Byker District Heat Network
Karbon Homes · Housing
In brief
Karbon Homes is looking for suppliers for construction and architecture and engineering work (North East).
The estimated value is £145,000,000 excluding VAT.
The contract runs for 41 years, up to 483 months with extensions, starting 1 January 2027.
Bids close at midday, Friday 20 November 2026.
Built from the notice's own fields. Always check the official notice before you bid.
Can I win this?
Key dates
- Questions by
- 5pm, Wednesday 11 November 2026
- Bids by
- midday, Friday 20 November 2026
How bids are scored
Development to contract close, consents and heritage 8% · Delivery in a live, occupied, listed estate 12% · Generation, storage, network and capacity for growth 12% · Operation, maintenance, lifecycle and handback 10% · Customers, vulnerability and regulatory compliance 8% · Social Value 10% · F1 Hurdle equity internal rate of return 4% · F2 Financial model 6% · F3 Tariff and landlord contribution 16% · F4 Pre-construction services contribution 5% · F5 Delivery stage funding 5% · F6 Grant drawdown and defrayal 4%
Quality matters most. You can win without being the cheapest.
Competition
Typical: a median of 5 bids per contract for this buyer (from 50 awards in the last 12 months).
What the notice says
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…Read the full description
Should I bid?
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How to bid
- Read the full notice on Find a Tender, including any tender documents it links to.
- Register your organisation on the Central Digital Platform (through Find a Tender) if you have not already. Suppliers need to be registered to take part in procurements under the Procurement Act 2023.
- Submit your bid through the buyer's e-tendering portal: app.panacea-software.com.
- Send clarification questions before 5pm, Wednesday 11 November 2026.
- Make sure your bid arrives before midday, Friday 20 November 2026. Late bids are usually rejected.
Timeline
- Preliminary market engagement notice · UK2, notice 060054-2026
- Tender notice · UK4, notice 098720-2026
About the buyer
Procurements
43Awards
34Suppliers it has used most for construction
- Buston & Maughan Limited2 contracts
- C.L.C. Contractors Limited2 contracts
- Caddick Construction Limited2 contracts
- All About Civils Ltd1 contract
- Allerton Damp Proofing1 contract
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From notice 060054-2026 on Find a Tender, first published 25 June 2026, last updated 19 October 2026. We last checked for changes on 19 October 2026.