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MANAGEMENT MASTERCLASSES I ENERGY MANAGEMENT


Energy saving proposals are set to be increasingly supported in Government contracts. Body LIFE speaks to an expert in this field.


Energy Management


Changes in EU Public Procurement rules and the UK’s commitment to the Climate Change Act signal a new era for energy saving.


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eisure operators demonstrating energy reduction initiatives are likely to be increasingly favoured in Government contracts. Two factors are influencing this shift – pressure on the Government to meet carbon targets set out in the 2008 Climate Change Act and a new EU directive in Public Procurement due to come into force in 2016.


From 2016, tenderers will be selected based on “Most Economically Advantageous Tender” (MEAT.) Under the new rules, contractors can no longer be chosen on lowest price. [1] Currently local authorities can choose either method to assess proposals. The new directive has been introduced to streamline procurement and help Public Sector bodies get value for money. It recognises the cheapest option may be a false economy so tenderers must demonstrate their offer is more economical in the long run compared to other bidders. The Government is bound by the 2008 Climate Change Act to meet regular Carbon targets by 2020. The UK achieved the First Carbon Budget covering 2008-12. However, the service industry notably lagged behind the transport, industrial and domestic sectors in energy reductions according to the 2013 Fourth Carbon Review published by the Committee on Climate Change For leisure operators looking to work with local authorities,


42 I body LIFE 2 I 2015


energy savings is an area that offers a great deal of opportunity when applying for public sector contracts when understanding the drivers behind decision making. It is an area increasingly likely to be scrutinised in order to meet the 2020 Carbon targets.


High Consumers of Energy in Leisure


Leisure centres are notoriously high energy consumers. By pro-actively managing energy consumption, significant savings can be achieved, so there is an obvious difference between a proposal that includes energy savings over one that does not. Proposals including energy savings will be considered more favourably under the MEAT evaluation, showing competitive long term value.


The local authority pays a reduced subsidy for the centre’s operation when energy savings pay back so it is a more attractive bid for cash-strapped authorities and energy costs will also be lower over time. Energy costs are the second highest overhead for leisure centres after staff wages.


Leisure centres have a distinct energy footprint which differs from most other buildings. Leisure centres have specific


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