How and why should businesses back renewables? Part 2

How and why should businesses back renewables? Part 2

Contributed by Paul Coster, Founder of EVA Marketplace

Given the need for businesses to slash fossil fuel consumption, part 1 asked the burning question, ‘can backing renewables be both a pragmatic commercial decision and contribute to climate action?’ I then explained that the climate-friendly way for most New Zealand businesses to back renewable energy is through electricity, by both demand response and supporting additional renewable generation.

Here in part 2, I will start by detailing the solutions available to businesses, explain the role played by energy certificates, and then discuss which solutions can have the most impact.

Solutions

Readily available solutions for supporting renewable electricity are shown below. Each of these solutions requires an electricity supply agreement, and some require a power purchase agreement (PPA). See this recent blog post by EVA to learn more about PPAs and how they differ from supply agreements.

Businesses can combine solutions for greater impact, such as having demand response, on-site generation, and a corporate PPA. In all cases, a relationship with an electricity retailer is retained.

1. Demand response

Technology is installed on the business’s site that allows electrical equipment (including battery storage) to respond to changes in the electricity market, such as high prices or plentiful renewable generation.

Use case: industrial facility installing technology to switch between an electric boiler and a thermal (e.g. biomass) boiler to produce steam. The thermal boiler is used during high prices or when the carbon intensity of the grid is high. An example is Open Country using Simply Energy’s technology.

2. On-site generation

Renewable generation is installed on or near the business’s site. The project is owned by the business, or owned by a developer who agrees to sell the electricity onto the business via an on-site PPA.

Use case: commercial warehouse installing a rooftop solar system. An example is Foodstuffs’ rooftop system at Māngere.

3. Corporate PPA

Renewable generation is constructed remotely (‘off-site’). The project is owned by a developer who agrees to sell the electricity to the business via a corporate PPA, helping to financially support their project. The corporate PPA will typically be sleeved (bundled) into the business’s supply agreement.

Use case: a business that is notionally supplied electricity by a local solar farm. An example is Rose Family Estate’s PPA with Energy Marlborough.

4. Indirect utility PPA

Renewable generation is constructed off-site. The project is owned by a developer who agrees to sell the electricity onto a retailer via a utility PPA, helping to financially support their project. The retailer on-sells the electricity to the business under similar terms using PPA sleeving (bundling).

Use case: a business that is notionally supplied electricity, via their retailer, by a local solar farm. An example is Ryman Healthcare’s deal with Mercury and Solar Bay.

5. Project-linked supply

Renewable generation is constructed off-site. The generator agrees to sell the project’s renewable attributes onto a retailer via energy certificates. The retailer passes the certificates onto the business under their electricity supply agreement or another agreement.

Use case: a business that receives energy certificates from a new renewables project under their electricity supply agreement.

Energy certificates

Energy certificates play an essential role for these solutions where renewable electricity is exported into a network. The certificates track renewable attributes for each unit of electricity, avoiding double counting (*1) and reducing the chance of mis-leading claims (*2).

Currently, energy certificates don’t consider the impact of a solution, such as its economic, environmental or social benefits. In New Zealand, issuers of energy certificates are Brave Trace. (NZ-ECs) and Energy Market Services (iRECs). Certified Energy recently announced future plans to add an impact attribute to their certificates.

Impact

In assessing the potential impact of each solution, we’re going to focus on their economic and environmental impact. The social impact of each solution will greatly depend on the approach taken by the project developer (e.g. community involvement and initiatives).

In order to assess potential impact, I considered various factors, including these three key solution characteristics by asking the following questions:

  • Additionality: To what extent would the avoided system emissions have occurred in absence of the solution?
  • Location: How does the physical location of the solution (on-site or off-site) affect energy cost savings and avoided costs or emissions?
  • Timing: How does the timing of the demand response or electricity generation affect energy cost savings and avoided costs or emissions?

