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Industry insights

Is there money hidden in your utility bills?

Amanda Byrne

11th March 2020

Utility bills are complex creatures. They cover your energy and utility charges but also the numerous, non-commodity costs of distribution, transmission, taxes and levies – to name a few. Errors are often hidden underneath the complexity and the distractions of daily operations!

Check for hidden consultancy charges

Consultants and brokers in the energy industry usually charge a fixed fee or a commission for their work. Unfortunately some consultants are as transparent and often hide commission in the client's energy rate, implying that they are paid by the supplier. In reality, the extra few pence that has been added to your unit rate is paid directly to the consultant through your energy payments – and sometimes to the tune of thousands of pounds per month!
If you are unsure, ask your consultant, ask your supplier or give us a call so we can have a look at your rates for you.

Ensure your bills are accurate

Over 10% of all electricity, gas and water invoices contain mistakes. Following a simple bill check, many of our clients have realised significant savings usually because of overcharging and billing errors. In some cases the errors can be backdated 6 years giving a nice refund and ongoing forward savings as you are being charged correctly. To keep all of your invoices in check, a  monthly validation and reporting service would ensure that your invoices match up to your contracted terms, any deviations would be identified and issues resolved with the supplier.

Look for competitive tariffs

Just like the stock market, energy prices change on a daily basis due to a mixture of factors. We can benchmark your current market position to see if there are opportunities to secure better prices way in advance of your renewal date. We can further improve your choice by comparing a selection of tariffs across several utility suppliers whom we have strong relationships with.

Reduce the impact of 3rd party costs

The non-commodity element of your energy bills is on the increase. It also includes things like the costs of transmission and distribution, metering, supply capacity, government taxes and levys and now make up over 50% of your electricity bill. These costs can be reduced by complying with legislative schemes, energy management programmes and energy efficiency initiatives. 

Make energy matter

By committing to managing your business's energy better, you will see changes in the amount you use and the amount you pay. You will also do your bit for the environment! Many businesses do this by developing an energy policy and plan which is communicated to all staff, with the aim of creating a culture of energy awareness.
Small things like turning lights off can reduce costs by 10%. Renewable, green energy options are also readily available from energy suppliers and financial agreements can support onsite renewable technologies. 

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