Find a TenderAwardedContract award notice
Published 14 May 2025, 08:42 BST

Official UK procurement notice

Leeds City Centre Heat Network

Official notice

Authority: Leeds City Council (Local council)·On behalf of: OVE ARUP & PARTNERS LIMITED

WorksCompetitive flexible procedureAbove thresholdConcessionSME suitable
Concession value (operator's revenue)£3,405,000,000operator revenue, not the authority's budget · 1 value update
Submissions closed 17 Oct 2025awarded 18 Feb 2026
Award (standstill) to Pinnacle Power Limited
Contract term 50 yrsends 29 Feb 2076 · starts 1 Mar 2026

What is being bought

Published requirement description

Leeds City Council ("LCC") is seeking via this Procurement to appoint a Development & Funding Partner to develop the Leeds City Centre Heat Network ("the Network") under a Development Agreement ("DA"). The Network will be a large-scale, low carbon heat network serving the Leeds AZP Area ("the Project").

The Development & Funding Partner will enter into the DA with LCC to undertake development activities during the Development Period. The DA is based on the template "Golden Share Development Agreement" developed by DESNZ for the Advanced Zoning Programme ("AZP") and regulates the design and development of the Network up until the point at which the Project is approved, not approved or is deemed to be unviable at the Approvals Gateway.

If the Project successfully meets the Mandatory Requirements ("MRs") set out in the DA, the Development & Funding Partner has met its relevant obligations under the DA and LCC elects to approve the Project, LCC and the Development & Funding Partner will be required to enter into a Joint Venture Partnership via a Shareholders' Agreement ("SHA").

The SHA is based on the template "Golden Share Shareholders' Agreement" developed by DESNZ for the Advanced Zoning Programme and will govern the management of the Special Purpose Vehicle ("SPV") and impose obligations on delivery and operation of the Network.

The Development & Funding Partner will be responsible for further development activities, funding and delivering the Project under the SHA, as the Development & Funding Partner. LCC will hold a Golden Share under the SHA.

LCC (in its own right and via its wholly owned subsidiary) is the owner and operator of the Leeds PIPES heat network ("Leeds PIPES"). LCC may elect to offer to transfer Leeds PIPES to the SPV on a cash or equity basis after execution of the SHA and in accordance with the terms of the SHA. The following known risk has been identified as part of this procurement:

  1. Future introduction of the Heat Network Zoning regulations and the appointment of the Zone Coordinator.
  • How the procedure runs: This Competitive Flexible Procedure will be conducted in five (5) stages. a. Stage 1: Conditions of Participation - issuing this Tender notice and a Procurement Specific Questionnaire, which includes the Conditions of Participation. b. Stage 2: Interim Tender Response Phase - suppliers who have been successfully shortlisted at Stage 1 will be invited to submit an Interim Tender Response. This will be limited to a legal response on the Contract Documents. c. Stage 3: Dialogue Meetings - Following receipt of the Interim Tender Responses, dialogue meeting(s) will be held with each Supplier to discuss their responses in Stage 2. d. Stage 4: Invitation to Submit a Final Tender Response - Stage 4 will commence with LCC providing any documents which have been updated following Stage 3, and inviting suppliers to respond to the Technical, Commercial and Social Value questions. e. Stage 5: Preferred Supplier Stage - LCC will provide an assessment summary to all Suppliers that submitted Final Tender Responses. LCC will clarify commitments with the Supplier who LCC considers has the Most Advantageous Tender in order to finalise the Contractual Documentation. During this stage LCC will not negotiate substantive terms post final tender evaluation and award, only using this stage to clarify and confirm commitments made in the tender negotiation. This will ensure a confirmed understanding of how the contract will operate and reducing the risk of issues arising once the contract has been entered into. The conditions of participation used in Stage 1 will include: • Financial Capacity • Insurance • Data Protection • Legal Capacity • Technical Ability (relevant experience and case study examples) • Health and Safety • Requirement under section 73 of the Act • Tackling Modern Slavery in Supply Chains
  • No preliminary market engagement: The preliminary market engagement notice was published.

CPV: District-heating mains construction work · Energy and related services · Heating works · Urban development construction work

The lotProcurement structure

single lot · value published
Lot #1Awarded 50 yrsPublished value£3,405,000,000
Contract period: 1 Mar 2026 – 29 Feb 2076 (50 yrs)Value: £3,405,000,000 exc. VAT · £4,086,000,000 inc. VAT

What it takes to win
i

How this buyer will score bids.

