Presentation on theme: "Ashford’s Integrated Alternatives Ashford Integrated Alternatives (AIA) Uniting Utilities: Organisationally Practical? Dr Jens Roehrich & Dr Andrew Davies."— Presentation transcript:
Ashford’s Integrated Alternatives Ashford Integrated Alternatives (AIA) Uniting Utilities: Organisationally Practical? Dr Jens Roehrich & Dr Andrew Davies Innovation and Entrepreneurship Group Imperial College Business School
Primary and secondary data Key phase of integrated urban utility delivery: –Design (masterplan) – this will involve ideas about MUSCOs, concessions (PPP/PFI/others), design, business model plans, user needs etc. Research Approach Imperial College Business School Research Approach
private End-customers commercial Business models Energy Water Data Waste Utility streams Individual utility companies MUSCo ESCo Increasing degree of integration mixed (various degrees) Different degrees of utility stream integration
Value Chain (Ashford and Chula Vista) Product/Service components Client Contractors Added value Value creation
Ashford Counicl considered ESCo alternative for renewable energy A former CEO of the Ashford Borough Council explains the purpose of this study and the importance of scale in urban development projects. “[...] we tried to engage the developers in all of this because we were basically saying look you know you are going to have to meet these very challenging environmental targets. So we got this study going and it modelled what would be the sensible choices in terms of sustainability and energy for different sizes of development. So for a little group of ten houses or fifteen houses or five hundred houses or a couple of thousand houses up to six thousand houses, urban extensions basically it would be six thousand houses and we thought well if big developer what a consortium of developers are developing at that scale then we could at least illustrate for them what are the realistic choices because there are actually quite different choices become meaningful at different scales.”
Elephant & Castle Redevelopment project £1.5bn 70 acres Design and build new pedestrianised town centre, market square, green spaces and 5,300 new homes Southwark Council led project 2002-2020 Lend Lease – developers Huge challenge of outdated buildings and infrastructure, pollution, traffic, etc.
Value Constellation (Elephant & Castle) Systems integrator (consortia) Product/Service components Client Sub-contractors Added value Value co-creationValue creation
MUSCo challenge on E&C brownfield site “The other thing that differs is that a lot of the projects we have dealt with in Veolia Multi-Utility Services has been totally new housing developments, Greenfield sites, so the installation of gas, water and electric, and in some instances telecoms, would be far easier to manage from an operational perspective, than what we are doing here on a brown field site. [...] There is a lot of existing infrastructure that will remain in place and one of the biggest challenges is to find a utility corridor for us to install the network because one of the savings with this model of multi-utility is putting everything in a joint trench” (Commercial Manager, Veolia).
MUSCo team need strong capabilities “I think the advantage of the Veolia Group is the fact that we’ve got this extra expertise in-house. If you were setting up, like some of our competitors do, for energy companies, they have to have the water and the waste and other people as sub-contractors. We would see that as a disadvantage simply because you are managing another entity to do something. So if you keep it in- house, for us it seems to work better” (Development Director, Veolia).
MUSCo Waste Data Energy Water ESCo Utility stream integration Organisational integration DesignBuildOperateFinance DesignBuildOperateFinance DesignBuildOperateFinance DesignBuildOperateFinance WESCo (can include Waste) MUSCo MUSCo (can include waste) Integration across investigated cases