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The average energy consumption of different businesses can vary significantly based on the industry in which companies operate. This is due to significant differences in operational processes, amounts of downtime, equipment used and the buildings in which everything takes place. Before you compare business energy rates, it’s important to understand how and why certain industries will innately consume more or less energy than others.   This blog will offer a business energy comparison between various industries, highlighting where consumption differs, along with offering some tips for increasing energy efficiency in each of them.    Hotels Hotels fall into the category of high energy consumption industries for several reasons. Some studies suggest the average room in a small hotel uses 6,000 kWh of electricity and 18,000 kWh of gas a year – multiplied by the number of rooms, this makes for a hefty bill, even higher per room in larger establishments. Not to mention other factors like:    24/7 operation Hotel-wide HVAC requirements Lighting Kitchen energy consumption Massive laundry requirements   Business energy prices for hotels can be lowered with the use of smart thermostats, energy management systems, equipment/HVAC updates, eco-conscious practices and occupancy sensors. Check out this blog for further information.    Catering Trying to compare business energy rates across restaurants and catering companies depends on their sizes. Report shows that a smaller establishment will use between 15,000-25,000 kWh of electricity per year, with medium businesses using between 30,000 kWh and 50,000 kWh, with the figures being matched or exceeded in gas consumption. Catering businesses need energy for constant reasons like:    Refrigeration Cooking Ventilation Dishwashing   These costs can be lowered with more energy efficient equipment, demand-controlled ventilation, water-saving dishwashers and smarter kitchen layouts.     Manufacturing Business energy supply differs significantly between manufacturing sites, with larger, more advanced operations obviously using significant amounts more energy than smaller-scale grassroots facilities. However, it’s worth noting that average manufacturing plants spend 1-10% of their overall outgoings on energy for things like:    Heating  Machinery operation Compressed air systems   Using things like variable speed drives, optimising existing equipment, heat recovery systems and energy-efficient lighting will all make a difference.    Education The average school energy bill in 2024 was around £6,819 for 19,599 kWh, however this can vary significantly based on the number of students at a school and how advanced its facilities are. Energy consumption in schools is driven by:    Lighting Use of computer equipment HVAC In-house catering   Bills can be effectively managed with solutions like occupancy sensors, power-saving settings on computers, better insulation, and student/staff education on energy efficiency.    Retail The bright lights of retail (especially food-stocking) settings consume a lot of energy – around 700 kWh/m2 sales area in hypermarkets to more than 2000 kWh/m2 sales area in convenience stores – with refrigeration accounting for between 30% and 60% of the electricity used. Again, lighting sensors, dimmers anti-sweat heaters and other environmental technology can make a difference to the bills in these settings.    Care homes It’s easy to compare business energy tariffs in care homes. However, care homes come with unique challenges, including:    Specific temperature requirements Fixed/lower budgets Running specialised medical equipment   These settings can maintain energy efficiency largely by investing in quality equipment, practicing smart laundry techniques, training staff on energy-efficient practices and HVAC zoning between residents and employees.   Consider a new business energy supplier Whatever industry you operate in, the issue might be that you’re with the wrong supplier. You can effectively lower your bill or increase efficiency when you choose a business energy supplier with multiple options, including renewable variants like wind power. For more insights into the landscape of business energy supply, check out our blog today. Talk to our experts today for competitive business energy quotes today!

