Award

Connection of District Heat Network & Supply of low carbon/ net zero heat

MILTON KEYNES UNIVERSITY HOSPITAL NHS FOUNDATION TRUST

This public procurement record has 2 releases in its history.

AwardUpdate

18 Jun 2025 at 10:12

Award

11 Jun 2025 at 09:40

Summary of the contracting process

Milton Keynes University Hospital NHS Foundation Trust is engaging in a procurement process to connect a district heat network and supply low carbon, net-zero heat, focusing on decarbonising its facilities in Milton Keynes, United Kingdom. The contract involves a 20-year agreement with Milton Keynes Energy Limited to secure a peak supply capacity of 4,400 Kw for the main hospital site. The procurement method is a direct award, justified under the Procurement Act 2023, paragraphs 5 and/or 6, due to the absence of viable alternatives and technical reasons. The procurement process is at the award stage, with relevant updates occurring as of 18th June 2025. The anticipated contract period starts on 7th July 2025, ending on 30th April 2045, allowing substantial time for innovation and operational development within the energy sector.

This tender offers significant growth opportunities for businesses involved in heating, ventilation, and air-conditioning installation work, as well as those specialising in energy-related services. The focus on low carbon technologies aligns with increasing governmental and societal demand for sustainable solutions. Although Milton Keynes Energy Limited holds exclusive rights for network development, SMEs involved in related industries can explore positioning strategies or partnership opportunities to leverage the Trust’s commitment to net-zero targets. With grant funding from Salix available until March 2026, there is scope for entities with innovative solutions to engage with long-term collaborative projects in the renewable energy sector, fostering development and enhancing their competitive edge in the market.

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Notice Title

Connection of District Heat Network & Supply of low carbon/ net zero heat

Notice Description

For heat decarbonisation at MKUH a Connection PS3,159,750 contract and 20-year Supply contract PS27,918,940 is planned for low carbon district heat network (DHN) provision to the main hospital site in Milton Keynes, MK6 5LD securing 4,400Kw peak supply capacity with provision for future buildings The Trust considers that it can make a direct award in accordance with Schedule 5 to the Procurement Act 2023 under paragraphs 5 or 6 A DHN is the most suitable option for the Trust to fulfil its net zero targets within timescales and operational costs 1 Energy Limited has exclusive rights to develop a DHN in MK with grant funding from the Green Heat Network Fund specifically for its MK Energy Network There is no viable or reasonable alternative supplier or option for the Trust and competition is therefore absent for technical reasons. The Trust has grant funding from Salix available until 31/03/2026 to enable it to connect to a DHN

Procurement Information

The following direct award justification applies: paragraphs 5 and/or 6 of Schedule 5 to PA 2023

Publication & Lifecycle

Open Contracting ID
ocds-h6vhtk-05467f
Publication Source
Find A Tender Service
Latest Notice
https://www.find-tender.service.gov.uk/Notice/033197-2025
Current Stage
Award
All Stages
Award

Procurement Classification

Notice Type
UK5 - Transparency Notice
Procurement Type
Standard
Procurement Category
Works
Procurement Method
Direct
Procurement Method Details
Direct award
Tender Suitability
SME
Awardee Scale
Large

Common Procurement Vocabulary (CPV)

CPV Divisions

45 - Construction work

71 - Architectural, construction, engineering and inspection services


CPV Codes

45331000 - Heating, ventilation and air-conditioning installation work

71314000 - Energy and related services

Notice Value(s)

Tender Value
Not specified
Lots Value
Not specified
Awards Value
£27,918,940 £10M-£100M
Contracts Value
Not specified

Notice Dates

Publication Date
18 Jun 20258 months ago
Submission Deadline
Not specified
Future Notice Date
Not specified
Award Date
11 Jun 20258 months ago
Contract Period
6 Jul 2025 - 30 Apr 2045 Over 5 years
Recurrence
Not specified

Notice Status

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

Contracting Authority (Buyer)

Main Buyer
MILTON KEYNES UNIVERSITY HOSPITAL NHS FOUNDATION TRUST
Contact Name
Linda Robinson
Contact Email
linda.robinson@mkuh.nhs.uk
Contact Phone
01908996105

Buyer Location

Locality
MILTON KEYNES
Postcode
MK6 5LD
Post Town
Milton Keynes
Country
England

Major Region (ITL 1)
TLJ South East (England)
Basic Region (ITL 2)
TLJ1 Berkshire, Buckinghamshire and Oxfordshire
Small Region (ITL 3)
TLJ12 Milton Keynes
Delivery Location
Not specified

Local Authority
Milton Keynes
Electoral Ward
Woughton & Fishermead
Westminster Constituency
Milton Keynes Central

Supplier Information

Number of Suppliers
1
Supplier Name

MILTON KEYNES ENERGY

Further Information

Notice Documents

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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