The Director of Economic Growth and Neighbourhood Services submitted a report seeking approval to enter into a new contract for water supply.  A Strategy for Procurement of Water, Wastewater and Ancillary Services, was listed as Appendix 1 to the report, but had been submitted separately as an exempt item due to the inclusion of commercially sensitive information (see Minute 26 below).

The report noted that the Council currently spent in the region £250k annually on water and waste water supply.  The non-household (business) water and waste water market had been deregulated in April 2017 and since then the Council had been on a ‘deemed’ contract with Castle Water for its water supply. This contract was a temporary arrangement that was non-compliant with the Public Procurement Regulations 2015, and a long-term supply contract therefore needed to be procured.  

The report explained that there were now a number of frameworks for water supply with the key differentiator between providers being the ability to provide ancillary services to assist with the effective management of water resources.  The available water supply framework contracts had been assessed and selected on price, customer service and access to ancillary services and it was recommended to use the London Energy Project (LEP) Direct Award process to procure water services from the LEP’s appointed water retailer Anglian Water Business Limited.

Resolved –

          That the Executive Director of Economic Growth and Neighbourhood Services and the Assistant Director of Procurement and Contracts be authorised to enter into water supply contracts for the period 2019 to 2022 with Anglian Water Business (National) Limited through entering into an access agreement for the London Energy Project pan-London water framework; the contract being through Crown Commercial Services and the Yorkshire Purchasing Organisation (YPO) framework RM3790.