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UK Energy Services Benchmark 2016: High Competitive Intensity Puts Pressure on Suppliers to Stand Out

The Verdantix Green Quadrant benchmark of UK energy services providers, released this week, confirms the market for energy management is now fiercely competitive. In the UK, there are now at least 18 major players, most of which have ambitious growth plans. With this large number of service providers to choose from, customers are spoiled for choice but often find it challenging to determine which providers will best meet their requirements.  What are the top-level findings from the Green Quadrant study?

Eight of the 18 energy services providers benchmarked in the study achieved strong capability scores that put them in either the Leaders’ quadrant or the Innovators’ quadrant. This includes providers such as Ameresco, MITIE and Schneider Electric, who have built up capabilities spanning energy procurement through to project implementation. These end-to-end services will provide value to customers that are looking to consolidate the number of suppliers they contract with for energy management.

But it’s not as simple as using the Green Quadrant benchmark based on total capability scores. The analysis also reveals that other providers have developed specialist expertise. For example, Utilitywise shows striking momentum with smaller-sized customers, adding more than 500 customers per month. Rapidly growing Carbon Credentials shows strong capabilities in delivering energy optimization strategies to the commercial sector. Vital Energi stands out for its capabilities to deliver public sector energy performance contracts, shown through its success in winning Carbon and Energy Fund deals.

The study also revealed that providers are looking to Internet of Things technologies to develop the next generation of energy management solutions. This will enable energy service providers to tackle a broader scope such as asset management or facilities optimization. This could help them find new angles to differentiate in the near term.

To learn more about the Green Quadrant benchmark, energy managers and heads of estates should apply to attend the forthcoming webinar ‘Benchmarking The UK's Energy Services Providers’ on June 16, 2016. As the only energy services capability benchmark available in the market today, this is a must attend for anyone charged with leading an energy management or a facilities optimization programme.