10 Jul
What Are Business Energy Prices Per Kwh?
Posted on Jul 10, 2019 by D-ENERGi
If your business is looking to switch a supplier to reduce costs, you may be asking, ‘What are business energy prices per kWh?’
This is a business exercise that could see you switching to a tariff offering a lower rate which will help reduce overheads.
The process to switch is straightforward but you will need to appreciate how your business energy costs are calculated in the first place.
There will be a range of costs but there are two that you should pay attention to which is the unit cost, this is the amount paid per unit of energy which is measured in kilowatt-hours (kWh).
In addition, there is a standing charge which is the amount levied for paying the National Grid to deliver energy to your premises.
Compare energy prices
This is the first step to compare energy prices because when you find a deal with lower unit costs as well as standing charges, then you will be saving money on your firm’s energy bills.
However, a busy business owner may not have the time to source various quotes and then you will need to compare the offerings between providers as best you can.
That’s because the supplier must offer a bespoke deal which makes comparing these on a like-for-like basis a tad more difficult.
Essentially, sourcing a business energy deal for meeting your needs is more complicated than supplying energy for our homes.
Business electricity rates per kWh
There is a range of factors that will influence the business electricity rates per kWh that a potential supplier will quote. These factors include:
- The industry you work in
- The size of the firm
- Your firm’s average annual energy consumption
- The location of your premises
- The potential length of the energy supply contract.
All of these will have an impact on the cost per kWh unit plus the prices will be influenced by movements in the cost of wholesale gas and electricity.
In addition, if you have expansion plans for the next year then you will need to mention this to a potential new supplier so they can tailor their offering accordingly.
Some busy business owners may not appreciate the fact they will need to speak with a supplier directly to offer these details. This is also the case if you use an online comparison site as you will still have to speak with the supplier because they must create a bespoke deal for meeting your firm’s needs.
If you would like more help and information about understanding business energy prices per kWh, then you need to speak with the experts at D-Energi who can source a cheaper deal and help with the switchover process.
Making one of your employees an energy champion can be a very effective way of controlling energy costs and the Carbon Trust has published a number of tips for how to make the best of such a role.
They include: Reporting energy waste they notice, such as equipment left on unnecessarily.
Ensuring equipment and machinery are well-maintained and working efficiently.
Contributing and gathering ideas for improving the way things are done.
Testing and implementing new processes.
Communicating good practice and being an ambassador for change.
It’s also vital that your energy champion has the visible support of top management and all the necessary resources they need to be effective.
According to the Carbon Trust approach, the energy champion should: Be the eyes and ears for energy wastage.
Be responsible for reading meters and checking fuel bills.
Develop a weekly or monthly checklist of duties.
Consider forming an action team to report on progress and encourage further action. A good way of identifying waste initially is to stage an energy walkabout. Because your energy usage patterns will vary throughout the day, the walkabout times should be varied to match, for example, when the cleaners are in, at lunch, and at night or over weekends.
From these walks, your energy champion can identify where energy is being wasted and the possible reasons. Is it a lack understanding, are procedures being overlooked, is repair or necessary to reduce energy costs, or there is a need for capital investment.
We’re proud business energy suppliers with a passion for supporting companies of various sizes, whether with competitive gas tariffs, electricity or 100% UK wind power. Contact our team today to learn more.
We’re proud business energy suppliers with a passion for supporting companies of various sizes, whether with competitive gas tariffs, electricity or 100% UK wind power.
Contact our team today to learn more.
Read Article Finding Cheap Business Electricity
Finding cheap business electricity can be challenging when every supplier offers such competitive rates. This is why you should make the effort to shop around and receive as many quotes as you possibly can. Although this may be a chore, it is regarding one of the main factors within your business – money.
Ofgem Recommendations
The leading regulatory body, Ofgem recommend that you shop around for electricity rates, at least every three years to ensure you are being delivered the best tariff for your business electricity needs. When we say shop around, we mean the whole market. Do your research, look into energy suppliers that you may never have heard of previously, and try to look further into suppliers that don’t fall under The Big Six.
We are only a phone call away…
If you are looking to seek consultancy with regard to your electricity, D-ENERGi can review your electricity and advise you on what is best for you and your business when it comes to electricity. Please don’t hesitate to give us a call at 0800 871 7626 to speak with one of our experienced Account Managers in-house to help you understand your electricity as opposed to developing knowledge in generic electricity rates. Every business’s electricity needs are highly unique and you should not feel as though there is only one route you can take.
Hidden costs in electricity
Something that isn’t outlined by every supplier is the fact that there are several other charges that relate to electricity supply. We like you to be involved and we want you to have a 100% understanding on just where your electricity budget money is heading.
Some electricity quotes can be referred to as a mine field quote which can be presented in many different manners and can prove to show hidden costs. We can give you a cost analysis penny-to-penny of what and where you are spending your money on your business electricity.
P272
P272 is a new regulation given by Ofgem which affects around 167,000 businesses. P272 is mandatory and affects the way all electricity suppliers settle electricity consumption for businesses within a specified energy use. This will result in sites being migrated from non-half-hourly meters (NHH) to half-hourly meters (HH), and enable suppliers to produce more accurate bills.
More information and an infographic regarding P272 can be found here. If you would like to read our blog on P272 this can also be found here.
Get competitive rates today with a free quote
If you wish to seek electricity or any energy consultancy we are here until 5.00 pm every day ready to answer any questions you may have. Please call 0800 781 7626 for further information.
You can receive a free, no-obligation quote here and start to compare electricity rates today!
Read Article