Building a competitive tankering network to cut costs and boost resilience

The challenge: High costs and inconsistent emergency cover

A major UK water utility company faced high operational costs and inconsistent service from a fragmented tankering supply base. With 17 suppliers offering varying rates and weak out-of-hours coverage, price volatility and slow responses increased the risk of environmental penalties during pollution incidents. Reliability and resilience were key priorities heading into AMP8.

The approach: A competitive framework built for cost control and emergency readiness

Efficio conducted a competitive UCR-compliant tender, consolidating suppliers into two primary frameworks for wastewater and clean water services. Commercial levers such as volume-based pricing, removal of out-of-hours retainers, and rebate schemes improved cost efficiency. KPIs were redesigned to ensure faster emergency responses and continuous performance tracking aligned with ODI objectives.

The results: 10% savings and doubled emergency capacity

The framework delivered 10% in annual savings whilst doubling the number of suppliers meeting two-hour SLAs. Improved out-of-hours coverage and faster incident responses enhanced ODI compliance and reduced pollution-related penalty exposure. The programme also promoted sustainability through low-emission vehicles and localised supplier operations, boosting resilience across the client’s network.