Over recent years with continuous changes to the Green taxes and policies, buying gas and electricity for large consumers has become increasingly complex. Purchasing options which were only available to major users are now available to more of the market. Wholesale energy prices peaked in 2008 and have fallen significantly since then, however rising taxes and distribution costs means that the reta
il price is now higher than ever. Persistent price volatility means that businesses or organisations reliance on traditional energy procurement methods should be reviewed. Most gas and electricity procurement is still undertaken through the traditional annual or biannual tender route, with the majority taking place in October and April, but this is not without its own significant price risks. If you end up going to market when prices are highest, your business could find itself paying 30-40% more than a competitor that arranges it’s tender at a different time. As the cost of energy usually represents one of the most significant areas of controllable expenditure, the case for re-examining purchasing methods is clear. More flexible buying strategies are now available and those businesses that have adopted an innovative approach have seen significant cost advantages compared to those who continue to rely on annual fixed price contracts, negotiating only in the month or two before the renewal is actually due. For those involved in procuring energy, this website is designed to help you make informed decisions to ensure the delivery of excellence in the highly volatile and complex gas and electricity markets.
