Renewal of Northern Gas Networks' SAP Cloud Platform Enterprise Agreement (CPEA) for the provision of cloud-based services supporting critical business systems and applications. The agreement provides access to SAP cloud services through a consumption-based model, including cloud credits, platform services, enterprise support and associated SAP cloud capabilities. The services support key operational and business functions and maintain continuity of systems integrated with Northern Gas Networks' existing SAP environment. The contract will be awarded to SAP (UK) Limited and covers the period from 13 May 2026 to 12 May 2027. Estimated contract value: £671,450 excluding VAT.

Procurement Act 2023

Direct award Northern Gas Networks has made significant investment in SAP technologies, including SAP HANA and associated SAP cloud platforms, which underpin a number of critical operational and business systems. The SAP Cloud Platform Enterprise Agreement is intrinsically linked to Northern Gas Networks' existing SAP environment and supports integrated applications, data flows and business processes across the organisation. Procuring an alternative solution would require substantial reconfiguration, redevelopment of interfaces, migration of services and replacement of existing integrations, resulting in significant cost, disruption and implementation risk. Due to the technical interoperability requirements of the existing SAP estate and the need to maintain continuity of critical business services, competition is absent for technical reasons and SAP (UK) Limited is the only supplier capable of providing the required services within the existing environment.

Utilities