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Utilities

Utilities Cost Recovery - Northumbrian Water

OUR BRIEF

Energy is integral to NWL’s activities as they have a highly complex estate including:

  • 44 impounding reservoirs
  • 57 water treatment works
  • 344 water pumping stations
  • 338 water service reservoirs sewage treatment works
  • 765 sewage pumping stations

OUR WORK

Complex Portfolios

Managing energy costs is of key importance to NWL, who have robust processes in place to manage energy efficiency, procurement and bill Validation.

In 2005, NWL engaged with PCMG to carry out an in-depth analysis of their electricity infrastructure charges such as DUoS, TUoS and Losses, with the aim of identifying billing overpayments.

Since then, PCMG has carried out periodical reviews of these charges, supporting NWL to identify and resolve billing errors through changes in charging policy, suppliers and their estate.

FROM IDENTIFICATION TO NOTIFICATION

PCMG required minimal resource from NWL, obtaining data direct from suppliers via online billing platforms and supplementing this with a range of other industry data and market intelligence.

When new opportunities are identified, PCMG present these to NWL as part of a detailed report. Once NWL approve the claims and confirm that they are not already being investigated, PCMG deal directly with NWL’s suppliers to implement savings and secure the overcharged funds.

  • Over £900,000 recovered to date
  • Working together since 2005

"PCMG have consistently delivered worthwhile cost recoveries and savings for NWL. They complement our internal activities, requiring minimal resource from us and regularly alerting us to new saving opportunities. In addition to this, we have been able learn a lot from PCMG that we have then been able to apply to improve our own bill validation process."

Steve Crake, Head of Procurement, Northumbrian Water Ltd

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Northumbrian Water Limited is one of the UK’s major water and sewerage companies, serving over 2.7 million people within the North East of England.