DCWW2109 Energy Services

Dwr Cymru Cyfyngedig (DCC) is re-procuring its principal energy contracts in four lots. Lot 1, electricity import and export: supply to circa 4,400 MPANs, flexible purchasing and price-fixing services, PPA sleeving, export route to market and settlement.

Lot 2, gas import: non-domestic supply of circa 67.8 GWh per annum, purchasing and price-fixing services against DCC instructions, and all industry arrangements required to deliver supply. Lot 3, gas export: purchase and offtake of biomethane injected into the gas distribution network, circa 45.8 GWh per annum.

Lot 4, metering services: HH and NHH MOP, data collection and aggregation and successor MHHS roles, NHH remediation and AMR upgrade programmes, gas metering and sub-metering. The contract term for every lot runs from that lot's commencement date to 31 March 2032, with extension options of 3 years and then a further 2 years, exercisable at DCC's sole discretion.

All lots are co-terminous, with the initial period ending 31 March 2032. Commencement is 1 April 2027 for Lots 1, 2 and 4, and 1 July 2027 for Lot 3.

Suppliers may bid for any number of lots. Each lot bid is priced and evaluated independently and is independently awardable.

Electricity import and export: supply to circa 4,400 MPANs, flexible purchasing and price-fixing services, PPA sleeving, export route to market and settlement Gas import: non-domestic gas supply of circa 67.8 GWh per annum to DCC's gas supply points, including purchasing and price-fixing services against DCC instructions, and all industry arrangements required to deliver supply.

Gas meter reading and maintenance services sit within Lot 4 (Metering services). Commencement 1 April 2027; initial period to 31 March 2032, with extension options of 3 years and then a further 2 years exercisable at DCC's sole discretion.

Gas export: purchase and offtake of biomethane injected by DCC into the gas distribution network (gas-to-grid), circa 45.8 GWh per annum and circa 447 GWh over the maximum contract term. Under this lot the Supplier purchases biomethane from DCC as principal for onward sale into the gas market, so consideration flows from the Supplier to DCC rather than from DCC to the Supplier.

The Supplier's remuneration may arise through management or transaction fees, trading margins or spreads, deductions, retained amounts or other elements of the sale-price methodology, to be established through this competition. The estimated value stated for this lot is the gross market value of the biomethane expected to be transacted, stated inclusive of VAT at the currently applicable 20% rate; it is not an estimate of the Supplier's remuneration and does not represent expenditure by DCC, and DCC gives no warranty as to future volumes or market prices.

Commencement 1 July 2027; initial period to 31 March 2032, with extension options of 3 years and then a further 2 years exercisable at DCC's sole discretion. Metering services: HH and NHH meter operator (MOP), data collection and aggregation and successor MHHS roles, NHH remediation and AMR upgrade programmes, gas metering and sub-metering across DCC's estate.

Through this lot DCC will contractualise a remediation programme with measurable outcomes and an enduring data-quality service. Commencement 1 April 2027; DCC may agree an earlier commencement date limited to defined improvement activities (such as remediation planning, surveys, estate validation and preparatory AMR upgrade work) so that estate improvement proceeds in parallel with incumbent close-out.

The current half-hourly data collection and aggregation arrangement runs to April 2028 and that element phases into this contract at that date. Initial period to 31 March 2032, with extension options of 3 years and then a further 2 years exercisable at DCC's sole discretion.