early 2026).

• Include 'Learning Communities' to provide GRs of WH:SHF and WH:LG with a network of support to overcome retrofit challenges and expedite solutions by accessing learned experience from peers.

• Update the wording of the TAF 2 KPIs and SLAs to reflect the current workstream structure.

The Department published a Voluntary Transparency Notice (https://www.find-tender.service.gov.uk/Notice/017748-2025) to inform the market of its intention to vary this contract, and has completed observing a 30 day period between publication of this notice and contract variation award. Please see this notice for the justification of this contract variation under Regulation 72(1)(b) of PCR 2015

seven.2.2) Reasons for modification

Need for additional works, services or supplies by the original contractor/concessionaire.

Description of the economic or technical reasons and the inconvenience or duplication of cost preventing a change of contractor:

The Authority holds the view that the contract may be modified without a new award procedure as it satisfies the requirements of Regulation 72(1)(b) of PCR 2015 for the reasons set out below:

If the TAF 2 contract is not varied to enable delivery of the IDM, there will be no in-delivery support to WH:SHF and WH:LG scheme grant recipients between the schemes’ launch (April 2025) and award/mobilisation of a future DP2 supplier (date TBC – indicative date early 2026).

In their capacity as the provider of TAF 2 requirements, T&T has built relationships with grant recipients preparing to receive funding from the WH:LG and WH:SHF schemes through the provision of one-to-one (e.g. masterclasses and roundtables) and one-to-many (e.g. 1-2-1 support) pre-delivery learning and support offerings.

Consequently, T&T are well placed to ensure a consistent level of support for grant recipients through the early stages of their projects by ensuring they have access to the technical expertise and resources required to resolve any challenges encountered.

TAF2 pre-delivery service packages share significant commonalities with IDM requirements, and can be pivoted with minimal disruption to in-delivery support; in preparing grant recipients to launch their funded projects, T&T has built a credible knowledge of the schemes, supporting policies and steps required to enable effective operational delivery to progress.

With the limited time available, The Authority could not define a viable route to market which would have provided similar service continuity and oversight of grant spending between the scheme launches and DP2 award, nor does it have the capacity and capability to deliver those services in-house.

Multiple contractor variations would have caused significant disruption to grant recipient user experience, occurring during handover from T&T in their capacity as TAF 2 provider to an IDM supplier, to the eventual DP2 supplier.

Finally, the value of the modification will not exceed 50% of the original contract value (£13.3 million of a contract value of £26.6 million).

In summary, T&T represents the most viable route for DESNZ to ensure:

1. Value for money;

2. Successful/compliant deployment of government grant funding;

3. Mitigation of fraud/error within schemes; and

4. Minimal disruption of services provided to Grant Recipients.

seven.2.3) Increase in price

Updated total contract value before the modifications (taking into account possible earlier contract modifications, price adaptions and average inflation)

Value excluding VAT: £26,600,000

Total contract value after the modifications

Value excluding VAT: £38,700,000