Invitation to tender to assess drivers of UK industrial CO2 emissions and energy
use, with a focus on the impact of energy efficiency improvement.
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Request for Quotation
Invitation to tender to assess drivers of UK industrial CO2 emissions and energy use, with a
focus on the impact of energy efficiency improvement.
Contents
Request for Quotation
Instructions for Submission of Quotations.
Part A
Specification (including the Preamble, Background, Requirement)
Part B
Information to be provided by the Bidder / Supplier Questionnaire.
Part C
Pricing Information to be provided by the Bidder
Part D
Conditions of Contract for Services
Part E
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Invitation to tender to assess drivers of UK industrial CO2 emissions and energy
use, with a focus on the impact of energy efficiency improvement.
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Part A
Invitation to tender to assess drivers of UK industrial CO2 emissions and energy use, with a
focus on the impact of energy efficiency improvement.
INSTRUCTIONS FOR SUBMISSION OF QUOTATIONS
1.
The CCC project manager Taro Hallworth Address: 7 Holbein Place, London, SW1W 8NR.
Tel: 0207 591 6081. Email: [email protected]
Taro Hallworth should be contacted with any queries on the content of the project.
Further information and clarification about the tendering process can be obtained from:
e-mail: [email protected] Tel 020 7591 6252.
2.
Bidders are required to submit four copies of their bid. Three should contain no pricing
information, the fifth must be costed and identified as "PRICED". Quotations should be
submitted in a sealed envelope, marked as follows:
“Invitation to tender to assess drivers of UK industrial CO2 emissions and energy use, with
a focus on the impact of energy efficiency improvement”
3.
Envelopes should bear no external indication of the sender's identity. All bids should be
addressed to:
Helena Engelbrecht, Business Manager
Committee on Climate Change Secretariat
7 Holbein Place
London SW1W8NR
Bids should be sent in time in time for receipt by 10:00 hrs on 14th February. All bids
should also be submitted by e-mail by this deadline to
[email protected].
4.
If required, interviews will take place in London the week of the 17th February. If you are
invited for interview, you will be notified of the address and time in the letter of
invitation, sent out by email.
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Invitation to tender to assess drivers of UK industrial CO2 emissions and energy
use, with a focus on the impact of energy efficiency improvement.
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Part B
Invitation to tender to assess drivers of UK industrial CO2 emissions and energy use, with a
focus on the impact of energy efficiency improvement.
SPECIFICATION
1. Preamble
The Committee on Climate Change was set up as part of the Climate Change Act. The
Committee is an independent body tasked with providing advice to government on climate
change issues, and particularly the setting of carbon budgets for the UK.
2. Background to the Committee’s advice on industry
The Committee on Climate Change (CCC) was established under the Climate Change Act to
advise Government on a range of issues, including setting legally binding carbon budgets for
consecutive five year periods, beginning in 2008, and a target for emissions reductions in
2050.
In our progress reports we recognised the difficulty in estimating abatement potential in
industry and assessing the extent to which this has occurred.

There is a lack of direct evidence regarding energy efficiency improvement, and a lack of
up-to-date detailed data on energy use and CO2 emissions.
The CCC now seeks to quantify drivers of CO2 emissions and energy use with a focus on
energy efficiency progress.
This work will contribute towards the 2014 Progress Report, in which we will publish
updated trajectories for meeting carbon budgets. We want to be able to update and report
on progress annually, and compared against the potential energy efficiency improvement
trajectories. There would therefore be a continuing use of results from this project.
3. Aims of the consultancy project
The overarching aims of this project are to develop an approach to quantify the drivers of
changes in CO2 emissions and energy use in industry, in particular energy efficiency.

