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How to Reduce Your Business Gas Bill

You can save a significant amount on business tariffs by targeting this area of your expenses.

There are numerous benefits to implementing energy-saving measures. Long-term cost savings and improved profitability are just part of the equation. Energy efficiency measures will help your business to reduce greenhouse gas emissions.

Let’s dive into the nuts and bolts of lowering your energy bills.

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Check the Energy Performance Certificate (EPC) for Your Premises

The first step in reducing your business utilities bills is to obtain an Energy Performance Certificate (EPC) for your premises. You can identify areas for improvement by understanding the energy efficiency of your building. It also offers opportunities for reducing energy consumption.

Hire an assessor

To obtain your EPC, hire a certified assessor who will assess your premises. They will then provide a rating and help you to interpret the EPC. Assessors can make suggestions and help you to understand your energy efficiency rating. They will also highlight potential savings.

You’ll receive guidance on where you can improve insulation and which appliances require upgrading. They’ll also make suggestions on how to optimise your heating systems. This allows you to enhance energy efficiency and lower your energy costs.

Ensure You’re on the Cheapest Tariff

Put a system in place to regularly review your energy supplier. You want to keep track of your energy contract and keep up to date on the available tariffs in the market. Business Energy Comparison are happy to help you compare rates. This will highlight factors such as current unit prices compared to what you are paying as well as standing charges and more beneficial contract terms available elsewhere.

Reviewing energy suppliers and tariffs

Keep track of your energy usage and make a plan to analyse your usage. By understanding your business’s energy consumption patterns you can identify the most suitable tariff structures.

Switch energy suppliers and find the best deals

Make a point of negotiating with your suppliers. If you can find a better deal with another supplier, you can use it as leverage to negotiate a better rate with your current supplier.

They may be willing to match or improve their offer as a way to retain your business as a customer.

Considerations for fixed-price contracts

Fixed-price contracts allow you to obtain a more stable energy supply by locking in energy prices for a specific period. This will protect your business from price fluctuations. However, you must be aware of the global energy market trends and make a careful evaluation before locking in a fixed rate.

During periods of high price volatility, it makes sense to fix prices, but make sure that you do not lock yourself in at the height of the market.

Business Energy comparison

One of the quickest ways to lower your business gas bill in winter and reduce your heating costs is to adjust your thermostat settings. You can lower the temperature in offices and work areas by a degree or two while still maintaining a comfortable working environment.

This can result in significant energy savings, especially when combined with other measures such as ensuring that your premises are well-insulated and sealed, preventing heat loss.

By properly insulating windows, doors, walls, and ceilings, and sealing any gaps or cracks, you prevent cold air from getting in. The addition of draft stoppers and window coverings further minimises heat loss.

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How To Secure Your Commercial Gas Prices

For you to manage your energy costs effectively, you need to secure the best pricing for commercial gas. Your suppliers will generally be open to negotiation if you want to sign a long-term contract.

If you can identify suppliers with better pricing then you can negotiate with your current supplier to get a better rate and more favourable terms. There are plenty of opportunities to obtain discounts or customised pricing structures that are better suited to your business’s energy needs.

Should You Renew or Switch Business Gas Suppliers?

You have two options at the end of your business gas contract. You can either renew your current supplier contract or switch to a new one. There are naturally pros and cons to both these options.

Before making a decision, let’s look at the pros and cons of each course of action.

Renewing your current supplier contract

  • On the upside, you’ll most likely keep your current contract terms, including pricing and customer service.
  • The downside is that you may not be able to get the best possible deal on business gas prices. You may also be locked into an unfavourable long-term contract.

Switching business gas suppliers

  • The positive outcome is that you could potentially save money on green business gas prices. You may also find that the new business gas supplier has better customer service.
  • On the negative side, you may have to sign up for a new contract that locks you in for a longer period than you would like. You might also have to pay an exit fee to your current business gas supplier to cancel the contract.

What this all means is that you need to fully understand the terms and implications of any new contract. This includes pricing, length of contract, and potential exit fees.

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When Is the Best Time to Compare Business Gas Quotes?

If you have a current business gas contract, then the best time to compare gas tariffs
and negotiate business gas quotes is between 6 and 12 months before the end of the contract. This gives you more than enough time to compare prices without having to worry about paying early termination fees.

As average business gas prices fluctuate seasonally, give yourself plenty of time to compare business gas prices and contract terms. Consult energy experts and go online to compare gas prices well before you have to make a final decision.

There are numerous reasons why you’d switch business gas suppliers. The most common reason is cost savings. Service level agreements are another reason that you may wish to change suppliers. While the agreement may stipulate certain services and conditions, you may find that your supplier is not holding up their end of the bargain.

However, one of the most important reasons that gas suppliers are replaced with new ones or contracts are renegotiated is due to business expansion or contraction. If your business is growing, an alternative supplier may offer you a higher capacity that is critical to your future business plans.

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What Business Gas Rate Should I Be Paying?

Your business gas rate depends on a variety of factors including where you are located, your level of consumption and the prevailing market price.

To get a feel for what you should be paying, Energy UK publishes regular energy rate updates for various sectors of the UK economy. This will help you to get an overall idea of what other businesses in your area are paying.

Making use of the Energy Bill Relief Scheme can save money on SME business energy bills.

Business Gas Rates for Large Companies

Large business energy needs can result in volume discounts and personalised pricing schemes are possible.

If the company has sites spread over a wide geographic footprint or requires gas supplies in multiple locations, then preferential rates can apply. The types of energy suppliers that can help large companies differ from those that supply smaller businesses. They are more flexible and will assist you in finding a pricing structure that is tailored to your specific requirements.

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Compare Business Gas Rates With Business Energy Comparison

A quick and easy way to compare business gas prices is to enter your business details and energy usage information into a comparison service’s platform – like Business Energy Comparison.

Our website analyses your data and then generates a list of suitable suppliers and their rates. If you find a better deal, these we can assist you in switching suppliers. Business Energy Comparison offers a smooth and seamless transition while at the same time maximising your savings.

Start your journey and compare business gas and electricity rates with Business Energy Comparison today. Use our price comparison tool and in less time than it takes to make a brew, we’ll compile your best prices from the UK’ s best suppliers.

Frequently Asked Questions

Is business gas more expensive than domestic customers’ gas?

Gas and electricity rates are less expensive than domestic rates. However, due to the quantities used and with some businesses paying 20% VAT on their bills, business energy bills can give the impression of being more expensive.

Does a landlord pay business gas prices?

Not necessarily, as the company occupying the business premises is responsible for paying business tariffs.