A broad brush assessment of each solution’s potential impact, based on NZ’s current market and the evidence I’ve seen, is shown below. In the complex real-world, the impact will vary for each individual solution (or combination of solutions) and, in the case of demand response, how it is operated day-to-day. Discussion of real-world impact is rich and requires its own series of blog posts.

Renewables impact table

Generally, demand response and on-site generation, particularly when combined, have the highest potential for commercial and climate impact. They’re followed by PPAs, an excellent solution for businesses where on-site solutions aren’t feasible or can’t meet their full electricity needs. Solutions that solely rely on energy certificates, like a project-linked supply, will typically have the lowest impact. Their impact depends on the revenue created by the certificates and how this money is used (businesses should request transparency).

Like part 1, this post is my current thinking, which I hope opens up more discussion about the impact businesses can have on Aotearoa’s clean energy transition.

* References

1. “The GHG emission reductions or removals from the mitigation activity shall not be double counted, i.e., they shall only be counted once towards achieving mitigation targets or goals”, Core Carbon Principles, The Integrity Council

2. Energy certificates can be used to claim lower scope 2 emissions, and are therefore a form of carbon credit or offset. To be high integrity offsets, they should align to The Integrity Council’s Core Carbon Principles.

Why settle for ordinary when your business can be extraordinary?

Why settle for ordinary when your business can be extraordinary?

These days, embracing sustainability is not only a vital choice, it’s a game-changing strategy! At Total Utilities, we help businesses like yours optimise, reduce costs, and contribute to a greener world every day.

We understand the hurdles businesses face, and are well-equipped to guide you towards a future where efficiency meets sustainability. Our customer-centric approach ensures that your business not only embraces eco-friendly business practices, but also reaps the tangible rewards.

Advantages tailored to you

Every business is unique and that’s why our services are carefully tailored to meet your specific needs. By leveraging data-driven insights, we empower you to optimise your operations, reduce costs, and make meaningful contributions to environmental conservation.

Let’s look at four major ways Total Utilities can help make sustainability a compelling and advantageous choice for your business:

COST EFFICIENCY & SAVINGS

We pinpoint areas for improvement, negotiate highly competitive contracts with our procurement service, and implement strategies that lead to substantial cost reductions. Your bottom line matters, and we’re dedicated to enhancing it. Our services include:

Conducting comprehensive utility audits: Evaluating and optimising your current utility expenses.

Identifying energy optimisation measures: Eliminating unnecessary energy consumption.

Negotiating competitive strategic contracts: Securing cost-effective utility contracts tailored to your business needs.

SUSTAINABLE PRACTICES WITH REAL IMPACT

Contributing to a greener world is a shared responsibility. Choosing Total Utilities means actively choosing and engaging in sustainable business practices. Our tailored services include quantifying your carbon footprint and recommending carbon measures to decarbonise your business. With us you can:

Track and reduce your carbon footprint: Utilising our advanced tools to measure, analyse and reduce carbon emissions.

Integrate energy-efficient practices: Implementing technologies and strategies for reduced energy consumption.

Establish a waste reduction programme: Comprehensive and cost effective waste reduction and recycling initiatives.

INTEGRATE SERVICES WITH THE FLEXIBILITY TO START SMALL

We understand the complexities of modern business and that’s why you can bundle up our services any which way you like, with tailored, hassle-free, and seamless integration! Begin with one service and add on others as your sustainability journey progresses. For example:

– Start with utility procurement

Add on carbon measurement and reduction with our Carbon Insights service

Add on a waste audit.

EXPERT GUIDANCE & CONTINUOUS SUPPORT WITH CLEAR ACTIONS

Total Utilities not only provides compelling services, but our seasoned experts are dedicated to helping you make informed decisions with straightforward, practical advice.

Engage in expert training sessions: Helping you interpret utility data and explore cost and carbon savings.

– Benefit from dedicated support: Tailored suggestions for continuous improvement based on your unique business needs.