The evaluation criteria and weights exactly as published on the notice, grouped by family (price, quality, social value and so on).

Evaluation split and conditions of participation as published; the tender pack may add more
How bids were scored
Quality: 75%Price: 15%Social value: 10%
Published sub-criteria (3)
  • Technical: 75%
  • Commercial: 15%
  • Social Value: 10%
Published award criteria (3)
  • Technical: Technical quality questions
  • Commercial
  • Social Value: Social Value question and targets
What this means for your bid
  • Price carries 15 of 100 points: a 10% discount moves about 1.5 points. The method statement decides this lot, not the discount.

Price arithmetic assumes straight proportional scoring; the tender pack may use another formula.

Procedure terms & legal framework

From the official record
Procedure method
Competitive flexible procedure
Legal basis
UKPGA · 2023/54 Procurement Act 2023
Procurement category
Works
Notice status
Awarded
Procurement threshold
Above threshold (FTS publication)
Regulatory regime
Concession
Commercial structure
Stand-alone contract (no framework)
Competition type
Competitive procedure
GPA / WTO covered
Unspecified in notice
Recurring procurement
Unspecified in notice
First published
14 May 2025, 08:42 BST
Last source update
18 Feb 2026, 15:58 GMT
Award evaluation window
Submission end – 13 Feb 2026
Authority reference
99236
FTS notice number
2025/S 000-037937
Latest notice
Contract award notice (UK6)
Classification (CPV)
District-heating mains construction workEnergy and related servicesHeating worksUrban development construction work
Delivery area
Yorkshire & Humber (UKE42)
Official registry OCID
ocds-h6vhtk-05128c Find a Tender
How it runs

This Competitive Flexible Procedure will be conducted in five (5) stages.

a. Stage 1: Conditions of Participation - issuing this Tender notice and a Procurement Specific Questionnaire, which includes the Conditions of Participation.

b. Stage 2: Interim Tender Response Phase - suppliers who have been successfully shortlisted at Stage 1 will be invited to submit an Interim Tender Response. This will be limited to a legal response on the Contract Documents.

c. Stage 3: Dialogue Meetings - Following receipt of the Interim Tender Responses, dialogue meeting(s) will be held with each Supplier to discuss their responses in Stage 2.

d. Stage 4: Invitation to Submit a Final Tender Response - Stage 4 will commence with LCC providing any documents which have been updated following Stage 3, and inviting suppliers to respond to the Technical, Commercial and Social Value questions.

e. Stage 5: Preferred Supplier Stage - LCC will provide an assessment summary to all Suppliers that submitted Final Tender Responses. LCC will clarify commitments with the Supplier who LCC considers has the Most Advantageous Tender in order to finalise the Contractual Documentation. During this stage LCC will not negotiate substantive terms post final tender evaluation and award, only using this stage to clarify and confirm commitments made in the tender negotiation. This will ensure a confirmed understanding of how the contract will operate and reducing the risk of issues arising once the contract has been entered into.

The conditions of participation used in Stage 1 will include:

  • Financial Capacity
  • Insurance
  • Data Protection
  • Legal Capacity
  • Technical Ability (relevant experience and case study examples)
  • Health and Safety
  • Requirement under section 73 of the Act
  • Tackling Modern Slavery in Supply Chains

How it was run

Official notice
Run through: EU-Supply (CTM) · Who buys & how to bid on EU-Supply
Public notice page · account needed to bidElectronic submission allowedLanguage: EN
Access & registration note: Free · 5–10 minutes
Submission deadline
17 Oct 2025, 12:00 BST
Clarification deadline
29 Jul 2025, 12:00 BST
Submission channel
Official e-sourcing portal
Electronic submission
Allowed
Accepted languages
en
Detailed submission instructions & authority contactsFrom official release

Bids must be submitted to the website yortender.eu-supply.com/login.asp ↗ using the contract refence number 99236, as outlined in the tender documentation.

