Energy & Carbon Management Corporate Folder

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The increasing cost and price volatility of energy means that efficient procurement and use of energy is now a high priority in all organisations. Our long established expertise allows our clients to manage the risks involved in energy procurement and achieve meaningful reductions in energy consumption. Energy & Carbon M A N A G E M E N T OUR CORE VALUES In all our client relationships we are committed to being: • Independent of all suppliers so that we can give genuine balanced advice • Expert in the things that we do, so that our clients can rely upon the solutions that we propose • Highly ethical and transparent in our dealings and transactions with suppliers and clients • To underpin these values Energy & Carbon Management subscribes to the Association of Cost Management’s Code of Practice. OUR GOAL To optimise our clients’ short, medium and long-term energy and carbon costs through the design and implementation of cost-effective purchasing strategies, volume reduction programmes and full legislative compliance.

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Transcript of Energy & Carbon Management Corporate Folder

Page 1: Energy & Carbon Management Corporate Folder

The increasing cost and price volatility of

energy means that efficient procurement

and use of energy is now a high priority in all

organisations.

Our long established expertise allows our

clients to manage the risks involved in

energy procurement and achieve meaningful

reductions in energy consumption.

Energy & Carbonm a n a g E m E n t

Our COre ValuesIn all our client relationships we are committed to being:•Independentofallsupplierssothatwecangivegenuinebalancedadvice•Expertinthethingsthatwedo,sothatourclientscanrelyuponthe

solutions that we propose •Highlyethicalandtransparentinourdealingsandtransactionswith

suppliers and clients•TounderpinthesevaluesEnergy&CarbonManagementsubscribestotheAssociationofCostManagement’sCodeofPractice.

OUR GOALTo optimise our clients’ short, medium and long-term energy and carbon costs through the design and implementation of cost-effective purchasing strategies, volume reduction programmes and full legislative compliance.

Page 2: Energy & Carbon Management Corporate Folder

Energy & Carbon Management is a leading independent UK

consultancy specialising in the procurement and management of

energy and carbon services. Our success is built on a 20-year track

record of consistently delivering strong financial and environmental

results for our clients. 

Recognising the increased value that results from having specialist

advice close at hand, we have organised our service delivery

through a national network of locally-based client managers

backed by a central team of technical and market experts. The

effectiveness of this system is shown by the outstanding loyalty of

our clients, allowing us to boast a 95% client retention rate.

Our goals are clear: to secure the best purchasing terms for our

clients, to reduce the volume of energy which is consumed, and to

ensure they are compliant with all carbon legislation.

Energyandwaterareeconomicnecessitiesforall organisations.

We aim to:

• Securethebestenergypurchasetermsforourclientssothey

buy their supplies at the lowest possible price, respecting the

client-specific energy strategies we have determined together

• Reduceenergyandwatervolumesthroughoptimized

management processes and where appropriate, advanced

technical solutions

• Ensurethatinvoicingreceivedfromsuppliersisconsistentwith

the contract negotiations and free of errors

• Ensureclientscomplynowandinthefuturewithgovernment

regulations, particularly those relating to carbon emissions

• Removetheburdenofcomplexcompliancereporting,

where required.

WHoWEArE

Page 3: Energy & Carbon Management Corporate Folder

Energy & Carbon Management offers clients a turn-key solution shop for all of their energy, water and carbon management needs.  Our core services are:

DataManagementServices(DataHub)At the heart of our state-of-the-art utility management services is a high-quality Data Hub. Energy & Carbon Management invests heavily in information technology, recruitment and trainingtoensurethatourDataHubisabletoprovideDataManagementServicesthatareat the cutting edge of our industry. The result is that all of our reporting and analysis is based on high quality reliable information.

ProcurementManagementServicesWeprovideProcurementManagementServicestoalltypesofclientsfromSMEbusinesses through to blue chip organisations. Our solutions include fixed-price contracting, market tracker funds, flexible risk-managed contracts and green energy procurement. Your energy strategy, which we will define together, will determine which of these solutions is the right one for your organisation.

All our clients, large or small, receive the same service level in relation to the timing of their transactions, making it possible to manage the risks inherent in volatile energymarkets.So,whenthemarketismovingagainstourclients,wemakesurethatthey are not subject to sharp and disproportionate price increases. Equally, when the market moves in the right direction, they are in a position to take maximum advantage of lower prices.

