Reduce Process Energy , Electricity, Gas and
Water Costs
If you are facing increased challenges in your
process energy and utility charges like this, then we can help...
&
it wont cost you a penny...
The Utility Market has changed, and your
procurement strategy needs to be altered
accordingly.
If you are involved in the procurement of utilities for your organisations
processes, you will be all too familiar with the articles featured
here.
Since privatisation, energy prices have been on a downward trend
as a result of the pressures brought about by competition.
However, this downward trend has now changed dramatically, with
energy prices now reaching unprecedented highs, and are unlikely
to fall in the foreseeable future, resulting in companies facing
huge increases in utility costs as contracts come up for renewal.
There have been fundamental changes in the way energy is now bought
and sold:
- Most competitive rates are often available many months prior
to contract renewal dates.
- Fluctuations in energy prices are now far greater than supplier
margins.
- Suppliers are now often unable or unwilling to quote for new
business in the traditional April and October contract rounds
due to increased workloads during these periods and tend to focus
on retaining existing customers.
- Prices tend to increase as deadlines for acceptance approach,
with offers invariably being increased or withdrawn
NEW MARKET DYNAMICS
In simplistic terms, the cost of energy can be broken down into
two types of charges, pass through and controllable:
The traditional way in which energy prices have been negotiated
has been to focus on supplier margins in the weeks running up tocontract
renewals.
However, due to the volatility in the energy markets, this approach
isno longer appropriate.
We are now in an era where energy prices fluctuate on an hourly
basis. Whilst it is still important to ensure suppliers are not
building in excessive margins into their Administration Fees, controlling
the cost of the 60% Wholesale Energy Costs through better timing
ofrenewals if far more critical.
ENERGY STRATEGY FOR TODAY’S MARKET
 To
stay ahead of the competition in today’s rapidly changing energy
market, it is essential to prepare well in advance of contract renewal
dates, and to be ready to act as and when opportunities in the market
present themselves.
 Suppliers
are constantly updating their products and services to take account
of the changing market. Keeping up with developments is no longer
practical for the vast majority of customers.
 This
is where Square One Enterprises can help. With over 30 years industry
experience, we have an in-depth knowledge of utility markets and
enjoy excellent working relationships with all major supply companies,
which allows us to source the best offers and services in the market
on behalf of our clients.
 In
addition to procurement solutions, we are able to assist in all
aspects related to utilities, including Dispute Resolution, Bill
Checking, Energy Efficiency Advice and New/Increased SupplyConnections.
We would welcome the opportunity to discuss your requirements and
to explore how we may be of help to your process.
To find out more, please contact us on:
0191 519 7256
or e-mail us at:enquiries@sq-one.co.uk
SQUARE ONE ENTERPRISES LTD
The Quadrus Centre,
Woodstock Way,
Boldon Business Park,
Boldon,
Tyne & Wear
NE35 9PF
Tel: 0191 519 7256
Fax: 0191 519 7259
E-mail: admin@sq-one.co.uk
Web: www.sq-one.co.uk
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