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YEAR 2000



IN THE NEWS
 

The UK's largest - ever heating partnership scheme at Basildon

Potentially saves £1.4 million / year on fuel bills for householders in 10,500 council homes.

Benefits are lower fuel costs, reduced CO2 emission, warmer and more comfortable homes, reliable and easy - to - use heating systems.

BASILDON, ESSEX, 9 JULY 2002 Basildon District Council in Essex is at the centre of the UK’s largest-ever heating partnership scheme, potentially able to save £1.4 million per year on fuel bills for householders in its 10,500 council homes.  Central heating systems will be upgraded or replaced to reduce energy consumption and enhance residents’ comfort, with new boilers and high quality heating controls, selected for their high quality, superior reliability and ease of use.

The Council’s industry partners in the nine year scheme are Scottish Power (energy supplier), Plumb Center (merchant), ALHCO (installation and repairs), Hepworth Heating (manufacturer of Glow Worm boilers) and Honeywell (comfort controls).

 “Basildon householders will be able to reduce fuel costs while keeping their homes warm and comfortable,” said Richard Edwards, Director of Honeywell’s Trade Products Business in the UK and Ireland.  “Basildon will produce less CO2 towards the greenhouse effect, while installers in the scheme will be better trained and equipped to provide energy-efficient heating systems.  Everything will be geared towards the Honeywell maxim: ‘comfort, convenience and peace of mind’.”

UK law requires all housing authorities to improve their energy ratings.  Basildon noted that the heating systems in over 80 percent of its 10,500 properties need upgrading or renewing.  The Council initially moved towards inviting tenders for contracts such as energy supply, boiler installation and repairs.  “Scottish Power was appointed energy supplier and not only offered us a grant but was keen to be involved in a partnership agreement with other suppliers,” revealed Gary Hopkins, Maintenance Support Manager with Basildon District Council.  “So we identified other leading high quality suppliers, to join the partnership.  We chose ALHCO for installation and day-to-day repairs and servicing, Honeywell for heating controls and Hepworth for its Glow Worm boilers.  Finally, Plumb Center joined the partnership to fulfil the supply chain operation with all components channelled through their branch network.

The rigorous selection process included consultation with all interested parties, including householders and maintenance personnel.

The five partners said they wanted to not only supply products and services but also ensure they were used correctly.  They are proactive in looking for better ways to operate their contracts and will communicate with others frequently.  “Formal meetings between all the partners will be held quarterly, but are more frequent at present as the partnership is established,” commented Gary Hopkins.  “The manufacturers have offered to provide training to ensure the engineers’ skills are up to date, and to perform site inspections to ensure heating systems are faultless.

“Our surveyors, Rand and Associates, deal with many local authorities throughout England and Wales.  They have said Basildon is the first to provide such a comprehensive package of benefits.”

 While the Council does not have formal responsibility for leaseholders’ boilers and heating systems, it hopes to extend to them the benefits of the partnership.  “This is fair because they are in the same blocks as the council’s properties.  Householders who have purchased council properties can also benefit under separate agreements,” explained Gary Hopkins.

Systems using conventional boilers will be based on the industry standard Honeywell Y Plan with the control company’s well-proven ST699 programmer, which remains popular with users, installers and housing authorities 20 years after its introduction to the market.  Systems with combination boilers will use an appropriate programmable room thermostat selected from Honeywell’s range along with Honeywell thermostatic radiator valves.

Honeywell is a US$24-billion diversified technology and manufacturing leader, serving customers worldwide with aerospace products and services; control technologies for buildings, homes and industry; automotive products; power generation systems; speciality chemicals; fibres; plastics; and electronic and advanced materials.  Honeywell employs approximately 115,000 people in 95 countries and is traded on the New York Stock Exchange under the symbol HON, as well as on the London, Chicago and Pacific stock exchanges.  It is one of the 30 stocks that make up the Dow Jones Industrial Average and is also a component of the Standard & Poor’s 500 Index.  Additional information on the company is available on the Internet at www.honeywell.com.

This release contains forward-looking statements as defined in Section 21E of the Securities Exchange Act of 1934, including statements about future business operations, financial performance and market conditions.  Such forward-looking statements involve risks and uncertainties inherent in business forecasts as further described in our filings under the Securities Exchange Act

Honeywell Control Systems Limited
Honeywell House, Arlington Business Park
Bracknell, Berkshire RG12 1EB
01344 656000.  Fax:01344 656240
Enquiries e - mail : uk.infocenter@honeywell.com
Web : www.honeywell.com/uk/homes.htm

Basildon ALHCO Partnership Office
Unit 11, Hovefields Court, Hovefields Avenue
Basildon, Essex SS13 1EB
Tel : 01269 596600
E - mail : mailroom@basildon.gov.uk
Web : www.basildon.gov.uk

# # #

Honeywell Control Systems Ltd
Honeywell House, Arlington Business Park
Bracknell, Berkshire RG12 1EB
01344 656000. Fax: 01344 656240.
Enquiries e-mail: uk.infocentre@honeywell.com
Web: www.honeywell.com/uk

Contacts: Matthew Gordon
Honeywell Control Systems Ltd
Tel : 01344 656000
matthew.gordon@honeywell.com
Royer Slater
Slater Communications
Tel : 01483 481364
response@slatercomms.co.uk

Ref: HC
027




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Richard Edwards, Director of Honeywell's Enviromental Products Business in the UK & Ireland (left) with Doug Smith, Basildon District Conucil's Director of Policy, Partnership & Regeneration
Richard Edwards of Honeywell signs the partnership agreement.