---
title: "ED0389-25 Delivery of District Heating to the Cranbrook Expansion Areas by an ESCo"
ocid: "ocds-h6vhtk-05d40f"
canonical_url: "https://d3tenders.com/contract/?ocid=ocds-h6vhtk-05d40f"
markdown_url: "https://d3tenders.com/contract/ocds-h6vhtk-05d40f.md"
json_url: "https://d3tenders.com/contract/ocds-h6vhtk-05d40f.json"
source: "Find A Tender Service"
current_stage: "Tender"
buyer: "EAST DEVON DISTRICT COUNCIL"
published: "2026-05-08"
---

# ED0389-25 Delivery of District Heating to the Cranbrook Expansion Areas by an ESCo

Buyer: EAST DEVON DISTRICT COUNCIL  
Current stage: Tender  
OCID: ocds-h6vhtk-05d40f

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## Summary

East Devon District Council is actively seeking to procure a long-term Energy Services Company (ESCo) to deliver a District Heating Network for the Cranbrook Expansion Areas in the UK. This competitive tender process is classified within the services industry and follows an open procurement method. The procurement, currently at the tender stage, is aimed at developing a low-carbon heat network serving around 4,500 new homes and commercial spaces. Key dates include the tender submission deadline on 3rd July 2026, with the contract awarded by 9th October 2026. The project has an estimated contract value of £130 million over 25 years, with the contract's operational phase expected to span approximately 80 years post-construction. The initiative is bolstered by a £5.95 million grant from the Green Heat Network Fund.

This tender presents a significant opportunity for businesses specialising in sustainable energy solutions and large-scale infrastructure projects. Companies experienced in district heating, sustainable construction, and energy services are well-positioned to compete. The sizable contract duration and value provide a substantial incentive for investment, fostering business growth through long-term engagement. The need for collaboration with developers and adherence to industry standards such as the Heat Trust Scheme Standards further underscores the demand for highly skilled and experienced operators that can deliver on both technical excellence and regulatory compliance. Small and medium-sized enterprises that meet the tender's economic and technical criteria may also find the opportunity attractive, contributing innovation and specialised expertise to the project's success.

## Notice

East Devon District Council (EDDC) is seeking to engage the market in advance of procuring a long-term Energy Services Company (ESCo) to deliver a new District Heating Network to serve the expansion areas of Cranbrook. The scheme will serve the growth of Cranbrook new town, supplying low-carbon heat to approximately 4,500 new homes and 24,500m2; of commercial space, including three new schools. The project has successfully secured a PS5.95 million capital contribution grant from the Green Heat Network Fund (GHNF), administered by Triple Point on behalf of the Department for Energy Security and Net Zero. This funding is intended to support the delivery of low-carbon heat infrastructure and will be made available to the appointed ESCo as a contribution towards eligible capital works. The scheme will be required to meet Future Homes and Future Building standards as set out in the updated building regulations. Planning consent for the network has already been secured under East Devon District Council's Local Development Order (LDO) for district heating, adopted in July 2020. Additionally, the Cranbrook Plan has allocated two hectares of land for an Energy Centre and associated heat network plant and equipment within the development. The heat network will include heat distribution pipework, and a new heat generation source. The estimated annual heat demand from the new development is 34.05 GWh, with a diversified peak demand of 12.5 MW. A feasibility study has been carried out that has built the technical and economic case for the expansion. The successful bidder will need to develop the design to construction stage. This will involve coordination with the developers and their network builders/operators. The successful bidder will then operate and maintain the network for the duration of the contract in line with industry best practices and the Heat Trust Scheme Standards with a subsequent move to market regulations where applicable. The estimated contract value over a 25 year period is approximately PS130 million (excluding VAT). This estimate is based on revenues generated from assumed 2025 variable and fixed tariff levels and connection charges with a 2% inflationary increase per annum. Bidders are encouraged to make value assessments for themselves to determine their own view of the value of the contract over the full term length. The given contract end date is indicative of the construction end, the expectation is that the successful bidder will then operate and maintain the network for a period of circa 80 years.

