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Three steps to actually liking energy

While many enterprises are indifferent about their energy consumption – and supplier – until the bill arrives (or it’s time for renewal), it’s possible to have a different approach and benefit your business.

Here are three ways to start thinking more positively about your electricity and, in turn, have a positive impact on your bottom line.

Know your contract

When you open your bill, you want to understand the breakdown of costs that make up its total and minimise the surprises. A good start is knowing whether you’re on a fixed or flexible contract.

With a fixed contract, you agree a rate per unit of energy for the whole term of your agreement. This is great if your business is typically more risk-averse and wants to avoid energy price rises.

A flexible contract allows you to spread your purchasing over time and, potentially, take advantage of fluctuations in market prices.

The choice you make between fixed or flex depends upon several factors, including:

  • Your in-house energy industry knowledge
  • The resources you have for trading on the energy market
  • Your commercial attitude to risk, particularly in relation to energy
  • The ability, resources and knowledge of your supplier – and your relationship with them

 

Seize your opportunities

The more you know about energy, the greater the opportunities for reducing your usage and expenditure – and even for generating your own power and new revenue streams.

A reduction in electricity consumption can result from process-driven efficiencies across your business, as well as from energy-specific measures (e.g. improving insulation, installing lower-voltage lightbulbs). In both instances, the reduction in usage is very likely to lead to reduced costs.

Alternatively, you could consider getting together with a number of other businesses to buy your energy as a group through a broker. Compared to negotiating separately, this can help you achieve economies of scale and gain more flexible terms.

Larger enterprises can benefit from services including risk management, demand side response management, energy storage and renewable power purchasing agreements.

 

Build your knowledge

Since these two steps involve having a better understanding of the energy industry, the third tip offers some practical advice on just how to do that.

At Haven Power, we believe in making energy as simple as possible by limiting (or explaining) the jargon and complexity involved. However, we’re striving to make things easier by creating a number of helpful guides.

For example, our jargon buster aims to explain commonly used industry terms – and we’re also using everyday language (wherever possible) in our customer communications and marketing. We believe that by improving understanding, we’ll help you make more informed decisions and let you get back to spending time on your business.

Alternatively, if reading your electricity meter is a challenge, our how to guide should make things easier – as should this article on “What is an MPAN number?”.

To find out more about your contract and the business opportunities available to you, or to discuss your energy needs, please get in touch with our experts on  01473 725943 or contact.us@havenpower.com.

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