Quantify drivers of CO2 emissions and energy use changes, with a focus on the impact
of energy efficiency. We want the consultant to consider methodologies for attributing
changes in year-on-year emissions/energy use to different drivers1; and as part of this to
provide a robust methodology for estimating energy efficiency improvement given
available data (i.e. using detailed datasets and where possible, triangulation and
calibration).
The results on the drivers of emissions/energy use and impact of energy efficiency will be
reported against a CCC trajectory for UK industry energy efficiency improvement potential.
4. Description of work for consultants
Potential drivers of year-on-year emissions/energy use are output changes (e.g. recessionrelated emission reductions), fuel switching to lower carbon fuels (e.g. coal to gas), changes
in the industrial structure (e.g. reduced share of energy intensive manufacturing) and energy
efficiency improvement.
1
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Invitation to tender to assess drivers of UK industrial CO2 emissions and energy
use, with a focus on the impact of energy efficiency improvement.
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The aim of this research is to assess the extent to which year-on-year changes in historical
and current industry emissions/energy use are caused by various drivers.
Industrial emissions/energy changes are caused by:

Progress in energy efficiency (for more detail, see Box 4.1, page 142 in the CCC’s 2013
Progress Report),

Output changes (e.g. economic growth, recession-related emission reductions),

Changes in industrial structure (e.g. reduced share of energy-intensive manufacturing,
switch in use to less energy-intensive goods),

Fuel switching to lower carbon fuels (e.g. coal to gas),

Lower emission intensity of energy (e.g. particularly for electricity)

Weather may also play a significant role. (e.g. more energy used for cooling or
heating)
There are existing approaches for assessing the impact of the drivers of emissions/energy,
which range from assuming a relationship between output and emissions to different
econometric/statistical methods2. It may be appropriate to assess progress for energyintensive industries and non-energy-intensive industry separately.
Key tasks will involve:
Task 1 - Review methods for disaggregating drivers (including available data sets) and
propose preferred method. This could include decomposing energy and emissions data to
estimate the contribution of various drivers3, or for emission/energy-intensive sectors it
could include more direct methods such as interviews on progress in the last year. The
output should be a table of potential methods, their likely accuracy, robustness, ease of
replication and ease of interpretation, with a recommendation for how to proceed. Possible
data sets include DECC energy use, CITL, ONS data on production and expenditure, etc.
Task 2 - Conduct disaggregation of drivers using preferred methodology. The preferred
method should then be implemented, resulting in an assessment of the contribution of each
driver to changes in historical year-on-year industry emissions/energy use.
This driver disaggregation analysis should be developed in a clear, simple to use excel
workbook format such that it can be updated annually by a new user with easily accessible
and publically available data, and reported in our annual progress report4.
2
See for example Table 4.7, Energy Use in the UK 2011 for a simple approach, and Hammond, G. P. And Norman,
J. B. (2012) decomposition analysis of energy–related carbon emissions from UK manufacturing. Energy 41 (1).
pp. 220-227. Many examples of decomposition methods and use of techniques can be found in other studies.
3 As described above, but this should not be seen as an exhaustive list and we encourage consultants to suggest
any further drivers that could be important.
4 It may be the case that the information is not sufficient to report energy efficiency on a yearly basis – i.e. only
every 2 or three years. If the consultant feels that reporting based on yearly statistics is too inaccurate, then this
case could be made.
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Invitation to tender to assess drivers of UK industrial CO2 emissions and energy
use, with a focus on the impact of energy efficiency improvement.
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a. We want the consultant to consider and propose the how this driver disaggregation
analysis should fully use historical data to assess the impact of the drivers of industrial
CO2 emissions/energy (e.g. as far back as 1990, earlier than 1990 etc).
b. We want the consultant to consider and propose a level of industrial sector/subsector detail that will be the most useful to CCC analysis while maintaining an
appropriate level of robustness.

The analysis should give an assessment of the impact of drivers on overall UK
industrial emissions/energy use.

Disaggregation could be down to carbon-intensive industry (e.g. using EU ETS
data matched to ONS data) and the remainder of industry (using DECC statistics
and ONS data), given the differing dynamics of each.

