in relation to undertaking the design of the renewable energy deployment in the Smart Energy Islands Project
DATE OF ISSUE: 27.04.2017
Contents
1. Introduction 2
2. Project background 2
3. Services 5
4. Assessment of tender responses (qualification process, evaluation criteria and award process) 11
5. Timetable 19
6. Clarifications 20
7. Submission of tender responses 20
8. Reservation of Rights 22
9. Contract Award 23
10. Conduct, conflicts of interest and disqualification 23
11. Confidentiality 25
12. General 26
1. Introduction
Hitachi Europe Limited’s Smart Cities Energy Group (“Hitachi Europe”) has secured European Regional Development Fund (ERDF) funding to deliver the Smart Energy Islands (“SEI”) project on the Isles of Scilly, which is within the Cornwall and Isles of Scilly EU funding region. More specifically:
‘The Smart Energy Islands project will provide the Information and Communication Technologies (ICT) enabling infrastructure to better balance the supply and demand of electricity on the Islands. This will enable a replicable model for increased penetration of renewables, control of energy uses, increasing resilience and efficiency, and reduced energy costs. Supporting the Islands’ objectives of 40% renewable energy and 40% reduction in energy bills.’
The ERDF is part of the European Structural Investment Funds (ESIF).
This ITT is issued by Hitachi Europe and is made available to all potential respondents that are interested in tendering for the opportunity to provide Project Manager, Principal Designer and Quantity Surveyor services (“Services”), which are more fully described in Section 3.
This ITT is made up of the following content:
· The main body of this document;
· The Standard Selection Questionnaire issued alongside this document; and
· The expression of interest form (“EOI”) issued alongside this document
· The conflicts of interest statement issued alongside this document
Hitachi Europe thanks all the respondents for their consideration and looks forward to receiving their ITT response.
2. Project background
Hitachi Europe has been working with the Smart Islands Partnership (an unincorporated partnership of key stakeholders on the Isles of Scilly) to develop a programme of projects under a ‘Smart Islands’ banner that aim to deliver the following objectives:
• 20% reduction in domestic energy bills by 2020 and 40% by 2025
• 40% renewable energy production by 2025;
• 40% use of electric vehicles by 2025;
• Internships, cultural exchanges and skill delivery
The SEI project itself is divided into six activities as follows:
Activity 1 – IoT Platform design and implementation.
Central IoT Platform to enable the ongoing deployment of energy infrastructure by balancing of local energy generation and consumption.
Activity 2 – Renewable Energy Deployment
Solar Photovoltaics and Home Energy Management Systems devices deployed on 100 social houses, with 10 being Smart Homes with a mixture of heating systems, e.g. Air Source Heat Pumps and batteries.
Activity 3 – Home Energy Management Systems design and implementation
IoT solution to control and optimise the technologies deployed in Activity 2 and integrated into the island wide Energy Resource Management Platform that will be developed in Activity 1.
Activity 4 – Electric Vehicle Energy Management System design and implementation
IoT solution to optimise the use of electric vehicles for local energy balancing.
Activity 5 – User experience design and implementation
Develop design guidelines to ensure a smooth customer journey and consistent customer experience for developments in other activities.
Activity 6 – Commercial Model & Business Support
Develop the local energy market models and lead business support and community engagement.
Together, these activities will deliver the principle objective of this project; to design, deploy and test an innovative solution to demonstrate a replicable model for how a discrete locality can rapidly decarbonise. To achieve this, the project will:
· Unlock the current commercial and technical constraints on the Islands, which are stopping the islands from realising their low carbon objectives
o Delivering 448kW of renewable energy and CO2e savings
· Maximise economic benefits by ensuring local businesses are supported to actively engage with the innovative opportunities to both develop new products and services and directly benefit from the Smart ICT infrastructure.
o Supporting 200 businesses on the Isles of Scilly and in Cornwall
· Improve social outcomes for the community by providing the infrastructure to reduce fuel poverty through enabling a local energy market and raising aspirations, by working with the Five Islands School to engage with the SEI project and wider Smart Islands Programme.
o Improve the energy efficiency of 100 social housing tenants on the islands
The SEI project and its outcomes are summarised in the diagram below.
