Electricity Tariffs

Jan 22 2012

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electricity tariffs

Being Aware of Business Electricity Prices by Sam Weller

The time is going to come when a business has to renew its existing business electricity contract – usually by simply doing nothing and letting the provider carry on as before, albeit with a price increase thrown in for good measure. The alternative is to look carefully at the amount its Commercial Electricity has been costing over the duration of the contract… and then to look around at other contracts to see what other commericial electricity prices are on offer.

It may take a little time and effort, but finding a new energy supplier and negotiating a new deal is well worth the inconvenience, as any company will discover the first time they open up a business electricity bill from their new supplier.

That’s not to say that there aren’t a few variables to take into consideration: some business electricity prices are lower because customers are reducing the company’s workload by managing their own meter readings and signing up for paperless billing. Other business electricity prices can be much higher depending on the tariff, the supplier, the location of the business and the type of energy consumption.

So because of these variables, it’s essential that any company is aware of the price per unit of electricity (kilowatt hour) to start with. From there, taking each variable into account, it’s just a matter of using that price as a basis for comparison.

Comparing commercial electricity prices is no longer the daunting prospect it used to be: with so many price comparison web sites, and so many independent energy brokers clamouring to offer their services most of the hard work is already done.

Any business still, however, has a bit of work to do, like identifying the amount of Electricity Usage during the evening and at weekends, and perhaps arranging new working methodologies to take advantage of lower, off-peak business electricity prices.

The physical location of premises may have a bearing on business electricity prices. This means it’s always worth checking whether – if it’s practical – moving the business would result in lower electricity charges.

All in all, every business owes it to itself to keep operating costs as low as possible – and that includes shopping around and comparing business electricity prices and then negotiating with suppliers for the best deal.

A current supplier may well offer a new deal, but it shouldn’t be accepted on face value: questions – and lots of them – should be asked on both sides before any signature goes on the dotted line. Potential suppliers understand a company’s needs completely, because there’s no such thing as “one size fits all” business electricity prices.

About the Author

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