### Planning Information

An online presentation will be delivered by the project team via Microsoft Teams to provide an update on the project. The session will primarily address commercial arrangements and present additional detail regarding the project timeline. This presentation is intended as a market engagement activity and does not constitute a call for competition.
Interested parties are invited to RSVP through the following link to receive an invitation to attend:
https://events.teams.microsoft.com/event/2d232462-8ce6-4d8d-9f26-d920ba4136a9@7b064412-956e-4ebd-880e-2153190112e9
All communications must be directed exclusively through the portal to ensure that all interested parties have equal opportunity to register and receive relevant updates.
The presentation will give an overview of the district heating project, which is set to be procured at a later stage. The project team will present updates on the current planning environment, outline developer intentions, and detail the proposed energy strategy for the Cranbrook Expansion Areas. Additionally, the session will include an update on the anticipated timeframes for both procurement and buildout phases.
Following the session, the project team will seek feedback from attendees on the comparative merits of options currently under review. This input will support the ongoing refinement of the scheme.

## Key Details

| Field | Value |
| --- | --- |
| Publication source | Find A Tender Service |
| Latest notice | https://www.find-tender.service.gov.uk/Notice/042289-2026 |
| Notice type | UK4 - Tender Notice |
| Procurement type | Standard |
| Procurement category | Services |
| Procurement method | Open |
| Procurement method details | Competitive flexible procedure |
| Tender suitability | SME |
| Awardee scale | Not specified |
| All stages | Planning, Tender |

## Dates

| Field | Value |
| --- | --- |
| Publication date | 8 May 2026 |
| Submission deadline | 3 Jul 2026 |
| Future notice date | 9 Feb 2026 |
| Award date | Not specified |
| Contract period | 6 Nov 2026 - 5 Nov 2040 |
| Recurrence | Not specified |

## Values

| Field | Value |
| --- | --- |
| Tender value | £130,000,000 |
| Lots value | £130,000,000 |
| Awards value | Not specified |
| Contracts value | Not specified |

## Status

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

## Buyer

| Field | Value |
| --- | --- |
| Main buyer | EAST DEVON DISTRICT COUNCIL |
| Locality | HONITON |
| Post town | Exeter |
| Postcode | EX14 1EJ |
| Country | England |
| ITL 1 | TLK South West (England) |
| ITL 2 | TLK4 Devon |
| ITL 3 | TLK43 Devon CC |
| Local authority | East Devon |
| Electoral ward | Honiton St Michael's |
| Westminster constituency | Honiton and Sidmouth |
| Delivery location | TLK4 Devon |

## CPV Codes

### Divisions

- 45 - Construction work
- 71 - Architectural, construction, engineering and inspection services

### Codes

- 45251250 - District-heating plant construction work
- 71314000 - Energy and related services

## Release History

- 8 May 2026 at 08:43 - Tender - UK4 - Tender Notice - https://www.find-tender.service.gov.uk/Notice/042289-2026
- 27 Oct 2025 at 11:47 - Planning - UK2 - Preliminary Market Engagement Notice - https://www.find-tender.service.gov.uk/Notice/068502-2025

## Documents

- https://www.find-tender.service.gov.uk/Notice/042289-2026
  8th May 2026 - Tender notice on Find a Tender
- https://www.find-tender.service.gov.uk/Notice/068502-2025
  27th October 2025 - Preliminary market engagement notice on Find a Tender
- www.supplyingthesouthwest.org.uk
  All Tender documents are freely available on the www.supplyingthesouthwest.org.uk procurement portal.

## Notice URLs

- http://www.eastdevon.gov.uk/
- https://events.teams.microsoft.com/event/2d232462-8ce6-4d8d-9f26-d920ba4136a9@7b064412-956e-4ebd-880e-2153190112e9
- https://www.legislation.gov.uk/ukpga/2023/54/contents
- https://www.supplyingthesouthwest.org.uk
- https://www.supplyingthesouthwest.org.uk/

## Provenance

This Markdown file is an alternate public rendering of the D3 Tenders contract record. The canonical page is https://d3tenders.com/contract/?ocid=ocds-h6vhtk-05d40f. The underlying structured data is available as OCDS JSON at https://d3tenders.com/contract/ocds-h6vhtk-05d40f.json.