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Overview
The UK has an extensive network for the Transmission and Distribution of natural gas, delivering around 600TWh of gaseous fuel to Domestic, Commercial, and Industrial consumers, and almost 300TWh to generate power. In energy terms, the UK uses around three times more gas than electricity. Around 85% of households use gas as their primary source of heating.
The UK has challenging and legally binding targets to reach Net Zero by 2050. In response to this the UK Government issued "The Ten Point Plan for a Green Industrial Revolution" at the end of 2020 to demonstrate its commitment to tackling greenhouse gas emissions. This set the UK's ambition to be amongst the leading countries investigating the use of hydrogen for industry and heating. This was followed by a dedicated Hydrogen Strategy in 2021 which set firm commitments around low carbon hydrogen production and trials.
Wales & West Utilities is undertaking a major programme of change to support decarbonisation and deliver a Net Zero gas network.
General Description of the Works (Project Summary)
This project forms Phase 2 of an ongoing programme of works exploring the potential application of a novel lined rock cavern (LRC) hydrogen storage concept within WWU's network. Building on Phase 1 work, the project will provide early-stage, exploratory support to further understanding on the concept and to test its potential suitability within the network context. The work is developmental in nature and is intended to inform internal strategic understanding, rather than to progress delivery, implementation or commercial deployment.
The scope requires the integration of specialist technical and regulatory expertise under the direction of a single consultant, with continuity of knowledge from previous phases being critical. Activities are focused on refining assumptions, and improving understanding of key constraints and uncertainties associated with the concept.
The project is not intended to deliver investment-ready outputs, detailed design, or commercially deployable solutions. Any investigative activities and very limited in scale and undertaken solely to support early-stage concept testing and development.
Scope of Contractors Work
The Supplier will deliver Phase 2 of an ongoing programme of early-stage development work relating to a novel lined rock cavern hydrogen storage concept.
The Supplier will provide technical and strategic support, drawing on specialist expertise where required, to further understanding of the concept and to test its potential suitability within WWU's network area.
In particular, the supplier will:
All services will be delivered to support early-stage design and development, and to test suitability of the concept, rather than to progress delivery, implementation, or commercial deployment.
Anticipated Total Cost of the Contract is £600,000.
Contract Term is two (2) years.
| Supplier | Identifier | Award Value | Lots Won | Cross-References |
|---|---|---|---|---|
| Environmental Resources Management Limited | 01014622 | £600,000 | 1 lot Lot 1 | - |
This procurement was divided into 1 lots, each awarded separately.
| Lot | Value | Awarded To | Status |
|---|---|---|---|
| Lot 1 | - | pending |
Government spending data: This supplier has received £78,234,359 in 355 payments (over £25k) from Department for Transport, BEIS, DESNZ, DEFRA, Scottish Government and 2 more public bodies (2012-06-07 to 2026-03-30). View full payment history →