Renewable electricity procurement – seeking a corporate power purchase agreement (PPA)
key details
| Value | £35,000,000 (£42,000,000 inc. VAT) |
|---|---|
| Status | planning |
| Category (CPV) | 45251160 +3 more |
| OCID | ocds-h6vhtk-056505 |
description
National Highways (NH) is investigating the potential use of Power Purchase Agreements (PPAs), including potentially corporate PPAs and onsite PPAs, and is looking to potentially partner with a renewable electricity developer (or developers) to support its clean energy goals and reduce price volatility risk across its energy portfolio.
National Highways is looking to engage with interested developers as part of pre-market engagement who can meet the following:
| • | Corporate (offsite sleeved) PPAs of either virtual or physical type, that would be operational by the end of 2028 |
| • | Power generation to meet demand of up to approximately 35GWh annually |
| • | Competitive energy prices for a duration of 10 to 15 years |
| • | Additionality through the deployment of new renewable electricity generation capacity |
In addition, National Highways is also looking to engage with interested onsite renewables developers in the same pre-market engagement discussions who can meet the following:
| • | Development, build, financing, operation and maintenance of renewable generation on one or more NH-owned sites, likely to be ground mount solar, although technology not confirmed at this stage. Potential sites may include both sites suitable for a direct connection to NH demand centres, and other sites that could be developed as standalone renewables sites. |
| • | Power generation of a scale of approximately up to 20GWh annually, assuming full use of land (indicative view only, to be refined) |
| • | Flexibility to adopt either a PPA structure or structure with capex contribution (from NH) for the developed sites |
| • | Competitive energy prices for a duration of up to ~25 years |
| • | Additionality through the deployment of new renewable electricity generation capacity |
Interested developers may have capabilities in one or both of the categories above (Corporate PPAs and/or onsite PPAs/renewable development)
National Highways is looking to engage with the market to understand capacity, capability and appetite for our requirement, and to further shape our procurement strategy with market feedback. The relevant contract value may therefore vary depending on the final approach taken (current indicative estimate is based on a full term CPPA). This notice does not constitute the commencement of a formal competitive procurement.
notice history
1 notice published against this procurement.
| Published | Type | Regime | Notice |
|---|---|---|---|
| 24 Jul 2025 | Preliminary market engagement (UK2) | Procurement Act 2023 | 042566-2025 |
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source
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