---
title: "2021-175 Interconnector Policy Review"
ocid: "ocds-b5fd17-c34c0fd4-ca47-4752-90df-9d0c67053e3e"
canonical_url: "https://d3tenders.com/contract/?ocid=ocds-b5fd17-c34c0fd4-ca47-4752-90df-9d0c67053e3e"
markdown_url: "https://d3tenders.com/contract/ocds-b5fd17-c34c0fd4-ca47-4752-90df-9d0c67053e3e.md"
json_url: "https://d3tenders.com/contract/ocds-b5fd17-c34c0fd4-ca47-4752-90df-9d0c67053e3e.json"
source: "Contracts Finder"
current_stage: "Tender"
buyer: "OFGEM"
published: "2022-01-05"
---

# 2021-175 Interconnector Policy Review

Buyer: OFGEM  
Current stage: Tender  
OCID: ocds-b5fd17-c34c0fd4-ca47-4752-90df-9d0c67053e3e

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## Summary

The procurement process for the "2021-175 Interconnector Policy Review" is being conducted by Ofgem, located at 10 South Colonnade, Canary Wharf, London. This tender falls under the services category, specifically within the energy industry. It was published on 5th January 2022, with a tender period ending on 24th January 2022, after which the contract will commence on 14th February 2022 and last until 13th May 2022. The procurement method is open, specifically an open procedure below threshold, with a contract value estimated at £75,000, and a minimum value of £40,000.

This tender offers significant opportunities for businesses looking to expand within the consultancy sector, particularly those specialising in energy market analysis, management consultancy, and environmental consultancy services. Companies that can provide expertise in interconnector needs case assessments and have the capacity to contribute effectively to Ofgem's decision-making framework will be particularly well-suited to compete for this contract.

## Notice

On 13 December 2021 Ofgem published its decision on the interconnector policy review. That decision set out the next steps for GB interconnector regulation for the future, specifically with intent to open a third cap and floor window application round for interconnectors and a cap and floor pilot for multiple-purpose interconnectors (MPIs) in mid-2022. Ahead of those milestones Ofgem will be finalising details of the process and policy during an implementation period - one of those policy areas is how Ofgem assess the needs case of future interconnectors. In the cap and floor regime consumer underwrite interconnectors when their revenues fall beneath a floor level, and money is returned to consumers when those revenues fall above the cap. It is therefore crucial that Ofgem is able to fully understand the impact of future projects on consumer interests. Ofgem concluded through the interconnector policy review that Ofgem should review and update its needs case assessment framework to reflect the full range of impacts of interconnection. Ofgem therefore require consultancy support to help develop this framework for assessing new interconnectors and multiple-purpose interconnectors at the initial project assessment (IPA) stage of the cap and floor regime. Specifically, Ofgem requires: * An interconnector and MPI needs case assessment framework that enables effective and transparent decision making by Ofgem on whether specific projects should be awarded a cap a...cific interconnectors and MPI on the following impact categories; market flows of electricity (socio-economic welfare), network costs (reinforcements), system operability impacts (including ancillary services), decarbonisation, flexibility, security of supply, and competition. * Where possible, these methodologies should enable the quantification and monetisation of the relevant impacts, and the ability to unify those quantified impacts into a cost-benefit analysis. Where not possible, Ofgem expects this methodology to set out the relevant parameters of individual quantitative or qualitative assessment. * A recommendation of the roles and responsibilities within the needs case framework within the context of the cap and floor regime IPA. Specifically, the parties best placed to implement each methodology, for example: Ofgem, independent consultants, the ESO, or the project developer. * A recommendation of the best data sources to lean to inform those methodologies, for example: public data sets, network planning outputs or information provided by project developers. This should include a definitive list of submission materials from project developers to inform the needs case assessment. * The needs case framework should clearly set out how the outputs of each methodology should be combined in order to make a decision on whether a project is in consumers' interest. Please see attached 2021-175 Interconnector Policy Review ITT document for further information.

## Key Details

| Field | Value |
| --- | --- |
| Publication source | Contracts Finder |
| Latest notice | https://www.contractsfinder.service.gov.uk/Notice/ba0cba62-62da-49d8-8178-707e3e7cd472 |
| Notice type | Tender Notice |
| Procurement type | Standard |
| Procurement category | Services |
| Procurement method | Open |
| Procurement method details | Open procedure (below threshold) |
| Tender suitability | SME |
| Awardee scale | Not specified |
| All stages | Tender |

## Dates

| Field | Value |
| --- | --- |
| Publication date | 5 Jan 2022 |
| Submission deadline | 24 Jan 2022 |
| Future notice date | Not specified |
| Award date | Not specified |
| Contract period | 14 Feb 2022 - 13 May 2022 |
| Recurrence | Not specified |

## Values

| Field | Value |
| --- | --- |
| Tender value | £75,000 |
| Lots value | Not specified |
| Awards value | Not specified |
| Contracts value | Not specified |

## Status

| Field | Value |
| --- | --- |
| Tender status | Active |
| Lots status | Not specified |
| Awards status | Not specified |
| Contracts status | Not specified |

## Buyer

| Field | Value |
| --- | --- |
| Main buyer | OFGEM |
| Locality | LONDON |
| Post town | East London |
| Postcode | E14 4PU |
| Country | England |
| ITL 1 | TLI London |
| ITL 2 | TLI4 Inner London - East |
| ITL 3 | TLI42 Tower Hamlets |
| Local authority | Tower Hamlets |
| Electoral ward | Canary Wharf |
| Westminster constituency | Poplar and Limehouse |
| Delivery location | Not specified |

## CPV Codes

### Divisions

- 09 - Petroleum products, fuel, electricity and other sources of energy
- 71 - Architectural, construction, engineering and inspection services
- 79 - Business services: law, marketing, consulting, recruitment, printing and security
- 90 - Sewage, refuse, cleaning and environmental services

### Codes

- 09000000 - Petroleum products, fuel, electricity and other sources of energy
- 09300000 - Electricity, heating, solar and nuclear energy
- 09310000 - Electricity
- 71314000 - Energy and related services
- 79400000 - Business and management consultancy and related services
- 79410000 - Business and management consultancy services
- 79411000 - General management consultancy services
- 79411100 - Business development consultancy services
- 90713000 - Environmental issues consultancy services

## Release History

- 5 Jan 2022 at 17:45 - Tender - Tender Notice - https://www.contractsfinder.service.gov.uk/Notice/ba0cba62-62da-49d8-8178-707e3e7cd472

## Documents

- https://www.contractsfinder.service.gov.uk/Notice/ba0cba62-62da-49d8-8178-707e3e7cd472
  5th January 2022 - Opportunity notice on Contracts Finder
- https://www.mytenders.co.uk/search/show/search_view.aspx?ID=JAN163451
  NOTE: To register your interest in this notice and obtain any additional information please visit the myTenders Web Site at the link provided.

## Notice URLs

- http://www.ofgem.gov.uk

## Provenance

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