Empowering Portsmouth City Council with greener and cost-effective energy solutions

Transforming energy procurement for a sustainable future

Introduction.

Portsmouth City Council, the local authority for Portsmouth in Hampshire, England, also manages energy supply contracts for Gosport Borough Council. Their estate comprises 1,244 gas and electricity meters, consuming over 83 GWs of gas and power. In January 2020, the Council sought to explore new procurement options, aiming to discover innovative, value-added services within the energy market. This case study highlights the successful collaboration between Portsmouth City Council and eEnergy, resulting in cost savings, increased competition, and a greener energy supply.

The Challenge.

For over a decade, Portsmouth Council had been procuring energy through the same public buying organisation. The Energy Team was keen to investigate alternative OJEU frameworks to uncover potential benefits and innovations. The tender process was intricate due to the multitude of competitors’ offers and the time constraints imposed by the COVID lockdown.

Objectives.

The bespoke tender aimed to:

1. Conduct a risk strategy workshop.
2. Source better value for upcoming renewal contracts.
3. Maximise competition for site-level bids.
4. Negotiate preferred MOP appointments.
5. Negotiate customised VT requirements.
6. Explore bespoke tariffs for sites with battery storage.
7. Assist with legacy supplier issues to aid mobilisation.
8. Obtain 100% green energy

The Results.

Through collaboration with eEnergy, Portsmouth City Council achieved:

• A £351,276 (6.5%) reduction in energy costs compared to current rates.
• Evaluation of 62,654 tariff offers at meter level using eEnergy’s software.
• 10 different suppliers bidding for business.
• Over 1,200 meters switched on time.
• 3-year budget certainty for all NHH sites.
• 100% green energy for all electricity tenders secured at no extra premium, contributing to sustainability targets.