Waste Disposal Project Agreement
A Modification Notice
by SURREY COUNTY COUNCIL
- Source
- Find a Tender
- Type
- Contract (Services)
- Duration
- 25 year
- Value
- £993M-£1B
- Sector
- ENVIRONMENT
- Published
- 24 Jan 2024
- Delivery
- To 25 Mar 2049 (est.)
- Deadline
- n/a
Concepts
Location
REIGATE
2 buyers
- Surrey County Council Reigate
1 supplier
Description
The Contract had a term of 25 years, expiring on 19 September 2024 and included the provision of waste treatment facilities and a right to extend the contract term in certain circumstances. The last facility to complete is works relating to an EcoPark at Charlton Lane, Shepperton, Surrey (the "EcoPark"). The EcoPark includes an Anaerobic Digester Facility (the "AD Facility") and an Energy from Waste Facility using gasification technologies (the "Gasifier") (the AD Facility and Gasifier together, the "Facilities").
Ammendments to Previous Notice
2. Contract value
GBP 993,300,000 1,193,300,000
Award Detail
1 | Suez Recycling & Recovery Surrey (Surrey)
|
CPV Codes
- 90500000 - Refuse and waste related services
- 90510000 - Refuse disposal and treatment
Indicators
- Contract modified due to additional needs.
Legal Justification
The Authority has varied the Contract and extended it for a period of five years, with a right for the Authority to break on 1 October 2027 to be exercised at the Authority's sole discretion. The variation and extension of the Contract was completed on the following grounds: • The delay to the completion of the Gasifier reduced the operational phase of the Gasifier under the Contract. The Gasifier became fully operational in 2022 and the Authority has therefore been unable to assess the operational performance of the Gasifier over a significant period of time. Accordingly, the Authority requires additional time in order to determine the Gasifier's long-term commercial viability to enable it to determine its long-term waste disposal options. These are matters which the Authority believes that a diligent contracting authority could not have foreseen. • The operation of the Gasifier and the AD Facility cannot be practically and efficiently separated on the technical grounds, including the interchangeability and interoperability with existing services. Therefore, it is not practical for the Gasifier to be operated by a different contractor than the contractor operating the AD Facility. The soft market engagement carried out by the Authority in 2022 indicated no commercial interest in operating gasification technology at the EcoPark. Additionally, a change of contractor would have caused significant inconvenience and a substantial duplication of cost. • The variation to the Contract was necessary to provide the Authority with greater regulatory/legislative certainty regarding the legal framework governing the waste sector. The variation ensures that the Authority is in a better position to go out to tender with regulatory/legislative certainty as services are disaggregated on a phased basis. In light of the above, the Authority has relied on the following limbs of Regulation 72: • Regulation 72(1)(b); and • Regulation 72(1)(c).
Other Information
The notice number listed in Section IV (Procedure) refers to a contract modification, published on 18 January 2014, with a reference of 2014/S 013-019065. The original contract notice was published on 21 July 1997. The contract number from the awarding contract in June 1999 is 03184332P01v001. Please also refer to Voluntary ex ante transparency notice published on 13 February 2023, reference 2023/S 000-004337.
Reference
- FTS 002378-2024