EnergyManagementServicesOurEnergyManagementServicesportfoliousesatwo-levelserviceapproachwhichfocuses on:• Theeliminationofwastagewhichweareabletoidentifyfromin-depthanalysis

of the data relating to your energy usage• Theintroductionofnewbehaviours,managementprocessesandnewtechnologies

in order to reduce energy consumption.With the information technology tools at our disposal, we are able to identify, manage and monitor energy management projects, ranging from the change of control settings to the introduction of smart metering, or the installation of alternative generation plant.

WaterManagementServicesOurWaterManagementServicesconcentrateonboththepriceandvolumeofwaterand sewerage services. We examine all aspects of the tariffs that are available from water supply companies and sewerage providers. This allows us to ensure that pricing of services is optimised. As with our energy management services, we then analyse the volume using a two-level approach. This involves the elimination of wastage and then the introduction of new technologies and behaviours to reduce consumption.

CarbonManagementServicesCarbon is rapidly becoming one of the most dominant areas of the energy market due to the importance and the cost impact of carbon on businesses. Energy & Carbon Management is fully expert in all aspects of compliance reporting required to satisfy schemes such as Carbon Reduction Commitment (CRC), Climate Change Levy Agreements (CCL) and, linked to our procurement strategy, the negotiation of Green Energy contracts which can be surprisingly price competitive.

DATAHUB

Procurementmanagement

ServiceS

energYmanagement

ServiceS

Watermanagement

ServiceS

carbonmanagement

ServiceS

Our serVICes

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WHYCHooSEENErGY&CArBoNMANAGEMENT?• Trackrecord: we know the energy and carbon market and have a

20-year proven track record for delivering exceptional results for our clients.

• knowledgeandexperience: we are an established independent service provider with the technical expertise, experience and market intelligence required to provide high-quality energy management and secure the best purchasing terms for your organisation.

• weundersTandThemarkeT: as the energy markets become more complex with the introduction of new regulations, products, services and legislative compliance needs, you can count on us to develop the right purchasing and management strategies to meet your specific energy requirements. This allows you to focus your time and effort on your core business.

• timing: in terms of managing energy prices, businesses are now aware of the highly volatile nature of the markets so buying at the right time is critical. Energy & Carbon Management aims to protect you against price risk and to capitalise on price opportunity.

 

Our Feesmarketcommissions• Feesforourprocurementactivitiesaregenerallybasedon

commissions included in the energy supply contracts we negotiate on your behalf. We also provide tailored price packages to suit specific client requirements.

sharesavingsscheme• EnergyandWaterManagementServicesaregenerallyprovided

on the basis of a share of savings contract in which there is no up-front fee and we share the benefit of the recommendations that are implemented. We can also provide alternative fee structures on request.

consultancyfees• Carboncomplianceworkandgeneralconsultingactivitiesarecharged

on either a fixed fee or an agreed daily rate basis.

• Giventheincreasingcomplexityofmanagingtheirenergy,waterandcarbon compliance requirements, most organisations now find it far more cost-effective to call on the assistance of experts rather than trying to manage these in-house.

Energy&CarbonManagementLimited, LongleyHouse,InternationalDrive,Crawley,WestSussexrH106AQTel:+4401293651218Email:info@energyandcarbonmanagement.comwww.energyandcarbonmanagement.com

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At the heart of any energy and water management system there must be high-quality reliable data. Our Data Hub and resulting Data Management Services are key to our ability to provide our clients with a range of high-value services.

The high complexity of energy billing procedures means that most organisations

find it difficult and time consuming to check whether their energy bills are correct

and very few are able to use billing data for effective management and monitoring

of their energy consumption. This is where the power of of our Data Hub proves

so valuable, allowing our clients not only to be sure that billing errors are quickly

identified, but also providing exception reporting and both internal and external

benchmarks. As a result, anomalies are rapidly identified and corrected, leading

frequently to both future cost savings and refunds on prior over-payments.

Energy & Carbon Management has invested significantly in specialist state-

of-the-art IT systems and in the creation of a dedicated Data Hub within

our Data Management department. The Data Hub sits at the heart of the

business and generates meaningful reports directly to clients. It also provides

the base data upon which all of our other services are performed.