– Manage regulatory risks: Expert guidance to ensure your business’s sustainability responsibilities are always met.

– Support with Greenhouse Gas Emissions Programmes: Helping you disclose your emissions and drive for continuous improvement.


Your success is at the heart of all that we do. We are not just service providers, but we are your partner in sustainable growth.

Let’s unlock the potential of data-driven sustainability to make your business more efficient, environmentally responsible and economically robust.

Contact Total Utilities today and discover how our services can empower your business towards an extraordinary future of sustainable success.

How & why should businesses back renewables? Part one

How & why should businesses back renewables? Part one

Contributed by Paul Coster, Founder of EVA Marketplace

As businesses navigate the need to slash fossil fuel usage, the burning question is: can backing renewables be both a pragmatic commercial decision and contribute to climate action?

Some businesses may be surprised that while Aotearoa’s electricity is ~85% renewable, our energy consumption is only ~30% renewable. This means around 70% of New Zealand’s energy consumption is met by burning gas, oil and coal, mainly for transport, heat and electricity production.

So, how do businesses burn less fossil fuel, and therefore meaningfully contribute to climate action? There are three main options:

    1. Eliminating or reducing fossil fuel use (e.g. reduce air travel, encourage active and public transport)
    2. Increasing energy efficiency (e.g. improve building insulation)
    3. Supporting renewable energy

In this article, I’m going to focus on ‘supporting renewable energy’, which is a more nuanced topic than you might think. Currently, there are two climate-friendly options for New Zealand businesses to support renewable energy:

  • Demand response: consume more electricity when renewables are plentiful, and less when gas and coal-fired generation is running.
  • Additional renewables: procure electricity in a way that helps to add more renewables to the electricity system.

At this juncture, I need to briefly discuss three other commonly discussed renewable energy options:

  • Green hydrogen (hydrogen made from renewable electricity)
  • Biogas and biomethane
  • Woody biomass

Globally, green hydrogen is in its early stages and, in New Zealand, biogas and biomethane are in their infancy. Currently, woody biomass is primarily used in the wood, pulp, and paper sectors, where harvest residuals are readily available (*1).

Experts and scientists are cautious about the scope of these fuels in the clean energy transition due to issues such as: green hydrogen’s inefficiency compared to direct electrification of heat and most land transport (*2), the challenging economics of large-scale biogas/biomethane production in New Zealand (*2), and elevated CO2 emissions over decades created by burning woody biomass produced from whole trees (*3 & *4). In my view, woody biomass production should be limited to harvest residuals, and priority given to its use as energy storage to address electricity shortages.

Ok, returning to demand response and additional renewables:

Demand response
Demand response (also called ‘load shifting’) is the shifting of electricity consumption into periods of time when renewables are plentiful (and out of periods of time when it’s scarce), and was discussed last month by Andy Cooper from The Energy Collective.

Andy explained how businesses can use demand response to save money, reduce scope 2 carbon emissions, and help defer costly investment in the electricity network. He also discussed current limitations of Renewable Energy Certificates (RECs), also called Energy Attribute Certificates (EACs).

Additional renewables
It’s necessary to support additional renewables such as wind and solar, otherwise new electricity demand (e.g. EVs, heat pumps) will need to be met by gas or coal-fired generation. 

According to the Climate Change Commission, Aotearoa needs approximately an additional 1,000 GWh of renewable electricity every year between now and 2030 to meet our climate targets. That’s around 2.5% of New Zealand’s annual demand (~40,000 GWh), roughly equivalent to 300 MW of wind or 550 MW of solar, every year.

