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Power Utilities Move from Cost- to Value-based Procurement to Gain Supply Chain Efficiencies
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This research service focuses on the evolving material and services procurement practices of major power generation utilities globally. It provides an in-depth analysis on the evolving procurement practices in power utilities and discusses common challenges. Based on the on-going transformations in procurement practices, this research offers a glimpse into the future of procurement. Receding profit margins, volatility in fuel prices, over-subsidisation of electricity tariffs, increasing customer focus, the globalisation of the supply chain, and eco-friendly government sourcing guidelines are the major reasons for the shift in power utilities’ procurement practices.
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