Worthing Heat Network Project

Worthing Borough Council (WBC) is seeking interest and proposals from suitable economic operators for its project to finance, design, build, operate and maintain a heat network in Worthing using a corporate concession model.

The Project is to provide heat to approximately 22 existing buildings in Worthing town centre, including both Worthing Hospital (and satellite buildings) and Splashpoint Leisure Centre and a further five large development sites currently in planning and to assist WBC to meet its declared aim to be carbon neutral by 2030 and to assist Worthing to decarbonise by 2045. Further detail is set out in Section VI.3.

Worthing Borough Council (WBC) is seeking expressions of interest and proposals from suitable economic operators for its project to finance, design, build, operate and maintain a heat network in Worthing (Project). The project will provide heat to approximately 22 existing buildings in Worthing town centre, including both Worthing Hospital (and satellite buildings) and Splashpoint Leisure Centre and a further five large development sites currently in planning and to assist WBC to meet its declared aim to be carbon neutral by 2030 and to assist Worthing to decarbonise by 2045.

Following WBC's successful application for HNIP funding, WBC will be using a corporate concession model to deliver the Project with a concessionaire appointed to deliver (either directly or through its supply chain) all of the assets and infrastructure comprising the network, using a ring-fenced special purpose company. That company will have the right to operate, maintain and further develop the network in perpetuity, subject to complying with the project documents.

For the estimated value of the contract referred to in Section II.1.5 and II.2.6, it is mandatory to insert one figure rather than a range. The figure inserted is the upper end of the estimated value of the contract, which is £50m - £250m. This estimate is based on a number of factors. The first is WBC's initial assessment of estimated minimum revenue over a 40 year period based on the reference solution which was calculated for the purposes of the HNIP application and taking into account the operational life of the relevant infrastructure. The second is WBC's estimate of potential value of the Project to a tenderer based on the concession structure with the right to operate the concession potentially lasting for an indefinite period and the ability for bidder to develop their own proposals to expand the network in the future and operate it successfully.

Applications to participate in this procurement process should be made by submission of a completed Selection Questionnaire by the deadline set out in section IV.2.2. in accordance with the instructions in the document and the associated Selection Questionnaire Instructions to Bidders.

Further detail on the background and structure of the Project is set out in the procurement documents and in Section VI.3 Additional information: To respond to this opportunity please click here: https://www.delta-esourcing.com/respond/6FTGN2722T