So, how can businesses help add renewables to New Zealand’s energy system? Impactful and readily available solutions for businesses are:

  1. On-site renewable generation (e.g. rooftop solar)
  2. Corporate Power Purchase Agreement (PPA) (*5) with a renewable generation project (i.e. a business buys electricity directly from a generation project)
  3. Indirect PPA with a renewable generation project (i.e. a PPA entered into by an electricity retailer on behalf of a business)
  4. Electricity supply agreement (*6) linked to a renewable generation project

Businesses can combine these solutions, such as having on-site generation, a corporate PPA and an electricity supply agreement. Combining a PPA with a supply agreement is called PPA ‘sleeving’. For all solutions, businesses retain a relationship with an electricity retailer.

In Part 2, I’ll look at each solution in detail, discuss their pros and cons, and explain why solutions 1 and 2 tend to be the most impactful. I’ll also discuss the important role played by RECs, or EACs, explaining why these certificates should be used in most cases.

These posts are my current thinking, which I hope opens up more discussion about the impact businesses can have on Aotearoa’s clean energy transition.

About Paul Coster

Paul is the Founder of EVA Marketplace, Aotearoa’s marketplace for renewable PPAs. EVA assists businesses by matching them to renewables projects, facilitating PPA negotiations, supporting green products (including RECs/EACs) and enabling corporate PPA sleeving. EVA also publishes a quarterly report on the renewables market.

Total Utilities works with EVA to offer customers the option of a corporate PPA sleeved into their electricity supply agreement, helping to control electricity costs and ethically reduce carbon emissions, while retaining the convenience of an FPVV supply arrangement.

* References

  1. Biomass energy in New Zealand, EECA
  2. 2023 Draft advice to inform the strategic direction of the Government’s second emissions reduction plan, Climate Change Commission
  3. Why burning trees for energy harms the climate, World Resources
  4. 500+ scientists tell EU to end tree burning for energy, WWF
  5. PPAs tend to be longer term contracts (5 – 15 years) where a buyer commits to buying electricity from a specific project, such as a solar farm, usually at a fixed price. 
  6. Electricity supply agreements tend to be shorter-term contracts (1-5 years) where buyers purchase electricity from a retailer for their sites or buildings, typically at a fixed price.
Cyclone Gabrielle Part 2 – Rethinking the energy trilemma

Cyclone Gabrielle Part 2 – Rethinking the energy trilemma

As renters and homeowners in the 1970s and 80s we were accustomed to hot water cylinder ‘ripple control’ – the mechanism whereby power companies assured us of a cold shower when we got home from work.

The trade-off was that households were able to operate stoves, lights and televisions without power cuts. Then along came the Clyde Dam and all this went away. 

Until now.

If we take all our light vehicles off the road and replace them with EVs, this would increase our electricity demand by 20% (EECA Nov 2022). Add to this new ‘green’ data centres built by Google, Microsoft, AWS and our own IT companies, and this will likely add a further 10% to our current electricity needs. Our already stretched electricity supply infrastructure simply won’t cope.

The energy trilemma

 

The Energy Trilemma is defined as the need to find balance between energy reliability, affordability, and sustainability and its impact on everyday lives.

Understanding the challenges to balancing these three core elements is vital to keeping the lights on, the economy operating and achieving goals such as Net Zero carbon emissions.

 

Energy Reliability 

The energy system aimed at ensuring reliability in New Zealand is made up of three interconnected parts:

Generation which comes mainly from the dams in South Island Lakes. 

Transmission – Transpower’s multibillion dollar electricity supply backbone, built mainly in the 1950s and 1980s on 30,000 properties, with 25,000 transmission towers supporting 11,000 kms of lines and their essential 170 substations.

Distribution – Delivering electricity to homes and businesses via 27 regional Lines Companies, most of whom are locally owned. These companies own the power poles, lines and transformers that bring electricity to our door.

These three elements are highly regulated and involve investments in assets worth billions of dollars.  

Our whole energy system is funded by debt that must be paid for by current and future generations.  

Who pays and when is the big issue here. Is it today’s user, their children or their children’s children?  

This is called intergenerational debt servicing and presents huge challenges when deciding the fairest way to distribute the cost of assets that in some instances might have a useful life of fifty years or more – or in the case of dams much longer than that.

