How to save money on new utility connections is a question often asked by Developers, Local Authorities and Housing Associations. Like most things in life, it involves taking the time and effort to shop around the competitive market. Now this answer may surprise many people as there is a long-held view that new utility connections can only be undertaken by limited number of utility companies and that these organisations have a monopoly on utility infrastructure in a geographic territory.
The Competitive Connection Market
This is not the case, and hasn’t been for very many years, with the various industry regulators driving competition in new utility connections as an important part of providing choice to customers. This regulatory strategy has been a great success and the various industry accreditation schemes, administered by Lloyds Register, now have over 500 companies capable of providing new connections in the electricity, gas and water sectors. It is fair to say there is a vibrant and healthy competitive market for new utility connections, but many still seem resistant to take advantage of that.
Achieving Best Value on New Utility Connections
Now the complexity and number of active players presents a different type of problem for house builders. This is best described as ‘How do I find the time to shop around and get the best value for my project’. We speak to many who claim they get value by speaking to their preferred independent operator. It’s hard to argue against that as the cost quoted from an independent operator should always be lower than the traditional monopoly operators. Our response to that is simple, if you are getting quotes for other services, do you only seek one price and assume that is the best strategy for getting best value?
How can Premier Energy help?
We are the utility consultancy experts with a successful track record of over 25 years. Our utility connection procurement experience is market leading and whatever your project size, from a small infill development to a new garden village, we can help. We offer reliable independent advice and pride ourselves on delivering value on new utility connections. Our New Connections service is specifically targeted at house builders and our team of experts are always on hand to help.
As part of our utility connections service, we will:
- Work with Design Teams to develop comprehensive utility connection requirements for your project.
- Identify accredited companies with the skills and experience to serve your site.
- Run a tender process for utility connections.
- Assess the tender returns to ensure they meet technical & regulatory requirements.
- Provide a range of appointment options based on a like for like analysis.
Doing our bit to kickstart the economy and help reduce costs is key. It is important to confirm that not only will our reports save you time and money on administration costs, but the discount will allow you to access the most comprehensive utility search on the market at reduced cost. All supported by our experienced and knowledgeable Searches Team.
Utility connection jargon
- Connected System Exit Point (CSEP) – the point where a new connection is made to an existing gas network to serve a new development
- Distribution Network Operator (DNO) – a licenced electricity network operator limited to a defined geographic area
- Gas Distribution Networks (GDN) – a licenced gas network operator limited to a defined geographic area
- Gas Industry Registration Scheme (GIRS) – the accreditation scheme administered by Lloyd’s Register for gas installers
- Independent Gas Transporter (IGT) – an organisation accredited to install gas connections
- Independent Network Operator (IDNO) – a licenced electricity network operator not constrained in a geographic area
- Independent Connection Provider (ICP) – an organisation accredited to install electricity connections
- Point of Connection (PoC) – the point where a new connection is made to an existing electricity network to serve a new development
- National electricity Registration Scheme (NERS) – the accreditation scheme administered by Lloyd’s Register for electricity installers
- New Appointments & Variations (NAV) – companies that can provide water and sewerage services on new developments
- Self-lay organisations (SLO) – an organisation accredited to install water connections
- Utility Infrastructure Provider (UIP) – an organisation accredited to install gas connections
- Water Industry Registration Scheme (WIRS) – the accreditation scheme administered by Lloyd’s Register for self-lay water installers.