Expression of Interest: Designing an auction to install energy efficiency measures in small and medium sized (SMEs) businesses

In March 2019, the Department for Business, Energy and Industrial Strategy (BEIS) published a Call for Evidence (CfE) (link in attachments) on introducing a new scheme to improve the energy efficiency of buildings occupied by Small and Medium Sized Enterprises (SMEs).

The CfE posed broad questions around three illustrative delivery options: 1. business energy efficiency obligation 2. energy efficiency auction 3. expanding access to finance options to SMEs While BEIS has extensive experience of running an energy efficiency obligation scheme through the domestic Energy Company Obligation (ECO), we have less experience on energy efficiency auctions.

Therefore, in order to further inform the decision-making process on the delivery options, we are inviting expressions of interest from suppliers to carry out research on the design of an auction to install energy efficiency measures in SMEs.

We would expect the research to provide advice on: • the most effective auction process for UK SMEs, • How to encourage and maximise participation in an auction • Best funding model • How to ensure cost-effectiveness • Monitoring and evaluation of an auction We envisage the research to comprise of two distinct phases, involving engagement with key stakeholders including SMEs: • Phase 1 - auction option design and evidence-gathering from various sources, in order to model a number of potential auctions. • Phase 2 - concept testing research with key market players to test the feasibility of the model options designed in Phase 1.

At this stage, BEIS is looking for expressions of interest to inform the timing of the Invitation to Tender (ITT) for this research.

We are interested in finding out whether potential bidders are in a position to bid now or whether we should delay this procurement.

We would be interested in receiving EoIs that state whether you intend to bid now or are unable to but would be interested once the Covid-19 situation is over.

We anticipate the contract will last for 5 months, but would be interested to hear from bidders who could deliver to a shorter timescale.

The value of the contract will be up to £100,000.

Please submit expressions of interest to Tracy Halsey at smeenergyefficiency@beis.gov.uk by 2 June 2020 and include the following details in your email;  Full name  Company/Organisation name  Contact details  Whether you can participate now  If you unable to participate due to the disruption caused by Covid-19 but would be interested in doing so, once the crisis is over.  If you can deliver to a shorter timescale than 5 months Please note this procurement will be carried out via the CCS Research Marketplace DPS, should a decision be made to go ahead on the basis of responses to the EoI.

Any potential bidders not already on the marketplace will need to register on the Research Marketplace DPS using our chosen keywords (see attachments), and allow up to 15 working days for this process once you have submitted your application.