To make things worse, an emerging issue with these investments is the risk of what is known as ‘stranded assets.’  This happens when transformational technologies such as solar and wind based distributed energy systems makes further investment in centralised dams, transmission and distribution uneconomic. When this happens the debt remains but the ability to pay by leveraging (charging for) existing or new assets is reduced or disappears completely.

Affordability and Equity 

The New Zealand economy is reliant on agriculture which in turn is reliant on energy. However, economic theory suggests that on a ‘user pays’ basis, a farmer in a remote location should pay more than an apartment dweller in a big city or town. After all it is, at first glance, far cheaper to provide an urban dweller power than it is to run kilometres of copper wire to a small number of farms down a rural highway. 

Recent changes to the way costs are allocated for Transpower’s transmission backbone came up with the proposition that the further you are from the source of the power (the lakes) the more you pay because you accrue greater benefit. 

This means that a dairy farmer in Northland pays much, much more for connection to the grid than a Southland farmer producing the same products with the same amount of electricity. It conveniently ignores the fact that three quarters of the population of New Zealand is in the North Island and therefore paid for at least this proportion of the massive costs of building our generation and transmission infrastructure in the first place.  

Taking this economic puffery to its logical extreme we should be seeing city lines companies like Vector punishing those who are not living in the inner city by charging more for connections to their homes. Thank heavens for the Elected Trustee model that makes this kind of logic totally politically untenable.

While the Trust model provides a level of protection from purist economists, unelected energy officials aren’t as susceptible to the wrath of the voters. 

Our government market regulator, the Commerce Commission, doesn’t even have an affordability or equity objective when addressing the electricity market.  Instead, it’s ‘Right investments, Right Time at the right cost.’ 

What about doing ‘right’ by the rural communities generating enough food for 40 million people globally and generating exports in excess of $72 billion annually? 

Sustainability

Electricity generated by gas fields, coal and oil fired power stations is expensive, carbon emitting and directly impacts the wholesale market price of electricity.

Over the past decade or so we have seen a steady decrease in their contribution to the country’s generation capacity as generators have switched off coal and gas fired capacity.  A government ban on further oil and gas exploration and the rapid decline in our existing gas resources in and around Taranaki has placed even more pressure on our electricity supply. 

The net result, as demand threatens to exceed supply, is that wholesale and forward prices are at record levels now and well into the future.

One answer to this supply issue might be Lake Onslow – pumped hydro – essentially a $17 billion, ten year project to deliver a giant hydro powered battery designed to help protect against hydro shortages. 

Adding 1200 megawatts capacity (roughly an eighth of the country’s current peak capacity) would potentially help bring the volatile wholesale market for electricity back to some semblance of normality.

The Government has just made  a decision  to complete a $70 million business case  on Lake Onslow. Add to that the $30 million they have already spent and it looks like this decision will be a major electricity industry inflexion point.

It’s difficult to see the GenTailers detaching themselves from the status quo and its associated super profits. As such it has been no surprise at all to see them aggressively highlight research from reports that paint the Onslow Project as an expensive and impractical idea.  

What I have failed to see is any practical alternative being offered – other than the monopolists’ favourite – punishing vulnerable consumers into changing their behaviour by raising prices at peak time. This is not a great option when young consumers are juggling hungry children, bath times, winter heating bills and brutal mortgage interest rates, and dairy farmers have cattle lined up outside the sheds for milking.    

Barring the embedded carbon costs of construction materials like steel and concrete, Onslow offers a sustainable opportunity to enhance the viability of inconsistent generation sources such as solar,  wind and tidal generation. By providing a massive hydro based battery to store  load as and when it is created, we could see wholesale prices back in the 8-12 cents per kw.

This would see the benefits of lower input costs flowing to farms, businesses and households instead of into the pockets of the gentailers and governments eager to feed off the dividends their super profits are providing.

