Mott Macdonald

Mott MacDonald are a global engineering, management and development consultancy focused on guiding their clients through many of the planet’s most intricate challenges. Their engineers, project and programme managers have taken lead roles in the world’s highest profile infrastructure and development projects.

Customer Challenge
  • Limited time and resources to explore potential savings via market monitoring and risk management strategies
  • Lack of flexibility in energy procurement
Our Solution
  • Provide flexible procurement to maximise savings based on regular market analysis
  • Use a flex-hedging approach

Results

 Flex-hedging trading

Switched to flex-hedging trading contract which breaks down volume into tradeable blocks, thus reducing risk

Reduced supply margins

Negotiated reduced supply margins, removing embedded risk premiums

Fixed power contract

Mott MacDonald wished to procure approximately 3,881 MWh of electricity. Monarch was offered a Fixed power contract atthe cost of £660,000 (over 12 months) for power

Flexible power contract

For its Flexible electricity procurement, Monarch negotiated a Flexible power contract with OPUS, costing £601,403, which led to initial renewal cost savings of £58,597, representing a ~9% cost saving against the initially offered Fixed contract