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Fully Managed Energy Supply Service (Gas and Electric)

Cheshire East Council

Awarded
services
Dynamic Purchasing System

This tender has closed

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Key details

Contracting authority
Cheshire East Council
Public authority - sub-central government
Region
Crewe
Delivery: UKD62, United Kingdom
Contract value
£50,500,000ex VAT
Submissions closed
Not stated by buyer
Published
9 October 2026

Procurement

Contract period
1 April 2027 - 31 March 2030
3 years
Possible extension to 31 March 2032 · 4 years, 11 months in total
Extension terms: 2 x 12 months
Procedure type
Open procedure
CPV classifications
  • 09000000 Petroleum products, fuel, electricity and other sources of energy
  • 65200000 Gas distribution and related services
  • 65300000 Electricity distribution and related services
  • 65400000 Other sources of energy supplies and distribution
  • 65500000 Meter reading service
  • 71314300 Energy-efficiency consultancy services

What happened

Cheshire East Council awarded this contract to West Mercia Energy worth £50,500,000 on 22 Sept 2026. The contract runs until 31 Mar 2030.

Description

The Council seeks to make provision for its electricity and gas requirements from 1st April 2027 for a period of three years with the option to extend for 2 x 12 months. The Council intends to procure a fully managed service whereby the Managed Service Provider (MSP) will purchase energy for and on behalf of the Council via an established framework or dynamic purchasing system that is compliant with either the previous or current

Procurement Regulations, which amounts to approximately £12,000,000 per annum within its Corporate, Unmetered Supply (UMS) and Schools portfolio including Academies. It will

provide a flexible purchasing method of procuring energy and will provide an end-to-end billing and management service. It will take the form of a single contract with the MSP negating the need to have a separate contract with the energy suppliers.

Deliveries of services included are as follows:

  • Account Management including customer service;
  • Billing;
  • Management of Sites and Metering;
  • Data Management;
  • Purchase of green electricity;
  • Complaints Handling;
  • Online Management Portal;
  • Portfolio Reviews;
  • Performance Requirements and Service Levels

The contract provides for the possibility that the contract value may be modified by an increase or decrease during the contract term, in line with one or more of the following parameters: energy tariffs; energy volume consumption changes; applicable VAT rates; adjustments to school and academy participation; and/or upon exercise of the option to take up green gas supply. As that potential for modification to contract value has been specifically provided for in the contract, and as such a modification would not change the overall nature of the contract, it shall be considered by the contracting authority to be a permitted modification under section 74 and Schedule 8(1) of the Procurement Act 2023,

without the need for a new procurement.

The values given in this notice are only estimations and take into account the extension option - the Council gives no guarantee or warranty or makes any representation as to the accuracy of any indicative volumes.

Awarded supplier

Supplier
West Mercia Energy
GB-PPON: PPZB-5578-MWQH
Award value
£50,500,000
Award date
22 September 2026
Bidders
1 bidder

Contact

Address
Delamere House, Delamere Street, Crewe, CW12JZ

Identifiers

Buyer reference
C4382
Notice ID
095468-2026
OCID
ocds-h6vhtk-0513d9

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External ID: fts-ocds-h6vhtk-0513d9 • Added 1 June 2026