Tips for Getting The Best Business Electricity Rates in WA
Does your WA business consume more than 50MWh of electricity per annum? If the answer is yes, you’re able to choose an energy retailer other than Synergy. This means you have the option of shopping around for your business electricity to get better rates, and there’s no better time to do this than at the end of the financial year.
How do I get the best electricity rate for my business?
Since you have the option of shopping around, how do you go about securing the best rate?
In our experience, the best rate for your business won’t come from the price per unit. Securing a cost-effective rate will come from comparing the options available against your specific usage patterns, contract requirements, and current and future needs of your business.
This isn’t always the easiest of tasks, especially for busy business owners.
A good energy provider can help you get a business energy plan that’s right for you by analysing your energy usage, considering your usage, and your future plans.
Energy providers vs energy suppliers
In Western Australia, there are several electricity networks, with the majority of small and medium businesses operating in the South West Interconnected System (SWIS), which is controlled by Western Power.
Western Power is not an electricity retailer; it’s responsible for network infrastructure, the safe transmission of electricity, and for integrating new power technologies such as solar PV and battery storage into the network. In the SWIS, Synergy is just one of many commercial electricity retailers, providers or suppliers (residential energy customers may only use Synergy).
Should we use an energy broker?
In addition to business energy retailers, providers and suppliers, the market also includes energy brokers (also referred to as energy advisors, consultants and tender companies). These ‘buyer’s agents’ act on behalf of your business and offer a comparison service and advice for electricity rates (predominantly on a ‘price per unit’ basis).
While this seems like a handy service, only electricity retailers can access your historical and real-time consumption data from the Western Power portal to provide an accurate analysis based on time of use and demand.
Amanda Energy is an alternative energy provider/retailer/supplier to Synergy for contestable customers
At Amanda Energy, our experts take the time to learn about your business, completing a 360-degree energy analysis to identify cost-saving opportunities. We’ll help you get a cost-effective, practical outcome by analysing your existing business energy supply contract, the rate being paid, and electricity usage within the business.
Why wait for EOFY to lock in a better electricity rate?
Around EOFY, businesses are looking to increase spending to reduce their tax obligations.
By securing a better rate before EOFY, you can set your business up for reduced energy costs in the coming financial year, leaving more capital for more meaningful expenditure.
Having said that, we recommend always checking for better rate options every time your contract end is approaching. Much like insurance, simply re-signing your contract without some sort of comparison and research could have you paying more than you need to.
How does an energy analysis help me save?
A full analysis of your electricity usage will help you understand how and when electricity is being consumed. It will help to identify cost savings opportunities such as reducing peak capacity charges (peak shaving), shifting energy usage to off-peak lower price periods, and making improvements to energy efficiency within your business.
Analysis will also consider the future needs and expansion of your business to provide a future-proof plan. Plus, if your provider supplies energy from a range of sources, they will help you assess whether a combination of electricity, gas, or solar will help you reduce your energy bills.
This method is especially beneficial to larger electricity consumers (160MWh per annum) spending over $4000 per month on electricity. Businesses that may benefit from a tailored plan and deep analysis may include:
- Manufacturing
- Agri-business
- Food processing
- Cold storage
- Supermarkets
- Shopping Centres
- Commercial properties
- Office buildings
Lock in your best electricity rates
Sometimes, simply getting a cheap unit price for electricity is not the full story or the best option for your business. Instead, your energy provider should understand your objectives and work with you to reduce your power costs.
At Amanda Energy, our experts take the time to learn about your business, completing a 360-degree energy analysis to identify cost-saving opportunities. We’ll help you get a cost-effective, practical outcome by analysing your existing business energy supply contract, the rate being paid, and electricity usage within the business.
Don’t wait – get in touch with us today to secure the best electricity rates for your business before the end of the financial year!
Article originally published January 26, 2021