Additionally, we would be interested in a focus on carbon/energy-intensive subsectors and any additional sub-sectors which may be of interest for other
reasons (e.g. growth sectors, where emissions may increase significantly). Thus
the level of disaggregation could be down to an industrial sub-sector level if it
meets the criteria of importance and level of robustness. We would not expect
disaggregation further than two digit SIC code classification.
c. We want the consultant to consider potential analysis beyond the change in UK
industry production output on UK industrial CO2 emissions/energy use. There could
be specific assessment of how much emissions/energy use has changed due to
changes in UK production vs. changes in industrial structure. There could additionally
be an assessment of the impact of consumption and imports/exports of industrial
goods on UK industrial production/structure, and therefore on UK CO2
emissions/energy use.5
Task 3 – Develop methodology to report energy efficiency progress against an indicator
trajectory. The potential for energy efficiency out to 2030 developed by the CCC and the
results of the disaggregation analysis will be used to report progress in energy efficiency. The
ability to make this comparison with energy efficiency trajectory data to be provided by the
CCC should be included in the spreadsheet workbook developed.
Task 4 – Produce written report able to be published by CCC. The report would cover the
work and results of Tasks 1-3, including the review of disaggregation methods, details of the
method used and results of Task 2 and 3. The report is expected to be of a quality so that the
CCC could publish it alongside the July 2014 progress report to Parliament.
5
It will not be necessary to assess the CO2 emission impact outside the UK of a change in UK
consumption/production or imports/exports; we are only concerned with the impact on UK industrial CO2
emissions/energy use.
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Invitation to tender to assess drivers of UK industrial CO2 emissions and energy
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Box 1: Units for energy efficiency
In terms of reporting energy efficiency potential, we are interested in energy and CO2
savings per unit of output. Our preferred indicator metric is TWh and MtCO2 saved per
unit of GVA, as GVA are reported at a detailed level by the ONS every year.
However, a difficulty of indexing savings against GVA is that that it is an imperfect
representation of output: changing commodity prices from year to year will change GVA,
irrespective of whether the volume production of product has changed. Any analysis of
historical emission/energy should consider the impact changes in commodity prices are
likely to have on GVA, whether these materially impact the robustness of this as a
measure of progress and how to address any of these issues.
Quality of analysis and outputs and expectations of contractors
Contractors would have to demonstrate that they have the following skills:

Ability to perform quantitative analysis to provide additional insights as to the drivers of
UK industrial emissions/energy use, and specifically the measurement of energy
efficiency improvement in industry.
The consultant must demonstrate their ability to produce deliverables of quality, in
particular following best practice regarding economic analysis and presentation of results.
To this end, the CCC expects that:

Economic analysis must be delivered in a simple, transparent Excel spreadsheet, where
key assumptions (agreed with the CCC) can be varied. All assumptions, so notes on data
sources, actions needed to update need to be clearly explained within the workbook so
that they can be updated easily by a new user and reported on in our annual progress
report.

