The Home Office has entered into energy management contracts with public service provider Amey and British Gas Business across 90% of its estate on a ‘payment by results’ basis. The contracts come after the two companies saved the department £212,000 in eight months.
The scheme aims to save £1.3 million through making 350 government buildings more energy efficient. By doing so, the Home Office is also expected to cut its carbon footprint by 15%.
Mike Chessum, Head of Energy Services for British Gas Business said the deal was competitive: “Our partnership accepts risk on both the energy management and technology investments made on the Home Office estate because we are paid according to the savings measured, verified and agreed with our client. The payment on results contract has demonstrated how a cohesive team of energy experts, FM provider and client can operate as one to achieve outstanding energy savings and excellent value for money.”
The news comes shortly after number 10 announced the Government has achieved a 14% reduction in emissions over the last year – exceeding the 10% target initially set when the coalition was formed. The Home Office achieved even higher savings, reducing its carbon footprint by 17.6 per cent.