Content

Salford City Council – Record of
Decision
 
I Paul Dennett, City Mayor, in exercise of the powers contained within the
Council Constitution do hereby
approve:
 
·     
the award of a 12-month Contract for over 100kW
electricity supply,as detailed in the table below:
 

Detail required

Answers

Title/Description of Contracted
Service/Supply/Project

Over 100kW
electricity supply contract

Name of Successful
Contractor

Drax Energy
Solutions Ltd

Supplier Registration Number

(to be supplied by Corporate
Procurement)

05893966

Type of organisation

(to be supplied by Corporate
Procurement)

Public Limited Company

Status of Organisation

(to be supplied by Corporate
Procurement)

Non-SME

Contract Value (£)

£4,676,038 Per annum (estimated
average)

Contract Duration

12 months

Contract Start Date

01/10/2023

Contract End Date

30/09/2024

Optional Extension Period 1

12 months

Optional Extension Period 2

months

Who will approve each Extension
Period?

Procurement Board (extension >
£150k)

Contact Officer (Name &
number)

Majid Maqbool

Lead Service Group

Place

How the contract
was procured?

(to be supplied by
procurement)

Framework

Framework Details (where
applicable)

(procurement body, framework reference
& title, start/ end date

TC970 – Supply of electricity and electricity
related services

Funding Source

Revenue Budget

Ethical Contractor (EC): Mayor’s
Employment Charter

 

EC: Committed to sign Charter

 

EC: Accredited Living Wage
Employer

 
The Reasons are:
Following the procurement of
over 100kW electricity contract via a fully compliant Manchester
Framework, prices were obtained from the direct award supplier,
Drax Energy Solutions for both 12 and 24-month contract durations.
The 12-month contract provides best value and will result in a
total cost of £4,676,038. This amounts to a reduction in
costs of £3,413,199 (42.2%) for the term of the
contract.
 
Options considered and rejected
were:
a 24-month contract which would have limited the cost reductions to
39%. The 12-month contract therefore provides best value and an
overall cost reduction that will help in easing budget pressures
over the course of the next year.
 
Assessment of Risk: Low.
 
The source of funding
is:
Revenue budgets and schools’ budgets.
 
Legal Advice obtained from: Tony Hatton, Principal
Solicitor.
 
Financial Advice
obtained from: Grace
Rogerson, Senior Accountant.
 
Procurement Advice obtained
from: Heather Stanton, Category Manager.
 
HR Advice obtained:
N/A
 
Climate Change Implications
obtained from: Majid Maqbool, Energy Manager.
 
Contact Officer: Majid Maqbool
Telephone number: 0161 607 6987
 
The appropriate Scrutiny
Committee to call-in the decision is the Growth and Prosperity
Panel and overview Scrutiny Panel.
 
 

Signed:          
Dated:  13th September 2023
           
       
City Mayor
 

FOR DEMOCRATIC SERVICES USE
ONLY
 
*          
This decision was published on 13th September
2023
*          
This decision will come in force at 4.00 p.m. on 20th
September 2023 unless it is called-in in accordance with the
Decision-Making Process Rules.