offering the company a chance to make the most of low current and future energy prices should they occur . The deal marks Arcadia ’ s first use of flexible gas buying as part of its revised energy strategy and has since been extended to cover 280 sites across the entire Arcadia portfolio .
Echoing the first time Arcadia brokered a deal independently , without using brokers or consultants , the first move from fixed to flex was with gas . “ Gas was very much one of our learning curves ,” Laurent remarks . Speaking candidly about whether the change was worth the risk , Laurent says : “ It has worked out so far . There would be a spike and it could hit us but our business has learnt over the years , since working on flexible deals , that you take advantage of the lows and get caught sometimes by the highs , but overall we have done very well in our procurement strategy of gas .”
While delivering as he hoped it would , Laurent cites the uncertainty of a flex deal as a challenge , explaining : “ We have learnt over the years that it ’ s not simple – it ’ s almost on a geopolitical basis that you now have to look at what you by , how you buy and what impacts the market . We have learnt about the drivers for the market , and the importance of having the
32 June 2018