Underhand tactics in energy pricing and selling: revealed

The Energy Brokers is strongly advising businesses to clarify key points when choosing an energy supply partner.

With many cases of abuse reported each year in the energy broker sector, we believe that buyers need to be fully aware of the total fee being paid from an energy supplier to the broker. Indeed, we recommend that you assess all offers that you receive from potential suppliers on a level basis in this regard.

With the mandatory Code of Practice now shelved, Third Party Intermediaries are not subject to direct sectoral regulation in the same way as energy suppliers. We are therefore advising our business users to be aware of poor practices that could mean they end up paying more than they should for electricity and gas, or be locked-in to unfavourable terms for a long time.

With this in mind, we have published our Executive Briefing Paper “Openness and Transparency in Energy Pricing and Purchasing”. This free discussion paper explains why buyers should be wary, reveals some of the dodgy tactics used, discusses the need for greater clarity – and suggests key questions you should ask any potential partner.

Download your copy here.

As an early mover in the deregulated UK energy market, The Energy Brokers Limited has developed an industry reputation for openness, transparency, market intelligence and ethical working practices.

Our approach has resulted in a high level of client retention – greater than 97% – and to all energy suppliers noting that our fees are among the best value in the industry. Where our business has lost customers in the past based on price, subsequent investigations have revealed evidence of bad practices, which can be extremely difficult for energy users and consumers to identify in advance. This, we believe, is due to a lack of openness and transparency on behalf of some TPIs and unfortunately across the energy buying sector in general.

Source: The Energy Brokers Limited

The Energy Brokers hosts energy DSM workshop at popular manufacturing show

‘Future energy costs: balancing the supply/demand equation’

TEBL Commercial Director David Peake and Protect Specialist Paul Gleaves will present a special energy workshop at the Manufacturing Management Show in Coventry’s Ricoh Arena, 22-23rd November 2017.

“Energy is a big cost for so many manufacturers,” says Peake, “and the non-energy element is set to rise by more than 40% in the next five years. If businesses fail to act, the increase could be even greater. Our workshop explains some of the ways manufacturers can deal with this situation, primarily through effective strategies for Demand Side Management.” Last year’s show attracted more than 1,000 industry leaders, featured 50+ exhibitors and offered a keynote conference programme alongside 27 hands-on sessions. The two-day workshop programme, presented in two theatres, covers a range of advice and inspiration for manufacturing professionals.

A ‘rude awakening’ for manufacturers?

‘Electricity prices are forecast to dip in 2018 due to increased generation, although an increase in demand and third party charges is projected to support prices from 2019 onward… Gas prices are forecast to incrementally rise until 2022.’

“We’ll provide attendees with forecasts of energy costs, such as Total Energy/Non-Energy Cost Projections for the Industrial Sector 2012-2022, and explain what makes up UK energy charges,” Peake adds. “With third party charges playing an increasingly significant role, the cost of the commodity itself is actually falling, from 60% of the total electricity bill in 2013 to around 35% by 2022. We’ll highlight the risks of doing nothing, look at the UK’s future generation mix, and explore options to mitigate these costs.” This includes practical energy and cost reduction strategies, notably Demand Side Management (DSM) “that can actually enable manufacturers to generate revenue while reducing consumption.”

The workshop draws on data and commentary in a recent paper by Matthew Hopkins and Stephen Atkins of TEBL, UK Energy Market Outlook 2017: Challenges & Opportunities. This concludes that Demand Side Management is of growing importance, “as balancing the grid becomes more burdensome. A variety of timed response options and volume management schemes are available… leading to opportunities for reduced energy costs and payments for their involvement.”

The Energy Brokers will be exhibiting on stand C19 at the show. For more information or to arrange a meeting with one of our Energy or Water Consultants at the show, please email info@tebl.com