5 ways to manage your business energy costs

The major disruption and continued economic uncertainty caused by the global COVID19 pandemic means that it's more critical than ever to control and reduce business costs.

As a major overhead, energy is a good place to focus. However, many businesses are unclear how to achieve cost efficiencies without jeopardising carbon reduction targets or spending large sums of money.

In our new guide to managing energy cost, we detail five proven methods to improve financial and environmental performance – putting your business on the path to business recovery. 

1. Drive energy efficiency through data

If you don't know precisely how, when and where energy is being used across your business, how can you understand where your energy costs really lie, or the best opportunities to improve energy and operational performance?

Using Centrica’s Energy Insight wireless sensor technology, you can monitor energy usage in real-time – right down to device and equipment level. When this information is relayed to our PowerRadar^TM analysis platform, you can access the intelligence you need to develop a data-driven energy strategy.

2. Unlock revenue opportunities from your energy estate

Optimising your distributed energy flexibility is a great way to reduce costs and generate revenue through demand management and response measures. By participating in Virtual Power Plants (VPP) you can use spare decentralised power capacity – sourced from assets such as CHP, solar and batteries – to maximise income from flexibility and wholesale markets.

3.  Create energy independence by generating your own power

By using Combined Heat and Power (CHP) or Solar to generate your own secure on-site energy supply, you can increase resilience, while also reducing both your costs and carbon emissions.

4.  Become a sustainable business and gain competitive advantage

Sustainable businesses are exploiting distributed energy technologies to cut costs and carbon emissions. This also increases operational resilience and enhances brand reputation. In fact, our global research reveals that 61% of the most successful businesses are also clean energy leaders.

5.  Utilise finance solutions to invest in new energy technology

Flexible finance solutions enable customers with capital constraints to gain immediate benefit from sustainable energy opportunities on a pay-as-you-save basis.

We have looked closely at the approaches being taken by some of the most energy efficient companies in the UK to see what can be learned. So, where does all this leave your business? And what can we learn from their experience? In spite of these challenging times, there are ways to quickly reduce your energy costs, generate revenue and reduce your carbon emissions with little upfront capital. With an energy management strategy, you can unlock opportunities to monetize your energy infrastructure and reduce total cost of ownership.