Auction services

Tender description

The purpose of this contract notice is to: (i) Inform the market of an Invitation to Tender in connection with the procurement of an auction platform and related services by the UK government for the auctioning of greenhouse gas emissions allowances from late 2017 as part of continued implementation of Phase III of the EU Emissions Trading System (EU ETS); and (ii) Provide potential bidders with the details for requesting a copy of the Invitation to Tender (ITT) documents and information on how to obtain further information about the procurement requirements. Further background on the EU ETS and auctions can be found at http://www.decc.gov.uk/en/content/cms/emissions/eu_ets/phase_iii/phase_iii.aspx The purpose of this contract notice is to: (i) Inform the market of an Invitation to Tender in connection with the procurement of an auction platform and related services by the UK government for the auctioning of greenhouse gas emissions allowances from late 2017 as part of continued implementation of Phase III of the EU Emissions Trading System (EU ETS); and (ii) Provide potential bidders with the details for requesting a copy of the Invitation to Tender (ITT) documents and information on how to obtain further information about the procurement requirements. Further background on the EU ETS and auctions can be found at http://www.decc.gov.uk/en/content/cms/emissions/eu_ets/phase_iii/phase_iii.aspx Commission Regulation (EU) No 1031/2010 of 12.11.2010 on the timing, administration and other aspects of auctioning of greenhouse gas emission allowances (the ‘Auctioning Regulation’) sets out the regulatory framework for auctioning general allowances (EUAs) for phase III of the EU ETS (2013-2020) and for aviation (EUAAs). Pursuant to Article 30(1) of the Regulation, the UK has opted to retain its own national auction platform to auction its share of allowances upon expiry of the contract with the national auction platform current supplier in November 2017. The auction platform will provide the services including: a) Auctioning of allowances for the UK pursuant to Article 31(1) (which in turn refers to the obligations in article 27) of the Auctioning Regulation; b) Assisting in the development of the UK auction calendars. The UK currently auctions approximately 10 % of the EUA allowances available for auction. In 2016, this will amount to approximately 84 000 000 EUA allowances (approximately 3 500 000 allowances per auction). In addition, the UK will hold 1 aviation auction of 921 000 EUAA allowances. The number of allowances to be auctioned is determined annually with the European Commission and the supplier will be engaged in publishing the annual auction calendar. The contract will cover auctions held for a period of 36 months from the date of appointment as outlined in the Auctioning Regulation (i.e. 10.11.2017), unless terminated or extended by the Department in accordance with the terms of the contract. The contract may be extended for up to a further 24 months, pursuant to Article 30(5) of the Auctioning Regulation. The contract with the tenderer will be conditional on receiving EU approval for the platform.