Online
auction

For businesses wanting fixed price contracts, we offer an online energy market. This involves a reverse auction tendering, whereby energy suppliers compete for our clients’ business. There’s no hiding place with this level of competition, so suppliers have to offer the very best price available on the market.

Part of the process is automated, but sometimes a human has to step in. The buyer might want specific terms and conditions to be met; wholesale prices can fluctuate after the auction; other contract issues might need to be dealt with. A team of professional energy brokers and risk management experts oversee the tender process and auction to ensure the best results.

  • All major UK suppliers use our software to submit their auction bids
  • Buyers and sellers can check and compare live bids during the auction
  • We host the only auctions to accept multiple bids, encouraging suppliers to sharpen their pencils
  • On the day of trading, all kinds of energy contracts can be compared instantly
  • When the auction’s over, we provide a comparison report to advise on options and timing

Online tender for
flexible purchasing

Traditional fixed price contracts aren’t for everyone. Savvy energy buyers look for more sophisticated, flexible options, which can help with risk management and hedging strategies. For our full tender service, we run an auction to find the best fixed price to use as a benchmark. We follow up with comparison analysis of all suitable flexible purchase contracts.

The costs of flexible purchase contracts are compared against each other and the fixed price contract costs, all fully delivered. We use fully transparent mark-to-market techniques for this.

Our custom-built online systems can compare any type of flexible purchasing contract. Even sophisticated energy buyers sometimes overlook the hidden margins and risk premiums that can be included in purchasing contract offers. We don’t.

Contract
reverse
engineering

We use Contract Reverse Engineering service to assess new clients’ existing supply contracts or offers.

This involves the same methods we use to compare complex flexible purchasing contracts in our tender process. And it allows us to reverse engineer contracts to uncover hidden margins and risk premiums, which even experienced buyers can fail to spot.

The table below shows how we were able to unearth a further £1.24m in negotiable charges from a £24m flexi contract after the buyer had seemingly exhausted all his options.

Contract reverse engineering software gives customers more negotiation power with suppliers in the final stages of settlement.

Energy component Reason for examination Negotiable savings
BSUoS Too high in comparison to other suppliers £150,000
FIT Undeclared on the contract offer £480,000
Imbalance risk Premium too high compared to industry £57,600
Shape / residuals Base load locked but not residuals £48,000
Demand weighted energy Weighted only first year but not indexed £67,188
Aggregated price difference Risk premium for 8 part STOD £40,800
Spot price / risk harnessing Using new risk management techinques £403,128
£1,247,316

OJEU Compliant Tendering

We are able to deliver the above tender solutions in an OJEU compliant way via our formal bespoke OJEU tender framework in line with the Public Contracts Regulations 2016.

This solution not only gives control back to public organisations in regards to buying energy, it is also proven to deliver proven savings in terms of time and money.

  • In Feb 2015 the Public Contracts Directive changed allowing new opportunities for public sector organisations
  • Following successful benchmark trials Beond carried out the first bespoke OJEU tender process in 2015
  • This involved pioneering the first accelerated OJEU energy E-Auction – 25 day tender

The challenges were to:

  • Compete against volume offers provided by the consortium buying group
  • Attract 12, 24 and 36 month bids during a period where regulatory changes were restricting market offers (due to new tax changes that hindered long term bids)
  • To providing the first online multi-scoring reverse auction, with live prices and qualitative displays for nine competing suppliers simultaneously
  • Register contracts within 8 days of the OJEU contracts being awarded

Beond has gone on to deliver multiple OJEU compliant tenders delivering real value to our clients.

Water & Waste Water Procurement

Procurement for water services in Scotland

  • Beond work with all leading water suppliers in Scotland
  • Beond can support you in procuring for water, waste water and trade effluent services
  • Beond typically find up to 25% savings on your water & waste water costs
  • Beond can facilitate water efficiency surveys and water meter loggers/AMR
  • Beond can also carry out a no obligation audit of your historic water bills to identify savings

Procurement for water services in England

  • Beond work with all leading water suppliers in England
  • Beond can support you in procuring for water, waste water and trade effluent services
  • Beond typically find up to 5% savings on your water & waste water costs
  • Beond can facilitate water efficiency surveys and water meter loggers/AMR
  • Beond can also carry out a no obligation audit of your historic water bills to identify savings

 

To find out more about any of the above services please do call us on +44 20 8634 7533 or email info@beondgroup.com.