ESIF Priority Axis 4 (PA4) / 2017 / 2018 / 2019 / TotalER/C/O/01 / Number of enterprises receiving support / 20 / 90 / 90 / 200
ER/C/O/05 / Number of new enterprises supported / 0 / 4 / 4 / 8
ER/C/O/30 / Additional capacity of renewable energy production (kW) / 0 / 348 / 100 / 448
ER/C/O/31 / Number of households with improved energy consumption classification / 0 / 100 / 0 / 100
ER/C/O/34 / Estimated annual decrease of GHG (tonnes) / 0 / 0 / 458,408 / 458,408
In addition, the project has committed to delivering the following ESIF outputs.
Hitachi Europe (as the lead applicant) has secured ERDF funding of £8,637,179 (total project value £10,796,475) in response to a call under the priority axis 4 of the Cornwall and Isles of Scilly ESIF Growth Programme to support the delivery of the SEI project. Hitachi Europe’s full ERDF application was approved on the 15th August 2016. The SEI project is a 3 year project which commenced on 1st December 2016.
3. Services
Overview and expected outputs
Hitachi Europe requires Project Management, Principal Design and Quantity Surveyor services as part of the SEI project Activity 2.
A separate tender run simultaneously with this tender will procure the services of a Structural Engineer and Mechanical and Electrical Engineer (i.e. the Design Team) for this activity. Together these tenders will support the design and management of the procurement and deployment of PV, and heating systems, as well as install HEMS supplied by another SEI project partner.
The PM will oversee the management of the Deployment team once established.
The objective of Activity 2 is the direct deployment of RE technologies onto the islands to facilitate initial data collection of generation data to develop local generation profiles and enable early testing and realisation of some of the immediate benefits of core functions of the ICT solution from Activity 1 (VPP) and also Activity 3 (HEMS). Activity 2 will focus on in-home technology roll-out including PV, heating systems, HEMS and batteries. 10 pilot households from within the existing Council for the Isles of Scilly social housing stock will be selected to become ‘Smart Homes’ equipped with different technology packages combining PV, HEMS and a heating system and/or a battery. Properties and technology combinations will be selected based on property characteristics, tenant demographics and where appropriate targeted at the most vulnerable tenants, in conjunction with the council and Hitachi Europe. In addition, a larger sample of social housing (92) will be equipped with HEMS and PV only. It is assumed that the average size of rooftop PV deployed will be 3 kW, though final sizes and combination of technologies will depend on the results of individual property surveys undertaken by the Design Team.
Activity 2 also includes the deployment of two 50 kW PV gardens. A number of locations have already been identified, including the St. Mary’s airport, old school/tennis court, telegraph hill and the desalination plant. Further qualification is required as part of the scope of this work to finalise the selection based on planning permission and connection costs. Activity 2 is expected to be completed within one calendar year of the award of this ITT.
The envisaged deployment configurations have been summarised in the table below.
RE Configuration / PV / HPNo. sites / kW / site / kW Total / No. sites / kW / site / kW Total
HEMS, PV / 90 / 3 / 270
HEMS, PV, Battery / 2 / 3 / 6
HEMS, PV, Heating System / 5 / 3 / 15 / 5 / 6 / 30
HEMS, PV, Heating System, Battery / 3 / 3 / 9 / 3 / 6 / 18
50kW PV garden / 2 / 50 / 100
TOTALS / 102 / 400 / 8 / 48
Housing Stock
The properties which are the subject of these works are diverse in nature and in their forms of construction and condition. Primarily the residential properties are surmounted by dual pitched roofs with a mixture of natural slate, manmade slate and concrete tiles although isolated properties are provided with flat roofs. The Museum Flats for Example, which is provided with built-up felt and mono-pitched roofs, The Strand, which is provided with a mixture of fibreglass and built-up mineral felt. The age of the properties is also quite diverse from Listed Buildings constructed within the early 1900’s through to properties which have been completed within the last fifteen years.
