SHF Wave 3 Design and Build (Heat Pumps 2025)

The Council has awarded a contract for the design, supply, installation and commissioning of ground source heat pump systems to up to 231 dwellings within the Balmoral tower blocks comprising Brecon, Blackdown and Grampian House. The project is funded through the Warm Homes: Social Housing Fund Wave 3 programme, supported by Council match funding, and forms part of the Council's wider housing decarbonisation and fuel poverty reduction objectives.

The contract has been procured via FrameworkX and is subject to the Public Contracts Regulations 2015. The contract provides for the delivery of energy efficiency improvement works through the replacement of existing electric storage heating and direct electric heating systems with ground source heat pump technology in up to 231 residential properties.

The scope includes design, resident liaison, installation, testing, commissioning and associated works required to deliver a compliant and operational system. The contract will support the Council's Warm Homes: Social Housing Fund Wave 3 programme and contribute towards improving energy performance, reducing carbon emissions and lowering household energy costs for residents.

The contract term runs until 31 March 2028, in line with funding programme requirements. Additional information: The contract has been awarded by direct award under the Fusion21 framework.

The Council was required to mobilise the project within challenging programme timescales associated with the Warm Homes: Social Housing Fund Wave 3 grant. Grant funding is subject to fixed annual expenditure profiles and delays in procurement risked the loss of allocated funding and the Council's ability to deliver the project within the required programme period.

A framework route was selected as the most efficient and economically advantageous procurement mechanism, providing pre-competed terms and demonstrable value for money while enabling accelerated project mobilisation. Market assessment of the relevant framework lot identified a limited number of suitable suppliers capable of delivering the specialist ground source heat pump installation works required for high-rise residential buildings.

Of the suppliers available on the framework, one supplier had subsequently entered administration and was therefore unable to undertake the contract, while the remaining alternative supplier was not considered capable of delivering the required services and programme outcomes within the necessary timescales. The appointed contractor was therefore the only available framework supplier able to meet the Council's technical, operational and programme requirements and ensure delivery of the funded scheme within the grant timetable.