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Preffered bidders announced for government’s smart meter contracts

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The government have announced that the preferred bidders for their smart meter contracts are Capita, Arqiva, Telefonica and CGI.

The Department of Energy and Climate Change (DECC) have announced that Capita has been named as the preferred bidder for the data and communications company (DCC) contract.

The contract will be worth an estimated £175 million over 12 years and the DCC is described as a ‘key element’ in the roll out of smart meters by the Decc and will be responsible for contract managing the services, which it needs to communicate with the smart meters.

CGI, which was formerly Logica, has been named as the preferred bidder for the Data Service Provider (DSP) contract, which manages the large volumes of transactional data that flows through the system.

It will be an 8 year deal worth around £75 million.

Telefonica has been named as the candidate for the central and southern regions Communications Service Provider (CSP). The contract is to be worth around 1.5 billion over 15 years.

The contract for the northern regions is to be awarded to Arqiva, a 15 year contract worth an estimated £625 million.

The Communications Service Providers will provide communications between the DCC and the consumer premises.

A spokesperson for the DECC said “In preparing for the roll out of smart meters, we have today informed bidders of the outcome of the competitions to put in place the DCC which will link smart and electricity meters with energy suppliers and network operators.

“These decisions remain subject to contracts being concluded, which will occur in the next few weeks after which we will make a statement to Parliament”.

There could be a net benefit to consumers, suppliers and network and transmission operators of up to 6.7 billion if the smart meter rollout scheme is successful.

 

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