Energy & Carbonm a n a g E m E n t

DATA MANAGEMENT SERVICES 

OuR CORE VAluESIn all our client relationships we are committed to being:•Independentofallsupplierssothatwecangivegenuinebalancedadvice•Expertinthethingsthatwedo,sothatourclientscanrelyuponthe

solutions that we propose •Highlyethicalandtransparentinourdealingsandtransactionswith

suppliers and clients•TounderpinthesevaluesEnergy&CarbonManagementsubscribestothe

Association of Cost Management’s Code of Practice.

OUR GOALTo optimise our clients’ short, medium and long-term energy and carbon costs through the design and implementation of cost-effective purchasing strategies, volume reduction programmes and full legislative compliance.

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INVOICE VAlIDATIONOur Invoice Validation Service carries out a 35-point check of every invoice which goes into the database to ensure that it satisfies the highest standards of accuracy required.

Invoices are generally checked electronically through our automated bill-checking system and a growing number of suppliers are now providing their data directly to us electronically. We provide reports to clients showing all invoices which have been processed in a particular period or by exception, highlighting those where problems have been identified. Our query resolution service then deals with any error rectification.

As a further enhancement of this service, we also provide an invoice settlement service, in which we manage the payment of the invoices directly with the suppliers on your behalf.

QuERy RESOluTION SERVICESThe purpose of the query resolution service is to take often difficult, complex and time-consuming tasks away from our clients. Queries arise from three principal areas: the invoice, the client or the supplier. Our highly experienced Data Management Team provides a full cradle-to-grave resolution service for all raised queries so they can be effectively resolved.

METERING SERVICESEnergy & Carbon Management will manage all aspects of your metering in relation to meter operating contracts and the AMR agreement. We also project manage the installation of these to ensure that they are done on time and with minimum disruption. We further ensure that the data that has been produced by the AMR is being used in relation to the utility invoices which have been raised and which are subject to the invoice validation procedures.

TENANT RE-bIllING SERVICESFor those clients that have tenants, with or without sub meters, Energy & Carbon Management can provide a fully serviced tenant re-billing programme to ensure that all tenants are re-billed the appropriate proportion of the main incoming invoices on a frequency agreed with the client. This is done right through to the point where the invoice is prepared for release to the tenant. Property management clients, particularly, find this type of service to be invaluable.

FORENSIC AuDITFor all existing clients and new clients, Energy & Carbon Management’s Data Management Department undertakes a forensic analysis of all historic invoices they have reviewed. This ensures that they have been billed and charged correctly, particularly the hidden components within distribution and transmission charges. We have been very successful in identifying a significant number of refunds in this area and others.

TARIFF OPTIMISATIONOne of the most frequently overlooked aspects of managing utilities, particularly in electricity, is the correct application of tariff to any cost. We undertake a very detailed review of every aspect of utility invoices when they are being processed into the database. This ensures that the tariff structures in use are being applied correctly. Tariff Optimisation is an additional service to our procurement management services. Just through the correct application of tariff structures we have been able to find savings of up to 50% of the annual cost on client sites.

buDGET SERVICESOne of the principal reports generated from the data management system are budgets and accrual calculations for all client utility activity.

Working in tandem with your finance department and your budgeting timetable, we can prepare accurate monthly energy flow forecasts and financial budgets for all utilities. Once into the budget year, we also provide an actual-to-budget analysis together with an accrual calculation. The budget reports are produced both in terms of analysis and volumes so that we can compare target consumptions to actual consumption, together with target expenditure to actual expenditure.

ESTATE MANAGEMENT SERVICESClient businesses do not remain static. Invariably we see the need for additional supplies for utilities being demanded by client sites, or indeed to supplies being rendered redundant. Clients acquire sites and also dispose of them. Our estate management service ensures that all meters which require either energisation or de-energisation are done so according to preset timetables with clients. We also provide a full change of tenancy service for clients who are either acquiring or disposing of sites to ensure that all liabilities are properly evaluated.

DATAHUB

DATA SOURCES

Billing Information

Mechanical Meter Information

AMR and HH Information

Client Site Reads

Energy & Carbon Management limited, longley House, International Drive, Crawley, West Sussex RH10 6AQTel: +44 01293 651218 Email: [email protected] www.energyandcarbonmanagement.com

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PROCUREMENT MANAGEMENT SERVICES Over the last five years we have seen prices rise by as much

as 100% and fall by as much as 50% in a 12-month period.

