Scope
Reference
ED0389-25
Description
East Devon District Council (EDDC) is seeking to engage the market in advance of procuring a long-term Energy Services Company (ESCo) to deliver a new District Heating Network to serve the expansion areas of Cranbrook.
The scheme will serve the growth of Cranbrook new town, supplying low-carbon heat to approximately 4,500 new homes and 24,500m2 of commercial space, including three new schools.
The project has successfully secured a £5.95 million capital contribution grant from the Green Heat Network Fund (GHNF), administered by Triple Point on behalf of the Department for Energy Security and Net Zero. This funding is intended to support the delivery of low-carbon heat infrastructure and will be made available to the appointed ESCo as a contribution towards eligible capital works. The scheme will be required to meet Future Homes and Future Building standards as set out in the updated building regulations.
Planning consent for the network has already been secured under East Devon District Council's Local Development Order (LDO) for district heating, adopted in July 2020. Additionally, the Cranbrook Plan has allocated two hectares of land for an Energy Centre and associated heat network plant and equipment within the development.
The new heat network will include heat distribution pipework, and a new heat generation source. The estimated annual heat demand from the new development is 27.4 GWh, with a peak demand of 14.8 MW.
A feasibility study has been carried out that has built the technical and economic case for the expansion. The successful bidder will need to develop the design to construction stage. This will involve coordination with the developers and their network builders/operators.
The successful bidder will then operate and maintain the network for the duration of the contract in line with industry best practices and the Heat Trust Scheme Standards with a subsequent move to market regulations where applicable.
The given contract end date is indicative of the construction end, the expectation is that the successful bidder will then operate and maintain the network for a period of circa 80 years.
Total value (estimated)
- £40,000,000 excluding VAT
- £48,000,000 including VAT
Above the relevant threshold
Contract dates (estimated)
- 1 November 2026 to 1 January 2040
- 13 years, 2 months, 1 day
Main procurement category
Works
CPV classifications
- 45251250 - District-heating plant construction work
- 71314000 - Energy and related services
Contract locations
- UKK4 - Devon
Engagement
Engagement deadline
21 November 2025
Engagement process description
An online presentation will be delivered by the project team via Microsoft Teams to provide an update on the project. The session will primarily address commercial arrangements and present additional detail regarding the project timeline. This presentation is intended as a market engagement activity and does not constitute a call for competition.
Interested parties are invited to RSVP through the following link to receive an invitation to attend:
All communications must be directed exclusively through the portal to ensure that all interested parties have equal opportunity to register and receive relevant updates.
The presentation will give an overview of the district heating project, which is set to be procured at a later stage. The project team will present updates on the current planning environment, outline developer intentions, and detail the proposed energy strategy for the Cranbrook Expansion Areas. Additionally, the session will include an update on the anticipated timeframes for both procurement and buildout phases.
Following the session, the project team will seek feedback from attendees on the comparative merits of options currently under review. This input will support the ongoing refinement of the scheme.
Submission
Publication date of tender notice (estimated)
9 February 2026
Contracting authority
East Devon District Council
- Public Procurement Organisation Number: PLPC-3866-LXMN
Blackdown House
Honiton
EX14 1EJ
United Kingdom
Email: sam@stridepm.co.uk
Region: UKK43 - Devon CC
Organisation type: Public authority - sub-central government