Committing almost £5 billion worth of investment to help businesses across the UK achieve net zero, the UK government has committed to supporting businesses, big and small, make the changes they need to go green. With green energy incentives such as funding grants and schemes, businesses can access the financial support they need to make big changes. In this blog, uncover how you can access this financial support and what it can do for business, big or small.   Sustainability funding for small businesses For small businesses in the UK, there’s a range of options for financial support. The UK government has created their Find a Grant service, which allows businesses to search the government website for relevant grants and funding schemes. While some schemes are location-based and only applicable to certain types of businesses, the tool allows you to filter and select certain criteria, helping to pinpoint funding that your business may be eligible for. Specific local authorities may also have a budget for funding for local businesses too. Details of which can be found here.   The benefits of government-backed funding schemes By accessing green energy funding through government-backed schemes, businesses can fully embrace the transition to sustainable and environmentally-friendly practices. These incentives offer numerous benefits for businesses, including: Financial support: The most obvious benefit of these schemes is the financial support they provide. By reducing the burden of initial costs, businesses have more capital available to invest in other areas of their operations. Competitive edge: In today’s society where consumers are becoming increasingly conscious of sustainability and environmental impact, implementing green energy solutions can give businesses a competitive edge. By showcasing a commitment to reducing their carbon footprint, companies can attract eco-conscious customers and potentially increase sales. Cost savings: Implementing green energy solutions often leads to cost savings. Making running  a business a little more financially viable. Particularly in times of hardship, with rising energy costs and the high cost of living, keeping costs down, such as business energy costs, is important for all businesses to stay afloat. Positive brand image: Adopting green energy practices can also improve a company’s brand image. Customers are more likely to support businesses that align with their own values and beliefs, especially when it comes to sustainability. By showcasing commitment to reducing environmental impact, companies can build a positive reputation and gain customer loyalty. Meeting regulations and targets: Many countries have set goals for carbon neutrality or reducing emissions by a certain date. By embracing green energy solutions, businesses can stay ahead of potential future regulations and meet these targets early on.   While there may not currently be support available for your business, it is always a good idea to keep an eye out for latest updates and new schemes from the government. And, with a new Labour government in power, there’s certainly potential for updated financial support to be added to the list of current grants.   If you’re currently struggling with your business energy payments or would like more advice, do not hesitate to get in touch with our team at D-ENERGi. We can supply you with a free quote or advice and guidance to help you cover your energy payments.

With Keir Starmer now officially in power, we take a look at how our new Labour government will impact the UK’s journey towards net zero. Making Britain A Green Superpower A big part of Labour’s 2024 manifesto is a chapter titled ‘Make Britain a clean energy superpower’. This chapter focuses on the plans Labour has to make the country a clean superpower, with the following objectives:   Set up Great British Energy to cut bills for good Energy independence from dictators like Putin 650,000 new high-quality jobs Warmer homes to slash fuel poverty Water companies forced to clean up our rivers   According to the manifesto, Labour’s mission is to achieve clean energy by 2030. Stating that the Conservative party have failed to ‘grasp opportunities in this area’. But how do they plan to do this? Let’s delve into what may happen as a result of these objectives…   Opportunities Within Wind Power As a small island surrounded by water and a huge coastline that stretches the length and breadth of the country, we are in an incredibly advantageous position where wind power is concerned.   Due to our geographical location, wind power is the most abundant of renewable energy sources available to us in the country. By harnessing what power we already have access to, investing into this sector and supporting the development of onshore and offshore wind, the Labour government plans to lower energy bills for families and businesses across the country, moving away from fossil fuels and the power of Russia and Putin over traditional sources of energy.   In doing so, we can become an independent green energy power. Great British Energy A planned governmental and investment body, Labour intends to begin the start of Great British Energy. The publicly-owned company will oversee investment into clean energy, support clean power projects, create jobs and more. The body is intended to be owned by the British people to give the power back to the British people.   Investing In Green Jobs To help meet our targets in a timely fashion, Labour has pledged 650,000 green jobs to be created in the UK’s renewable energy sector. This will call upon engineers and specialists to come forward and make Britain a greener place to live with cleaner air for all. Labour has suggested that these roles could include: Renewable Energy Engineers Solar Panel Installers Wind Turbine Technicians Hydrogen Fuel Cell Technologists Sustainable Transport Specialists This investment not only benefits the environment but also creates high-quality jobs for people across the country, helping to boost the economy after the impact of COVID-19. It also provides opportunities for individuals to upskill and retrain in vital industries, ensuring a sustainable future for our workforce. Conclusion Overall, it is clear that the new Labour government has ambitious plans for clean energy in the UK. By investing in renewable energy sources and creating green jobs, they are working towards their goal of making Britain a clean energy superpower by 2030. Whether they will be able to achieve this remains to be seen, but it is certainly a step in the right direction towards tackling climate change and achieving net zero emissions. As businesses and individuals, we can also play our part by supporting these initiatives and making conscious choices to reduce our own carbon footprint. Together, we can work towards a greener and more sustainable planet for future generations.   To find out how you could switch to renewable energy for your business, discover D-ENERGi 100% UK Wind Power. With all electricity supplied from D-ENERGi Trading and sourced from UK based wind farms, it’s the greenest way to power your business today. Get in touch with our team for more information.

