Thames Water has signed a five-year contract with procurement specialists Efficio.

From next month, Efficio will manage up to £500m a year of Thames Water’s direct and indirect spend on everything from pipes and heavy machinery to office supplies.

Thames Water wants to cut its carbon emissions by 20% by 2015 and is a holder of the Carbon Trust’s Carbon Standard certification scheme.

London-based Efficio had previously led an 18-month procurement project with Thames Water to improve efficiencies and generate savings in both capital and operational expenditure.