Case Study - Weighted Auctions

Major Housing Charity saves £114,000

Major UK Housing Charity Saves £114,000 with Maia Energy's Reverse E-Auction Platform

Introduction:

Our client is a leading UK charity that provides safe and supportive housing, as well as physical and mental health care and life skills for nearly 400 vulnerable people. With a diverse range of properties, our client has a substantial energy spend. The objective was to reduce electricity expenditure while ensuring the energy procurement process and fees were transparent and competitive.

The Process:

Our client needed to reduce their electricity expenditure, but at the same time ensure the energy procurement process and fees were transparent and competitive. This is why they turned to Maia Energy who were able to offer them their bespoke, secure reverse e-auction platform.

The Process

Our client turned to Maia Energy to provide their bespoke, secure reverse e-auction platform for their tender process. The following steps were taken:

The tender was advertised in the Official Journal of the European Union (OJEU)

Six suppliers registered for the auction

The event lasted about four hours

Seventeen valid bids were submitted

The whole process was transparent and done in accordance with EU Directives

♦ Each time a new bid was placed, an alert was emailed to all participants.

Outcome and Benefits:

The bids from the e-auction were evaluated, and it was easy for our client to identify the winning supplier because the e-auction system automatically ranked participating suppliers in order of competitiveness

Our client was able to identify annual cost and savings by navigating a series of visually striking charts

Our client awarded a one-year supply contract to Centrica

Both our client and participating energy Suppliers were satisfied with the auction process and outcome

The e-auction saved our client a staggering £114k per annum (39%) on their total energy costs, which were previously at £290k, releasing additional funds for core charitable activities.

Why Choose Maia Energy?

Maia Energy is a well-established UK-based company with 28 years of experience in the UK energy markets. We have spent thousands of hours developing our own weighted auction platform, which has proved successful time and again for our clients. We were also the first among UK energy brokers to use weighting as part of the e-auction process, recognising the added benefits of mitigating supply risk and ensuring quality services from suppliers.

Feedback

"The reverse auction provided by Maia Energy for the OJEU contract was very successful and efficiently run. The savings were tremendous, and my Financial Director was very impressed. I would recommend the use of this tool in the procurement of energy to anyone and look forward to using it again soon." - Major UK Housing Charity (name available on request)


£114,000

£114,000 savings

£114,000 saved on electricity cost

39%

39% cost saving

Electricity bill reduced by 39%

4 hours

Auction Duration

The auction took place over 4 hours


In Summary:

Contact Maia Energy now to save your company time and money and to discover why e-auctions are a transparent solution to rising energy costs. Our experience, knowledge and bespoke platform can help you achieve significant cost savings, and our clients see the added benefits of mitigating supply risk and ensuring quality services from suppliers.


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