Contract Award Report for the Short Term Provision of Bunkered Diesel

September 18, 2024 Director of Environment and Sustainability (Officer) Approved View on council website

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Summary

...to award a 5-month contract for the supply of bunkered diesel to New Era Fuels for £172,500, ensuring continued fuel provision while the council transitions to a greener fleet and awaits the Crown Commercial Service's new framework.

Full council record
Purpose

This report sets out a proposed
approach for the continued provision of Bunkered Diesel fuel.
Officers propose to undertake a Direct Award procurement process
through the Eastern Shires Purchasing Organisation (ESPO) Liquid
Fuels Lot 26 Framework 301_22 for the Direct Award a duration of 5
months starting on 4th October 2024.
 
Upon completion of this
short-term direct award, we intend to participate in the first
mini-competition under the new Crown Commercial Service (CCS)
National Fuels 3 Framework which will be live in the beginning of
October 2024 but the first mini-competition will be in January
2025. Therefore the interim arrangement with ESPO will provide us
with the necessary services without any interruption during the 5
month period.
 
In light of Camden’s green
initiative, the Council is in the process of moving towards a more
environmentally sustainable vehicle fleet. However, at this time,
the Council is still heavily reliant on diesel, as the majority of
our fleet are diesel powered Euro 6 compliant 
vehicles. These vehicles serve the residents of Camden in a diverse
range of ways, from the provision of buses for our SEN school
transport services & adult social care services, to our wardens
and enforcement officers, and most intrinsically, to our
outstanding residential property maintenance department. Bunkered
diesel held within York Way Depot (YWD) enables the council to
source diesel at a cheaper price than would be available on the
open market (forecourts, fuel cards etc).
There are a limited number of
OJEU compliant existing Framework Agreements available to access
and given the limited buying power of the Council if we were to run
our own Procurement process, this process was deemed most
appropriate.
 
The procurement process will
result in the contract for the supply of Bunkered Diesel for 5
months, starting on 4 October 2024 with no option to extend at an
estimated maximum total value, including extensions,
£172,500. Upon the completion of this contract, Officers are
planning to participate in the first collaborative mini competition
through the CCS National Fuels 3 Framework Agreement in January
2025, for a new 4 year contract.
 
This report is being presented to the Director of
Environment and Sustainability for approval in line with Contract
Standing Orders.
 
 

Content

THAT the Director of Environment and Sustainability
agrees the award of the contract to New Era Fuels for
a period of 5 months for the sum of £172,500 in
total. 
 
 

Supporting Documents

Contract Award Report for the Short-Term Provision of Bunkered Diesel.pdf

Details

OutcomeRecommendations Approved
Decision date18 Sep 2024