Switched On: What You Need to Know About Commercial Energy

Securing a dependable energy supply is essential for business success. Every company must be able to keep the lights on and manage indoor temperatures, where this is necessary for curating a safe and productive working environment. In some industries, energy is also vital for powering computers, machinery and specialist equipment, all of which must remain switched on in order to facilitate the completion of everyday tasks.

When it comes to finding the best commercial energy solutions for your business, it can be difficult to know where to start. Commercial energy costs and contracts tend to differ from domestic services, where you may also be thinking about green energy alternatives and working towards net zero targets.

Read on to find out more about commercial energy, with a look at how working with a specialist consultant can help you to find the best solutions for your business.

Commercial Vs Domestic Energy: The Key Differences

When it comes to finding the best energy deal for your business, it is important to understand how your needs differ from domestic customers. The main distinctions between domestic and commercial energy include:

Costs

When it comes to price comparisons, energy bills for businesses tend to work out cheaper per unit than domestic solutions. This is because companies can negotiate bespoke packages due to their high levels of energy consumption, resulting in cost effective, flexible solutions. Some businesses may also be able to reduce costs by implementing hybrid working schedules and closing down onsite premises during holiday periods.

Contracts

In contrast to rolling domestic contracts, commercial energy contracts are usually offered on a fixed term basis. These can vary in length from one to five years, during which time the unit rate should remain at an agreed price. This compares to more volatile domestic contracts where energy bills are likely to increase over time, although customers can switch providers with less difficulty than commercial clients.

Meter Type

Because commercial clients tend to consume more energy than their domestic counterparts, their usage rates will be monitored in a different way. Some companies may have a meter fitted that corresponds with the conditions of their fixed term contract, where these will be distinguished by the profile numbers 00, 03 or 04. In contrast, domestic meter profiles are usually numbered 01 or 02.

Commercial Energy & Net Zero

The UK government is currently committed to the key target of reducing greenhouse gas emissions by at least 100% by 2050, otherwise known as achieving net zero. In order to achieve this, businesses, organisations and individuals are being encouraged to make greener choices, where small and large scale changes must be implemented to meet this long term goal.

In addition to the environmental benefits of switching to greener practices, it is also believed that UK businesses can gain from:

  • Reduced operational costs & increased profit margins
  • Building a more efficient supply chain
  • Qualifying for tax benefits, government grants & financial incentives
  • Attracting new customers & investors
  • Maintaining a competitive advantage

Going Green

A key part of the net zero process will be a widespread shift towards green energy solutions, both for individuals and businesses.

Government research currently shows that in Quarter 4 of 2023, 51.5% of our electricity was generated by renewables, a record high and a key marker of progress for the UK.

As such, there has never been a better time to investigate sustainable commercial energy solutions for your company, where doing so will help you to futureproof your business whilst benefiting the planet.

This can be achieved by reducing your carbon footprint as a business, where you may wish to invest in:

Renewable energy for your building – this may include installing solar panels on your premises, or accessing your power from a sustainable source.

Electric vehicles for your workforce – swapping petrol and diesel vehicles for hybrid or fully electric company cars can help you to manage the carbon footprint of your workforce.

A greener supply chain – sustainable solutions can be prioritised across your supply chain, where this may include minimising transportation distances and recycling materials.

Funding Your Net Zero Journey

Switching to a sustainable energy source or reducing your carbon footprint can come at a cost. Fortunately, the UK government has set aside almost £5 billion to assist businesses like yours in their net zero journey.

You can browse potential funding routes via their Find A Grant service, which can be used to research and apply for financial support across the UK.

How An Energy Consultancy Company Can Help

Although it can be helpful to conduct your own research concerning commercial energy solutions, the best route to take is to seek professional advice.

Working with a dedicated energy consultancy service provider like The Energy Desk can allow you to find the right deal for your business, where our expert team can assist with:

Energy Costs

Your energy consultancy team will be able to help with the management and reduction of your utility bills. They may be able to identify areas of energy wastage and inefficiency, allowing you to streamline your operations and save money in the long run. Beyond this, our team can negotiate competitive energy contracts for your business, where we assist with both gas and electricity procurement.

Sustainability Targets

Energy experts will also be able to help you to achieve your sustainability goals as you strive towards net zero and the reduction of your carbon footprint. They may be able to advise you on the best way to invest in solar panels and manage emissions from your supply chain, allowing you to establish your business as a stand out sustainable company.

Market Insights

The commercial energy market in the UK is constantly evolving, so it can be helpful to seek expert advice in order to get to grips with upcoming changes. Receiving market insights from an energy consultant will allow you to tailor your energy strategies and approaches to reflect current trends, helping you to stay ahead of the curve.

Funding Routes

When it comes to adapting your commercial energy strategy, it is essential to understand the potential costs and funding solutions involved. An energy consultant will be able to direct you to potential financial support as you upgrade your infrastructure, where this can help to simplify the application process.

Legal Compliance

As a company, you should also ensure that you are staying up to date with legislation changes when it comes to your energy supply. As we advance towards the net zero deadline, energy restrictions are likely to tighten. In order to prepare, you may wish to seek legal advice from an expert consultant so you can ensure your business is ready.

The Energy Desk: Commercial Energy Advice & Support

At The Energy Desk, we’re on hand to offer up to date information about the current UK energy market, helping you to find the best deal for your business. We can assist with commercial gas and electricity procurement, where we arrange competitive deals for companies of all sizes.

So whether you need advice on how to negotiate an electricity contract or you’d like to check that you’re receiving a fair rate, our expert team is here to help. Get in touch with us directly today to find out more about our full range of services.

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Switched On: What You Need to Know About Commercial Energy
2024-07-03T08:41:19+00:00
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