Energy & Carbonm a n a g E m E n t

OUR GOALTo optimise our clients’ short, medium and long-term energy and carbon costs through the design and implementation of cost-effective purchasing strategies, volume reduction programmes and full legislative compliance.

OUR CORE VAlUESIn all our client relationships we are committed to being:•Independentofallsupplierssothatwecangivegenuinebalancedadvice•Expertinthethingsthatwedo,sothatourclientscanrelyuponthe

solutions that we propose •Highlyethicalandtransparentinourdealingsandtransactionswith

suppliers and clients•TounderpinthesevaluesEnergy&CarbonManagementsubscribestotheAssociationofCostManagement’sCodeofPractice.

Electricity Annual Pricing Curve

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THECHAllEngE The challenge for all businesses buying utilities in today’s

deregulated market is how to manage their long-term energy

costs in an environment of rapid and significant price volatility

The markets, too, have become much more sophisticated

resulting in a myriad of complex new products which

organisations can use with different suppliers and which are

geared to eliminating some of the risks involved in procurement.

For certain supplies, access to price is becoming more difficult

or is time restricted. Credit insurance has also become vital

with many users being denied offers or having to pay significant

security deposits.

The procurement service which Energy & Carbon Management

has developed addresses all of these key issues. We offer a

complete procurement solution from the smallest SME business

through to the largest blue chip corporate client.

When the market moves against our clients, we ensure that

they are not subject to sharp price increases. Equally, when

market conditions are favourable, our clients can take maximum

advantage.

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Our methOdOlOgy is simple and straightfOrward. All clients are different in their structure, mix of supplies and volumes used. More importantly, clients have different credit risk profiles and appetites for their involvement in the procurement process and for the risks that they are prepared to take in attempting to obtain the best possible prices available. We have therefore designed a system to create bespoke procurement strategies for each of our clients which meets their specific needs based on their particular risk, credit appetites and profiles.

At the heart of the procurement policy is the concept of Continual Market Price Assessment. As soon as we have entered into a contract on behalf of our client we immediately start monitoring the market in relation to the prices available for the subsequent contract. We also report to each client on how the market has moved, translating those reports into the clients’ own budgets and budgetary totals.

Energy & Carbon Management Limited forecast budget reports can be issued on a daily, weekly or monthly basis. Our clients never have surprises in terms of sudden and unexpected movements in budget. Our philosophy is to keep you fully informed at all times.

we have a three-step prOcess as fOllOws:1 risk profile: the client’s own appetite for risk in terms of the products that may be

available to them and their credit risk in the market, is assessed.2 product evaluation: once the Risk Profile is established, we undertake a Product

Evaluation in order to establish which products are available from which suppliers for the volumes that a particular client may have.

3 procurement strategy: a further meeting with the client reviews all of the products which are available in the context of the risk profile which has been established. A procurement strategy then evolves which is unique to that client and which will then be implemented by our Procurement Team.

each client-specific prOcurement strategy is unique. Common to all strategies however, is the concept of constant and Continual Market Assessment. We have developed a wide range of Procurement Strategies. Some of the most popular include: 1 fixed priced contracting: 100% of the energy load is procured in a single contract for

an agreed period of time. The fixed price strategy is always offered with a dynamic cap linked to Constant Market Price Assessment.

2 flexible contracts: the alternative to Fixed Price Contracts are Flexible Contracts and here there are a huge number of options. The principal idea behind all of them is to reduce the risk of contracting all the electricity at a high price by spreading that risk across a number of transactions, the number of which will be dictated by the size and type of client volume being contracted and the various supplier products available.

The simplest form of Flexible Contract is a Market Tracker with which on a monthly or quarterly basis, the client takes whatever price the market gives for that period of time. In the medium term the client should achieve a market average price.

A variant of the Market Tracker is to have a part fixed and part tracker contract, in which the client agrees to fix a proportion of the volume at a set market rate and allows the remainder to float. A proactive, dynamic cap is placed to monitor the market and contract the fixed element while the floating element moves with the market average.

