Energy

How do AF secure best value for your energy contracts?

03 February, 2021

AF can manage your electricity, gas and water contracts - but how do we ensure you're getting the best value?
The auto-renewal for our energy contracts portfolio is a complex process which we undertake in-house to ensure that we are delivering best value for your supplies.

Collate and validate
The process begins with a large data validation exercise. For every site that's being renewed we check that all of the information that we currently hold is correct. We also collate and verify the last 12 months’ consumption data for both half hourly and non-half hourly supplies. Please note, if we don’t have current meter readings for a non-half hourly supply the annual consumption data may be estimated.

Pre-Qualifying Questionnaire
We prepare a Pre-Qualifying Questionnaire (PQQ), which outlines all of the important criteria that we require our suppliers to meet in order to enter into a contract. It seeks to establish the value proposition unique to each supplier, demonstrate performance and identify that each supplier’s values are aligned to those of AF and its’ members. It's an extremely effective tool that allows us to only shortlist those suppliers which can demonstrate that they are able to provide the level of service that we strive to deliver.

Invitation To Tender
We also prepare an Invitation to Tender (ITT). We send this to the shortlisted suppliers together with the validated site information. Suppliers are requested to respond with their prices and detailed contract documentation. The ITT is designed to ensure that suppliers provide the same information so that it can be compared. It sets out a clear evaluation criteria so that suppliers understand how their responses will be scored.

Market conditions
The energy market is closely monitored and suppliers will be invited to respond to the tender when market conditions appear to be most appropriate. Once the contracts have been agreed for the October ’21 renewals we will write to members to confirm the details.

If you have any questions around the energy procurement process, please don’t hesitate to contact the Energy team by calling 01603 881881 or emailing energy@theafgroup.co.uk.

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How do AF secure best value for your energy contracts?

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