Framework agreements as services
In 2013, Hansel organised the competitive tendering process for 20 framework agreements (16 in 2012). Subcategories included, the total number of competitive tendering processes was 77 (48). At the year-end, Hansel had a total of 74 (70) framework agreements and a total of 164 competitive tenders including subcategories. Also at the end of the year, Hansel had 378 (350) contract suppliers.
For the third consecutive time, Hansel’s largest framework agreement was for Electricity, which reached a procurement volume of €91 million (€104 million). The second-largest framework agreement was for Occupational Health Care Services, with a procurement volume of €66 million (€64 million), and the third was Computers and Peripherals at €48 million (€46 million).
Measured in euros, the main users of Hansel’s framework agreements were the administrative sectors of the Ministry of Defence, the Ministry of Education and Culture, the Ministry of Finance, the Ministry of Employment and the Economy, and the Ministry of the Interior. Utilisation of framework agreements is mainly promoted through marketing communications. Besides face-to-face services, customers are offered diverse electronic services. Each year, Hansel organises customer and supplier events with the aim of promoting sales and exchanging experiences on framework agreements.
The structure of the government’s Electricity framework agreement was modified in 2013 in conjunction with the tendering process. In the new model, the clearing account for energy derivatives trading is in Nasdaq OMX Stockholm Ab under Hansel’s name. Hansel has a maximum on-demand bank guarantee of €150 million for use in hedging electricity purchase prices at Nasdaq, of which €65 million was still available on the balance sheet date. On 31 December 2013, Hansel had used €53,389,679.00 of this guarantee, which corresponded to the guarantees given to Nasdaq on the balance sheet date.
The collateral provided by Hansel against the bank guarantee from Nordea is a directly enforceable government guarantee of a maximum of €150 million, granted by the government to Hansel for use in electricity price hedging (decision VM/1805/02.04.06/2013). In its supplementary budget (1/2013, HE 52/2013 vp), the Parliament gave the government permission to grant Hansel a directly enforceable government guarantee of a maximum of €150 million, without demanding counterguarantees, according to limits set by the government and terms determined by the Ministry of Finance, for use in counterguaranteeing the bank guarantee needed for carrying out price hedging for electricity procured through joint procurement procedures between 2013 and 2017.
Around €4 million of Hansel’s own assets are tied to energy derivatives trading. Of this, at the year-end, €889,887.79 was deposited with Nasdaq in the form of various guarantees, while the other €3 million approximately was placed as working capital in an offset account to the clearing account for use in operational transactions. For Hansel, electricity derivatives trading is a pass-through item that does not affect profits. The results of derivatives trading are charged or repaid to customers as they are. The government’s electricity price hedging policy is set by the Ministry of Finance, based on a proposal by the steering group for government electricity procurement. A portfolio manager chosen by Hansel through competitive tendering decides on individual hedges made in line with the hedging policy. The hedges made according to the policy reach up to 2019.