Flexible purchasing can be further extended by breaking down the client’s supply requirements into a number of separate transactions and contracting each of those according to a specific strategy, thereby spreading the risk. Each transaction within the purchasing strategy is subject to our Constant Market Price Assessment.

risk prOfile

prOduct evaluatiOn

prOcurement strategy

PROCUREMENT SOlUTIONS

PROCUREMENT STRATEGIES

THEPROCUREMENT PROCESS

Page 10: Energy & Carbon Management Corporate Folder

Energy&CarbonManagementlimited, longleyHouse,InternationalDrive,Crawley,WestSussexRH106AQTel:+4401293651218Email:info@energyandcarbonmanagement.comwww.energyandcarbonmanagement.com

FIxEDoRFlExIblEConTRACTSThere is no right or wrong answer as to whether fixed or flexible

contracts should be used for any particular client. Fixed contracts

do have the attraction of requiring minimal input from the client

and transacting the entire energy load at the same time, thus

‘putting to bed’ the issue for a period of time. However, it does run

the risk of the contract being secured at a price higher than could

be achieved under a flexible contract structure. Flexible contracts

require clients to have more of an input into the procurement

strategy and its execution, but provide a number of additional

benefits such as the ability to transact contracts very quickly and

access to a range of products that are not available under a fixed

contract regime.

WoRkIngWITHuSThe Procurement Strategy is agreed between the client and

their Client Manager and thereafter the Procurement Analyst

takes over to implement the strategy. An agreed reporting

frequency is put into place, providing forecasting and reporting

on a daily, weekly or monthly basis to each client. As the

predetermined trigger points are hit within each strategy,

the transactions are undertaken on the client’s behalf.

RESUlTSEnergy & Carbon Management has an envious reputation in

terms of results and with the proven methodology which we

have developed over recent years, we are confident in the value

that unique procurement strategies bring to each of our clients.

These strategies have been shown to satisfy our clients’ needs

and provide the best possible opportunities to secure effective

competitive pricing in these increasingly volatile markets.

Page 11: Energy & Carbon Management Corporate Folder

Energy & Carbonm a n a g E m E n t

ENERGY MANAGEMENT SERVICES

Our Energy Management Services programme focuses on reducing energy consumption volumes on a site by site basis. When combined with our Procurement Services programme, this makes for a very powerful approach for the management, control and reduction of utility costs generally.  In addition, the proactive energy management service which we offer assists those clients who are exposed to Carbon Reduction Commitment (CRC) reporting in reducing their carbon payments and also assists those clients who are involved in utility management programmes such as CCL to achieve their objectives.

Energy Management Services can be run in conjunction with various potential funding sources and enhanced capital allowances. They can also relate directly to programmes being undertaken under Climate Change Levy Agreements and in relation to the Carbon Trust.

OUR GOALTo optimise our clients’ short, medium and long-term energy and carbon costs through the design and implementation of cost-effective purchasing strategies, volume reduction programmes and full legislative compliance.

OuR CORE VAluESIn all our client relationships we are committed to being:•Independentofallsupplierssothatwecangivegenuinebalancedadvice•Expertinthethingsthatwedo,sothatourclientscanrelyuponthe

solutions that we propose •Highlyethicalandtransparentinourdealingsandtransactionswith

suppliers and clients•TounderpinthesevaluesEnergy&CarbonManagementsubscribestotheAssociationofCostManagement’sCodeofPractice.

Page 12: Energy & Carbon Management Corporate Folder

Ourenergymanagementobjectives: • Toeliminatewastageofenergyon

all client sites through identifying behavioural change and control change which can bring about rapid cost-free savings.

• Toidentifytechnologicalchangewhichcan then bring about a wholesale reduction in the energy consumed in various aspects of a client’s building.

• Tolookatalternativeformsofgeneration,which may in the long run, provide greener and lower cost generation sources.

WASTAGE ElIMINATIONThe elimination of wastage is primarily a desktop service provided through the analysis of good-quality data taken from our Data Hub. We benchmark this data against other similar sites or similar sites from within a client database. Alongside benchmarking, we carry out an in-depth interrogation of all available half-hourly electricity data and AMR-generated electricity and gas data. The accurate data allows us to precisely profile supply consumption patterns.

