Water Waste Water Ancillary Services Supplier Engagement AGENDA

Water, Waste Water & Ancillary Services Supplier Engagement

AGENDA 1. 2. 3. 4. 5. 6. 2 Welcome and introduction Current commercial agreement New agreement Supplier input Timeline Q&A opportunity

CCS Introductions Kate Beckingham Head of Energy Patricia Byrne. Commercial Lead Richard Hemming. Commercial Manager Stephen Eamer. Commercial Specialist

Introduction to CCS

Introduction to CCS Crown Commercial Service (CCS) brings together policy, advice and direct buying; providing commercial services to the public sector and saving money for the taxpayer. • managing the procurement of common goods and services, so public sector organisations with similar needs achieve value by buying as a single customer • increasing savings for the taxpayer by centralising buying requirements for common goods and services and bringing together smaller projects • leading on procurement policy on behalf of the UK government We work with over 17, 000 customer organisations in the public sector and our services are provided by more than 5, 000 suppliers.

Who we work with… £ 6. 3 bn from the wider public sector Devolved Administrations Housing Associations Government £ 6. 7 bn Departments from central government Local Government £ 601 m Emergency Services commercial benefits including savings Health 6 Number of customers: 17, 000 Number of suppliers: 5, 000+ Education Charities / Third Sector

Current CCS utilities provisions Power & Gas ● Scope: Provision of Power and Gas and Ancillary Services via both Aggregated Trading function, and a comparison and switching initiative (School Switch, Gov Switch) Utilities Management Service (UMS) ● Scope: The provision of full end to end data management solutions for all Utilities (including electricity, gas, water, fuels, steam, heat & chilling) Water ● Scope: The provision of water and wastewater and ancillary services, since deregulation on the market in April 2017, enabling customers to switch their water and wastewater retailer Demand Management (HELGA) ● Scope: Power and gas savings opportunities, heat networks, alternative electricity generation options, Solar, Ground Source Heat ● DSR to be incorporated ● Assists estates with achieving carbon and fiscal savings set by government. Trading & Risk ● Scope: Trading operate to purchase customers’ gas and power requirements with reference to the wholesale markets, adhering to preagreed risk strategies that are approved by the CCS External Risk and Governance Panel. ● The Risk team monitor trading team activity daily, setting out risk limits that aim to only expose customers to a preagreed level of risk Fuels ● Scope: Heating and Automotive Liquid Fuel, Liquefied Gas, Biomass and Solid Fuel, Lubricants and Greases and associated products and services such as tank provision and maintenance, fuel uplift and disposal, emergency spillage response.

Current Water agreement ● ● 8 RM 3790 The provision of water and wastewater and ancillary services, since deregulation on the market in April 2017, enabling customers to switch their water and wastewater retailer ● 3 Years + 1 year extension ● Expiry date: 15/03/2021 ● 12 suppliers (6 SME) ● Annual spend 18/19 £ 21 m

New commercial agreement RM 6178 The duration of the Water agreement is looking at the possibility of a 4 year with the option to extend for a further 1 year, with the value estimated at £ 2 b across its lifetime Customers may enter into a contract with a supplier for a period of their determining, which may exceed the duration of the Water agreement. We are considering including a direct award option. There are four routes to market: ● ● Customer self serve CCS run a call off on behalf of the customer Bi annual aggregated procurement Direct award N. B the route is determined by the value and competitive pricing via a e-auction 9

Supplier discussion RFI feedback - How can CCS serve this market? - How can we future proof the next strategy? - How we can encourage bigger customer demand? Open discussion 10

Timeline Project Initiation (September 2019) Start Customer Engagement (Aug- Oct 2019) FBC Sign Off (March 2020) OJEU & ITT Publication (June 2020) Approval to Award (Sep 2020) 2021 2020 2019 PIN release to market (End Oct 2019) Options Analysis (Nov - Dec 2019) Development of ITT Start Supplier Docs Engagement (Jan - June 2020) (Sep 19 - Jan 2020) Tender Response Deadline ( ? 2020) Mobilisation (Dec 2020)

Questions 12

Keep in touch info@crowncommercial. gov. uk 0345 410 2222 www. crowncommercial. gov. uk @gov_procurement Crown Commercial Service