How to Get the Best Deal on Your Green Energy
Finding the best green energy deal has never been more critical for businesses navigating today’s challenges.
With the Autumn budget applying fresh pressure, energy market volatility and countless demands competing for attention, making informed energy decisions is key to staying ahead. Understanding the energy market isn’t just about reducing costs—it’s about securing your business’s long-term resilience in an unstable landscape.
With decades of energy market experience, Energy Oasis, specialise in transforming complexity into clarity. From breaking down unpredictable price trends to uncovering bespoke green energy solutions, we’re here to help you take control. This blog will walk you through the factors affecting energy prices, actionable ways to reduce costs, and the hidden factors in your energy bill—empowering you to make smarter choices backed by expert guidance.
Contrary to much of the recent media, wholesale energy prices have fallen by over 15%, since their recent peak on February 10th - what does this mean for your business? If your energy bill is up for renewal this year, now is the time to get in touch with Energy Oasis.
Are Energy Prices High?
Energy prices remain a challenging issue for businesses, driven by several factors that have amplified market instability. While they haven’t reached the extreme levels seen in August 2022, the current market still poses significant hurdles.
Low Gas Storage Levels and Low Wind
The UK struggles with limited gas storage—just 12 days’ capacity when full. This constraint makes the country more vulnerable to volatile gas markets, especially during high-demand periods. Add to that the recent cold winter combined with reduced wind generation, and the grid’s reliance on gas-fired power stations has risen sharply.
Geopolitical Uncertainty
The cessation of Russian gas flows through Ukraine after the end of a five-year transportation deal on December 31, 2024, has caused ripples across global gas markets. However, there is hope for improvement. Recent market trends hint at falling prices as optimism grows for an end to the war in Ukraine, and data suggests that March and April historically present favourable opportunities to secure competitive energy contracts.
Timing is critical when navigating the turbulent energy market. At Energy Oasis, we track the wholesale energy markets daily and provide our clients with a weekly tracker, helping avoid market peaks and capitalise on dips.
Wondering how energy prices will shift next? Click the button below.
What Can You Do About It?
If you’re wondering how to respond to high energy prices, the good news is that you have options. A strategic approach to your energy contracts can make all the difference, and having a trusted expert on your side amplifies your chances of success.
Negotiating Strategically
First, it’s important to approach your energy contract negotiation as a competitive process. At Energy Oasis, we issue electricity and gas tenders to all major UK suppliers, ensuring we secure the best possible deal. For businesses seeking flexibility, we also offer contracts that allow clients to purchase energy day-ahead or by specific timeframes such as months or seasons. Flexible contracts even enable you to sell back unused positions if prices are falling, giving you more control over your energy spend.
Choosing the Right Contract Type
Different businesses benefit from different types of contracts:
Fixed Contracts offer long-term budget certainty by locking in prices, a valuable option for smaller businesses prioritising stability.
Flexible Contracts allow larger organisations to purchase energy day-to-day, monthly, quarterly, or even seasonally, taking advantage of price swings. Flexibility also includes selling back positions when prices fall.
Timing the Market
Timing is everything in energy procurement. With decades of experience, our team uses a meticulous approach, equipped with real-time market data, to help clients secure contracts at the most optimal times. Whether it’s budget certainty through fixed contracts or leveraging flexible agreements for cost reduction, Energy Oasis offers tailored solutions that align with your priorities.
The right deal isn’t always the obvious one. Explore tailored options with our experts.
Understanding Your Energy Bill
Energy bills can often feel convoluted, with multiple components and complicated terminology. Breaking them down reveals where transparency is needed and how you can identify savings opportunities.
The Breakdown of Your Bill
Commodity Charges
These represent the wholesale cost of energy and typically make up 45% of the delivered cost of electricity. This proportion is influenced by market dynamics and global supply trends.Non-Commodity Charges
These include network and distribution costs, which account for 35% of delivered electricity costs. These are fixed charges linked to maintaining the grid and ensuring power delivery.Taxes and Levies
The remaining 20% of your energy bill goes towards government-imposed taxes and levies to fund renewable initiatives. Examples include the Renewables Obligation, Feed-in Tariffs, and the Climate Change Levy.
Comparing Green Tariffs
100% renewable electricity contracts are available for a small premium. Backed by Renewable Energy Guarantee of Origin (REGO) certificates, these tariffs ensure your electricity comes from sustainable sources like solar, wind, or hydro. Clients can also opt for carbon-offset gas or 100% biogas derived from anaerobic digestion.
Impacts of Rising Non-Commodity Charges
With non-commodity and green taxes now comprising 55% of electricity costs, managing these charges is essential. For businesses with half-hourly meters, there are strategies to reduce these fees, such as optimising energy use during low-demand periods.
At Energy Oasis, we simplify the complex and ensure our clients fully understand their bills. Armed with this knowledge, we help identify cost-saving opportunities and negotiate the most suitable solutions, whether they’re green contracts or alternative tariff structures.
Confused by your energy bill? We’ll help you understand where your money’s going.
What Can We Do About Non-Commodity Charges?
Non-commodity charges have become a dominant aspect of electricity billing. These include network charges, green levies, and other pass-through costs associated with grid operations. Such charges continue to rise, but with proactive strategies, businesses can reclaim control. Rising steadily, they now make up more than half of the delivered cost of electricity, presenting challenges to businesses.
Upcoming Legislative Changes
Legislative changes on the horizon could provide a significant opportunity for clients with half-hourly meters. These adjustments, expected in 2025, may help reduce certain non-commodity charges, offering relief to businesses willing to align their strategies accordingly.
Aside from legislative updates, there are actionable strategies for reducing the impact of these charges:
Efficiency Measures: Invest in modernising energy systems to cut wasted power usage - read more.
Onsite Generation: Solar panels, combined heat and power systems, or wind turbines can offer cost savings and efficiency - read more.
Demand-Side Response: Adjusting energy use during peak periods lowers grid strain and associated costs.
Active Bill Management: Keep a close eye on your bills to spot overcharges or inefficiencies.
At Energy Oasis, we pride ourselves on finding hidden savings and offering tailored solutions to reduce these rising costs and improve efficiency for our clients.
The Best Green Energy Deals Are Within Reach
Navigating today’s energy market takes expertise, timing, and strategy—qualities that Energy Oasis brings to the table every day. From understanding why prices are high to negotiating the best contracts, identifying savings on your bill, and tackling non-commodity charges, our team works tirelessly to ensure businesses like yours get the green energy deals you deserve.
Don’t settle for uncertainty. Tap into the decades of experience at Energy Oasis to turn market volatility into an opportunity for growth and sustainability.
Contact us today to take the first step toward smarter energy solutions for your business and our planet.