MIM Patron helps automotive firm become more energy efficientMember News
Made in the Midlands Patron Control Energy Costs (CEC) is working with a West Midlands automotive firm to help it become more energy efficient.
Baylis Automotive, which employs 60 people at its 65,000 sq ft facility in Smethwick, manufactures metal pressings and welded assemblies.
It has recently secured a clutch of new orders which have helped it achieve annual growth of 25%. It has won a number of contracts to supply seating and HVAC components for the agricultural sector, which in turn, has taken turnover to £5m.
The company turned to CEC to help it manage its energy more efficiently as it looked to increase capacity.
The approach is already reaping dividends, with the firm saving in excess of £25,000 by renegotiating its current supply contract and securing Climate Change Levy (CCL) tax relief for the first time.
“We supply over 172,000 pressings every week and these range from small HVAC nozzles to large heavy duty side members for coolant systems - all manufactured to the highest possible quality,” said Raj Desai, Managing Director of Baylis Automotive.
“This year will see us smash £5m in turnover and, with the increase in work, comes an increase in costs through new machinery and more energy. We don’t have the time to monitor usage or look at ways where we could be more cost effective, so thought we would bring in external specialists.”
He continued: “CEC were introduced to us through a mutual business partner and we were immediately impressed with its transparency and the desire to understand our issues.
“Technical Analyst Rebecca Capon quickly got to the bottom of things and spent a lot of time negotiating a new provider for our electricity needs and explained to us that we could be eligible for financial relief through the Climate Change Levy. We didn’t even know that existed.”
CEC, which is one of the UK’s leading specialists in utility management, managed to secure Baylis Automotive a £15,000 refund from CCL and ongoing savings through the new provider could work out to as much as £4,000 per month.
It is also helping the company increase its power supply so its growth and subsequent rise in energy usage does not result in excessive charges.
“A lot of manufacturers in the Black Country are growing and with that growth comes escalating energy costs,” said Rebecca.
“There’s lots of examples where firms just pay the increase without investigating as it’s seen as a non-core part of their business. This is where we come in. All of our analysts have extensive experience of forensically examining usage, identifying new supply contracts and tapping into any subsidies companies are eligible for.
“So far, we have generated Baylis Automotive over £25,000 in relief and monthly savings and this figure could increase as we look at new energy saving measures the company could introduce.”
Control Energy Costs work with more than 900 retained clients across the UK - many of them MIM members - with its team of analysts providing an initial, no-obligation audit and then working with the customer to identify existing issues and opportunities to reduce bills, whilst advising on improving future procurement strategies.
Following feedback from clients, the company has recently launched CEC Direct as a transparent, clear and valuable alternative to the majority of energy brokers.
Unlike most competitors, it declares what it will do and its costs in a Service Agreement with the client, removing hidden fees or commission.
Pictured is Liam Conway, head of CEC Direct, Technical Analyst Rebecca Capon and Raj Desai, Managing Director of Baylis Automotive.