27 November 2018
The Crown Estate shares its proposed tender design for new offshore wind leasing
The Crown Estate has shared new detail on the proposed tender design for Round 4 offshore wind leasing, at its latest market engagement event (Monday 26 November), attended by more than 130 industry representatives.
During the event, The Crown Estate, which manages the seabed around England, Wales and Northern Ireland, set out its current thinking on the leasing process, including the criteria it would assess at the ‘Pre-Qualification’ (PQQ) and ‘Invitation to Tender’ (ITT) stages. These criteria are designed to help ensure a fair, balanced, and competitive tender process, and include:
- Pre-qualification stage (PQQ) which assesses potential bidders’ financial strength and technical competence
Assessment criteria at this stage would include specific financial thresholds as well as technical expertise requirements, such as project management, grid connection and consenting.
- The Invitation to Tender (ITT), which is the main tender assessment stage, assesses project bids submitted
Assessment at this stage would consider compliance with tender requirements, capacity limits and project-specific financial and technical assessment. The final outcome would then be determined by the option fee proposed by the bidder, for the exclusive rights to the site.
The Crown Estate also shared further detail on additional tender parameters, such as: bidding entities and consortia arrangements, spatial aspects and an outline of the proposed agreement for lease.
This latest engagement follows a similar event with stakeholders earlier this month, when The Crown Estate revealed its work to refine the regions of seabed available for tender. Following this event, the detailed analysis underpinning this regions refinement work has been published online (at http://marinedataexchange.co.uk/announcements/2018/updated-proposals-for-round-4.aspx) This includes a Methodology Report; GIS model outputs; associated draft Characterisation Reports; and an Interim Summary Stakeholder Feedback Report.
Jonny Boston, Business Development Manager at The Crown Estate, said: “Our ambition is to design a fair, balanced and competitive tender process, which ensures that capable, experienced bidders and the strongest possible projects come forward for new leasing. As we work to test and finalise the design of Round 4, tailored to an increasingly mature sector, we continue to welcome engagement with stakeholders and the market, helping us to balance the range of interests on the seabed.”
As its plans progress, The Crown Estate will continue to engage with stakeholders and the market, on the detailed plans it has presented this November. This will enable it to finalise regions to be offered to market and the tender design, ahead of confirming the launch of Round 4.
For more information and to register to be kept informed about The Crown Estate’s work, please visit the offshore wind potential new leasing page of The Crown Estate website: www.thecrownestate.co.uk/potentialnewleasingBack to Media & Insights