Energy Purchasing

Network Rail provides the energy for the whole of the UK rail industry and manages those contractual arrangements with its corporate suppliers.  In addition to that key responsibility, Network Rail is a very large consumer in its own right.

Purchasing of utilities and the strategic management of contractual arrangements is carried out centrally by the Energy Management Team. The contracts are put in place for the whole of Network Rail to obtain economies of scale and reduce the number of contractual meetings. National contracts also allow the supplier to provide one summary bill, usually per calendar month, together with electronic back-up detail which allows costs to be allocated to Routes or Projects via Energy-Link.

The utilities contracts in place are –

Contract Supplier Contract term Annual value
Traction electricity EDF Energy 1st October 2014 – 30th September 2024 £300m
Non-traction electricity Npower 1st April 2015 – 31st March 2020, with options to extend up to 31st March 2023 £48m
Natural gas Npower 1st October 2016 – 30th September 2021, with options to extend up to 30th September 2024 c. £1.5m
Water (Scotland) Business Stream 1st March 2012 – 30th November 2017 £780k
Water (England) Various Water market in England is due to be deregulated in 2017/18 when contract(s) will be tendered  £4m
Water (Wales) Welsh Water No plans to deregulate Welsh water market at present

A detailed guidance note is provided in the right hand menu.

Key contacts:

For general enquiries, please email sustainabledevelopment@networkrail.co.uk

For specific enquiries, please email Alan Bullock in the Energy Management Team.

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