National Gas Contract - Regent Gas
The Eastern Synod, through Mr Philip Wade, was instrumental in setting up the National Gas Contract in 2001 which is administered by Steven Fox of Cost Advice Service Ltd. This Synod only plays a small role in negotiating the contract and, once the gas contract has been agreed and signed, the Synod office has practically no further part to play because all supply questions are handled directly by Cost Advice Services Limited who have proved to be very helpful over the years.
The recent contract negotiated with Regent Gas is for a two year period commencing on 1st August 2008 and affects around 120 churches across the Synod with gas demands ranging from 77,780 Kwh to 511,540 Kwh (2007 figures). Due to volume of gas which is contracted into, the group have a purchasing power at a level where suppliers have agreed to allow others to access this style of product. The minimum gas volume required to enter the gas contract, when it is renewed, is 73,266 Kwh. Below this level, domestic rates apply which are relatively cheaper than 3.8968p per Kwh but there is no protection from subsequent price rises.
In June 2008, the product decided upon is called ‘a Mid Term Review’ and has a fixed price of 3.8968p/kwh and standing charge of 112p day for a fixed 24 month term. Should market prices continue to rise, the price charged to the group churches will not increase and this fixed price will continue to protect the group from sustained price increases until its expiry in June 2010. However should prices fall at any time up to the 30th June 2009, an extension to the agreement can be made and the new lower prices can take effect from 1st August 2009, rather than wait until the agreement’s expiry in 2010. Churches who are part of the large group has the benefit of being able to take advantage of falling prices much sooner, ensuring that any cost savings can be passed to the churches much sooner than with a standard fixed term, fixed price product.