This article lists 5 top tips for budgeting for your business energy expenses ahead of EOFY, written by our Senior Key Account Manager, Yacira Zurita.
5 Energy Budgeting Tips ahead of EOFY
As we approach the end of the financial year, it’s crucial that your business takes the time to plan and budget for your energy costs. As the energy market often experiences volatility, staying on top of your budget will give you the confidence to make informed decisions for your business. Our energy experts share these five key tips to streamline your budgeting process.
✔️ Keep track of your usage
Understand your historical and future energy consumption. Often, customers will ask us to review a sudden spike in their energy charges and we notice a large increase in their consumption. Regularly monitoring your usage can help you identify any changes and avoid bill-shock.
✔️ Track your spend against a budget
Plan ahead with a full energy budget measured against current rates. Keep an eye on your usage against your budget to maintain a clear outlook and to make informed budgeting decisions.
✔️ Stay informed by keeping in touch with your energy specialist
A good energy broker will also keep you updated on energy news and market trends. Getting a handle on the market and understanding how market dynamics impact your energy costs will enable you to anticipate and mitigate potential volatility.
✔️ Factor in inflation and other cost adjustments
Don’t forget to estimate potential adjustments such as CPI increases on the non-contestable elements of your bills (i.e. network costs) as well as other additional charges including environmental/renewable energy charges such as RET, ESS or VEET.
✔️ Explore energy efficiency opportunities
Budget time is the perfect opportunity to explore potential cost savings from implementing solar or other energy efficiency projects into your business. Investigate the feasibility and include any potential savings in your budget discussions.
Is your business budget-ready for the next financial year?
By implementing these five tips, your business can proactively manage your energy expenses, optimise your energy budget, and mitigate market risk for the upcoming financial year.
To find out more on how our team of energy experts can help your business navigate budget time, chat to our team of experts by filling out our contact form or calling us on (02) 9371 4153.
UPCOMING WEBINAR: To further empower businesses to stay informed and on top of their energy expenses, Sustainable Energy Solutions will be hosting an exclusive webinar on Wednesday 29th May at 11am on Understanding the ins and outs of broker contracts and hidden clauses. Register here now.
*Disclaimer: This article is general information only and does not constitute financial advice. Electricity and gas commodities are volatile markets and prices vary daily.
