FIXED PRICE PROCUREMENT

Take the uncertainty out of your utility bills and get a firm hand on your business overheads

Fixed price contracts are a popular choice for businesses looking to gain clarity on their spending and take the element of chance out of their utility bills. Here at Consultiv Utilities, we have years of experience in negotiating fixed price contracts for our clients, helping them to keep costs under close control. This is done strategically to ensure that energy is bought from suppliers at the optimal time when market rates are at their most favourable.

Get in touch with the team at Consultiv Utilities today to find out more about the fixed price solutions we can offer to your organisation.

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Fixed price energy procurement: the benefits

Some of the key benefits of opting for a fixed price solution include:

  • Remove uncertainty around fluctuating costs
  • Enjoy the best rates through a competitive supplier tendering process
  • A strategic approach to procurement based on market insight and careful timing
  • Fast and accurate analysis of quotations in order to speed up the agreement process
  • Detailed documents, including Invitation to tender (ITT) and Post Tender Reports
  • Ongoing long term support such as cost management, market commentary, market reports and policy updates.

Enjoy complete price certainty

With fixed price solutions, you can pick your position in the market and lock in on a budget that suits your needs. We can help you to take a strategic approach to energy prices, waiting for the market to present the right opportunity before securing any transaction. Our team of expert energy consultants constantly analyse the markets in order to help customers fix pricing at the most advantageous time for you. This gives you the peace of mind you need to focus on managing your business.

All organisations are eligible for fixed-price contracts. At Consultiv Utilities we typically find that this form of procurement is preferable for small to mid-sized businesses looking to avoid cashflow issues and gain a high degree of price certainty.

When choosing fixed price options, supplier selection can focus on service capability. This may be of particular relevance when it comes to choosing water contract options.

Fully Fixed Energy Contracts

Gain absolute certainty with energy pricing that includes everything you need to pay for

Fixed price contracts help to reduce the variables and offer organisations a level of certainty with regards to their overheads. In fact, all “fixed” contracts include the cost of energy, third party charges and supplier costs as standard.

However, the typical fixed contract can still omit some of the variables, such as:

  • Some supply levies like FIT, HDCL, CFD and RO.
  • Government levies such as CCL
  • VAT

At Consultiv Utilities we can help your business to navigate the various contract options on the market and find the right solution for you. If you prefer to have absolute certainty over the various elements of your contract, we can help you find fully fixed business energy deals that incorporate all of the above elements.

Get in touch with the team at Consultiv Utilities today to find out more about the fixed price solutions we can offer to your organisation.

Pass Through Energy Contracts

Take advantage of the many benefits of pass through contracts with our help

Getting your head around the many different business energy contract types on the market can be difficult. But with our help you can secure the contract that is not only competitive right now, but also suits your requirements and manages costs in the long term.

Pass through contracts are a popular and cost effective option for many of our clients because they separate out many of the variable costs that feature in each monthly bill. They also leave potential for significant savings for organisations that are able to closely control the time and scale of their usage.

However, they do require a business to play close attention to their utility bills – which is where our team at Consultiv Utilities come in. We can help your business to make pass through contracts work for you.

Get in touch with the team at Consultiv Utilities today to find out more about the pass through energy contracts we can offer to your organisation.

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What are pass through costs?

Pass through costs are non-commodity fees that are paid towards the third-party companies responsible for operating and maintaining the electricity network. This essential maintenance is critical to the smooth running of the electricity network, the costs can vary over time and the end user has little control over them. In fact, they can make up to 25% of the total energy bill.

Some of the non-commodity charges incorporated in a typical bill are:

  • RO (Renewable Obligation) Government Levy
  • FiT (Feed in Tariff)
  • CCL (Climate Change Levy)
  • AAHEDC (Hydro Benefit)
  • TNUoS (Transmission Network Use of System Charges)
  • Triad
  • DUoS (Distribution Use of System Charges)
  • Contracts for Difference
  • Distribution and Transmission Losses
  • Capacity Market

As we can see, there are many costs that all need to be managed and analysed in the typical energy bill. At Consultiv Utilities our specialist team understand how to audit your contracts and support you to choose the most competitive deal on the market.

Why choose a pass through contract?

Although a pass through contract does require more attention to detail than a fixed cost contract, the savings that can be made are greater when you have the right expertise to hand. Settling for the easy solution may be more straightforward but it can also cause your bills to soar over time.

If you are prepared to manage your usage patterns to avoid triad periods and follow other recommendations tailored to your organisation’s ongoing utility requirements then a pass through contract could well be for you.

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Green Energy

Procuring clean, renewable energy products

Green Energy is that which comes from natural sources, such as the sun. Clean energy are those types which do not release pollutants into the air and renewable energy comes from sources that are constantly being replenished, such as hydropower, wind power or solar energy.

Renewable energy can provide reliable power supplies and fuel diversification, which enhance a businesses energy security, whilst also conserving the nations natural resources.

The most popular types of renewable energy sources currently are:

  • Solar
  • Wind
  • Hydro
  • Tidal
  • Geothermal
  • Biomass

At Consultiv, we have made a commitment to providing UK businesses with affordable, reliable and clean energy. That’s why we can offer electricity and gas products that come from 100% renewable sources – and from UK producers. When you take one of our products, you can choose to make it Green. Green Products That means you know it comes from 100% renewable sources.

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Why aren’t all costs fixed in every contract?

Due to the nature of the business energy market, suppliers do not have total control of energy pricing and must frequently amend their charges based on changes in government policies, taxation and supply chain. While some suppliers are happy to estimate these costs for business clients, others prefer to take a more cautious approach and reserve the right to pass through charges when prices vary.

What information do we need from you?

In order to help you find the right fixed price solutions for your business, we’ll need:

  • Your supply list
  • Your current contract
  • 12 months of invoices per supply
  • 12 months of half-hourly consumption data per supply
  • Any estimations of planned changes that will affect future consumption
  • Signed Letter of Authority (or LOA)
  • And if available, your current trading positions

We can work with you to gather this information, and get you on the road to a more efficient and cost-effective energy supply for your business. Get in touch with our team today to find out how we can help you.

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