seemore-energy

Upgrading to a Smart Meter

Mon, 27 Apr 2026 23:46:49 GMT

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Ground Source Heat Pumps

Mon, 27 Apr 2026 23:26:43 GMT

Ground Source Heat Pumps

As UK businesses face rising energy costs and increasing pressure to decarbonise, many are exploring low-carbon alternatives to traditional heating systems. Ground Source Heat Pumps (GSHPs) are one of the most efficient and reliable solutions available. They offer long-term savings, improved sustainability, and greater energy resilience.

What are Ground Source Heat Pumps?

Ground Source Heat Pumps use natural heat stored in the ground to provide heating -- and in some cases cooling -- for buildings. Pipes are buried underground (either horizontally or vertically), circulating a fluid that absorbs the earth’s stable temperature. This heat is then transferred into the building via a heat pump, which amplifies it to a usable level.

Unlike conventional systems that burn fuel, GSHPs use electricity to move heat rather than generate it, making them significantly more energy-efficient and environmentally friendly.

GSHPs can be used to heat offices, warehouses, retail units, and a variety of other commercial spaces. They are particularly well-suited to buildings with consistent heating demand and available land for ground loops.

They can also work alongside existing systems or be integrated with underfloor heating and low-temperature radiators, delivering steady, comfortable heat throughout the building.

The advantages for UK businesses

Ground Source Heat Pumps offer a range of benefits:

Exceptional efficiency: GSHPs can deliver 3–4 units of heat for every unit of electricity used, significantly reducing energy consumption compared to traditional heating systems.
Lower long-term costs: While installation requires upfront investment, the ongoing savings on energy bills can deliver strong returns over time.
Reduced carbon emissions: By switching from gas or oil to a renewable heat source, businesses can make substantial progress toward Net Zero targets.
Energy price stability: Less reliance on fossil fuels helps protect your business from market volatility and rising gas prices.
Low maintenance and long lifespan: Ground loops can last over 50 years, with heat pumps typically requiring minimal maintenance compared to conventional boilers.

Is it right for your business?

GSHPs are not a one-size-fits-all solution. Factors such as available land, building type, and current heating infrastructure all play a role in determining suitability. However, for businesses with the right conditions, they can be a highly effective long-term investment.

How SeeMore Energy can help

At SeeMore Energy, we help UK businesses navigate the transition to low-carbon heating with confidence. Through our network of vetted, specialist partners, we provide expert guidance on feasibility, system design, installation, and performance optimisation.

We ensure that your Ground Source Heat Pump integrates seamlessly with your wider energy strategy, including procurement , on-site generation , and efficiency measures. Our goal is to help you maximise savings while reducing your environmental impact.

Ready to future-proof your heating?

Ground Source Heat Pumps offer a powerful combination of efficiency, sustainability, and long-term cost control. For forward-thinking businesses, they represent a clear step toward a cleaner, more resilient energy future.

Get in touch with SeeMore Energy today to explore whether a Ground Source Heat Pump is right for your business.

Building Management System (BMS)

Tue, 21 Apr 2026 23:25:32 GMT

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Meter Operator

Tue, 21 Apr 2026 18:17:13 GMT

Meter Operator (MOP)

For many UK businesses, Meter Operator (MOP) services are an essential but often overlooked part of their energy setup. While they may sit quietly in the background, the quality and cost of your MOP arrangement can have a direct impact on your billing accuracy, operational efficiency, and overall energy spend.

What is a Meter Operator (MOP)?

A Meter Operator is responsible for the installation, maintenance, and ongoing operation of your electricity meter -- particularly for half-hourly (HH) metering systems. Their role ensures that your meter is functioning correctly, compliant with industry regulations, and capable of accurately recording your energy usage.

In simple terms, if your meter isn’t working properly, everything that follows -- data collection , billing, and analysis -- can be compromised. That makes the MOP a critical foundation of your energy infrastructure.

How are MOP services normally assigned?

In most cases, your energy supplier will appoint a MOP on your behalf as part of your contract. This is often done by default, with little visibility for the customer. While convenient, this approach means businesses rarely question the cost or performance of the appointed provider.

As a result, many organisations end up in long-standing arrangements that may not be competitive or aligned with their current needs.

What are you paying for?

MOP charges are typically included within your energy contract or presented as a separate line item. These costs cover meter installation, maintenance, fault resolution, and compliance checks. However, because they are often bundled into broader energy costs, businesses may not realise how much they are paying, or whether they are getting value for money.

The value of contracting your MOP directly

Taking control of your MOP contract can unlock several key advantages:

Cost savings: By sourcing your own MOP provider, you can benchmark the market and secure more competitive rates, often reducing unnecessary mark-ups applied by suppliers who may bury the costs within your Standing Charge .
Improved service quality: Direct relationships with MOP providers can lead to faster response times, better communication, and more proactive maintenance.
Greater transparency: You gain full visibility over what you’re paying for and the service levels being delivered.
Flexibility and control: Tailor your metering strategy to suit your business. Whether that’s upgrading equipment, integrating with energy management systems, or supporting wider efficiency initiatives.
Stronger data foundations: A well-maintained and optimised meter ensures accurate data collection, which is essential for billing validation and identifying savings opportunities.

How SeeMore Energy can help

At SeeMore Energy, we help UK businesses take control of their MOP arrangements. Through our network of vetted, specialist partners, we can review your current setup, identify inefficiencies, and source competitive alternatives tailored to your needs.

By aligning your metering strategy with your wider energy procurement and data services, we ensure everything works together seamlessly to deliver maximum value.

Our independent approach means you get clear, unbiased advice -- helping you make informed decisions that benefit your business both now and in the long term.

Take control of your metering strategy today

If your Meter Operator has been assigned without your knowledge, there’s a strong chance you could be overpaying or missing out on better service.

Get in touch with SeeMore Energy today to review your MOP arrangements and discover how we can help you reduce costs, improve performance, and build a smarter, more efficient energy strategy.

Data Aggregator / Data Collector (DA/DC)

Tue, 21 Apr 2026 17:59:58 GMT

Data Aggregator / Data Collector

In today’s energy landscape, receiving accurate and reliable consumption data has never been more important. From billing and compliance to identifying savings opportunities, the quality of your energy data can directly impact your bottom line. That’s where Data Collectors (DCs) and Data Aggregators (DAs) come in. While you may not be aware of their operations, they are a vital part of how you consume and pay for energy.

What is a Data Aggregator / Data Collector?

A Data Collector (DC ) is responsible for retrieving detailed consumption data from your electricity meters -- particularly half-hourly (HH) meters. They validate and process this data to ensure it’s accurate and complete.

A Data Aggregator (DA) , on the other hand, takes that validated data and aggregates it into a format that can be used by other industry parties, including suppliers and network operators . This aggregated data is essential for determining how much electricity has been consumed and how costs are distributed across the market.

Which companies provide these services?

There are several accredited DA/DC providers operating in the UK, including companies like IMServ, Stark, and SMS. These organisations are approved to operate within industry frameworks and must meet strict performance and compliance standards. While you may never interact with them directly, their role is critical in ensuring that your energy data is accurate and that your bills are correct.

How are DC/DA services assigned?

In most cases, your energy supplier will appoint a DC and DA on your behalf when you enter into a contract. This means businesses often have little visibility or control over who is managing their data. While this default arrangement is convenient, it doesn’t always represent the best value or service quality.

How do suppliers charge for this?

DC/DA costs are typically bundled into your energy contract or listed as pass-through charges. Because they are often buried within overall pricing, businesses may not realise how much they are paying, or whether the service represents good value. In some cases, these charges can be higher than necessary, particularly if there has been no review of the appointed provider. If you have a line-item listing Meter Services or DA/DC then this is usually included as part of that charge. Alternatively, some suppliers include them as part of the Standing Charge .

Can businesses save money by contracting directly?

Yes. And this is where a significant opportunity lies . By contracting DA/DC services directly, businesses can take control of both cost and performance. Competitive tendering of these services often results in lower fees, improved data accuracy, and better visibility over consumption. Some DA/DC providers -- such as IMServ -- include portals tracking energy consumption in detail, allowing your business to see exactly how energy is being consumed.

More accurate data doesn’t just reduce costs; it also enables better energy management. With high-quality, timely data, businesses can identify inefficiencies, validate bills more effectively, and make informed decisions about procurement and sustainability strategies.

How SeeMore Energy can help

At SeeMore Energy, we help UK businesses take control of their energy data. Through our network of vetted, specialist partners, we can review your current DC/DA arrangements, benchmark costs, and identify opportunities for savings.

Whether you’re looking to reduce unnecessary charges, improve data quality, or align your data services with your wider energy strategy, we provide clear, independent guidance every step of the way.

Take control of your energy data today

If you’re not actively reviewing your Data Collection and Data Aggregation services, you could be overpaying without even realising it.

Get in touch with SeeMore Energy today to find out how we can help you optimise your data services, reduce costs, and unlock greater value from your energy strategy.

HVAC

Mon, 20 Apr 2026 22:36:39 GMT

Heating, ventilation, and air conditioning (HVAC) systems are crucial for every commercial building, and they’re often one of the biggest causes of energy spend. With rising costs and increasing pressure to improve efficiency, many UK businesses are now taking a closer look at how their HVAC systems can be optimised or upgraded to deliver better performance and long-term savings.

What are HVAC systems?

HVAC refers to the technology used to control a building’s indoor environment by regulating temperature, air quality, and ventilation. This includes heating systems such as boilers and heat pumps, cooling systems like air conditioning units, and ventilation systems that ensure a consistent flow of fresh air.

Modern HVAC solutions are far more advanced than older systems, incorporating smart controls, energy-efficient components, and automation to deliver precise climate management while minimising energy use.

What are they used for?

For UK businesses, HVAC systems are essential for maintaining a comfortable and productive environment. Whether it’s keeping offices warm in winter, cooling retail spaces in summer, or ensuring proper air circulation in healthcare settings, HVAC plays a critical role in day-to-day operations.

Beyond comfort, these systems also help meet regulatory requirements around air quality and workplace safety. Making them a vital investment rather than a discretionary one.

The advantages for UK businesses

Upgrading or optimising your HVAC system can deliver a wide range of benefits:

Reduced energy costs: Modern, efficient systems use significantly less energy, helping to lower your overall consumption and bills.
Improved operational efficiency: Smart controls and automation allow you to tailor usage to your business hours and occupancy levels, avoiding unnecessary waste.
Enhanced employee wellbeing: Better temperature control and air quality can improve comfort, productivity, and overall staff satisfaction.
Stronger ESG performance: Energy-efficient HVAC systems contribute to lower carbon emissions, supporting your sustainability goals.
Regulatory compliance: Staying up to date with evolving standards ensures your business avoids potential penalties and remains compliant.

How SeeMore Energy can help

At SeeMore Energy, we recognise that HVAC is not a one-size-fits-all solution. That’s why we partner with a network of vetted, specialist providers who bring deep technical expertise and industry knowledge to every project.

We help you assess your current system, identify inefficiencies, and explore the most suitable upgrade or optimisation options -- whether that’s installing high-efficiency equipment, integrating smart energy controls, or transitioning to low-carbon technologies such as heat pumps.

Crucially, we align your HVAC strategy with your wider energy procurement , ensuring you’re not just improving your systems but also maximising cost savings across your entire energy portfolio.

Ready to optimise your energy performance?

Your HVAC system could be one of your biggest opportunities for cost savings and efficiency gains. With the right approach, it can also play a key role in improving comfort, sustainability, and long-term resilience.

Get in touch with SeeMore Energy today to discover how our trusted partners can help you transform your HVAC system into a smarter, more efficient asset for your business.

Solar Panels & Battery Storage

Mon, 20 Apr 2026 21:37:06 GMT

Rising energy costs and increasing pressure to meet sustainability targets have pushed many UK businesses to explore alternative energy solutions. Among the most effective options are solar panels and battery storage systems. These technologies don’t only reduce reliance on the grid but also offer long-term financial and operational benefits.

What are solar panels and battery storage systems?

Solar panels (also known as photovoltaic or PV systems) convert sunlight into electricity that can be used on-site. They are typically installed on rooftops or available ground space and generate clean, renewable power throughout daylight hours.

Battery storage systems work alongside solar panels by storing excess electricity generated during the day. Instead of exporting unused power back to the grid, businesses can store it and use it later -- during peak hours, overnight, or when solar generation is low.

What are they used for?

For UK businesses, solar and battery solutions can significantly reduce reliance on traditional energy suppliers. Solar panels provide a source of renewable energy, while batteries ensure that energy is available when it’s needed most. This combination is particularly valuable for businesses with predictable daytime usage or those looking to manage peak demand charges.

The advantages for UK businesses

Investing in solar and battery storage is not just an environmental decision, it’s a commercial one:

· Lower energy costs: Generating your own electricity reduces the amount you need to purchase from the grid, while battery storage allows you to avoid expensive peak-time tariffs.
· Energy independence: Protect your business from market volatility and rising wholesale prices by taking control of your energy supply.
· Enhanced ESG performance: Demonstrating a commitment to renewable energy can strengthen your brand, support compliance, and meet growing stakeholder expectations.
· Improved resilience: Battery storage can provide backup power during outages, helping to maintain business continuity.
· Attractive returns on investment: With falling technology costs and potential government incentives, solar and battery systems can deliver strong payback over time.

How SeeMore Energy can help
At SeeMore Energy, we know that no two businesses are the same. That’s why we take a tailored approach to solar and battery solutions, working closely with a network of vetted, expert partners to deliver the right system for your needs.

We support you through the entire process -- from initial feasibility studies and site assessments to system design, installation, and ongoing performance monitoring. Crucially, we also ensure your on-site generation strategy aligns with your wider energy procurement, helping you maximise savings and efficiency across the board.

Our role as an independent broker means we focus on what’s best for your business. Cutting through complexity and providing clear, unbiased guidance every step of the way.

Ready to take control of your energy?
Solar and battery storage are no longer niche solutions -- they’re becoming essential tools for forward-thinking businesses. If you’re looking to reduce costs, improve sustainability, and build resilience into your energy strategy, now is the time to explore your options.

Get in touch with SeeMore Energy today and discover how our trusted partners can help you unlock the full potential of solar and battery solutions for your business.

EV Chargers

Sun, 19 Apr 2026 22:02:52 GMT

Electric vehicles (EVs) are no longer a future concept. They’re firmly established as part of today’s business landscape. As adoption accelerates across the UK, more organisations are recognising the value of installing EV chargers on-site. But what exactly are EV chargers, and why should your business be considering them now?

What are EV chargers?

EV chargers are units that supply electric power to recharge plug-in vehicles. They come in a range of speeds and formats -- from standard workplace chargers (typically 7kW–22kW) to rapid and ultra-rapid units capable of delivering an 80% charge in under an hour. Installed in car parks, depots, or customer-facing locations, they provide a practical solution for powering electric fleets and supporting employees or visitors who drive EVs.

What are they used for?

For businesses, EV chargers serve multiple purposes. They enable the transition to electric company vehicles, support staff who commute using EVs, and offer added convenience to customers visiting your premises. In sectors like hospitality, retail, and healthcare, providing charging facilities can even influence where customers choose to spend their time and money.

The advantages for UK businesses

Installing EV chargers isn’t just about keeping up with the trend, rather it’s a strategic investment with tangible benefits:

Cost savings over time: Running EVs is typically cheaper than petrol or diesel, particularly when combined with smart charging and off-peak electricity tariffs.
Future-proofing your operations: With the UK’s commitment to phasing out new petrol and diesel vehicles, early adoption positions your business ahead of regulatory changes.
Enhanced ESG credentials: Demonstrating a commitment to sustainability can strengthen relationships with clients, investors, and supply chain partners who increasingly prioritise environmental responsibility.
Employee and customer attraction: Offering on-site charging is an attractive perk that can help retain staff and draw in eco-conscious customers.
Potential revenue generation: In some cases, businesses can monetise chargers by offering paid access to the public or visitors.

How we can help

At SeeMore Energy, we understand that navigating the EV charging landscape can feel complex. That’s why we work with a network of vetted, specialist partners to deliver tailored solutions for your business. From initial feasibility assessments and site surveys to installation, maintenance, and ongoing optimisation, we ensure every step is handled with expertise and transparency.

We also help you align your EV charging strategy with your broader energy procurement –- ensuring that you’re not just installing chargers, but doing so in the most cost-effective and efficient way possible.

Ready to power your transition?

EV charging is no longer a “nice to have”, it’s quickly becoming a business essential. If you’re looking to reduce costs, strengthen your sustainability credentials, and future-proof your operations, now is the time to act.

Get in touch with SeeMore Energy today to explore how our trusted partners can deliver the right EV charging solution for your business -- and start driving real value from your energy strategy.

Expanded BICS: 10,000 UK Manufacturers eligible for 25% discount on electricity bills

Thu, 16 Apr 2026 18:59:00 GMT

The Updated British Industrial Competitiveness Scheme

On April 16 ^th , the UK government announced an expansion of the British Industrial Competitive Scheme, increasing the support offered to Energy-Intensive Industries. The original British Industrial Competitiveness Scheme (BICS) was launched in April 2024 to help manufacturers operating in foundational industries remain competitive by reducing electricity costs. This gave businesses an exemption for many of the environmental levies that have been largely responsible for the electricity bills of many UK businesses being uncompetitive when compared with their continental counterparts.

Who is covered?

Currently the BICS covers over 7,000 eligible businesses, with the announced expansion, over 10,000 UK businesses will be covered.

One of the goals of the initial scheme was to offer relief to foundational manufacturers, including:

Component manufacturers
Intermediate goods producers
Industrial suppliers to sectors (e.g. automotive, aerospace, pharmaceuticals)

We are now seeing more sectors being made eligible through an expanded set of SIC and product classifications, meaning many businesses that previously fell outside the scheme may now qualify.

However, eligibility is still targeted. Businesses must be engaged in manufacturing activity, operate within the eligible sectors, and meet a defined electricity intensity threshold.

How is the discount applied?

BICS primarily reduces costs through exemptions applied directly to your electricity bill. However, following the latest expansion, eligible businesses will also receive a one-off backdated payment in April 2027. This covers the support they would have received from April 2026 and is essentially a refund on the charges they are exempt for.

Eligible businesses will receive exemptions from:

These exemptions are applied by your energy supplier, reducing the price your business pays for electricity, with the level of support depending on how much of your electricity usage is directly tied to eligible manufacturing activity:

Less than 25% = No discount
25%–50% = Partial (50%) discount
50%+ = Full exemption on qualifying costs

In real terms, this could equate to savings of up to 3.5p-4p/kWh , or as much as 20–25% off total electricity bills for some businesses.

How do businesses apply?

The application process will be managed by the Department for Business and Trade (DBT) and is expected to be data-driven and evidence-based.

Businesses will need to:

Confirm they operate within eligible sectors (via SIC codes)
Provide details of the products they manufacture (via HS codes)
Submit electricity consumption data
Demonstrate the proportion of energy used for qualifying manufacturing activity

Applications will be open in the following windows:

1 October 2026 – 30 November 2026: Businesses are invited to provide information to DBT to support identification of eligibility.
1 October 2026 – 8 January 2027: DBT will assess grant eligibility for businesses.
November 2026 – 1 April 2027: Once eligible businesses begin being confirmed, electricity suppliers will have until April to process exemptions for eligible businesses.

How we can help

For many businesses, the complexity of BICS lies in the qualification and application process. That’s where we come in.

As an energy broker working closely with UK manufacturers, we can:

Assess your eligibility against the latest BICS criteria
Translate SIC and product classifications into plain English
Analyse your energy usage and cost structure to estimate potential savings
Support with application submissions and data gathering
Ensure your supplier correctly applies the exemption to your bills

Perhaps most importantly, we can help you identify whether this expansion creates an opportunity where previously there wasn’t one.

With over 3,000 additional businesses now expected to qualify, this expansion represents a significant opportunity for UK manufacturers to reduce costs and improve competitiveness.

If you’re a UK manufacturer and want to understand whether you qualify -- and how much you could save -- get in touch today for a free, no-obligation advice from a team of experienced professionals.

VAT (D-minus – Domestic/Commercial)

Wed, 15 Apr 2026 16:51:38 GMT

VAT (D-minus – Domestic/Commercial)

Understanding how VAT is applied to energy bills is essential for UK businesses looking to manage costs effectively. One area that often causes confusion is the classification of a supply as domestic or commercial -- commonly referred to as D-minus . This classification directly impacts the rate of VAT applied to your gas and electricity.

What Does “D-minus” Mean?

D-minus is an industry term used to describe supplies that qualify for a reduced rate of VAT, typically 5%, rather than the standard 20%. While most businesses are charged the full 20% VAT on energy, certain types of usage may be eligible for this reduced rate.

This distinction is based on how the energy is used, not just the type of organisation consuming it.

Standard Commercial VAT (20%)

In most cases, businesses will pay the standard rate of 20% VAT on their energy bills. This applies to typical commercial operations such as offices, retail units, warehouses, and industrial sites.

For VAT-registered businesses – including most Sole Traders -- this amount can usually be reclaimed through normal VAT returns. However, it still has a cash flow impact and increases the overall value of invoices.

Reduced VAT (5%)

Some businesses and organisations may qualify for the reduced 5% VAT rate under specific conditions. This typically applies where energy usage is considered “domestic” or “charitable non-business use.”

Examples include:

Residential accommodation (e.g. care homes , housing associations )
Places of worship
Charities using energy for non-business activities

Additionally, businesses with very low energy consumption may also qualify. There is a clause known as the De Minimis Rule where if your usage falls below certain thresholds (currently 33 kWh per day for electricity or 145 kWh per day for gas), you may be eligible for the reduced rate. Most suppliers will automatically apply the 5% rate when consumption is at these levels, but it can sometimes be missed.

Mixed Use and Apportionment

In some cases, a business may have a mix of qualifying and non-qualifying usage. For example, a building with both residential flats and commercial units.

Here, VAT can be apportioned. Meaning part of the energy is charged at 5%, and the remainder at 20%. This requires accurate assessment and, often, a formal declaration to the supplier.

Why It Matters

Getting your VAT classification right can have a significant impact on your energy costs. Being incorrectly charged at 20% when you qualify for 5% can lead to unnecessary overspending, while misclassification can also create compliance risks.

It’s not uncommon for businesses to overlook eligibility for reduced VAT, particularly in cases of mixed-use properties or low consumption sites.

How a Broker Can Help

An experienced energy broker can review your energy usage and business type to determine whether you qualify for a reduced VAT rate. They can also assist with submitting the correct declarations to suppliers and ensure your billing is accurate going forward.

Additionally, with invoice validation services, a broker can identify any historic overcharges and help recover costs where applicable.

Take Control of Your Energy Costs

VAT is just one part of your energy bill, but it’s an area where businesses can often unlock hidden savings. Ensuring you’re on the correct rate is a simple but effective way to reduce costs.

If you’re unsure whether your business is being charged the right VAT, SeeMore Energy can help. Get in touch today for a review of your energy setup and start identifying opportunities to save.

Flex Hedging Strategies

Tue, 14 Apr 2026 17:29:59 GMT

Flex Hedging Strategies

With energy markets becoming increasingly volatile, many UK businesses are looking for smarter ways to manage risk without losing the opportunity to benefit from falling prices. This is where flexible energy contracts are gaining traction. Rather than committing to a single fixed price for the duration of a contract, flex hedging allows businesses to fix energy prices in tranches for future periods e.g. locking in the current price of energy for the summer months of 2029, protecting against any future price rises. This offers a more approach to procurement and gives businesses greater control over their unit rates.

What Is Flexible Purchasing?

Flexible purchasing is an energy procurement strategy where your total energy requirement is purchased in multiple tranches over time, rather than all at once. This enables businesses to spread their risk across different market conditions, rather than being locked into a single price point.

For example, instead of fixing 100% of your energy at today’s rate, you might secure 40% now, 30% in three months, and the remaining 30% later in the contract cycle. This approach helps smooth out price fluctuations and reduces exposure to sudden market spikes.

Why Businesses Are Turning to Flex

The primary benefit of flex hedging is risk management. Energy markets can move quickly due to geopolitical events, weather patterns, and supply-demand imbalances. By purchasing energy in stages, businesses avoid the risk of fixing at the wrong time.

Flex strategies also provide the opportunity to capitalise on market dips. If prices fall after your initial purchase, you can secure additional volumes at a lower rate -- potentially reducing your overall cost.

Suppliers will price in a buffer of risk management on any fixed contract prices they offer. By using flexible purchasing, you remove this safety buffer that the supplier will normally add to unit rates.

For larger energy users, this flexibility can translate into significant savings and improved budget control over time.

Different Types of Strategy

All strategies need to be tailored to the individual needs of a specific business. For many, monitoring the market, understanding the fundamental factors behind price movements, and trying to time purchases when conditions are most favourable will be sufficient.

The Timing Strategy

This can mean understanding what time of year is likely to represent the best opportunities. In recent years, a large part of this has been timing purchases around when European nations are mandated to replenish their gas reserve levels. Understanding when they will be buying and when this buying pressure is removed from the market can lead to making purchases at the most opportune times.

The +/- % Movement Strategy

For some businesses, they may want to increase budgetary certainty and buy a large percentage of their energy when prices are at a reasonable level, making further purchases should price drop by a pre-determined %, or locking out all volume if price rises above a certain level – to protect against further price rises or excessive price spikes.

The Balanced Strategy

Other businesses may look to combine the above strategies – Purchasing 50% of their energy for a period when the timing is optimal, and having price targets for the remaining 50% based on how the market moves.

All strategies at their core come down to the balance between optimising the prices obtained – and aiming for the absolute lowest possible price – and protecting against risk and volatility. How this balance is achieved should be dependent on the risk appetite of each individual business.

How a Broker Adds Value

This is where an experienced energy broker becomes essential. A broker can design a flex strategy that is uniquely tailored to your business’s risk profile, energy usage, and financial objectives.

They continuously monitor market trends, providing guidance on when to purchase additional tranches and helping you avoid reactive or emotional decision-making. This expertise ensures your strategy remains aligned with both market conditions and your business goals.

Brokers also handle the administrative side of flexible contracts, from supplier negotiations to monthly reporting and performance tracking. They will provide price targets based on your agreed upon strategy, and let you know when the market is close to hitting these targets.

Many will also provide ongoing support, including invoice validation , ensuring that your billing accurately reflects your purchasing decisions.

Is Flex Hedging Right for You?

Flex hedging is particularly well-suited to medium and large businesses with higher energy consumption, as well as those willing to take a more active role in managing their energy strategy. However, with the right support, it can also be adapted for smaller organisations looking for greater control.

Ultimately, the key to success lies in having a clear strategy and the right guidance.

If you’re looking to move beyond fixed contracts and take a more strategic approach to energy procurement, SeeMore Energy can help. Get in touch today to explore whether a flex hedging strategy is right for your business.

Energy Cost Stack

Tue, 14 Apr 2026 16:43:03 GMT

Energy Cost Stack

Understanding what makes up your business energy bill is essential if you want to control costs effectively. While many organisations focus purely on the unit rate , the reality is that your total energy spend is made up of multiple components -- often referred to as the “ energy cost stack .” By breaking this down, businesses can identify opportunities to reduce costs and make more informed procurement decisions.

Wholesale Energy Costs

At the base of the stack is the wholesale cost of energy. This is the price suppliers pay to purchase gas and electricity from the market. It is typically the largest variable element of your bill and is influenced by global supply and demand, geopolitical events, and seasonal factors.

As wholesale prices fluctuate, timing your contract correctly can have a significant impact on what you pay. Locking in rates at the right moment can protect your business from market volatility.

Network and Distribution Charges

Energy arrives at your premises after having been transported via the UK’s infrastructure. Network charges cover the cost of maintaining and operating the electricity grid and gas pipelines. In recent years, large upgrade projects have been undertaken to upgrade this network in order to be able to accommodate an increased amount of renewable energy. This has led to the cost of network charges rising significantly .

These charges include Transmission Network Use of System (TNUoS) and Distribution Use of System (DUoS) costs , which vary depending on your location, usage patterns, and time of consumption. For some businesses, particularly those with high or peak-time usage, these charges can represent a substantial portion of the total bill.

Environmental and Government Levies

A growing part of the energy cost stack comes from environmental and policy-related charges . These include schemes designed to support renewable energy generation and reduce carbon emissions.

Examples include the Renewables Obligation (RO) , Feed-in Tariffs (FiTs) , and Contracts for Difference (CfD) . While these charges support the UK’s transition to net zero, they are ultimately passed on to businesses through their energy bills.

Supplier Costs and Margins

Suppliers also include their own operating costs and margin within your unit rate and standing charge . This covers billing, customer service, risk management, and profit. While this portion is typically smaller than wholesale or network costs, it can vary between suppliers and contract types.

This is why comparing offers from multiple suppliers is so important. Small differences in margin can add up over the life of a contract.

Non-Commodity Costs and Hidden Charges

Beyond the headline rates, there can be additional costs that are less visible but equally important. These may include standing charges, capacity charges , and penalties linked to contract terms such as exceeding agreed usage.

Understanding these elements is key to avoiding unexpected costs. For example, a contract with a low unit rate but high standing charges may not be the most cost-effective option.

Why the Energy Cost Stack Matters

By understanding the full energy cost stack, businesses can move beyond simply chasing the cheapest headline rate and instead focus on overall value. It allows for smarter procurement decisions, better budgeting, and more effective cost control.

Working with an energy broker can make this process far simpler. A broker can break down supplier quotes , highlight where costs are coming from, and identify opportunities to optimise your energy strategy. Whether that’s through better timing, improved contract structures, or ongoing cost management.

If you want greater transparency and control over your energy spend, SeeMore Energy can help. Get in touch today to uncover savings and build a smarter approach to your energy procurement.

March 2026

Mon, 13 Apr 2026 19:01:44 GMT

March 2026 Review

By Adam Novakovic

March Review

As winter faded and market sentiment typically turns more optimistic, that outlook was quickly overshadowed by the US instigating a rapidly escalating Middle East conflict. While Donald Trump – apparently unfamiliar with the folly of Crassus – stated that he expected a short, decisive campaign that could be over in 4-6 weeks, the initial reaction from energy markets was cautious pessimism. However, as the month wore on – and it became clear this war would be unlikely to end within the originally stated timeframe – prices rose further, and only talks of the US wanting to enter peace negotiations helped bring some respite as the month ended.

When the UK electricity markets closed on February 27th, electricity for the Summer of '26 was priced just under 7p/kWh, by the 19th of March this would increase to almost 11p/kWh. For a company set to consume 500,000kWh during this period, this represents a cost increase of approximately £20,000. A price increase like this is rarely seen over a 20 day period, and rivals the most volatile days of the Russia-Ukraine conflict.

While many of the headlines refer specifically to rising gas prices, it’s important to understand that this has a large impact on electricity prices. Wholesale gas and LNG prices are critical to UK electricity prices because gas-fired power stations often set the marginal price in the market. Even when renewables generate a large share of electricity, the final unit of demand is frequently met by gas, meaning higher gas costs directly push up the wholesale power prices that affect the rates UK businesses are charged.

Additionally, the UK relies heavily on imported LNG to balance supply -- wi th Qatar being a major supplier -- so global LNG price movements quickly feed through into domestic gas, and therefore electricity costs.

As the war broke out, one of the first responses from Iran was to close the Strait of Hormuz – which is responsible for over 20% of global LNG supply. Throughout the month there were talks of the US sending in warships to help guide cargo ships through the Strait, with the White House even floating the idea of supporting cargoes via supplementing insurance as shipping premiums rose. However, supply through the Strait is still throttled, with Iran allowing some ships through to allied countries such as China and Pakistan, so long as they can evidence that the cargo was paid for in Yuan and not US dollars.

It wasn’t just the transportation of gas that was behind the rising energy prices. After Israel and the US targeted Iranian refineries, Iran retaliated in kind, launching attacks on gas refineries in neighbouring Qatar – leading to 17% of Qatar’s LNG production capacity being shut down.

All of the above has limited global supply of LNG. At the start of the year the supply-demand balance had been at its healthiest level for years, with prices looking set to steadily fall. It now appears as though prices may remain elevated until normal production and transportation of LNG can resume.

Outlook

The latest news suggest that the US are actively pursuing options to bring about a cease fire and peace deal. Although it remains to be seen if they will be willing to meet Iran’s demands. Demands that could lead to Iran maintaining a firmer control of the Strait of Hormuz than they had before the conflict began. Should peace be agreed, wholesale prices won’t instantly drop, but we should see them steadily fall over the coming months.

One factor which could keep prices high after the negotiation of a peace deal would be European nations looking to refill their gas reserves. While many nations now have much stronger renewable energy production than ever before, EU mandates will still force strong buying behaviour from all member states. With a limited global availability of LNG, this could lead to bidding wars for the available cargoes.

There have been suggestions that US LNG can plug some of the gaps in the market, but assuming an increase to maximum possible production capacity and the shifting of some cargoes from Asia to Europe, it may only make up a third of the shortfall. One possibility which could have a large impact, would be if sanctions were to be lifted against Russian gas. While many European nations have been vocal against this, the situation has changed and the US lifted embargoes against Russian oil in the early part of March, setting an international precedent.

A detail that may limit the upside from rising LNG prices, is that wind is now responsible for generating over 25% of UK electricity. Whilst wind lacks the reliability of other sources, this does change the energy-generation landscape compared to previous energy crises. Previously a higher % of generation was dependent on gas and coal, but renewable energy production – while lacking the reliability of gas or nuclear energy generation -- offers some relief from this burden.

In the coming months, the re-opening of the Strait of Hormuz will be the most important factor impacting energy prices, with a hasty re-opening potentially limiting how long prices will remain inflated.

With prices at their current levels, this has created issues for many British businesses, if you have been affected by the rising energy costs, or if you have gas or electricity contracts set for renewal in the next 12 months, contact us today for free, professional advice on how to navigate the current volatile energy landscape.

When Should I Begin My Renewal Tender?

Mon, 13 Apr 2026 18:43:28 GMT

When Should I Begin My Renewal Tender?

For UK businesses, timing is one of the most important factors when it comes to energy procurement . One of the most common mistakes is leaving your renewal tender too late. Starting the process at the right time can be the difference between securing a competitive contract and being forced into a suboptimal deal.

Why timing matters

Energy prices are driven by wholesale markets that move daily. If your contract is approaching its end and you haven’t begun engaging the market, you risk being exposed to limited supplier options, reduced negotiating power, and potentially higher prices.

Suppliers typically price contracts based on forward market conditions, and the closer you get to your contract end date, the fewer options you may have. In some cases, businesses that fail to act in time can roll onto out-of-contract or deemed rates , which are often significantly more expensive than contracted pricing.

How early should you start?

As a general rule, businesses should begin thinking about their renewal tender 6 to 12 months before their contract end date.

This window allows enough time to:

Monitor market conditions and identify favourable buying opportunities
Engage multiple suppliers
Review contract structures ( fixed vs flexible )
Align procurement with your business strategy and risk appetite

For larger or more complex energy users -- such as those with half-hourly meters or multiple sites -- starting even earlier can be beneficial, particularly if you are considering a flexible procurement strategy or aligning various meters to have the same contract and billing dates.

What happens during a renewal tender?

The renewal process begins with gathering accurate data, including your consumption history , current contract details, and site information. This data is used to approach suppliers and obtain pricing based on your business profile.

From there, quotes are compared on a like-for-like basis , ensuring all unit rates, standing charges, and additional fees are properly assessed. Timing the market then becomes a key factor, as prices can change daily.

Once the right opportunity is identified, contracts are secured.

The risks of leaving it too late

Delaying your renewal tender can limit your ability to act strategically. You may be forced to accept prices at a single point in time, rather than choosing when to lock in. This removes flexibility and increases exposure to market spikes.

Late tenders can also reduce supplier engagement. Some suppliers may be less willing to quote close to contract end dates, particularly for larger or more complex portfolios, or if the market is in a particularly volatile moment.

How an energy broker can help

Managing a renewal tender effectively requires time, expertise, and market insight. This is where working with an energy broker can make a significant difference.

At SeeMore Energy, we engage the market on your behalf well in advance of your renewal date. We monitor wholesale trends, provide clear guidance on timing, and ensure your tender is structured to generate the most competitive offers.

We also help you choose the right contract type and ensure all terms align with your business needs.

Plan ahead and stay in control

If your contract is due to end within the next 12 months, now is the time to act. Get in touch with SeeMore Energy for a free, no-obligation market review, and let us help you take a proactive approach to your energy procurement .

Is Termination Notice Required?

Mon, 13 Apr 2026 18:39:31 GMT

Is Termination Notice Required?

When it comes to business gas and electricity contracts, one of the most common areas of confusion is termination notice. Many British businesses are unaware that failing to act within the correct notice window can result in being locked into expensive rollover contracts or missing opportunities to secure better rates.

When is notice required?

In most fixed-term energy contracts , suppliers require formal termination notice to be given ahead of the contract end date. This notice period typically ranges from 30 to 120 days , depending on the supplier and the terms agreed at the outset. If termination notice is not submitted within this window, your contract may automatically renew -- often onto higher rates that are far less competitive than those available in the market.

When agreeing to switch to a new supplier, they often will provide the notice on your behalf, but it should be confirmed with the new supplier whether they will do this.

Does providing termination notice mean we may be at risk of having no supply?

Providing termination notice does not mean your supply will stop. It simply gives you the flexibility to leave your current supplier at the end of the contract and explore alternative options. In fact, many businesses issue termination notice as a standard part of their energy management strategy, keeping their options open while monitoring the market for the best time to secure a new deal.

However, timing is critical. Serving notice too late can restrict your ability to switch suppliers, while serving it too early -- without a clear procurement strategy -- can expose your business to market volatility if prices rise before you lock in a new contract.

When is termination notice not required?

It’s also important to understand that there are situations where termination notice is not required. For example, some modern flexible contracts or supplier-specific agreements do not include automatic rollover clauses, meaning notice may not be necessary. In other cases, if you are planning to pursue a “ Blend and Extend ” strategy, serving termination notice too early could complicate negotiations with your existing supplier.

Additionally, if your business is mid-tender or actively negotiating new terms, submitting termination notice prematurely can sometimes reduce your leverage or create unnecessary administrative complications. Each contract is different, and the correct approach depends on your current terms, market conditions, and overall procurement strategy.

This is why having expert guidance is so important. At SeeMore Energy, we help businesses track key contract dates, manage termination windows, and ensure that notice is served at the right time -- protecting you from costly rollover rates while keeping your options open.

Energy contracts are full of small details that can have a big financial impact. Termination notice is one of the most important, and one of the easiest to get wrong without the right support.

If you’re unsure about your contract end date or notice requirements, get in touch with SeeMore Energy today. We’ll review your agreements, manage critical deadlines, and help you take control of your energy strategy with confidence.

Can My Business Get An Energy Contract With Bad Credit?

Mon, 13 Apr 2026 18:32:00 GMT

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Can I get an Energy Contract as a Sole Trader?

Mon, 13 Apr 2026 18:28:23 GMT

Can I Get an Energy Contract as a Sole Trader?

