AWARD OUTCOME
What happened
Cheshire East Council has awarded West Mercia Energy a fully managed gas and electricity supply service. The contract is explicitly recorded as signed on 22 September 2026, starts on 1 April 2027 and has a three-year initial term with up to two further 12-month extensions.
Published outcomeOne active award and one active contract were recorded for West Mercia Energy under lot 1.
Market significanceThe published contract value is £50.5m excluding VAT (£60.6m including VAT) across the maximum possible term. The service combines energy purchasing with billing, metering, portfolio management and customer-support functions for the council, unmetered supply and schools portfolio.
AWARDED SUPPLIERS AND LOTS
1 supplier record analysed
West Mercia Energy
98% confidenceAward 1 · Lots 1 · 50500000 GBP · active
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Award 1 is active, names West Mercia Energy as its sole supplier and is linked to lot 1. The £50.5m value is recorded at award and contract level for this single-supplier award.
LIFECYCLE
Award or contract stage
Tender notice published
96% confidence16 February 2026
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Release history records a tender notice dated 2026-02-16.
Award decision
95% confidence23 April 2026
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Award record 1 has award_date 2026-04-23 and status active.
Contract award notice published
96% confidence1 June 2026
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Release history records a contract award notice dated 2026-06-01.
Contract signed
99% confidence22 September 2026
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Contract 1 gives dateSigned as 2026-09-22 and includes a document typed contractSigned.
Contract details notice published
99% confidence9 October 2026
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Contract document 095468-2026 is a Contract details notice dated 2026-10-09.
Contract start
99% confidence1 April 2027
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Contract 1 period.startDate is 2027-04-01.
Initial contract end
99% confidence31 March 2030
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Contract 1 period.endDate is 2030-03-31.
Maximum possible end
99% confidence31 March 2032
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Contract 1 period.maxExtentDate is 2032-03-31 and renewal is described as 2 x 12 months.
VALUES
Published values explained
Contract value excluding VAT
99% confidence£50,500,000
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Contract 1 value.amount is 50500000 GBP; award 1 also records £50,500,000.
Contract value including VAT
99% confidence£60,600,000
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Contract 1 value.amountGross is 60600000 GBP.
Indicative annual energy portfolio amount
82% confidenceApproximately £12,000,000 per annum
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Tender description states that the council portfolio amounts to approximately £12m per annum.
Value basis
98% confidenceEstimated values, including the extension option
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Tender description says values are estimates, include the extension option, and are not guaranteed.
TIMELINE
Procurement timeline
Award date
95% confidence23 April 2026
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Award 1 award_date.
Signed date
99% confidence22 September 2026
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Contract 1 dateSigned.
Service commencement
99% confidence1 April 2027
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Contract 1 period.startDate.
Initial term
99% confidence1 April 2027 to 31 March 2030
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Contract 1 period startDate and endDate.
Extension structure
99% confidenceUp to 2 x 12 months
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Contract 1 renewal description.
Maximum term end
99% confidence31 March 2032
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Contract 1 period.maxExtentDate.
SCOPE
What was awarded
Service model
97% confidenceFully managed energy supply service
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The description states the council will use a managed service provider to purchase energy on its behalf through a compliant framework or dynamic purchasing system.
Energy coverage
99% confidenceGas and electricity
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Procurement and contract titles specify gas and electric/ electricity.
Portfolio coverage
96% confidenceCorporate, unmetered supply and schools portfolio, including academies
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Tender description identifies these portfolio areas.
Core services
97% confidenceEnergy purchasing, billing, site and metering management, data management, account management, complaints handling, online portal and portfolio reviews
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These services are listed in the tender description.
Environmental option
94% confidenceGreen electricity is included; green gas may be taken up as an option
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The description includes purchase of green electricity and identifies exercise of an option for green gas supply as a potential value-modification parameter.
Delivery location
86% confidenceUKD62, United Kingdom
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Award item delivery address is UKD62; this is also the buyer's region.