While Jeremy Hunt did not mention the EBDS Scheme in his Spring Budget announcement, it is confirmed that the support scheme ends 31st March 2024. For small businesses utilising the support of the Energy Bill Discount Scheme may feel slightly left in the dark now, as no alternative or additional support has been mentioned by the government. So what now?   Costs of running a small business in 2024 Although there’s certainly mixed opinions regarding the scheme and the genuine support that it did or could offer SMEs, having little to no other options leaves many small businesses wondering about the future. Despite predictions for the energy market looking better for 2024, many small businesses will still be dealing with the financial fallout of the energy crisis and of course the other issue of the cost of living crisis. Ensuring staff are paid enough to cover their own bills, business rents increasing and difficulties in a variety of sectors, there will continue to be concern about finances and staying afloat for small business owners in 2024.   A desire for tailored support for small businesses While there is not a single scheme or support programme set to succeed the EBDS Scheme as of yet, there’s some discussions surrounding what SMEs truly desire from the government. Research done within the industry has highlighted that small business owners wish for the government to acknowledge their want for energy support that is tailored to their unique needs, rather than schemes that many do not deem to be adequate. Microbusinesses especially, have called for bespoke assistance from the government for those that have been most affected by rising energy prices. And many are calling for regular winter support to be introduced, making sure that each year businesses are thoroughly supported financially to survive the often challenging months of winter and the extra costs the cold weather presents businesses.   What can small businesses do now? However, since there is yet to be any response or correspondence from the government regarding these concerns and desires, here are some examples of support you can currently access and will be able to access beyond the end of the EBDS Scheme. The best method of support if you can not afford to pay your current energy bill is to contact your business energy supplier and negotiate a payment arrangement that works for your business and them. At D-ENERGi our team of customer service representatives are on hand to offer the best possible advice and guidance for all our business customers. Alternatively support from Citizens Advice and Ofgem may help if you are struggling with what to do next. From understanding how to switch business energy suppliers to knowing if you are overpaying for electricity, these organisations offer some of the best advice for businesses.   Cutting your energy consumption And while we await the government’s offers of more assistance through a new scheme or financial plan, you can also make a difference by actively reducing your energy usage to maximise your savings. From better energy management practices to improving your energy efficiency, there are many small steps you can take for a positive impact on your business. Our blog explores a wide range of these topics. Including the best advice for businesses wanting to cut energy costs and how to cut your energy consumption.   To conclude: While we remain hopeful that the government will continue to offer support for small businesses with their energy, we understand that from the latest budget, much more focus is being placed on inflation. Meaning less attention may be given to the energy market over the next year. Using our advice, we suggest that all small businesses worried about the end of their government-backed support to reach out for more information from our customer support teams. We can discuss next steps and future payments, helping to ensure you are on the right tariff and are able to pay your energy bills.

