Scope
Description
The Council has established a framework agreement for the supply of electricity and gas, including both half-hourly (HH) and non-half-hourly (NHH) sites, and street lighting. This framework enables the Council to procure energy from renewable sources and consider low-carbon alternatives, resulting in significant cost avoidance given the recent increases in energy prices. The Authority's Regeneration Partner Equans appointed Engie Impact, under an internal company arrangement to deliver the Strategic Clean Energy Sourcing requirement for the Authority's gas and electricity framework.
Contract 1. Strategic Clean Energy Sourcing
Supplier
Contract value
- £249,166 excluding VAT
- £299,000 including VAT
Above the relevant threshold
Date signed
15 July 2025
Contract dates
- 15 July 2025 to 31 March 2028
- Possible extension to 31 March 2029
- 3 years, 8 months, 17 days
Description of possible extension:
The one year extension will be of the existing services provided under the contract, and will be used if the Authority still requires the services.
Main procurement category
Services
CPV classifications
- 71314200 - Energy-management services
Contract locations
- UKE13 - North and North East Lincolnshire
Justification for not setting key performance indicators
The Contract is below the value requiring KPIs under the Act.
Other information
Conflicts assessment prepared/revised
Yes
Procedure
Procedure type
Direct award
Direct award justification
- Single supplier - technical reasons
- Extreme and unavoidable urgency
1. Description of the Requirement:
The Council has established a framework agreement for the supply of electricity and gas, including both half-hourly (HH) and non-half-hourly (NHH) sites, and street lighting. This framework enables the Council to procure energy from renewable sources and consider low-carbon alternatives, resulting in significant cost avoidance given the recent increases in energy prices. Equans appointed Engie Impact, under an internal company arrangement to deliver the Strategic Clean Energy Sourcing for the Council's gas and electricity framework.
2. Reason for Direct Award:
The contract cannot be awarded on the basis of a competitive tendering procedure because Engie Impact is the only supplier capable of delivering the required services. The urgency is not attributable to any act or omission of the contracting authority and could not have been foreseen by the contracting authority.
3. Background:
Equans appointed its group company, Engie Impact, under an internal company arrangement to deliver the Strategic Clean Energy Sourcing for the Council's gas and electricity framework. The Regeneration contract between Equans and the Council is
shortly coming to an end, which will also terminate the arrangement between Equans and Engie Impact. However, the Council still requires the services provided by Engie Impact to
ensure the framework can continue to be effective and procure gas and electricity for the remainder of the term until 31 March 2028. Given our obligation to deliver the framework to external parties such as schools, it is not feasible to change suppliers at this point in the framework. The position will be reviewed upon re-procurement.
4. Justification for Sole Supplier:
Engie Impact is uniquely positioned to deliver the required services due to their existing involvement and expertise in the framework. Transitioning to a new supplier at this stage is not possible and would jeopardise the Council's commitments to external parties. Engie Impact's familiarity with the framework and their established processes ensure that they are the only supplier capable of meeting the Council's needs without interruption.
5. Conclusion:
Given the critical nature of the services provided by Engie Impact and the necessity to maintain the framework's continuity, a direct award to Engie Impact is justified.
Supplier
ENGIE IMPACT UK LIMITED
- Companies House: 03820315
- Public Procurement Organisation Number: PLTT-2416-YYRW
Riverbridge House Anchor Boulevard
Dartford
DA2 6SL
United Kingdom
Email: EIUKfinance@engie.com
Website: http://www.engieimpact.com
Region: UKJ43 - Kent Thames Gateway
Small or medium-sized enterprise (SME): Yes
Voluntary, community or social enterprise (VCSE): No
Supported employment provider: No
Public service mutual: No
Contract 1. Strategic Clean Energy Sourcing
Contracting authority
North East Lincolnshire Borough Council
- Public Procurement Organisation Number: PXNN-3676-XCQV
Municipal Offices, Town Hall Square
Grimsby
DN31 1HU
United Kingdom
Email: procurement@nelincs.gov.uk
Website: http://www.nelincs.gov.uk
Region: UKE13 - North and North East Lincolnshire
Organisation type: Public authority - sub-central government