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Descending Clock Auction Solution

Contract notice - utilities

Services

Directive 2004/17/EC

Section I: Contracting entity

I.1)Name, addresses and contact point(s)

National Grid UK Limited
Technology Park, Gallows Hill
For the attention of: Sian Pooley
CV34 6DA Warwick
UNITED KINGDOM
Telephone: +44 1926654550
E-mail:
Fax: +44 1926654550

Internet address(es):

General address of the contracting entity: www.nationalgrid.com

Address of the buyer profile: www.nationalgrid.com

Electronic access to information: www.nationalgrid.com

Electronic submission of tenders and requests to participate: www.nationalgrid.com

Further information can be obtained from: The above mentioned contact point(s)

Specifications and additional documents (including documents for a dynamic purchasing system) can be obtained from: The above mentioned contact point(s)

Tenders or requests to participate must be sent to: The above mentioned contact point(s)

I.2)Main activity
Production, transport and distribution of gas and heat
Electricity
I.3)Contract award on behalf of other contracting entities
The contracting entity is purchasing on behalf of other contracting entities: no

Section II: Object of the contract

II.1)Description
II.1.1)Title attributed to the contract by the contracting entity:
Descending Clock Auction Solution
II.1.2)Type of contract and location of works, place of delivery or of performance
Services
Service category No 27: Other services

NUTS code UK

II.1.3)Information about a public contract, a framework agreement or a dynamic purchasing system (DPS)
The notice involves the establishment of a framework agreement
II.1.4)Information on framework agreement
Framework agreement with a single operator

Duration of the framework agreement

Duration in months: 24

Estimated total value of purchases for the entire duration of the framework agreement

Estimated value excluding VAT: 1 000 000 GBP
II.1.5)Short description of the contract or purchase(s):
National Grid Electricity Transmission (NGET) requires a Descending Clock Auction solution to award Capacity Market (CM) contracts. The Capacity Market (CM), a key mechanism within the Electricity Market Reform (EMR) programme, will provide security of electricity supply by incentivising sufficient capacity to be delivered when needed. The auction solution must have controls around receipt of sensitive information and the ongoing protection of this information. It must also provide a detailed audit trail. The auctions will initially run twice per year however this may extend to up to 30 times per year. The auction solution must be capable of supporting multi-round auctions using a sloping demand curve and be capable of supporting zonal auctions where capacity will be purchased across a range of geographical zones whilst balancing against an overall budget. The first auction will run in Q4 2014. The auction solution must be capable of securely exchanging information with an Administration Services Solution within which participants register and qualify to participate in a given auction. The solution will be required for a number of years, the exact number as yet to be decided. The solution must be capable of deployment by July 2014 and much be sufficiently flexible to enable low cost and speedy reconfiguration in the event that auction rules evolve over time.
II.1.6)Common procurement vocabulary (CPV)

48470000, 72212470, 79342410, 79342400, 79957000

II.1.7)Information about Government Procurement Agreement (GPA)
The contract is covered by the Government Procurement Agreement (GPA): no
II.1.8)Information about lots
This contract is divided into lots: no
II.1.9)Information about variants
Variants will be accepted: no
II.2)Quantity or scope of the contract
II.2.1)Total quantity or scope:
National Grid Electricity Transmission (NGET) requires a Descending Clock Auction solution to award Capacity Market (CM) contracts. The Capacity Market (CM), a key mechanism within the Electricity Market Reform (EMR) programme, will provide security of electricity supply by incentivising sufficient capacity to be delivered when needed. The auction solution must have controls around receipt of sensitive information and the ongoing protection of this information. It must also provide a detailed audit trail. The auctions will initially run twice per year however this may extend to up to 30 times per year. The auction solution must be capable of supporting multi-round auctions using a sloping demand curve and be capable of supporting zonal auctions where capacity will be purchased across a range of geographical zones whilst balancing against an overall budget. The first auction will run in Q4 2014. The auction solution must be capable of securely exchanging information with an Administration Services Solution within which participants register and qualify to participate in a given auction. The solution will be required for a number of years, the exact number as yet to be decided. The solution must be capable of deployment by July 2014 and much be sufficiently flexible to enable low cost and speedy reconfiguration in the event that auction rules evolve over time.
Estimated value excluding VAT: 1 000 000 GBP
II.2.2)Information about options
Options: yes
Description of these options: National Grid reserves the right at its absolute discrestion to excersise contractual options to extend beyond the initial 2 year term plus one, two or three year extensions to a maximum total contract period of 5 years.
II.2.3)Information about renewals
This contract is subject to renewal: yes
Number of possible renewals:
Range: between 1 and 3
II.3)Duration of the contract or time limit for completion
Duration in months: 24 (from the award of the contract)

