Planning

Onsite Direct Wire Power Purchase Agreement Pilots

DEFENCE INFRASTRUCTURE ORGANISATION

This public procurement record has 3 releases in its history.

Planning

15 Apr 2026 at 11:04

PlanningUpdate

03 Mar 2026 at 14:06

Planning

03 Mar 2026 at 11:54

Summary of the contracting process

The Defence Infrastructure Organisation (DIO), a central government public authority in the United Kingdom, is currently in the planning stage of a procurement process for "Onsite Direct Wire Power Purchase Agreement Pilots". This initiative focuses on reducing electricity costs, enhancing energy resilience, and supporting emission reductions through renewable energy sources. The process takes place primarily in the South of England, targeting sites utilising MOD land, with the potential contract period estimated to commence on 31st March 2028, and ending by 2053. Preliminary Market Engagement (PME) has been scheduled, requiring a mandatory Market Sounding Questionnaire (MSQ) submission by noon on 6th May 2026, followed by virtual interviews and a Supplier Day. This engagement seeks insights ahead of potentially issuing a public tender notice in 2027.

This procurement presents substantial opportunities for businesses specialising in renewable energy development, particularly those experienced in on-site, direct wire PPA with demonstrated capabilities in projects similar in scale. Businesses that can offer competitive proposals compliant with Renewable Energy Guarantees of Origin (REGO) technologies will be well-suited to compete. Suppliers are encouraged to engage with the DIO to explore how their solutions can deliver both economic and social value, in line with the Government's Social Value Model. The process emphasises transparency and equal treatment, with a keen focus on identifying and addressing any conflicts of interest and modern slavery considerations. This is a promising opportunity for businesses to substantially grow by partnering with a key government organisation dedicated to sustainable energy solutions.

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Notice Title

Onsite Direct Wire Power Purchase Agreement Pilots

Notice Description

Objectives: The Ministry of Defence (MOD) is seeking Power Purchase Agreements (PPA) to reduce unit electricity costs, increase site energy resilience, limit price volatility risk from its energy portfolio, and support emissions reduction aligned with Government policy. PPA Type: Renewable energy supply for up to five sites via on-site direct wire connection. Target start date: Target contract start date 31/03/28. Volume: Procure power generation to meet up to approximately 4-12 GWh/year of combined electricity consumption across the portfolio of sites. Provision of higher offtake volumes is dependent on the ability to demonstrate value for money in energy costs achieved and resilience provision. The site portfolio is expected to have a total annual demand of approximately 35 GWh/year. The details provided in this notice are early indicative estimates and may be subject to change/refinement based on final site selection and ongoing data collection. Sites: Potential sites may include up to five sites suitable for on-site, direct wire connection utilising MOD land in the South of England, shortlisted from a longlist of ~30 identified sites throughout the UK. Contract duration: Seeking competitive energy prices for up to 25 years, with potential option to extend. The estimated contract dates are 31/03/28 to 30/03/53. Technology: Open to competitive proposals for Renewable Energy Guarantees of Origin (REGO) compliant technologies, with technology choice subject to site-by-site requirements and MOD review. Previous market engagement: A virtual two-hour supplier engagement session was held on 04/03/2025 to test early market views on high-level PPA options and to support MOD's understanding of market capabilities. Suppliers expressed strong appetite to engage and highlighted key considerations including avoiding over-specification, clarifying roles and responsibilities, and addressing grid-connection and MOD site factors that will shape the delivery approach.

