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Relocation of External Gas Services - Final Board Report

Renfrewshire Council · 17 November 2022
Back to Finance, Resources and Customer Services Policy Board — 17 November 2022 and its agenda

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___________________________________________________________________
To: Finance, Resources and Customer Services Policy Board 
On: 17th November 2022 
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Report by: The Chief Executive and the Director of Communities & Housing 
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Heading: Contract Award: Relocation of External Gas Services, (RC-CPU-22-
022)
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1. Summary 
1.1 The purpose of this report is to seek the approval of the Finance,
Resources and Customer Services Policy Board to award a Works
Contract for Relocation of External Gas Services , (RC-CPU-22-022) to
Scotland Gas Networks PLC (SGN).   
1.2 The recommendation to award the Contract follows a procurement
process conducted in accordance with the Council’s Standing Orders
Relating to Contracts 1 January 2022 for a below Regulated (Works)
contract using the Negotiated Procedure. 
1.3 A Request to Negotiate (RTN) was approved by the Strategic
Commercial and Procurement Manager on the 13th May 2022.  A
Contract Strategy was approved by the Strategic Commercial and
Procurement Manager and Head of Housing Services on 7th September
2022. 
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2. Recommendations

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2.1 It is recommended that the Finance, Resources and Customer Service
Policy Board: 
(a) Authorise the Head of Corporate Governance to award a
Contract for the Relocation of External Gas Services, (RC-CPU-
22-022) to Scotland Gas Networks PLC;  
(b) Authorise the maximum contract value of up to £1.5 million,
excluding VAT; for all Orders made under this Contract;
(c ) Note the Contract is for 3 years commencing on 12th  December
2022.  
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3. Background
3.1 Renfrewshire Council’s ongoing energy efficiency programmes involves
installing External Wall Insulation to increase energy efficiency on
Council and privately owned housing stock within mixed tenure blocks. 
3.2 The gas services that are currently connected externally to the outer
envelope of the building are required to be removed and refitted, as
instructed by Renfrewshire Council, to allow all insulation boards and
other relevant materials to be fitted.  This contract is for the removal
and refitting of gas services and will ensure complete coverage of wall
insulation, maximising energy efficiency.  
3.3  Renfrewshire Council require SGN to survey and provide a proposed
location drawing and quotation for the gas supplies for each individual
property.  The gas alteration work will include alteration of the supplies,
up to, and including, the existing gas meter, and a reconnection to the
existing pipework on the domestic side of the gas meter, to ensure gas
supplies for residents are uninterrupted.   
3.4 SGN own and maintain the infrastructure up to the gas meter within
every property; therefore, the work to this infrastructure is only allowed
to be carried out by them.  
3.5 The Head of Policy and Commissioning (HOPAC) agreed to the
procurement of a negotiated contract without competition made in
accordance with the Council’s Standing Orders Relating to Contracts
order 14 (Negotiated Procedure without Prior Publication of a Notice). 
3.6 The Contract will be based on a Works Agreement Document between
Renfrewshire Council and SGN with SGN’s Terms and Conditions.

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The tender was issued to SGN via email on 8th September 2022 with a
tender closing date of 5pm, Friday 30th September 2022.
3.7 Community Benefits were requested as part of the procurement
process and SGN confirmed that the following Community Benefits
would be made available to the Council for this Contract: 
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Implications of the Report
1. Financial – The cost of this work will be met by the Housing Revenue
Account (HRA) Capital Programme budget. 
2. HR & Organisational Development – No TUPE implications.   
3. Community/Council Planning – Not Applicable 
4. Legal – The Procurement of this Contract was conducted as a below
Regulated (Works) negotiated procurement procedure in accordance
with the Council’s Standing Orders Relating to Contracts 1 January
2022.  As part of this negotiated Contract the Council has agreed to
use SGN Terms and Conditions for an Alteration to the Gas Service
Pipe to Domestic Properties effective from 20 July 2018 for this
Contract. 
5. Property/Assets – This contract will support the PAS2035 Retrofit
Works Contract on the exterior envelope of the property to ensure the
properties have continuous wall insulation which will improve energy
efficiency and reduce the risk of damp/mould in the future.   
6. Information Technology - No Information Technology implications
have arisen or are anticipated.  
7. Equality & Human Rights -  The Recommendations contained within
this report have been assessed in relation to their impact on equalities
and human rights. No negative impacts on equality groups or potential
for infringement of individuals’ human rights have been identified
arising from the recommendations contained in the report because for
example it is for noting only.   If required following implementation, the
Community Benefit Description  No of
People /
Activity
Industry Awareness Event  9

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actual impact of the recommendations and the mitigating actions will be
reviewed and monitored, and the results of the assessment will be
published on the Council’s website. 
8. Health & Safety – SGN health and safety credentials were evaluated
by Corporate Health & Safety and met the Council’s minimum
requirements regarding Health & Safety.  
9. Procurement - The Procurement procedures outlined within this report
ensures that the Council meets its statutory requirements in respect of
procurement procedures, efficiency, and modern Government.  
10. Risk – Scotland Gas Network PLC insurances have been assessed
and evaluated to confirm that they meet the minimum requirements
regarding insurance risk.  
11. Privacy Impact - Scotland Gas Network PLC have completed a Data
Processor Agreement as part of this contract.    
12. Cosla Policy Position - No COSLA Policy Position implications have
arisen or are anticipated.  
13. Climate Risk – The level of impact associated with provision of these
works have been assessed using the Scottish Government
Sustainability Test and is considered Low Risk.    
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List of Background Papers 
(a)  None   
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Author:           Kevin Milliken, Procurement Advisor, Corporate Procurement Unit,
kevin.milliken@renfrewshire.gov.uk