The client provides innovative technical solutions for the metal recycling industry.
The client came to Inenco when large increases in renewal prices started to affect their financial projections. The client was looking for ways to mitigate these future increases through procurement and energy management solutions. After advising the client around energy procurement options, Inenco also identified additional options available to reduce the client’s energy costs.
Initially, the customer was unaware of the financial benefits of schemes such as EII (Energy Intensive Industries) exemption, CCA (Climate Change Agreement) management, invoice validation and streamlined reporting to their business.
First, Inenco proposed to trade under a wholesale risk managed strategy, giving the client certainty, whilst also allowing flexibility from any downward market movement.
To supplement the procurement offering, the client also required more visibility of cost and consumption usage to help with forecasting when setting accurate budgets.
Moving the client over to our digital portal allowed them to view all their information in a relevant format to them at the touch of a button. Streamlining their data aided simpler energy management.
We identified an opportunity for the client to join a new scheme for EII which would allow them to claim relief on some non-commodity costs of up to 85%.
First, we aligned the client’s December renewal date with our portfolio and renegotiated a temporary fixed price contract to align the client’s end date with our portfolio start, whilst ensuring they were protected from market increases.
Inenco’s invoice validation and bureau services allowed the client to budget more accurately, further into the future and ensure monthly that the invoicing is correct and the finance department within had accrued the correct amount.
Following an initial scoping assessment, Inenco prepared and validated the compensation application form, whilst providing technical advice throughout this process. We now provide ongoing technical support to ensure compliance with the scheme, whilst providing the client with quarterly eligibility reviews and preparing and validating the annual return form. To ensure further compliance with another voluntary scheme (CCA) Inenco provided a tailored approach to ongoing compliance in turn, secured savings on their Climate Change Levy (CCL).
We assisted the client of a large pan-European manufacturer in the metal industry, to develop an energy strategy that included procurement, bureau services and relevant compliance schemes to realise annual savings of £153,707, which is a 25% reduction on their overall energy cost.
By understanding their energy intensive processes, we quickly implemented a joined up tailored solution. This meant the client has managed to protect themselves from increased volatility in energy prices, while also securing and ensuring annual compliance savings of £199,114 (30.88% of their annual electricity spend).
“Inenco consulted us regarding some opportunities for us to better manage our energy costs moving forward. They quickly developed a tailored solution that included a risk managed procurement strategy, bureau services, reporting, energy compliance and cost avoidance. From this work, we now have a defined energy strategy that allows us to claim relief on certain renewables taxes, budget much more accurately and mitigate any future price increases. They regularly keep us up to date with the market and continue to raise ideas or measures for us to save money or reduce costs.”