Published date: 13 December 2022

Closed opportunity - This means that the contract is currently closed. The buying department may be considering suppliers that have already applied, or no suitable offers were made.


Closing: 9 January 2023, 12pm

Contract summary

Industry

  • Electricity, heating, solar and nuclear energy - 09300000

  • Energy-efficiency consultancy services - 71314300

  • Technical analysis or consultancy services - 71621000

    • Business analysis consultancy services - 72221000

    • Project management consultancy services - 72224000

    • Research and development consultancy services - 73200000

    • Research consultancy services - 73210000

    • Economic research services - 79311400

    • Business and management consultancy and related services - 79400000

    • Business and management consultancy services - 79410000

    • Business development consultancy services - 79411100

    • Environmental issues consultancy services - 90713000

Location of contract

Any region

Value of contract

£30,000 to £42,000

Procurement reference

MT228269

Published date

13 December 2022

Closing date

9 January 2023

Closing time

12pm

Contract start date

6 February 2023

Contract end date

31 March 2023

Contract type

Service contract

Procedure type

Open procedure (below threshold)

Any interested supplier may submit a tender in response to an opportunity notice.

This procedure can be used for procurements below the relevant contract value threshold.

Contract is suitable for SMEs?

Yes

Contract is suitable for VCSEs?

No

Description

Government is legislating to introduce statutory regulation for the heat networks market. They will appoint Ofgem as the regulator. All heat networks will be required to provide notification to Ofgem to be authorised, this means that all domestic consumers and micro-businesses will be protected by the regulatory regime, including consumer protections on pricing, transparency, and quality of service. Heat networks will also need to meet minimum technical standards and decarbonisation rules under the authorisation regime.
Ensuring consumers receive a fair price and undertaking price investigations where Ofgem is concerned prices are disproportionate will be particularly challenging, given the scale and diversity of the heat networks market. The current winter challenges due to the gas price increases also means this is an area where there will be an increased focus. It is important for Ofgem to have good understanding about the impact that inefficiencies in some heat networks can have on pricing.
Ofgem are seeking consultancy support to help better understand the relationship between technical efficiency and the costs of a heat network. This support will also include engagement with Government on the design of a technical assurance scheme to inform its design. This work will also inform Ofgem's understanding of how to compare or segment the market, and how these factors affect the price that heat networks customers are charged. Ofgem require modelling which can be added to and update with real data once this is available.
The likely output is some type of excel model that can be further developed and a report summarising the overall findings of the work.
Please see attached 2022-158 Heat Networks ITT document for further information.

More information

Links

About the buyer

Contact name

Rebecca Green

Address

10 South Colonnade
Canary Wharf
London
E14 4PU
England

Telephone

+44 2079017000

Email

procurement2@ofgem.gov.uk

Website

http://www.ofgem.gov.uk