Public procurement notice: Contract Award Notice
Published: 2019-09-06
Buyer: Aberdeen City Council
Country: UK
Contract type: Services
Procedure: Competitive dialogue
CPV classification: 09300000 | 09323000 | 42320000 | 45200000: Building and civil engineering work | 45210000: Building construction work
Estimated value: 353920000 GBP
Award criteria: The most economic tender

Technical requirements: Aberdeen City Council, Aberdeenshire Council and Moray Council (together hereinafter referred to as the ‘Partner Councils’) have procured residual waste management services to receive and treat residual municipal waste, managed on behalf of the Partner Councils. The Partner Councils are funding the capital investment required.
The Partner Councils sought to procure residual waste management services to receive and treat residual municipal waste, managed by or on behalf of the Partner Councils.
It is estimated that the Partner Councils will require treatment and disposal services for approximately 150 000 tonnes per annum of residual municipal waste. The contractor is to accept contract waste at a facility to be designed, built and operated on a site, owned by the Partner Councils at East Tullos industrial Estate, Aberdeen (the ‘Site’). Planning permission to build an EFW Facility on the Site was granted by Aberdeen City Council on 10.10.2016. Link to the planning permission:
https://publicaccess.aberdeencity.gov.uk/online-applications/applicationDetails.do?activeTab=documents&keyVal=ZZZY9GBZSK952
The contractor is required to accept and treat all contract waste from the commencement of the service period of circa 20 years which will be preceded by a construction period of up to 3 years. Under the project agreement entered into by Aberdeen City Council, as Lead Authority and the contractor, contract waste may also include residual municipal waste from other local authorities established under the Local Government (Scotland) Act 1994 and any successor bodies (‘Associated Council’).
The contract is based on the latest HM Treasury and DEFRA/WIDP guidance for waste projects, other relevant guidance issued by the Scottish Government and/or the Scottish Futures Trust, with relevant amendments to reflect project specific requirements and the Partner Councils funding of construction costs.
— to the extent necessary to deliver the contractor's technical solution, the design, construction, commissioning, licensing, permitting, operation and maintenance of residual municipal waste reception and treatment facility(ies) for the processing of residual municipal waste to produce energy, to meet the targets and the requirements of the Partner Councils via a design, build, and operate approach,
— the working capital costs required for the project, recognising that the Partner Councils will fund the construction costs through milestone payments during the construction period.
The Partner Councils may also require the contractor to manage additional residual municipal waste, by separate arrangement, over and above the 150 000 tpa where the Council's forecast tonnage is exceeded.
The design and build of the Facility has been sub-contracted to the Contractor's Construction Sub-Contractor and the operation and maintenance of the Facility has been sub-contracted to the Contractor's O&M Contractor. The Contractor retains overall liability under the Contract.
Please note the total value at V.2.4) is based on a number of variables including estimates of waste arising tonnages up to 2042 across the 3 authorities and indexation.
EFW Ness Ltd is a special purpose vehicle formed by Acciona Industrial SA for the purposes of entering into the contract with the contracting authority.
As set out in Regulation 31 of the Public Contracts (Scotland) Regulations 2015, the procurement was conducted in successive stages in order to reduce the number of solutions to be discussed during the dialogue stage. An Invitation to Submit Detailed Solutions (ISDS) preceded the Invitation to Submit Final Tenders (ISFT).
Information set out at II.2.5) and V.2.2) reflects tenderers received at the ISFT stage. Weightings at ISDS stage where the number of economic operators were reduced were published in the procurement documentation and were as follows:
A number of community benefits will be derived from this procurement in accordance with the requirements set out in the procurement documents, including the recruitment of apprentices, provision of work placements, site visits, lectures and workshops. In addition, the contractor is committed to supporting equality and seeking living wage employer accreditation.


Winner: EFW Ness Ltd
Award value: 353920000
Number of bids: 2