Reducing Energy Expenditure Part 4
Hello, I’m Paul Strachan and I operate a registered office of the Auditel Network. I help businesses to increase their profitability, become more efficient and in time increase their productivity.
This is the final part of a four part series, so if you haven’t watched the first three you can go back and read them here. So I’m addressing a common question which is;
As a business how can I reduce my expenditure on energy without spending a fortune?
Now I’ve already spoken about quick wins on heating, lighting and equipment. So this time it’s about meters and bills and taking control of your energy costs. You know, reviewing energy invoices and checking meter readings…
…sounds like something your accountant should do, but that’s unlikely.
So it’s really down to you. But once you’re into the routine of things, it will help build you a picture of your energy performance, it’ll also help you to make sure that only fuel that you’ve used is paid for, and it will help you to compare current consumption’s with costs from previous years.
You’ll be able to assess seasonal patterns of consumption and identify unexpected highs or unusual platforms of energy usage.
Electricity and gas meters are two of the most important tools in helping you to identify opportunities to save energy.
Taking regular readings should help you to establish an overall pattern of consumption so you can compare that to what you should be using. It’s a good idea to record meter readings regularly, so that even if there are unexplained changes in usage or no reduction when you expect to see one like during the holidays. You can then check the controls and settings on your heating system and lighting, as I recommended in the first two videos.
Think about plotting your usage onto a graph in a spreadsheet so that trends can be easily seen over time.
Fluctuations in usage may have quite legitimate explanations like extra workloads or perhaps changes in seasonal temperatures. But if fluctuations are identified, it’s worth looking further and checking to see perhaps if equipment has malfunctioned or if a change in work method has caused an increase in usage.
So how much are you actually paying for your energy?
There are many factors that can affect the price of a unit of electricity, and I can’t go into great detail on that right now. But bear in mind that the price of a unit can vary substantially throughout the day and be significantly cheaper at night. So I would recommend contacting your supplier and make sure that your contract, if you have one and I would always recommend that you do, reflects the right tariff for the needs of your business.
Many businesses pay way too much for their electricity and gas, and paying less needn’t always mean switching supplier.
There are several ways to pay less for each unit of electricity you use. I’ve got a couple of suggestions, but remember it’s unlikely that all of these will be applicable to your business and circumstances. Try and make maximum use of cheaper electricity rates especially those at nighttime. And minimize the use of peak rate and winter units, you may find that you can reschedule work, so that when your demand is at its highest, it falls outside of those peak rate times.
So just to recap;
1. Get into the habit of reviewing and checking your invoices and taking meter readings.
2. Once you have those readings record them in a way that allows you to see the trends in your consumption, and investigate exceptions if and when they occur.
3. And try looking at when you’re using your gas and electric most, and make sure it matches your tariff and consider changing work patterns to suit, if that’s at all possible.
I hope I’ve helped with some simple solutions in reducing your energy cost without spending a fortune. I’m Paul Strachan and if you’d like to connect with me, you can via the details below!