VITAL ENERGI UTILITIES LIMITED

Supporting Our Supply Chain Partners in Uncertain Times

Vital Energi recognises the critical role our SME suppliers play in our success. During these times of economic uncertainty, we remain committed to fostering strong, supportive relationships.

Demonstrating Our Commitment:
• Flexible Payment Terms: We understand the importance of cash flow, and where appropriate, we have actively reduced payment terms for specific suppliers.

• Tailored Financial Support: In certain cases, we have provided direct financial assistance to alleviate challenges faced by valued partners.

• Collaborative Problem-Solving: We believe in working alongside our suppliers to find solutions that overcome obstacles and ensure mutual success.

Beyond Payment Terms:
• Open Communication: We maintain regular communication with our suppliers, keeping them informed on developments and fostering transparency.

• Innovation & Collaboration: We actively promote an environment of innovation and collaboration, where ideas are shared and partnerships flourish.

Investing in Faster Payments:
• 30-Day Standard Terms: Our standard payment terms remain at 30 days, but we are open to negotiating for specific needs.

• Ad-Hoc Immediate Payments: For urgent or time-sensitive orders, we offer immediate payment options.

• Continuous Improvement: We are constantly reviewing and optimising our processes to expedite invoice processing and shorten payment cycles.

Vital Energi is confident that these measures will help its suppliers to whether the current economic challenges and continue to provide the high-quality services that the company needs.

We remain committed to building a robust and sustainable supply chain, with prompt and fair payment practices at its core. We continuously improve our processes and partner with our suppliers for ongoing success.

Ongoing Initiatives:
• Automated Accounts Payable: We continue to develop and fine tune our automated system to streamline invoice processing and significantly reduce wait times.
• The Company is currently piloting a new self-billing scheme for subcontractors with a view to speeding up the payment cycle.

• Staff Training: Dedicated training on these systems ensures efficient and effective utilisation for faster payments.

Vital Energi remains committed to paying its suppliers on time and in full. The company understands that the timely payment of invoices is essential for suppliers to maintain their financial health and continue to provide the services that Vital Energi needs.

We prioritise open dialogue to resolve any issues. In most cases, payment disputes are amicably settled through this approach. Additionally, our construction-related subcontracts strictly adhere to the Housing Grants, Construction and Regeneration Act 1996 (as amended).