✓Tender information last checkedLast checked 19 Oct 2026, 21:46.
Opportunity overview
Karbon Homes invites tenders for the design, build, finance, operation and maintenance of the decarbonised Byker District Heat Network in Newcastle upon Tyne. The Byker estate is Grade II* listed, covers around 80 hectares and is live and occupied throughout. There are 1,985 connections, being 1,815 Karbon Homes connections and 170 freeholder and non-domestic connections presently supplied by Newcastle City Council, of which 1,978 are residential and 7 are non residential. The network is served by the Walker Road energy centre and twelve substations.
A preliminary market engagement notice for this procurement, reference 2026/S 000-060054, was published on 25 June 2026. The description of the scheme in that notice has been superseded and tenderers should refer to the information contained within this tender pack.
All documents relating to this tender are available to download from the Panacea e-Sourcing portal.
Submission Instructions:
Electronically via the e-Sourcing portal. Suppliers must submit one copy of their tender electronically, with any additional documents required or requested. Documents must be compatible with Microsoft Office or Adobe/PDF.
Should you require technical support with the e-Sourcing portal please email them directly at:
• Email: support@panacea-software.com
• Phone: 0207 976 0116
Tenders must be submitted using the above e-Sourcing portal. Tenders submitted via postal, or email methods will not be accepted.
Classification
CPV09323000 — District heating
CPV71321200 — Heating-system design services
CPV71334000 — Mechanical and electrical engineering services
Additional information from the published procurement release. Fields appear only when supplied by the source; check the original notice and tender documents before acting.
Stage one RFX Questionnaire will be evaluated on a pass/fail basis and in accordance with the information detailed within the ITT. In instances where a submission is rejected at this point, the Supplier will automatically be disqualified and will not progress to the next stage.
Submissions which have met the minimum standards will be shortlisted and stage two and submissions will be evaluated in accordance with the evaluation assessment process as described below and as set out in the award criteria, within the ITT.
Submissions will be ranked as part of assessment at stage two, only the highest ranked supplier will progress onto stage three. Subject to Board approval the Authorities intension is to enter into a PCSA agreement with the highest ranked supplier, whilst negotiating the final terms of the concession agreement. Any negotiation will be based on the agreement included in the tender pack, and the Authority reservice the right to engage with the next ranked supplier from stage two should any discussion become protracted or in the opinion of the Authority be unlikely to result an agreed contract.
Special regime
concession
Covered By
GPA
Submission terms
Electronic Submission Policy
allowed
Languages
en
Tender Period
Ends
20 Nov 2026, 12:00
Enquiry period
Ends
11 Nov 2026, 17:00
Expected award period
Ends
11 Dec 2026, 23:59
Lots and requirements
Entry 1
Id
1
Status
active
Value
Including VAT
174,000,000
Amount
145,000,000
Currency
GBP
Award criteria
Criteria
Criterion 1
Type
quality
Name
Development to contract close, consents and heritage
Numbers
Entry 1
Number
8
Weight
percentageExact
Criterion 2
Type
quality
Name
Delivery in a live, occupied, listed estate
Numbers
Entry 1
Number
12
Weight
percentageExact
Criterion 3
Type
quality
Name
Generation, storage, network and capacity for growth
Numbers
Entry 1
Number
12
Weight
percentageExact
Criterion 4
Type
quality
Name
Operation, maintenance, lifecycle and handback
Numbers
Entry 1
Number
10
Weight
percentageExact
Criterion 5
Type
quality
Name
Customers, vulnerability and regulatory compliance
Buyer location · Newcastle upon Tyne · UKC22 · NE12 8EG · United Kingdom
Delivery location · UKC · United Kingdom
Notice and amendment history
2 published notice versions reviewed by ProcuraAxis.
2 VERSIONS
1
060054-2026Preliminary market engagement notice on Find a Tender ·
2
098720-2026Tender notice on Find a Tender ·
PROCURAAXIS ANALYSIS
ProcuraAxis Analysis
Our approved analysis of the opportunity appears below the official tender information.
ANALYSIS PREVIEW
Opportunity intelligence at a glance
Karbon Homes is seeking a supplier for the design, build, finance, operation and maintenance of a decarbonised district heat network serving the occupied Byker estate in Newcastle upon Tyne.
Who this may suit
Relevant to suppliers able to deliver an end-to-end district-heating solution, including heating-system design, construction, finance, operation and maintenance in a live, listed residential estate.
