Content

Salford City Council – Record of
Decision
 
 
I Paul Dennett, City Mayor, accept the recommendation of
the Procurement Board and in exercise of the
powers contained within the Council Constitution, do hereby
approve:
 
·     
the award of a 36-month contract for the supply of
natural gas to SEFE Energy Limited,as detailed in the table
below:
 
 

Detail required

Answers

Title/Description of Contracted
Service/Supply/Project

Contract
for the supply of natural gas

Name of Successful
Contractor

SEFE Energy
Ltd

Supplier Registration Number

(to be supplied by Corporate
Procurement)

3904624

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 (£)

£5,503,320 full project

Contract Duration

36 months

Contract Start Date

01/07/2025

Contract End Date

30/06/2028

Optional Extension Period 1

0 months

Optional Extension Period 2

0 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)

Manchester Framework

Framework Details (where
applicable)

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

TC973 – Supply of Gas

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 gas renewal supply contract via a fully
compliant Manchester Framework, prices were obtained from the
direct award supplier, SEFE Energy Ltd for 12, 24 and 36-month
contract durations. The 36-month contract will result in a cost of
£1,834,440 per annum. This amounts to a reduction in annual
costs of £502,720 (27.4%).
 
Options considered and
rejected were: a 12-month contract
duration which would have seen a reduction of 25.3%, and 24-month
contract duration which would have seen a reduction of
26.2%.
 
The 36-month contract therefore
provides budget certainty for the next 3-years, thereby easing
budget pressures and offering protection from short term price
fluctuations arising from any geopolitical events.
 
Assessment of Risk: Low.
 
The source of funding
is: General fund revenue budget
and school budgets.
 
Legal Advice obtained: 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 6076987
 
·     
The appropriate Scrutiny Committee to call-in the
decision is the Growth and Prosperity Panel and overview Scrutiny
Panel.
 
 

Signed:    
Paul Dennett                
Dated:    9 June
2025.
           
      City
Mayor
 

FOR DEMOCRATIC SERVICES USE
ONLY
 
*          
This decision was published on 9
June 2025
*          
This decision will come in force at 4.00 p.m. on 16 June 2025
unless it is called-in in
accordance with the Decision Making Process Rules.