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Fully Managed Energy Supply Service (Gas and Electric)

Cheshire East Borough Council

This public procurement record has 6 releases in its history.

Award

09 Oct 2026 at 09:22

UK7 - Contract Details Notice
Award

01 Jun 2026 at 11:37

UK6 - Contract Award Notice
Tender

16 Feb 2026 at 09:33

UK4 - Tender Notice
PlanningUpdate

23 May 2025 at 08:24

UK1 - Pipeline Notice
PlanningUpdate

23 May 2025 at 08:19

UK1 - Pipeline Notice
Planning

15 May 2025 at 09:30

UK1 - Pipeline Notice
Summary of the contracting process

Cheshire East Council appointed a provider for a fully managed electricity and gas supply service for its corporate estate, unmetered supplies, schools and academies across Cheshire East. The service covers purchasing energy on the Council’s behalf through an established public-sector framework or purchasing system, with a single managed-service contract rather than separate contracts with energy suppliers. The provider is responsible for account management and customer service, billing, site and meter management, data management, purchasing green electricity, complaints, an online management portal, portfolio reviews and service-level performance. The arrangement also allows for green gas supply if required and viable, and participation by schools and academies can fluctuate.

The procurement is complete and the contract has been signed. West Mercia Energy was selected following an open procedure; one bid was received. The award was made on 23 April 2026, and the contract was signed on 22 September 2026. The awarded value is £50.5 million excluding VAT (£60.6 million including VAT). The contract runs from 1 April 2027 to 31 March 2030, with two possible 12-month extensions at the Council’s discretion, giving a maximum term to 31 March 2032. Quality carried 70% of the evaluation and the total managed-service fee 30%. The procurement was a single lot. Selection requirements included relevant recent experience, insurance cover and specified compliance, security and organisational requirements.

This award shows demand for a provider able to manage a substantial, multi-site public-sector gas and electricity portfolio end to end, including energy purchasing, metering and site data, billing, customer support and performance reporting. Credible competitors for a similar requirement would need recent experience buying gas and electricity for a local authority or comparable public-sector estate, and delivering a fully managed service at substantial annual scale. The Council also required experience procuring renewable electricity or green gas for a public-sector organisation. Suppliers would need appropriate employer, public and professional liability insurance, ICO registration, data-security capability and a health and safety policy, alongside a record of meeting enforcement requirements and equality obligations. Strong service delivery in accurate, timely billing, responsive support and functioning automated meter-reading installations is commercially relevant to this buyer.

How relevant is this notice?

Notice Information

Notice Title

Fully Managed Energy Supply Service (Gas and Electric)

Notice Description

The Council seeks to make provision for its electricity and gas requirements from 1st April 2027 for a period of three years with the option to extend for 2 x 12 months. The Council intends to procure a fully managed service whereby the Managed Service Provider (MSP) will purchase energy for and on behalf of the Council via an established framework or dynamic purchasing system that is compliant with either the previous or current Procurement Regulations, which amounts to approximately PS12,000,000 per annum within its Corporate, Unmetered Supply (UMS) and Schools portfolio including Academies. It will provide a flexible purchasing method of procuring energy and will provide an end-to-end billing and management service. It will take the form of a single contract with the MSP negating the need to have a separate contract with the energy suppliers. Deliveries of services included are as follows: * Account Management including customer service; * Billing; * Management of Sites and Metering; * Data Management; * Purchase of green electricity; * Complaints Handling; * Online Management Portal; * Portfolio Reviews; * Performance Requirements and Service Levels The contract provides for the possibility that the contract value may be modified by an increase or decrease during the contract term, in line with one or more of the following parameters: energy tariffs; energy volume consumption changes; applicable VAT rates; adjustments to school and academy participation; and/or upon exercise of the option to take up green gas supply. As that potential for modification to contract value has been specifically provided for in the contract, and as such a modification would not change the overall nature of the contract, it shall be considered by the contracting authority to be a permitted modification under section 74 and Schedule 8(1) of the Procurement Act 2023, without the need for a new procurement. The values given in this notice are only estimations and take into account the extension option - the Council gives no guarantee or warranty or makes any representation as to the accuracy of any indicative volumes.

Lot Information

Lot 1

Options: Option to purchase green gas if required and viable. Option for schools participation to fluctuate. Option to buy the required quantities of gas and electric, which may exceed or be less than the stated PS12,000,000 per annum.

Renewal: 2 x 12 months An initial term of 3 years and a maximum extension period of 2 years will apply. Any extension shall be at the Council's sole and absolute discretion and for a period or periods (each to be no less than one (1) year in duration) of up to two (2) years in the aggregate.

Notice Details

Publication & Lifecycle

Open Contracting ID
ocds-h6vhtk-0513d9
Publication Source
Find A Tender Service
Latest Notice
https://www.find-tender.service.gov.uk/Notice/095468-2026
Current Stage
Award
All Stages
Planning, Tender, Award

Procurement Classification

Notice Type
UK7 - Contract Details Notice
Procurement Type
Dynamic
Procurement Category
Services
Procurement Method
Open
Procurement Method Details
Open procedure
Tender Suitability
SME
Awardee Scale
Large

Common Procurement Vocabulary (CPV)

CPV Divisions

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

65 - Public utilities

71 - Architectural, construction, engineering and inspection services

CPV Codes

09000000 - Petroleum products, fuel, electricity and other sources of energy

65200000 - Gas distribution and related services

65300000 - Electricity distribution and related services

65400000 - Other sources of energy supplies and distribution

65500000 - Meter reading service

71314300 - Energy-efficiency consultancy services

Notice Value(s)

Tender Value
£60,250,000 £10M-£100M
Lots Value
£60,250,000 £10M-£100M
Awards Value
£50,500,000 £10M-£100M
Contracts Value
£50,500,000 £10M-£100M

Notice Dates

Publication Date
9 Oct 20262 weeks ago
Submission Deadline
18 Mar 2026Expired
Future Notice Date
8 Dec 2025Expired
Award Date
23 Apr 20266 months ago
Contract Period
1 Apr 2027 - 31 Mar 2030 3-4 years
Recurrence
2031-01-05

Notice Status

Tender Status
Complete
Lots Status
Complete
Awards Status
Active
Contracts Status
Active

Buyer & Supplier

Contracting Authority (Buyer)

Main Buyer
Cheshire East Borough Council
Contact Name
Available with D3 Tenders Premium →
Contact Email
Available with D3 Tenders Premium →
Contact Phone
Available with D3 Tenders Premium →

Buyer Location

Locality
CREWE
Postcode
CW1 2JZ
Postcode Area
Crewe
Country
England
Major Region (ITL 1)
TLD North West (England)
Basic Region (ITL 2)
TLD6 Cheshire
Small Region (ITL 3)
TLD62 Cheshire East
Delivery Location
TLD62 Cheshire East
Local Authority
Cheshire East
Electoral Ward
Crewe Central
Westminster Constituency
Crewe and Nantwich

Supplier Information

Number of Suppliers
1
Supplier Name

West Mercia Energy

Further Information

Notice Documents

Open Contracting Data Standard (OCDS)

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