If you operate as a sole trader, you might assume that securing a business energy contract is more difficult compared to a limited company. With no separation between personal and business finances, and often a shorter trading history, it’s a common concern for individual business owners. However, the reality is far more reassuring: Sole traders can absolutely secure energy contracts, and in many cases, with competitive terms.

How do suppliers view sole traders?

Energy suppliers in the UK assess sole traders slightly differently to limited companies. As there’s no separate legal entity, credit checks are typically carried out against the individual rather than the business itself. This means your personal credit profile plays a key role in determining what contract options are available to you.

If you have a strong credit history, you’ll likely have access to a wide range of suppliers and competitive fixed-rate contracts , much like any other business. However, if your credit profile is more limited, some suppliers may take a more cautious approach. This could result in requests for security deposits, shorter contract durations, or payment terms such as monthly in advance.

Does this put me at a competitive disadvantage?

Being a sole trader does not put you at a disadvantage -- it simply changes how suppliers assess risk. In fact, many suppliers actively work with sole traders and understand the nuances of self-employment. There is a healthy selection of suppliers that are open to offering contracts tailored to sole traders, including those with less established credit histories.

How we can help

This is where working with an energy broker can make a significant difference. Rather than navigating the market alone, a broker can quickly identify which suppliers are most likely to offer favourable terms based on your individual circumstances. They can also help position your application more effectively, negotiate on your behalf, and avoid unnecessary credit checks that could impact your profile.

Beyond simply securing a contract, a good broker will support you with ongoing services such as bill validation , usage monitoring, and renewal planning. Ensuring your energy costs remain under control as your business grows.

Ultimately, being a sole trader won’t stop you from accessing the energy market -- it just means your personal profile becomes part of the conversation.

If you’re a sole trader looking for clarity, better rates, or more flexible contract terms, we can help you to explore your options. Get in touch today and let us help you secure an energy contract that works for you and your business.

Blend and Extend

Mon, 13 Apr 2026 18:19:53 GMT

Blend and Extend

In today’s volatile energy market, timing is more important than ever. For British businesses, waiting until your contract is close to expiry can often mean exposure to unfavourable rates. That’s where a “Blend and Extend” strategy can offer a smart, proactive alternative.

What is Blend and Extend?

At its core, Blend and Extend is exactly what it sounds like: blending your current contract rates with today’s market prices, while extending the duration of your agreement. Rather than waiting until renewal -- or rolling onto expensive out-of-contract rates -- this approach allows businesses to take advantage of market opportunities as they arise.

If your business is currently locked into a fixed-rate energy contract that still has time left to run and the wholesale prices drop, you might feel stuck, unable to benefit from those lower rates. A Blend and Extend solution allows you to renegotiate early. Your supplier blends your existing rates with new, lower market rates and averages them out over a longer contract term. Resulting in a reduced overall unit rate compared to what you’re currently paying, without waiting for your contract to end.

Who should consider this?

This approach can be particularly valuable in a declining or stabilising market, where forward prices present an opportunity to lock in savings. It also offers budget certainty -- something many businesses prioritise in uncertain economic conditions.

However, Blend and Extend isn’t a one-size-fits-all solution. Extending your contract means committing for a longer period, which may not suit every business. Especially if further market drops are anticipated.

There may also be supplier-specific terms, and not all contracts are eligible. Which is why it’s essential to assess both your current position and future risk appetite before proceeding.

How we can help

We continuously monitor wholesale markets, track supplier pricing, and identify opportunities where a Blend and Extend option could deliver genuine value. More importantly, we provide transparent advice -- if it’s not the right move for your business, we will tell you.

Beyond procurement , we support businesses with invoice validation , supplier negotiations, and ongoing account management -- ensuring you’re not just securing a better deal, but also avoiding costly errors and inefficiencies.

In a market where prices can shift quickly, doing nothing can often be the most expensive decision. Blend and Extend gives businesses a way to stay in control, by locking in improvements today rather than waiting and hoping for the best at renewal.

If you’re unsure whether your current contract is still competitive, now is the time to act.

Get in touch with SeeMore Energy today for a free, no-obligation review of your energy contracts. We’ll assess your current rates, explore Blend and Extend opportunities, and help you secure a smarter, more cost-effective path forward.

The Role of an Energy Broker

Mon, 13 Apr 2026 18:14:31 GMT

The Role of an Energy Broker

For many UK businesses, managing energy contracts can feel complex, time-consuming, and often confusing. With a constantly shifting market, multiple suppliers , and increasingly detailed contract terms, it’s no surprise that more organisations are turning to energy brokers for support. But what exactly does an energy broker do? And where do they add value?

At its core, an energy broker acts as an intermediary between your business and energy suppliers, helping you secure the most suitable contract based on your needs. However, their role extends far beyond simply finding a competitive price.

Supporting You at Every Stage of Procurement

The procurement process is where an energy broker delivers immediate value. Rather than approaching a single supplier, a broker -- like SeeMore Energy -- works with a broad selection of vetted providers to compare prices, contract structures, and terms. This ensures that you’re not only getting a competitive rate, but also a contract that aligns with your operational requirements.

A good broker will take the time to understand your business -- your energy usage patterns, risk appetite, and long-term plans -- before recommending options. Whether you prefer fixed contracts for budget certainty or more flexible purchasing strategies, their expertise helps you make informed decisions.

Timing is also critical. Energy markets can be volatile, and brokers monitor these movements closely, advising on the best time to secure a contract. This market insight can make a significant difference to your overall energy costs.

Simplifying Contracts and Reducing Risk

Energy contracts can be filled with complex terms, from standing charges to take-or-pay clauses to blend and extend options. An experienced broker will clearly explain these details, helping you avoid costly pitfalls and ensuring there are no surprises later down the line.

They’ll also manage key administrative tasks, such as contract renewals and supplier negotiations, reducing the risk of being rolled onto expensive out-of-contract rates .

Ongoing Support and Aftercare

One of the most valuable aspects of working with an energy broker is the ongoing support they provide after your contract is signed. When done correctly, energy procurement isn’t a one-off task -- it requires continuous review.

If you encounter issues such as billing discrepancies, meter problems, or supplier queries, your broker acts as your point of contact, handling these on your behalf. This saves valuable time and ensures problems are resolved more efficiently.

Invoice Validation for Greater Accuracy

Another key service offered by brokers is invoice validation . Energy bills can be complex, and errors are more common than many businesses realise.

Through invoice validation, your broker checks that you are being billed correctly in line with your contract terms, ensuring that rates, use of system charges , environmental charges , and usage calculations are accurate. This not only provides peace of mind but can also identify overcharges and lead to the recovery of costs where applicable.

A Strategic Partner for Your Business

Ultimately, an energy broker is more than just a price comparison service -- they are a strategic partner. From procurement and contract management to ongoing support and cost control, they help businesses navigate a challenging energy landscape with confidence.

If your business wants to reduce costs, save time, and gain greater control over its energy strategy, SeeMore Energy is here to help. Get in touch today to see how we can support your business at every stage of your energy journey.

Can my business get an energy contract without a Direct Debit?

Mon, 13 Apr 2026 17:57:43 GMT

Can I Get an Energy Contract Without a Direct Debit?

For many UK businesses, paying by direct debit is the standard approach for gas and electricity contracts. It’s simple, automated, and often preferred by suppliers.

However, not every business is in a position to set up or maintain a direct debit. Whether due to cash flow considerations, internal finance processes, or previous credit challenges.

This leaves many businesses asking: Can I Get an Energy Contract Without a Direct Debit?

The short answer is yes -- but with some important considerations.

How Can You Pay Without a Direct Debit?

While many suppliers favour direct debit payments, alternative options are available. These can include payment on receipt of invoice (bank transfer), card payments, or, in some cases, payment in advance.

For businesses that require tighter control over outgoing payments, paying via bank transfer after receiving an invoice can be appealing. This method allows finance teams to review charges before releasing funds, or for their broker to conduct bill validation to ensure all charges are correct before approving any payment. This can be particularly useful for larger organisations with strict approval processes.

However, it’s worth noting that not all suppliers offer these options as standard. Some may restrict non-direct debit terms to certain contract types or apply additional conditions.

The Benefits and Drawbacks

Choosing not to pay by direct debit does offer flexibility, but it can also come with trade-offs.

On the plus side, businesses retain greater control over when payments are made. This can support cash flow management and ensure all invoices are checked thoroughly before payment. It also reduces the risk of unexpected amounts leaving your account.

On the downside, suppliers often view non-direct debit customers as higher risk. As a result, you may face higher unit rates , requests for security deposits, or fewer contract options. In some cases, suppliers may decline to offer terms altogether, particularly if there is a limited credit history.

There’s also the administrative burden to consider. Without automated payments, your team will need to ensure invoices are processed and paid on time to avoid late fees or potential disruptions.

How a Broker Can Help

This is where an energy broker can make a real difference. A broker understands which suppliers are more flexible with payment terms and can match your business with those willing to accommodate non-direct debit arrangements.

They can also negotiate on your behalf, helping to minimise any additional costs or secure more favourable terms where possible. Importantly, a broker will ensure you fully understand the implications of your payment method, so there are no surprises later.

Beyond procurement , brokers can support with invoice validation -- checking that what you’ve been billed is accurate before you make payment. This is especially valuable for businesses not using direct debit, as it adds an extra layer of control and reassurance.

A Practical Example

For instance, a small manufacturing business chose to pay via monthly invoice rather than direct debit to better align with its customer payment cycles. While this resulted in a slightly higher unit rate, working with a broker ensured they secured a reliable supplier and avoided excessive deposit requirements -- ultimately protecting their cash flow, while giving them greater visibility and control over their energy payments.

Find the Right Solution for Your Business

While paying by direct debit is often the simplest route, it’s not the only one. With the right support, your business can still access competitive energy contracts that suit your financial setup.

If you’re exploring your options, SeeMore Energy can help. Get in touch today to discuss your requirements and find a solution that works for your business.

February 2025 Review

Fri, 27 Mar 2026 14:24:55 GMT

With consumer spending declining and OFGEM raising their price cap, you would be forgiven for seeing February as a month where negative news was at the forefront, but in the energy markets, this was not the case.

In the day ahead market, gas prices started the month at 134.5p/therm, peaking at 145.5p/therm on February 10th. However, they would end the month at 109.7p/therm, representing a 18.44% drop from the start of the month. These drops were seen across multiple markets with electricity for Summer’25 dropping 14.36% and gas prices dropping by 15.89% for the same period. The difference between the monthly high for Summer’25 Electricity (£107/MWh) and the monthly low (£82.23/MWh) is almost £25/MWh, which, for a business that consumes 5GW during the Summer, would equate to a difference of over £120,000.

This highlights the importance of timing when to arrange your future energy contracts and ensuring you are on the best tariff for your business. If you require any advice regarding how to get the best deal on your energy contracts, contact us at info@seemoreenergy.co.uk for free advice from experts with decades of experience in the UK energy markets.

January ended with fears surrounding European gas reserve levels and the impact mandated purchases would have on global gas markets. Some reprieve was offered in the form of above normal temperatures being forecast for February. Warm winds from the North Atlantic would bring drier and milder-than-usual weather for this time of the year, lowering the expected consumption for the month.

While the weather was a welcome short-term boost, numerous EU nations were pushing back on the mandated gas reserve levels which would inevitably force EU nations into bidding wars and raise the wholesale gas prices.

A group of nations, including Austria, France, Germany and the Czech Republic, requested that the gas reserve targets be relaxed. The rules, which require all EU nations have gas reserves at 90% of capacity by November 1st, are set to expire at the end of 2025, however, the European Commission have said they would like to extend the mandate.

After energy prices had steadily risen at the start of February, prices would drastically fall from the 12th. This was a result of the US beginning talks with Russia regarding the cessation of hostilities with Ukraine. Previously the US had been providing significant funds to Ukraine, allowing for a prolonged conflict. The prospect of a peace deal being achieved was enough to cause energy prices to fall. If peace could be achieved, it would seem highly likely that Russian gas could once again be sold to Europe and European nations would have an alternative to LNG shipments.

This combination of EU demand potentially being lowered, and a possible large increase to the available gas supply led wholesale prices to drop almost 30% between the 12th and the 25th. However, OFGEM announced that the domestic price cap was set to rise by 6.4% in April, directly impacting households on variable tariffs and highlighting that there is still a negative sentiment within the energy industry.

Outlook

The energy markets look set to remain volatile in the short-term. Friday’s controversial encounter between Trump and Zelenskyy has only added to the uncertainty around any potential peace deal for Russia and Ukraine. If a cease fire could be agreed, then it seems highly probable that we will see further price decreases, but should we see the end of peace-talks, it seems almost certain that prices will quickly rise.

The European Commission has shown a willingness to be flexible in terms of intermediate gas reserve targets after the previously mentioned pushback. Further announcements, with concrete targets, are expected before the end of March. The levels of leniency shown by the commission will likely have a direct impact upon the wholesale prices.

With UK energy prices being kept high by a reliance on LNG, it seems as though there is now a renewed focus on moving away from Natural Gas. While renewables have not had the impact many had initially anticipated, nuclear energy remains the most reliable way of producing cheap, low-carbon energy. The government have indicated they are looking at smaller modular reactors as the quickest way to reduce energy costs in order to achieve their targeted energy prices by 2030. Whilst it would be years before there is any impact from new reactors, it offers some hope that the energy issues of the past few years may not be set to repeat, and UK energy prices won’t remain at the mercy of geopolitical events.

Climate Change Levy (CCL)

Fri, 27 Mar 2026 14:17:59 GMT

What is the Climate Change Levy (CCL)?

The Climate Change Levy (CCL) is a UK government tax introduced in 2001 to encourage businesses and the public sector to improve energy efficiency and reduce carbon emissions. Unlike RO , CfDs and FiTs , which fund renewable generation, CCL is a direct tax on energy consumption.

CCL applies to the supply of electricity, gas and certain solid fuels used for non-domestic purposes. It is charged per unit of energy consumed, regardless of when or how that energy is used.

The levy is administered by HMRC and is designed to create a price signal that incentivises lower energy use and investment in efficiency measures.

Who pays the CCL?

CCL is payable by non-domestic energy users, including businesses, charities and public sector organisations. Domestic consumers are exempt.

Energy suppliers are responsible for collecting the levy and passing it on to HMRC, but the full cost is passed through to customers via energy bills, usually as a clearly identifiable line item.

Some organisations may qualify for CCL relief or exemption, most notably:

Businesses with a valid Climate Change Agreement (CCA)
Certain energy-intensive processes
Supplies generated from qualifying renewable sources

How much is the CCL (and when are rates revised)?

CCL rates are set by the government and are typically revised annually, usually taking effect from 1 April each year. Rates are published by HMRC in advance to allow suppliers to update billing.

For both gas and electricity, CCL is charged on a pence per kilowatt hour (p/kWh) basis. The current CCL rates are 0.775p/kWh, set to rise to 0.801p/kWh from April 1st 2026, and then to 0.827p/kWh from April 1st 2027.

Unlike RO or CfDs :

CCL is not forecast or reconciled
There is no recycling or levy adjustment
The charge is fixed and unavoidable unless a formal exemption applies

Why CCL matters for businesses

Because CCL is a straight consumption tax, it directly rewards reduced energy use. Efficiency improvements, on-site generation, and CCA participation can all reduce CCL costs. This makes CCL one of the few policy costs that businesses can actively manage rather than simply absorb.

If you would like to ensure your CCL charges have been invoiced correctly, contact us today and we can review your recent invoices to make sure you aren't paying more than necessary.

Feed-in Tariff (FiT)

Fri, 27 Mar 2026 14:16:23 GMT

What is the Feed-in Tariff (FiT)?

The Feed-in Tariff (FiT) scheme was introduced in 2010 to support small-scale, low-carbon electricity generation. Unlike the Renewables Obligation -- which targeted large generators -- FiT was designed to encourage households, communities and small businesses to install technologies such as solar PV, wind, and hydro.

Under the scheme, eligible generators receive a fixed payment for each unit of electricity they generate, regardless of whether it is consumed on-site or exported to the grid. In addition, an export tariff is paid for electricity exported to the network.

The FiT scheme closed to new applicants in March 2019, but existing installations continue to receive payments for the duration of their support term (typically 20–25 years), meaning FiT costs will remain on electricity bills into the 2040s.

How does the FiT scheme work in practice?

FiT payments are made up of two components:

Generation tariff – a fixed p/kWh payment for every unit of electricity generated by an accredited installation.
Export tariff – a separate payment for electricity exported to the grid.

Tariff levels were set at the point of accreditation and are linked to inflation for the lifetime of the installation. Payments are made by licensed electricity suppliers, who are required to participate in the scheme.

Suppliers recover the cost of FiT payments through the FiT levelisation process, which redistributes costs across all suppliers based on market share. These costs are then passed through to electricity consumers and will appear on invoices as a Feed in Tariff (or FiT) charge.

Who pays the Feed in Tariff?

The cost of FiT is ultimately paid by electricity consumers, including business users, via pass-through charges on electricity bills.

Both the British Industrial Competitive Scheme and The British Industry Supercharge r offer the ability for eligible businesses to receive exemptions from paying this charge.

For most businesses, FiT appears as a non-commodity policy charge, separate from energy costs and network charges.

How much is the FiT?

FiT costs are calculated annually through the levelisation process, which reconciles actual payments made to generators against forecast collections.

In p/kWh terms, FiT charges are typically around 8.5 p/kWh for business electricity customers, although this varies slightly year to year depending on inflation, total accredited capacity and supplier market shares.

Final FiT levelisation amounts are confirmed after the end of each scheme year, with any discrepancy corrected in future charges. While FiT costs are smaller than RO charges , it remains a persistent and unavoidable component of UK electricity policy costs.

If you would like to ensure your FiT charges have been invoiced correctly, contact us today and we can review your recent invoices to make sure you aren't paying more than necessary.

Why electricity prices keep going up

Fri, 27 Mar 2026 14:11:16 GMT

Why electricity prices keep going up

By Adam Novakovic

Electricity has always been more than just a utility, it is an essential component in every part of UK business. Yet in recent years, costs have been climbing steadily, and today’s bills are weighed down by more than just wholesale market prices. There can be long periods of time where wholesale prices remain stable or decrease, yet the amount businesses are paying for their electricity continues to rise. A large part of the increase comes from policy decisions. Most notably the way the UK has chosen to fund decarbonisation, its reliance on renewables, and its failure to make a serious commitment to nuclear energy.

The transition from fossil fuels to renewables has been a defining change in the energy system. The focus was shifted towards renewables seemingly without fully considering how they would impact energy costs. They have helped cut emissions, but the trade-off is unpredictability. Weather-dependent generation cannot replace the reliability of coal or nuclear, so the grid must work harder and spend more to keep supply and demand in balance. Every time the wind drops or demand spikes, businesses end up paying for the back-up capacity and balancing services that keep electricity flowing.

Instead of funding renewable subsidies and system upgrades through general taxation, successive governments have embedded these costs in electricity invoices as non-commodity charges . For many businesses, these costs now make up more than half the total cost of electricity. This means that investments in green energy are then passed on to end users. For companies competing internationally, this means operating with higher energy costs than rivals in countries where policy has taken a different path.

One of the biggest reasons for prices increasing comes from the expansion of the grid itself. Many of the UK’s largest wind projects are located hundreds of miles from the major centres of demand, often offshore. Transporting that power requires billions in new network infrastructure. Current estimates suggest around £60 billion will be spent on reinforcement and expansion over the next decade, and once again these costs are incorporated into business energy bills.

This is where the comparison with France becomes unavoidable. France generates around 70% of its electricity from nuclear power. This gives it a stable, low-carbon baseload supply at predictable cost, insulating businesses and households alike from some of the volatility that impacts the UK system.

Britain, by contrast, allowed its nuclear fleet to decline without adequate replacement. Projects like Hinkley Point C are years late and billions over budget, leaving a gap that has been filled with more expensive measures: subsidies, balancing payments, and LNG imports.

The UK is pursuing one of the most ambitious decarbonisation programmes in the world through its Clean Power 2030 plan, but without nuclear providing a reliable carbon-free energy-production, the price of that ambition is paid by the consumers.

In many ways, it appears as though the focus on clean energy has come at the expense of both businesses and consumers with a lack of economic consideration being given throughout the goal-setting process.

The financial evidence is clear. In 2000, businesses paid approximately £40/MWh. Today, the average is closer to £200/MWh. Wholesale market volatility and global supply factors have played a role, but the long-term upward trend is driven far more by policy and environmental levies than by commodity markets.

For businesses, this means facing multiple challenges: absorbing higher costs today, while planning for even more in the years ahead. Flexibility and efficiency are now strategic necessities. It is essential that a business consider reviewing procurement strategies, adjusting operations to avoid peak pricing, or investing in on-site generation can all help offset some of the policy-driven costs.

However, these steps can still make it difficult to compete with foreign companies who are able to source cheaper energy.

Electricity in the UK is expensive, not because low-carbon energy is inherently costly, but because of how the transition has been handled. By ignoring nuclear and relying so heavily on environmental charges added directly to invoices, the government has turned business energy bills into a decarbonisation tax.

If your business requires help with energy procurement, management, or strategies, contact SeeMore Energy today to see how one of our specialists can help your business reduce energy costs.

How Can My Business Reduce Energy Costs?

Fri, 27 Mar 2026 14:04:03 GMT

With energy prices remaining volatile and non-commodity costs continuing to rise , reducing energy spend has become a priority for businesses across the UK. While many focus solely on securing a competitive contract, the reality is that meaningful savings often come from a combination of procurement strategy, operational efficiency, and technical optimisation.

Procurement: Timing and Strategy Matter

Procurement is often the first option businesses look to when trying to reduce costs. Securing energy at the right time and with the right type of contract can significantly impact your overall spend.

Rather than simply renewing at contract end, businesses should consider:

Monitoring wholesale market trends

Forward purchasing or flexible contracts

Aligning contract length with risk appetite and market outlook

A well-timed procurement strategy can protect against volatility and avoid locking into unfavourable rates during market peaks.

Energy Audits: Reduce and Optimise Consumption

Reducing consumption remains one of the most effective ways to lower energy costs. Conducting an energy audit helps identify where energy is being wasted and where efficiencies can be introduced.

This can include:

Identifying inefficient equipment or processes
Highlighting opportunities to reduce usage during peak tariff periods
Shifting consumption to off-peak times where rates may be lower

Even small operational changes, such as adjusting run times or improving maintenance, can deliver meaningful savings over time.

kVA Capacity and TCR Banding Reviews

Many businesses are unknowingly overpaying due to incorrect technical settings on their supply.

kVA Capacity
Your agreed supply capacity determines how much power your site can draw from the grid. If this is set too high, you may be paying unnecessary capacity charges. If it’s too low, you risk excess capacity penalties. Regular reviews ensure your capacity accurately reflects your operational needs.

TCR Banding (Targeted Charging Review)
TCR banding determines how certain network charges are applied, particularly for electricity. Being placed in the wrong band, or failing to optimise your position, can significantly increase costs.

Reviewing both kVA capacity and TCR banding can unlock savings without any change to consumption.

Bill Validation: Are You Being Charged Correctly?

Energy billing is complex, and errors are more common than many businesses realise . From incorrect meter readings to misapplied charges and outdated contract rates , even small discrepancies can add up over time.

Implementing a robust bill validation process ensures that:

You are billed in line with your contract
All charges are accurate and correctly applied
Any historical overcharges are identified and recovered

Without ongoing validation, many businesses simply assume their bills are correct. This can lead to overpaying and spending more than necessary on electricity.

Government Schemes and Support

Depending on your business type and energy usage, you may be eligible for government schemes or exemptions designed to reduce costs.

These can include:

Climate Change Agreements (CCAs)
Energy-intensive industry exemptions
Various relief mechanisms on network and policy charges

Eligibility criteria can be complex, and many businesses miss out simply because they are unaware of what they qualify for. Reviewing your eligibility regularly ensures you are not leaving money on the table.

The Value of Expert Support

Reducing energy costs is no longer just about finding the cheapest unit rate. It requires an approach that combines procurement, technical optimisation, and ongoing validation. For many businesses, navigating this landscape internally can be time-consuming and complex. That’s where working with a specialist energy broker can make a real difference.

At SeeMore Energy, we support businesses in identifying cost-saving opportunities across every aspect of their energy strategy. From market timing and contract negotiation to bill validation and technical reviews.

If you want to ensure your business isn’t overpaying, get in touch today. Our team can analyse your kVA capacities and TCR banding, advise on your current contracts, recommend optimal procurement strategies, and identify if you are eligible for any government schemes.

Transmission Network Use of System (TNUoS) charges

Fri, 27 Mar 2026 14:01:39 GMT

Transmission Network Use of System (TNUoS) charges are fees levied to recover the cost of building, maintaining and operating Great Britain’s electricity transmission network. TNUoS charges ensure that the costs of the transmission system are paid for by those who use it, with larger energy consumers paying the lion's share of the costs.

Who pays TNUoS charges?

TNUoS charges apply to both electricity generators and electricity users. For most businesses the charge is recovered through their electricity supplier, with TNUoS costs either forming part of the Standing Charge , or being a separate line item.

How do TNUoS charges work in practice?

The TNUoS charge is a per day amount -- similar to the normal standing charge -- set by the relevant Distribution Network Operator (DNO) . The daily rate will vary depending on what TCR band the meter is in, with larger users normally classified as being in a higher TCR band and paying more. However, if you believe your meter has been incorrectly classified and is in the wrong TCR band, it can be reviewed by contacting the DNO.

How much is TNUoS (and when are charges set)?

TNUoS demand charges are set annually and published ahead of each charging year, which runs from 1 April to 31 March.

Unlike policy costs, TNUoS is not charged in p/kWh. Instead, it is levied as a p/day. This can add up to several tens of thousands of pounds per year for high usage meters.

With significant investment being made to upgrade the transmission network to accommodate renewable generation, it is likely that TNUoS costs will continue to rise in the coming years, perpetually accounting for a larger proportion of electricity bills.

Why TNUoS matters for businesses

For high-consumption and flexible sites, TNUoS represents a growing expenditure that is difficult to manage. Some businesses can get relief from the rising TNUoS costs from the Network Charging Compensation mechanism , introduced last year. However, for many businesses, the best they can do is to review that they are in the correct TCR band and are being invoiced correctly by their supplier.

If you would like to ensure that you are in the correct TCR band and that your TNUoS charges are being invoiced correctly. Contact us today and we can review your recent invoices to make sure you aren't paying more than necessary.

How Can My Business Lower Standing Charges?

Fri, 27 Mar 2026 13:59:42 GMT

How Can My Business Lower Standing Charges?

For many UK businesses, standing charges are an unavoidable part of energy bills. Unlike unit rates, which fluctuate based on usage, standing charges are fixed daily costs applied regardless of how much energy you consume. Leading many businesses to look into ways in which these standing charges can be reduced.

In some scenarios they are unable to be reduced, but there are times in which they can be lowered. Reducing these costs, requires a more detailed understanding of how these charges are calculated and what factors influence them.

What makes up a standing charge?

Standing charges are often made up of several components, including:

Network costs (Distribution Use of System and Transmission charges)
Metering and data services
Policy costs and levies
Supplier administration fees

While suppliers apply the standing charge, a large proportion of the cost is driven by network-related charges, meaning there are opportunities to reduce them — but not always in obvious ways.

TCR Banding

The Targeted Charging Review (TCR) has changed how certain network costs are recovered, particularly for non-half-hourly (NHH) customers.

Under TCR, many charges are now fixed and linked to banding structures based on usage characteristics rather than actual consumption. Being placed in a higher band can significantly increase your standing charges. Various use of system charges are based on which TCR band a meter is in, and these charges can often make up part of the standing charge.

While banding is determined by historical usage and meter type, there may be opportunities to review your position and ensure it accurately reflects your business profile. By contacting your DNO , you can see when the next TCR band review is scheduled -- in situations where usage is below the levels associated with your TCR band, you may be able to request a review before then.

Validate your bills

As with all elements of energy billing, errors can and do occur . Standing charges are no exception.

Businesses should ensure that charges match agreed contract terms, correct rates and structures are applied, and no duplicate or incorrect costs are included.

Without proper validation, these issues can go unnoticed. Particularly as standing charges are often seen as “fixed” and not questioned.

Take a strategic approach

Reducing standing charges is rarely about a single change. Instead, it involves a combination of:

Technical reviews (capacity, metering, banding)
Ongoing validation
Strategic procurement and supplier selection

For many businesses, these areas are complex and time-consuming to manage internally.

Take control of your energy costs

At SeeMore Energy, we help businesses go beyond headline rates and uncover hidden savings within their energy setup -- including standing charge optimisation.

From kVA capacity reviews and TCR analysis to full bill validation , we ensure every element of your energy costs is working in your favour.

If you want to reduce unnecessary charges and ensure you’re not overpaying, get in touch today. Our expert team will identify opportunities and help you take full control of your energy spend.

How TNUoS costs are set to rise

Fri, 27 Mar 2026 13:54:02 GMT

As the UK pushes towards a low-carbon energy system, there has been a sharp rise in costs for businesses connected to the grid. The National Energy System Operator (NESO) has released its latest five-year outlook on Transmission Network Use of System (TNUoS) charges , and -- from April 2026 – energy costs will rise significantly to fund the country’s energy transition.

What Are TNUoS Charges?

NESO uses the funds from TNUoS charges to build, operate, and maintain the high-voltage transmission network across Britain. The forecasts for 2026/27 have indicated that NESO will be looking to almost double the revenue generated in the previous year.

While suppliers pass these charges on to both households and businesses, the scale of the increases ahead will be most acutely felt by large energy users.

NESO’s forecast highlights steep jumps in fixed and demand-based charges:

Standing charges will increase by between 70-140% depending on the band of the site. For a single site, that could mean paying anywhere from £1,229 to £127,823 more each year.
Regional demand tariffs tell a mixed story. Businesses in the Midlands and South West face rises of up to 37%, while those in Eastern England and South Wales may see reductions of up to 42%.
Overall revenue recovery is forecast to leap from £5.1bn in 2025/26 to £8.9bn in 2026/27 – a £3.8bn increase in just one year. By 2030/31, the figure is projected to hit £11.7bn.

For many energy-intensive industries, this will represent a major additional cost burden.

Why Are Charges Increasing and what does this mean for businesses?

Greater investment is required in upgrading the grid. A large part of this is due to the number of renewable energy sources that have been added to the grid in recent years, further increasing the cost of renewables to the end user.

In the last year, electricity demand has fallen at a faster-than-expected rate. This leads the same fixed costs to be spread across fewer units of consumption.

For large electricity users, TNUoS charges can make up a significant proportion of total energy spend. For a mid-sized manufacturer, TNUoS costs can already be over 5% of their total electricity bill.

With the rises for 26/27 this can increase the budgetary pressure on many businesses and have an impact on profitability.

While it is prudent for businesses to begin making budgetary adjustments based on the figures released, it won’t be until November that the draft tariffs are released, with the final tariffs set to be confirmed in January 2026.

Looking further ahead, Ofgem is reviewing reforms aimed at making TNUoS charges more predictable, better aligned with energy planning, and more effective at guiding where generation and demand connect to the grid. These changes will likely emerge later in the decade, but for now, volatility remains.

How Businesses Can Respond

Although costs are rising, there are steps businesses can take to manage their exposure:

Ensure that your kVA capacity is not higher than it needs to be and that you are in the correct TCR Band
Exploring on-site generation (such as solar PV or CHP) to reduce grid reliance.
Considering battery storage or demand-side management to shift consumption away from peak periods.

If your business requires more information about how these charges will impact your sites, or if you would like a free consultation about how your energy costs can be reduced, contact us today for advice from our team of specialist advisers.

How Often are Business Energy Bills Wrong?

Fri, 27 Mar 2026 13:49:34 GMT

How often are business energy bills wrong?

For many UK businesses, energy bills are simply accepted as a fixed cost of operations. However, industry experience suggests that billing errors are far more common than most organisations realise. Research published by OFGEM showed that 27% of small businesses found errors in their invoices, with this percentage rising to 48% for larger organisations. In some cases, they can lead to significant overpayments with businesses being unaware they are paying more than necessary. While it is difficult to assign an exact figure across the entire market, it is widely accepted within the energy industry that a meaningful proportion of business energy bills contain errors at some point during a contract. These issues can range from minor discrepancies to substantial inaccuracies that impact cash flow and budgeting.

Why do energy billing errors occur?

Business energy billing is inherently complex. Unlike domestic billing, commercial contracts often involve multiple components, including wholesale costs, network charges, levies, and capacity-based fees. This creates more opportunities for things to go wrong.

Some of the most common causes of billing errors include:

Estimated billing : Where actual meter reads are not available, suppliers may rely on estimates that do not reflect real usage.
Wrong contract rates applied : Agreed prices may not always be correctly reflected in billing systems.
Capacity and network charge errors : Incorrect kVA capacity levels or misapplied TCR banding can significantly increase costs.
Change of tenancy or supplier issues : Errors often arise during transitions, where data is not transferred correctly between parties.

Given the number of moving parts involved, even well-managed accounts can occasionally experience discrepancies.

How big can the impact be?

The financial impact of billing errors varies depending on the nature of the issue. In some cases, errors may only amount to small differences on individual invoices. However, when left unresolved over time -- particularly across multi-site portfolios -- these discrepancies can quickly add up.

It is not uncommon for businesses to uncover thousands, or even tens of thousands of pounds in overcharges when historical bills are reviewed in detail. Larger energy users, or those with complex metering arrangements, are typically at greater risk.

Are suppliers responsible for catching errors?

Energy suppliers are responsible for issuing accurate bills, but the reality is that billing systems are not infallible. With large volumes of data and frequent industry changes, errors can and do occur.

Importantly, many issues are only identified when the customer or their advisor actively reviews the data. Without this oversight, incorrect charges may continue for extended periods.

What should businesses do?

To minimise risk, businesses should take a proactive approach to energy bill validation . This includes regularly checking invoices against contract terms, ensuring meter readings are accurate, and reviewing capacity and network charges.

For many organisations, however, this level of scrutiny can be time-consuming and technically challenging. As a result, more businesses are turning to specialist support to ensure their billing is correct.

Take control with bill validation

At SeeMore Energy, we understand how complex and costly billing errors can be. That’s why we’ve developed a dedicated Bill Validation system designed to identify inaccuracies, recover overcharges, and ensure your invoices are fully aligned with your contract and usage.

Get in touch today to learn more about receiving a free trial for our Bill Validation system , and make sure you’re only paying for the energy you actually use.

Falling Wholesale Prices: The Time to Renew

Fri, 27 Mar 2026 13:47:21 GMT

Ever since the Summer of 2021, energy prices have been above their historical levels. Whilst the initial spike created by the Russia/Ukraine conflict was short-lived, prices never fully returned to their pre-conflict levels.

More recently, the first quarter of 2024 saw some reprieve as wholesale prices dropped, but prices rose by over 150% between February of 2024 and February 2025.

Prices did drop shortly after this but would then mostly trade in a tight range as prices remained propped up by EU mandated purchasing -- designed to ensure that all EU nations possessed sufficient gas reserves ahead of this winter. With that purchasing cycle now complete, we are seeing wholesale prices once again drop, with prices at the end of Wednesday (10/12/25) being their lowest since April’24.

Why are prices falling?

An Easing of EU Buying Pressure

As previously mentioned, the EU mandated reserve levels have forced many nations to make purchases throughout the summer months. The deadline for EU nations to achieve the required % of gas reserve capacity has now passed, removing buying pressure from the market

Russia-Ukraine Peace Talks

Since the beginning of 2025, the EU banned the importation of Russian gas. This narrowed the available suppliers that European nations could purchase from. However, with active peace talks taking place there are hopes this decision could be reversed. It is seen as inevitable that the embargo being lifted would be a prerequisite ahead of Russia signing any peace deal. This would create a more competitive supply picture that would favour the buyers.

US LNG supply

The US made significant increases to the amount of LNG they are exporting during the course of 2025. With further production and export increases expected early in 2026, this has reshaped the supply vs demand balance. 56% of the LNG imported to Europe this year has come from US, meaning that European nations are less reliant on supplies from nations like Qatar where issues surrounding shipping routes had previously elevated prices.

A Mild Winter

Whilst weather forecasts are never 100% reliable, recent indications have suggested that the UK winter weather will be milder than usual, particularly after December 17th. With the supply side of the equation currently looking healthier than in recent memory, news that demand may also be reduced only further assists prices in their decline.

What this means for your business

Wholesale prices can sometimes have a slight delay before they are directly observable in the prices available to end users. With the most recent decline beginning on November 20th, we are now beginning to see this affect the unit rates available from UK suppliers.

Prices for Summer’26 electricity are now over 20% lower than they were during February of this year, with gas prices now 40% lower for the same periods. For a business that is set to consume 5,000 MWh of electricity and 1,000 therms of gas during this period, this represents a saving of approximately £85,000 on the electricity and £44,000 on the gas .

For those with fixed contracts, if you have a contract end date coming up in the next 6 months, now could be the ideal time to conduct a market review and obtain quotes from as many as suppliers as possible.

If you would like assistance with this process, we can conduct a no obligation market review on your behalf – obtaining quotes from a wide range of trusted suppliers and creating a price comparison document showing how the currently available rates compare to each other and your existing contract.

Contact one of our market experts today , and we can help you obtain the information necessary to accurately budget for 2026, in addition to obtaining the best rates currently available on your gas and electricity.

How Do I Make an Energy Price Comparison?

Fri, 27 Mar 2026 13:42:10 GMT

How do I make an energy price comparison?

For UK businesses dealing with a volatile energy market, energy procurement has become increasingly important. With wholesale markets fluctuating and non-commodity costs continuing to rise, making an accurate energy price comparison is essential to securing a competitive contract. However, comparing prices properly involves far more than just looking at a unit rate .

Understanding the procurement process

The first step in any energy price comparison is going to market. This involves gathering offers from a broad selection of suppliers based on your business’s consumption profile and contract preferences. Suppliers will assess your usage, risk profile, and contract length before providing pricing.

However, not all quotes are directly comparable. Some may include different contract structures ( fixed vs flexible ), varying standing charges , or additional pass-through costs. A like-for-like comparison is critical to avoid selecting a contract that appears cheaper on the surface but proves more expensive over time.

What data do you need?

To generate accurate quotes, suppliers (and brokers) require a clear picture of your energy usage. Typically, this includes:

Your MPAN (for electricity) or MPRN (for gas)
Estimated Annual Consumption (EAC) or Annual Quantity (AQ)
Half-hourly data (for larger sites)
Current contract details, including end date and rates
Site address and business details

The more accurate and complete your data, the more precise and competitive your quotes will be. Missing or estimated data can lead to pricing buffers being added by suppliers, increasing your costs unnecessarily.

Why expertise matters

While it’s possible to approach suppliers directly, many businesses choose to work with an energy broker . This is because procurement isn’t just about finding the lowest price, it’s about finding the right contract.

