Scottish and Southern Electricity Networks (SSEN) is running a procurement event to determine a Most Economically Advantageous Tender for the provision of Constraint Managed Zone (CMZ) services.
The Distribution Network Operator for central southern England and the north of Scotland is inviting suppliers to complete a Pre Qualification Questionnaire (PQQ). Suppliers will then be selected for inclusion in a second stage Tender event for the provision of CMZ services.
SSEN is looking to establish a multi-year Preferred Supplier Agreement with a minimum term of four years. This will be subject to renewals of two years, up to a maximum duration of eight years.
A CMZ is a geographic region served by an existing network where security of supply is met through the use of flexibility services, such as Demand Side Response, Energy Storage and stand-by generation.
SSEN is considering CMZs in electrical networks areas that are approaching network capacity. The network in Yeovil has been identified as the first suitable zone for deployment of the CMZ services.
Traditional reinforcement techniques, which would increase overall capacity, can be costly and disruptive. CMZ techniques do not seek to increase capacity but reduce or manage demand to avoid capacity constraints.
After completing a number of successful innovation projects, SSEN is introducing CMZs into its every day network operations, taking the learning it, and other industry players, have gathered for a number of years.
Stewart Reid, Head of Asset Management and Innovation at SSEN, said: "Introducing a CMZ is an innovative step in our continuing journey to provide a safe and secure electricity supply to our customers. It is important to note the introduction of the CMZ in Yeovil is fully commercial in nature and not a demonstration or innovation project. We believe that in many situations, this approach will be more cost effective and better in the long-term than tradition network reinforcement.
"We are looking for CMZ suppliers to provide techniques as a managed service to SSEN. We do not have a technique or technology preference in how the service is provided and we will not restrict CMZ suppliers from participating in any other market.
"We anticipate that a key element of any successful response will be the effectiveness with which the supplier generates other income from the assets to increase the competitiveness of the offered service.
"SSEN acts to ensure the customers we serve now and in the future are protected. CMZ suppliers will be required to demonstrate high customer service standards and compliance with all relevant license conditions. This is especially relevant in the areas of customer engagement and data protection."
For more information, please visit: http://ted.europa.eu/TED/main/HomePage.do where SSEN has published a Contract Notice concerning this procurement event (document number 427793-2016).
If people are interested in participating in the Pre-Qualification process, they should e-mail fn.procurement@sse.com to request information concerning this procurement event and the questionnaire.