
Before CEF was established, energy schemes often started to underperform after they were built and set up. This was usually because of limited funding, a lack of understanding of contracts, and not having the right knowledge or resources in the sector. To address this, CEF now takes on the responsibility for Contract and Performance Assurance as soon as a project is completed.
Since projects usually last at least 15 years, changes are bound to happen—such as shifts in site size, personnel, technology, and energy prices. While the contract covers many of these changes, it’s the independent Performance Assurance through Monitoring and Verification (M&V) that really protects long-term savings. This process uses CEF’s in-house expertise to navigate any uncertainties that may come up along the way.
*62.2% average availability calculated from ERIC returns for year ended April 2017. **92% average availability on the CEF scheme using Contract & Performance Assurance
Our in-house team of consultants, along with experts in legal, finance, contract management, and Monitoring & Verification (M&V), regularly checks savings and performance. They also review and double-check any actions or changes that a contractor or Trust wants to make if there’s a performance issue or a change in circumstances.
While some Trusts might find it hard to justify ‘platinum level’ maintenance contracts due to capital constraints, cutting corners isn’t the best option. As shown in the Plant Performance illustration, Contract & Performance Assurance not only covers its own costs but also shields the Trust from poor outcomes. By staying regularly engaged with all parties, it ensures that the contract is followed correctly and that the savings guarantee is delivered.
CEF has successfully managed over 50 NHS energy schemes. Our recognized expertise and solid processes consistently achieve an average system availability of 92%, compared to only 62.2% for NHS schemes managed in-house*. This shows that higher system availability leads to greater reliability and guaranteed savings.
As a certified quality assurance provider with experts in measurement and verification, CEF’s role in Contract and Performance Assurance is to make sure the contract is followed properly and that the savings guarantee is met, ensuring that both the Trust and the Contractor get what they are entitled to.