An experienced broker understands the nuances of supplier offerings, including which suppliers are most reliable , how they handle billing and customer service, and which are best suited to specific business types or consumption patterns. They can also advise on contract structures, helping you align your energy strategy with your risk appetite and budget.

At SeeMore Energy, we work closely with a wide panel of UK suppliers, allowing us to provide tailored recommendations -- not just the cheapest option, but the most suitable one.

Using our online quote tool

For businesses looking to get a quick view of the market, our online quote tool is a powerful starting point. By inputting a few key details about your business and energy usage, you can instantly access multiple supplier prices in one place.

This allows you to benchmark your current rates against live market offers and identify potential savings opportunities within minutes. It’s a fast, transparent way to understand where you stand, without the need for lengthy back-and-forth with individual suppliers.

Take the next step with a free market review

While online comparisons are a great first step, the real value comes from expert analysis. Energy pricing is influenced by timing, contract structure, and supplier selection -- factors that require market insight to fully optimise.

That’s where we come in. At SeeMore Energy, we offer a free, no-obligation market review to help you understand your options, identify savings, and secure the right contract for your business.

Get in touch today and let us take the complexity out of your energy procurement, allowing you to focus on running your business while we handle the rest.

What is a DNO and what do they do?

Fri, 27 Mar 2026 13:38:22 GMT

What is a DNO?

For many UK businesses, energy bills are often viewed purely through the lens of suppliers and wholesale prices. However, a key part of the electricity system is the Distribution Network Operator (DNO). Understanding the role of a DNO can help businesses better manage costs, improve efficiency, and avoid unnecessary charges.

What does a DNO do?

A DNO is responsible for owning, operating, and maintaining the local electricity distribution network. This is the infrastructure that delivers power from the national grid to homes and businesses.

Unlike energy suppliers, DNOs do not sell electricity. Instead, they ensure that electricity is delivered safely and reliably to your site. If there is a power cut or a fault with the local network, it is the DNO -- not your supplier -- that resolves the issue.

Why do DNOs exist?

The UK electricity network is divided into regions, each managed by a licensed DNO. This structure exists to ensure the network is operated efficiently and maintained to a high standard, while avoiding duplication of infrastructure.

DNOs are regulated by Ofgem, which sets the framework for how they operate and how much they can charge for using their networks. These charges ultimately form part of your electricity invoice through network costs .

TCR banding and kVA capacity

In recent years, DNO-related charges have become more visible to businesses due to the Targeted Charging Review (TCR) . This reform changed how certain network costs are recovered, moving away from usage-based charges to fixed charges based on a site’s capacity or agreed supply level.

For many non-half-hourly (NHH) customers, this means being placed into TCR bands , which determine the level of fixed network charges applied. For half-hourly (HH) customers, charges are often linked more directly to their agreed kVA capacity .

Your kVA capacity represents the maximum electrical load your site is allowed to draw from the network. If this is set too high, you may be overpaying in capacity charges. If it is too low, you risk exceeding your limit and incurring penalties or operational issues.

Reviewing both TCR banding and kVA capacity is therefore an important step in ensuring your energy costs are optimised.

DNO regions

Each DNO operates within a defined geographic area. The main DNOs in Great Britain include:

UK Power Networks (London, South East, East of England)
National Grid Electricity Distribution (Midlands, South West, South Wales)
Northern Powergrid (North East, Yorkshire)
Electricity North West (North West England)
SP Energy Networks (Central & Southern Scotland, Merseyside, North Wales)
Scottish and Southern Electricity Networks (Northern Scotland, Central Southern England)

Your DNO is determined by your location and cannot be changed, unlike your energy supplier.

When should you contact your DNO?

There are several situations where it may be necessary to engage with your DNO directly, including:

Power outages or network faults
New connections or site developments
Increasing or reducing your site’s capacity (kVA)
Metering or infrastructure changes impacting supply

For most day-to-day queries, your energy supplier will act as your first point of contact, but more technical or infrastructure-related requests will involve the DNO.

How we can help

Understanding the role of the DNO -- and how charges like TCR banding and capacity impact your bills -- can unlock significant cost-saving opportunities.

At SeeMore Energy, we help businesses review their energy setup in detail, identifying areas where network charges may be reduced and ensuring your contract and capacity are aligned with your actual usage.

Contact us today for a free energy review , and let us help you take control of your energy costs.

Are your energy invoices in the correct company name?

Fri, 27 Mar 2026 13:35:55 GMT

Why it’s important your energy bills are in the correct company name

For many businesses, energy bills aren’t reviewed with a high-level of scrutiny. As long as the meter is live and the lights stay on, the paperwork often goes unquestioned. However, having electricity and gas bills issued in the correct legal company name is more important than many organisations realise. Failing to ensure that your invoice is correctly addressed can create unnecessary risk and cost.

How it can impact your business

Energy contracts are signed with a specific legal entity, not a trading name or group brand. If the company name on the bill does not match the Companies House records, the contract may not accurately reflect who is legally responsible for the supply.

This can cause problems in the event of disputes with the supplier, changes of tenancy or site ownership, and contract renewal or termination.

In some extreme cases, suppliers can refuse to amend or even enforce contracts where the named party is incorrect.

Affecting credit checks and pricing

Suppliers assess risk using the company name registered on the account. If this is incorrect or outdated:

Credit checks may fail or be delayed
Higher security deposits may be requested
Less competitive pricing may be offered

For growing businesses, group structures or recently incorporated entities, this can result in paying more than necessary for energy, simply because the account information isn’t aligned.

Delaying contract changes and site updates

Something as simple as renewing a contract, adding meters, or updating a supply address can become complicated if the company name is wrong.

Common scenarios include:

Sites transferred between group companies
Trading names used instead of legal names
Businesses that have changed structure or ownership

Each of these can trigger lengthy data disputes between suppliers, distributors and settlement systems, often delaying changes by weeks or months.

Issues with VAT, levies, and exemptions

Where VAT exemptions exist, the name on the invoice is required to match the name of the business that has the exemption.

There are numerous government schemes that offer businesses relief from specific environmental levies and non-commodity charges . Many of these schemes – such as the British Industry Supercharger – are applied to companies with eligible SIC codes.

If the business name is incorrect, then the SIC code cannot be verified and the business may end up missing out on the exemption.

Future Contracts

When tendering energy contracts, suppliers rely on accurate account data. Incorrect company names can slow down the quoting process, result in quotes being withdrawn, or lead to errors in contracts or start dates.

For businesses managing multiple sites, this becomes even more critical.

How we help businesses get it right

As an energy broker, we regularly see cost and risk created by something as simple as incorrect account information. We help businesses:

Verify company names against Companies House
Correct supplier and industry records
Manage name changes during restructures or acquisitions

If your business requires help with ensuring that your invoices are being issued in the correct name, contact us today and one of our experienced team can assist with all of your energy needs.

What Do I Need To Do When Switching Energy Supplier?

Fri, 27 Mar 2026 13:33:06 GMT

What do I need to do when switching energy supplier?

Switching energy supplier is a common step for UK businesses looking to control costs and improve their energy arrangements. Understanding the process can help ensure the transition is smooth and avoids any disruption.

While the switching process itself is usually straightforward, there are several important steps businesses should take to make sure everything runs efficiently.

1. Check your current contract

The first step before switching supplier is to review your existing energy contract. Most business energy contracts are fixed-term agreements, and leaving before the end date may trigger termination fees or penalties.

Businesses should check the contract end date, notice period, and any specific termination clauses. Many contracts require notice to be given before the end of the agreement. If notice is not provided within the required timeframe, the contract may automatically roll over or move onto higher out-of-contract rates .

Understanding these details early will help you avoid unnecessary costs and ensure you can switch at the correct time.

2. Compare suppliers and contract options

Once you know when you are able to switch, the next step is to review available options in the market . Different suppliers offer a variety of contract structures and pricing models, and it’s important to choose one that s uits your business’s needs .

When comparing suppliers , businesses should look beyond the headline price and consider other factors such as reliability, billing arrangements, customer support, and flexibility. For organisations with multiple sites, it may also be useful to check whether suppliers can align billing dates or provide consolidated invoices.

While this process can be time-consuming for many businesses, we offer a free market review, where we obtain quotes on behalf of your business and assist with comparing the available options.

3. Confirm meter details and site information

Before a switch can take place, suppliers will typically need accurate information about the site and energy meters. This includes the MPAN (for electricity) or MPRN (for gas), the business address, and details of current consumption.

Providing accurate information helps suppliers produce more reliable quotations and ensures the switching process is completed correctly. If a business has multiple locations, it may also be worth reviewing whether all sites should be included in the same contract portfolio.

4. Agree the contract and switching date

Once a supplier has been selected, the next step is to formally agree the new contract. The supplier will confirm the start date for the new supply, which typically begins immediately after the current contract ends.

In most cases, the switching process happens automatically behind the scenes. The new supplier will coordinate with industry systems and the existing supplier to transfer the supply on the agreed date.

Importantly, the physical supply of electricity or gas does not change when you switch supplier. The same infrastructure and network operators continue to deliver energy to the site, meaning there is no interruption to supply.

5. Submit final meter readings

Around the time the new contract begins, businesses may be asked to provide a meter reading . This allows the previous supplier to produce an accurate final bill and ensures the new supplier begins billing from the correct usage level.

Keeping a record of these readings can help resolve any potential billing queries later on.

Plan ahead for future renewals

Switching supplier is also a good opportunity for businesses to review their longer-term energy strategy. Monitoring contract end dates and market conditions can help businesses avoid expensive out-of-contract rates and ensure they continue to secure competitive pricing in the future.

If your business requires assistance with any stage of switching supplier, contact us today for no-obligation advice from an experienced team of energy professionals.

How the Iran-Israel Conflict Could Impact UK Energy Prices

Fri, 27 Mar 2026 13:26:47 GMT

How the Iran-Israel Conflict Could Impact UK Energy Prices

By Adam Novakovic

Tensions between Iran and Israel have intensified in recent weeks, prompting renewed concerns across global energy markets — including in the UK. The immediate impact has seen some fear in the markets and prices have risen as a result. Any further signs of escalation that could disrupt global supply routes will likely provoke sharp spikes in wholesale energy prices.

Soon after Israel launched initial attacks and Iran responded, the United States distanced itself from Israel’s aggressive military posturing, urging both sides to engage in diplomatic dialogue and to avoid an extended regional conflict. This initial reluctance to support a drawn-out confrontation has helped calm fears of a broader war, however, there have been some indications that the US position could change. If the US were to become more directly involved, then the outlook would worsen considerably. US involvement would increase the probability of ground troops being deployed in Iran, and of a prolonged war.

Without prolonged hostilities, the energy market should resume its downward trajectory once immediate geopolitical risks fade. Both Iran and Israel lack the resources to sustain a protracted war without foreign support, and most analysts agree that military actions will likely remain confined to missile exchanges, drone activity, and cyber or intelligence-based sabotage, rather than a full-scale ground war.

One of the key global chokepoints under scrutiny is the Strait of Hormuz (see our previous video on the Strait here ) — a vital maritime corridor through which roughly 20% of the world’s oil passes. Iranian media had recently floated the idea of a potential blockade of the strait. Although, this appears to be more of a strategic signal than a concrete military plan, likely aimed at testing the international response rather than indicating genuine intent.

Attempting to restrict shipping through the Strait would risk alienating neutral parties and even Iran’s current allies, particularly major oil producers in the Gulf who rely on the free flow of maritime traffic for economic stability. A blockade would also provoke sharp condemnation and possible intervention from Western and regional powers — an outcome Iran cannot afford. Therefore, the likelihood of such a move remains low, though the market will remain sensitive to further speculation around the issue.

From a UK perspective, the timing of this crisis is somewhat fortunate. Britain is far less dependent on liquefied natural gas (LNG) imports during the summer months, but it could disrupt or delay plans to restock the nation’s gas reserves. With other European nations also looking to replenish their reserve levels, it could drive prices higher should a significant part of the global gas supply be seen as a transportation risk.

Looking further ahead, much will depend on how effectively the United States can maintain its diplomatic balancing act. Israel’s military capabilities are reliant on US funding and logistical support. At the same time, Iran faces existential risks if it chooses to escalate the conflict in a manner that might draw the US into direct confrontation. These dynamics suggest both sides have incentives to avoid crossing certain red lines.

While some may look to draw parallels, this situation bears little resemblance to the Russia-Ukraine conflict, where negotiations have stalled despite US diplomatic pressure. In contrast, the Iran-Israel standoff, while dangerous, still contains opportunities for de-escalation. Especially if influential regional powers and the US can exert diplomatic influence.

In the meantime, UK energy markets look set for intermittent volatility. For those who have contracts due for renewal before the end of the year, it may be prudent to look to get quotes now and not risk further escalations driving prices higher. We have seen during previous conflicts that prices can rise sharply, and it can take some time for the fear-based pricing to dissipate from the market.

If your business is looking for advice on how to handle any upcoming renewals or energy purchases, contact us today for free, expert advice.

2024 Review

Fri, 27 Mar 2026 13:18:10 GMT

In a year that began with falling energy prices, there were recurring catalysts that led to prices climbing steadily higher. Geopolitical uncertainty and the perennial threat of escalating conflicts meant fear would maintain a constant presence in the wholesale markets. We will look back at the key energy stories from 2024, and how the energy markets are likely to shape up in 2025.

Quarter 1

The year began with cautious optimism as the UK’s gas reserve levels were healthy and prices for the Summer’24 season were in freefall. In February, prices pulled back to their lowest levels since 2021, and for the first time in a while, we identified that there was greater potential for upside risk than for further downward price movement:
“ there now (exists) an asymmetrical element of risk should the market encounter a supply-side problem of significance. ”

During February we had advised customers on flexible contracts that this was an ideal time for making purchases.

March would see prices begin to ascend again as international conflict would create problems with LNG imports, and we would highlight the geopolitical risks as an area for concern moving forwards:
“ fears remain and there are potential negative catalysts that could lead to prices rising further, with the main factors to watch out for being based on geopolitical unrest. “

For a business that purchases their energy in advance, this quarter was the optimal time for purchasing during 2024. In February, electricity prices for Winter’25 were down to 7.75p/Kwh, and as low as 6.05p/Kwh for Summer’25. Winter’25 ended the year with prices above 11.1p/Kwh, with Summer’25 prices exceeding 9p/Kwh.

For a company that uses 500,000Kwh of electricity per month, the difference between buying at the February low point compared to today’s prices would represent a yearly saving of over £200,000.

Quarter 2

A colder-than-forecast April, combined with Norwegian gas production outages, led to prices continuing to rise. The disruptions to gas supply from Norway would be a prominent factor in price rises throughout the quarter as the threat of global conflicts disrupting LNG supplies further impacted the supply-side of the market.

In May, we highlighted the impact that global conflicts could have on energy prices:
“ news out of the Middle East should be watched closely, as further disruptions to imports from Qatar could see prices rise further .”

Prices continued to rise in June as concerns regarding these conflicts escalated.

Gas reserve levels remained high but the UK’s reliance on imports led to fears in the energy markets, and this harmed businesses with high-energy consumption more than anybody else. While prices kept increasing it became more important for businesses to take necessary steps in reducing their consumption. To aid with this, we released our guide on helping manufacturing businesses lower their energy consumption and keep costs low: SeeMore Energy - Giving businesses that 'Lightbulb' moment...

Quarter 3

It had seemed as though prices were set to drop as we entered the second half of the year, but Hurricane Beryl hitting the Freeport LNG plant in the US and Iran being dragged into conflict in the Middle East put a halt to any optimism.

In July, we had seen the risk posed by upcoming outages at Norwegian gas fields:
“ A potential problem that could impact prices in August is the Norwegian gas fields scheduled maintenance ”.

This would prove to be a factor behind price rises over the following 6 weeks as other factors would limit alternative sources of supply: In addition to these issues, Russian and Ukrainian forces would clash near the Sudzha gas metering station creating concerns about energy security in the region. While heatwaves in East Asia were causing countries in the region to purchase more LNG than expected, increasing competition and prices in the global gas market.

By the end of September we were reflecting on price movement for the remainder of the year, and when we could expect energy prices to come down:
“ While prices may be set to go higher on the news of further conflicts, there are reasons to be optimistic about the direction of energy prices beyond the coming winter. In 2025 we should see more LNG available to the market as new supplies ”

For a business that consumes 1,000,000Kwh of electricity during the Winter’24 period, purchasing at the time we had recommended in February (when prices were 6.85p/Kwh), compared to the peak price of August’24 (when prices hit 11.12p/Kwh), would represent an over £30,000 saving just for the winter period. Further highlighting the importance of timing purchases and how negotiating energy contracts at the right time can lead to significant savings.

Quarter 4

In the final quarter of the year the story of the ceasing Russian gas supply to Europe took prominence. Any hopes of the contract that expired on December 31st 2024 being renewed or a workaround being found faded as Ukraine refused to change their stance, despite increasing pressure from Slovakia.

Donald Trump’s election victory in the US opened up the prospect of increased US LNG exports from early 2025, but the more immediate threat of a colder than expected winter caused prices to continue rising.

In November we recommended that those with contracts due for renewal in 2025 try to hold off as long as possible as the supply picture would improve in the new year.

Outlook

The prices for electricity for the period of Winter’25 ended the year over 50% higher than they had been during the February low -- in spite of many fundamentals in the market being similar to this time. The threats of global conflict, erratic weather, and uncertainty about short-term gas supplies have kept wholesale prices high. However, with prices for future years being priced significantly below the current levels, this suggests that prices are set to drop in the near future.

As we move into 2025, it will be important to monitor the UK’s gas reserve levels as increasingly cold temperatures could cause short-term prices spikes. However, with Asia no longer in the midst of a heatwave and US LNG exports expected to ramp up quickly, the supply-side of the market should be more positive than it was for the bulk of 2024.

Global conflicts remain an X-factor, but with Europe no longer reliant upon Russian supplies this should have less of an impact than in recent years.

It seems likely that after the current winter there will be short-term buying to replenish the reserves, but once this is completed, we should see prices begin to steadily decline, and 2025 should see prices drop below the levels we saw in the 2nd half of 2024.

If your business requires advice with its energy procurement, management, or planning, then don’t hesitate to contact Seemore Energy to speak to experienced advisors who can help you with bespoke strategies and advice that is tailored to your needs.

Shaping Metal, Cutting Costs

Fri, 27 Mar 2026 12:59:02 GMT

Shaping Metal, Cutting Costs

Having worked closely with metal fabrication companies, we know that in the world of metal fabrication, keeping up with demand and tight margins can be a constant struggle. While traditional cost-cutting tactics like negotiating per-part prices might seem appealing, they often overlook bigger-picture savings, including those related to energy consumption. In this article we look at how to get the most out of working with metal fabricators, and what measures metal fabrication companies can take to help keep costs low.

Strategies for Long-Term Savings with Energy Efficiency in Mind

Here are key strategies to adopt a cost-avoidance mentality in metal fabrication, while keeping an eye on your energy bill:

Early Design Choices: By exploring designs that minimise material usage and optimise production processes, you can reduce the overall energy required for fabrication.

Exploring Alternative Production Methods: While upfront costs for processes like roll forming might seem high, they can be well worth it for high-volume production runs, especially if they involve less energy-intensive processes compared to traditional methods. Evaluating long-term cost-per-unit reductions, including energy consumption, can help justify the initial investment.

Tooling Cost Amortisation: Partnering with a fabricator offering tooling cost amortisation allows you to spread the investment over time, minimising the immediate financial burden. This facilitates adopting high-volume production solutions without impacting cash flow, potentially leading to less energy-intensive production runs.

Optimising Inventory Management: Holding excess inventory not only ties up capital but also incurs storage and labour costs, and often requires additional energy for climate control. Consider outsourcing inventory management or implementing just-in-time delivery systems to ensure a steady supply without unnecessary inventory costs and the associated energy consumption for storage.

Smart Scheduling for Energy Savings: Many energy providers offer time-of-use billing, where electricity costs fluctuate depending on peak demand periods. Work with your metal fabrication partner to explore scheduling production runs during off-peak hours to take advantage of lower electricity rates. This can significantly reduce your overall energy expenditure.

The Power of Strategic Partnerships with a Focus on Energy Efficiency

Beyond cost-per-part negotiations, metal fabrication sourcing can be a springboard for building sustainable supplier relationships with a focus on energy efficiency. Partnering with the right metal fabricator can unlock significant cost savings and efficiency gains, including reductions in energy consumption. Here's how:

Access to Advanced, Energy-Efficient Technology: Partnering with a fabricator that invests in cutting-edge, energy-efficient equipment and processes allows you to leverage their technology without the upfront investment. This can lead to improved product quality, reduced material waste, faster production times, and lower energy consumption. Look for fabricators that utilise technologies like LED lighting, variable-speed drives on motors, and efficient heating and cooling systems.

Streamlined Production Processes with Energy Savings in Mind: The right fabrication partner can analyse your needs and suggest alternative materials, processes, or even design changes that optimise production efficiency, reduce costs, and minimise energy consumption. For example, they may recommend using lighter weight materials or processes that require less heat.

Inventory Management Solutions with Reduced Energy Footprint: Working with a partner who offers just-in-time inventory management systems can eliminate the need for your own storage facilities and personnel, freeing up valuable resources and potentially reducing your energy footprint.

By adopting a cost-avoidance approach, building strategic partnerships with a focus on energy efficiency, and implementing smart scheduling practices, metal fabrication companies can move beyond short-term savings and achieve long-term financial benefits. This proactive strategy not only reduces costs but also encourages innovation, enhances product quality, and improves overall competitiveness.

For metal fabrication companies looking to reduce their energy spend, a trusted energy broker can be a valuable asset. A broker or energy advisor can help to navigate unit rates and types of contract, identify energy-efficient equipment and practices, and connect them with resources to optimise their energy consumption. Resources such as our free Guide to Lowering Energy Costs for Manufacturing companies ( https://www.seemoreenergy.co.uk/manufacturing-lower-costs-guide ).

If your business requires any further advice with its energy procurement, management, or planning, then don’t hesitate to contact Seemore Energy to speak to experienced advisors who can help you with bespoke strategies and advice that is tailored to your needs.

The Take or Pay Clause

Wed, 25 Mar 2026 14:13:24 GMT

For many UK businesses, energy contracts can contain complex terms that aren’t always fully understood at the point of signing. One clause that often raises questions, is the take or pay clause . Understanding how this works is essential for avoiding unexpected costs and managing your energy procurement effectively.

What is a take or pay clause?

A take or pay clause is a contractual provision that requires a business to pay for a minimum level of energy consumption, regardless of whether that energy is actually used. In simple terms, you agree to “take” a certain volume of gas or electricity, or “pay” for it anyway.

This clause is most commonly found in fixed energy contracts , particularly for larger commercial or industrial users, where suppliers price agreements based on forecasted consumption.

How does it work in practice?

When entering into a contract, your supplier will estimate your annual consumption based on historical usage data. This forms the basis of your agreed volume. The take or pay clause then sets a tolerance band -- often around 80–120% of expected usage.

If your business consumes within this range, everything operates as expected. However, if your usage falls below the lower threshold, you may be charged for the shortfall. This means paying for energy you haven’t used.

On the flip side, if you exceed the upper limit, additional units may be charged at a higher, non-contracted rate.

Why do suppliers include take or pay clauses?

Suppliers use take or pay clauses to manage risk. When they agree a fixed contract with your business, they typically purchase energy in advance based on your forecasted demand. If your usage drops significantly, they are left with surplus energy that must be resold -- often at a loss.

The clause ensures that suppliers can recover these costs, which in turn allows them to offer more competitive pricing upfront.

What are the risks for businesses?

The main risk is overestimating your energy usage. If your operations change, you could fall below your contracted volume and face additional charges.

There is also a financial planning risk. Businesses may believe they have secured a competitive rate, only to find that under-consumption penalties increase their effective cost per unit.

How can you manage take or pay risk?

The key to managing this clause is accurate forecasting and contract alignment. Reviewing historical consumption data, understanding operational changes, and factoring in growth or reduction plans are all critical steps before agreeing a contract.

It’s also important to negotiate appropriate tolerance levels. Some suppliers offer more flexible bands, which can reduce the risk of penalties if your usage fluctuates.

Regular monitoring throughout the contract is equally important. Identifying trends early allows you to take action.

How an energy broker can help

Take or pay clauses are a prime example of why energy procurement should go beyond simply comparing prices. At SeeMore Energy, we help businesses understand the full terms of their contracts -- not just the headline rates.

We work with you to ensure your consumption forecasts are realistic, negotiate favourable contract terms, and match you with suppliers whose products align with your business profile.

If you’re unsure whether your current contract includes a take or pay clause, or want to avoid unexpected costs in your next agreement, get in touch for a free, no-obligation review.

Gas and Electricity Procurement: A Guide to Flexible Energy Contracts

Tue, 24 Mar 2026 13:20:48 GMT

With energy markets continuing to shift, many UK businesses are moving beyond traditional fixed contracts and exploring more dynamic procurement strategies. Flexible energy contracts -- often referred to as “flex procurement” -- offer a more strategic approach to buying gas and electricity, allowing businesses to engage with the market over time rather than locking in a single price.

But how do flexible contracts work, and are they the right fit for your business?

What is flexible energy procurement?

Flexible energy procurement allows businesses to purchase their energy in multiple tranches, rather than fixing 100% of their volume at one point in time. Instead of committing to a single unit rate , your energy is bought in stages.

This approach is typically used by larger energy users as there are minimum sizes that must be purchased, but it is becoming increasingly accessible to a wider range of organisations. There is also the option of multiple smaller users creating a basket so they can purchase together.

How do flexible contracts work?

Under a flexible contract, your total energy requirement is forecast in advance. You (or your broker) then purchase portions of that volume at different times throughout the contract period. This could be based on market opportunities, risk strategies, or predefined buying windows.

Some contracts offer full flexibility, where buying decisions are actively managed, while others provide a more structured approach -- sometimes referred to as “flex-lite” -- which blends flexibility with elements of price certainty.

At the end of the buying window, any unpurchased volume is typically “shaped” or bought automatically, ensuring your total demand is covered.

The benefits of flexible contracts

The key advantage of flex procurement is the ability to manage risk and a likelihood of achieving a lower average unit rate. By spreading purchases, businesses can avoid locking in all their energy at a market peak.

Flexible contracts also provide greater control. You can respond to market trends, adjust your purchasing strategy, and take advantage of dips in wholesale prices.

For organisations with the right strategy in place, this approach can deliver significant long-term savings compared to traditional fixed contracts.

The potential drawbacks

Flexibility comes with increased complexity. Monitoring the market, deciding when to buy, and managing risk requires time, expertise, and a clear strategy.

There is also an element of exposure. If the market rises consistently, a flexible strategy could result in higher overall costs compared to fixing early.

Many businesses lack the expertise required to make informed decisions in-house, and having a trusted energy partner can be essential for the flex purchase management .

How an energy broker can help

Flexible procurement is not a “set and forget” solution. It requires active management and market insight. This is where an experienced energy broker becomes invaluable.

At SeeMore Energy, we support businesses through every stage of the flex procurement process. From selecting the right contract structure to developing and executing a tailored buying strategy, we ensure your energy purchasing is aligned with your commercial objectives.

We monitor the market on your behalf, provide clear recommendations, regular reports, and help you make informed buying decisions -- the need for in-house expertise.

If you’re considering a more strategic approach to energy procurement – or looking for assistance in managing an existing flex contract -- get in touch today for a free, no-obligation market review. We’ll help you determine whether flexible contracts are right for your business --and how to make them work effectively.

Gas and Electricity Procurement: A Guide to Fixed Energy Contracts

Mon, 23 Mar 2026 13:22:37 GMT

For many British businesses, energy procurement is one of the most important, yet often overlooked, areas of cost control. With markets remaining volatile, fixed energy contracts continue to be one of the most popular strategies for managing gas and electricity costs. But what exactly is fixed procurement, and is it right for your business?

What is fixed energy procurement?

Fixed energy procurement refers to securing your gas and electricity supply at a set unit rate , and often standing charge , for a defined period -- typically between 1 and 4 years. This means your business pays the same price per kWh regardless of fluctuations in wholesale energy markets.

For businesses seeking stability and predictability, fixed contracts provide a clear and structured approach to energy procurement.

The benefits of fixed contracts

The primary advantage of a fixed contract is price certainty. In an unpredictable market, locking in rates protects your business from sudden price spikes. This allows for more accurate budgeting and removes the risk of being exposed to short-term volatility.

Fixed contracts are also simple to manage. With a set rate agreed upfront, there’s no need to track wholesale markets or make frequent purchasing decisions. This makes them particularly attractive for businesses without dedicated energy management resources.

If you can time your renewal well, fixed contracts can also give a competitive advantage. If you lock a price in and the market goes up, this means many competitors will end up paying higher unit rates for their energy. However, this can involve some luck with timing and is somewhat restricted by contract end dates.

The potential drawbacks

While fixed contracts offer stability, they also come with trade-offs. The most notable is the inability to benefit from falling market prices. If wholesale costs drop after you’ve locked in, your business remains committed to the agreed rate.

There may also be less flexibility. Fixed contracts typically involve longer commitments, and exiting early can result in significant termination fees.

Finally, timing is critical. Locking in at the wrong point in the market cycle can mean missing out on more competitive rates later. This is why having a clear procurement strategy is essential.

How the procurement process works

The process of securing a fixed energy contract starts with gathering accurate consumption data . This includes your MPAN (electricity), MPRN (gas), annual usage , and current contract details.

From there, suppliers are approached to provide quotes based on your business profile and preferred contract length. These quotes must be carefully compared on a like-for-like basis, taking into account unit rates, standing charges, and any additional costs.

Once the most suitable option is identified, contracts are agreed and secured -- often within a limited timeframe, as supplier prices can change daily in line with the market.

How an energy broker can help

Navigating the energy procurement process alone can be time-consuming and complex. That’s where an experienced energy broker adds real value .

At SeeMore Energy, we manage the entire procurement process on your behalf. From data collection and market engagement to supplier comparison and contract placement. We work with a wide range of UK suppliers, allowing us to identify not just the cheapest option, but the most appropriate contract for your business .

We also provide insight into market timing, helping you decide when to fix your rates, and which contract structure best aligns with your risk appetite.

If you’re approaching renewal or want to explore your options, get in touch today for a free, no-obligation market review. We’ll help you secure the right fixed energy contract -- saving you time, reducing risk, and ensuring that you stay in control of your energy costs.

Should I use an energy broker/partner?

Wed, 18 Mar 2026 06:17:04 GMT

Should I Use an Energy Broker/Partner?

With energy markets becoming increasingly complex and volatile, many UK businesses are asking the same question: is it worth using an energy broker/ partner?

While it’s possible to manage energy procurement and administration in-house, doing so effectively requires time, expertise, and constant market awareness. For many organisations, working with a specialist partner can unlock significant savings and remove a substantial administrative burden.

Smarter Procurement and Market Timing

One of the primary reasons businesses engage an energy broker is procurement . Securing a competitive contract is about far more than simply comparing prices at renewal.

A competent energy broker will monitor wholesale markets daily, advise on the best time to contract, provide access to a wide range of suppliers and contract structures, and tailor strategies based on your budgetary needs.

This dedicated market insight can help businesses avoid locking into contracts during market peaks and instead secure energy when conditions are more favourable.

Invoice Validation: Are You Being Overcharged?

Energy billing is notoriously complex, and errors are more common than many businesses realise. Without proper scrutiny, overcharges can go unnoticed for months or even years.

A good energy partner will validate invoices against contract terms allowing them to identify incorrect charges or discrepancies. They will then contact your supplier to recover historical overpayments ensuring that you haven’t paid more than necessary and your team don’t have to use their time in dealing with suppliers.

This ongoing oversight ensures you only ever pay what you should, not what you’re billed.

Support with Suppliers, DNOs and Disputes

Dealing with energy suppliers and network operators can be time-consuming and, at times, frustrating. Whether it’s billing disputes, contract queries, or technical issues, having expert support can make a significant difference.

An experienced broker can act as a single point of contact for suppliers, liaise with Distribution Network Operators (DNOs) , and support escalations -- including cases taken to the Energy Ombudsman.

This not only saves time, but by having a team familiar with supplier’s SLAs, it ensures that issues are handled efficiently and with the right level of expertise.

Specialist Cost Reduction Knowledge

Beyond procurement, there are a number of technical areas where businesses can reduce costs, many of which are often overlooked.

These include:

kVA capacity reviews to ensure you’re not overpaying for unused capacity
TCR banding optimisation , which can significantly impact network charges
Identifying opportunities to reduce consumption or shift usage patterns

Without specialist knowledge, these areas are easy to miss, but -- with the right guidance -- they can deliver meaningful savings without any operational disruption.

Is It the Right Choice for Your Business?

For smaller businesses with limited time and resource, an energy broker can provide immediate value. For larger organisations with complex portfolios, the benefits are often even greater -- particularly when it comes to validation, optimisation, and strategic planning.

By having experienced external support, a business can feel confident that their energy spend is being scrutinised and managed with the correct level of attention, without having to divert the focus of employees whose time could be better spent in other areas.

Take Control of Your Energy Strategy

At SeeMore Energy, we work as a true partner to our clients. By combining market expertise, technical insight, and ongoing support, we help businesses reduce costs and stay in control of their energy strategy.

From procurement and invoice validation to kVA reviews and dispute management, we ensure every aspect of your energy is working as efficiently as possible.

If you’re unsure whether you’re getting the best deal -- or simply want peace of mind -- get in touch today. Our expert team will help you identify savings, reduce risk, and take control of your energy costs.

Who Are The Best Energy Suppliers for UK Businesses?

Mon, 16 Mar 2026 06:22:25 GMT

For UK businesses, energy is often one of the largest operating costs. With prices remaining volatile in recent years, choosing the right supplier has become more important than ever. While many businesses focus primarily on price, the “best” supplier is rarely defined by cost alone. Instead, the most suitable supplier is one that offers a balance of competitive pricing, reliability, strong customer service, and the flexibility to accommodate the specific needs of a business.

Reliability and financial stability

One of the most important factors to consider when selecting an energy supplier is reliability. Businesses require confidence that their supplier will continue operating throughout the duration of the contract and can manage market volatility without disruption.

The UK energy market has seen a number of supplier failures in recent years, particularly during periods of high wholesale prices. When a supplier fails , customers are typically transferred to another provider under industry arrangements, but this can create uncertainty and administrative challenges. As a result, many businesses prefer suppliers with a strong financial position and a proven track record in the commercial energy market.

Competitive pricing and contract structure

Price will always play a major role when businesses evaluate suppliers. However, it is important to look beyond the headline unit rate and understand the overall structure of the contract.

Different suppliers may structure contracts in slightly different ways, including how they treat standing charges , non-commodity costs , and pass-through elements such as network charges or policy levies . Businesses should ensure they understand what is fixed within the contract and what could change over time.

Some suppliers are better suited to particular procurement strategies. For example, some businesses may prefer fully fixed contracts for price certainty, while others may benefit from more flexible purchasing approaches that allow energy to be bought in stages.

Customer service and account management

Another key differentiator between suppliers is the level of customer service they provide. For many businesses, the ability to quickly resolve billing issues, obtain accurate usage data, or speak to a knowledgeable account manager can be just as important as the contract price.

Suppliers with strong commercial support teams and dedicated account managers often provide a smoother experience for businesses, particularly those with multiple sites or complex energy requirements. Good customer service can also make a significant difference when dealing with contract renewals, billing queries, or meter-related issues.

Flexibility to support business needs

Flexibility is another important factor that is sometimes overlooked when comparing suppliers. Businesses with multiple locations, for example, may prefer suppliers that are willing to align billing arrangements across a portfolio of sites. This could include providing the same invoice date for all locations, consolidating billing where possible, or accommodating specific administrative requirements.

Similarly, some suppliers are more willing than others to tailor contracts around operational needs, such as managing new site additions, handling meter upgrades, or adapting to changes in energy usage.

Taking a balanced approach

Ultimately, there is no single supplier that will be the “best” choice for every business. The right supplier will depend on factors such as the size of the organisation, the number of sites involved, the preferred procurement strategy, and the level of service required.

By assessing suppliers across reliability, price competitiveness, customer support, and operational flexibility, businesses can make more informed decisions and ensure their energy supply arrangements support both their operational needs and their long-term cost management strategy.

If you would like us to conduct a free market review on your behalf to see what rates are currently available and who different suppliers compare, contact us today and we can help see which supplier will be best for your needs.

February 2026 Review

Mon, 02 Mar 2026 07:24:49 GMT

February 2026 Review

When writing monthly reviews, I research and make notes throughout the month that allow the final writing process to be straightforward, with all key points already in place. For this month, almost all of my notes had to be torn up and thrown away on the final day of February when the US declared war on Iran. It is rare that one story has the ability to cause a seismic shift of such magnitude that all other news affecting energy prices seem irrelevant by comparison, but – for the first time since the Russia-Ukraine conflict began – we have a geopolitical event of that level.

Electricity prices for the Summer’26 season had dropped as low as £65.66/MWh in mid-February, but opened up at £79.70/MWh this morning, showing an over 20% increase from this low point. Meanwhile, wholesale UK gas prices are trading 25% higher than when the market closed on Friday. For a business set to consume 10,000MWh of electricity during the summer, this represents a price increase of over £140,000 when comparing today’s price to the February low point.

The month had begun with falling wholesale prices. With weather for the end of February being forecast at levels below seasonal averages and US LNG export levels expected to show a significant increase from the beginning of March, worries surrounding low gas reserve levels were fading and there was an optimism that prices could drop further.

Throughout the month there were brief spikes in the wholesale energy prices when fears of conflict increased, but these spikes were short-lived. As peace-talks progressed there was a growing optimism that military action could be avoided and a diplomatic solution could be reached. Less than 24 hours before the US launched strikes against Iran, it had seemed that a key point of agreement had been achieved when Iran agreed to the demand of not stockpiling Uranium. Whilst this had been a key talking point from the US/Israeli side of negotiations, in hindsight it appears as though this was never the real issue, with Iranian nuclear capability being a prolific headline generator, but not the true cause of their desire for conflict. The US and Israel have been pushing hard for regime change, and it seems like nothing short of this will end any military action.

In the immediate aftermath of the US striking Iran, the Strait of Hormuz has been closed as a shipping route. This will limit the LNG that the UK can receive from Qatar. To contextualise the importance of this, when Russian gas exports to the UK were halted in 2021 wholesale gas prices peaked at 8x their previous levels and were largely above 2x the recent highpoints for a period of 14 months.

The UK imports over 3x as much LNG from Qatar now than it did from Russia in 2021. As such, any sustained disruption to supply could cause catastrophic price increases.

There are 2 ways this can be avoided:

1. Making up the Qatari LNG shortfall through alternative sources

2. A quick resolution to the conflict

The US is producing notably higher levels of LNG than back in 2021 and has a new supply (Golden Pass) commencing production this week. However, the global LNG market is expected to become more competitive with disruptions to shipping from the Middle East, and prices will rise.

