Request for proposal: the cost of poor negotiation

In today’s volatile energy markets, the Request for Proposal (RFP) process plays a critical role in securing competitive contracts and long-term value. Yet, many organizations still approach supplier negotiations with limited preparation, insufficient market insight, or a narrow focus on price alone, often leading to what can be described as “poor negotiation.” The consequences are significant: missed savings opportunities, unfavourable contract terms, and increased exposure to risk.

This edition explores the contrast between ineffective negotiation practices and a more strategic, data-driven approach. It highlights key recommendations to strengthen procurement outcomes, while also underscoring the importance of understanding supplier history, positioning, and behaviour in the market. Finally, we outline how Haya Energy Solutions supports clients throughout the RFP process: leveraging deep market expertise, robust analytics, and supplier intelligence to unlock savings and drive better, more informed decisions.

 

When negotiation falls short: common pitfalls

Despite the strategic importance of energy procurement, many RFP processes continue to fall short of their potential. What is often described as “poor negotiation” is rarely the result of a lack of effort; rather, it stems from limited market visibility, insufficient preparation, or a misalignment of priorities. Too often, organizations focus narrowly on securing the lowest price, without fully considering the broader contractual structure, risk allocation, or supplier reliability.

In addition, poorly timed RFPs, launched without regard to market dynamics, can result in missed opportunities during more favourable pricing conditions. The process itself is frequently treated as a purely transactional exercise, limiting meaningful engagement with suppliers and reducing competitive tension. Without robust benchmarking, it becomes difficult to assess whether an offer is truly competitive, and key contractual clauses such as indexation, volume tolerance, or termination conditions are sometimes overlooked. The consequence is clear: contracts that appear attractive at first glance but ultimately fail to deliver optimal value over time.

 

From reactive to strategic: key recommendations

Improving procurement outcomes requires a shift from reactive negotiation to a more structured and strategic sourcing approach. Organizations that consistently achieve strong results begin by clearly defining their objectives, ensuring alignment across stakeholders on priorities such as cost reduction, budget stability, flexibility, or sustainability. This clarity provides a foundation for more effective decision-making throughout the RFP process.

Equally important is the integration of market intelligence. By understanding pricing trends and market signals, companies can better time their RFPs and structure their strategies to capture favourable conditions. A well-designed competitive process also plays a crucial role, as engaging a relevant and diverse panel of suppliers creates the right level of competitive tension while maintaining quality.

A crucial step in this process is the clear definition of requirements, supported by a structured prioritization of objectives. By explicitly ranking criteria such as price, flexibility, risk exposure, sustainability, or contractual optionality, organizations provide suppliers with greater clarity on what truly matters. This not only improves the relevance and quality of the offers received, but also enables suppliers to tailor their proposals more effectively. In turn, this alignment helps ensure that negotiations focus on the elements that deliver the most value to the client, rather than being driven by assumptions or incomplete information.

 

The role of HES: driving savings and reducing risk

Haya Energy Solutions (HES) supports clients as a strategic partner across the entire RFP lifecycle, combining market expertise with analytical rigor and a structured approach to decision-making. From the outset, HES works with clients to clearly define and prioritize their requirements, ensuring alignment across stakeholders and providing suppliers with a transparent framework to respond effectively. By closely monitoring market conditions, HES helps identify optimal moments to launch tenders, ensuring that procurement decisions are aligned with favourable pricing environments.

Throughout the RFP process, HES structures and manages supplier engagement to maximize competition and ensure high-quality responses. A key component of this support lies in the normalization and benchmarking of offers, providing clients with clear, transparent comparisons and highlighting elements that may otherwise remain hidden. During the negotiation phase, HES brings both experience and market insight to the table, helping improve not only pricing but also the contractual terms that ultimately shape long-term value.

Importantly, HES integrates risk management considerations into every stage of the process. This ensures that procurement decisions are not made in isolation but are fully aligned with the client’s broader energy strategy. The result is a more robust, informed, and resilient outcome that goes beyond short-term gains.

 

Why supplier history matters

A critical yet often underestimated factor in the success of an RFP is a deep understanding of the suppliers themselves. Each supplier operates within a specific strategic and market context that directly influences its pricing behaviour, risk appetite, and contractual flexibility. Ignoring this dimension can lead to misinterpretation of offers and missed negotiation opportunities.

Analysing supplier history provides valuable insights into how different players behave under varying market conditions. Some suppliers may consistently adopt aggressive pricing strategies to gain market share, while others prioritize margin protection and long-term portfolio balance. Their past responses to volatility, their operational reliability, and their approach to client relationships all contribute to a more complete evaluation of their proposals.

