Methodist Homes
An energy procurement and bureau service aligned with a value-led approach.
Methodist Homes (MHA) run 90 care homes, 72 retirement living schemes and 61 Live at Home schemes providing care to over 18,000 people throughout the UK.
Like many housing associations, MHA were seeking new ways to save money on energy and provide value to their residents. Inspired have helped the MHA to achieve this by buying their energy better and providing bureau services that accumulate significant cost savings.
Background
MHA needed an energy procurement and bureau service that aligned with their value-led approach.
The end objective was to be able to provide value for money to their residents. They were particularly concerned about energy consultant charges. For this reason, they wanted a transparent service with a fixed fee that would give them greater control over their energy costs.
Historically, MHA had experienced problems when changing supplier, due to estimated meter readings and incorrect data.
Solution
Inspired were able to agree a fixed fee for their services. This provided MHA with the budget certainty that they were looking for.
A full analysis of the MHA portfolio was carried out to allow us to identify which type of procurement contract and bureau services would help the housing association to meet their goals. A comprehensive and detailed Service Level Agreement (SLA) was agreed.
cost savings
Multi-site portfolio management
Semi-flexible procurement
Bill validation
Energy Management Software (EMS)
“Inspired has helped us change the way we buy energy. As a charity, we can pass these benefits on to our residents by reducing their energy costs.”
Lorna Baker, Procurement Manager
Outcome
Inspired have been able to significantly reduce the administration burden of managing the MHA’s energy strategy.
Multi-site portfolio management
- We fully managed the transition to new supplier.
- Validated meter readings and arranged for the historic data transfer.
Semi-flexible procurement
- Allowed energy to be purchased on a quarterly or half-yearly basis, leaving an open position to benefit from a falling market.
Bill validation
- Utility invoice and query management.
- Identification and correction of incorrect meter readings.
- VAT and CCL corrections.
- Change of tenancy (COT).
- Disconnection and reminder notices.
- Supplier account reconciliations.
Metering solutions
- Metering and cabling services have been provided to assist with site operations.
Energy Management Software (EMS)
- Access to our unique online energy dashboard which displays energy management and financial reports, copies of utility invoices and billing queries.
ESOS compliance
- Provision of a qualified ESOS lead assessor.
- Collation of annual energy consumption.
- On-site ESOS compliant energy audits.
- Full energy consumption profiling.
- Creation and maintenance of the required comprehensive Evidence Pack.
- Provision of full site energy survey reports detailing all energy efficiency improvements available.
Over
billing errors recovered
Results
We were able to provide semi-flexible procurement allowing the MHA to take advantage of favourable market conditions. Saving approximately 30% on their energy bills.
Our bureau services have improved billing accuracy. We have been able to identify and recover over £127,000 in year 2.
The MHA can now access their energy consumption data and calculate the cost-per-resident. Allowing them to define accurate budgets for energy expenditure.
Our energy management software has also allowed them to easily identify high consumption sites and recommend energy saving initiatives.
Assisting with metering operations has helped the MHA to reduce costs and meet project deadlines.
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