Whilst President Trump has optimistically stated he believes operations should be concluded within 4 weeks, historically, US attempts at regime change in the Middle East don’t always go to plan. Airstrikes alone will be unlikely to achieve US/Israeli goals, and even after key personnel and targets have been eliminated there is a high likelihood of insurgency threats continuing. Exactly how this type of threat will impact shipping routes is unclear and will need to be monitored closely.

Where Does My Energy Come From?

Tue, 24 Feb 2026 06:29:35 GMT

Where Does My Energy Come From?

It’s a simple question, but the answer is more complex than many businesses realise.

When you flick a switch or power up your operations, the electricity and gas you use is the end product of a vast, interconnected system of generation, infrastructure, global markets and regulation. Understanding where your energy comes from isn’t just a curiosity, it’s commercially relevant.

Electricity: A Real-Time Balancing Act

In the UK, electricity is generated from a mix of sources. The primary contributors today include:

Gas-fired power stations
Wind (onshore and offshore)
Nuclear
Solar
Interconnectors importing power from Europe

Unlike gas, electricity must be generated and consumed in real time. Supply and demand are constantly balanced by the system operator, ensuring the grid remains stable. If supply ever falls short, then prices can spike. In recent years, numerous grid updates have taken place to ensure that renewable energy can be added to the grid and quickly transported.

While many businesses purchase “renewable” tariffs, this doesn’t mean the electricity you receive was generated by renewable sources. Electricity on the grid is pooled, so you don’t receive electrons directly from a specific wind farm. Instead, suppliers match your usage with renewable generation certificates (REGOs), demonstrating that an equivalent amount of green power has been produced.

For larger energy users, the mix of generation matters because it directly impacts wholesale pricing. An evening with low wind output, for example, can significantly increase reliance on gas-fired generation, therefore increasing exposure to the wholesale price of gas.

Gas: A Global Commodity

Gas plays two roles in the UK energy system: Heating homes and businesses directly, and fuelling many power stations that generate electricity.

The UK produces some natural gas domestically from the North Sea, but production has declined over the years. Today, a significant proportion of supply is imported via:

Pipelines from Norway
Liquefied Natural Gas (LNG) shipments – particularly from Qatar and the US
Interconnectors from continental Europe

Because gas is traded globally, UK prices are influenced by international supply and demand dynamics. Events in Europe, Asia or the US can directly affect what UK businesses pay. This means geopolitical events such as the threat of war in the Middle East can cause prices to rise sharply .

Renewables and the Energy Transition

The UK’s generation mix has changed dramatically over the past decade. Coal has been phased out, while wind and solar capacity have grown significantly.

This shift brings both opportunity and volatility. Renewable generation lowers carbon intensity and reduces exposure to fuel imports. However, because wind and solar output depend on weather conditions, short-term price fluctuations have become more pronounced.

For businesses with flexible procurement strategies , understanding this dynamic can create opportunities to secure more competitive pricing.

Why It Matters for Your Procurement Strategy

Where your energy comes from can influence many other aspects of your energy strategy, including:

Wholesale market pricing
Carbon reporting obligations
Contract structures
Long-term risk exposure

Understanding where your energy comes from has never been more important for UK businesses.

If you want to understand how the current generation mix and global gas markets are affecting your upcoming renewals, SeeMore Energy can help you interpret the landscape and see what options are currently available for you.

How Do I Find Out Who Is My Energy Supplier?

Mon, 23 Feb 2026 13:30:10 GMT

This is a surprisingly common question, particularly if you’ve just moved into a new property, taken over an existing site, or inherited responsibility for energy procurement.

If you don’t know who supplies your electricity or gas, don’t worry. There are clear steps you can take to find out quickly and avoid unnecessary delays, billing issues, or out-of-contract rates.

1. Check Recent Bills or Tenancy Documents

If the property has been occupied recently, the simplest place to start is with a previous energy bill. This will confirm:

The supplier name
Your account number
The supply address
Your MPAN (electricity) or MPRN (gas)

If you’ve just moved in, your landlord, managing agent, or outgoing tenant may also be able to confirm the supplier.

2. Use the National Databases

If no bills are available, you can use the industry’s central databases.

For electricity, contact your local Distribution Network Operator (DNO). In England, Scotland and Wales, you can find your DNO via the Energy Networks Association website . They can confirm your current electricity supplier and provide your MPAN.

For gas, you can contact the Meter Point Administration Service (MPAS) via the Xoserve database, or use the find my supplier tool.

These services are free and typically provide confirmation immediately.

3. Contact the Meter Operator

In some cases, particularly with larger commercial sites, your appointed meter operator may be able to confirm the registered supplier. This is more common where contracts have been arranged historically through brokers or third parties. Common meter operators include IMServ, Npower, and Stark.

4. Act Quickly to Avoid Out-of-Contract Rates

If you’ve taken over a site and haven’t agreed a contract, you could be placed on deemed or out-of-contract rates . These are usually significantly higher than negotiated market rates.

Confirming your supplier allows you to:

Request historic consumption data
Understand your current contract status
Avoid unexpected charges
Begin procurement discussions

Why It Matters

Knowing your supplier isn’t just administrative, it’s commercially important. Without clarity on who supplies your energy, you can’t properly review your costs, assess renewal timing, or manage market exposure.

If you’re unsure where to start, or if you’ve identified your supplier but don’t know what contract you’re on, SeeMore Energy can help you interpret the position and plan your next steps with confidence.

Getting clarity is the first step towards controlling your energy strategy.

The Capacity Market: An untapped revenue source

Wed, 18 Feb 2026 13:57:17 GMT

The Capacity Market: An untapped revenue source

With wholesale markets volatile and network costs rising, many businesses are looking at strategies to reduce energy spend. In addition to lowering costs, there are ways that large consumers of energy can monetise their existing energy set up. By selling back unused capacity via the Capacity Market (CM), businesses can generate tens of thousands of pounds each year, without having to make any material changes to how they run their operations.

What is the Capacity Market?

The UK Capacity Market was introduced in 2014 to safeguard security of supply. The CM has two main objectives:

Incentivise new sources of generation that can prevent issues on the demand-side.
Provide a last-resort mechanism to prevent electricity shortages during times of system stress.

Administered by National Energy System Operator (NESO), the scheme pays providers for being available to deliver capacity during periods of system tightness. Businesses can receive payments, not for generating electricity, but for committing to reduce demand or increase supply if required.

Capacity is secured through annual auctions (one year ahead and four years ahead), which set a £/kW price.
Once contracted, participants receive an availability payment in return for meeting testing requirements and being ready to respond to a system stress event.
Since the CM’s inception, there has never been a full system stress event triggered. Although precautionary notices have been issued and subsequently stood down – normally within 2 hours of being issued.

How Can Businesses Make Money from It?

For many businesses, the opportunity lies in Demand Side Response (DSR).

If a business can demonstrate that it is capable of reducing load during a stress event -- even for just 30 minutes -- that reduction can be contracted into the Capacity Market.

The process for this is:

Historical half-hourly data is analysed to establish normal usage.
Periods where usage dropped materially (e.g. shutdowns, maintenance, early finishes, seasonal dips) are identified.
The difference between normal usage and the reduced period becomes the site’s deliverable capacity.
This capacity is aggregated with other businesses into a CM Unit (CMU) and entered into the auction.

Payments are then made quarterly in arrears for being available.

Current low estimates suggest prices of £29/kW can be achieved, while the upper estimates are around £55/kW.

Using a mid-point price, a company with 5 meters that can each spare 100kW of capacity each quarter, could receive £84,000 per year .

It should be noted that aggregators typically take a percentage of earnings in return for managing compliance, testing and portfolio balancing.

Crucially, most of the qualification and testing can be demonstrated using retrospective data, meaning businesses often don’t need to switch off equipment to pass initial tests.

The Risks and Benefits?

Benefits

An additional revenue stream without any expenditure required.
Payments for availability, not performance in normal operation.
Testing requirements are minimal (30-minute windows).

In practice, many businesses find they can meet obligations during planned shutdowns or natural usage variations without many changes being required.

Risks

The primary risk arises if a system stress event is declared and the contracted capacity is not delivered. In that scenario, payments for that period may be clawed back.

However:

Events require four hours’ notice.
They have never occurred since 2014.
Aggregators can balance underperformance across multiple CMUs.
Additional capacity can sometimes be traded to cover shortfalls.

Statistically, the likelihood of a full system stress event remains low and is widely cited to be below 1%.

It’s also worth noting that if such an event were triggered, the wider electricity system would likely already be under severe strain, potentially involving brownouts or emergency balancing actions.

Why Should Businesses Consider It?

The Capacity Market is not about shutting down production at random. It’s about monetising operational flexibility that already exists.

Many businesses:

Shut down over Christmas.
Reduce load during maintenance.
Run variable shift patterns.
Can isolate non-critical equipment.

If that flexibility exists, it can be turned into contracted revenue.

In an environment where margins are tight and procurement savings are harder to achieve, the CM represents a revenue stream that can hedge against rising fixed costs and give operational insights through the analysis of consumption data.

For businesses comfortable with measured, low-probability risk -- aided by the guidance of an experienced aggregator -- the Capacity Market can be a pragmatic and commercially attractive addition to their energy strategy.

If you already have flexibility in your operations, you may already be sitting on an untapped income stream. If you would like us and our aggregator partners to review your consumption data to see whether your business has the potential to receive £10,000s per year, contact us today, and we can set up a call to talk you through the process and see how much money your business could receive.

The Importance of Forecasting Annual Usage Before Procurement

Thu, 12 Feb 2026 06:35:56 GMT

Forecasting annual electricity and gas consumption is one of the most important -- and often underestimated -- stages of the procurement process. While timing the wholesale market and contract structure typically receive the most attention, the accuracy of the consumption forecast can have a large influence on overall energy costs. Suppliers price risk based on expected volumes, network charges are dictated by usage patterns, and internal budgets depend on accurate projections. Without a reliable forecast, organisations expose themselves to avoidable financial and contractual risk.

How Consumption Forecasting Works

Forecasting begins by analysing historical usage. Half-hourly electricity data, meter reads, and seasonal profiles provide a baseline that shows how a site behaves over time. This historical data is then adjusted to account for known changes, such as production increases, machinery upgrades, operational reductions, or energy efficiency projects.

For larger or more complex organisations, forecasting may involve modelling peak demand, load shape, and expected operational shifts across multiple sites. The aim is not simply to estimate an annual total, but to understand when and how energy will be consumed throughout the year. That detail becomes particularly important when selecting contract structures or assessing exposure to network charges.

How It Impacts Budgeting

Energy often represents a significant operational cost, particularly for manufacturers and other energy-intensive users. Accurate forecasting enables finance teams to build realistic budgets and avoid the shocks of unexpected costs.

Reliable forecasts also allow organisations to model different pricing scenarios. Understanding likely consumption enables comparison between fixed contracts and flexible purchasing strategies . It also supports long-term planning by quantifying the financial impact of operational changes or sustainability initiatives.

How Consumption and Capacity Changes Can Impact TCR Banding (and DUoS/TNUoS Costs)

Beyond wholesale costs, consumption levels influence network charges. Under the Targeted Charging Review (TCR) reforms, fixed charges -- such as TUOS and DUOS charges -- are now determined by banding structures rather than just usage. Changes in agreed capacity, peak demand, or consumption patterns can therefore shift a site into a different charging band.

If a business has made changes and are now consuming less than during their last TCR banding review, they may be paying more than they need to in TUOS and DUOS charges as their banding hasn’t been adjusted.

As well as annual usage, it is also important to review the kVA usage to ensure that the agreed capacity levels in the contract are not far above or below what is actually being consumed.

How Inaccurate Forecasts Can Harm Flex Customers

Flexible procurement strategies rely heavily on accurate volume forecasting. When suppliers execute trades, they do so against an expected consumption profile. If actual demand is different from that forecast, the purchased volumes may create a shortfall which then necessitates the need for further energy to be bought on the volatile Day Ahead market.

Whereas over-purchasing in a falling market can leave a customer over-hedged at higher prices. In both scenarios, the flex benefits of a structured, risk-managed market exposure is undermined.

How we can help

Accurate annual consumption forecasting underpins every successful energy procurement strategy. It informs contract selection, strengthens budgeting accuracy, reduces exposure to reconciliation and imbalance risk, and ensures network charges are properly managed. For flexible customers in particular, it is central to achieving the intended benefits of structured purchasing.

Forecasting should not be treated as a one-off exercise completed before contract signature, but as an essential process that is regularly reviewed and refined.

If your organisation needs assistance in checking that your energy forecasts, kVA capacities, and TCR bands are correct, contact us today. Our experienced team of energy experts can make sure your business aren’t paying a penny more than you have to.

Rising non-commodity costs

Thu, 05 Feb 2026 06:41:33 GMT

Rising TNUoS and DUOS charges

T.S Eliot once said that “April is the cruellest month” and in terms of the prices many businesses pay for their electricity, his quote is prophetically true. While he may not have envisioned rising TNUoS and DUoS costs being the reason for the starkness of the month, for many British businesses, the rise in non-commodity charges that take effect from April 1st will add unwanted and unneeded extra costs to their energy bills.

From the beginning of April, businesses across the UK will see significant increases in two major components of their energy bills: Distribution Use of System (DUoS) and Transmission Network Use of System (TNUoS) charges. These network charges are becoming an increasingly large part of business energy bills -- especially for companies that operate in energy-intensive industries.

DUoS & TNUoS, and Why They Matter

Both DUoS and TNUoS are network charges applied to electricity bills. As non-commodity charges, they are not related to the cost of energy itself:

DUoS charges cover the cost of running, maintaining and reinforcing local distribution networks that carry power to sites. They are paid as a standing charge (in p/day), a capacity charge (in p/kVA/month), and in red/amber/green unit rates – depending on the time of consumption.
TNUoS charges fund the high-voltage transmission network operated nationally. This is applied as a standing charge (in p/day).

For many businesses, these line items are already making up over a third of their total electricity costs .

How these charges change from April 1st 2026

TNUoS

The TNUoS rate that businesses pay is set by NESO (National Energy System Operator). How much a meter is charged per day is dependant on the assigned TCR band . For sites with lower expected consumption, they will be grouped in a lower band, whereas the largest consumers will be in the higher bands and they will be charged more.

With the change in charges, the lowest level of consumer will now be paying almost £700/year more in TNUoS standing charges. While the largest consumers will be paying over £650,000/year more.

DUoS

Unlike TNUoS costs, DUoS are not set nationally but by regional Distribution Network Operators. Whilst the % increases in DUoS charges are somewhat similar across the board, there are regional variations, so if you want to know the exact change in your DUoS costs, contact us, and we can calculate the exact difference.

DUoS charges for EHV meters are dependent on the MPAN and not the band. Let us know if you require assistance with checking the charges of your EHV meters.

What this means for British businesses

A mid-sized factory with a high-voltage connection could be looking at between a £26,000 - £107,000 increase regardless of changes in their consumption.

For businesses already dealing with tight margins, global supply chain pressures, and rising labour costs, these increases can have a big impact on profitability. Especially when -- for the majority of businesses (depending on the contract) -- they are applied automatically via supplier pass-through mechanisms.

What You Can Do Now

While network charges may seem uncontrollable, there are steps that businesses can take to mitigate their impact:

1. Assess your TCR banding. Many businesses are unknowingly placed in higher DUoS or TNUoS bands. A misclassification of bands could cost your business thousands every year. We can help you audit your current setup, see if changes can be made, and challenge incorrect allocations.

2. Review your kVA capacity. For many businesses, a kVA capacity review can save thousands per year and possibly move your meter into a lower TCR band

3. Explore demand flexibility and onsite generation. Where possible, shifting load to off-peak periods or investing in onsite renewable or storage solutions can reduce chargeable capacity and unit costs.

Network costs are no longer a small part of your energy bill. With DUoS and TNUoS costs rising sharply from April 1st, 2026 , businesses can act now to see what can be done to mitigate these charges.

We specialise in helping businesses navigate complex energy cost structures, optimise their billing, and put in place tailored strategies that help reduce energy spend. If you would like help with any of the issues mentioned in this article, contact us today to see how our team of experts can help you ahead of these rising charges.

January Review 2026

Sun, 01 Feb 2026 14:21:29 GMT

January began with a sense of optimism. The new year brought hopes that energy prices could soon return to levels not seen since 2021, wholesale prices were falling and large quantities of new LNG were scheduled to be available for import during 2026. However, events that transpired during the first 31 days of the year have caused prices to rise and have sent waves of fear throughout the energy markets.

The month began with a wave of cold weather leading to above-expected gas consumption. An Arctic blast combined with Storm Goretti brought temperatures down to below -10°C and led to gas power stations being needed to make up the shortfall, causing an uptick in wholesale gas prices.

While gas reserves were being used at an escalated rate to help meet the extra demand brought by this cold-spell, there appeared to be less of a direct relationship between gas reserve levels and the wholesale price. With LNG supplies being readily available, it seems as though reserve levels will cease to have as significant an impact upon the market.

The major driving force behind price rises this month came when speculation increased about the US taking military action against Iran. Any conflict would likely have an impact on the shipping route through the Strait of Homuz . With approximately 20% of the world’s oil and LNG passing through the strait, anything that could limit shipping access would lead prices to rise.

We saw this last year when there were fears of an extended conflict between Israel and Iran:

At that time, prices spiked before dropping back down to previous levels once hostilities ceased.

Whether the current posturing will lead to an extended conflict remains to be seen. With Qatar and Turkey offering to mediate peace-talks -- and with Saudi Arabia and the UAE refusing to aid the US in any attacks -- there are still hopes that the situation can be resolved without any further escalations. The next week will be pivotal in the process; the Iranian foreign minister began talks in Turkey at the end of last week there are hopes that further dialogue can reduce tensions.

As a result of these geopolitical tensions, prices for Summer’26 electricity rose by 15% from the January 5th monthly low. For a business set to consume 2,000 MWh of electricity during this time, this represents an increase of £16,000, with the potential that prices may rise further should there be any conflict escalations worsen.

Outlook

While earlier weather forecasts had suggested a milder-than-normal February, they have since been revised and it appears that the coming month will be colder than previously anticipated. With energy prices being less reliant on gas reserve levels, this may not cause a large price rise, but it will likely still have some impact.

Greenland has recently been a cause of disagreements between Europe and the US and there are fears that this point of contention could lead to tariffs being implemented by both sides. The UK has shown solidarity with Denmark and as such could be one of the 8 European countries that the US imposes sanctions against. With the UK currently importing LNG from the US, this would lead to an increase in energy prices. Although, the US Supreme Court are set to rule on the legality of Trump’s tariffs during February, which may lead to the issue being taken out of the President’s hands.

The main influence behind energy prices for the near future is likely to be the developments in the Middle East: whether conflict occurs, and whether it turns into a prolonged conflict that draws in neighbouring nations. If a non-violent resolution can be achieved in the near future, then it’s likely we see prices return to the levels seen in the first week of January. However, any military action will lead to prices rising further.

For those with contracts set for renewal in the next 6 months, now is a time where careful consideration needs to be given to renewal time. By obtaining quotes now, further prices rises caused by any conflicts can be avoided. With the market being highly volatile, heightened scrutiny is needed, and energy procurement strategies should be individually tailored to a business’ needs. If your business would like assistance in developing a procurement strategy to help guide you through these turbulent times, contact us today for no-obligation expert advice.

Understanding Weighted Average Price (WAP) in energy

Fri, 30 Jan 2026 06:53:59 GMT

What is the Weighted Average Price (WAP) in energy?

In the UK energy market, Weighted Average Price (WAP) refers to the average price paid for electricity or gas over a period of time, weighted by the volume bought at each price point. For those on flexible energy contract, the WAP represents what the unit rate will be when multiple purchases were made for the same period.

In other words, it answers the question: “What did we actually pay for our energy once all purchases and volumes are taken into account?”

This makes WAP far more meaningful than a simple average, especially in volatile markets.

How WAP works in practice

Energy prices move constantly. Businesses, particularly those on:

Flexible contracts
Basket or portfolio products
Pass-through arrangements

often buy energy in multiple tranches at different times and prices. For example:

40% of energy bought at 10.0p/kWh
30% bought at 12.0p/kWh
30% bought at 9.0p/kWh

The WAP reflects the price-weighted impact of each purchase, giving a single unit rate that reflectsthe real cost exposure.

Why WAP matters to UK businesses

1. It reflects real procurement performance

WAP shows how effective your buying strategy has been, not just whether the market went up or down, but how your timing and volumes performed.

2. It’s essential for budgeting and forecasting

Using WAP allows businesses to:

Accurately forecast energy spend
Compare performance year-on-year
Avoid misleading headline prices

This is especially important for manufacturers and high-consumption sites where small price differences materially impact costs.

WAP vs fixed prices

Fixed contracts : WAP is locked in at the point of contract
Flexible contracts : WAP evolves over time as more volume is bought

This means WAP can improve with smart market timing and deteriorate if exposure is unmanaged. For those on fixed contracts, it can be vital that portfolios are being managed by a person or group with experience and expertise in energy markets. Ultimately, the strategy of when and how much to buy is just as important as the market itself.

WAP as part of your purchasing strategy

Weighted Average Price is the truest reflection of what your business actually pays for energy. Understanding it is critical to controlling cost risk in volatile markets.

For larger SMEs and energy-intensive businesses, having a clear energy purchase strategy and having this strategy communicated through regular reporting can be vital for forecasting future energy costs.

If your business would like assistance with understanding the current state of your portfolio, or advice on purchasing and management strategies, contact us today to see how we can help lower your electricity and gas costs and help you See More of the hidden value in your energy portfolio.

Meter types explained: LV, HV, and EHV

Thu, 29 Jan 2026 06:57:52 GMT

For many businesses, electricity is treated as a fixed overhead -- something that cannot be changed. But in reality, how your site is connected to the electricity network can significantly influence what you pay , and many organisations are unknowingly on a setup that no longer suits their operations.

Whether your supply is Low Voltage (LV), High Voltage (HV) or Extra High Voltage (EHV) impacts network charges, flexibility, and future growth. Understanding the difference could be the key to reducing costs and avoiding any unpleasant surprises.

Low Voltage (LV)

Low Voltage (LV) supplies electricity at up to 1,000 volts and is the most common connection type for SMEs, offices, and retail units.

LV customers usually benefit from:

Straightforward billing
Lower DUOS standing charges
Minimal technical involvement

However, simplicity can mask inefficiency. As businesses grow, extend operating hours or add energy-intensive equipment, LV sites can find themselves paying disproportionately higher network charges as red and amber unit charges make up a higher percentage of the costs.

If your electricity costs have risen faster than your usage, your meter type could be part of the reason.

High Voltage (HV)

High Voltage (HV) connections operate between 1,000 and 22,000 volts and are typically used by manufacturers, large warehouses and energy-intensive commercial sites.

HV supplies bring:

Higher capacity charges
Greater exposure to kVA related costs
More detailed half-hourly consumption data

While this can appear daunting, it also creates opportunity. Businesses that understand how and when they use electricity can actively influence costs, often achieving savings that are simply unavailable at LV.

Many HV customers pay for more capacity than they need --or the wrong capacity altogether -- without realising it. Contact us today and we can conduct a kVA review that could potentially save £10,000s annually.

Extra High Voltage (EHV)

Extra High Voltage (EHV) applies to supplies above 22,000 volts and is reserved for the UK’s largest electricity users.

At EHV level:

Network charges are highly bespoke
Costs are closely linked to site-specific infrastructure
Small demand changes can have large financial impacts

For these businesses, electricity is not just a utility, it’s a strategic cost driver that requires ongoing oversight.

Without regular review and proactive management, EHV sites can sleepwalk into avoidable six-figure cost increases.

Why understanding meter type matters

Meter type determines:

How DUoS and other network charges are applied
How much control you have over peak costs
Whether your connection aligns with how your site actually operates today

Many businesses inherit their meter type and never question it, even when their operations change dramatically. These changes in how a meter operates can require reviews of kVA capacities, meter type, and TCR bands . All of which can help towards reducing energy spend.

How we help businesses take control

As an energy broker, our role goes far beyond securing competitive unit rates. We help businesses:

Understand whether their current meter type still fits
Identify inefficiencies hidden within network charges
Plan energy strategies that support growth, not restrict it

If you’d like to understand whether your LV, HV or EHV supply is working for your business, or quietly working against it, a no-obligation review could uncover meaningful savings and future-proof your energy strategy.

Balancing Services Use of System (BSUoS) charges

Wed, 28 Jan 2026 07:02:08 GMT

What are Balancing Services Use of System (BSUoS) charges?

Balancing Services Use of System (BSUoS) charges recover the cost of keeping the electricity system in balance in real time. Electricity must be generated and consumed at the same moment, and BSUoS funds the actions National Grid Electricity System Operator (NESO) takes to achieve this. These actions include:

Instructing generators to increase or decrease output
Paying for reserve and response services
Managing system constraints and frequency control

BSUoS is therefore not about building networks (like TNUoS or DUoS ), but about operating the system safely and securely second-by-second.

Who pays BSUoS charges?

Since April 2023, BSUoS costs have been recovered entirely from electricity demand rather than split between generators and suppliers.

In practice:

Suppliers pay BSUoS charges to the system operator
These costs are then passed through to all electricity consumers, including business customers
Most businesses see BSUoS as a pass-through charge in their supply contracts

Domestic customers also contribute, although the charge is typically embedded rather than itemised.

How do BSUoS charges work in practice?

BSUoS is charged on a per kWh basis, based on actual electricity consumption during each settlement period.

The BSUoS rate reflects the real-time cost of balancing the system, which can vary significantly depending on:

Weather conditions
Generator availability
Network constraints
Levels of intermittent renewable generation

Unlike DUoS or TNUoS, BSUoS is not location-specific. The same rate applies across Great Britain for each settlement period.

How much is BSUoS (and when are charges set)?

BSUoS charges are not fixed in advance. Instead, they are calculated using a forecast-and-reconciliation model. This means the amount originally charged can be reconciled after the fact once actual consumption data is available.

In p/kWh terms, BSUoS charges have varied widely in recent years, but for business customers they have typically fallen in the range of 0.6–1.6 p/kWh, with occasional spikes during periods of market volatility.

Because of this variability, BSUoS can be a driver of bill uncertainty for large and flexible users.

Why BSUoS matters for businesses

As the electricity system becomes more reliant on intermittent renewables, balancing actions are expected to increase. This means BSUoS is likely to remain a material and structurally important cost.

For sites with half-hourly metering, reducing consumption during system stress periods -- or using on-site generation and storage -- can help limit exposure, although BSUoS is generally less controllable than DUoS or TNUoS.

If you would like to ensure that your BSUoS charges are being invoiced correctly. Contact us today and we can review your recent invoices to make sure you aren't paying more than necessary.

Distribution Use of System (DUOS) charges

Wed, 28 Jan 2026 06:33:09 GMT

What are Distribution Use of System (DUoS) charges?

Distribution Use of System (DUoS) charges are fees paid for the operation, maintenance and reinforcement of Great Britain’s electricity distribution networks. These networks deliver electricity from the high-voltage transmission system to homes and businesses via lower-voltage local infrastructure.

DUoS charges are set and recovered by the Distribution Network Operators (DNOs), which include companies such as UK Power Networks, National Grid Electricity Distribution, and SSE Networks.

Who pays DUoS charges?

DUoS charges apply to all electricity customers, including domestic and business users. For most businesses, DUoS charges are recovered by the electricity supplier and passed through as a non-commodity network charge.

Larger sites connected at higher voltages (HV or EHV) face more complex DUoS tariffs, while smaller sites at low voltage (LV) typically pay lower rates that are embedded in their standing charges.

How do DUoS charges work in practice?

There are multiple types of DUoS charge:

DUoS Standing charge - charged as p/day similar to the traditional standing charge
DUoS Capacity charge - charged as p/kVA/month
Red/Amber/Green Unit charges - charges depending on when electricity is used.

With the Red, Amber, and Green charges, these are based on whether a unit of electricity is consumed during peak or off-peak network hours:

Red – the highest of the three charges occurs during peak network demand periods
Amber – is applied during intermediate demand periods
Green – the lowest of the three charges is for off-peak periods

With the capacity charge, this is based on the kVA capacity assigned by the DNO. This charge can be reduced by agreeing with the DNO to lower your kVA capacity. We recommend conducting regular kVA reviews to ensure you are not paying for capacity that you don't use. Contact us today if you would like assistance in conducting a kVA review and potentially saving £10,000s each year on your capacity charges.

How much is DUoS (and when are charges set)?

DUoS tariffs are set annually by each DNO and apply for the charging year from 1 April to 31 March. Rates vary significantly by region, voltage level and time of use.

For non-domestic customers, DUoS can range from 1–2 p/kWh at Low Voltage sites with limited exposure to red periods, or 3–6+ p/kWh (or higher) for High Voltage customers with heavy peak-time usage.

As a result of this variability, DUoS is often one of the largest and most volatile network charges on a business electricity bill.

Why DUoS matters for businesses

DUoS is one of the few bill components that businesses can actively influence. Shifting consumption away from red periods, optimising agreed capacity, or investing in on-site generation or storage can materially reduce costs.

DUoS optimisation can deliver immediate and recurring savings , making it a critical focus area in energy cost management.

If you would like to check if your capacity charges can be reduced, or that your DUoS charges are being invoiced correctly. Contact us today and we can review your recent invoices to make sure you aren't paying more than necessary.

Renewables Obligation (RO)

Mon, 26 Jan 2026 07:10:58 GMT

What is the Renewables Obligation (RO)?

The Renewables Obligation (RO) is a UK government policy introduced in 2002 to support renewable electricity generation.

Its objective was to increase the proportion of electricity supplied from renewable sources by placing a legal obligation on electricity suppliers.

Under the scheme, suppliers must present a set number of Renewables Obligation Certificates (ROCs) to Ofgem each year, based on the volume of electricity they supply to customers. ROCs are issued to operators of renewable electricity generating facilities, based on the amount of renewable energy generated.

The RO closed to new generation in March 2017, but it remains in force because accredited renewable generators continue to receive ROCs for up to 20 years. As a result, the scheme will continue to impact electricity bills well into the 2030s.

How do ROCs work in practice?

Renewable generators earn ROCs for the electricity they produce and sell those ROCs to suppliers, either bundled with power or separately. Suppliers then use ROCs to meet their annual obligation.

If a supplier does not present enough ROCs, it must instead pay a buy-out price per missing ROC to Ofgem. These buy-out payments are collected into a central fund and recycled back to suppliers that did present sufficient ROCs. This recycling mechanism increases the cost of non-compliance and underpins the value of ROCs.

Ultimately, suppliers recover these costs from customers through electricity bills.

Who pays the RO?

The RO is charged to all electricity consumers, with the cost passed through by suppliers as a non-commodity levy. For most business customers, it appears as a separate line item rather than being included in the wholesale unit rate.

Certain Energy Intensive Industries (EIIs) may qualify for partial or full exemptions , subject to meeting eligibility thresholds and submitting approved applications.

How much is the RO ?

RO charges are revised annually for each obligation year, which runs from 1 April to 31 March. The buy-out price is linked to inflation, meaning RO costs generally rise over time.

In p/kWh terms, the RO typically equates to around 2.5–3.5 p/kWh for business electricity customers in recent years, depending on the obligation level, recycling outcome and supplier methodology.

This makes it one of the largest policy costs on a UK electricity bill.

Because the final cost is only confirmed after the obligation year ends, suppliers must forecast RO charges in advance. This makes transparency and reconciliation particularly important for larger energy users.

If you would like to ensure your RO charges have been invoiced correctly. Contact us today and we can review your recent invoices to make sure you aren't paying more than necessary.

Contracts for Difference (CfDs)

Mon, 26 Jan 2026 07:07:30 GMT

What are Contracts for Difference (CfDs)?

Contracts for Difference (CfDs) are the UK government’s primary mechanism for funding new low-carbon electricity generation. Introduced in 2014 under Electricity Market Reform, CfDs replaced the Renewables Obligation for new projects and are designed to provide price certainty for renewable and nuclear generators while protecting consumers from volatile wholesale prices.

A CfD is a contract between a low-carbon generator and the Low Carbon Contracts Company (LCCC), a government-owned entity. Under the contract, the generator is guaranteed a fixed price for the electricity it produces over a set period (typically 15 years).

How do CfDs work in practice?

CfDs operate through a payment mechanism linked to the wholesale electricity price, known as the reference price:

If the reference price is below the guaranteed price, the generator receives a top-up payment funded by electricity suppliers.
If the reference price is above the guaranteed price, the generator pays the difference back to the LCCC.

This structure adds stability for generators while ensuring consumers benefit from the extra revenue when wholesale prices are high. During the 2022–23 energy crisis, CfDs resulted in net payments flowing back to suppliers, significantly reducing policy costs on bills.

Suppliers fund CfD payments via a levy, which is then passed through to electricity customers.

Who pays the CfD levy?

The CfD levy is paid by licensed electricity suppliers and recovered from consumers as a non-commodity charge on electricity bills.

All business customers contribute unless they qualify for an exemption. Certain Energy Intensive Industries (EIIs) may be eligible for partial or full relief, depending on whether a business can meet the qualifying criteria and have their application approved.

Unlike wholesale costs, CfD charges are not influenced by site demand patterns and are therefore unavoidable for most customers.

How much is the CfD levy (and when is it revised)?

CfD charges are set on a forecast basis and reconciled after the delivery period. Once aquarter has finished and actual data is finalised, the LCCC calculates the true cost or surplus for that period.

If suppliers overpaid, a surplus is carried forward and future levy rates are reduced.
If suppliers underpaid, the shortfall is recovered in subsequent levy periods.

In p/kWh terms, CfD costs have historically ranged from around 0.3 to 1.0 p/kWh for non-domestic customers. However, this figure can fluctuate significantly depending on wholesale market conditions. In periods of high power prices, the levy can fall close to zero or even become net negative, reducing overall electricity costs.

Because CfDs are still expanding through successive allocation rounds, they will remain a material and evolving component of UK electricity policy costs for decades to come.

If you would like to ensure your CfD charges have been invoiced correctly, contact us today and we can review your recent invoices to make sure you aren't paying more than necessary.

The British Industrial Competitiveness Scheme (BICS)

Thu, 15 Jan 2026 14:07:30 GMT

What manufacturers need to know before signing their next contract and how we can help

For many energy-intensive UK businesses, rising gas and electricity costs have been an increasingly uncomfortable thorn in their side. Even as wholesale prices have dropped, new line items to fund green-initiatives and ever-increasing standing charges have harmed the competitiveness of British businesses.

What is the British Industrial Competitiveness Scheme?

As a response to these rising costs, the government is now consulting on the British Industrial Competitiveness Scheme (BICS). The aim of this scheme is to support eligible manufacturing businesses by exempting them from the indirect costs of three charges that suppliers typically pass through to end users:

The expectation is that this should reduce electricity costs by approximately 4p/kWh, saving many mid sized manufacturers between £150,000-£300,000 per year. While consultation is on-going, the plan is for this scheme to be introduced in April 2027.

Who is likely to be eligible?

The BICS is currently in the consultation stage and awaiting confirmation of details. However, the scheme is expected to be available to business that are:

Manufacturing frontier businesses within an IS-8 sector
Manufacturing foundational industries supplying important inputs into those frontier sectors
Electricity Intensive Manufacturers

Eligibility is expected to be assessed using a combination of SIC codes (what the business is registered as) and HS codes (the goods/products manufactured).

The consultation also acknowledges that many businesses produce a combination of eligible and non-eligible goods. For these businesses, it is planned that the discount will be pro-rated based on what percentage of production is related to eligible products.

Image from British Industrial Competitiveness Scheme: consultation on scheme eligibility and approach - GOV.UK

How BICS interacts with the British Industry Supercharger

For businesses already receiving relief from the British Industry Supercharger (BIS) , the interaction matters.

Both schemes are designed to reduce industrial electricity costs, and both include exemptions from RO, FiTs and CM.

However, BIS also includes additional reductions for Contracts for Difference-related costs and network charging compensation via the NCC scheme. As the same exemptions can’t be applied twice, businesses eligible for Supercharger support will be unable to benefit from BICS, and businesses that meet both sets of criteria would typically be advised to apply for BIS due to the higher support level.

The consultation also signals that BICS electricity-intensity thresholds will be lower than BIS --BIS is 7% at sector level and 20% at business level -- allowing many businesses that don’t currently qualify for the Supercharger to benefit from the British Industrial Competitiveness Scheme.

Why your electricity contract matters

Unlike other schemes where discounts are automatically applied, with BICS, your contract structure is vital in ensuring you receive the discount.

If you lock into a contract that fixes non-commodity components beyond April 2027, you could end up in a situation where you’re still paying for charges that the BICS is designed to remove. Ensuring that the non-commodity costs in your contract are ‘pass-through’ will make sure that your business receives the discounts.

What can be done now

Even though BICS doesn’t start until 2027, the time to begin preparing is now:

Check likely eligibility early : identify your SIC code and the HS6 codes for the products you manufacture.
Review your meters : ensure you can link eligibility evidence to the appropriate sites and MPANs.
Adjust your budgets : model what a £35–£40/MWh reduction in electricity costs could mean for your business.
Check your contract : if your next renewal runs beyond April 2027, make sure the terms don’t block you from receiving reductions.

How we can help

At SeeMore Energy, we can support with:

Eligibility checks (reviewing SIC/HS codes)
Savings forecasts across sites and meters
Contract reviews and renewal strategy , specifically to protect your ability to benefit from levy changes in 2027
Ongoing invoice and non-commodity validation (checking that you are currently paying the correct non-commodity costs and ensuring the BICS discount is applied once the scheme is active)

By sharing a description of what you manufacture, and a recent electricity invoice, we’ll be able to give you a clear view of whether you’ll be eligible for the scheme and what BICS could realistically be worth to your business once it goes live.

2025 Yearly Review

Mon, 12 Jan 2026 07:32:06 GMT

In a year where news coverage was dominated by Israel’s genocide in Gaza and the on-going conflict between Russia and Ukraine, geopolitical events played a key role in dictating the movements of the energy markets. In this article we take a look back at 2025, revisiting the stories that impacted energy prices, and look at what is likely to shape the gas and electricity markets in 2026.

The year started with the UK recording its coldest temperature in 15 years and gas prices rising in the wake of Russian gas ceasing to flow into continental Europe. News of the US lifting their LNG export ban offered some respite, but prices failed to drop in the first month of the year after they had risen sharply in the final few months of 2024.

In February, milder-than-expected weather combined with the commencement of peace talks between Ukraine and Russia brough some optimism to the markets. This saw prices for Summer’25 gas and electricity drop by approximately 15%.

Prices continued to decline in March, although the EU issuing mandated gas reserve levels meant there would be an increased buying pressure which would keep prices propped up for the coming months.

Q2

The trend of wholesale energy prices falling continued into April, where prices for Summer’26 gas fell by almost 15%.

This April price drop was largely due to unseasonably warm weather domestically, and the US imposing tariffs that caused production cuts which led to lower energy consumption internationally.

This meant that for a business set to consume 100,000 therms (2,930,713 kWh) during April-September of 2026, if they had purchased their gas for this period at the end of April, they would have saved approximately £20,000 compared to the prices at the start of January.