PROCEDURE
Procedure and competition
Procedure
99% confidenceOpen procedure
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Process procurementMethodDetails is Open procedure.
Legal basis
99% confidenceProcurement Act 2023
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Tender legalBasis is UKPGA 2023/54.
Lot structure
98% confidenceOne lot
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Tender lists lot 1 only; award 1 is linked to that lot.
Number of bids
99% confidenceUnknown
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Information not supplied in the published notice data.
Evaluation scores and award rationale
99% confidenceUnknown
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Information not supplied in the published notice data.
CONTRACT TERMS
Published contract terms
Contract status
99% confidenceActive
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Contract 1 status is active.
Award status
99% confidenceActive
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Award 1 status is active.
Initial duration
99% confidenceThree years
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The stated period runs from 1 April 2027 to 31 March 2030.
Extension option
99% confidence2 x 12 months
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Contract 1 hasRenewal is true and its renewal description is 2 x 12 months.
Permitted value changes
96% confidencePotential increases or decreases linked to tariffs, consumption, VAT, school and academy participation, or the green-gas option
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Tender description sets out these contract modification parameters.
Performance measures
98% confidenceBilling timeliness and accuracy, customer-support acknowledgement, and AMR metering performance
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Contract 1 contains five agreed metrics covering these measures.
COMMERCIAL VIEW
Commercial observations
Managed-service role
96% confidenceThe supplier is contracted as a managed service provider rather than simply as a direct energy supplier.
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The description says the MSP will purchase energy for and on behalf of the council and that the arrangement avoids separate contracts with energy suppliers.
Demand and price exposure
96% confidencePublished contract value may vary because tariffs, consumption, VAT, participating schools/academies and green-gas selection may change.
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These are the express modification parameters in the tender description.
Operational emphasis
98% confidenceThe agreed metrics place measurable focus on billing quality, response handling and automated meter reading coverage.
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Contract metrics specify targets for timely billing, electricity and gas billing accuracy, support acknowledgements and AMR metering.
DATA QUALITY
Gaps and source limitations
Notice and contract evidence
98% confidenceStrong
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The data includes an active award, an active contract, an explicit signed date and a contractSigned document.
Value interpretation
98% confidenceEstimated, not guaranteed
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The buyer states that values are estimates, include extension options and are not warranted as accurate indicative volumes.
Lot detail
99% confidenceLot 1 has no published title, description or standalone value
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Lot 1 title, description and value fields are null in the supplied data.
Supplier legal-entity verification
95% confidenceNo verified company name or company number supplied
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Supplier verification is marked not_applicable and both verified company name and number are null.
Competition information
99% confidenceInformation not supplied in the published notice
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No bid count, bidder list, scoring or evaluation narrative is provided.
SOURCE DATA LIMITATIONS
Information not supplied in the published notice
- Published values are estimates that include extension options; the buyer gives no guarantee regarding indicative volumes.
- No standalone lot title, description or lot-level value is published for lot 1.
- No bid count, unsuccessful bidder information, evaluation scores or detailed award rationale is supplied.
- No verified company name or company number is supplied for West Mercia Energy; supplier verification is marked not applicable.
- No pricing breakdown, energy volumes, tariff methodology or extension exercise decision is supplied.
MARKET THEMES
Relevant award themes
Cheshire East CouncilWest Mercia Energymanaged energy supplygas and electricitypublic procurementenergy contract
COMMON QUESTIONS
About this award
Who won Cheshire East Council's managed energy supply contract?
West Mercia Energy is the sole supplier named in active award 1.
What is the contract value?
The contract records £50.5m excluding VAT and £60.6m including VAT. The buyer describes published values as estimates including extension options.
When does the contract run?
It starts on 1 April 2027, initially ends on 31 March 2030, and may extend by up to two further 12-month periods to 31 March 2032.
Was the contract signed?
Yes. The contract data records a signed date of 22 September 2026 and identifies a contract document.
ProcuraAxis award analysis supplements, but does not replace, the official award notice, contract data or procurement documents. “Awarded” does not by itself prove that a contract has been signed.