  • Part three of this series will address that most controversial of subjects – Water, Waste and Stormwater. Call it Three Waters if you like. I call it a right mess.    

 

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Why poor power factor is worse than too much head on your beer (yes, really!)

Why poor power factor is worse than too much head on your beer (yes, really!)

Ever felt ripped off after being served up a beer with more head than you can shake a stick at? Then take a moment to consider how power wastage from your business’ equipment is as useless as the froth on your over-fizzed brew.

But what on earth has power factor got to do with beer I hear you say? And more importantly, what even is it? 

Power factor in a nutshell… or a pint glass

Power factor is basically a measure of how efficiently your business sites use power supplied by your network distributor. Poor power factor = poor power efficiency and increased charges.

But for a more detailed, um, ‘scientific’ explanation, let’s get back to that beer:

 

Beer = active power (kW) – the useful power, or the liquid beer is the energy doing the good work. 

Foam = reactive power (kVAR). This is wasted or lost power. It’s the energy being produced that isn’t doing any work and is annoyingly inefficient.

The mug = apparent power (kVA). This is the demand power, or the power being delivered by the utility.

 

So, the more ‘foam’ on your power factor, the more power wastage and the higher your inefficiency. Poor power factor is bad news for your business, your carbon footprint, and the environment. 

Power factor is expressed as a percentage – the lower the percentage, the less efficient your power usage.

For example, equipment with a power factor of 1 is using all the power supplied to it. Big tick. Generally, a power factor of 0.8 or above is considered good. 

However, if your power factor is lower than 0.8, it should be corrected to save on consumption and comply with the requirements of the electricity network operator.

Paying hand over fist for power

Total Utilities Director Chris Hargreaves explains, “Your power supplier provides electricity to meet your demands. Therefore, if your apparent power needs are high in order to compensate for poor power factor, you – the customer – will end up paying through the nose for it.

“For some larger customers, power suppliers might even take the largest peak and apply it across the full billing period. So you’re paying a very high price indeed for that froth on your beer!

“Poor power factor can also cost your business through direct penalty charges applied by many electricity distributors in New Zealand. This combined with charges for apparent rather than actual power can result in sky-high utility bills – particularly in this current climate where the cost of power is going through the roof.

“Conversely, by reducing the amount of energy your site requires at any one time, you reduce demand and the cost of supplying energy to your site.”

So, how do I get a handle on my business’ power factor?

Before you start to tackle a power factor problem, it’s important to get a measure of how efficient your current equipment actually is.

Total Utilities provides power factor audits – complete health checks of the overall quality of your electrical network. Our power factor audits identify problem areas and suggest opportunities for improvement in order to maximise your energy savings, mitigate faults and increase system reliability and efficiency. 

Total Utilities can save you money with power factor correction

If a problem is identified during our audit, installing power factor correction is a great option to reduce your demand charges. 

 

Total Utilities works with Rotorua based power factor correction specialists KVAr Correct, to provide complete, custom, and ready-to-go power factor correction solutions, plus ongoing monitoring and maintenance. These modular systems are custom designed to meet each customer’s need, ensuring the best return and no wasted capacity.

So, if you’re looking to reduce costs and increase energy efficiency (and let’s face it, who isn’t?), maybe now’s the time to look into your power factor? Use less. Pay less. Reduce your carbon footprint.

It’s a win-win for your business, your bottom line and the planet.

 


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Volatile energy market: testing times call for sustainable solutions

With prevailing energy market conditions causing sharp price hikes that show no signs of abating – what can you do and who do you turn to for advice and viable solutions?

Since the beginning of 2021, negotiated contract pricing for large commercial customers has increased from 11c/kWh to 18c/kWh for a three year period. This means a customer using one million kWh per year is paying $70,000 more for electricity per year than 19 months ago. 

Mass market customers have not been impacted to the same degree with pricing moving from 9c/kWh to 12.5c/kWh.

