Award

Gas Shrinkage Contract

NORTHERN GAS NETWORKS LIMITED

This public procurement record has 1 release in its history.

Award

05 Feb 2025 at 12:42

Award Notice
Summary of the contracting process

Northern Gas Networks Limited has awarded a contract titled "Gas Shrinkage Contract" in the category of gaseous fuels (CPV: 09120000). The procurement process was completed, with the award and signing taking place on 5th February 2025. This tender pertains to the Northern Gas Networks' operational areas across the UK regions of UKC, UKD, and UKE. The procurement method used was a negotiated procedure without prior publication, specifically related to the purchase of gas on the UK commodity market as per Regulation 50 (1)(g) of the Utility Regulations. Engie Gas Limited has been awarded the contract to supply the necessary gas in line with Northern Gas Networks’ shrinkage gas requirements under the Uniform Network Code (UNC).

This tender provides significant opportunities for businesses engaged in the production, transport, and distribution of gas. Companies specialised in providing gaseous fuels on a large scale would find this contract particularly relevant due to the management and daily purchase fees involved in the supply chain. The engagement with Northern Gas Networks, a key player in the gas industry, offers a stable and ongoing partnership, enhancing business growth and market presence. Engie Gas Limited, as the awarded supplier, stands to benefit from this strategic alignment with a major gas distribution network in the UK.

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Notice Information

Notice Title

Gas Shrinkage Contract

Notice Description

Northern Gas Networks is required to purchase gas which is used in connection with the operation of, or which is un accounted for from its gas transportation system in accordance with the Uniform Network Code (UNC). Under UNC rules, shrinkage gas is dealt with on a daily basis with NGN being required to acquire gas to meet its daily shrinkage gas requirement. Shrinkage gas comprises; Own Use Gas - Gas used by NGN in connection wit the operation of its network including gas used in running compressors, gas used for preheating and vented gas; Unaccounted for gas - Gas which is lost or otherwise not accounted for as off taken from its network including gas lost or unaccounted for by reason of unidentified theft and leakage. This contract provides NGN with the facility for the procurement of its shrinkage requirement and an Agent to ensure that the executed trades are nominated under its shrinkage gas account.

Lot Information

Lot 1

NGN is required to purchase gas which is used in connection with the operation of, or which is un accounted for from its gas transportation system in accordance with the Uniform Network Code (UNC). This contract provides NGN with the facility for the procurement of its shrinkage requirement and an Agent to ensure that the executed trades are nominated under its shrinkage gas account. Cost to supplier - Management fee of 0.60pp/therm plus 0.5% daily purchase fee.

Procurement Information

This contract relates to the purchase of Gas on the UK commodity market to cover NGN's gas shrinkage requirement relative to its obligations under the Uniform Network Code. It is in accordance with Regulation 50 (1) Utilities may use the negotiated procedure without prior call for competition in the following cases (g) for supplies quoted and purchased on a commodity market.

Notice Details

Publication & Lifecycle

Open Contracting ID
ocds-h6vhtk-04dbd4
Publication Source
Find A Tender Service
Latest Notice
https://www.find-tender.service.gov.uk/Notice/003806-2025
Current Stage
Award
All Stages
Award

Procurement Classification

Notice Type
Award Notice
Procurement Type
Standard
Procurement Category
Goods
Procurement Method
Limited
Procurement Method Details
Negotiated without publication of a contract notice
Tender Suitability
Not specified
Awardee Scale
Large

Common Procurement Vocabulary (CPV)

CPV Divisions

09 - Petroleum products, fuel, electricity and other sources of energy

CPV Codes

09120000 - Gaseous fuels

Notice Value(s)

Tender Value
Not specified
Lots Value
Not specified
Awards Value
Not specified
Contracts Value
Not specified

Notice Dates

Publication Date
5 Feb 20251 years ago
Submission Deadline
Not specified
Future Notice Date
Not specified
Award Date
5 Feb 20251 years ago
Contract Period
Not specified - Not specified
Recurrence
Not specified

Notice Status

Tender Status
Complete
Lots Status
Not Specified
Awards Status
Active
Contracts Status
Active

Buyer & Supplier

Contracting Authority (Buyer)

Main Buyer
NORTHERN GAS NETWORKS LIMITED
Contact Name
Harriet Wilkes
Contact Email
hwilkes@northerngas.co.uk
Contact Phone
+44 7813523683

Buyer Location

Locality
LEEDS
Postcode
LS15 8TU
Post Town
Leeds
Country
England
Major Region (ITL 1)
TLE Yorkshire and The Humber
Basic Region (ITL 2)
TLE4 West Yorkshire
Small Region (ITL 3)
TLE42 Leeds
Delivery Location
TLC North East (England), TLD North West (England), TLE Yorkshire and The Humber
Local Authority
Leeds
Electoral Ward
Garforth & Swillington
Westminster Constituency
Leeds East

Supplier Information

Number of Suppliers
1
Supplier Name

ENGIE GAS

Further Information

Open Contracting Data Standard (OCDS)

View full OCDS Record for this contracting process

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The Open Contracting Data Standard (OCDS) is a framework designed to increase transparency and access to public procurement data in the public sector. It is widely used by governments and organisations worldwide to report on procurement processes and contracts. 

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