Value Added Tax (VAT) is a tax that is applied to most goods and services in the UK, including business energy bills. The standard rate of VAT is 20%, but there are a number of discounts and exemptions available to businesses, which can help to reduce the amount of VAT you pay. Not only is this a useful piece of information for small businesses to know, it may also mean more money going back into your business rather than to the dreaded tax man!   VAT on electricity for businesses Much like any other goods or services you access as a business, you will pay VAT. The current standard rate of VAT is 20%. However, since the government wants to offer as much incentive to businesses as possible to reduce their energy consumption and improve their energy efficiency, such discounts and exemptions of VAT payments can be applied. This is of course, subject to eligibility.    If you are eligible for a discount or exemption on your electricity VAT, this should be applied automatically by your supplier. However, you may need to confirm this at the time of approval. Ensuring that all parties are aware of the reduced fee. Keep an eye out on your bills for what you are paying. For more help understanding your bill click here.    Discounts and exemptions available to businesses from the UK government   The Climate Change Levy (CCL) exemption: This exemption applies to businesses that use certain types of renewable energy, such as solar power, wind power, and biomass. Fuel Duty: If you use a generator to power your business, you may be able to reclaim some of the Fuel Duty that you pay on the fuel you use. The De Minimis supply: If your business uses less than a certain amount of energy each year, you may be eligible for a reduced rate of VAT of 5%. The de minimis limits are 1,000 kWh of electricity per month or 4,397 kWh of gas per month.   Signing a CCA (Climate Change Agreement)  Signing a Climate Change Agreement (CCA) as a UK business comes with both obligations and benefits, primarily in the form of potential financial savings and reduced carbon footprint. Here’s a breakdown:   What is a CCA? A CCA is a voluntary agreement between your business and the Environment Agency. In exchange for meeting specific energy efficiency and carbon reduction targets, you receive a discount on the Climate Change Levy (CCL), a tax added to your electricity and fuel bills.   By signing a CCA you are agreeing to making improvements to the energy efficiency of your business, reducing your energy consumption. This provides you with the opportunity to receive discounts of up to 90%.    It is important to remember that discounts and eligibility for discounts is always subject to change as per the government’s guidelines. To ensure you are always up to date with the latest information regarding discounts and exemptions on your business energy bills, read the GOV.UK site.  For more energy saving tips and advice on how to improve the energy efficiency of your business premises, check out more of our D-ENERGi blogs.

Introduced at the beginning of January by the UK government, the Energy Bill Discount Scheme or the EBDS, for short, will spring into action from 1 April 2023. This will not only see the beginning of a new support scheme for businesses but will see the end of the temporary Energy Bill Relief Scheme (EBRS). What is happening to the EBRS? The EBRS, which we have touched on in a number of previous blogs, will be coming to an end on the 31st March 2023. The government was clear from the beginning that this scheme would only be a temporary solution for businesses and all non-domestic energy customers to deal with the effects of rising wholesale gas and electricity prices. As wholesale gas prices have now fallen back down to levels seen before the invasion of Ukraine, the government will be ending the EBRS and instead introducing a new scheme, the EBDS. Key facts about The Energy Bill Discount Scheme Below are the simple key facts about the Energy Bill Discount Scheme, that all business energy customers should be aware of: This new scheme will come into effect from April 1st 2023 It has been designed to support businesses over the following 12 months. The new scheme will limit the taxpayer’s exposure to volatile energy markets, with a cap that will be set at £5.5 billion. The EBDS will then come to an end on 31st March 2024. What does this mean for business energy customers? This new scheme will provide an energy bill discount to all eligible businesses. This will be a per-unit discount, subject to a maximum discount. These maximum discounts have been set at: Electricity – £19.61 per megawatt hour (MWh) with a price threshold of £302 per MWh. Gas – £6.97 per MWh with a price threshold of £107 per MWh However the government has recognised that there are particular sectors where the higher energy prices leaves them more vulnerable than others. The list of Energy and Trade Intensive Industries (ETII) details which businesses are included in this. Those within these sectors will receive a higher level of support from the government. The maximum discounts for these will be: Electricity – £89 per MWh with a price threshold of £185 per MWh Gas – £40 per MWh with a price threshold of £99 per MWh Just like previous schemes, customers do not have to actively apply reductions to bills. Instead, suppliers will do this on your behalf. However, if you are a company working within an industry listed on the ETII list, you will have to apply for the higher support available. The discount you are eligible for will be deducted in pence per kilowatt hour. It is important to note that depending on the tariff and contract you are on and your individual organisation, the level of support will vary. Are you eligible for the Energy Bill Discount Scheme? On the official government website, the eligibility criteria has been outlined as anyone who is on a non-domestic energy contract including the following: businesses voluntary sector organisations, such as charities public sector organisations such as schools, hospitals, and care homes who are: on existing fixed price contracts that were agreed on or after 1 December 2021 signing new fixed price contracts on deemed / out of contract or standard variable tariffs on flexible purchase or similar contracts on variable ‘Day Ahead Index’ (DAI) tariffs (Northern Ireland scheme only) For More information about the EBDS Scheme or to confirm that you are eligible, please do not hesitate to contact the D-ENERGi customer support team. We will be happy to help explain the scheme in more detail and explain how this will benefit your organisation from April onwards.