From the benchmarking and interrogation analysis, we produce reports for our

OursErvICEAPPrOACHEsEnErgyMAnAgEMEnTAT THrEE lEvEls 

clients which identify those sites which are inefficient and which raise questions over the efficiency of energy usage on the sites. The recommendations which we produce for our clients within Wastage Analysis are no-cost and low-cost solutions:  Where we have identified from consumption profiles that usage of power and gas is plainly inefficient, solutions can generally be made through behavioural change. We undertake specific analysis of all information provided and, for example, look at the load factor, power factor and night usage proportions for electricity. We then normalise the data for comparison on a like-for-like basis, such as energy per square metre or per cubic metre, per capita or per unit of output, or according to any other metric which may be relevant for a particular client. Generally, we identify the simple, low-cost, or no cost changes that can be made to the way in which energy is consumed. This can generate significant and realistic savings for a client very quickly. As part of the wastage elimination services we also identify areas in metering, or other technical aspects to do with the measurement of energy, which can provide significant reductions in measured consumption and therefore cost.

TECHnOlOgyCHAngEThe second level of the service is aimed at introducing new technologies where capital investment is generally needed in order to create a saving. Energy & Carbon Management undertakes a full project appraisal to identify the cost-benefit analysis of any particular technological change. Where the recommended energy saving solutions are approved by the client, we are fully equipped to provide all the necessary project management to ensure rapid installation and implementation. Some of the technologies which we will look at on behalf of our clients can include: voltage optimisation, power factor correction, lighting and lighting controls, boiler controls, air-conditioning analysis and motor speed controls.

AlTERNATIVE GENERATIONThe third and final level of our Energy Management Services relates to sourcing alternative generation and in this area we examine feed-in tariffs available and the economics of investing in micro generation, on site generation or, alternative local generation sources which may be available to a particular client in a particular area.   All our Energy Management Services can be run in conjunction with various potential funding sources and enhanced capital allowances. They can also relate directly to programmes being undertaken under Climate Change Levy Agreements and in relation to the Carbon Trust.

Wastage

elimination

teCHnologY

CHange

alternative

generation

reDUCing energY volUmes

Energy&CarbonManagementlimited, longleyHouse,InternationalDrive,Crawley,WestsussexrH106AQTel:+4401293651218Email:info@energyandcarbonmanagement.comwww.energyandcarbonmanagement.com

Page 13: Energy & Carbon Management Corporate Folder

Energy & Carbonm a n a g E m E n t

CARBON MANAGEMENT SERVICESThe carbon market is one of the most rapidly expanding markets in the world. Businesses are becoming increasingly aware of their obligations to reduce their environmental impact, and for larger companies, the management of carbon is becoming a feature in corporate responsibility statements. Our Carbon Management Service uses the information collected from our Data Hub and combines it with our Energy Management Service to effectively measure, monitor and manage each client’s carbon footprint. Access to green energy contracts through our Procurement Service coupled with a sophisticated method of buying Carbon Credits, enhances our clients’ Carbon Management Strategy giving them the ability to deal confidently with future challenges and demonstrate their achievements through strong and meaningful corporate responsibility statements.

As the carbon market continues to unfold in the UK, the need to purchase carbon credits within a volatile market has emerged. Combined with our reporting services, we offer a Carbon Credit Procurement Service.

OUR GOALTo optimise our clients’ short, medium and long-term energy and carbon costs through the design and implementation of cost-effective purchasing strategies, volume reduction programmes and full legislative compliance.

OuR CORE VAluESIn all our client relationships we are committed to being:•Independentofallsupplierssothatwecangivegenuinebalancedadvice•Expertinthethingsthatwedo,sothatourclientscanrelyuponthe

solutions that we propose •Highlyethicalandtransparentinourdealingsandtransactionswith

suppliers and clients•TounderpinthesevaluesEnergy&CarbonManagementsubscribestotheAssociationofCostManagement’sCodeofPractice.

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Purchase of carbon

credits

calculation of carbon footPrint

calculation of annual

crc return

crc registration

CARBON MANAGEMENT STRATEGyThe volume of carbon for which any organisation is responsible is directly related to the quantity of energy it consumes. Our Data Hub provides the backbone of the information that is used within all carbon reports. Using our Procurement Management Services, we can specifically tailor energy supply contracts to be based on standard energy, part green energy, or full green energy. Having the right procurement strategy in place can influence certain aspects of carbon reporting and help to strengthen any organisation’s corporate responsibility statement. Our Energy Management Service, which is geared to eliminating wastage and then reducing energy volume, is a complementary service to our Carbon Management Service. The policies which are enacted by Energy Management Services will have the direct impact of reducing carbon volumes.

