10 tips about
Heat Supply Agreements
We’d be happy to explain the details of how this works at any time - just contact us.
Here are 10 general tips based on our experience:
- In the beginning, define exactly what you’re paying now - to maintain and refresh old systems, and what your consumption is - as a benchmark and to make it easier to compare alternatives.
- Heat Supply agreements are still relatively new. Help minimise ‘teething troubles’ - if you’re shopping around, look for a supplier who has Heat Supply Agreements already in place and working. (At present some companies will offer this arrangement without ever actually having done one).
- Move promptly: Government incentives are in place at present which make these a very attractive option for high energy users, but it’s safe to assume they won’t be available forever.
- Get review teams ready: When you deal with us you will have two contracts in place: a Heat Supply Agreement and a lease (at peppercorn rental) for any of your land occupied by our equipment. Request these contracts early, and have your review teams ready. We will draft the Heat Supply Agreement and provide a draft land lease for you.
- Have a dedicated contact for the supplier at your site during the build phase.
- Expect the unexpected: as always, the minor excavations involved may unearth things you didn’t know were there (such as old electrical cables).
- To aid speed, suggest to your Board that they approve in principle, then delegate smaller decisions on the project to a subcommittee who can dedicate a little more time and perhaps be available if needed to deal with anything unexpected.
- Keep neighbours and people on site informed: they will be curious (and often excited).
- Heat Supply agreements set the unit price for heat, but consumption determines the final bill each month. Use this as a time to review both heat and electricity use: what other simple things can be done? A small spend on better draught proofing, eco light bulbs, or removing energy-hungry old fridges may help.
- Fuel: not all fuel is the same (read our Fast Facts) - if comparing alternatives, ensure you have an understanding of where the fuel for the system is coming from, and its quality. The biomass fuel supply industry does not generally enter into long-term contracts – be sure you know where your fuel is coming from for the lifetime of your boiler. You will also need to take account of the frequency of deliveries and the type of vehicles involved. Time spent on optimising fuel delivery and storage is time very well spent.