Provision of Operating, Maintenance and Mangement Support Services

A Contract Award Notice
by SELLAFIELD LTD

Source
Find a Tender
Type
Contract (Services)
Duration
not specified
Value
£40M
Sector
INDUSTRIAL
Published
31 Aug 2021
Delivery
not specified
Deadline
n/a

Concepts

Location

Fellside Site, adjacent to the Sellafield Site, Cumbria CA20 IPG

Geochart for 1 buyers and 1 suppliers

1 buyer

1 supplier

Description

The services required by this new contract are: • Operation & maintenance of Fellside Steam Generating Units (Fellside Boiler Park and New Steam Generation Plant) • Operation & maintenance of existing CHP (Gas Turbine 1(GT1) & Auxiliary Boiler, Steam Turbine and ancillary equipment) and transition to a care and surveillance programme currently. • Continuation and ongoing care and surveillance programme for Fellside retired CHP assets • Decommissioning, dismantling and removal of retired CHP assets

Total Quantity or Scope

• Operation & maintenance of Fellside Steam Generating Units (Fellside Boiler Park and New Steam Generation Plant) • Operation & maintenance of existing CHP (Gas Turbine 1(GT1) & Auxiliary Boiler, Steam Turbine and ancillary equipment) and transition to a care and surveillance programme currently. • Continuation and ongoing care and surveillance programme for Fellside retired CHP assets • Decommissioning, dismantling and removal of retired CHP assets

Award Detail

1 PX Limited (Stockton on Tees)
  • Provision of Operating, Maintenance and Mangement Support Services
  • Reference: 021435-2021-1-1
  • Value: £39,600,000

Award Criteria

Technical 100
price 0

CPV Codes

  • 65410000 - Operation of a power plant
  • 31124000 - Steam-turbine generator and related apparatus
  • 42112100 - Steam turbines
  • 42113300 - Parts of gas turbines
  • 42162000 - Steam-generating boilers
  • 42164000 - Auxiliary plant for use with boilers
  • 44621200 - Boilers

Other Information

** PREVIEW NOTICE, please check Find a Tender for full details. ** The Combined Heat and Power Plant (CHP) situated at Fellside focusses on the safety critical function of providing steam to Sellafield site. CHP is an ageing fragile facility near the end of its design life. In or around August 2015 Sellafield undertook a review of current and future site steam requirements, concluding that future steam delivery for site operations would be via two Steam Generation Plants (SGP). Work on the construction of the SGP commenced in July 2015 and were due to be operational by 2021. SGP Project suffered delays resulting in the Operational Date for the SGP being revised to March 2023. CHP operations are required by SL until replacement or renewal of these facilities following which CHP will be wound down in preparation for decommissioning and demolition. The strategy from CHP to boiler only operations necessitated an extension of the contractual arrangements with the current CHP ops and maintenance provider until the SGP became operational. Given the delays a new contract with the existing operations and maintenance provider PX Limited has been entered into to safely ensure continued operations of CHP which, given the age of the facility requires ongoing significant care, repair and maintenance. This will include undertaking key activities for plant upgrades to comply with Industrial Emissions Directive (2010/75/EU), and provision of care and maintenance of aged and obsolete equipment. It was intended that PX heavily involved in key transitional activities leading to full operations. It was determined that in the circumstances competition to deliver the services was absent for technical reasons and that, pursuant Regulation 32(2)(b)(II) of the Public Contracts Regulations 2015, Sellafield may award a contract to PX using the negotiated procedure without prior publication of a contract notice in the Find a Tender Service . In particular, based upon assessment of the market ,Sellafield considered that there was no practical alternative to continuing to engage PX to deliver steam and provide care, repair and maintenance services whilst migrating to a new system. Given, in particular, that PX is the only organisation with detailed understanding of CHP and Sellafield’s specific technical and operational requirements necessary to ensure safe and effective provision of services. Engaging a substitute provider during a transitional period would have carried very significant operational risks for Sellafield. Since awarding this contract Sellafield Ltd has had a further change in it steam strategy and has terminated the SGP Project. Sellafield intends to bring to the market the opportunity to operate and maintain the CHP.

Reference

Domains