At this time, we acknowledged in our monthly review for April that:

“the market is still volatile, and tariffs being repealed or increased conflict in Ukraine could lead to prices rising again.”

This was shown to be prescient as increased tensions between Ukraine and Russia, maintenance of Norwegian gas fields, and the potential of conflict between Israel and Iran caused prices to rise in May.

When we then stated that:

“it seems as though multiple catalysts are in place that could drive prices up in the coming months... it seems that even further progress in Russian/Ukrainian peace talks may not be enough to cause another significant drop in prices…the market will likely react more sharply to any negative news impacting these supply chains.”

This proved to be the case as prices rose in June due to international conflicts threatening to disrupt global supply routes. Wholesale markets rose by 25% during the month, before news of a cease fire helped prices return to previous levels.

Q3

Prices remained volatile in July as fears increased about whether EU gas reserve goals would be met, however, prices began to fall again in August when data showed that most nations were set to hit their targets.

At the end of August, we wrote :

“ it appears that restrictions to supply from Russia will have a muted effect compared to 3 years ago. While this caps the potential for price rises, the possibility of Russian pipelines being re-opened to European markets still has the potential to lower prices.”

The markets would continue trading in a flat range throughout September, with little change in prices being observed. At this time – with the mandated buying coming to an end – it became clear that prices looked set to drop, and we stated as much in our September review :

“With European buying pressure dropping off and there being no clear, imminent threats to supply, it seems as though prices could be set to drop over the coming months.”

This would come to fruition in the final quarter of the year, when wholesale prices dropped significantly. Although, despite these drops in price, rising standing charges would mean few businesses would see the benefit of this decline.

Q4

After a relatively uneventful October, prices began to fall during November, with wholesale gas prices reaching their lowest levels since July’24. After a budget that offered little relief to UK businesses hoping for assistance with their energy costs, further news of peace-talks between Russia and Ukraine did however offer some hope, as prices dropped on the back of this news.

With the European state buying pressure now removed, prices were able to hit their yearly lows as we entered December. Prices then continued to drop in the first week of the month before stabilising slightly as forecasts emerged of colder-than-expected weather for the end of December and early part of January.

At the end of December, it was confirmed that TUoS and DUoS prices would be set to significantly increase in April. For some businesses these can be charged as individual line items, but for others it will be added via their standing charge.

For the business looking to buy 100,000 therms of energy for Summer’26, the difference between the yearly high in February, and the low in December, equates to a difference of over £45,000 . Further highlighting the importance of when to time your energy purchases.

For this period, gas prices had dropped over 30%, however, electricity prices had dropped by less than 5%. Historically there had been a stronger correlation between gas and electricity prices but this correlation seems to have been weakened by the percentage of the UK’s electricity now generated by renewables. This high volume of renewable generation has long-term positives but has also been largely responsible for the rise in non-commodity costs . The amount of work and investment necessary to update the existing grid infrastructure is the primary driver behind standing charges rising so significantly in recent years.

2026 Outlook

In the early part of the year, weather is set to be a key driver behind prices. Forecasts are suggesting that there will be an increased risk of storms and colder than usual weather up until the 20th of January, but after this we should see milder conditions. For those looking to renew contracts or make energy purchases in the early part of the year, February looks likely to be the sweet spot between poor weather conditions and European nations once again looking to replenish their gas reserves.

With the Suez Canal set to reopen, this offers increased shipping options and could lower transport costs, but any further military action in the Middle East would likely send prices higher.

Any peace deal between Russia and Ukraine that would allow for Russian gas flowing back into Europe would send prices lower, but this doesn’t seem likely to happen in the immediate future.

LNG exports are expected to increase with the US and Qatar both adding to their export capacity. Norway is also expected to increase their gas exports from 2025, meaning the supply side of the picture is looking healthy for the UK.

On the demand side, Chinese demand is expected to increase following a muted 2025-- as a result of US tariffs being imposed -- however, it seems likely they may be a major purchaser of energy from Russia and not necessarily in direct buying competition with European nations. They also have well-stocked coal supplies and don’t adhere to the same environmental guidelines as most European nations.

In summary, without geopolitics yet again having a strong influence on the markets, gas and electricity could see one of the most stable years in recent memory, with a slight decline expected. However, dismissing the possibility of geopolitical factors dominating the energy landscape seems overly optimistic, and constant adaptations to ever-changing global conditions will once again be a necessity.

It should also be noted that any drops in wholesale energy prices may be negated by the rising non-commodity costs and standing charges . From the 1st April, the new TUoS and DUoS rates will take affect, further increasing the energy costs for UK businesses, most notably for high-volume consumers.

If you want to keep up to date with the news impacting UK energy prices, we publish our monthly reviews on the first working day of the month, both on our website and on Linkedin.

And if you have a gas or electricity contract due to expire in the next year and would like us to advise you on the optimal times to obtain quotes, or if you would like assistance with any of your business energy needs, contact SeeMore Energy today for no obligation advice from a team of experienced professionals.

December 2025 Review

Mon, 05 Jan 2026 14:29:25 GMT

With the frenetic pace of the Christmas season and thoughts about whether the presents have been wrapped, if all of the Amazon parcels have arrived, and concerns over the turkey being sufficiently sized for the entire family, you may be forgiven for not having taken the time to track the energy markets this December. In our final monthly review of 2025, we will aim to bring you up to speed with how the energy markets are developing and what impact this is likely to have on British businesses.

After the wholesale gas price dropped sharply at the end of November, we saw this downward momentum continue into the early parts of December. Weather forecasts for the month were predicting milder-than-usual temperatures with wind-levels higher than the monthly norm, adding to the power set to be generated by wind farms.

Throughout the month, gas prices for Winter’26 fell by 3%, representing a saving of £5,425 for a business set to consume 250,000 therms of gas during the period.

By the end of the first week of December, wholesale prices had hit their lowest levels since July of 2024. This led to many gas prices being at their lowest levels since before the Russia-Ukraine conflict started.

However, for many European industries this may be too-little, too-late. Energy price gaps still exist when comparing European energy prices to the US or China, and some energy-intensive industries have already relocated their European production sites. 190,000 corporate insolvencies were recorded in Western Europe in 2025 with energy costs being cited as a major cause. Without further investment, it appears that Europe may continue to struggle in the global market due to energy prices.

In the UK, one of the major causes of rising energy prices, despite a falling wholesale market, has been government schemes designed to promote green energy that wasn’t capable of being integrated into the existing energy infrastructure. At the start of December, OFGEM announced £28bn is to be spent over the next 5 years on network upgrades. These costs will largely be raised from Use of System charges , paid for by the end user. Whilst this was to be expected , it offers little consolation for the businesses whose competitiveness is being harmed by the decisions of policy makers who fail to consider the true costs of their decisions.

An example of this was seen as last year as the total costs of managing wind output came to almost £1.5bn, which will be passed on to customers through balancing charges. There are proactive schemes designed to ensure that the grid is upgraded to a level that will lower future balancing costs. Although, it will likely take years before the end user feels the benefit of these upgrades, meanwhile UK businesses will continue to pay higher rates than many of their international competition.

Outlook

Norwegian gas flows into the UK have helped allay any fears of gas shortages this winter, however, it is predicted that Norway may be heading for a domestic energy shortfall by 2030. Demand is currently rising drastically and Norway may struggle to meet this demand while also achieving their climate targets. Whether this will impact Norwegian exports remains to be seen, but it will be worth keeping an eye on over the coming months as this has the potential to affect future UK energy prices.

It is expected that the Suez Canal will return to its shipping capacity in 2026 after many shipping firms sought alternative routes in the wake of persistent Houthi attacks. With a tentative cease-fire agreed between Israel and Palestine, the Houthis have seemingly ceased their attacks on commercial vessels. We have already seen some shipping firms re-test the waters with a small number of cargo ships. Should this trend continue, it will allow further LNG exports from the region which will likely help further drops in energy prices.

In the short-term, the largest driver behind energy prices is likely to be the weather. The first 3 weeks of January are likely to be cold and snowy, with unseasonably high wind. After this, it is anticipated that more mild weather will close out the month. If these forecasts are accurate, we may some short-term price spikes but nothing sustained.

Any further positive news from the Russia-Ukraine peace-talks could help aid prices in their decline, but for the near future it seems as though a steady drop or a period of little change is most likely in the energy markets.

How to Read Your Meter

Tue, 09 Dec 2025 10:47:40 GMT

Download our guides on different meter types and how to conduct meter reads

August 2025 Review

Thu, 04 Dec 2025 08:39:18 GMT

August was a month that saw the return of domestic football and the return of one of the most prolific energy narratives of the last 5 years, as the conflict between Russia and Ukraine once again dominated the headlines.

Wholesale prices fell steadily throughout the month, and although the final 3rd of the month did see a sharp rise in prices, this rise was short lived, as the month ended with prices continuing their downtrend. This fall could also be seen in the gas markets with Summer’26 gas prices also dropping by approximately 10%. For a business that is expected to consume 100,000 therms of gas during April-September of 2026, this represents a saving of around £7,500.

Since the beginning of the year, one of the key narratives shaping energy prices has been whether EU nations will be able to buy adequate quantities of gas to refill their reserves in-line with EU mandates. During August, it was revealed that EU storage is now above 70% full and it seems most nations will be able to achieve their gas reserve goals without difficulty.

There had been concerns regarding German reserve levels, with the Rehden facility – the country’s largest – not achieving expected levels. Many of these worries were allayed when it was announced that the facility was set to be allocated 3 TWh of gas by the German supplier SEFE.

Previously, there has been fears that countries who fell behind with their targeted purchases may drive energy prices higher if they needed to outbid other nations in order to obtain the required gas. This now appears to be an unlikely scenario, especially after the EU relaxed the terms of their mandate allowing more flexibility in the dates that countries achieve their 90% reserve capacity.

It seems a long-time since the Russia-Ukraine conflict sent energy prices to unprecedented highs in 2022, but the conflict is still having an impact on gas and electricity rates. At the August 15 Alaska summit, the U.S. and Russia held indirect peace negotiations. Presidents Trump and Putin met and were unable to agree on a binding agreement. Subsequent talks at the White House on August 18 involved Ukraine’s Zelenskyy and European leaders, who pushed for security guarantees. However, Putin reportedly demanded ceding Donbas in exchange for peace, which Zelenskyy rejected.

Energy prices remained elevated amid continued uncertainty. With attacks on energy infrastructure -- including Ukrainian drone strikes targeting Russian refineries and pipelines -- raising concerns about supply disruptions.

Outlook

With the markets not reacting too severely to attacks on energy infrastructure in Russia and Ukraine, it appears that restrictions to supply from Russia will have a muted effect compared to 3 years ago. While this caps the potential for price rises, the possibility of Russian pipelines being re-opened to European markets still has the potential to lower prices. Reports suggest this has been discussed during talks, although it seems we may still be some distance from the point where this could become a reality.

This month we saw confirmation of a new charge that will be appearing on electricity bills during the final quarter of 2025. Whilst it is unlikely anybody will be jumping for joy at the prospect of another charge on their energy invoices, this charge is set to fund UK nuclear projects, and August saw workers arrive on site for the construction of Sizewell C which will contribute towards increasing the UK’s nuclear capacity. This increased nuclear power generation should lead to lowering unit costs and increased energy security for the UK.

Prices look set to continue to drop over the coming months, but one fear is the UK’s reliance on Norwegian gas. There is currently maintenance work being undertaken in Norway, and any unexpected delays or problems with this could cause a short-term spike in prices.

July 2025 Review

Thu, 04 Dec 2025 08:35:23 GMT

July was a month that saw an England international football team lift a trophy and the unfamiliar events weren’t just limited to the sporting arena. For the first time in recent memory, it wasn’t geopolitics and international conflicts that were the main drivers behind movements in the energy market. In this article we review the factors that did cause energy prices to change and how prices are likely to move for the remainder of 2025.

In the wholesale market, it was an up and down month with markets responding sharply to any news that could potentially negatively impact the supply side.

Prices for Summer’26 rose by over 5% during July. For a business set to consume 500,000kWh during this period, this represents an increase of over £2,000 and highlights the importance of timing your energy purchases well.

European gas reserve levels are now above 60% as EU nations are mandated to achieve a 90% reserve level between October 1st – December 1st. This represents a 20% drop off from the reserve levels of July 2024 and we are likely to see a sustained buying pressure over the next 4 months as countries aim to reach their target capacity.

Some of the buying pressure was alleviated by increased Russian gas flows during the month, however, the EU approved further sanctions against Russia after overcoming objections from Slovakia. The move away from Russian gas is seeming more problematic. Previously it was considered that moving towards a reliance on US LNG exports would provide increased energy security, but with the US developing a tariff-happy approach to international trade, Europe is now vulnerable to the whims of Washington.

In more positive news, China has ceased it’s LNG imports from the US amid rising tariffs and increased domestic production. China had previously been the largest global importer of LNG, but lower industrial demand has led to a decrease in the amount of gas needed to be imported.

One of the primary drivers behind prices increasing in the first 10 days of the month was a heatwave hitting both the UK and continental Europe. This led to increased demand at a time when Japan and South Korea were also showing an increased need for LNG imports, causing prices to rise as multiple nations were competing for the available gas shipments.

Outlook

As the EU pushes forward with a complete Russian gas ban from January 1st 2026, this leaves European nations exposed to a greater price volatility and more exposed to the LNG market. It also means more competition for LNG cargoes. The UK is in a more comfortable position than some of it’s continental neighbours due to the pipeline with Norway, but this means any unexpected Norwegian maintenance work could causes prices to spike sharply. Further scheduled maintenance is due to occur in August and we will likely see energy prices rise further during this time.

July also saw the UK government announce the launch of a consultation into energy charge reform. Initial plans involve raising network discounts from 60% to 90% for large energy consumers -- potentially unlocking £420 million in annual savings. This would allow businesses operating in energy-intensive industries an improved chance of cost parity with EU rivals, but it also exposes the difficulties facing UK businesses who have to pay far more for their energy due to schemes and charges introduced by the government.

If your business is looking for ways to reduce it’s energy spend and you are unsure of whether you are eligible for any government schemes/discounts, SeeMore Energy can conduct a free review of your discount eligibility. Our team can also look into other methods of reducing your energy spend and ensure that you’re not paying a penny more than necessary. So contact us today for a free consultation that could potentially save your business £1000s every year.

June 2025 Review

Thu, 04 Dec 2025 08:27:03 GMT

The British summer is underway and it commenced with a heatwave, leading to record temperatures during the opening games of Wimbledon. However, energy prices would be largely dictated by events far away from the UK, as a need for cool heads in the Middle East was the primary driver of energy prices throughout June.

Wholesale prices would rise sharply between the 10th-25th where many market participants were faced with the difficult choice of locking in purchases at an inflated price or waiting to see whether the conflict in the Middle East could be resolved before it impacted LNG (liquified natural gas) imports. For companies on Flex contracts, this period highlighted the importance of having expert guidance throughout times when difficult decisions need to be made. If your business is currently on a flex contract and you would like to learn more about our flex advisory services, contact us today for a free consultation.

June began with negative stories driving prices higher as news broke of Ukraine launching drone attacks in Russian territory. There had previously been hopes of peace talks bringing an end to hostilities, but this was a reminder that the conflict is still on-going, and that any optimism regarding the resumption of Russian gas flows into Europe may be misplaced – particularly if the European commission refuse to change their stance towards Russia.

These attacks coincided with scheduled outages at Norwegian gas fields, further emphasising the UK’s reliance upon LNG exports. The outages had been planned in advance, but they make the energy markets more sensitive to any unexpected upticks in demand, or issues with supply.

The major factor that caused prices to rise in June, was the conflict between Israel and Iran. After Israel launched an initial wave of attacks, there were concerns about how Iran would respond. We discussed the impact of the conflict in more detail here . The main issue affecting the market was related to how this would impact LNG shipments through the Strait of Hormuz. A prolonged conflict would raise the risk premium of any cargo ships passing through the strait, and there were even talks of Iran shutting down the strait as a response to the attacks.

Before the confirmation of a ceasefire sent prices back to their previous levels, the wholesale market had seen a 25% rise over the course of 2 weeks. However, prices have since returned to the lows seen at the end of April/start of May.

Towards the end of the month, the European Commission proposed a legally binding ban on any Russian gas imports, with EU LNG terminals being banned from dealing with Russia. Previous proposals of this nature had seen strong opposition from Slovakia and Hungary, and it remains to be seen whether this proposal will be possible to implement.

Outlook

The market is likely to be sensitive to any further conflicts that could impact LNG shipping routes. Although peace has now been declared, there is still an elevated risk concerning hostilities in the Middle East.

Further Norwegian outages are scheduled for September which would coincide with an important time for EU countries to refill their gas reserves. The European commission has relaxed some of the rules regarding the refill levels, now permitting countries to hit the 90% reserve level at anytime between October 1st and December 1st, but it will still lead to many nations needing to make purchases before that time. There has also been talks in France of nuclear reactors potentially needing to be shut down for important maintenance work. This could lead to decreased energy availability at a time when large purchases are necessitated by European regulations. For those with renewals in the final quarter of the year, now may be the best time to look at getting quotes before a supply squeeze could potentially cause prices to rise in the final few months of the year.

May 2025 Review

Thu, 04 Dec 2025 08:10:54 GMT

As Summer kicked into gear, we saw a small jump in the wholesale energy markets at the start of month before the prices began to stabilise.

Looking at the Summer’26 electricity prices, they rose 7.26% over the month, resulting in an increased cost of over £1250 for a business expected to consume 250,000kWh over the period.

So why did the prices rise during May?

In 2024, Norway’s Troll gas field achieved record levels of production. However, May would start with unexpected outages at the field limiting the amount of LNG that can be sent to mainland Europe. With scheduled maintenance already taking place at Norway’s Nyhamna processing plant and the Aasta Hansteen field, this caused a spike in the price of gas, with more European nations being forced to consider increasing their levels of LNG cargo imports.

There was more negative news from Europe’s renewables sector. While many had enjoyed a warmer-than-expected Spring, this had come at the cost of lower wind levels. Wind speeds in Europe from February-April showed their largest decrease from the averages since the 1940s, with examples of average wind levels being 30% lower than 12 months before. This has limited the amount of energy capable of being produced from wind and has further contributed to the rise in energy prices.

There was positive news as European gas reserves are being refilled at a faster than expected rate. Gas storages are being replenished across the UK and the EU at a rate more than 50% faster than in 2024. And talks are continuing about softening the November deadlines for all EU countries to achieve 90% storage levels. With these actions set to remove some of the existing buying pressure on the market, it could blunt the extent of the negative response to any future supply shortages.

Outlook

Despite the reduced buying pressure, it seems as though multiple catalysts are in place that could drive prices up in the coming months. With the EU confirming their plans to completely ban the importation of Russian gas by the end of 2027, it seems that even further progress in Russian/Ukrainian peace talks may not be enough to cause another significant drop in prices. Supply news regarding UK/EU imports from the US and Asia may now take on extra importance and the market will likely react more sharply to any negative news impacting these supply chains.

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April 2025 Review

Thu, 04 Dec 2025 08:07:34 GMT

For some, April can be the cruellest of months. We saw Earthquakes cause damage in Thailand, volcanic eruptions near Iceland, and the month ended with blackouts in the Iberian peninsula. The latter highlighting the issues with switching to renewable energy sources too quickly, at the expense of energy grid stability. However, April can also be a time of great optimism as we exit the winter months and head towards the summer. The energy markets gave us plenty of reasons to be happy in the past month as wholesale gas prices fell over 20%. This drop was also seen in the gas markets for Winter’25 (a 20.42% drop) and for Summer’26 (a 14.17% drop) as prices fell, representing a good buying opportunity for those on flexible contracts.

For a business that consumes 200,000 therms during the winter period, this drop would represent a saving of £44,380, highlighting the importance of timing your purchases in the seasonal markets.

The main reason for the drop in prices throughout April was related to the US imposing tariffs on other nations, most notably China. The tariffs have affected prices in multiple ways: production levels have lowered amid exports to the US no longer being financially viable; China has imposed retaliatory tariffs on the US, with US LNG being amongst the commodities targeted; and Chinese businesses with long-term US LNG contracts are now re-selling the gas supplies, with many of the buyers being located in Europe. China has healthy LNG reserve levels and can survive without US LNG imports, however, this does free up a quantity of LNG supply to be purchased by other nations. With EU nations looking to refill their gas reserve levels in order to comply with regulations, this extra available supply is welcome news with US producers keen to find new buyers.

It wasn’t just US produced gas that is currently arriving in Europe during April. Slovakia significantly increased the amount of gas they are purchasing from Gazprom through the Turkstream pipeline. Previously they had been reliant on gas that flowed through Ukraine, and Slovakia had been applying pressure on the EU to restart the flows through the Ukrainian pipelines. However, they have now found a reliable way of importing gas and seem to be in a more secure position than many other EU nations when it comes to replenishing their gas reserve levels.

Another factor in the fall of gas prices has been unseasonably warm weather. The UK had recorded the sunniest March on record and this continued into April. The UK saw it’s 3rd warmest April as well as the hottest April temperature recorded in 7 years. This led to lower-than-expected gas consumption, but it wasn’t just in the UK where unseasonal temperatures were causing lower consumption levels. Many North African countries, particularly Egypt, were experiencing milder than usual weather during a normally hot season, leading to lower consumption. All of which is leading to increased quantities of gas being available to buyers and prices falling as demand decreases.

Outlook

While EU targets for gas reserve levels will remain a key force behind gas purchases, there are continuing talks about flexibility with the levels of reserves that need to be filled. Poland had proposed adding a 5% level of flexibility to the November deadline by which EU nations need to be at 90% reserve capacity, however, it is thought that Germany are leading other nations in pushing for the rules to change to allow a 10% deviation from the target.

The EU are also thought to be reconsidering their stance on importing Russian gas. In the aftermath of the tariffs issued by the US, many European businesses have begun to see reliance on US gas as a vulnerability, and that diversifying import options may be essential to ensure they are not exposed to potentially significant price jumps.

While supply will remain a concern, the UK is expected to see a record low level of demand from the power grid this summer. With rising solar supplies, there is expected to be a decrease in the amount of electricity transmitted across the grid during the warmer months.

With demand falling and available supply seeming to increase, it seems as though further falls in price are possible. However, the market is still volatile, and tariffs being repealed or increased conflict in Ukraine could lead to prices rising again.

March 2025 Review

Thu, 04 Dec 2025 08:00:10 GMT

March 2025 Review

By Adam Novakovic

As we exit the winter season and the weather begins to improve, the energy news has – once again -- been dominated by the conflict between Russia and Ukraine.

Throughout March we saw a steady decline in energy prices. The gas prices for Winter’25 dropped by 6.61% during the month. This would represent a saving of £14,600 for a business forecast to consume 200,000 therms during this period.

The month began with positive news that would cause a sharp drop in prices. One of the most significant factors impacting the demand for gas in 2025 is the mandated gas reserve targets imposed upon EU nations. These targets force countries to buy until their gas reserve levels meet the pre-mandated target, however, talks have begun to add some flexibility to these mandatory reserve levels. There has been a recognition that all member states having to make purchases at the same time will impact the supply-demand balance in the market and likely cause price spikes around the various intermediate deadlines currently in place. Proposals on any possible changes are currently being finalised, with a final decision to be made within weeks.

European gas storage levels remain low, especially when compared to this time in recent years. With discussions about the possibility of Russian gas being available for purchase later this year, this may be a sign that European nations prefer to wait, rather than paying higher prices for imports currently available from Asia and the US.

The potential for peace between Russia and Ukraine had caused prices to drop sharply in February. However, March began with a meeting between Trump and Zelenskyy that highlighted disagreements in how the peace talks should be handled. Whilst this was initially a cause for concern, shortly afterwards Ukraine would propose a 30-day cessation of hostilities, showing their willingness to achieve a resolution to the conflict.

An agreement had been made for 2 nations to agree to immediately cease any attacks on energy infrastructure, only for there to be an attack on the Sudzha gas metering facility shortly after. Both parties denied responsibility for the attack, blaming the other, and talks are set to continue throughout April.

In 2024, one of the factors that caused energy prices to rise was an LNG bidding war between European and Asian nations amid a heatwave that led to increased consumption in Asia. This year, we are seeing Chinese LNG imports slow, with reports suggesting LNG imports have dropped by over 20%. This has been caused by increased domestic consumption and lower industrial use. If this pattern continues, it will be good news for European nations that rely on LNG imports, especially the UK who import heavily from Qatar.

Outlook

Discussions have taken place between the US and Russia about the resumption of Russia gas exports to Europe. With the ability to restart the Nordstream pipeline on short-notice, Russia has the ability to send large quantities of gas into Germany, which could then be sent to other European nations. After a colder than anticipated winter, and with gas reserve levels low, it may be in Europe’s best interests to lift the existing sanctions on Russian gas. With further talks taking place over the coming weeks, we will likely see whether this becomes a pivotal part of a peace deal and how receptive European leaders are to the resumption of Russian gas flows.

With prices having already dropped following the talks of the EU showing flexibility with the mandatory gas reserve targets, any positive news regarding this will likely lead to further drops in price.

The main threat to gas and electricity prices is still the resumption or escalation of hostilities between Russia and Ukraine. Even though the market has responded positively to the initial talks, we could see prices rise again if negotiations falter.

January Review 2025

Thu, 04 Dec 2025 07:48:25 GMT

This January saw the UK record it’s coldest night in 15 years, but there wasn’t much in the way of wind to accompany the cold temperatures of the month. This combination led to more energy being used than expected and lower-than-hoped renewable levels being recorded, as energy prices continued to rise against the backdrop of European gas reserve levels being depleted.

January kicked off with the long-expected news that Russian gas supply would cease flowing into continental Europe. Whilst the cessation of this supply had been long planned for, many would have hoped it wouldn’t coincide with a cold snap hitting the continent. The lower-than-expected temperatures have led to energy consumption being higher than anticipated putting a further strain on reserve supplies.

While the weather forecasts were making for dim reading, there was some positive news coming from across the Atlantic. Donald Trump -- uncharacteristically for a politician -- had followed through on his pre-election promises and lifted the freeze on US LNG exports. In addition to reallowing exports to be permitted, Trump has also allowed for new US LNG projects to be applied for, this boosts both short and long-term positivity surrounding the gas supply that can be received by Europe.

With the cessation of the Russian gas supply occurring instantly from January 1st, and the restarting of US exports being something that will likely take months before export capacity is fully ramped up, it could be a few months before the positive effects are truly felt. This would coincide with the end the European winter, so it may be the end of March or beginning of April until the market has a more positive response. However, this could also be when European nations look to begin restocking their reserves.

For those with renewals in the coming 3 months, now may be the best time to seek prices, as the further depletion of European gas reserves is likely to have a negative impact upon prices. For those whose contract is due for renewal later in the year, it may be best to be patient and wait for the market conditions to change. If your contract is due for renewal later this year and you would like a reminder sent when the market conditions turn more favourable, simply email your contract end date to adam@seemoreenergy.co.uk and we will provide reminders ahead of the renewal, at times when the market is presenting favourable negotiation conditions.

Outlook

We know a large amount of purchasing during the next 6 months will be directed by European nations replenishing their gas reserves. By using hard deadlines, the EU is forcing themselves to be uncompetitive and this will allow for the prices to be driven up at times before those deadlines. Their transparency may not work in their favour as sellers will have an awareness of how much needs to be purchased at each stage, and we will likely see small price spikes ahead of the deadlines.

In the short-term, weather is going to remain a key factor for UK energy prices. The possibility of storms remains higher than usual for the coming months, but, while there is the possibility of colder than anticipated weather at the end of February, the remainder of the winter months are expected to witness above-average temperatures for the time of year.

With US exports now back on the table for European buyers, we are seeing a change to the supply/demand balance that drives energy prices. There should be more available supply compared to 2024, and European buyers hopefully won’t be competing with Asian countries hit by extreme weather events. By analysing how and when the new supply is expected to arrive in the European market, we can use this information to advise in greater detail on when energy contracts should be negotiated and when energy purchases should be made.

If that's support that you feel would interest you and your business, get in touch and I'll happily work to create a plan for your energy procurement that works best for you and your business, whilst providing the confidence and accountability that allows you to revert back to the core focus and operations needed in other areas of the organisation.

To learn more about how I can help, feel free to contact me at adam@SeeMoreenergy.co.uk

In addition to an increasing supply-side, the key factors to watch out for in the coming months will be the weather and how it impacts gas reserve levels, the stability of gas supply from LNG routes and Scandinavian pipelines, and the speed at which new supply deals can be negotiated.

December 2024 Review

Thu, 04 Dec 2025 07:24:34 GMT

December Review

As we moved into the final month of 2024 it seemed as though Santa would be the one delivering positive news regarding energy prices. From the 1st of December to the 16th, wholesale gas prices fell by almost 20% and it seemed the overdue market correction was finally underway. However, the price movement for the remainder of the month was more grinch-like than anybody had hoped, as prices rose again, wiping out the decline we had seen in the first half of the month.

There were 2 reasons for this rise in prices, the first reason being the weather. Initial long-term forecasts had not predicted this winter to be particularly cold, however, December saw erratic weather events and lower than anticipated temperatures.

In October it had been predicted that UK gas consumption throughout the current winter would be very similar to the levels of last year. This now appears to be inaccurate as colder temperatures have led to increased consumption.

European gas storage levels have dropped below 75% of capacity with the UK levels being around 55%. This does not compare favourably to last year and raises concerns of how prices could rise should there be a particularly cold January and February. Part of these concerns are already factored into the prices, but this is likely to be the largest short-term factor in energy prices.

The second reason for the recent price rise has been the cessation of Russian gas being imported into Europe. While it has been known for some time that gas imports from Russia would stop after the 31st of December 2024, there had been some hopes of a new deal being negotiated. Slovakia, who provide Ukraine with almost 20% of their electricity, have indicated they could cease providing this should Ukraine not reopen talks with Russia. Any positive news regarding the supply of Russian gas to Europe would likely cause an immediate drop in energy prices.

In good news for British businesses, any company with less than 50 employees can now receive help from the Energy Ombudsman for free when engaging in disputes with suppliers or brokers. If your business has had any issues with your supplier, feel free to contact us at SeeMore Energy to see if we assist you in resolving any outstanding problems. Our dedicated team has helped many clients in resolving problems with suppliers, and our Bill Validation service (free trial currently available) has been vital in helping numerous businesses identify areas in which they have been misbilled and were overcharged by their supplier.

Outlook

During December, US LNG exports reached almost record-highs, representing an almost 10% month-on-month increase in gas exported. With new LNG supplies coming online, it seems as though this trend will continue into the new year, with Europe being the largest buyer of LNG from the US. Throughout 2024, the supply picture for LNG had been hampered by site maintenance, hurricanes, and increased purchasing from Asian nations who were in the midst of a heatwave.

The increased LNG available to the market should help lowering the currently inflated energy prices throughout the coming months.

November Review 2024

Thu, 04 Dec 2025 07:18:15 GMT

November 2024 saw the US choose a new president, Austria refuse to pay for their gas imports, and the UK set a record for importing more energy than ever before. While some of the news this month was novel and unfamiliar, there was a sense of Déjà vu in the factors keeping energy prices high. With international conflict and inaccurate forecasts from meteorologists being the prime culprits.

Wholesale energy prices had dipped in the final days of October, but any hope that this trend would continue into November would be short-lived, with the 1st of November marking the lowest we would see gas and electricity prices for the entire month.

While prices did continue to rise on geopolitical uncertainty and fears of gas reserves being used at a higher than anticipated level, there was some good news from the US.

Earlier this year Joe Biden had put a pause on all LNG export permits in an attempt to appeal to the green voting bloc. However, Donald Trump was quick to announce that one of his first actions when he re-takes the role of president will be to lift the ban on US LNG exports and approve pending permits. This is very bullish news for European energy consumers who had been forced into LNG bidding wars with Asian countries undergoing heatwaves for much of 2024.

Trump’s election also seems to offer an increased likelihood of a cessation of conflicts between Russia and Ukraine. A change of sentiment from the west towards Russia could lead to quick negotiations to secure the transit of Russian gas to Europe for 2025.

One of the main factors behind rising energy prices throughout November was the colder than predicted weather. Forecasts of mini-heatwaves in the first few days of November had changed to reports of 18 inches of snow less than days later. The Nordic jet stream responsible for the colder weather caused some fear in the energy markets. With reserves likely to be depleted sooner than previously anticipated, there were concerns about whether the UK and other parts of Europe would need to make additional gas purchases in the coming months.

The cold weather was also compounded by a lack of wind. This lower-than-expected electricity production from wind turbines only increased the fear in the market and aided prices in rising higher.

On the continent, it wasn’t just cold weather causing issues. Austrian energy giant OMV had been awarded over €200m in arbitration against Gazprom for irregular supplies. However, rather than waiting for the Russian energy giant to make the payment or entering negotiations, OMV elected to seize Gazprom’s Austrian gas supplies in lieu of payment. This caused Gazprom to cut supplies to OMV and Austria. OMV had a contract in place with Gazprom until 2040 -- one of the few remaining significant contracts Gazprom has in Europe – but now it seems as though this contract is likely to be terminated. This deal had seen Austria receive gas at prices far below what other EU countries had been paying for gas, but it now seems as though they will have to find alternative sources to make up for this lack of supply, adding further competition to the demand side of the energy market.

Outlook

Gazprom remains a key part of the energy landscape as we look forward to the factors likely to influence prices in 2025. It is believed that the Russian company are planning on completely stopping all gas transit through Ukraine. While there has been talks of this gas being rerouted via Azerbaijan, so far no alternative is in place, and the loss of the gas from Russia has been largely priced into the current market levels. Should there be any news of a U-Turn from Gazprom, this would likely lead to a drop in prices as the supply picture would notably improve for Europe.

One way the supply picture looks almost certain to improve is the previously mentioned imports from the US. With the US having a large quantity of LNG – with more due to come online in the coming years – the option for importing from the US will be seen as a big positive for Europe and likely lead to 2025 energy prices heading down from their 2024 levels.

After dealing with colder than expected weather than may be some sense of positivity regarding how well European nations have dealt with the unanticipated increase in demand. Reports show that European reserve levels still sit close to 90% and this may lead to less of a knee-jerk reaction should there be another event causing gas demand to increase above predicted levels.

For those who have contracts expiring in the coming months there seems to be a couple of options available to you. At the moment it seems prudent to hold off as long as possible before signing a contract – especially if it is a short-term contract – or alternatively, looking at slightly longer-term contracts that will have the expected 2025 drop in prices already factored into the unit rates.

However, it is wise to have as much awareness about the available options as possible, and if you would like us to conduct a free market review on your behalf, contact us today to speak to experienced advisors who can help you with bespoke strategies and advice that is tailored to your needs.

October 2024 Review

Thu, 04 Dec 2025 07:12:31 GMT

As we head into the winter months, gas prices and availability become a higher priority for many businesses and households. In this month’s review we’ll be looking at the factors set to dictate how gas prices move over the coming season.

October started with fear in the energy markets as Iran launched retaliatory strikes against Israel. Worries of the conflict expanding have been a repetitive theme in energy markets for the past year and it seemed as though that was unlikely to change.

The increased military activity had led to rising prices, however, as the month progressed, hopes of a possible ceasefire have increased with leadership on both sides signalling they may be willing to put an end to hostilities. How this plays out over the coming days and weeks could be a key factor in the stability of energy prices throughout the coming winter.

Meteorological forecasts have now confirmed that the UK is likely to see a La Niña winter. La Niña weather patterns refer to cooling oceans and strong winds which will have an impact on British conditions. During La Niña winters it is more likely that the UK will see a cold start to winter, a milder end, and a wet Spring. A milder end to winter would bring relief and take any pressure of the gas reserves which are currently close to being 100% full. The current forecasts make it seem unlikely that a winter of sustained cold temperatures (when compared to historic averages) is forthcoming.

A POWWR energy report released in October has shown that business energy spending is increasing with businesses using 4.1% more energy during the past quarter. Energy prices remain a key concern for many high-consuming industries. Since the end of February, prices have been steadily rising. The wholesale energy prices for gas on October 31st were more than 80% higher than they were in late February.

For a manufacturing business with a 3GWh summer consumption, the difference between purchasing next summer’s energy back in February compared to today, is a difference of approximately £350k.

This highlights the importance of timing the market and receiving energy advice you can trust. If you would like more information about how to time the energy markets to ensure your business doesn’t pay more than necessary, contact me at adam@seemoreenergy.co.uk and I’ll see how I can help with your energy procurement.

Outlook

There is expected to be news before the end of the year on how the transit of Russian gas could continue beyond 2024. Recent negotiations are yet to yield any solid results, but with time running out, new gas transit deals would have a positive impact on lowering prices if/when they are announced.

The International Energy Agency released their global energy outlook during October. Despite the negativity surrounding energy markets in recent months, we are approaching a future where oil and gas surpluses seem likely. Unless there are significant increases in consumption patterns, it seems that these surpluses could lead to lower energy prices in the coming years.

With reserve levels healthy and the weather forecasts not causing alarm, it seems like only geopolitical events or pipeline disruptions could cause further price rises. In the financial markets we are seeing firms who previously expected prices to rise reversing their position, leading many to believe that November could be the month where we see the trend of rising gas prices to reverse.

If you require advice about your upcoming contract renewals and would like to know what type/duration of contract could be best for your business, contact us today to speak to experienced advisors who can help you with bespoke strategies and advice that is tailored to your needs.

September 2024 Review

Thu, 04 Dec 2025 07:08:59 GMT

September was a rollercoaster month for UK energy prices. In the wholesale market, prices dropped 20% from the start of the month through to the 19th, only to then rise over the final 11 days of September -- undoing much of the previous work. In this article, we will review the factors behind these moves.

As mentioned in previous months, the resumption of Norwegian gas production was always set to be a boost to the markets. At the start of the month, Norwegian supplies resumed. This, coupled with the healthy reserve levels, led the markets to believe concerns on the supply-side were overstated, and this caused prices to drop.

There were some temporary increases in demand as the UK entered a cold snap a couple of weeks into September, but this was a minor speed bump in the path of the descending energy prices.

One of the main fears surrounding energy supply is that no deal has yet been agreed to suitably replace the Russian gas that will cease being delivered when its contract terminates at the end of 2024. So, it was a big boost when news began to circulate that Ukraine and Azerbaijan had reached a deal where Ukraine would deliver Azerbaijani gas to mainland Europe. Prices continued to sink further as news spread, and this was seen as beneficial to the supply of gas throughout the continent.

However, the Ukrainian news outlet that first broke the news was forced to issue a retraction as the Azerbaijani energy ministry denied the story and Ukrainian government sources clarified that no such deal was in place. This caused prices to rise sharply as the markets now had a renewed focus on the hole that may be left in the supply-side picture when Russia’s deal with Europe reaches its conclusion.

