Cardiff Heat Network (CHN)

Tender description

The authority is seeking to procure suitably experienced companies to support the successful development of a strategic heat network in Cardiff – the Cardiff Heat Network (‘CHN’). As part of the project the authority is proposing to create an energy service company (‘ESCO’) for the purposes of entering into the various contracts to design, build, operate and maintain the CHN arising as a result of the procurement process. The ESCO will be a newly created special purpose company which is wholly owned and equity funded by the Council. The ESCO will own the infrastructure as well as operate the CHN and will also be a party to a bulk heat purchase agreement with the operator of the adjacent Trident Park ERF (Viridor). It is expected that funding will also be provided for the project from the Department for Business, Energy and Industrial Strategy (BEIS) Heat Networks Investment Project (HNIP). Lot 1: Design and Build of the Distribution Network It is anticipated that lot 1 shall include (but is not limited to): (a) design and build of the distribution network from the existing Trident Park ERF site to the back-up/top-up energy centre and the district heating network to the phase 1 core scheme. For the avoidance of doubt, this includes design and build of internal distribution networks up to be installed in the phase 1 core scheme customers buildings. Design and build of distribution network extensions to phase 1a customers; (b) during construction of the network the lot 1 contractor will be required to manage the technical, construction and site interfaces with respect to their works with Viridor and the lot 2 appointed contractor for construction of the back-up/top-up energy centre and the phase 1 core scheme building connections. The following will not form part of lot 1: (c) modifications to the steam turbine in the Trident Park ERF plant to enable heat recovery from the plant — this will be carried out by Viridor; (d) design and construction of the steam to hot water ERF Heat Transfer station (and all steam pipework upstream of this) – this will be carried out by the owner Viridor. Lot 2: Design and Build of the Back-up/top-up Energy Centre, Utility Interconnections and all Equipment Required there-in It is anticipated that lot 2 shall include (but is not limited to): (a) design and build of the back-up/top-up energy centre, utility interconnections and all equipment required there-in, included but not limited to boilers, thermal stores and all ancillary plant and equipment; (b) design and build of the thermal sub-stations in each of the building connections. Design and build of thermal sub-stations for buildings connected as part of Phase 1a distribution network extensions; (b) operation, maintenance and repair/replacement services with respect to: (i) the distribution network from the existing Trident Park ERF site to the back-up/top-up energy centre and the district heating network and connections to the phase 1 core scheme, as well as future network extensions to phase 1a customers; (ii) back-up/top-up energy centre, utility interconnections and all equipment required there-in, including boilers and thermal stores; (iii) Internal distribution networks up to and including the phase 1 core scheme customers’ thermal substations and meters, together with the same for future network extensions to phase 1a customers; (c) planned and reactive maintenance of above plant and where necessary repairs and replacement; (d) performance monitoring and reporting; (e) optimisation of plant operation to maximise the use of waste heat sources and minimise the use of heat required from the back up gas fired boilers; (f) collation of meter readings for passing to the authority's ESCo and support with billing as requested; (g) customer interface with the authority with respect to operational issues; (h) customer interface with consumers when visiting and working in properties: (i) the lot 2 contractor will need to ‘take over’ the assets constructed by the lot 1 contractor and follow the procedures set out in the tender documents to achieve this which will include a design review process. Lot 3: Design, Build, Operate and Maintain District Heating Network For clarity, lot 3 comprises the works and services in both lot 1 and lot 2. On the basis of the objective criteria set out in the procurement documents, the authority will either enter into separate contracts for lots 1 and 2, or a single contract for all requirements under lot 3. should a lot 3 participant be successful they shall be responsible for managing the interface between the works and services to be provided in this contract.