Key points identified
ScopeDesign, build, finance, operation and maintenance of a decarbonised district heat network.Evidence: "design, build, finance, operation and maintenance of the decarbonised Byker District Heat Network"
Tender submission formatOne electronic tender copy, plus additional required/requested documents, compatible with Microsoft Office or Adobe/PDF.Evidence: "Suppliers must submit one copy of their tender electronically, with any additional documents required or requested. Documents must be compatible with Microsoft Office or Adobe/PDF."
Eligibility requirementsUnknown from supplied evidence.Evidence: No explicit eligibility, financial standing, insurance, company-size or certification criteria are stated in the supplied content.
95% approved-analysis confidence3 supplier criteria identified3 risks or unknowns
ProcuraAxis structures information found in published procurement records, checks the result for consistency and publishes only approved analysis. Confidence describes the completeness and consistency of the available source information; it is not a guarantee of eligibility or contract award.
Karbon Homes is seeking a supplier for the design, build, finance, operation and maintenance of a decarbonised district heat network serving the occupied Byker estate in Newcastle upon Tyne.
Who this may suit
Relevant to suppliers able to deliver an end-to-end district-heating solution, including heating-system design, construction, finance, operation and maintenance in a live, listed residential estate.
Key deliverables
Design of the decarbonised Byker District Heat Network
Build of the network
Finance
Operation and maintenance
SUPPLIER REQUIREMENTS
3 criteria identified
Scope
99% confidence
Design, build, finance, operation and maintenance of a decarbonised district heat network.
View supporting evidence
"design, build, finance, operation and maintenance of the decarbonised Byker District Heat Network"
Tender submission format
98% confidence
One electronic tender copy, plus additional required/requested documents, compatible with Microsoft Office or Adobe/PDF.
View supporting evidence
"Suppliers must submit one copy of their tender electronically, with any additional documents required or requested. Documents must be compatible with Microsoft Office or Adobe/PDF."
Eligibility requirements
96% confidence
Unknown from supplied evidence.
View supporting evidence
No explicit eligibility, financial standing, insurance, company-size or certification criteria are stated in the supplied content.
COMMERCIAL AND DELIVERY
Contract intelligence
Commercial
Estimated maximum value
98% confidence
£145,000,000 GBP.
View supporting evidence
process.value_max: 145000000 GBP; lot 1 value_amount: 145000000 GBP.
Finance responsibility
92% confidence
Finance is included in the stated scope; detailed financing requirements are unknown.
View supporting evidence
"design, build, finance, operation and maintenance"
Delivery
Delivery area
93% confidence
Newcastle upon Tyne / UKC region, United Kingdom.
View supporting evidence
The scope names "Newcastle upon Tyne"; delivery location is recorded as region "UKC".
Estate constraint
99% confidence
The Byker estate is Grade II* listed, live and occupied throughout.
View supporting evidence
"The Byker estate is Grade II* listed, covers around 80 hectares and is live and occupied throughout."
Network scale
98% confidence
1,985 connections; Walker Road energy centre and twelve substations.
View supporting evidence
"There are 1,985 connections" and "The network is served by the Walker Road energy centre and twelve substations."
Panacea e-Sourcing portal only; postal and email submissions will not be accepted.
View supporting evidence
"Tenders must be submitted using the above e-Sourcing portal. Tenders submitted via postal, or email methods will not be accepted."
RISKS AND UNKNOWNS
Points requiring attention
Live listed-estate delivery risk
98% confidence
Delivery must take place on a Grade II* listed estate that is live and occupied, which may constrain design and construction methods.
View supporting evidence
"The Byker estate is Grade II* listed" and "is live and occupied throughout."
Scope supersession
99% confidence
The earlier preliminary market engagement notice's scheme description has been superseded; tenderers are directed to the tender pack.
View supporting evidence
"The description of the scheme in that notice has been superseded and tenderers should refer to the information contained within this tender pack."
Unstated commercial and contractual detail
94% confidence
Contract term, detailed pricing/payment arrangements, financing model, technical specification and evaluation criteria are unknown from the supplied notice text.
View supporting evidence
These details are not stated in the supplied opportunity fields; documents are available on the Panacea e-Sourcing portal.
ProcuraAxis analysis supplements, but does not replace, the original notice and tender documents. Always verify eligibility, deadlines and commercial terms with the issuing authority.
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