Dependant upon the carbon reduction programmes our clients are involved with, the Carbon Management Service then produces all the reporting to ensure compliance with the various schemes they are involved with. These schemes may be purely for in-house information, related to a Climate Change Levy Agreement, a Carbon Trust initiative, or for the Carbon Reduction Commitment Scheme which is explained in detail below.

REGISTRATIONThe registration limits for the Carbon Reduction Commitment are 6 million kWh of electricity taken through half-hourly settled electricity meters by one single organisation. The definition of an organisation is complex but essentially relates to the highest parent business for any group of businesses. If half- hourly electricity consumption exceeds the 6 million kWh level, then there is a mandatory obligation on behalf of clients to register with the Carbon Reduction Commitment Scheme and engage with it.

The consequences of non-compliance are important, as failure to register and participate or to provide information which shows that participation is not necessary, can result in penalties.

FooTPrInTsAnd AnnuAlrEPorTIngCarbon Footprint calculation and subsequent annual reports are detailed audit requirements which need to be carried out for every phase of the Carbon Reduction Commitment. We have all the necessary expertise to successfully complete annual footprint reports for our clients.

The audit work is complex and time-consuming and accuracy is absolutely essential. Reports must be submitted for the correct periods and by specified deadlines. Failure to do so can result in significant penalties being levied. Through exploiting the analytical and reporting capacities of Energy & Carbon Management’s technologically advanced Data Hub, we ensure

carbon ManageMent

serVices

carbon rePorting

carbon credit ProcureMent

corPorate resPonsibilitY

stateMent

data hub

energY ManageMent

serVices

ProcureMent ManageMent

serVices

that clients’ audit reports are produced on time and to the required levels of precision.

The resultant calculations of the volume of carbon which is being generated by a particular organisation has a direct financial implication and can be managed.

Through our Energy Management Services programmes, we assist our clients in eliminating wastage and therefore, the amount of carbon which they report. By actively reducing their energy consumption, our clients can reduce the amount of carbon credits they will need to purchase.

CArbonCrEdITPurCHAsEsFor qualifying organisations, carbon credits will need to be purchased by 2012. Initially, there will be a regulated price framework but when this is deregulated in the medium term, it is estimated that the price of Carbon Credits could triple, from an initial price estimated to be a 10% surcharge on energy bills to a 30% surcharge based on late 2011 price levels. For larger consumers it is essential that a robust Carbon Commitment programme is conceived and implemented so as to generate savings, both through reduced energy purchases and the reduced amount of Carbon Credits that will need to be purchased in the future.

As with all Energy & Carbon Management programmes, the provision of clean, accurate and complete data is absolutely essential to an effective Carbon Commitment programme, linking back once more to the Data Hub which sits at the centre of our business.

CArbonrEduCTIonCoMMITMEnTsCHEME(CrC)

Energy&CarbonManagementlimited, longleyHouse,Internationaldrive,Crawley,WestsussexrH106AQTel:+4401293651218Email:info@energyandcarbonmanagement.comwww.energyandcarbonmanagement.com

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Energy & Carbonm a n a g E m E n t

WATER MANAGEMENT SERVICESThe cost of water and sewerage has risen consistently year-on-year since the deregulation of the water industry over 20 years ago.

Despite significant attempts to introduce competition into the water and sewerage industry, there is limited capacity for any client to engage with a provider of water or sewerage services other than their local monopoly supplier. Within that context Energy & Carbon Management has developed a Water Management Service which concentrates on the two fundamental aspects of water and sewerage costs: price and volume.

Our Water Management Service has been developed to undertake a constant year-on-year review of the tariff structures which suppliers offer thus ensuring that client prices are minimised. This approach is coupled to an ongoing and continuous review of water volumes geared to eliminating waste and reducing volume. Our analysts review every supply regularly to ensure that savings are sustained and consumption does not increase in the future.

