Thousands of council homes across Renfrewshire are set to benefit from heating upgrades after councillors approved a contract worth up to £18.1 million.

The Finance, Resources and Customer Services Policy Board agreed to award a contract to McTear Contracts Limited for the replacement of boilers and full gas heating systems in council-owned tenanted properties.

Council documents show the contract has a maximum value of £18.079 million, excluding VAT, and will initially run for two years from 13th July 2026, with the option to extend it by up to two further years.

Procurement documents published by the council state the programme is expected to cover the replacement of boilers in around 1,300 tenanted properties and the replacement of full gas heating systems in approximately 3,400 council homes across Renfrewshire.

The council said the contract would ensure it can continue carrying out the replacement and maintenance of boilers and heating systems throughout its housing stock.

A total of 61 companies expressed an interest in the contract, with 14 firms submitting bids.

Following an evaluation process, McTear Contracts Limited achieved the highest overall score and was identified as the most economically advantageous tender.

As part of the contract, the company has also committed to a number of community benefits. These include creating two modern apprenticeships, providing eight work experience placements for people aged 16 and over who are not currently in employment, education or training, and offering financial support to four social enterprises in Renfrewshire.

The cost of the programme will be met through the council’s Housing Revenue Account Capital Programme budget.

During discussion of the item, Councillor James McLaren questioned whether replacing gas systems with further gas systems was the right long-term approach given future decarbonisation targets.

Council officers said the programme currently involves replacing existing gas systems on a like-for-like basis, while the authority continues to consider alternative technologies such as air-source heat pumps, ground-source heat pumps and electric heating systems as part of future housing investment plans.

By Ricky Kelly

Main writer for Renfrewshire News

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