ENERGY PROCUREMENT

Compare energy procurement prices from Influx Energy

What is Energy Procurement?

Our years of industry experience and in-house energy procurement expertise enable us to get the best energy deal for your business.

In recent years, volatile, complex and fast-paced energy markets combined with spiralling costs have made procuring energy a far from straightforward affair. Minimising energy costs – and taking the hassle away from you, the customer – is at the heart of what we do.

At Influx Energy, we use our knowledge, market intelligence and business energy procurement analysis expertise to assess both short and long-term trends in the energy market and to produce a tailor-made solution.

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Business Energy Procurement Specialists

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What types of Business Energy Procurement Contracts are available?

We monitor your energy contract so that we can be proactive when sourcing your new deal. In particular, our account managers can explore the range of options available to you. From a fixed-price, longer-term arrangement, to a more flexible approach, where advantages can be derived from fluctuations in energy pricing.

FullFlex Contract

A fully flexible contract that can offer advantages derived from fluctuations in energy pricing.

MidiFlex Contract

MidiFlex contracts provide some flexibility without the risk involved with a FullFlex arrangement.

Fixed Contract

A longer-term arrangement that allows for greater security, planning and budgeting.

Power Purchase Agreements (PPA's)

Influx Energy can help you arrange the best PPA’s whether you are a dedicated energy generator or a business with onsite generation. If you wish to fix your energy price or choose a flexible contract, Influx Energy can help you achieve your business targets. Signing a PPA is a great way to get ahead of your competitors and plan for risks while leveraging value for your organisation.

Energy Framework Option (EFO)

Influx Energy has launched its unique, six-point Energy Framework Option (EFO), to help reduce Public Sector energy expenditure. Involving up to six energy suppliers, the framework allows public sector bodies to access the best energy solutions. The six suppliers have been shortlisted on the basis of tariff competitiveness, billing accuracy, max/min volume threshold restrictions and terms and conditions.

Energy Framework Option Green (EFOG)

Influx Energy’s Energy Framework Option Green helps clients with the following:-
Tariff competitiveness – there will be none of the premium prices associated with renewable energy procurement in the green energy offers put forward by suppliers.
Increase billing accuracy – 1 in 5 invoices billed incorrectly, our suppliers have been chosen with billing accuracy in mind.
Green certification – REGO – all supplied contracts issued are be accompanied by a renewable Energy Guarantee of origin certificate.

What is an Energy Procurement Strategy?

The best energy procurement strategies optimally match your business needs with the many choices that are available when it comes to buying energy. Energy is often one of the biggest overheads for a business, so it is crucial to adopt the right approach in how you go about purchasing your gas and electricity.

What is the best Energy Procurement Strategy for 2023?

The best strategy will be determined by the needs of your unique business. Energy prices fell dramatically during the early stages of lockdown to reflect the lack of demand, but following the easing of restrictions, the resulting step up in business activity and the war in Ukraine prices have soared to record levels.

Sector-specific energy purchasing

These are unchartered times, and without a crystal ball, managing risk has never been more important. Hence, having the correct strategy in place and being able to respond quickly to opportunities as they arise is crucial.

What is the best Energy Procurement Strategy to manage risk?

Simply put, it’s the strategy that’s most suited to the business. But first, you need to understand the role of risk in your business. Some businesses do not have the option of adopting higher risk for potentially higher financial returns as budget stability might be more important to them.

Your business may have long-term fixed customer sales contracts which do not allow for passing on increases in energy costs to your customers. In order to protect profit margins, having fixed price energy contracts is preferential to having the opportunity to take advantage of falls in the energy markets. This is because the risks of energy price increases would ultimately be more damaging to the financial performance of the business.

Energy-intensive business strategies

For energy-intensive businesses, in order to compete on price, it’s important that you’re buying energy at the current market rate, so a flexible contract that tracks the market could be advantageous.

As a general comment, a fixed price contract which is renewed when the energy markets are low has historically added value, particularly as they often avoid increases in non-commodity costs.

What is the difference between a fixed and flexible energy procurement strategy?

Most people view flexible contracts as riskier than fixed ones but, in reality, they can be used as a hedging tool to smooth out the volatility of market movements.

Flex Energy Contract

A flex contract enables you to fix any amount of energy for any period of time. For example, you could fix energy prices for half your anticipated consumption for the duration of the contract, and let market prices dictate the cost of the other half once you have interpreted market dynamics through the use of helpful influx energy analytical tools. The price you then pay is the average between the two actions.

Whether a fixed, midi-flex or full flexible strategy is adopted, it is important to have a dynamic approach. By this, we mean fixing contracts when market movements present opportunities and not when you come to the end of a fixed period contract in the blind hope that the markets will be favourable.

Energy Procurement latest - January 2023

Industry reaction to the Energy Bills Discount Scheme

The U.K. government’s decision to slash its level of energy bill support for businesses has been labelled “out-of-touch” by the Chair of the Federation of Small Businesses, Martin McTague.

However, other industry leaders and business owners have been more favourable in their reaction – but with caveats.

“The decision to all but eliminate help through the Energy Bill Relief Scheme (EBRS) is a huge disappointment for small businesses,” said McTague.

For more information please call us on 03304 410011 or