Planning

Sheffield Heat Network Development Partner

SHEFFIELD CITY COUNCIL

This public procurement record has 1 release in its history.

Planning

19 Feb 2026 at 10:00

Summary of the contracting process

Sheffield City Council is currently in the planning stage for a substantial procurement initiative titled "Sheffield Heat Network Development Partner," which falls under the services category and is valued at £1,200,000 gross. The project aims to establish one of the UK's first zonal scale heat networks, part of the Department of Energy Security & Net Zero’s Advanced Zoning Programme. Located in Sheffield (region UKE32), this initiative involves developing a heat network with an estimated annual demand of 1300 GWh. Key dates include an online market engagement session scheduled for 3 March 2026, with a contract period set to commence on 3 August 2026 and conclude by 2 August 2028. The open procedure under the Procurement Act 2023 will be utilised for this tender process.

This ambitious project offers significant opportunities for companies in the energy and construction industries, particularly those specialising in district heating systems, heat pumps, and urban development. With Sheffield City Council seeking a Development Partner to present proposals for a zonal scale heat network, businesses excelling in heat-recovery systems and energy-related services should consider competing. The opportunity promotes growth by allowing companies to contribute to innovative infrastructure in Sheffield, meeting the city's advanced heating demands. Participating in this procurement process can enhance business visibility and position organisations as pivotal players in the burgeoning renewable energy sector.

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Notice Title

Sheffield Heat Network Development Partner

Notice Description

This notice relates to the proposed market engagement activity for the heat network development opportunity for which Sheffield City Council intends to shortly procure a Development Partner. Sheffield City Council has been selected as part of the Department of Energy Security & Net Zero's Advanced Zoning Programme to develop one of the country's first zonal scale heat networks. To deliver this, Sheffield City Council is seeking a Development Partner to develop (and present for their approval) a zonal scale heat network in the Sheffield area. Sheffield City Council has undertaken work to identify a reference scheme in an area of Sheffield city, which will be included in the procurement exercise but used for tender assessment purposes only. The area which will be the subject of the procurement (and which the Development Partner will be invited to deliver development proposals in respect of) is wider and has an estimated annual heat demand of up to. 1300GWh. Sheffield City Council intends to conduct a procurement using the open procedure in accordance with the Procurement Act 2023 to select the Development Partner for this opportunity. If successful, the parties would enter an agreement for development services only (known as the Development Agreement Only model) under which the Development Partner would put forward proposals for a zonal scale heat network in the area. These proposals would need to meet minimum criteria and would be subject to review and approval by Sheffield City Council. Delivery of such a network in the area would be on a non-exclusive basis (subject to any future regulation). The preliminary market engagement related to this project will take the form of an online market engagement session which will be held on MS Teams at 09:00 - 10:00 on Tuesday 3 March 2026. Further details and link to booking a place on the Market Engagement Session can be found within the attached document via the link to YORtender.

Planning Information

https://uk.eu-supply.com/app/rfq/rwlentrance_s.asp?PID=103001&TID=100108208&B=

Publication & Lifecycle

Open Contracting ID
ocds-h6vhtk-0657bf
Publication Source
Find A Tender Service
Latest Notice
https://www.find-tender.service.gov.uk/Notice/015077-2026
Current Stage
Planning
All Stages
Planning

Procurement Classification

Notice Type
UK2 - Preliminary Market Engagement Notice
Procurement Type
Standard
Procurement Category
Services
Procurement Method
Not Specified
Procurement Method Details
Not specified
Tender Suitability
Not specified
Awardee Scale
Not specified

Common Procurement Vocabulary (CPV)

CPV Divisions

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

42 - Industrial machinery

44 - Construction structures and materials; auxiliary products to construction (except electric apparatus)

45 - Construction work

71 - Architectural, construction, engineering and inspection services


CPV Codes

09323000 - District heating

42511110 - Heat pumps

44622000 - Heat-recovery systems

45211360 - Urban development construction work

45232140 - District-heating mains construction work

45232141 - Heating works

45232142 - Heat-transfer station construction work

71314000 - Energy and related services

Notice Value(s)

Tender Value
£1,000,000 £1M-£10M
Lots Value
Not specified
Awards Value
Not specified
Contracts Value
Not specified

Notice Dates

Publication Date
19 Feb 20263 days ago
Submission Deadline
Not specified
Future Notice Date
19 Mar 20264 weeks to go
Award Date
Not specified
Contract Period
3 Aug 2026 - 2 Aug 2028 2-3 years
Recurrence
Not specified

Notice Status

Tender Status
Planning
Lots Status
Planning
Awards Status
Not Specified
Contracts Status
Not Specified

Contracting Authority (Buyer)

Main Buyer
SHEFFIELD CITY COUNCIL
Contact Name
Tom
Contact Email
tom.hurd@sheffield.gov.uk
Contact Phone
+44 01142053928

Buyer Location

Locality
SHEFFIELD
Postcode
S1 2HH
Post Town
Sheffield
Country
England

Major Region (ITL 1)
TLE Yorkshire and The Humber
Basic Region (ITL 2)
TLE3 South Yorkshire
Small Region (ITL 3)
TLE32 Sheffield
Delivery Location
TLE32 Sheffield

Local Authority
Sheffield
Electoral Ward
City
Westminster Constituency
Sheffield Central

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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