Written report is clear, concise and of a publishable quality. All analytical methodologies,
sources and results should be properly documented and explained.
We want the consultants to itemise their proposal with cost of each of the tasks set in
section 4 above separately. We would also like description and costs for analytical
approaches to complete task 2 to meet different levels of sectoral and driver disaggregation
detail we have highlighted and asked the consultant to consider.
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Invitation to tender to assess drivers of UK industrial CO2 emissions and energy
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5. Timeline and deliverables
The deliverables from this assignment should be a table reviewing methods of
disaggregation, data sets and a simple excel spreadsheet workbook which can be updated
each year as data is released and trajectories revised. Consideration should be given to
developing a straightforward approach which is replicable year-on-year by a new user, so
notes on data sources, actions needed to update and assessment of the robustness of this
method need to be clearly explained within the workbook.
The proposed timetable will run as follows.
Phase
Deliverable
Date/month
Inception meeting
Set out and agree key
objectives and approach
w/c 24th February
Completion of Task 1 and
agreement on actions for
Tasks 2 and 3.
Brief written review of
methodology options and
agreement on approach
Early March
Task 2 competed
Excel workbook
End March
Task 3 completed and draft
excel workbook
Excel workbook
Early April
Draft of report (Task 4)
Written Report
Mid April
Final comments incorporated
in written report and excel
workbook
Written Report and Excel
Workbook
End April
In addition to these formal reporting points, the CCC would expect to have regular
discussions to ensure the work is progressing as expected and focuses on key issues of
interest to the Committee.
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Invitation to tender to assess drivers of UK industrial CO2 emissions and energy
use, with a focus on the impact of energy efficiency improvement.
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Part C
SUPPLIER QUESTIONAIRE
The evaluation of the following Supplier Questionnaire will be the basis for selecting the
short list of potential contractors to be interviewed. Each question is allocated points
based on its relevance for this Contract. Each respondent should submit all the information
requested in the order presented. Failure to do so may result in their total score failing to
reach the initial threshold and therefore subsequent elimination. Sections C4 and C5 give
bidding organisations the opportunity to explain in detail how they would provide the
services requested.
All information supplied will be treated as Strictly Private and Confidential. The information
will be reviewed by the Evaluation Panel only and will not be divulged to other parties during
the de-briefing stage, or at any other time.
Supplier Questionnaire
Concerning the provision of consultancy service to identify
realistic potential for reducing carbon emissions in buildings
and industry over time
Name of Company:
Address:
Contact Name:
Telephone Number:
(Including STD Code)
Contact Title:
Facsimile Number:
(Including STD Code)
Email and website
Address:
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Invitation to tender to assess drivers of UK industrial CO2 emissions and energy
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Signed:
Dated:
SECTION C1 : ORGANISATION, MANDATORY AND FINANCIAL INFORMATION
Note: This section A is intended to assist the CCC in the evaluation and scoring of later sections
of this ITT and will not itself be scored.
Where a consortium bid is proposed, please present the information for each consortium
member individually.
GENERAL INFORMATION
A.
Please enclose details of your organisation’s internal structure. A diagram would be
helpful to support your answer.
B.
Please provide certificates of your organisation’s Employers and Public Liability Insurance;
Professional Indemnity Insurance cover and Professional Indemnity Insurance cover for
sub-contractors. (Certificates must accompany your answer, refer to condition 17 of the
Terms and conditions of contract for liability levels and requirements).
1. Is your organisation: (Please tick a box)
i)
a public limited company;
Registration No: ____________________
ii)
a limited company;
Registration No: ____________________
iii)
a sole trader;
iii)
a partnership;
iii)
other, please specify;
2. Please state:
i)
The date of your organisation’s formation:
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ii)
The date of incorporation in U.K. [other country] if different from
2 (i):
iii)
Your organisation’s VAT registration number:
3. Is your organisation a subsidiary of another organisation? If so, please provide the name and
registered office address of the holding or parent organisation and the ultimate parent (if
applicable):
Yes
No
SECTION C2: MANDATORY INFORMATION REQUIREMENTS
Note: The information required in this section is a mandatory requirement for this quotation.
Failure to provide the information may result in your bid being eliminated.
Where a consortium bid is proposed, please present the information for each consortium
member individually.
FINANCIAL REQUIREMENTS
1. Please enclose a set of the last year’s audited accounts (if these accounts are required
under the law of the state in which your organisation is established) for your own
organisation and the holding and/or ultimate parent and your organisation’s subsidiaries
(if applicable). If you cannot provide the last year’s audited accounts, please provide a
copy of your most recent business plan, budget or similar document.
OR
If the audited accounts are available online, please provide details of the web page