The indicative procurement dates for this opportunity are:

29/07/2025 - Deadline for clarification questions submitted (Enquiry Deadline)

22/08/2025 - Deadline for receipt of PSQ Response (Tender Submission Deadline)

17/10/2025 - Deadline for receipt of Interim Tender Responses

19/12/2025 - Deadline for receipt of Final Tender Responses

13/03/2025 - Assessment summaries & Contract Award Notice issued

03/04/2025 - Contract signature (Contract Start Date)

Timeline

14 May 2025 → 1 Mar 2026 · 10 dates
  1. Planning notice published
    14 May 2025, 08:42 BST
  2. Next notice expected
    16 Jun 2025, 23:59 BST
  3. Tender notice published
    7 Jul 2025, 15:40 BST
  4. Clarification questions by
    29 Jul 2025, 12:00 BST
  5. Submission deadline375 days ago
    17 Oct 2025, 12:00 BST
  6. Award decision expected by255 days ago
    13 Feb 2026, 23:59 GMT
  7. Assessment summaries sent251 days ago
    18 Feb 2026
  8. Latest notice published251 days ago
    18 Feb 2026, 15:58 GMT
  9. Standstill ends241 days ago
    27 Feb 2026, 23:59 GMT
  10. Contract starts240 days ago
    1 Mar 2026

Notice history

9 events · 3 releases on Find a Tender · since 14 May 2025
  1. Pipeline notice published
    14 May 2025, 08:42 BST
    UK1
  2. Tender notice published
    7 Jul 2025, 15:40 BST
    UK4
  3. Published value updated to £3,405,000,000
    7 Jul 2025, 15:40 BST
    was £2,955,000,000
  4. Status changed to active
    7 Jul 2025, 15:40 BST
  5. Procurement method changed
    7 Jul 2025, 15:40 BST
  6. Deadline published: 17 Oct 2025, 12:00 BST
    7 Jul 2025, 15:40 BST
  7. Contract award notice published
    18 Feb 2026, 15:58 GMT
    UK6
  8. Status changed to complete
    18 Feb 2026, 15:58 GMT
  9. Contract signature expected
    20 Mar 2026, 23:59 GMT
    scheduled

Commercial outcome & contract awards

Published awards, contracts and bid statistics, not a forecast
Awards 1
Awarded value Not summedvery large published value (£1bn+), not counted until verified; check the notice
Bids received 21 from SMEs
Named bidders 2published on the award notice
Awarded toValueDateStatus
Pinnacle Power Limited27 Mar 2026 – 1 Apr 2076£3,405,000,000very large published value · not counted until verified, check the notice18 Feb 2026standstill to 27 Feb 2026Standstill

Bid statistics published by the authority

BidsSMEVCSEValid bid range
2final-stage tenders10—

Who bid

Bidders as named on the Procurement Act 2023 award notice. “Won” means the bidder holds an award on this notice.

Contracting authority & participating public bodies

5 public bodies on the notice

Leeds City Council

Contracting authorityPublic authority - sub-central government GB-PPON: PJYG-6658-PPMY Civic Hall, Calverley Street, Leeds, Yorkshire & Humber, LS1 1URContact email

Other public bodies

  • ADDLESHAW GODDARD LLPProcuring entityLegal support to the projectGB-COH: OC318149GB-PPON: PRWH-7564-XRYD London, LondonContact email
  • ASTEROS ADVISERS LTDProcuring entityCommercialGB-COH: 11914766GB-PPON: PPZV-1662-HMLH London, LondonContact email
  • HERMETICA BLACK LIMITEDProcuring entityTechnical AdviceGB-COH: 08548008GB-PPON: PNLC-8839-QVPH London, LondonContact email
  • OVE ARUP & PARTNERS LIMITEDProcuring entityProcurement support and adviceGB-COH: 01312453GB-PPON: PZJN-8211-DBBV London, LondonContact email

Bidders & participating suppliers

2 commercial parties on the notice · 1 awarded
  • HEMIKO LIMITEDAwarded supplierGB-COH: 08331646GB-PPON: PVTD-3884-HXGH Castletown Office, Carlisle, North West, CA6 4BNContact email
  • VITAL ENERGI UTILITIES LIMITEDBidder / tendererGB-COH: 04050190GB-PPON: PRNH-3543-YBNX Century House, Blackburn, North West, BB1 2LD

Official documents & specifications (3)

Official links; attachments are not copied

Notices published for this procedure

  • Contract award notice awardContract award noticeUK6Contract award notice on Find a Tender
  • Tender notice tenderTender noticeUK4Tender notice on Find a Tender
  • Pipeline notice planningPipeline noticeUK1Pipeline notice on Find a Tender