Dynamic Purchasing System (DPS) for Supply of Solar Panels

Scottish Water is looking to engage with potential Suppliers of Solar Panels through the use of a Dynamic Purchasing System (DPS). This process will include Suppliers evidencing the minimum requirements which is set out within the tender documentation to be successfully admitted to the DPS. This DPS will support the sourcing of a supply chain for solar panels which are aligned to Scottish Waters strategic objectives.

This includes the verification and review of the names and location of the proposed supply chain down to raw material level, due diligence conducted on the supply chain and traceability and segregation protocols to ensure the ethical sourcing of the proposed Solar Panels.

This purchase of the solar panels may be completed by either Scottish Water, Scottish Water Horizons, or approved Framework suppliers.

Scottish Water is looking to engage with potential Suppliers of Solar Panels through the use of a Dynamic Purchasing System (DPS). This process will include Suppliers evidencing the minimum requirements set out within the tender documentation to be successfully admitted to the DPS. This includes the verification and review of the names and location of the proposed supply chain down to raw material level, due diligence conducted on the supply chain and traceability and segregation protocols to ensure the ethical sourcing of the proposed Solar Panels.

Scottish Water Horizons have committed to deliver 90GWh of new renewable energy generation projects across all aspects of the SW estate, employing a variety of established and emerging technologies and are seeking companies to deliver the schemes.

This programme will be delivered over an estimated 10 year period with installations varying from small-scale 25 - 50kW installs to large projects normally not greater than 5MW, although in certain circumstances some projects may exceed 5MW these however will be the exception.

Some projects will require innovative technologies that are not yet fully developed.

Scottish Water currently has a Framework for the supply, design, and installation of renewable power generation assets. This Framework agreement currently has four suppliers who have been working with Scottish Water Horizons since 2021. However, due to the concerns of the sourcing of the solar panels under this agreement there has been a suspension of projects until the ethical sourcing can be found.

This DPS will support the sourcing of a supply chain for solar panels which are aligned to Scottish Waters strategic objectives. This purchase of the solar panels may be completed by either Scottish Water, Scottish Water Horizons, or approved Framework suppliers.

Background on Scottish Waters position on Ethical Sourcing of Solar Panels

In August 2023, the Scottish Water Board of Directors made the decision to pause all solar projects which had not reached Gate 70 (investment approval stage) due to concerns regarding forced labour within the supply chain of these products, namely the usage of forced labour in Xinjiang to produce the raw materials for the panels.

Since then, the Procurement and Supply Chain (PSC) function have continued a due diligence exercise to try and source an ethically clean supply chain and to gain a deeper understanding of any legislative and industry changes which could lead to clean supply routes opening in the future. This includes the verification and review of the names and location of the proposed supply chain down to raw material level, due diligence conducted on the supply chain and traceability and segregation protocols.

The particular SW Specifications that apply to this DPS Agreement is provided within the tender pack on the SW e-Sourcing system.

Suppliers can apply to join the SW DPS at any time during its lifetime.

There are no limitations to the numbers of Suppliers who will successfully admitted to the DPS.

All Suppliers who have been successfully admitted to this DPS will be invited to tender for further competitions under this agreement as and when required.

SW will use a 'Level' grading to select Suppliers to be appointed on to the DPS. Each 'Level' has a threshold which must be achieved to enable the Potential Supplier to pass to the next evaluation stage. Full details of the grading system are fully described within the tender documentation.

The forecasted value of the DPS is an estimated based on the programme of work which is supplied in the tender documentation. However, there is no guarantee to the volume or value of projects derived from this DPS.

This DPS does not constitute a commitment to award any work or services whatsoever to the appoint Supplier(s).