5 Ways to Control Your Energy Costs

Despite token price reductions by the “Big 6” recently the energy market remains volatile and prices can increase at any time. As such it is important to manage your energy supplies well, here are five things you can do to maintain control.

  • Know your contracts.

It is estimated that 98% of UK businesses do not know the renewal date for their energy contracts. If you are one of these businesses you must contact your supplier to find out the renewal date for each supply you have and the termination clauses that your supply enforces.

Without this information you may find that you are unable to move to an alternative supplier, or worse that you are rolled into high “out of contract” rates.

NB Every supplier has different termination requirements so do not assume they are all the same!

  • Take your business to the whole of the market

Most businesses at renewal will look for the easiest route to renewal, staying with your existing supplier. Some may approach one of the other “big 6” suppliers as an alternative. Unlike the domestic market there are many other commercial energy providers, make sure you try them all to ensure you get the right deal for your supply type.

  • Manage your energy consumption

Suppliers are gradually rolling out new Smart meters to businesses that enable automated meter readings to be sent to that supplier. Rather than wait for this roll out you can get a meter from an independent supplier who can also provide you with reports showing when and how you use your energy. This information is invaluable in reducing energy waste in your business.

  • Create an energy saving culture

Not all of your staff will be as highly tuned to saving money as you are. A culture should be created where staff become more aware of the consequences of not turning lights or equipment off at the end of the day. A sustained effort in doing this can show a noticeable reduction in consumption and cost on your bills, maybe an incentive scheme can help you to achieve this. The savings will outweigh the cost!

  • Reduce Your administration

For every site you have you will most probably have at least two energy supplies, if not more. For each supply your contract dates may differ, as may your supplier and their requirements at renewal. If you own multiple sites the administration of your energy contracts can become a major staff time issue. Even though suppliers will not offer you one deal for all supplies (unless you have a very large number) you can still work towards a common renewal date for all. This way the process of renewal can be handled at one point in the year in a much more time efficient manner.

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