Rising business electricity rates: How to lower the cost

Feb 24
09:58

2012

Josh Parker

Josh Parker

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A study published in 2011 by the independent think tank Civitas which was formed via private funding in 2000, suggests that it will be the business sector, not residential consumers who will be paying the prices for the green initiatives being put into place now. Over the next decade it is the UK business user who will see their business electricity rates rise in direct response to the increases in the climate change levy.

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Recent changes have already seen aviation and shipping being added to the Climate Change Act and this is set to be only the beginning. Despite the fact that businesses are suffering in the current fraught economic climate it appears that little relief will come from the government.

With UK business owners already battling to lower overheads the promise of rising rates for commercial electricity and gas is glum news. The way forward,Rising business electricity rates: How to lower the cost Articles aside from lobbying local and national government officials to consider the impact these rises are having, is to combat the rise from the ground up. Each business will need to look to reduce their usage and become more energy efficient in order to ensure that the higher business electricity rates are compensated for.

Reducing businesses energy usage:

• Ensure that any replacement appliances are rated A, A+, or A++ to ensure that they are the more efficient. Efficient appliances cost less and tend to work better. This is true not only of white goods such as washing machines, fridges and freezers but with most appliances. An ink jet printer can use a staggering 90% less energy compared to a laser printer. A significant difference when you consider that a small office may have four or more printers.

• Change traditional light bulbs to energy efficiency ones. The cost of this is considerably lower than it once was however it can be done in stages. The smallest changes in reduced usages result in money saved on business electricity rates. Hundreds if not thousands of pounds can be saved per year where businesses convert to energy saving lighting as opposed to older styles.

• Ensure that you are on the right tariff and package for your business. Energy companies take into account more that the current business electricity rates when putting together a package for your business. Shop around and find a provider that offers you everything you need.

• Track your energy usage. By using a smart meter and data collection system a business can see clearly where the hotspots for wasted electricity is and how efficiency protocols put into place are working. Being aware of the things that increase usages is the first step in reducing the amount a business spends on their business electricity rates.

• Train staff to adopt energy efficient practices such as turning down the thermostat, switching off appliances that are not in use and ensuring that they don’t print or copy when not necessary. Small changes can mean significant savings.

It is difficult for any one business to combat the changes in legislation which will see their business electricity rates continue to rise but any business can reduce their usage. By taking a few small steps at a time significant reductions in energy usage can result in smaller bills.