Iarnród Éireann signs €2.4m gas deal with Vayu Energy

Finance | Wed 24 Feb | Author – Business & Finance
Vayu Energy Irish Rail
Pictured are Willie Pierce (environment and energy manager at Iarnród Éireann) and Stephen Behan (energy specialist at Vayu Energy)

The three-year agreement will see Vayu supply Iarnród Éireann/Irish Rail with natural gas to meet the year-round heating requirements for its facilities and operations across the country.

Iarnród Éireann is the national rail services provider and is a large consumer of energy throughout the country, catering for 38 million passenger journeys each year.

A critical consideration for Iarnród Éireann in choosing Vayu as its energy partner is the ability to achieve significant savings in energy costs through direct access to wholesale market prices for natural gas.

Vayu Energy currently supplies gas to over 20% of Ireland’s industrial and commercial market.

As part of a fully managed service, Vayu will also provide Iarnród Éireann with tailored procurement tools to monitor and manage energy demand, risk and performance in real-time.

Willie Pierce, environment and energy manager, Iarnród Éireann, said: “Increased cost efficiency is a major focus for us across all aspects of our operations at Iarnród Éireann. We’ve achieved substantial reductions in energy costs over the last decade, cutting our overall energy consumption by 36% since 2006. Our aim is to build on this over the coming years through more effective energy management and procurement.

“We’re therefore delighted to be partnering with Vayu and its team of energy specialists, who will facilitate us to procure natural gas more effectively. This contract was concluded following a competitive tendering process and represents a great deal for both parties.”

Stephen Behan, energy specialist, Vayu, added: “Energy is one of the largest cost components for Iarnród Éireann and all Irish businesses, and it is an area where significant efficiencies can be achieved in terms of procurement and performance management. The drive towards greater cost competitiveness is changing the way companies source their energy, as they seek to increase efficiency and minimise the per-unit cost of energy purchased.”