A further catalyst for rising prices then came from the Middle East. While it appeared many Arab nations had been keen to pursue a peace deal, any hopes of conflicts subsiding quickly were ended with Israeli operations targeting Iran and Lebanon. It now seems inevitable that the conflict will spread and escalate during the coming months, and the shipping of LNG to Europe will almost certainly be impacted. Whilst it is impossible to accurately predict how geopolitical events will play out, this does seem likely to be a continued source of energy price rises for the foreseeable future.

During September, it was revealed that the UK has the highest energy prices of all industrialised nations, more than double the per unit cost of Portugal and more than 3 times the cost of some Scandinavian nations.

In not-unrelated news, OFGEM announced that UK energy debt has now reached £3.7bn, with energy debt having grown by 50% in the previous year.

For many businesses, energy spend is an increasingly large concern that has no obvious solution. If you would like to discover ways to reduce your energy spend, or ensure you aren’t paying any more than necessary, visit www.seemoreenergy.co.uk or feel free to contact me at adam@seemoreenergy.co.uk .

Outlook

Even though the month has ended with sharply rising prices and growing fears surrounding energy supply, the outlook isn’t all doom and gloom.

Initial long-term weather forecasts have shown that – while this winter may be colder than the previous year – it is anticipated to be milder than the average winter. With reserve levels looking healthy and Norwegian gas supply resumed, there doesn’t appear to be any need for fearmongering. While prices may be set to go higher on the news of further conflicts, there are reasons to be optimistic about the direction of energy prices beyond the coming winter. In 2025 we should see more LNG available to the market as new supplies (particularly in the US and Qatar) come online. And, whilst there may have been a false-start this month, any positive news regarding the replacing of Russian gas flows would also have the potential to significantly lower prices.

August 2024 Review 2024

Thu, 04 Dec 2025 07:06:58 GMT

As summer draws to an end, gas and electricity prices have been rising. Often the threat of colder temperatures is enough to create fears surrounding energy demand, but this year the reasons for rising prices have little to do with predicted winter usage. This article will cover the stories behind why prices rose throughout August and look at which factors are likely to impact energy prices for the remainder of 2024.

Wholesale energy prices peaked on the 10th, shortly after Ukrainian forces had crossed Russian borders and captured the Sudzha gas metering station. Initially, there were fears that fighting near the station may have caused structural damage that could impact the flow of gas into Europe. The Sudzha station is part of the only pipeline importing Russian gas into the continent, responsible for the flow of almost 15 billion cubic meters of gas per year. In spite of Ukrainian forces taking control of the station, gas flows have been reported to be unchanged, although it has spiked fears regarding the vulnerability of the pipeline.

Further east, conflicts between Israel and a number of neighbouring countries have become increasingly concerning. With Iran being dragged further into the conflict -- raising concerns of prolonged hostilities in the region -- there are growing worries about the safety of LNG shipments passing through the strait of Hormuz . These fears have been keeping prices high for the past few months and until the conflict looks closer to being resolved, this is a theme likely to be re-visited for the rest of the year.

Even further east, Japan and China both logged record temperatures this summer. This heatwave has led to an increased LNG demand, increasing global prices as multiple nations bid for the available supply. This has contributed to the high energy prices in the UK, but is unlikely to be a factor that has a long-term impact, especially as global LNG supply is set to increase over the coming months and years.

In recent years Norway has become the number one exporter of gas to Europe. However, in August, Norwegian gas fields entered a period of crucial maintenance work. This leads to a daily reduction of gas flow into Europe that is the equivalent to France’s daily gas consumption. Whilst the maintenance is essential and had been planned far in advance -- given the factors affecting supply from other parts of the world -- the market has been sensitive to the reduced Norwegian gas flows. These are set to continue into September, although normal service should be resumed before the end of the month.

Outlook

Looking ahead, Cornwall Insight’s forecast for energy prices has predicted that prices will remain above the pre-2022 levels for the foreseeable future. They believe the current trend of energy prices will continue into 2025 and beyond, with geopolitical unrest being a key driver behind prices.

In the coming month we can expect to get the first long-term weather forecasts that will give an indication as to how cold or mild this winter is anticipated to be. With gas reserves still at very healthy levels, anything other than a particularly cold winter would likely be positive for energy prices.

As with the majority of 2024, international conflicts impacting energy production and shipping are likely to be the main factors behind short-term price movement. However, with the Asian heatwave becoming less of a factor, and Norwegian gas flows expected to resume normal service, we should see prices start to drop towards the end of the month. Whether this begins a more sustained downtrend will likely depend on the development of the previously mentioned conflicts.

July 2024 Review 2024

Thu, 04 Dec 2025 07:00:03 GMT

July was a month that saw a combination of the familiar and the new. England failing to win at a major football tournament, and a new government taking power. The continuation of narratives that have been catalysts behind energy price moves for most of the year, and fresh challenges that have impacted the global gas supply picture.

The month started with some positive news. With Gazprom contracts -- that are vital to central and Eastern European countries – due to expire at the end of this year, there have been concerns about how this supply-shortfall could be filled. So, it was a boost when Ukraine announced that they would be able to assist in sending Azeri gas through their pipelines. This eased some fears, but the story is still developing, and there are worries that this could be a way of disguising Russian gas shipments to get around embargoes.

A major threat to the global LNG supply came from the US. The 130km/h winds of Hurricane Beryl hit Texas after the first week of July, causing the Freeport LNG facility to ramp down production. This ramp down led to Freeport producing at levels significantly below capacity for over a week. This did have a negative impact on wholesale gas prices, but more alarmingly shows the vulnerability of relying upon US shipments. Beryl was a category one (the lowest of 5 levels) storm, and forecasters are warning that the upcoming hurricane season could be a particularly bad one.

The bad news wasn’t just coming from the west in July. As has been a recurring theme this year, conflict in the Middle East played a large impact on prices as they began to rise. Israel launched significant offensives across the region, likely dragging Iran deeper into the conflict. It now seems inevitable that LNG shipments from the region will be impacted as this conflict looks set to grow throughout August.

And closer to home there were issues with EDF’s nuclear reactors. Production was cut at the end of the month due to elevated water temperatures. For now, this is a small issue that may not impact prices, but if the water temperature forces a more sustained closure, then it could become a point of concern.

Outlook

While the news in July wasn’t the most positive, the outlook for coming months has a lot of factors that could see prices drop further.

European gas reserves are now approaching 85% full. This is very high for this time of year and will likely mean there is no unexpected European buying pressure as we go into the colder months.

A potential problem that could impact prices in August is the Norwegian gas fields scheduled maintenance. The maintenance operations are scheduled to begin in August and continue into September, although some experts are predicting that the current gas reserve levels should prevent the maintenance projects from having a serious impact on prices, as they had done in June.

July also saw Greg Jackson, CEO of Octopus Energy, give a prediction that would have been pleasing to all Scottish energy consumers. He believes that if OFGEM regulatory changes are implemented, Scottish homes and businesses could receive free electricity during times of high winds. Currently, wind turbines shut down when there is an excess of supply to the grid, but a change in the way the grid is operated, and the introduction of dynamic pricing could see free energy during periods of high production. While there is no time-period outlined for when this could take place, we are likely to see more regional pricing become commonplace in the coming years.

How energy prices move in the coming month will likely depend on the geopolitical situations in the Middle East, and whether the fears surrounding the temporary reduction in Norwegian output will outweigh the confidence in the high European reserve levels. Keeping an eye out for long-term weather forecasts will also be prudent.

June Review 2024

Thu, 04 Dec 2025 06:55:03 GMT

The summer is now underway, with disappointing weather and England under-performing at a major football tournament, it may be understandable if a sense of déjà vu is in the air. This nagging sense of familiarity extended into the energy markets, with the major narratives impacting gas and electricity prices echoing the news of previous months.

Wholesale energy prices stayed range-bound as indecision reigned in the markets. Traders seemed uncertain whether now is the time to submit buy orders or to be more cautious, and this led to prices remaining stable throughout the month.

One of the major stories – which now seems to be a monthly occurrence – was unexpected outages impacting Norwegian supply. The Sleipner Riser connection hub suffered an outage at the beginning of the month, impacting supplies of LNG being delivered to the UK and mainland Europe. This news caused a small jump in gas prices and further highlighted the dangers of being reliant on gas imports.

Norway was not the only country dealing with supply disruptions during June. The Chevron-owned, Australian Wheatstone LNG facility suffered a 2-week outage due to unexpected repairs.

This facility is largely used to supply East Asia, and -- with numerous parts of Asia facing increased energy demand as a result of heatwaves -- the LNG market has become more competitive. The combination of increased demand and supply issues might be the primary factor for keeping prices at their current levels. With concerns about supply from the Middle East beginning to fade, it would have been reasonable to expect energy prices to fall if not for the complex supply/demand relationship being exacerbated by these issues.

It would be no surprise to hear that small businesses are concerned by the prospect of rising energy costs. A recent survey by the Federation of Small Businesses confirmed that more than half of small businesses surveyed were worried about rising energy costs in the coming years. With energy costs having a significant impact upon the bottom line of many businesses, it has never been more important to ensure you are not paying more than necessary. If you would like a free market review drawn up for you ahead of your next renewal, email Adam@seemoreenergy.co.uk and we can have a market comparison prepared, allowing you to see which options would be best for you.

Outlook

Cornwall Insights lowered their price predictions for energy costs in the final quarter of this year. However, it does still represent an increase on their 3rd quarter predictions. It is normal for there to be seasonal variation and for prices to rise in winter when there will be increased demand.

Last year, prices fell into winter as Europe has gas reserve levels at near capacity. This has been achieved through purchasing between periods of heavy demand. This year, it appears that this may be more difficult to achieve due to increased Asian demand. If storage levels are not at the same levels as last year, we may see price spikes in December/January, spikes that could become more significant should weather conditions be worse than anticipated.

May Review 2024

Thu, 04 Dec 2025 06:52:32 GMT

In a month that saw the football season draw to a close with a surprise result in the FA cup final, there were surprises in the energy markets as prices continued to rise despite most European countries currently boasting healthy gas reserves.

The month began with the Viking Link interconnector – which transports gas between the UK and Denmark – receiving a Guinness world record for being the longest land and subsea High Voltage Direct Current interconnector.

However, the supply of gas from Scandinavia to the UK proved to be a negative story throughout the month. Norwegian gas fields: Kolsnes, Troll, Gassco all suffered from lower output due to maintenance during May. The timely resumption of production following maintenance has been historically described as “unreliable”, and the market responded with caution as prices steadily rose. The quick return to normal production levels will help to restore confidence in the market, but any further negative news is likely to be met with further rises in price.

Closer to home, there was more negative news on the production side. In recent months UK energy production has dropped 6.8% when compared to the previous year. A large part of this is due to the increased focus on renewable energy sources. We also saw strikes announced at the Dounreay power plant in Scotland, which is set to contribute towards lower production levels in the UK.

Another factor contributing to the rising energy prices has been due to changes in demand in the LNG (Liquified Natural Gas) market. Extreme temperatures in Asia have led to an increase in LNG purchases. This has occurred at the same time power issues impacted LNG production in Malaysia, and production was halted at an export facility in Australia. The only positive during this time was the Freeport facility in the US returning to full capacity and helping somewhat ease the strain in the LNG market.

Further pressure on the supply of energy to Europe came from Austria. While many European nations stopped receiving gas from Gazprom in 2022, Austria continued to import gas from the Russian company. However, it now seems as though the Austrian government will look to end their reliance on Russian imports in a move that could have a ripple effect on gas prices throughout Europe.

As in previous months, geopolitical instability is still a key factor in rising energy prices. Concerns about the Russia/Ukraine conflict persist, and new fears have emerged that Iran could block shipments passing through the Strait of Hormuz. 20% of the world’s LNG exports pass through the strait, with the UK being reliant on imports from Qatar. If this problem worsens, it will put further pressure on the LNG market and lead to prices rising further.

Domestically, a study conducted by Centrica has shown that energy costs are still a big concern for UK businesses. One third of businesses surveyed stated that unpredictable energy costs have limited their growth in the past year. More than half of UK businesses are now looking at onsite generation as a way of helping reduce their energy costs. If your business is struggling with energy costs and you would like to talk about the options available to you, send me an email ( adam@seemoreenergy.co.uk ) and we can discuss the methods available to help lower your energy spend.

Outlook

OFGEM lowered their price cap for the 3rd quarter of 2024 by 7%. Despite the factors that have negatively impacted prices in the last month, this shows there is still a consensus that prices will continue to drop for the remainder of the year.

Consultancy firm Cornwall Insights also predicted a drop in energy prices during the coming quarter. Additionally, they foresaw a small price rise in October, before a further drop in January of 2025. Although it should be noted that they acknowledged the unpredictability of the energy markets at this time.

One of the main factors that will affect prices in the coming month will be how quickly full production can be resumed in Norway, with less downtime for maintenance expected in June than in May. If full output can be quickly resumed and the LNG market doesn’t suffer any further issues with supply then it’s likely prices will fall, however, news out of the Middle East should be watched closely, as further disruptions to imports from Qatar could see prices rise further.

April Review 2024

Thu, 04 Dec 2025 06:49:35 GMT

April Review

By Adam Novakovic

The way energy prices were moving throughout April was making a fool out of our previous prediction of prices going down. For the majority of the month prices rose, reaching levels last seen in January. However, towards the end of the month we saw prices for future gas and electricity markets fall back below the levels they started the month at, as prices seem set to drop further. So, what influenced the price movement this month?

There were two main factors driving prices up this month, the first of which being the weather. This April was colder, and significantly wetter, than had been expected. This caused an unanticipated increase in consumption.

The 2nd factor that led to prices rising was outages in Norwegian gas production. The UK imports more gas from Norway than from any other country, and production was disrupted this month due to maintenance taking places at key gas fields.

We also saw the UK and Norwegian governments take steps this month to avoid any future disruptions by committing to improve the security around the pipelines connecting the two nations.

The importing of gas may become even more important going forwards, as it was revealed this month that UK gas production was down almost 10% when compared to the previous year. Although, this can be partly attributed to lower overall demand due to changes in consumption patterns.

Amanda Solloway, the UK Energy Affordability Minister, addressed calls for reducing standing charges, confirming that she had contacted OFGEM regarding the issue. She also announced that companies with fewer than 50 employees are now entitled to receive free help from the Energy Ombudsman when resolving energy disputes.

Internationally, tensions flared as drone strikes were launched on the Ukrainian Zaporizhzhya Nuclear Power Plant. The plant, Europe’s largest nuclear power plant, was targeted on the 7th of April, however, no serious damage was reported and this doesn’t appear to be an ongoing concern.

Conflict in the Middle East remained a talking point, although it seems that any fears in the area appear to be subsiding, and the market doesn’t look to be reacting to news of minor conflicts in the region.

Outlook

Natural gas prices are expected to fall, at least according to the European Commission. Investments made over the previous few years are likely to lead to a period of energy abundance which will lower prices globally. Natural gas prices are a factor in both gas and electricity prices, and any reduction in their prices will be a big positive to energy consumers.

Further positive prognostications came from Cornwall Insight. The business consultant announced that they believe energy prices are set to steadily fall for the remainder of the decade. They significantly lowered their price projections for the coming two years.

This aligns with advice that we have been giving to clients in the past year, as we have been recommending clients only take on short term contracts in order to fully take advantage of falling prices and not to be locked into longer term contracts that may become uncompetitive after their first year.

March Review 2024

Thu, 04 Dec 2025 06:34:06 GMT

March Review

By Adam Novakovic, Energy Markets Consultant

After 4 months of falling energy prices, March broke the downtrend and saw a bounce in the wholesale and seasonal markets. Electricity prices for the Winter of 2024 rose by approximately 7%, as 2025 seasons increased by over 10%.

So, what caused these rises?

After a milder than anticipated February, temperatures were below expectation at the beginning of March leading to increased consumption. Around this time LNG imports from the Middle East were being disrupted by on-going conflicts, and the Freeport LNG facility in the US remained offline, reducing the potential for further imports crossing the Atlantic.

Closer to home, MPs were announcing plans to reform the electricity market with an emphasis being put on locational pricing. These changes – which are part of the Review of Electricity Market Arrangements – could potentially lead to £35 billion in savings over the next 20 years, although the plans are still in their early stages.

A more advanced project that was launched in March, and could potentially lower energy costs, was the new balancing reserve service. In recent years, Use of System charges have been increasing and this measure is seen as a key step in countering these rising costs. The new system will work by procuring reserve energy in advance instead of using on-the-day methods. This is anticipated to lead to over £600 million in savings over the coming years.

One of the main disappointments from March’s budget announcements was the lack of a replacement for the Energy Bills Discount Scheme (EBDS). The EBDS had offered vital support to many businesses in the UK throughout the recent period of volatile energy prices. However, the scheme concluded at the end of March, with no replacement scheme being offered.

Coinciding with the end of the scheme, OFGEM published a survey revealing that almost 60% of UK businesses are concerned about the impact of energy prices. While IPSOS revealed almost 2/3rds of businesses are unaware of existing government schemes that could benefit them.

If your business is currently looking for a way to reduce energy costs, then contact us to see how we can help reduce your energy spend. And if you would like to read more about government schemes that could help your business, check out the SeeMore energy website where we have a section dedicated to explaining various energy schemes .

Outlook

Despite the rising prices seen over the past month, fundamentally there are a lot of positives for the future of gas and electricity prices. UK storage facilities remain around 60% full, approximately 20% higher than levels seen for the majority of the last decade.

Renewable production is at an all-time high, and there is a steady flow of LNG shipments arriving -- in addition to the supply received from Norwegian pipelines.

In spite of this, some fears remain and there are potential negative catalysts that could lead to prices rising further, with the main factors to watch out for being based on geopolitical unrest.

Throughout March we saw an increase in the targeting of infrastructure in the conflict between Russia and Ukraine.

And, despite an increased US military presence, attacks on cargo ships are still occurring in the Middle East which could have a direct impact on LNG imports from Qatar.

Without any further negative catalysts or disruptions to supply, it seems most likely prices will steadily start to fall again over the coming quarter, but it will be prudent to keep monitoring developments in the on-going conflicts.

February Review 2024

Thu, 04 Dec 2025 06:25:20 GMT

By Adam Novakovic, Energy Markets Consultant

In what proved to be the wettest February in 258 years, we saw energy prices continue their downward trend. Electricity prices for the upcoming summer season fell approximately 20% in the first 3 weeks of the month before ending the month with a small rally in a pattern mirrored by the gas prices.

The energy markets saw prices pull back to levels not seen since 2021, although after 7 weeks of the price falling some counter movement was to be expected. For companies on flexible contracts who are looking to make purchases, the 2nd and 3rd weeks of February represented an ideal time to lock in prices as the market achieved a short-term bottom. The end of the month rise seems likely to be caused by parties looking to de-risk and lock in prices while they are at these lows. The downtrend could very well be set to continue after this period of de-risking, but there now appears to be a greater risk to the upside than there is potential for large decreases.

One of the primary reasons for this continued decline in price was the milder than expected weather in February. While it may have been wet, windy, and unpleasant, it wasn’t quite as cold as had been feared, which led to lower levels of gas consumption throughout the month.

The market also appears to have developed further resilience to negative news on the supply side. The first week of February saw a halt in exports from Norway’s Nyhamna processing plant. A power outage at the plant coincided with a compressor failure at the Troll gas field, which further reduced Norwegian export capacity. In the previous 3 years events such as this have caused sharp spikes in price. As recently as a few months ago, threats of industrial action at an Australian LNG plant caused prices to rise sharply. However, it seems faith has been restored in the UK’s ability to deal with some small supply-side shocks.

Part of this ability to deal with supply issues is related to decreased demand. Reports released in February showed that gas demand had decreased 20% across Europe since the Russia-Ukraine conflict began. Rising prices have made both individuals and businesses more conscious of how they consume energy, and consumption patterns have noticeably changed as a result.

One threat to the supply-side which may have an impact in the future is seabed warfare. Reports this month have highlighted attacks on subsea connections as a potential security threat to the UK. China and Russia were mentioned as countries that have sufficiently advanced technologies in this area, an area that the UK may be under-prepared for. Should we see seabed warfare increasingly occur, it could be a case that this becomes one of the major threats to the UK’s energy supply.

Outlook

As a result of the previously mentioned lower demand, UK reserve levels remain in a healthy state. As such there appears to be no need for large purchases to replenish these levels, which suggests the downtrend could be likely to continue into the summer months.

The conflict in the Red Sea still remains a risk. While we saw further Houthi attacks on commercial vessels this has yet to impact LNG exports out of the region. The threat of Lebanon and Iran being pulled into any escalating conflict should be a cause for concern though, and any developments will need to be monitored closely.

The end of month buying doesn’t appear to suggest a change in trend, merely some expected buy-back after a prolonged period of decline. This may continue into the first few days of March, or we may a slightly longer period of price stability, but it seems after this period, the decline in price will likely continue. For those with flexible contracts this month has presented good opportunities to make purchases, but further declines seem probable, albeit with there now being an asymmetrical element of risk should the market encounter a supply-side problem of significance.

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January Review

Thu, 04 Dec 2025 06:21:04 GMT

As many were nursing new year hangovers and endeavouring to stick to their freshly made resolutions, the UK gas and electricity markets began January 2024 by staying around similar levels to those seen at the end of 2023. However, after the first week of the year prices began to fall with futures markets seeing electricity costs fall over 5% as the 2nd week of the year began, and then continue to fall throughout the week.

As the month progressed, electricity prices for Summer’24 were almost 25% lower than the levels seen in December 2023. As prices continue to fall, we increasingly see these reductions in price being passed on to those looking to negotiate fixed contracts in the coming months.

A large reason for these falling prices were the steady supplies being received from Norwegian pipelines and LNG imports. These inflows combined with a milder than anticipated winter led to gas storage levels remaining high and the dissipation of any remaining fears about shortages.

Despite this positive news regarding falling prices there remained concerns about how the UK has seen energy prices rise disproportionately when compared to other countries over the last 5 years. The International Energy Agency found that since 2019 energy prices in the UK have risen at a faster rate than most other developed countries. This puts a particular strain on Energy Intensive Industries, although these numbers don’t account for UK government schemes aimed at allowing such industries to remain competitive internationally.

It's not just energy intensive industries that have been impacted by energy prices. A report by Simply Asset Finance found that almost 20% of SMEs have had to downsize and cut costs as a result of increased energy prices. They also found that 57% of SMEs were unaware of financial support or government schemes that were designed to help them. If you would like to find out if your business is entitled to any governmental schemes that can help reduce your energy spend then contact us today . We can help with the process of applying for any schemes you may be eligible for without charge.

In addition to seeing usage charges increase over the past few years, standing charges have also increased significantly. This month the standing charge became a much-discussed topic, with OFGEM receiving recommendations to change the way Standing Charges are offered to customers, as well as a group of MPs initiating a petition for the abolition of standing charges. As the year progresses, we will likely see OFGEM put more pressure on suppliers to change the way standing charges are being applied.

While prices dropped throughout the month, there were still some concerns that threatened to send prices higher. Conflict in the Red Sea saw many shipping routes diverted. Many cargos that would normally pass through the Suez Canal were forced to take the longer route around the Cape of Good Hope. This has yet to have a significant impact on price but will need to be monitored as the UK is reliant upon LNG imports from Qatar.

A further threat to LNG imports came from the US where the government has paused approvals on expanding LNG exports. Last year the US became the world’s number 1 exporter of LNG. While this isn’t expected to have any immediate impact on European energy prices, there could be mid-to-long-term effects that drive up prices from other LNG exporters.

Outlook

As we look ahead to how energy prices will move in the coming months, we can see a number of factors that have the potential to disrupt the current downtrend.

Should the conflict in the Red Sea escalate, or should shipping be further disrupted, this could negatively impact energy prices. The fact that shortfalls in supply from the Middle East currently can’t be made up by importing from the US make this a greater concern than when news of the conflicts were first reported.

Throughout this winter, weather has been a significant narrative in the direction of energy prices. While the temperature so far has been (mostly) milder than expected, forecasts for the 2nd half of February are suggesting it could be colder than originally anticipated. Given the healthy gas storage levels in the UK, this shouldn’t have too large of an impact, but it could become a factor if supply is disrupted.

Looking further ahead, there was positive news in the UK as plans for the Sizewell C nuclear reactor advanced. Construction is now set to proceed for the reactor that will add to the UK’s capacity in a reliable and environmentally friendly manner.

Should we avoid any of the potential disruptions to supply in February it seems plausible that prices could continue to drop. For the short-term we would urge some caution in the energy markets as prices are at their lowest levels in some time. Looking beyond the current months, it seems reasonable to assume that prices will continue their current downtrend, although there may be a speedbump or two along the way.

December Review 2023

Thu, 04 Dec 2025 06:17:59 GMT

December Review

By Adam Novakovic

While Santa may not have brought you everything you desired this Christmas, there was plenty of festive cheer regarding UK energy prices. Both gas and electricity fell throughout the month, with wholesale prices going into January down approximately 25% since the beginning of December.

Energy prices had begun to drop at the end of November and that continued throughout the final month of 2023. A combination of well-stocked gas-reserves throughout Europe, and milder than expected weather conditions, served to reduce the fears that had been propping up prices. As we move into 2024, the weather is expected to steadily improve from after the 2nd week of January, meaning most of the reserve supply will remain untouched. This will leave the UK in a healthy position as LNG imports continue to arrive, and gas flows from Norway remain steady.

As we’ve seen in the previous 2 years, it is not always events close to home that are responsible for dictating energy prices. The major recent price movements have largely been caused by geopolitical unrest and the threat of conflicts that could disrupt gas flows into Europe.

Throughout December there were incidents in the Middle East that looked as though they could impact energy prices, but ultimately failed to have much of an effect. There were multiple reports of cargo ships being attacked in the Red Sea, although US military intervention has served to keep those supply routes open. While for now it doesn’t seem as though these skirmishes will have any impact on LNG being transported from the region, it does remain an area that will need to be monitored as any significant disruptions would likely have a negative impact on the wholesale energy markets.

As conflict continues between Russia and Ukraine, it appears as though Russia have been ramping up their attacks and have been targeting Ukraine’s energy infrastructure. Reports are now suggesting that Russia are switching their targets to more military specific locations, but given the previous significant impact of the conflict, it remains another area that requires careful monitoring.

Back on UK shores, there was welcome government backing for small businesses as it was proposed that businesses with up to 50 employees will receive support from the Energy Ombudsman when in dispute with their energy supplier. Currently, the support only covers businesses with up to 10 employees.

Outlook

As per the last few months, the key price moves will likely be dictated by the weather and international incidents that threaten energy supply. With forecasts suggesting that the weather won’t be of too much concern this winter, that leaves threats to the supply side as the main risk. The market currently doesn’t seem to be as nervous regarding bad news as it was just a couple of months ago. We had previously seen price spikes on threats of strikes at Australian LNG plants, but now the market seems more sanguine when faced with attacks on Ukrainian energy infrastructure and cargo ships being attacked along key supply routes.

Prices are currently approaching the summer low points, but for those looking to purchase energy, now could represent a great time to de-risk. Should there be a more significant incident – either in the Middle East, or in Ukraine – we could see prices re-test the higher levels seen in October or November, and the potential for a significant upside move seems to offer asymmetrical risk to further potential drops in price.

Looking further ahead, there was positive news in December as approval was given for the Hornsea 3 offshore wind farm. Set to be completed before the end of 2027, this would bolster the UK’s renewable production capacity as well as increasing the level of energy independence. Although this won’t impact the current prices, it is a positive step for the long-term future of the UK energy market.

If your business requires advice with its energy procurement, management, or planning, then don’t hesitate to contact Seemore Energy to speak to experienced advisors who can help you with bespoke strategies and advice that is tailored to your needs. And if you would like to receive our monthly analysis directly into your inbox each month, sign up for our free reports here .

November Review 2023

Wed, 03 Dec 2025 14:54:59 GMT

In a month that saw data released revealing that the UK economy failed to grow in the 3rd quarter of this year, growing fears around energy prices subsided as wholesale prices dropped from their October highs.

Prices fell steadily throughout the month as it became clear that energy demand remains below the levels recorded in previous years. These lower wholesale gas prices also led to some power generators turning to gas in favour of coal. This has the effect of lowering carbon prices, and therefore lowering electricity prices.

The EU appear to be well prepared for this winter, announcing that they are currently at 97.5% capacity for gas storage. Analysts are now forecasting that the available supply should exceed the predicted demand, with the possibility of shortages seeming unlikely.

After conflict in the middle east was seen as the main factor when energy prices rose in October, those fears have lessened as Israel recommenced exporting gas in the first week of November.

Closer to home, OFGEM issued guidance on the fair treatment of business customers. Writing to all suppliers, the regulatory body sought to remind suppliers of their duty to treat business customers fairly, specifically referencing how unjust some deemed rates tariffs are. Whether this guidance has any significant impact remains to be seen, but we would still strongly recommend all businesses to avoid going on to deemed rates when their contract expires. If your business requires help with avoiding deemed rates then don’t hesitate to contact us today, we can set up a reminder to get in touch with you before your contract expires to make sure you get the best deal available at that time.

Another way that business customers may be paying more than they need to was also highlighted during November. A study revealed that 40% of eligible business customers are currently unaware of the Energy Intensive Industries discount scheme. If you believe you may be eligible and require help with this scheme, then get in touch and we can assist with you with this process.

Outlook

One of the key short-term factors impacting energy prices will be the weather. While long-term weather forecasting is not 100% accurate, current predictions see this winter as not being particularly cold, with Netweather claiming “temperatures are forecast to be close to the 1991-2020 long-term average. December close to the average, January equal chance of being average or above average and February below average.”

Previously there has been fears that a colder than average winter could increase demand, but this no longer appears to be a large concern.

Looking even further ahead, it appears there is plenty to be positive about in the LNG market. Over the next few years, global production – particularly in the US – will be increasing which suggests the coming years will see far more stable energy prices than the last few years.

Current forecasts are suggesting that around 50% of the UK’s gas reserves may be used this winter, with even the coldest predicted scenarios unlikely to drop reserve levels below 25%. This is more positive news for energy prices, although all depletions from the reserves will likely be replaced over the summer months creating additional demand at a time when gas demand is normally expected to decrease.

October Review

Wed, 03 Dec 2025 14:47:18 GMT

As we pack away our Halloween decorations for another year, there appears to be more shocks and scares lurking in the world of energy. October was a month which saw man-made atrocities dominate the headlines, and it seems likely that global conflicts will once again be a significant catalyst in the energy markets.

Wholesale gas prices hit their highest levels since March, and the charts seem to be currently forming a pennant. In classical charting, a pennant/flag is normally a pre-cursor to another significant upward impulse. If this particular pennant plays out this way, then we can expect to see prices return to levels not seen since January.

The major news story this month has been the conflict between Israel and Palestine. Shortly after the first reports broke, we saw oil prices jump 4% and gas prices rise shortly after. While neither nation is a large producer of gas or oil (Israel does produce some LNG), a lot of the fears are related to the conflict spreading further across the region. Earlier this month we released a video identifying how developments in the Middle East could possibly lead to further rises in the prices of energy. Ultimately, should the conflict continue, and should surrounding nations become involved, it will become likely that shipping routes in the region become less accessible. This would be particularly negative for UK energy prices, seeing as how the UK’s main supplier of LNG is Qatar, who rely on the Strait of Hormuz shipping route to export their LNG.

Another threat to the supply of gas this month came when Finland announced that there had been damage to the Baltic Interconnector pipeline. This pipeline connects Finland and Estonia, and had been transporting 30 GWh/day of gas before the disruption. It is expected that this disruption will not cause shortages in either country due to the significant reserve supplies that have been built up in the region. It has, however, been announced that it will likely take until April of next year for the pipeline to be repaired. While investigations into the cause are ongoing, it seems likely that this was caused by the anchor of a Russian-owned, Chinese cargo vessel. The incident occurred approximately one year after an attack on the Russian state-owned Nordstream pipelines.

In more positive news, strike action that had previously threatened Chevron’s Australian LNG plants have now been dismissed. The unions behind the strike action have now endorsed the new deal tabled by Chevron and it seems unlikely there will be any industrial action at these plants for the foreseeable future.

Outlook

After conflicting reports from industry experts -- with Drax stating electricity costs are likely to be reduced due to lessor BSuoS costs, and Cornwall Insights suggesting prices will rise as a result of increasing wholesale prices – there appears to be a lack of consensus about where prices will go in the medium term. One thing that is becoming apparent though, is that threats of damaged pipelines and conflict in the Middle East aren’t the only factors likely to have an impact on energy prices.

China has seen a growth in demand for LNG in 2023. While this demand can initially be met by domestic gas production, should it continue, we may see the LNG market become more competitive. With global production expected to remain relatively flat over the next few years, any increase in demand will likely need to be met by existing sources, which could create a small-scale bidding war. If this is then coupled with difficulties in shipping LNG to some locations, it could have a very detrimental impact on regional energy prices.

The World Bank has warned that, if the conflict in the Middle East is to spread, and the Russia/Ukraine conflict persists, we could see a dual energy shock. This would be the first of its kind in decades and would likely have a significant negative impact on energy prices globally.

In the UK, we are now getting a clearer picture of how the weather will look this winter as long-range forecasts have predicted that the impact of El Niño will likely see icy blasts and falling temperatures in December. Last winter was a mild one for most of Europe, but that now seems unlikely to be the case for the coming winter.

With the list of potential negative catalysts growing, it does seem as though now me be an opportune time to lock in some prices and guarantee peace of mind. It should be remembered however, that European gas reserve levels are near to capacity and that Norway has been increasing their gas export levels – factors which should mitigate some negative supply news. For those on flex contracts, we would look at hedging a % for the coming winter and keeping a close eye on the catalysts most likely to drive prices up. If there were to be news further impacting gas imports to Europe, we could see a large, fear-driven spike in wholesale prices, and it seems as though the potential for negative events occurring is higher than at any previous point this year.

September Review

Wed, 03 Dec 2025 14:39:59 GMT

After a calm start to the month, September saw wholesale prices rise, with the wholesale gas market seeing it’s highest daily close since April. In this article we’ll be taking a look at the drivers behind these price movements, and what we can expect in the coming months.

Some now perceive the uncertainty in the market as a reflection of the uncertainty and lack of direction in the UK’s energy policy.

E.ON chief executive Chris Norbury called out this lack of policy certainty and “lack of ambition in terms of the investment in energy efficiency in the UK”, when he spoke at the Commons Energy Security and Net Zero Committee. With a large part of energy policy now being focused on Net Zero – a policy that will almost certainly increase the price of electricity -- a lack of investment in widely-used infrastructure will continue to have a negative impact on the rising transmission costs .

Last month we discussed the impact of potential strikes at Australian LNG plants , and how it impacted the wholesale energy markets.

The affect of this continued into September as industrial action commenced on the 8th, seeing prices rise 20% over the following week (although there may have been other factors contributing to this rise). In spite of the strikes and the price rises, no shipments were reported to be delayed. The industrial action has now ended, as a deal that offers improved pay and working conditions has been agreed upon.

Some may see the impact, of strikes that didn’t result in any delays to shipments, as a sign of fragility in the market. From a cynical perspective, should somebody wish to create a sharp rise in price, reports or threats of further strikes could be seen as a way of creating short term increases in price. However, this may serve as a reminder to market participants that there is a risk of overreacting to prospective disruptions, and people may be less inclined to “panic buy” on the next rumours of production being impacted.

At the same time the strikes were occurring in Australia, there were extended disruptions to gas production in Norway. While the Troll field maintenance has been known for a while, and the supply disruption has been factored into the market, the proposed restart was delayed by a week. Production has since re-commenced, albeit at a reduced capacity. With Norway being Europe’s largest supplier of natural gas, any further disruptions to supply will likely have a significant impact upon the energy wholesale market.

Outlook

We previously stated that we believe we have seen the market low for this year, and there are more factors that could send prices higher than factors which could see a return to the June lows. We still believe this to be the case, and that the most sensible approach would be for those on flex contracts to look at locking in a significant % of their winter demand.

While the market seems to be cautious or even nervous, and with few making exact predictions, independent researcher Cornwall Insight have forecast that prices will rise almost 10% between October of this year and January 2024.

This ties in with a warning from Jonathan Brearley, Chief Executive of OFGEM, who stated that -- in spite of international markets being more stable than this time last year -- for many, the prices they pay this winter could be higher than last year. Citing the lack of governmental support, this warning was delivered before MPs, as Mr. Brearley called for improvements to be made to the framework.

Following a survey from energy supplier Valda, it seems like these concerns about increased prices are not lost on UK SMEs. The survey found that:

· 67 per cent of business owners do not feel the government understands their needs.

· Three-quarters say they have been neglected in favour of more focused support on consumers and larger businesses.

· Only a third of businesses felt that the less generous Energy Bill Discount Scheme (EBDS) that followed is providing adequate support.

With many small businesses still concerned about their energy costs, it is an important time to make sure you are not paying any more than necessary and exploring all the energy cost-reduction options available to you. If you require any assistance or guidance with your energy spend, feel free to contact me at adam@seemoreenergy.co.uk for a free consultation with a team that is experienced in helping UK businesses with their energy needs.

August Review

Wed, 03 Dec 2025 14:21:34 GMT

Review

With house prices falling, interest rates rising, and football returning, August was an eventful month in the UK. However, the news affecting our gas and electricity outlook wasn’t limited to the borders of Great Britain and Northern Ireland, as events across the EU, Russia, and Australia impacted price movements.

August started with wholesale gas prices slowly rising, before a large increase on the 9th. Prices would hold around this level until the 24th, when they dropped the levels seen before the rise of 15 days previous. The final week of the month saw prices steadily increase to end the month over 20% higher than they were at the end of July.

What was responsible for this increase in price?

The major story affecting UK gas prices this month was the threat of a strike from Australian liquid natural gas (LNG) suppliers. Rumours began circulating that workers at the Chevron plants in Western Australia were considering striking, and this led to an almost 30% increase on the 9th. Australia is responsible for around 10% of global LNG exports, so the impact of these strikes would not simply be limited to a few geographical markets.

After prices dropped in the days immediately following the initial rumours, they rose again on the 21st when a union statement was released stating that a strike could take place within 2 weeks.

However, on the 24th it was announced that an agreement in principle had been reached with the unions. With fears quelled, it seemed as though price would stay around the range seen before the initial rumours of industrial action.

On the 29th there proved to be one more twist, as it was announced that a strike will take place from the 7th of September. This didn’t have a particularly negative impact on the market, but leaves the door open for supply disruptions in September and remains an issue with the potential to cause disruption.

Domestically, there were concerns that hospitality industries are being mistreated by some suppliers. UKHospitality, the trade body representing the hospitality industry, called upon Ofgem to review issues facing the sector, including: requiring large deposits, refusing to work with the sector, or refusing to renegotiate contracts. Ofgem is currently consulting with the hospitality industry to conduct a thorough market review.

In more positive news, European gas storage levels are reaching capacity faster than anticipated. Last year a target was set to have gas storage capacity at 90% by November 1st 2023, a target that has now seemingly been reached. While unexpectedly cold weather can still cause larger than anticipated gas consumption, healthy reserve levels should help the continent avoid the large spikes in price seen in 2022.