When combined with a clear prioritization of client requirements, this perspective becomes even more powerful. It allows organizations to anticipate how each supplier is likely to respond to specific constraints or objectives, enabling more targeted and effective negotiation strategies.

By integrating this perspective into the decision-making process, organizations can move beyond a purely price-based comparison and adopt a more nuanced view of value. In many cases, a supplier offering slightly higher pricing but demonstrating greater flexibility, transparency, and consistency may ultimately represent the stronger long-term partner.

 

Conclusion: elevating the RFP process

Energy procurement is evolving rapidly, driven by increasing market complexity and volatility. In this context, the RFP process must also evolve. Moving away from “bad negotiation” requires a disciplined, informed, and strategic approach that balances cost optimization with risk management and contractual quality.

With the right preparation and expertise, RFPs can become a powerful lever for value creation rather than a routine procurement exercise. Haya Energy Solutions plays a central role in this transformation by bringing clarity, structure, and insight to each stage of the process. Through this approach, organizations are better equipped to secure not only competitive pricing, but also resilient and future-proof energy contracts.

Thibault Uhl

Biography

Diego is a Consultant at Haya Energy Solutions. He has 1 year of experience specializing in developing models for energy price forecasting, energy availability and production, and battery optimization.

Diego obtained a bachelor’s in Science in Political Economy from the King’s College London, and later a dual Master’s in Management and Computer Science from the IE University of Madrid.

Diego Marroquín

Consultant

Diego Marroquin - Consultant | Haya Energy Solutions

Biography

Céline is the Head of Business Development and Administration at Haya Energy Solutions. She plays a key role in driving the company’s growth by expanding its market presence, strengthening brand positioning at the European level and implementing strategic initiatives. She also manages the company’s administrative operations, ensuring efficient financial management, including accounting and budget oversight.

She is also a Consultant at Haya Energy Solutions, specialising in the optimisation of energy procurement through the analysis of market trends and regulatory developments. She also provides strategic guidance to identify opportunities and tailor solutions to the specific needs of each client.

Céline holds a degree in Philology from the Sorbonne University and holds a master’s in Project Management and Cultural Tourism from the University of Clermont-Ferrand.

Céline Haya Sauvage

Head of Business Development and Administration

Céline Haya Sauvage | Haya Energy Solutions

Investment Advice

“Decarbonization of the Energy and Transport sectors is arguably today’s main economic driver for the industry.”

Biography

His career started in civil engineering as a Project Manager in France, Martinique and Australia. Afterwards, he became the General Manager of a subsidiary in Venezuela. In 1992, he established Dalkia in Germany (district heating, cogeneration, and partnerships) and represented Véolia in Thailand. In 2000, he opened the commercial office of Endesa in France to take advantage of the liberalized retail market. From 2006, as a development Manager at Endesa France, he led Endesa’s plan for Combined Cycle generation in France and developed the wind and PV portfolio of Snet at the same time. 

Philippe worked for 3 years at E.ON’s headquarters coordinating the company´s activities in France. He was strongly involved in the French hydro concession renewal project. As a Senior Vice President – Project Director at Solvay Energy Services from April 2012 to February 2014 he was in charge of the H2/Power to gas and European direct market access deployment projects. Philippe has been an HES expert since 2014.

Philippe holds engineering degrees both from the Ecole Polytechnique and the Ecole Nationale des Ponts & Chaussées (France) and has a combined experience of more than 25 years in energy and infrastructure. In addition to English, Mr. Boulanger is fluent in French, German & Spanish.

Philippe Boulanger

Electricity Expert

“The world is changing. New investors pay particular attention to the energy sector while historical actors adapt their position to the market.”

Biography

Antonio is the founder and President of Haya Energy Solutions, a specialized consulting firm focused on the energy sector, which has developed M&A projects in renewable and conventional power generation, cogeneration, district heating, gas and power retail, energy procurement and power optimization in France, Spain, Portugal, Germany and UK.

Prior to this, Antonio was CEO of KKR’s CELEST Power in France (2x410MW CCGT). He was also CEO of Endesa France and General Secretary, Strategy & Corporate Development Director at E.ON France. Formerly, he held different positions at Endesa, including Responsible for M&A at Endesa Europe and Regulation Specialist at Endesa Distribution.

Antonio holds an MBA from the University of Deusto and a degree in Industrial Engineering from the Higher Technical School of Engineering of the University of Seville.

Antonio Haya

President

Antonio Haya - President | Haya Energy Solutions