The maintenance and upkeep of these properties have generally been undertaken individually or on selected properties rather than whole roads or estates or on a reactive basis and therefore the condition of the roofs and the associated structures differs greatly from property to property. Also due to the exposed nature of the properties damage can occur more regularly than would normally be expected, especially to roof finishes.
It would therefore be a requirement to assess the viability of installation of PV panels on the individual roofs and a Condition Survey should be undertaken of the roof finishes and within the roof voids to ascertain whether the buildings as they currently stand would take the additional loading caused by the installation of the PV panels, or whether any remedial works would be required in order to repair any defects which are currently evident or to complete maintenance works which would be required within the next ten-year period prior to the roof finishes being covered by these installations. It is expected that this work will be undertaken by the Design Team, but managed and signed-off by the tenderer of this contract.
Scope of work – Project Manager (PM)
The PM will be responsible to the Activity 2 lead and will represent the client side interests through design and construction.
The PM will also be responsible for delivering the scheme against a challenging timeframe driven by the funding package. As project lead the consultant is expected to identify and price for all appropriate services that they consider are required to undertake this work up to RIBA Stage L (Post Completion).
As described earlier, project management, principal design, quantity and cost, and design surveyor services for Activity 2 of the SEI project will be simultaneously tendered, therefore the Design Team will be contracted with at the same time as the PM. The key roles of the PM prior to construction are as follows:
Pre-construction phase
· Managing the design delivery including ensuring that the Design Team considers the costs, logistics and “buildability” of the proposals being developed with regard to the complexities of delivering projects on the Isles of Scilly
· Lead project coordination and progress meetings including the provision of PM’s update to the Activity 2 lead
· Attend Design Team meetings where appropriate
· Manage Design Team activities in consultation with the Principal Designer
· Manage application of statutory consents including, where required planning permissions, building regulations approvals and statutory services.
· Manage the impacts of utility disconnections etc
· Manage fee payments
· Implement a quality management process for the project
· Lead on dispute resolution
· Co-ordinate activities between all involved parties e.g. access to properties
· Finalise site configurations
· Establish control and monitoring systems
· Identify and explore opportunities for value engineering
· Identify, register, monitor and manage risks
· Manage any change and variation control processes
· Ensure cost plans are updated at appropriate intervals and are reported to the Activity 2 lead
· Advise on any other appointments required for the delivery of the project e.g. environment, ecology or asbestos consultants.
Construction phase
Hitachi Europe does not require the project to seek a recognised accreditation such as BREEAM and CEEQUAL. However, the development does need to be of a good quality with the use of materials appropriate to the islands. The project manager will be responsible for working with Hitachi Europe to ensure ‘buildability’ and that any installed technologies respect aesthetic considerations especially important in an Island context.
At this stage the Project Manager will be responsible for and not limited to the following non-exhaustive list of activities:
· Preparation and exchange of contractual documentation with the Principal Contractors/Contractors representative(s)
· Agree phasing plan with the main contractor, Activity 2 lead and stakeholders
· Handover of the site(s)
· Review of contractors construction schedule and method statements
· Ensure all procedures are being followed
· Ensure appropriate communication with all stakeholders, including reviewing of progress with client and contractors
· Organising and documenting site meetings
· Monitoring with the QS the construction cashflow
· Reviewing progress and performance with the contractor
· Ensure all documentation is kept up to date and reviewed
· Ensure client meets contractual obligations
· Managing changes and value engineering
· Ensure all legal documentation is in place
· Review construction risks and oversee contractor CDM Compliance
· Monitor and resolve problems
· Monitor legal liability
Post construction phase
The PM will be expected to ensure the following are dealt with after the project is complete:
· Inspect works and ensure certificate of practical completion is issued with a list of outstanding snagging and exclusions