Despite the success in achieving a healthy reserve capacity, it appears that not all EU goals are on course to being achieved. The EU aims to no longer be importers of Russian gas by 2027, yet the first 7 months of this year saw Belgium and Spain as the 2nd and 3rd largest importers of LNG. Reliance on some form of Russian gas seems inevitable in the near term, as the EU seeks to find further ways to reduce gas consumption.

Outlook

Going forward it seems as though the gas costs involved in UK electricity generation are likely to increase. The Department for Energy Security and Net Zero have forecast that these costs will increase by 35% by 2025. Although it wasn’t all doom and gloom, as the same report stated that renewable energy generation costs are expected to fall during this same time period, with solar and offshore wind looking like the most viable options in offsetting the increased gas costs.

Looking ahead to 2024, it seems gas and oil production in the North sea is likely to be reduced. Ithaca energy announced that they will be reducing their North sea oil and gas production as a response to the UK government’s windfall tax. The Energy Profits Levy has led to the cancellation and deferral of numerous projects that had been slated to take place during the next 18 months.

While the EU has accumulated a significant gas reserve level, we are still seeing threats to the supply side having the largest impact on price. As we head into the winter months we can expect any news regarding supply side disruption, or any news regarding colder than expect winter months to have a negative impact on price. For those looking at securing new contracts in the coming months, or purchasing their winter energy, then it seems that now may best time to buy and avoid leaving your energy costs at the mercy of the news cycle or weather forecasts.

July Review

Wed, 03 Dec 2025 14:14:40 GMT

As the Ashes were fiercely contested in England and reported heatwaves dominated news from the continent, July was an eventful month in the world of energy. There was a tightening in the wholesale gas market as the price failed to reach either the highs or lows of June, consolidating ahead of the next move. While the consolidation may be a sign of a lack of certainty in sentiment regarding energy markets, this may be seen as a positive given some of the more bearish news we saw in July. Whereas in the past year the market may have reacted swiftly and prices would have risen on the back of any negative news, there seemed to be a more considered response to supply-based fears.

Centrica expressed concern that the UK will struggle to deal with any period of cold weather with low wind this winter. Should such an event occur it would mean the UK becomes more reliant on gas, yet the UK’s gas storage levels are limited, particularly when compared to that of other European countries. The UK’s storage capacity of 12 days worth of average consumption is less than 10% of the gas storage capacities of France, while Germany and the Netherlands also have enough capacity to store months of gas. There are plans to restore some previously closed gas storage facilities after the 2017 decision to shut down numerous storage sites has come in for heavy criticism. It has left the country increasingly reliant upon gas imports and, as such, any volatility in gas prices will have a more pronounced impact.

In more positive news, July saw the final length of the Viking Link interconnector joined, completing the physical link between England and Denmark. This will allow energy sharing between the UK and Denmark allowing for cheaper and cleaner import/export of energy between the two countries.

However, it wasn’t all good news from the continent. Heatwaves in France forced EDF to restrict nuclear production this month. While this may not become a large issue, more sustained hot water temperatures near the nuclear plants could further limit production and lead to a supply shortfall.

UK businesses may be a beneficiary of a proposal announced this month to increase protections and transparency on payments made to energy brokers. The aim is to provide clear guidance and regulation on these issues and hold accountable unscrupulous brokers who fail to act in the best interest of their clients. By enforcing these regulations, a higher level of protection will be offered to businesses and confidence can be restored in the industry.

After OFGEM had previously announced that the energy price cap is set to decrease in October there was some disappointing news from consultancy Cornwall Insight. They announced that, despite the price drop in October, prices are expected to rise again at the beginning of 2024, and they will remain above pre-pandemic levels for the foreseeable future. This was backed up by Investec who said they expect energy bills to remain high at least through to the 3rd quarter of 2024, with prices not expected to show a significant decrease for over a decade.

In spite of this analysis, some organisations have been finding ways to reduce their energy spend. West Northamptonshire council announced that they have managed to save £1.8m in energy spend through a flexible bulk purchasing model. While flex purchasing is normally reserved for large institutions there are an increasing number of ways that smaller businesses can take advantage of flexible purchasing contracts. By purchasing energy across seasonal markets businesses can have a greater freedom in when to buy their energy in advance and when to buy from the day ahead market. With the risk premiums associated with fixed contracts increasing over the past 2 years, flex contracts are increasingly being seen as a viable method for reducing energy spend. If you would like more information on flexible purchasing, feel free to contact us today and see if it could be the right option for you.

As we start to edge closer to winter, it seems likely that concerns about supply for the winter of 2023 will increasingly drive the price narrative. With the failure to make a new low during July it now seems unlikely that wholesale prices will go below the low of May 30th and we are likely to see steady increases for the next few months. If you have a contract coming up for renewal before the end of Winter 2023, now could be an ideal time to review the prices currently available, as it seems unlikely that prices will improve in the coming months.

June Review

Wed, 03 Dec 2025 14:07:55 GMT

Last month saw the hottest June since records began, as well as a reversal in the downtrend of wholesale UK energy prices. As temperatures rose to 32C, wholesale gas prices rose by 50%.

So why did the prices rise in June?

The highest price we saw during the month occurred the day it was announced that Norwegian gas production will be lower than expected, and maintenance related outages would continue into mid-July. The UK imports approximately 1/3rd of its gas from Norway, who also export to Denmark, Belgium, Germany, and France. With Europe seemingly reliant on Norway’s gas exports, there are fears that the shortfall in production will lead to higher prices for importers.

There was further negative supply news the following week as it was announced that the Netherlands will be shutting down the Groningen gas field on October 1st. While there has been uncertainty around this particular gas field – and it’s impact on the surrounding area – it has always been considered as a plausible backup option should Europe require extra gas production. The closure of the field amounts to the elimination of a major contingency plan and will likely cause some worry amongst countries who haven’t secured their gas supply ahead of the coming winter.

However, small supply disruptions may not impact the UK market as much as first anticipated. National Gas Transmission PLC stated that consumption behaviour has changed, and demand levels have decreased. With higher prices being one of the primary reasons for this shift in consumption patterns.

In spite of this decrease in demand, it hasn’t stopped the National Grid from being proactive in looking to reduce usage during peak hours. The Demand Flexibility Service (DFS) -- used last winter to encourage households to lower their usage during times that the grid is strained -- may include factories and other commercial endeavours if expanded this winter.

While this may be important for some industries to consider, it isn’t the only energy-related matter they should be focusing on at the moment. Consumer Energy Minister Amanda Solloway urged Energy Intensive Industries to make sure they apply for the ETII discount before the deadline (July 25th) passes. There are fears that many businesses who are eligible to receive the extra discount may miss out due to a lack of awareness and not completing their application in time. If you are unsure about whether your business is eligible to receive the ETII discount then check out our previous article on ETII eligibility or contact us today for free assistance with your application.

Multiple factors have led to the higher-than-normal energy prices over the past 18 months, one of which has been the way the National Grid pay generators for producing electricity during times of peak demand. OFGEM are now investigating whether some generators have been exploiting the existing rules to make more profit, at the expense of customers. It remains to see what will come from the OFGEM consultation, but it is promising to see the regulator looking into this matter.

Outlook

Price forecasts for the energy bills of the average household for October ‘23 have fallen. However, rather than being due to a significant decrease in price this is as a result of OFGEM revising the typical consumption levels of a UK household, noting that people are generally consuming less now than they were 2 years ago.

Despite the volatility and wholesale price increases in the gas markets during June, the month did end with some positive news. Centrica announced an increase in storage capacity at the UK’s largest gas storage facility. The increase of 24 billion cubic feet in capacity will help the UK in being prepared for the winter months and fight against any potential complacency caused by last year’s milder-than-usual weather.

Last month we wrote that the wholesale markets were behaving as though they were close to the yearly low and that seems even more likely now with hindsight. The lowest intraday price of 2023 came on May 30th, and the lowest closing price was seen on the 1st of June. It does seem that prices are now set to rise going into the winter months – although more positive news along the lines of Centrica’s increased storage capacity could be sufficient in curtailing price increases. However, with no guarantees of positive fundamental news to come, now does seem like an opportune time to start considering new contracts for those whose contract is up for renewal before the end of Q1 2024.

May Review

Wed, 03 Dec 2025 13:48:00 GMT

May Review

In a month that saw the Premier League football season conclude with a familiar winner, there was a sense of familiarity regarding some of the more prominently reported energy stories.

The high prices seen last year were as a direct result of the Russia-Ukraine conflict and that remains a key driver in the energy markets.

When G7 leaders convened in mid-May discussions were held to prevent the resumption of Russia gas being exported to various Central European countries.

This move, designed to put pressure on Russia to end the conflict, shows an intention for Europe to permanently move away from dependence on Russian gas. This follows on from many European countries having above-normal gas reserves and alternative supplies seemingly filling the anticipated demand.

There have also been concerns as Russian ships were spotted near British shores. The UK defence secretary has spoken about Russian intending to attack infrastructure, and the undersea power cables could be seen as a vulnerable target.

However, there have been no confirmed interruptions to any of these cables and there is now an increase in Royal Navy patrols.

Electricity suppliers and charities united during May in an attempt to raise awareness for government voucher schemes. Over £100m is still available for eligible households to claim, with the discounts needing to be claimed before the 30th June.

Similarly to the household vouchers remaining unclaimed there are still a number of UK businesses eligible for the ETII scheme that are yet to apply, with applications for this scheme having their deadline in July.

You can get free assistance with your ETII applications today.

Outlook

While wholesale prices have been steadily falling this year, their drop has yet to be truly reflected in the prices most customers are paying for their energy. That could soon be set to change though. OFGEM have lowered their price cap and stated that the prices most households pay for their utilities is set to drop by over £400 from July.

However, the head of OFGEM has said that he expects prices to remain relatively high over the next 2 years. Even though prices have fallen from the levels seen last year they are still significantly higher than the levels before the Russia-Ukraine conflict, and it seems unlikely that prices will return to such a level in the near future.

Despite this sense of negativity, wholesale prices did continue to fall during May -- with current wholesale prices being priced below future contracts. This shows that there is an expectation wholesale prices will rise ahead of Winter ‘23 and that we could be close to the yearly low.

As has been the theme for the last 18 months, the energy markets remain volatile and are best navigated with caution.

April Review

Wed, 03 Dec 2025 13:45:25 GMT

April is known to be the cruellest of months, but this year April spared the energy markets of any such cruelty as wholesale prices continued to fall. Wholesale gas prices have now fallen to levels not seen since July of 2021 and still appear to be trending lower.

While many (possibly rightfully) consider a politician to be lying any time that their lips are moving, many will be hoping that wasn’t the case when UK energy secretary Grant Shapps stated that energy bills will be decreasing in the next few months. He also said that he sees the market stabilising after this winter.

Mr Shapps’ optimistic view of the UK energy markets is one that seems to be backed by the National Grid who released their summer outlook report for 2023. The National Grid are confident that it will be a summer free of disruptions and that balancing costs will be 30% lower than those of 2022.

This confidence isn’t exclusive to the UK’s electricity supply. The National Gas Transmission Report for the upcoming summer indicated that gas demands will be met by supply from the UK continental shelf and Norway.

All of which is refreshing news after an extended period of turbulence, a period which may soon be coming to an end. At least that’s what OFGEM chief Jonathan Brearley seems to believe. Mr. Brearley stated that “prices are easing significantly” and that he expects this to be reflected in both the price cap and the bills we pay over the coming months.

Outlook

In spite of the positive sentiment building in the domestic energy markets there are fears that still remain, and these fears were stoked by Gazprom when they spoke of potential gas supply shortages next winter. After referencing how a milder than normal winter helped Europe over the last few months, the Russian gas-supplier stated that a highly competitive gas market could impact Europe’s ability to replenish their reserves ahead of next winter.

Global consulting firm McKinsey seemed to be in agreement with Gazprom when they released a report stating that there could be a 25 billion cubic metre reduction in supply to Europe as a direct consequence of ceasing Russian imports. The report also claimed that Europe would need to sustain and accelerate measures to reduce gas demand in order to avoid further price spikes.

While the view of McKinsey may seem to be a cause for concern, it is not shared by German energy regulator Bundesnetzagentur. The regulator believes that less reserve capacity will need to be sourced for next winter as a result of reserve power plants returning to the market.

This positive outlook is backed by the news that Ukraine has again began exporting electricity. Ukraine had been forced to stop exporting energy as a direct result of the conflict with Russia but now find themselves in a position to restart exports and help bring further supply to the European market.

While there will still be risks and some caution around the gas supply ahead of next winter there is a shift in overall sentiment, with more public figures and institutions feeling comfortable enough to express their positive views. Without any negative catalysts emerging it seems likely that wholesale prices will steadily continue to drop until such a point that market confidence is interpreted as complacency.

ESOS Phase 4: What Businesses Need to Know

Wed, 03 Dec 2025 13:08:00 GMT

The Energy Savings Opportunity Scheme (ESOS) Phase 4 is underway, starting on 6 December 2023, with a compliance deadline of 5 December 2027 . UK businesses must understand ESOS Phase 4 eligibility , key changes, and deadlines to ensure compliance and avoid penalties. This guide covers everything you need to know about ESOS Phase 4 for UK businesses .

Who needs to comply with ESOS Phase 4?

The ESOS Phase 4 eligibility criteria remain consistent with Phase 3. Your organisation qualifies as a “large undertaking” if, on the qualification date of 31 December 2026 , it meets all of these requirements:

Based and registered in the UK
Employs 250 or more people
Has an annual turnover above £44 million
Has an annual balance sheet total over £38 million

To confirm your ESOS Phase 4 eligibility , visit our site and answer the questions to see if your business should be participating.

Even if you don’t currently meet these criteria, crossing the threshold by the qualification date means you must submit a compliance notification by the ESOS Phase 4 deadline of 5 December 2027 .

If your business qualified for Phase 3 but no longer meets the criteria, you must submit a “Do Not Qualify” (DNQ) notification via the Environment Agency’s MESOS portal.

Key requirements for Phase 4

Phase 3 introduced the requirement for organisations to create an Action Plan that set out how you intend to cut energy use and when. That same principle continues in Phase 4, along with mandatory progress reporting in the years that follow.

However, there are some updates to note:

Action plan progress must now be included within your ESOS assessment. If commitments aren’t met, your business will need to explain why.
Display Energy Certificates (DECs) and Green Deal Assessments (GDAs) are no longer valid routes to compliance.
While net zero reporting will not yet be mandatory, you can choose to adopt the new PAS 51215 standards for voluntary energy and decarbonisation reporting. This could give your organisation a head start before net zero requirements arrive in Phase 5.

These ESOS Phase 4 key changes ensure businesses focus on actionable energy efficiency measures and transparent reporting.

Why prepare early for ESOS stage 4?

With the ESOS Phase 4 deadline set for 5 December 2027, early preparation is crucial for smooth compliance. Benefits include:

Accurate Data Collection : Start measuring energy use across sites and processes to ensure reliable data.
Energy Efficiency Opportunities : Identify improvements like upgrading to LED lighting or optimising heating systems.
Board-Level Support : Engage senior leadership early, as your Action Plan requires board approval.

Non-compliance can lead to significant penalties, including fines of up to £50,000 plus £800 per day. Preparing now reduces the risk of missing the ESOS Phase 4 deadline .

Key dates for your diary for ESOS Stage 4:

5 December 2025 – Phase 3 Progress Report 1 deadline
5 December 2026 – Phase 3 Progress Report 2 deadline
31 December 2026 – Phase 4 qualification date
5 December 2027 – Phase 4 compliance notification deadline

ESOS Phase 4 is a vital step in the UK’s net zero journey, encouraging businesses to implement energy-saving measures. While the framework is familiar, the updated requirements, such as mandatory Action Plan progress reporting and the removal of DECs and GDAs, require careful attention.

For expert guidance on ESOS Phase 4 eligibility , compliance, or reporting, contact our expert team at SeeMore Energy for a free consultation that can give you peace of mind, knowing that all of your ESOS phase 4 reporting meets the requirements.

The UK's Modern Industrial Strategy

Wed, 03 Dec 2025 12:54:25 GMT

The UK's Modern Industrial Strategy 2025

Electricity Discounts for Over 7,000 Businesses

Thousands of UK businesses are set to benefit from a new government plan to cut energy costs, boost competitiveness, and support long-term industrial growth. As part of the newly launched Industrial Strategy, electricity bills for over 7,000 energy-intensive firms will be cut by up to 25% from 2027.

What Is the UK's Modern Industrial Strategy?

Unveiled on 23 June 2025, the government’s 10-year Industrial Strategy is designed to stimulate business investment, create over one million skilled jobs, and address key structural barriers that have hindered British industry — particularly high electricity prices and delays in grid connections.

Central to this plan are two new policies focused on reducing energy costs for businesses:

The British Industrial Competitiveness Scheme (BICS)
An expanded British Industry Supercharger programme

Who Is Eligible?

The strategy primarily targets energy-intensive manufacturers, such as those in the automotive, aerospace, steel, chemicals, ceramics, and glass sectors.

British Industrial Competitiveness Scheme (BICS):
Expected to benefit over 7,000 businesses, this scheme will reduce electricity costs by up to £40 per megawatt hour. Eligible firms will be exempt from green levies, including the Renewables Obligation , Feed-in Tariffs , and the Capacity Market .

British Industry Supercharger Expansion:
Currently, around 500 of the most energy-intensive firms receive a 60% discount on electricity network charges. Under the new plan, this will increase to 90% from 2026, significantly lowering costs for businesses in sectors like steel and glass.

Eligibility criteria for both schemes will be finalised following a formal government consultation process. However, early guidance suggests that businesses with a high ratio of electricity use relative to their output will be prioritised.

How Can Businesses Access the Discounts?

We are still awaiting the full details, including application processes, which will be published once consultations are complete. For now, we would recommend that businesses:

Monitor government updates from the Department for Energy Security and Net Zero (DESNZ).
Register interest in the consultation process , expected later this year, to ensure your business has a say in the final design.
Assess your electricity intensity and ensure you're collecting relevant consumption and production data — which may be key to eligibility.
Engage your energy broker or consultant , who can guide you through the requirements as more information becomes available.

What Does This Mean for UK Businesses?

This move directly tackles a long-standing issue: UK industrial electricity prices are among the highest in the developed world, placing domestic firms at a global disadvantage. These new schemes aim to level the playing field, reduce costs, and encourage investment in British manufacturing.

For manufacturers, energy managers, and financial directors, the upcoming changes present a key opportunity to improve margins, secure long-term pricing certainty, and plan growth with more confidence.

For businesses in manufacturing or other high-usage sectors, now is the time to begin exploring how these reforms could affect your energy cost outlook. If you have a contract renewal approaching in the next 12–24 months, or you would like more advice on The Modern Industrial Strategy – or other government schemes – contact us today for free professional advice from industry-leading experts.

ESOS Stage 3: The Requirements

Wed, 03 Dec 2025 12:48:12 GMT

Understanding ESOS Phase 3: Key Requirements for Businesses

What is ESOS?

The Energy Savings Opportunity Scheme (ESOS) is a mandatory program in the UK targeting large businesses. It requires them to assess their energy consumption, identify areas for improvement, and implement measures to become more energy-efficient. This not only benefits the environment by reducing carbon emissions but also translates to cost savings for the businesses involved.

Who Needs to Comply?

Large undertakings as defined on December 31, 2022 are required to comply with ESOS. This applies to:

• Companies employing 250 or more people.

• Companies with an annual turnover exceeding £44 million and a balance sheet exceeding £38 million.

What Actions are Required in Phase 3?

Phase 3, currently ongoing, introduced stricter regulations compared to previous phases. Here's a breakdown of the key requirements:

1. Appoint a Qualified Lead Assessor: An approved professional must review and sign off on the energy audit report.

2. Measure Total Energy Consumption: This covers a 12-month reference period ending before June 5, 2024.

It includes energy used in:

o Buildings (heating, lighting, etc.)

o Industrial processes

o Transportation (company vehicles)

3. "De Minimis Exemptions" (Optional): Businesses can exclude up to 5% of their energy consumption from the report.

4. Calculate Energy Intensity Ratios: This involves expressing energy use in relation to:

o Buildings: kWh per square meter

o Transport: kWh per mile travelled

o Industrial processes: Energy consumed per unit of output

Reporting and Action Plan:

• Completion of the Report: Analyse your organization's energy consumption and efficiency.

• Recommendations for Improvement: Identify cost-effective measures to reduce energy use.

• Board-Level Sign-off: Get the report approved by a director.

• Develop an Action Plan: Outline specific actions to achieve energy savings over the next four years. This includes:

o Planned measures to reduce energy consumption

o Timeline for implementation

o Expected energy savings

o Method used to estimate savings

Key Deadlines:

• Compliance Notification: Submit to the Environment Agency by June 5, 2024 (previously December 5, 2023).

• Action Plan Submission: December 5, 2024.

Additional Information:

• Businesses that qualified for Phase 2 but not Phase 3 should inform the Environment Agency.

• The Environment Agency website provides further details and resources: https://www.gov.uk/guidance/energy-savings-opportunity-scheme-esos

If you require assistance with your ESOS compliance, contact us today to see how we can assist you ahead of the deadline.

The Industrial Energy Transformation Fund (IETF)

Wed, 03 Dec 2025 12:35:11 GMT

Who is Eligible for the Industrial Energy Transformation Fund (IETF)?

The IETF is for businesses in the UK with high energy usage who are looking to cut their energy consumption and reduce their carbon emissions. There are a few key things to determine eligibility:

• Industry : Your company must be in an eligible industry, such as mining and quarrying, manufacturing, recovery and recycling of materials, or data centres. Some new sectors are included in Phase 3, such as controlled environment horticulture activities, industrial laundries, and textile renting facilities. Coal mining is no longer eligible.

• Location : Your industrial site must be located in England, Wales, or Northern Ireland. If your company is registered in Scotland but your site is elsewhere in the UK, you can still apply. Businesses in Scotland should look into the Scottish Industrial Energy Transformation Fund.

• Project Type: Your project should focus on cutting industrial energy use. The IETF offers funding for:

o Feasibility and Engineering Studies: These studies help assess the viability of potential solutions.

o Energy Efficiency Deployment: This involves implementing technologies that reduce energy consumption within your industrial processes.

o Deep Decarbonisation Deployment: This focuses on technologies that significantly reduce carbon emissions from your industrial processes.

What is Available Through the IETF?

The IETF offers grant funding to help cover the upfront costs of these projects. The amount of funding you can receive depends on the size and scope of your project, but there are minimum grant thresholds.

Here's a breakdown of the key points:

• Funding Phases: The IETF operates in phases. Phase 3 applications are open from Spring 2024 (January 29th to April 19th) and Summer 2024 (exact dates to be confirmed).

• Minimum Grant Thresholds: For Small and Medium Enterprises (SMEs), the minimum grant threshold is £75,000. For larger companies, the minimum threshold may be higher.

• Technology Readiness Level (TRL): Your proposed technology must meet a minimum TRL level (TRL 7 or above). This basically means the technology needs to be sufficiently developed for practical application.

• Project Timeline: Phase 3 projects must be completed by March 31st, 2028.

How a Company Could Benefit from the IETF

If a food processing plant uses a large amount of energy for heating and cooling. They are considering installing a heat pump system to recover waste heat from their processes and use it for heating purposes. This would be considered an energy efficiency project under the IETF. The IETF grant could help cover the upfront costs of the heat pump system, potentially leading to significant energy cost savings and a reduced carbon footprint.

For a chemical manufacturer that is looking to reduce their reliance on fossil fuels in their production process. They are considering switching to an electric heating system powered by renewable electricity. This could be classified as a deep decarbonisation project under the IETF. The IETF grant could help offset the costs of the new electric heating system and the switch to renewable electricity, leading to a significant reduction in carbon emissions.

By offering grant funding for feasibility studies, energy efficiency deployment, and deep decarbonisation deployment, the IETF can help businesses in the UK reduce their energy consumption and carbon emissions, ultimately making them more competitive and sustainable.

If you have questions about your eligibility or need help with your application, contact our team today . We're here to support you throughout the IETF process and to help your business achieve its sustainability goals.

The Evolving EII Levy Exemption Scheme and How it Reduces Your Bills

Wed, 03 Dec 2025 12:27:43 GMT

T he EII (Energy Intensive industry) levy exemption scheme is set to change over the next year. It’s changes are designed to save eligible businesses money from their non-commodity charges and keep them competitive internationally. In this article we will analyse how the changes translate into concrete savings, when they take place, and proposed future changes.

Changes to current discount rates

Currently the scheme offers businesses operating within eligible industries discounts on non-commodity costs. At the moment, the scheme offers an 85% discount on Renewable Obligations (RO) , Feed-in Tariffs (FiT) , and Contracts for Difference (CfD) . This is due to change on April 1st, with the discounted rate increasing from 85% to 100%. With the current 85% discount, it is estimated that these savings equal approximately 3.5p/kWh consumed.

Capacity Market changes

In October 2024 Capacity Market charges are set to be added to the exemption. This will add a further discount of approximately 2.8p/kWh to the non-commodity charges paid per unit of electricity consumed.

DUoS charges

Reviews are currently taking place looking at the viability of including DUoS (Distribution Use of System) charges within the exemption scheme, with a view of adding them to the list of exempt charges in 2025. If these are included this could lead to the total discount being worth approximately 9p/kWh.

Projected Savings

For an eligible business that is currently consuming 25,000 kWh per month at a current rate of 30p/kWh, they will be paying 26.5p/kWh when factoring in the current discount. Under the current scheme, their monthly expenditure is £6,625. With the enhanced scheme, they could expect to be paying £5,770 when the further discount takes effect in October. And if the DUoS charges are added to the exemption scheme, their monthly costs would fall to £5250, representing an over 20% discount from their current electricity costs.

The evolution of the EII Energy Scheme marks a pivotal moment for energy-intensive industries in the UK. By focusing on comprehensive relief for non-energy costs, coverage of network costs, and strategic exemptions, the enhanced scheme paves the way for substantial savings. As April 1, 2024, approaches, businesses are encouraged to assess the changes and seize the opportunities for enhanced competitiveness and financial efficiency.

If you need help checking your eligibility or applying for the scheme, reach out to us today . We can assist your business in ensuring you receive all of the eligible discounts.

Government support in the manufacturing sector

Wed, 03 Dec 2025 12:21:46 GMT

Government support in the manufacturing sector

Over the past 2 years energy prices have risen significantly, impacting both consumers and producers. Few sectors have felt the pain

of rising energy prices more than the manufacturing industry.

The government is providing a number of support measures to help the manufacturing industry to improve its energy efficiency and reduce its energy costs. The following schemes and programmes were designed to assist businesses in reducing their energy spend and to invest in more environmentally friendly technologies.

The Industrial Energy Transformation Fund (IETF)

The Industrial Energy Transformation Fund (IETF) is a government fund designed to help businesses with high energy use to cut their energy bills and carbon emissions, through investing in energy efficiency and low carbon technologies. The fund is open to businesses of all sizes in all sectors, but it is particularly targeted at businesses in the energy-intensive industries sector.

The IETF provides funding for a variety of projects, including:

Feasibility and engineering studies for energy efficiency and low carbon technologies
Deployment of energy efficiency and low carbon technologies
Development of new energy efficiency and low carbon technologies

The IETF is open to businesses that can demonstrate that they have a clear plan to reduce their energy costs and carbon emissions.

The fund has the potential to make a significant contribution to the UK's efforts to reduce its carbon emissions and is expected to help businesses to save over £1 billion in energy costs. Reducing their carbon emissions by over 2 million tonnes per year.

Its aim is to help businesses to reduce energy costs, improve competitiveness, increase investment in energy efficient equipment, and assist with job creation.

The Manufacturing Energy Toolkit

Available to SMEs, the Manufacturing Energy Toolkit provides access to experts and equipment, and can include a complimentary energy assessment or energy transition roadmap. In-depth assessments can be carried out at the production site to see which areas can benefit from immediate energy reductions.

Once the problem areas have been identified, a plan for further consumption cuts can then be put in a place with a view to significantly reducing the energy bills.

During the pilot scheme it was found that total energy in production can be almost halved, with up to 90% energy reductions achieved from individual machines. This process also takes a look at greenhouse gas emissions with a view to helping businesses improve their sustainability.

The Energy Intensive Industries (EII) scheme

This scheme was designed to help businesses reduce their energy costs and improve their competitiveness, qualifying sectors for this scheme included engineering, mining, steel, and meat processing.

While the scheme is still running, it is now closed to new applicants and is planned to be phased out by 2025, although there are talks to provide other industry specific schemes that may replace some of the cost reductions lost when the EII is phased out.

If you would like further information or assistance with any of these schemes, or would like to see other ways in which we can help you reduce your energy spend, then contact us today. We are currently offering a 3 month free trial of our Energy Manager/Bill Validation system, and we can assist you in making sure you get the best rates when your contracts enter their renewal window.

How the ETII discount works

Wed, 03 Dec 2025 11:50:09 GMT

Receiving the ETII discount

The Scheme

The UK government has introduced a new scheme to help energy-intensive businesses cope with rising energy costs. The Energy and Trade Intensive Industry (ETII) scheme provides a discount on energy bills for businesses that meet certain criteria.

Unlike other government discount schemes , eligible companies will need to apply to receive the discount. There is also a deadline for this scheme, and

applications need to be received by the 25th of July 2023 in order for an organisation to receive the discount during the period of April 2023 – March 2024.
In our previous article we gave an outline for what this scheme entails and who is eligible to apply for it.

Today’s article will follow on from that showing what you can expect to happen after your application has been submitted and how your discount will be applied.

After the application

After the submission of an application there will be a review conducted by the Department for Energy Security and Net Zero (DESNZ). Successful applications will then be issued with an ETII certificate.

If there are changes to the business that may affect their eligibility to the scheme they will be required to reapply. Such changes could include a change of supplier, change of meter numbers, or changes that mean they no longer generate 50% of their revenues from UK activity.

How the discount is applied

Once an application has been successful the ETII discount will be applied to bills where the prices are above the thresholds outlined.

With the ETII discount there are thresholds of 9.9p/kWh for gas and 18.5p/kWh for electricity, and there are maximum discounts of 4p/kWh for gas and 8.9p/kWh for electricity.

These discounts can apply to up to 70% of energy used.

Example: If a company with the ETII discount is consuming 10,000 kWh/month and is paying over 27.4p/kWH then they will be entitled to the 8.9p/kWh discount on 70% of consumption.

This 8.9p discount per unit would see save almost £7,500/year just through the ETII discount.

If the same company were consuming 100,00kWh/month then they would be making a monthly saving of £6,230.

Where a business is paying over 30.2p/kWh for electricity they will still be entitled to the government’s baseline support discount, even when they are eligible for the additional ETII discount.

Given that the scheme has a lower threshold than the government’s baseline support discount it is important for eligible companies to complete their application before the deadline and to ensure that they receive the maximum amount of support that they are entitled to.

Further Help

If you require any help with your application or would like assistance in gauging whether your business qualifies for the discount, then don’t hesitate to get in touch with one of our trained advisors at Seemore Energy. We can help you through every step of the process and ensure you receive the full discount that you are entitled to.

Don’t risk missing the deadline, allow us to check your eligibility today.

TCR Banding

Wed, 03 Dec 2025 11:17:33 GMT

TCR Banding: A Powerful but Overlooked Way to Lower Energy Costs for UK Businesses

As UK business energy prices continue to fluctuate at historically high levels, companies across the country are under increasing pressure to find reliable ways to lower energy costs . With government levies, non-commodity charges, and market instability all contributing to rising bills, businesses must now look beyond traditional energy-saving methods to manage their expenses. In previous articles we looked at how to lower kVA charges , and published a guide on how to lower business energy costs.

One such method gaining attention is TCR Banding - a relatively lesser-known, yet impactful solution for reducing DUoS and TNUoS charges.

What Is TCR Banding?

TCR Banding is part of the Targeted Charging Review (TCR), a reform introduced by Ofgem in 2022. Its goal is to ensure a fairer, more consistent system for charging UK electricity users for their share of the grid's maintenance costs -- specifically the Transmission Use of System (TUoS) and Distribution Use of System (DUoS) charges.

Instead of charges being based on when energy is used (which could be manipulated by large users), charges are now fixed and based on how much energy is typically consumed or the agreed capacity. This is where TCR Bands come into play. This leads many businesses ask what is their TCR banding? As, without having previously discussed this with your DNO , you could be in the dark regarding exactly which TCR band your sites are in.

What Are TCR Bands?

TCR Bands categorise electricity meters into different levels based on their voltage type and agreed kVA capacity. These bands determine the fixed DUoS and TUoS charges applied to a business's energy bill.

For Low Voltage (LV) Half-Hourly Meters:

Band 1: 0 – 80 kVA
Band 2: 81 – 150 kVA
Band 3: 151 – 231 kVA
Band 4: 232 kVA and above

For High Voltage (HV) Half-Hourly Meters:

Band 1: 0 – 422 kVA
Band 2: 423 – 1,000 kVA
Band 3: 1,001 – 1,800 kVA
Band 4: 1,801 kVA and above

The higher your TCR band, the more you'll pay in fixed DUoS and TUoS charges, making it essential for UK businesses to ensure their banding is correctly assigned.

Who Assigns Your TCR Band?

Your Distribution Network Operator (DNO) is responsible for assigning your TCR Band. DNOs are regional companies that manage the physical infrastructure delivering electricity to your site. They’re the ones compensated through DUoS and TUoS charges shown on your business energy invoice.

The initial banding is typically based on your historic energy consumption and agreed capacity, but each DNO may have slightly different processes for determining and reviewing your band.

How to Check Your TCR Band

Unfortunately, your TCR Band is not usually listed on your energy bill , making it hard to verify whether you’re in the correct category. To confirm your banding, you often need to contact your DNO directly -- or work with a business energy consultant who can check it on your behalf.

Why Your TCR Band Could Be Wrong - and Costing You Money

Many UK businesses may be overpaying on DUoS and TUoS charges due to incorrect or outdated TCR Band assignments. If your energy consumption has decreased in recent years --due to efficiency upgrades, changes in operations, or energy-saving initiatives -- your band may no longer reflect your actual usage. Without a manual review, you might be stuck in a higher band, paying more than necessary in fixed network charges.

Lower Your Energy Costs Through TCR Band Reviews

If you're looking for a strategic, often overlooked way to lower your UK business energy costs , reviewing your TCR Banding could be a game changer. Ensuring accurate band classification not only reduces unnecessary charges but also maximizes the impact of your energy-saving efforts.

At SeeMore Energy, we offer a free review of your TCR banding to help identify potential savings. If you're unsure whether your business is being billed correctly, contact us today -- our team is here to support you in cutting costs the smart way.

How CCL charges have changed

Wed, 03 Dec 2025 10:59:44 GMT

The Climate Change Levy (CCL) -- a tax on business energy use to encourage environmental responsibility -- is seeing an increase in rates for gas and solid fuels starting April 1, 2024. This is designed to help with the government's goal of achieving net zero emissions by 2050.

What is the CCL?

The CCL is an environmental tax added to the electricity and gas bills of businesses and public sector organizations. It incentivises reduced greenhouse gas emissions and improved energy efficiency.

There are two main CCL rates:

Main Rate: Applies to all businesses in relevant sectors and varies depending on energy usage.
Carbon Price Support Rate: Applies to electricity generators and combined heat and power station operators (not changing in 2024).

What's Changing?

Main Rate Increase: The CCL rate for gas is rising from 0.672 pence per kilowatt-hour (p/kWh) to 0.775 p/kWh, matching the existing rate for electricity. This increase aims to create a level playing field between these energy sources and encourage businesses to be more efficient with both.
Solid Fuel Rate Increase: The rate for other solid fuels is also rising proportionally to gas.
Discount Rate Adjustments: Businesses participating in Climate Change Agreements (CCAs) receive discounts on the CCL in exchange for meeting energy efficiency targets. These discounts are being adjusted to reflect the main rate increase, ensuring CCA participants don't pay more tax.
LPG Rate Frozen: The CCL rate for Liquefied Petroleum Gas (LPG) remains unchanged.

Impact on Businesses

This CCL change will lead to higher energy bills for businesses that rely on gas and solid fuels. To mitigate the financial impact, businesses can explore options such as:

Energy Efficiency Audits: Identify areas of energy overuse and implement efficiency measures like LED lighting or improved insulation.
Renewable Energy Solutions: Consider switching to renewable energy sources like solar panels to reduce reliance on taxed fuels.
Ensuring they have the most competitive rates: By comparing all rates available or using a broker to negotiate on their behalf, businesses can make sure they are not over-paying on their unit rates.

The CCL is intended to be a nudge towards environmental responsibility, encouraging businesses to adopt cleaner energy practices. By taking steps to improve energy efficiency, businesses can not only reduce their environmental footprint but also potentially offset the financial impact of the CCL increase.

If your business requires advice on how to lower energy bills or create a reduction in carbon emissions, contact us today to see how SeeMore Energy can help you.

Understanding Your Energy Bill: Environmental Charges

Wed, 03 Dec 2025 10:47:30 GMT

Understanding Your Energy Bill: Environmental Charges

Environmental Charges

In 2019, the UK government set a target to achieve net zero carbon emissions by 2050. In order to meet this target, numerous environmental and green energy schemes were introduced to encourage households and businesses to switch to renewable energy sources and reduce their carbon footprint. These schemes are funded through charges that are included in electricity bills. Here is what each charge means:

Feed-in Tariff (FIT)

The Feed-in Tariff (FIT) scheme is designed to encourage households and businesses to generate their own renewable electricity, such as solar or wind power, by offering them a payment for every unit of electricity they generated.

The FIT payments are made up of two parts: a generation tariff and an export tariff. The generation tariff paid the owner of the renewable energy system for every unit of electricity they generated, regardless of whether they used it themselves or exported it to the grid. The export tariff paid the owner of the system for every unit of electricity they exported to the grid.

Those who don’t generate energy pay for the scheme through the FIT charge. This surcharge is currently between 0.30-0.35p per kWh of electricity consumed. This may vary slightly between suppliers, but all suppliers are obligated to include this charge.

Renewables Obligation (RO)

The Renewables Obligation (RO) scheme was introduced in April 2002 and was designed to encourage energy suppliers to source a specified percentage of their electricity from renewable sources.

Under the RO scheme, energy suppliers were required to buy Renewable Obligation Certificates (ROCs) from renewable energy generators. The number of ROCs required depended on the size of the supplier and the amount of electricity they supplied.

The cost of the RO scheme was funded through a levy on electricity bills. The amount charged can vary depending on the energy supplier but from April 2022-March 2023 the charges were between £25.96-£27.52 / MWh.

Climate Change Levy (CCL)

The Climate Change Levy (CCL) was introduced in April 2001 and is paid by most businesses and public sector bodies that use energy. The CCL is a tax on energy use that is intended to encourage organisations to reduce their carbon emissions.

The CCL is charged on the units of energy used, such as gas and electricity, and is charged at a rate of £0.00775/KWh of electricity used, or £0.00672 per KWh of natural gas used. Unlike other charges on your bill, the CCL is not set by the supplier but by the government and will be billed at the same rate regardless of who your supplier is.

