Energy Procurement Strategy
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If your main priority is price optimisation, or you have a variable consumption pattern, you may want to consider a variable strategy. This strategy is designed to offer you the chance to seek improvements in price, even when the delivery period has started.

 

How the service works

This strategy is largely based on the Capped approach, for 70% of volume.  What sets the Variable Strategy aside is that 30% of your volume is purchased on the prompt market during the delivery period.
 
In our experience the prompt market typically outperforms the curve market by 15% and sometimes more. The variable strategy offers the best opportunity for you to seek a competitive price.


Benefits of the service

The Variable Strategy offers protection against a rising market, enabling organisations to budget in advance using an upper price limit.
 
Performance is optimised in a falling forward market through the utilisation of “lock and unlock” techniques, ensuring the optimum price is always being sought.
 
Overall, the Variable Strategy optimises the price paid by our customer, by incorporating prompt market prices which are inherently cheaper due to the absence of future risk premiums.
 
For organisations with variable consumption, or who are actively reducing their energy consumption, the variable strategy allows our customer to match demand and supply more closely, so there is a reduced risk of supplier cash out penalties being applied.


Who is the variable strategy service for?

The Variable Strategy is for organisations with price optimisation as their main energy procurement priority. Organisations with an energy expenditure above £2 million per annum may want to consider a Bespoke Energy Purchasing Strategy.
 
“Energy price is such a large part of our overall cost we need to do everything we can via risk management to make sure we are getting best price.”

 

Why choose Inenco?

  • We have been studying market activity since wholesale trading began in the UK and as such have the most experienced and qualified energy trading team in the country, download the Applied Trading Tactics document to read about some of the techniques our traders utilise
     
  • We have significant bargaining power through our portfolios, which has enabled us to reduce supplier margins and premiums by 50%
     
  • We are flexible to your requirements and our account management structure and IT systems are set up so we can accommodate all types of organisation
     
  • We pioneered wholesale energy procurement in the UK
     
  • We are ISO 9001:2008 accredited
     
  • We have been FSA accredited since 2007
     
  • We trade over £1.2 billion of energy on the wholesale market
     
  • We have been client appointed Energy Consultant of the Year 2010

 
 
If you would like us to contact you, please click below:
Enquiry

Or you can call us NOW on:
08451 46 36 26

Want to find out more?
download PDF
 
If you would like us to contact you, please click below:
Enquiry

Or you can call us NOW on:
08451 46 36 26
 

Upcoming Events

Birmingham - 21st June 2012

Get Switched On: Energy Summit

Get Switched On: Energy Summit is designed to show you how to buy better by using advanced energy procurement techniques and use less energy by adopting effective energy management practices. Our experts will show you a number of ways to make changes that will more than make up for the additional costs you will incur under CRC.

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