Crown Commercial Service
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Government Procurement Service work with MoD, DWP and DoH to deliver additional £25m savings per annum in energy costs

On 1 April 2012 Government Procurement Service successfully completed what is understood to be the largest electricity and gas supply meter transfer in British history.

The project, led by the Government Procurement Service energy team, involved changing the supplier of electricity and gas for 21,831 public sector sites, primarily across Ministry of Defence, Department for Work and Pensions and Health estates.

By transferring these sites to our frameworks, their electricity and gas requirements were aggregated to deliver lower cost energy though trading and tendered single source frameworks for Gas, Non Half Hourly Electricity and Half Hourly Electricity. 

This project is further evidence of Government Procurement Service successfully delivering procurement saving for tax payers following the Government’s Spending Review in 2010 and the formation of the Efficiency & Reform Group.

The successful transfer means we will deliver an additional £25m of savings in the financial year 12/13 through state of the art trading and the application of lower supply chain costs to sites.  A similar level of additional savings is anticipated for subsequent years.

Sid Cox (Director of B2B, EDF Energy) commented:

“EDF Energy has a proven track record of successfully delivering site and meter transfer projects.  In our experience the scale of this transfer project, managed by Government Procurement Service, is unprecedented. The successful completion of this project is a significant achievement for Government Procurement Service, its customers and suppliers.  This has only been achieved through careful planning and implementation, with high levels of focus and determination on all sides.

For its part, EDF Energy has ensured the smooth transition of around 2,000 Half Hourly sites as part of this project which is testament to the partnership that our organisations are continuing to build.”

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