address where the accounts are held so that the Authority can access the information.
Web address: __________________________________ (your organisation)
Web address: __________________________________ (holding / ultimate parent
company)
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Invitation to tender to assess drivers of UK industrial CO2 emissions and energy
use, with a focus on the impact of energy efficiency improvement.
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SECTION C3: FINANCIAL INFORMATION
Note: The information supplied in this section will be evaluated to assess the longer-term
financial viability of your organisation.
Where a consortium bid is proposed, please present the information for each consortium
member individually.
1. Please provide details of the overall turnover, profit and, if possible, [contract-related] work
of the business in the previous three financial years.
Overall Turnover
(£000)
Profit
(£000)
Specific contract-related
Work (£000)
Financial Year ending
2010/11
Financial Year ending
2009/10
Financial Year ending
2008/09
2. Please describe any post balance sheet events or contingent liabilities noted in the accounts
submitted and their effects, if known, which should be considered when reviewing any
financial information you have submitted. (Note: Any UK organisation should declare material
post Balance Sheet events, e.g. events which would have required disclosure if they had been
known when the accounts went to print. Other organisations should advise any facts which
would require disclosure as if they were a UK organisation.)
3. For your organisation, its subsidiaries, and, where relevant, your group and your organisation’s
subsidiaries, give a statement of any contracts where the contract was not completed or
where there were claims for damages or where damages have been deducted or recovered
within the last 5 years and where the value of the contract or damages was greater than
£20,000 pounds sterling.
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Invitation to tender to assess drivers of UK industrial CO2 emissions and energy
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SECTION C4: SERVICE DELIVERY
RELEVANT EXPERIENCE
1.
Please describe the relevant principal areas of business activity of your organisation and
the number of years you have been involved in this activity. Describe in detail, giving
dates of your current and previous experience of comparable projects you have been
awarded by public and private sector Clients and undertaken by your organisation in the
past 5 years.
MANAGING YOUR RELATIONSHIP WITH THE CCC
2.
Please describe how your organisation will manage its relationship with the CCC, including
attendance at meeting and/or provision of progress reports and how communication
between all levels of staff will be maintained.
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Invitation to tender to assess drivers of UK industrial CO2 emissions and energy
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QUALITY ASSURING THE SERVICES YOU PROVIDE
3.
Please provide a brief plan of how you would monitor and maintain the quality of the
services delivered (e.g. relevant Key Performance Indicators, risk management
arrangements), including a statement of how you would ensure the key dates and
deliverables are met. Please indicate whether in your opinion our timescales can be
achieved.
MANAGEMENT STRUCTURE
4.
Please briefly describe your proposed management and organisational structure for
providing the services.
PROJECT TEAM
5.
Please provide details of the full project team, including a team structure, with an outline
of roles and responsibilities and copies of proposed project team CV’s. Please also confirm
whether project team members would be full time or part time on this contract and if
part time, please specify time contributed to this project.
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Invitation to tender to assess drivers of UK industrial CO2 emissions and energy
use, with a focus on the impact of energy efficiency improvement.
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SECTION C5: METHOD, ABILITY AND TECHNICAL CAPACITY
Note: The purpose of the Method Statement is to enable us to evaluate your understanding of our
requirements and the quality of your proposals for meeting them.
UNDERSTANDING OF REQUIREMENTS
1.
Please provide a detailed statement of your understanding of the CCC’s requirements for this
contract.
APPROACH TO MEETING REQUIREMENTS
2.
Please provide a detailed statement and how you would meet the CCC’s requirements for this
contract.
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CHALLENGES
3.
What do you consider are the specific challenges for this project over the life of the contract
and how do you propose to overcome these?
SECTION C6: SIGNATURE AND DATE
I hereby declare that the information provided herein is complete and accurate:
Signature:
Date:
Name (PRINT):
Job Title:
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Invitation to tender to assess drivers of UK industrial CO2 emissions and energy
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Part D
PRICING INFORMATION TO BE PROVIDED BY BIDDER
Please provide costings for the following:




Consultancy Charge per day - Please indicate here staff level (i.e. junior consultant,
partner etc), rate per day, the number of days the individual would be allocated to the
contract and the number of hours worked per day.
Any other costs – (please specify).
Any discounts offered.
Total cost of the Contract.
Notes:
1. Please note that all Travel and Subsistence will be as per the Civil Service Standard
i.e. standard class.
2. V.A.T. will be separately indicated
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Part E
CCC CONDITIONS OF CONTRACT FOR SERVICES
(see other attachments)
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