Have you got the power of the ‘prosumer’?
12th July 2018
As more and more businesses discover the benefits of producing as well as consuming energy, why don’t you turn on to the power of the ‘prosumer’ for your business?
You may already have heard about ‘prosumers’– the businesses and individuals who produce energy as well as simply consuming it. It’s one of the biggest changes to the UK energy landscape in years.
What you might not know is exactly why an ever-increasing number of businesses are switching on to the benefits of this new way of thinking about and using energy.
Some are doing it because ‘prosumers’ enjoy greater energy security. By generating their own power, they’re reducing the likelihood that they’ll have to go without if the day ever comes when the Grid can’t cope with peak demand.
These businesses are saving money by generating energy – which they obviously don’t have to pay for. But many are also benefiting from lower overall energy costs, because they’re being paid for the energy they put back into the system through the Feed-in Tariff (FiT) scheme. This is a Government scheme to pay for embedded energy generation via renewable and low-carbon technologies.
Many organisations are also receiving financial incentives through Demand Side Management (DSM) schemes which reward businesses who agree to manage their energy usage at certain times – for example, by switching to battery-stored or self-generated electricity.
Larger ‘prosumers’ can also lower their bought-in energy costs through Power Purchasing Agreements – by contracting to buy fixed cost energy from a named generator. These often come as a result of making more effective risk management arrangements, to protect themselves from sudden shocks in the market. Alternatively, if they generate their own power, they can take on the role of the generator in a Power Purchasing Agreement by selling an agreed volume of energy at a fixed cost, helping their bottom line with a regular, predictable revenue stream.
More and more businesses are also discovering how they can benefit from becoming ‘prosumers’ by undergoing a professional energy audit before they take the next step. This can lead to even greater optimisation, and more accurate forecasting of energy usage. All of which can lower costs.
The benefits of being a ‘prosumer’ aren’t limited to the financial sphere. For instance, your business could lower its carbon emissions by generating its own electricity through renewables like solar or wind turbines – and storing that energy in batteries where appropriate.
You could then use that stored energy to power your own business or sell it back to the Grid, or use it as part of a DSR agreement. Which proves that doing your bit to help the environment can also boost your bottom line. A powerful message in these challenging times for business.
If you want to find out more about how your business can benefit by becoming a ‘prosumer’, Haven Power can help you find the right solution – either through our in-house team or our network of expert partners. Just fill in our contact form to get in touch.Submit Contact Form