        
Rather than bore you with the (too numerous) details and interrelated factors that have caused this unwelcome turn of events, let’s explore the options open to businesses to mitigate sky high energy costs.

Time to turn to the experts?
Many businesses are turning to energy management consultancies to help them navigate the challenging energy markets and provide services to assist them to get the very best deal on their utilities. 

They are also hiring consultants to explore sustainable and renewable energy options to help them diversify their energy portfolio and give them maximum bang for their buck in terms of energy efficiency, pricing and carbon liabilities.

But according to Total Utilities Director Chris Hargreaves, it’s a case of ‘buyer beware,’ when it comes to hiring an energy management consultancy. He says the quality of service and outcomes vary dramatically.

“If it was my business, there are only a small handful of organisations I would consider using in New Zealand to obtain energy contracts on my behalf and to have the ability and insight required to properly explore efficiency and sustainable solutions.

“The consultancy industry for energy is not regulated, so effectively anyone can start up a business that offers procurement services,” he says.

Chris advises considering various factors before hiring a consultant, including how many procurements they conduct each year. The energy market is highly dynamic and energy retailers are entering and leaving the market at unprecedented rates and pricing models and practices are changing daily.

If the consultant or advisor you are using is not pricing in the market on a regular basis, then you are likely to get caught out by the market changes. Look for companies conducting over 100 procurement exercises per year (as an example, we average almost 350).

You should also establish whether your consultant reviews the entire market of energy retailers for pricing (we do), or just their favoured few companies (nope, not us). 

Also, does your advisor or consultant gather detailed market intelligence to track wholesale pricing and industry developments? Do they warn you of potential ‘gotcha’ clauses to look out for in energy contracts as part of their procurement process? Needless to say, Total Utilities ticks all these boxes.

Aside from engaging a reputable energy management consultancy to help you traverse choppy utility waters, Chris explains there are various ways to hedge against rising costs, to minimise budgetary risk and ensure you comply with regulatory requirements.

Cost saving starts with sustainability & efficiency 
He says that first and foremost, now is the time to explore efficiency, sustainability, and low carbon solutions to increase resiliency. 

“By exploring sustainable solutions such as LEDs, Renewable Energy Certificates, solar and energy conservation methods, you can achieve short term wins and relief from volatile energy prices, whilst also unlocking long term sustainability benefits and future proofing your business.

“Sustainability not only saves money by creating energy efficiencies, it also decreases your reliance on the grid, so you are no longer at the mercy of volatile energy prices,” he adds. 

Keeping the lights on
One of the trends we’re seeing in the industry is a move away from centralised, utility based generation – to so called ‘distributed generation.’ This is a shift from a single source to many sources to allow for increased resiliency and reduced reliance on the grid. 

For example, traditionally if the grid goes down, you have no real option to keep your business going. But if you have solar with battery storage, you might be able to keep the lights on until the grid comes back online. 

Additionally, you avoid the full impact of market volatility if your energy sources are distributed – it goes back to the wisdom of the old proverb, ‘don’t put all your eggs in one basket.’

Talk to us
A great place to start when it comes to navigating the ever-changing energy markets is to talk to our team at Total Utilities. Our data-driven approach, born out of comprehensive investigations and analysis, allows us to carefully tailor energy services and solutions to your business.

With our proven 20 plus years in the energy business, we negotiate over $400 million worth of energy contracts for our clients every year. We can leverage relationships to get you better prices.

Our detailed pricing analysis and tendering services help save time and money by pinpointing the best possible energy contracts and ensuring the most favourable terms and prices.

We put sustainability, cost saving and energy efficiency at the heart of our clients’ businesses, so that they can be both sustainable and highly profitable. 

And in this environment, setting sustainability and carbon reduction targets isn’t just about reducing your environmental impact – it simply makes good business sense.

Contact us to find out more about our energy management consultancy services.
 


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