Contract Award - CPG/12792/2025 - Provision of Natural Gas for the British Embassy in Washington

Scope, procedure and submissions

Id

ocds-h6vhtk-0582e5

Status

complete

Procurement Method

direct

Procurement Method Details

Direct award

Why this procedure was chosen

The Washington DC area is serviced by only one distributor of natural gas, a company called Washington Gas. The market requires the use of a broker who is able to negotiate rates that we would otherwise not be privy to. They control and monitor our usage advising the Embassy when to switch to alternative energy to maximize savings and avoid fines charged by the government. In order to ensure this Direct Award is in compliance with FCDO's policy and offers VfM, the Regional Procurement Hub (RPH) carried out a research in 2019 to understand how the market works and compare rates and options available. The RPH approached a list of a gas companies, the findings showed some suppliers were only brokers and others were actual gas companies but did not serve our area. As part of the reassessment process, the market was reviewed again in 2022 and 2025, and no substantial changes were identified. Therefore, the continued use of the current supplier remains the most viable and cost-effective option. In this business, the services of a broker is essential as they provide services such as: weekly energy updates including new legislation or change in law with impact cost analysis, review invoices and billing resolutions, hedge strategies that minimize risk during periods of weak market fundamentals or major event disruption, observes the market to find peaks and lows on rates and recommends contract renewal according to predictions. The services of the broker are provided at no cost to the Embassy. Beyond the services previously described, the Embassy's choice to partner with Open Market Energy is largely driven by the broker's designation as a Certified Energy Procurement Professional. This qualification sets OME apart from standard brokers by confirming its proven expertise in navigating energy markets, adhering to regulatory standards, and executing strategic procurement. Given the sector's volatility and regulatory complexity, collaborating with a certified expert offers confidence that procurement decisions are well-informed, justifiable, and aligned with industry best practices. OME works in partnership with WGL Energy Services and is compensated directly by the Supplier, Open Market Energy, under a Channel Partnership Agreement. This arrangement—standard in the industry— allows the broker to earn a margin from the negotiated energy rate, with no direct cost to the Embassy. All payments are managed by WGL Energy Services, ensuring transparency and efficient procurement.

Lots and requirements

Published documents

Buyer, suppliers and contacts

Award information

Contracts and changes

Recorded locations

• Buyer location · London · UKI32 · SW1A 2AH · United Kingdom