Planning Information

Preliminary Market Engagement (PME): MOD is seeking to undertake PME to better understand common market practices and to refine the approach for a potential future procurement. MOD would greatly appreciate your engagement and assures suppliers that all responses will be carefully considered but will not bind MOD to any particular approach to the procurement, nor will responses be treated as conveying any promise or commitment on the part of the respondent. Preliminary Market Engagement will include: A) A mandatory Market Sounding Questionnaire (MSQ). To have your feedback considered, your completed MSQ must be received by 12:00 noon on 06/05/26. B) Virtual interviews, informed by responses to the MSQ. To be considered for interview, you must submit a completed MSQ by 12:00 noon on 06/05/26. Interviews will be arranged after this date, and suppliers will be contacted directly. C) An optional virtual Supplier Day will be scheduled following the interviews. The Supplier Day will be open to all interested parties, regardless of MSQ completion. To request a link to the MSQ and to register your interest in the Supplier Day, please email DIOComrcl-FEP@mod.gov.uk, confirming that your interest relates to the on-site PPA. You can register your interest in participating in virtual interviews within the MSQ. The purpose of the MSQ is to gather insights from the market and identify parties for virtual interview. Virtual interviews will use a standardised question set. Due to anticipated demand and MOD staff capacity, parties invited to interview may be limited to suppliers identified through the MSQ that: A) Are a renewable energy developer, B) Hold on-site, direct wire PPA development experience in the UK, and C) Have PPA development experience with projects of a similar size. If required, developers will be prioritised for interview based on extent of relevant experience, to maximise insights gathered. MOD may conduct multiple interview rounds and adjust the engagement approach or timelines as the PPA programme progresses. PME is intended to be closed by 05/06/26. Any information shared by MOD during the Supplier Day and/or other market engagement will be made publicly available to all parties as part of the UK4 tender notice, should the procurement proceed. PME will have no bearing on which suppliers will be invited to participate the tender process. Furthermore, it does not constitute a commitment by the Ministry of Defence to initiate any public procurement activity. This engagement will be conducted in line with the principles of equal treatment, non-discrimination and proportionality under the Procurement Act 2023. Social Value (SV): SV is a mandatory consideration in UK Government procurement. Any future tender will be assessed against the Government’s Social Value Model, ensuring delivery approaches contribute meaningful economic, social, and environmental benefits. Specific Model Award Criteria (MACs) to be utilised within the tender process will be confirmed should the requirement be taken forward. Conflict of Interest (COI): All suppliers must identify and disclose any actual or potential COI at the earliest opportunity. This includes any relationships, prior involvement, or circumstances that could affect impartiality. For transparency purposes, if you have a potential or known COI, you must email DIOComrcl-FEP@mod.gov.uk Modern Slavery: MOD must consider the potential of modern slavery at all stages of the procurement lifecycle. Please note this information will be required as part of the procurement process and throughout the ongoing contract. Suppliers will need to complete a Modern Slavery Assessment Tool (MSAT) but is not required at this stage. Please note, Clarification Questions are not open at this time. The DIOComrcl-FEP@mod.gov.uk multi-user address should be used to register interest in attending the Supplier Day, requesting access to the MSQ (and any technical related issues) and / or COI declarations only. Direct or indirect canvassing of any MOD employee or agent concerning this requirement, or any attempt to procure information from any MOD employee or agent outside of the formal process described in this document will not receive a response.

Publication & Lifecycle

Open Contracting ID
ocds-h6vhtk-0660b3
Publication Source
Find A Tender Service
Latest Notice
https://www.find-tender.service.gov.uk/Notice/034135-2026
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

71 - Architectural, construction, engineering and inspection services


CPV Codes

71314000 - Energy and related services

Notice Value(s)

Tender Value
£246,913,129 £100M-£1B
Lots Value
Not specified
Awards Value
Not specified
Contracts Value
Not specified

Notice Dates

Publication Date
15 Apr 20261 months ago
Submission Deadline
Not specified
Future Notice Date
4 Jan 20278 months to go
Award Date
Not specified
Contract Period
30 Mar 2028 - 30 Mar 2053 Over 5 years
Recurrence
Not specified

Notice Status

Tender Status
Planned
Lots Status
Planned
Awards Status
Not Specified
Contracts Status
Not Specified

Contracting Authority (Buyer)

Main Buyer
DEFENCE INFRASTRUCTURE ORGANISATION
Contact Name
Available with D3 Tenders Premium →
Contact Email
Available with D3 Tenders Premium →
Contact Phone
Available with D3 Tenders Premium →

Buyer Location

Locality
LICHFIELD
Postcode
WS14 9PY
Post Town
Walsall
Country
England

Major Region (ITL 1)
TLG West Midlands (England)
Basic Region (ITL 2)
TLG2 Shropshire and Staffordshire
Small Region (ITL 3)
TLG24 Staffordshire CC
Delivery Location
Not specified

Local Authority
Lichfield
Electoral Ward
Whittington & Streethay
Westminster Constituency
Tamworth

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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