How to Compare Business Electricity Prices and Save Money

Find out your average daily electricity use.

The first step to comparing business electricity prices is to find out your average daily electricity use. To do this, you will need a meter that measures the amount of power being used at any given time. If you already have a meter installed on your business’ power line, then measuring daily electricity use should be relatively straightforward.

If you don’t have a meter yet and are considering installing one, make sure that the meter is capable of measuring small amounts of energy (such as 100W or less). This is important because most businesses use far less than 1 kWh per hour (a typical household uses about 1 kWh for every 2 hours of TV viewing).

Request multiple quotes

• Ask for quotes from qualified providers.
• Check that your quotes come from accredited providers.

Check that the quote includes a daily supply charge

The daily supply charge covers many of the things that keep your business connected to the electricity grid, such as meter readings, account processing and billing. The amount can vary depending on where you are located: some providers may include it in their bill while others will not (and you’ll have to pay it separately).

Ask about discounts, contracts and deals for bundling with other services

The more services you bundle, the more likely you are to get a discount on electricity. For example, if you sign up for a telephone line and internet service with one company, they may offer a lower price than if you were to take out two separate contracts.

Electricity providers often offer deals where customers can get better rates by paying their bills monthly in advance or quarterly over three months instead of monthly bills spread over 12 months. If possible and convenient for your budget, it’s worth considering this option because it saves money in the long run and reduces stress about having enough funds at any given time when bills are due.

Make sure you understand the terms and conditions

Before signing on the dotted line, make sure you understand the terms and conditions of your contract. This is a legal document, so it’s important to read and understand what it says. If there are any aspects that worry you or you don’t agree with, think carefully before signing.

If something seems unclear or uncertain, ask for clarification before signing so there are no nasty surprises later on. It’s also a good idea to get advice from someone who knows about electricity contracts if possible (such as an energy expert).

In terms of VAT, energy is a ‘reduced rate’ good, meaning that the government only charges a lower rate of 5% VAT on energy bills (compared to the standard 20% rate). This applies to both domestic and business customers.

When you’re ready to compare electricity prices, we’d love to help. Our team is here to assist with the process and make sure everything goes smoothly. With the expertise of the account managers here at Compare Business Electricity, firms can ensure the maintenance of a cost-effective electricity supply. We hope this guide has given you a better understanding of the process so that your business can make an informed decision about its energy costs.