Section III: Legal, economic, financial and technical information

III.1)Conditions relating to the contract
III.1.1)Deposits and guarantees required:
Parent company and/or guarantees will be required as a condition of this required.
III.1.2)Main financing conditions and payment arrangements and/or reference to the relevant provisions governing them:
Further information will be provided in the contract documentation.
III.1.3)Legal form to be taken by the group of economic operators to whom the contract is to be awarded:
III.1.4)Other particular conditions:
The performance of the contract is subject to particular conditions: no
III.2)Conditions for participation
III.2.1)Personal situation of economic operators, including requirements relating to enrolment on professional or trade registers
Information and formalities necessary for evaluating if the requirements are met: Information and formalities for evaluating if requirements are met:
1) In order to obtain a pre-qualification questionnaire (PQQ), applicants must complete and sign the National Grid Non Disclosure Agreement (NDA).
2) All PQQ applicants MUST be registered on the National Grid Ariba System. Please indicate if you require registering on Ariba when returning the signed NDA.
3) Instructions will be sent to applicants enabling access to the PQQ via the Ariba portal. This process may take up to 3 working days to complete.
4) National Grid will reject any applicant who is deemed ineligible to tender for or be awarded a public contract based upon the grounds set out in Regulation 26 of the Utilities Contract Regulation 2006.
5) National Grid will reject any applicant who fail to provided satisfactory evidence that it is capable of performing a contract on the scale of this procurement process.
III.2.2)Economic and financial ability
Information and formalities necessary for evaluating if the requirements are met: National Grid will reject any applicants who fails to provide audited accounts, other than where unavailable from newly established companies.
III.2.3)Technical capacity
Information and formalities necessary for evaluating if the requirements are met: Applicants must be able to demonstrate their capability in regards to the scope requirements
Further information will be provided in the PQQ.
III.2.4)Information about reserved contracts
III.3)Conditions specific to services contracts
III.3.1)Information about a particular profession
Execution of the service is reserved to a particular profession: no
III.3.2)Staff responsible for the execution of the service
Legal persons should indicate the names and professional qualifications of the staff responsible for the execution of the service: no

Section IV: Procedure

IV.1)Type of procedure
IV.1.1)Type of procedure
Negotiated
Some candidates have already been selected (if appropriate under certain types of negotiated procedures): no
IV.2)Award criteria
IV.2.1)Award criteria
The most economically advantageous tender in terms of the criteria stated in the specifications or in the invitation to tender or to negotiate
IV.2.2)Information about electronic auction
An electronic auction will be used: no
IV.3)Administrative information
IV.3.1)File reference number attributed by the contracting entity:
IV.3.2)Previous publication(s) concerning the same contract
no
IV.3.3)Conditions for obtaining specifications and additional documents
Time limit for receipt of requests for documents or for accessing documents: 4.10.2013 - 16:00
Payable documents: no
IV.3.4)Time limit for receipt of tenders or requests to participate
4.10.2013 - 16:00
IV.3.5)Language(s) in which tenders or requests to participate may be drawn up
IV.3.6)Minimum time frame during which the tenderer must maintain the tender
IV.3.7)Conditions for opening of tenders
Persons authorised to be present at the opening of tenders: no

Section VI: Complementary information

VI.1)Information about recurrence
This is a recurrent procurement: no
VI.2)Information about European Union funds
The contract is related to a project and/or programme financed by European Union funds: no
VI.3)Additional information:
VI.4)Procedures for appeal
VI.4.1)Body responsible for appeal procedures
VI.4.2)Lodging of appeals
Precise information on deadline(s) for lodging appeals: Precise information on deadline(s) for lodging appeals:
The standstill period, which will be for 10 calendar days, provided tome for unsuccessful tenderers to challenge the award decision before the contract is entered into.
VI.4.3)Service from which information about the lodging of appeals may be obtained
VI.5)Date of dispatch of this notice:
12.9.2013