OUR GOALTo optimise our clients’ short, medium and long-term energy and carbon costs through the design and implementation of cost-effective purchasing strategies, volume reduction programmes and full legislative compliance.

OuR CORE VAluESIn all our client relationships we are committed to being:•Independentofallsupplierssothatwecangivegenuinebalancedadvice•Expertinthethingsthatwedo,sothatourclientscanrelyuponthe

solutions that we propose •Highlyethicalandtransparentinourdealingsandtransactionswith

suppliers and clients•TounderpinthesevaluesEnergy&CarbonManagementsubscribestotheAssociationofCostManagement’sCodeofPractice.

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VOluME ANAlYSISOnce our tariff analysis work is complete, we then seek to reduce the volume of water consumed and sewerage disposed.

Our analysis falls, as it does with our Energy Management Service, into three categories:1 The elimination of wastage2 The introduction of new technology in

order to reduce water volumes3 Investigation into alternative water

sources or disposal methods.

1 WASTAGE ElIMINATIONWastage elimination is generally carried out through the analysis of volume utilisation and the benchmarking of those measurements against similar properties of other clients or of the same client. Here we are looking to benchmark water against the factors driving the consumption level, which can be either the number of people who are working in a building, students in a college or the output of a factory where water is an intrinsic part of the product, for example, bread or concrete.

Waste can generally be identified quite quickly from the desktop analysis and we then follow through with an on-site survey in order to identify precisely where the wastage has arisen and what needs to be done for savings to be secured.

TARIff ANAlYSISThe water industry is fundamentally developed on the basis of available public tariffs, as opposed to any kind of private arrangement that can be reached between a user and the water or sewerage provider.

UK water companies generally publish their tariffs on 1 April each year which apply for a 12–month period. Tariffs are becoming increasingly sophisticated and complex and generally cover the following components of all charges:

Water supply Water meter standing charges Foul sewerage removal costs Foul sewerage standing charge Rateable value or area based surface

water drainage charges Highway drainage charges Trade effluent charges

Based on the data that we have processed through our Data Hub, we carry out in-depth analysis of each client’s situation. The volumes of water and sewerage which are currently being purchased are bench-marked against all available tariffs. This ensures that correct pricing has been applied and shows whether opportunities exist to generate a financial saving for a client. Energy & Carbon Management then takes over the administration and implementation of those savings to ensure an effective and rapid conclusion.

Water tariffs that are available are extensive and complex in nature. An expert and rigorous approach is necessary to ensure that costs are not only minimised but maintained at the lowest level from one year to another.

As part of the tariff analysis service which we provide for water and sewerage, we make sure that all tariffs are reviewed on an annual basis to ensure that our client is paying the correct price each year.

We also build a profile of how our clients operate and can often identify additional savings, which can be generated from either trade effluent charges, particularly sewerage charges, and meter sizing. We further analyse surface area measurement charges which are particularly expensive throughout the Midlands and the North of England.

Client premises

inComing Water

Foul seWerage & trade eFFluent

surFaCe Water & HigHWay drainage

2 NEwTECHNologyDefining opportunities for the introduction of new technologies in order to reduce water consumption, is a service which we propose to all our clients as there are certain solutions which can be applied to almost all water-using sites. There are also differences in requirements and some clients may need specific technologies applied to gain the maximum reduction in water consumption. Generally, the capital return on water-saving equipment is attractive and clients can expect good returns on their investment.

3 AlTERNATIVE WATER SOuRCESFor those clients who have a demand for non-potable water, there can be significant scope to look at alternative water sources. Energy & Carbon Management is experienced in carrying out the full survey and project management work required to take ideas from the drawing board through to final completion and commissioning.

As new technologies or new water sources become available, we bring those to our clients’ attention on a regular basis. Through the use of our Data Hub, we ensure that those savings which have been realised, through either the elimination of wastage, application of new technology or the utilisation of alternative supply sources are maintained on an ongoing basis to the client’s benefit.

Wastage elimination

Volume reduCtion

teCHnology

alternatiVe sourCes/disposal metHods

reduCing Water Volumes

Energy&CarbonManagementlimited, longleyHouse,InternationalDrive,Crawley,westSussexRH106AQTel:+4401293651218Email:info@energyandcarbonmanagement.comwww.energyandcarbonmanagement.com