Non-commodity costs (NCCs) are making up an ever-growing proportion of business energy costs, and now account for more than 50% of electricity and nearly 40% of gas bills for business customers. Since their introduction in 2010, they’ve been rising steadily and by 2020, they could comprise around 60% of customers’ electricity bills. As a result, we believe it’s become more important than ever that customers understand what proportion of each element contributes to the total billable price.
Topics: Energy saving
A new Streamlined Energy and Carbon Reporting (SECR) framework comes into effect from 1 April 2019, replacing the existing Carbon Reduction Commitment energy efficiency scheme. As part of the scheme, companies will need to report their UK energy use from electricity, gas and transport, and scope 1 and 2 greenhouse gas emissions on an annual basis. In addition, these companies will have to report their intensity ratio, which is a measure of the energy inefficiency within a company.
“It may sound obvious, but the costs of keeping lights on when no one’s in the room can add up,” says Eunice. “It’s everyone’s responsibility to keep lights switched off when they’re not in use. So make sure you take ownership when you see a room or corridor that is unoccupied or has enough natural daylight and turn the lights off.”
Another way to quickly cut down on energy usage is to pay attention to other electrical appliances.
Adapt to weather contitions
We’ve recently been experiencing milder weather, so make sure you’re adapting to these conditions and adjusting your heating temperatures to suit. Similarly, it can be tempting to turn on the air-conditioning in summer months when temperatures soar, but Eunice recommends trying natural ventilation, such as opening a window, first.
Many of us will have entered the new year with a firm commitment to cut our costs and spend less money on the things we can control. As energy can be a relatively large overhead for many businesses, assessing and making small tweaks to the way you use it could translate into large savings. Whatever the size of your organisation, we have a range of solutions to help you make 2019 the year of saving money on your energy.
When we talk to our customers, one of their most common concerns is how to fit energy costs into their overall budget and plan for the long term.Planning energy costs can be a challenge. Demands on energy are unpredictable and can be affected by several variables. One factor is weather conditions – the unexpected cold snap from the ‘beast from the east’ in February 2018 saw demand rise, for instance. Equally, the busier your organisation is, the more energy you’re likely to use: more employees in the office means more computers on, as well as more regular use of printers, photocopiers, kettles and a host of other appliances. More energy intensive organisations might also vary their energy usage depending on product demand.
As we head into 2019, energy efficiency has never been more of a priority for many organisations we talk to. One way of becoming more energy efficient is to encourage your team to take action.