CONSTRUCTION projects are facing ‘significant’ delays due to companies failing to meet the credit criteria for energy suppliers, Cumbernadul-based USAVE Utility Contracts has warned.
The energy consultants said many suppliers are rejecting quotes from construction firms due to a lack of credit history and a poor credit score as many of the applications are from shell companies set up to deliver specific projects.
Aman Singh, projects director at USAVE Utility Contracts, said, “Often construction companies are in the unique position of creating separate stand-alone companies just to deliver projects but we’re finding that even when security deposits are being offered some suppliers are still rejecting applications because the company has no credit history.
“That, combined with lengthy delays in setting up connections physically onsite once a contract has been agreed, is having a significant impact on delaying projects going live.
“It’s already challenging times for construction companies but specialist advice is available to navigate ways around both credit qualification and how the installation process can be speeded up to support projects to launch quicker than they currently are.”
