The Supply of Electricity to MOD sites in Northern Ireland

PROCUREMENT SUMMARY Procedure: Open Procedure under the Procurement Act 2023. Contract Length: 24 Months + 12 Month Extension + 12 Month Extension. Maximum Contract Duration: 48 Months. Annual Consumption: Approximately 30.1 GWh. Meter Portfolio: 23 Half-Hourly, 110 Non-Half-Hourly. Portfolio Coverage: Commercial and Domestic Electricity Supplies. Geographic Scope: MOD Sites throughout Northern Ireland. Pricing model: Variable price, cost-plus. Award Basis: Most Advantageous Tender (MAT). Evaluation Split: Technical 50%, Commercial 40%, Social Value 10%. Estimated Total Contract Value: £25,886,000 excluding VAT.

1. CONTRACTING AUTHORITY The Contracting Authority is the Ministry of Defence (MOD), acting through the Defence Infrastructure Organisation (DIO). The DIO is responsible for supporting defence outputs through the management, maintenance, development and operation of the defence estate. The Contracting Authority is seeking to appoint a suitably qualified and experienced electricity supplier to deliver commercial and domestic electricity supply services to MOD establishments throughout Northern Ireland. The Ministry of Defence seeks a supplier capable of delivering secure, reliable, value-for-money electricity services across the Northern Ireland defence estate whilst supporting defence outputs, operational resilience, sustainability objectives and effective stewardship of public funds.

2. PROCUREMENT REFERENCE Procurement Reference: 715787474.

3. BACKGROUND The Ministry of Defence occupies a diverse estate across Northern Ireland comprising military establishments, training areas, operational facilities, administrative buildings, technical infrastructure, residential accommodation and associated support facilities. Electricity is a critical service supporting defence capability, operational readiness, training outputs, estate resilience and the wellbeing of personnel and their families. The Authority requires a supplier capable of delivering a secure, reliable and efficient electricity supply service across the full meter portfolio while supporting statutory compliance, financial transparency, sustainability objectives and operational resilience. The successful supplier will become a key strategic utility provider to the Authority and shall work collaboratively with DIO and its service delivery partners during the contract term.

4. OBJECTIVE OF THE PROCUREMENT The objective of this procurement is to establish a single contract for the provision of electricity supply services covering both commercial and domestic consumption. The Authority seeks a supplier capable of delivering:

• Secure electricity supplies

• Accurate and timely billing

• High-quality customer service

• Consumption data management

• Sustainability reporting

• Carbon reduction support

• Strong contract management

• Continuous service improvement. The Authority wishes to create a contract that enables value for money whilst ensuring continuity of supply and supporting Government sustainability objectives.

5. CONTRACT SCOPE The scope includes all activities necessary to provide a complete electricity supply service across the MOD portfolio in Northern Ireland. The successful supplier will provide all services required from meter registration through to final invoicing. The supplier shall assume full responsibility for management of all electricity supply accounts included within the contract.

6. COMMERCIAL ELECTRICITY SUPPLY REQUIREMENT Commercial supply points include:

• Military establishments

• Single living accommodation

• Storage sites

• Headquarters buildings

• Offices

• Training facilities

• Workshops

• Warehouses

• Security facilities

• Communication facilities.

7. DOMESTIC ELECTRICITY SUPPLY REQUIREMENT Domestic supplies include:

• Service Family Accommodation

• Other authorised MOD residential properties.

8. METERING The estate uses the following types of meters:

• Half-hourly meters

• Non-half-hourly meters

• Domestic meters

• Commercial meters. Actual portfolio data is included within the tender documentation.

9. CONTRACT TERM The proposed contract term is: 24 months initially with two option years (2+1+1). The Authority reserves the right to exercise extension periods at its sole discretion.

10. PRICING MECHANISM The pricing model selected for this procurement is a variable price, cost-plus model.

11. EVALUATION METHODOLOGY Tenders will be assessed using a Quality:Price ratio as below:

60 Quality / 40 Price Minimum standards of legal, financial capacity and technical ability and the evidence required from suppliers to prove that they satisfy quality standards are contained in the ITT document. A Weighted Value for Money (WVFM) Index will be used to calculate the Total Scores. Full details of the evaluation methodology are included in the tender documentation.

12. PERFORMANCE MANAGEMENT KEY PERFORMANCE INDICATORS Supplier performance will be measured by the following KPI’s:

1. Timely Billing.

2. Query and Complaint Resolution.