The money raised from the CCL is used for energy efficiency and renewable energy projects. A part of the revenue is also used to compensate energy-intensive industries for the extra costs they face as a result of the CCL.

There are exemptions from the main rate of CCL depending on how the supply is used, where it is used, and if consumption doesn’t meet De minimis limits.

To find out if you are eligible to be exempt from any CCL charges or to find out more about your bills, don’t hesitate to contact Seemore Energy for more information and guidance.

Understanding Your Energy Bills: Unit Rates

Wed, 03 Dec 2025 10:33:08 GMT

Understanding Your Energy Bills: Unit Rates

What are Unit rates?

Unit rates are the price you pay for each kilowatt hour (kWh) of gas or electricity you use. They are typically the largest charge on your energy bill and are directly related to how much energy you consume.

Unit rates vary from supplier-to-supplier, and they will normally remain fixed for the duration of a contract. However, when comparing the market to find a deal, they will vary daily. Meaning the timing of signing your contract can greatly impact the rates you pay for the duration of the contract.

Which factors affect the unit rates a supplier will offer?
Unit rates are typically influenced by a number of factors, including:

The cost of fuel: The cost of gas and electricity is linked to the global price of fossil fuels, such as oil and gas. The UK relies heavily on gas, even for electricity production, so fluctuations in wholesale gas markets can have a large impact on the unit rates being offered.
The cost of infrastructure: The cost of building and maintaining the energy grid is also passed on to consumers through unit rates.
The perceived risk/volatility in markets: During times of perceived higher volatility, suppliers will look to price in a larger cushion between the wholesale prices they are paying and the unit prices they offer. This is designed to limit their risk should the wholesale prices rise significantly.
The supplier's profit margin: Energy suppliers make a profit on the energy they sell, which is also factored into unit rates. With different suppliers having different approaches to the margins they apply to each customer.

How to reduce your unit rates

In a fixed contract the unit rate will remain the same for the contract’s duration. However, there are a few ways to ensure you get the best available unit rates when signing your contract:

Comparing as many suppliers as possible: Energy suppliers compete for customers, so it is possible to find a better deal by switching to a different supplier. By shopping around and completing a full-market comparison , you can see which supplier is offering the best rates for the length of contract you desire.
Timing when to renegotiate your contract: You can typically sign your next contract up to 6 months before the end of your existing contract. By paying attention to the market, existing trends, and which variables are likely to influence future prices, you can try to sign your contract at the most opportune time. For analysis on how the market is moving and the key factors impacting price, sign up for our free monthly market updates and receive advice on how the markets are moving: https://www.seemoreenergy.co.uk/newsletter
Flexible Contracts: With a flex contract you don’t sign a fixed unit rate, but instead can purchase your energy for upcoming months and seasons. With this type of contract you often avoid the risk premiums included in fixed-price contracts .

If you would like more information on any aspect of your energy bills or would like us to conduct a free full-market comparison on your behalf, get in touch and we’ll happily work to assist with your business energy needs. We aim to provide the confidence and accountability that allows you to revert back to the core focus and operations needed in other areas of the organisation.

To learn more about how I can help, feel free to contact me at adam@seemoreenergy.co.uk or click on contact for one of our skilled team members to get in touch.

Understanding Your Energy Bill: Use of System Charges

Wed, 03 Dec 2025 08:53:12 GMT

What are the use of system charges?

On your electricity bill, you may notice three "Use of System" charges listed among the various fees and costs. These are:

In this article we will explain what they are and why they are charged.

DUOS

Distribution use of system charges are applied by the local distribution company for using their network to transport electricity from the national grid to the user.

They can include a DUOS standing charge which covers the cost of maintaining and operating the local distribution network. This is a fixed charge and is based on the size of the connection to the network.

There are also DUOS unit charges relating to the amount of electricity consumed. These unit charges can come in red, amber, and green depending on the time of day and reflect the demand on the local area network. During times of high demand the charge will be classed as red, which is the highest of the 3 unit costs. During times of low demand the charge will be green, the lowest of the 3 unit charges. Amber charges fall in between red and green, being applied to periods of medium demand.

The amounts charged for these can vary depending on the type of meter, distance from the connection point, and the available supply capacity. On average, red charges are 50 times more than amber charges, and 450 times more than green charges.

These charges are designed to encourage users to consume less electricity during peak hours and encourage use during times when there is less demand on the grid.

Can DUOS charges be reduced?

One way to reduce costs is to monitor when energy is being used and – where possible – try to conduct energy-intensive activities outside of peak demand hours. By understanding when you normally use the most electricity you can begin to assess which activities can take place during hours when the demand across the grid is less intense.

For those with half-hourly meters, this can be possible if you have an energy monitoring service -- such as the one included with our bill validation portal. Clearly seeing how much you consume at different times of the day, and different days of the week, can offer valuable insight into your consumption patterns.

TUOS

Transmission Use of System charges are applied by the National Grid for the use of their high-voltage electricity transmission network which transports electricity from power stations to the local distribution networks.

These charges cover the cost of maintaining and operating the high-voltage electricity transmission network and are calculated based on the amount of electricity consumed.

They are charged at a fixed rate per kWh.

BSUOS

The Balancing Services Use of System (BSUoS) charge covers the costs incurred by the National Grid for balancing electricity supply and demand in real-time. The BSUoS charge reflects the cost of maintaining the stability and security of the electricity system and is calculated based on a consumer's share of total electricity.

The charge can vary widely based on levels of renewable energy generation, changes in demand, and unexpected events that affect the grid's stability.

If you would like to know more about any of the charges on your bill or receive advice on how to get the best deal when renewing your contract then please don't hesitate to contact our team at admin@seemoreenergy.co.uk

Understanding Your Energy Bills: Capacity Charges

Wed, 03 Dec 2025 08:44:50 GMT

Understanding KVA Capacity Charges and How to Save Money

KVA capacity charges are a vital, yet often confusing, aspect of your electricity bill. This article explains what they are, how they are used, and how you can potentially reduce them.

What are KVA Capacity Charges?

Imagine your electricity supply like a motorway. KVA (Kilo Volt Amperes) represent the width of the lane allocated to your business. This reserved space ensures you have enough power to meet your peak demands, whenever needed.

These charges reflect the cost of maintaining this dedicated capacity on the grid, even if you don't use it all of the time. They are set by your local Distribution Network Operator (DNO) and are billed separately on your electricity invoice.

Example:

A manufacturing plant has a high-power demand during operation.
The DNO allocates a capacity of 50 KVA to ensure the plant has sufficient power readily available.
This translates to a daily charge (based on the current rate) of: 3.18 pence/kVA * 50 kVA * 1 day = £1.59

Reducing KVA Capacity Charges

Here's the good news: You can potentially lower your KVA charges by optimising your power usage:

Monitor your consumption: Analyse your meter readings and HH data to identify periods of high energy use
Spread the load: Try to distribute high-power activities throughout the day, instead of concentrating them in short bursts.
Shift tasks: Schedule non-critical tasks for off-peak hours when there's less demand on the grid.
Upgrade equipment: Consider investing in energy-efficient equipment that consumes less power.

Lowering your KVA Allowance

By contacting your DNO, you can formally request a reduction in your allocated KVA capacity. This essentially reduces the width of your reserved lane on the grid.

The reduction process is a free service as it doesn't involve physical changes to the network but it's important to consider that future capacity increases might incur charges. As such, it's valuable to know how the consumption of each meter within the business is likely to change over the coming years.

Key Takeaway

KVA capacity charges ensure you have reliable access to the power you need. However, by understanding your consumption patterns and implementing strategic changes, you can potentially reduce these charges and save money on your electricity bill.

Additional Notes:

Capacity charges might be represented as "DUoS" (Distribution Use of System) on your bill.
Your DNO can help assess your meter readings to determine if a capacity reduction is suitable for your business.

By implementing these strategies, you can gain better control over your KVA capacity and potentially achieve significant cost savings on your electricity bill.

If you would like your KVA charges reviewed to see if you can reduce your capacity charges, contact us today. We can conduct a free review to see if you’re a suitable candidate for reduced capacity charges.

Understanding Your Energy Bills: Meter Reads

Wed, 03 Dec 2025 08:23:34 GMT

Understanding Meter Reads and Avoiding Estimated Bills

In today's world of rising energy costs, keeping a close eye on your household bills is more important than ever. One way to ensure you're paying for the exact amount of energy you use is by understanding meter reads.

What is a Meter Read?

A meter read is simply the recorded measurement of your energy consumption, typically electricity or gas. This measurement is taken by a representative from your energy supplier or captured electronically by a smart meter. Traditional meters have dials with numbers that rotate as you use energy, while smart meters display the reading digitally.

Taking a Meter Read Yourself

While many suppliers now rely on smart meters for automatic readings, some households might still have traditional meters. There are various types of meters, and how to take the read can vary between them. We have published a free guide for how to take meter reads covering various meter types. If you would like a copy of this guide, leave your email address in the form at the bottom of this page and we will send you a free copy.

Why are Meter Reads Important?

Meter reads are crucial for ensuring accurate energy bills. When your supplier doesn't have a recent meter read, they estimate your usage based on past consumption or averages for similar properties. While estimates can be helpful in some situations, they can often be inaccurate, which can lead to overcharging.

Imagine a scenario where your electricity supplier consistently estimates your usage for several months. For example, they consistently overestimate your usage by 20% each month for six months. This means you'd be unknowingly paying an extra 20% on your bill every month. Over a six-month period, this could amount to a significant sum of money.

By regularly submitting meter readings, you can ensure your bills reflect your actual usage, preventing such overcharges.

Alternatively, if you are under-paying by 20% each month, you can then be left with an unpleasant lump-sum to pay when the supplier eventually checks how much energy is actually being consumed.

Benefits of Providing Meter Reads

There are several advantages to submitting meter readings yourself:

Accurate Bills: As mentioned earlier, meter reads ensure you're charged for the exact amount of energy you use, preventing overcharges due to inaccurate estimates.
Budgeting: Knowing your exact energy consumption allows you to better understand your usage patterns and budget accordingly. This can be particularly helpful if you're looking for ways to reduce your energy consumption and save money.
Identifying Leaks or Faults: Sudden spikes in your meter readings could indicate a potential leak in your gas pipes or a faulty appliance using excessive energy. Regular meter reads can help you identify such issues early on, saving you money on repairs and wasted energy.

How Often Should You Submit Meter Reads?

The frequency of submitting meter reads depends on your supplier and billing cycle. Some suppliers might read your meter themselves every few months, while others may rely on you to submit readings periodically. We recommend always submitting a meter read on the final day of the month to ensure accurate bills.

Taking Control of Your Energy Bills

By ensuring accurate readings, you can avoid overcharges and gain valuable insights into your energy usage patterns. This knowledge can help you make informed decisions about your energy consumption and potentially save money on your bills. So, the next time you receive an estimated bill, consider taking a meter read and submitting it to your supplier. It's a simple step that can make a significant difference in your energy budget.

If you would like more information on meter reads and how to take them, contact us today, or visit our guides page, and we will send you free PDF copies of our guide to taking meter reads .

The EII Support Levy (ESL)

Wed, 03 Dec 2025 08:11:39 GMT

EII Support Levy UK: Understanding the Charge and Exemptions for Businesses

The EII Support Levy UK is a new charge impacting energy bills for many UK businesses. Introduced in April 2025, this levy funds the Exemption Scheme for Energy Intensive Industries (EIIs) , ensuring UK businesses with high energy costs remain competitive internationally. This guide explains what is EII Support Levy energy bills , who needs to pay it, and how to navigate EII exemption UK businesses to manage energy costs effectively.

What Is The EII Support Levy?

The EII Support Levy is a government-introduced charge added to non-domestic energy bills to support the EII Exemption Scheme . This scheme reduces energy costs for businesses classified as Energy Intensive Industries (EIIs) , identified by specific SIC codes. Non-EII businesses bear the cost of this levy to offset exemptions for EIIs, helping energy-intensive sectors stay competitive in global markets.

Which businesses need to pay it?

All non-domestic UK energy users without an eligible SIC code classifying them as an Energy Intensive Industry must pay the EII Support Levy. The application of the charge varies by supplier, with some still clarifying their implementation methods. Businesses should confirm with their supplier how the levy is applied to their EII Support Levy energy bills.

How much is the charge likely to be?

The initial estimated rate of the EII Support Levy is expected to be between £0.90 - £1.40 per MWh (or £0.0009 - £0.0014 per kWh).

This means:

A business using 500,000 kWh annually could expect to pay an additional £700 per year , whereas a larger site using 2 million kWh may see a cost impact of £2,800 annually .

While this is lower than many other non-commodity charges , it’s still important for businesses to factor it into their energy budgets.

Which suppliers have confirmed how they will apply the charge?

Whilst you should check with your supplier to confirm how they will be applying the charge, the following table is based on announcements made by suppliers in regard to how they plan to implement the ESL:

What do you need to do?
In order to assess whether your business your business qualifies for an EII exemption , you need to know whether your business is regarded as operating under an eligible SIC code. The full list of SIC codes can be found from page 28 on the following government document: Energy Intensive Industries (EIIs): Guidance for applicants seeking a certificate for an exemption

If your business has an eligible SIC code then you may apply for a certificate of exemption.

If your business does not have an eligible SIC code but you believe it has been incorrectly classified then you can apply to change the SIC code.

For businesses that do not have the exemption, it is important to understand how your supplier will be applying this charge and then to ensure it is applied correctly.

Navigating the EII Support Levy UK and EII exemptions can be complex. SeeMore Energy offers expert support to:

Assist with applying for an EII exemption certificate .
Guide you through re-classifying incorrect SIC codes.
Verify that the EII Support Levy is correctly applied to your energy bills

Contact SeeMore Energy today to speak with experienced advisers who can help you manage your energy bills and ensure compliance with the EII Exemption Scheme .

Back Billing

Wed, 03 Dec 2025 07:56:06 GMT

Back Billing: Understanding OFGEM Rules and Avoiding Unexpected Energy Costs in the UK

Recently we have been seeing an increase in suppliers issuing invoices for charges that are more than 12 months old. Back billing can catch UK businesses and households by surprise, leading to unexpected energy costs. This guide explains what is back billing , the OFGEM back billing rule , and practical steps to avoid energy back bills.

What Is a Back Bill?

Back billing occurs when an energy supplier issues an invoice for energy used but not previously billed accurately. This could result from missed meter readings , estimated charges, or issues with consumption data. These bills can cover usage from weeks, months, or even over a year, leading to significant unexpected costs for UK energy users.

The 12-Month Back-Billing Rule

The OFGEM back billing rule protects domestic energy users and microbusinesses in the UK. Under OFGEM regulations, suppliers cannot charge for energy used more than 12 months ago if:

You never received an accurate bill for that period, even after requesting one.
You were not informed of charges through a statement of account.
Your Direct Debit was set too low to cover actual usage, and the supplier failed to adjust it.

This OFGEM back billing rule ensures suppliers cannot unfairly burden customers with old charges due to their own errors.

Exceptions to the OFGEM Back Billing Rule

You may be liable for charges older than 12 months if the billing issue is your fault. For instance, if you deliberately prevented meter access or ignored billing requests, suppliers can back-bill for up to six years. Understanding these exceptions can be key to managing back billing on UK energy invoices.

How to Handle a Back Bill

If you receive a back bill, follow these steps to ensure compliance with the OFGEM back billing rule:

Check the 12-Month Limit: Verify if the charges are for energy used over 12 months ago. If the supplier is at fault, you’re not obligated to pay for older charges under OFGEM rules.
Contact Your Broker or Supplier: If you use an energy broker, they can verify which charges are valid. Alternatively, contact the supplier directly, citing the OFGEM back billing rule, and request a revised bill.
Keep Detailed Records: Save bills, emails, and photos of meter readings. These are essential for resolving disputes and avoiding unfair back billing energy UK.

How SeeMore Energy Can Support You

We recognise the stress that back billing can bring. At SeeMore Energy, we go beyond advice:

We help you analyse contract terms, standing charges, Direct Debit levels, and usage profiles to ensure accuracy from the start.
Should a back bill arise, we guide you through each step: Whether negotiating with the supplier quoting the OFGEM back billing rule or escalating to ombudsmen.
Our industry insight means you don’t just deal with the bill -- you understand it. Allowing for both budgeting and efficiency.

We are also currently offering a Free Trial for our Bill Validation Service where each month we ensure every part of your invoices are correct.

Tips to Avoid Back Bills in the Future

Get a smart meter : It allows the supplier to receive direct readings without the need for estimates and manual reads. Many suppliers will offer smart meter upgrades without charge.
Submit regular readings : If you don’t have a smart meter, record and send your usage consistently – preferably on the last day of the month.
Review all bills carefully or use a Bill Validation service : Check meter numbers, usage, dates, and charges. Be aware of which Non-commodity charges you should pay, how they are calculated, and when they change. This is especially important after a move or supplier change.
Keep your supplier informed : Notify them if you move, change meters, or need to revise a Direct Debit in light of actual usage.

Understanding back billing and the OFGEM back billing rule empowers you to manage energy costs effectively. By staying proactive and leveraging expert support, you can avoid energy back bills and ensure billing accuracy. If you're unsure of your rights or how to act, contact us today at SeeMore Energy , and we will help you with any billing issues you may have.

Nuclear Regulated Asset Base Levy

Wed, 03 Dec 2025 07:39:40 GMT

Nuclear Regulated Asset Base Levy: What It Means for Your Electricity Bills

From this autumn, UK businesses will see a new charge appear on their electricity invoices: the Nuclear Regulated Asset Base (RAB) Levy. This charge will help finance new nuclear power stations such as Sizewell C, but it also means yet another non-commodity cost will be added to bills.

What is the RAB model?

The Regulated Asset Base (RAB) model is not new and has been used for decades to fund water networks, energy grids, and other large-scale infrastructure. Instead of waiting until projects are completed, it allows investors to receive steady returns during construction. The aim is to lower the overall cost of borrowing by sharing risk between developers, government, and consumers.

In 2022, the Nuclear Energy Financing Act cleared the way for this model to be applied to nuclear energy. The logic is that by reducing financial risk, investors will be more willing to commit to long-term projects. For the government, it helps accelerate the nuclear build-out that is essential to the UK’s 2030 clean power targets. For consumers, however, it means paying towards new power plants years before they produce a single kilowatt-hour and before they can help lower unit rates.

How will it appear on bills?

All suppliers will be required to contribute to the scheme, and almost all will pass the cost through to customers. Charges will be administered by the Low Carbon Contracts Company (LCCC) and regulated by Ofgem.

Two key elements are included:

The Interim Levy Rate (ILR) – the main charge, starting at £3.455/MWh (0.345p/kWh) from 1 November 2025.
The Operational Costs Levy – a much smaller addition at £0.0028/MWh .

These prices are only confirmed the first few months and can vary thereafter. Suppliers will be billing based on forecasts each quarter, with reconciliations to be applied later.

If any supplier defaults, other suppliers are obliged to cover the shortfall, which will again be passed on to customers.

Who will be paying these charges?

The levy will apply across the board, but there is an exemption for companies qualifying under the Energy Intensive Industries (EII) scheme. These businesses, often in manufacturing or heavy industry, can avoid the Nuclear RAB charges if they hold a valid certificate.

For everyone else, the levy will be applied alongside other non-commodity costs.

While suppliers may delay passing the charge to customers in fully fixed contracts, most have terms that allow them to adjust in line with regulatory changes.

What does this mean for businesses?

For many, this will be another charge brought about by the government with seemingly little regard for how it affects the global competitiveness of UK businesses. Although, it will contribute towards a decrease in unit rates and an increase in energy security for the long-term.

November 2025 Review

Tue, 02 Dec 2025 13:12:10 GMT

Whilst November’s budget may have disappointed businesses hoping for governmental assistance in the battle against high energy prices, the wholesale market offered some hope. With the mandated need for EU nations to replenish their reserves now in the rear-view mirror, buying pressure dissipated, and there were many positive stories that helped send prices downwards.

The first half of the month saw small rises and drops that largely cancelled each other out, but from November 18th through to the 28th, wholesale gas prices fell approximately 12% and reached their lowest levels since July’24. There is normally a slight delay before the wholesale price drops are passed on to the end user, but for those with contract expiry dates in the next 6 months, the coming weeks may present opportunities to obtain quotes at rates more favourable than at any other point in 2025.

One of the main reasons for optimism regarding future gas supplies is the peace talks being held between Russia and Ukraine. Any formal deal will almost certainly include a lifting of sanctions on Russian gas sales and provide a significant supply boost to the global market. However, there may still be obstacles to overcome before any peace plan is finalised with Ukraine and Russia both unwilling to concede territory.

Further positive geopolitical news came as the Houthis have ceased attacking shipping routes in the red sea. There had been fears that this could cause a disruption in LNG shipped from Qatar, but with the announcement of last month’s ceasefire between Israel and Palestine, Yemen’s Islamic political and military organisation have halted their naval assaults.

LNG supply from the US also helped lower wholesale prices with the States exporting 10.7 million tonnes of LNG in November – setting a record for the most LNG exported by a single nation in a calendar month. This represents a 40% year-on-year increase in US gas exports with further LNG becoming available for shipping early in 2026.

While there had been an anticipation that the government would address the impact their green levies were having on business energy bills, there was little reprieve offered in the budget . This lack of assistance has made it more important than ever for UK businesses to be proactive in reducing energy costs. If your business would like advice on cost-saving methods that can show quick energy spend reductions, contact us today for free, no-obligation advice.

Outlook

November had started with planned outages for the Norwegian gas fields which are responsible for a large portion of the gas exported to the UK. However, no further outages are now planned for the remainder of the winter, and the UK should receive a steady supply of gas from the Norwegian pipelines.

Global LNG exports are currently in a healthy position but are expected to improve in early 2026 when the Louisiana-based Golden Pass begin exporting. This is expected to add 18.1 million metric tonnes of gas to the global supply. Without further increases in demand, this should assist in lowering global energy prices.

With the supply picture looking it’s healthiest in recent memory, it will be worth keeping an eye on factors that impact demand. November began with temperatures above the seasonal norm and stronger-than-expected wind generation. Early forecasts are showing that we may be in for a milder winter, however, the risk of cold snaps increasing consumption remains as was evidenced later in November when overnight temperatures dropped sharply.

It seems likely that prices will continue to drop during the winter period. As long as the weather doesn’t drop to levels that causes larger demand, and there are no geopolitical events that create uncertainty for energy production or transit, it is reasonable to expect further drops in price that could take the wholesale market back to levels not seen since May of 2023.

How the 2025 Budget Neglects the Concerns of Struggling UK Businesses

Tue, 02 Dec 2025 13:06:51 GMT

With many British businesses struggling to navigate the challenges that soaring energy costs have had on their ability to compete internationally, there was a sense of optimism that the government would introduce measures designed to alleviate the pressure that many companies have been burdened with.

As we close out 2025, Energy costs are typically within the top 3 overheads for any business operating from commercial property & rising costs are fast becoming the most significant risk to sustainability, which has far wider impacts to the UK economy.

Unfortunately, no such measures were forthcoming and the announcement fell flat for those that need it most. Hopes of expanding the NCCor EII discounts to further sectors, or reducing VAT levels on gas and electricity, turned to disappointment, as only minor changes were announced.

One such change was the government’s decision to abolish the Energy Company Obligation (ECO) and to fund a substantial portion of Renewables Obligation costs through general taxation. Although these measures are aimed at easing pressures on domestic consumers, they also remove some of the cost drivers within the wider energy system. With fewer policy-driven levies feeding into wholesale and supplier operating costs, businesses may experience a modest dampening effect on future price rises, although this is unlikely to translate into immediate or substantial reductions in commercial tariffs.

The Budget did reinforce the government’s commitment to green investment through its updated Green Financing Framework, which will fund green expenditures that tackle climate change, rebuild natural ecosystems and support jobs in green sectors. While this is unlikely to have any short-term impact on energy costs, one small positive -- when compared to previous green schemes -- is that this programme will be funded by the issuance of gilts and bonds, rather than passing the cost on to suppliers who invariably pass the cost on to the end users.

Despite the need for assistance with rising energy costs, small and medium-sized enterprises (SMEs), many of which remain exposed to fixed-term contracts negotiated during the recent price spikes, are not going to see any immediate relief, and the accountability seems to remain solely at the door of the business owners to find their own ways to minimise costs.

The lack of assistance for businesses struggling with energy costs continues a pattern of UK governments valuing green initiatives and renewable investments over energy security and competitive pricing. While there was a silver-lining in the government showing a willingness to finance a green scheme without burdening the end user with further costs, many businesses will be left questioning why there is a lack of support for industries whose competitiveness is being harmed by policy costs inextricably baked into their energy bills.

Without government assistance, it is more important than ever that businesses are taking a proactive approach to lowering their gas and electricity costs themselves, and identifying the right energy consultant to partner with could be the key that unlocks the savings today’s budget announcement sadly missed.

If your business would like greater support on how to reduce your energy spend, with a short, medium and long-term horizon in mind, contact SeeMore Energy today and speak to one of our expert advisors who will help you ‘See More’. New Paragraph

The Ever-Increasing Standing Charge

Tue, 02 Dec 2025 12:47:19 GMT

The ever-increasing standing charge

While finding ways to decrease consumption can help lower your electricity and gas bills, many of the savings accrued through reduced consumption can be seemingly wiped out by constantly increasing standing charges -- charges that end-users have no control over. As standing charges continue to rise, we take a look at the reasons behind this and whether this trend is set to continue.

What are standing charges?

A standing charge is the fixed daily fee you pay for your utilities before you’ve used a single unit of gas or electricity. The intention behind the standing charge is that it covers aspects of the energy network that require funds regardless of usage levels, such as:

National Grid and local network costs
Supplier operating costs and smart metering
Some industry and government policy schemes

A recent government consultation found that around half of the typical electricity standing charge is made up of network costs alone, with a further quarter linked to operating and industry costs.

Suppliers do have some flexibility over where they can recover different costs. Analysis by the research foundation Nesta has shown that a significant share of electricity network and policy costs are recovered through the standing charge rather than the unit rate.

Why have they risen so much in recent years?

The shift has been dramatic. Between 2021 and 2023 it was found that the average standing charges had more than doubled and have further increased since then.

The main causes for these rises have been:

Post-crisis cost recovery: Supplier failures, customer debt and the cost of emergency support schemes created significant fixed costs that regulators allowed suppliers to spread through standing charges.

Network upgrades: Keeping ageing networks running is expensive. The existing networks weren’t prepared for the increasing % of energy derived from renewable sources and needed a rapid update. This was partially down to the short-sightedness of government policies forcing more widespread renewable energy usage.

Risk management for suppliers: Recovering more income through a fixed fee gives suppliers a more predictable cashflow than relying solely on units sold -- especially when wholesale prices are volatile.

The result is that low-usage businesses, who were previously able to save more by cutting consumption, now see less benefit because a larger part of the bill remains unmoved.

Are they set to keep rising?

Looking ahead, there are two key factors likely to dictate how standing charges change

On one side, Ofgem has signalled massive new investment in energy networks -- around £24 billion between 2026 and 2031 -- which it estimates could add around £100 a year to typical bills (but far more for large businesses) by 2031 in order to fund grid upgrades. In recent years, these have been exactly the sort of fixed system costs that end up in standing charges.

On the other side, there’s growing political and consumer pressure to reduce these charges. Ofgem has now confirmed that by early 2026, suppliers will have to offer at least one tariff with a lower standing charge, even if that means a higher unit rate. Although, this will be more targeted at domestic users rather than low-consuming businesses.

While it doesn’t seem likely that standing charges will drop in the near future, the pressure from end-users will likely lead to more choice regarding how much of their energy costs are made up of fixed charges. For smaller consumers, there will be a greater benefit in being able to choose a lower standing charge with higher unit rates should these offerings become standard throughout the industry.

If your business would like more information on standing charges or any of the charges that appear on your bill, don’t hesitate to contact SeeMore Energy today. Our experienced advisors can help you with bespoke strategies and advice that is tailored to your needs.

October 2025 Review

Tue, 02 Dec 2025 12:40:47 GMT

In the month of Halloween, October energy price movements were free of jump-scares. Whilst prices moved up slightly at the start of the month, they marginally decreased throughout the remainder of October. Ending the month slightly below the levels seen at the end of September.

The expectation this month was that European gas reserves would be the key story impacting energy prices. The European Network for Transmission System Operators for Gas (ENTSOG) released their report on the Winter supply outlook. This confirmed that Europe is well prepared for the coming winter, with 83 % gas reserves recorded as of the 1st of October, and infrastructure resilient enough to meet demand without Russian pipeline gas. Their projections had Europe ending the winter season with over 30% storage even in the most severe scenarios.

There is also the expectation that any unforeseen supply disruptions can be mitigated through increased LNG imports -- supporting the EU’s goal of phasing out Russian gas while emphasising continually reducing demand.

During the first week of October Russia launched a wave of drone attacks against Ukraine -- the largest since the war began. These strikes have damaged Ukrainian gas production and left storage at 42% of capacity. This has forced Ukraine to look at importing large quantities of LNG from Europe this winter.

With the deal that brought Russian gas to Europe now expired, Europe faces added demand pressure. This comes despite Europe significantly reducing Russian gas imports and increasing LNG imports from other nations.

With there currently being a large quantity of LNG available for importation, and with EU gas reserves being in a healthy position, it seems as though further conflict may not have a large impact on energy prices. This could change however if Europe were to experience a particularly cold winter.

Outlook

As we head into the colder months, weather becomes an increasingly large factor in how short-term prices move. So far, forecasts have been suggesting a warmer than normal November and December with wind output also expected to be above the seasonal norms. Should the forecasts prove to be accurate, we would expect wholesale energy prices to drop steadily throughout the winter months, but any colder-than-expected periods could lead to faster reserve usage, therefore increasing the competition for near-term LNG purchases.

Global LNG supplies are currently looking healthy with there being cargoes available for purchase should extra gas be required. LNG has long been seen as a cheaper alternative to traditional fossil fuels.

With many new supplies now ramped up and ready to export, we are seeing LNG supply being in a healthier position than ever before. When many of the forecasts for LNG demand were made a few years ago, many countries were experiencing a steady growth in energy consumption. This pattern has not continued with rising prices forcing many to review their energy usage causing LNG demand to stutter. With the demand side of the equation not growing proportionally to the supply, we could see this surplus supply cause LNG prices to drop, which would in turn lower wholesale energy costs. Without geopolitical events having a negative impact on prices, the LNG supply-demand picture could cause a steady drop in energy prices over the coming months.

Decreasing energy demand could also be further exacerbated by the US issuing large tariffs against China. Previous tariffs saw a drop in Chinese production which lowered their energy demands and saw China selling excess LNG -- adding to the already disproportionate supply-demand balance. Should this happen again, energy prices will be set to drop throughout the winter months.

If your business would like more information about how these developments impact your energy procurement, or you would like advice on any business energy related needs, get in touch with SeeMore Energy today. Our team of expert advisors can help with a range of issues, and ensure you’re not paying any more than necessary for your gas and electricity.

The British Industry Supercharger

Tue, 02 Dec 2025 12:37:08 GMT

With government-imposed charges making up an increasing percentage of business energy bills , it is becoming difficult for many UK industries to remain competitive in international markets. This led to the introduction of the British Industry Supercharger (BIS). A scheme for energy-intensive businesses that aims to counteract many of the government-imposed environmental levies and the rising transmission charges. In this article, we cover how it works and what your business needs to know to benefit from it.

What is the British Industry Supercharger?

Launched on the 1st April 2024, the British Industry Supercharger is a strategic package of relief measures aimed at energy‐intensive industries (EIIs) such as steel, metals, chemicals, cement, glass and paper.

The aim is to reduce electricity non‐commodity costs so UK foundational industries can compete with businesses in nations with lower energy costs.

The BIS is comprised of 3 sections:

1. Relief from Renewable Levies

This provides businesses with exemptions from paying Renewables Obligation (RO) , Feed-in Tariff (FiT) , and Contracts for Difference (CfD) .
These charges were added to invoices in order to fund green-power generation.
Under the Supercharger, eligible EIIs can receive up to 100% exemption from these charges.

2. Network Charging Cost Compensation

This offers discounts on electricity network charges - including Transmission Network Use of System (TNUoS) and Distribution Use of System (DUoS) fees.
These fees cover the cost of maintaining the national grid and distribution networks, but can represent a large proportion of industrial energy bills.
The BIS introduces a Network Charging Compensation (NCC) mechanism, reimbursing eligible firms for around 60% of these costs.

3. Capacity Market Exemption

The scheme offers eligible business a full exemption from Capacity Market charges.
The Capacity Market is funded through indirect charges on electricity bills with the aim of funding generators to ensure they are available during supply-peaks.

Who is eligible?

The full list of eligible industries by SIC code can be found here (pg 28) .

Why this matters to your business

If your business consumes large volumes of electricity, green levies and network charges are an ever-increasing overhead. Non-commodity costs now account for a larger portion of business energy bills than the actual units of electricity consumed. By eliminating these charges, businesses can significantly reduce their energy spend.

How to access the savings

To benefit from the scheme, businesses need to:

Check eligibility : Your business must be classed as an “energy‐intensive industry” (EII) and hold a valid EII certificate.
Register and apply : For network charging compensation, businesses must apply via an online portal (administered by Elexon) and meet quarterly application windows.
Monitor ongoing changes : The scheme is being developed further -- network charge relief is expected to increase (for example from 60% to higher levels), and eligibility may broaden in future.

For many sectors, the savings made from this scheme can be the difference between being competitive internationally and being unable to compete.

If you’d like to explore how the British Industry Supercharger could reduce your energy costs -- or need expert support in checking your eligibility and applying for an EII certificate -- get in touch with us today . Our team can provide clear, no-obligation advice to help ensure you’re not paying a penny more than you need to for your energy.

Why UK Energy Prices Keep On Rising…

Tue, 02 Dec 2025 12:04:11 GMT

And what it means to manufacturing and engineering companies over the next few years

Over the past decade, UK energy prices have changed dramatically. Not only in terms of overall cost but also in how those costs are made up. Ten years ago, the largest part of a business electricity bill came from the commodity element: the wholesale price of electricity.

Non-commodity charges -- often used to support the infrastructure of the electricity grid or government energy policies -- were relatively modest.

In 2013, the typical breakdown of electricity costs for a business user was around 60–65% commodity and 35–40% non-commodity. Today, that picture has flipped. For many manufacturers, non-commodity charges now make up over 60% of the total bill, with the non-commodity percentage of the bill increasing each year.

This shift explains why energy bills have remained stubbornly high, even during periods when wholesale prices fell. Grid reinforcement, renewable subsidies, and balancing costs have grown year on year, with these costs baked into every unit of power consumed, regardless of wholesale prices.

Current Charges and Reasons Behind Them

To understand why UK energy prices keep climbing, we first need to look at the charges already included in energy bills and the reasons they are part of your total energy cost.

Grid Expansion

The UK grid was designed in an era of large, centralised fossil-fuel power stations. As renewables have expanded, the grid needed to be upgraded to handle more decentralised and intermittent generation sources – such as wind and solar. These upgrades are expensive, and the cost is passed down to consumers through transmission and distribution charges

With some of the UK’s largest windfarms based offshore in Scotland, it has required significant investment for the grid to be able to incorporate these new forms of electricity generation. Estimates have suggested that over £60bn will be spent on grid expansion over the next decade and this will be funded by the end user via various non-commodity charges.

For a manufacturing plant consuming 10 GWh per year, grid charges alone can now account for well over £300,000 annually .

Worryingly, these charges could increase significantly in the next 12 months. The Transmission Network Use of Systems charge (often listed as TNUoS on invoices) is one of the non-commodity charges that funds the maintenance and expansion of the grid. OFGEM are the independent regulatory body responsible for gas and electricity, and they recently published guidance which will permit the owners of the grid to increase their charges by over 80% . It had previously been predicted that there would be a 25% increase in TNUoS costs for 2026, but this estimate may need to be revised before a final decision is announced later this year.

Renewables and Green Subsidies
The UK government’s commitment to decarbonisation targets has come at the end user’s expense. Mandates have been created to support renewable energy developers, but with the funding needing to be provided through further non-commodity charges. Schemes such as the Contracts for Difference (CfD) mechanism and the Renewables Obligation (RO) are funded through levies applied to bills. While these schemes have been crucial for encouraging investment in wind and solar, the costs are far from negligible. Manufacturers may find that as much as 20% of their bill goes towards these green subsidies.

This subsidising of environmentally friendly initiatives has created an uneven playing field for British businesses competing internationally. In nations such as France and Germany, governments have funded these schemes through taxation, which allows their businesses to have lower energy costs than their British counterparts.

Grid Balancing Costs
With more renewable generation comes increased volatility. Whilst a nuclear power plant can accurately forecast the amounts of electricity it will generate, the wind doesn’t always blow when demand peaks. NESO (National Energy System Operator) must constantly balance supply and demand to keep the lights on. This requires backup generators, battery storage, and even payments to turn down industrial usage at times of stress. The cost of these balancing services – which is listed on invoices as Balancing Services Use of Systems charge (BSUoS) -- has more than doubled in recent years, with 2022 seeing balancing costs rise above £4 billion. For an energy-intensive manufacturer, this translates into tens of thousands of pounds annually in costs that provide no direct benefit to their operations.

Together, these charges form a series of costs that often outpace the wholesale energy price. While wholesale prices may decrease at times, the steady rise of non-commodity charges has meant energy bills are showing no sign of returning to the prices of pre-Covid-19 pandemic.

Over the next five years, analysts forecast a further 10–20% rise in non-commodity costs as new grid reinforcements and subsidy schemes are rolled out. For our 10 GWh manufacturer, that could mean an additional £90,000–£120,000 per year on top of today’s already heavy burden. Crucially, this increase will come even if wholesale energy prices remain steady or fall.

This is why the choice of supplier and contract product matters more than ever. By choosing the right supply contract, you can smooth the impact of these costs into your budget rather than experience unexpected costs when the supplier chooses to pass costs on.

By having an experienced energy partner, you can be advised on which suppliers have historically been the quickest to add new charges to your bill. They can also offer guidance on upcoming charges and whether it’s more beneficial to agree some of the non-commodity charges in advance, or whether they would be better left as pass-through charges.

Future Charges

In addition to the existing charges you can find on your invoice, there are two new charges set to be added in the next 12 months.

NRAB Levy (Network Reinforcement Adjustment Balancing)

From this autumn, the NRAB Levy will begin to appear on electricity invoices. This charge is being used to fund the construction of nuclear plants in the UK. Whilst this will have the long-term effect of lowering energy costs – with nuclear being one of the most cost effective methods of generating electricity – it will add an estimated 0.345p/kWh on to current electricity costs.

RIIO-ET3

This charge is set to be introduced on April 1st 2026, and will run until March 31st 2031. The aim of RIIO-ET3 is to generate money to allow for large-scale investment into the infrastructure of the energy transmission network, increasing resilience, reliability, and capacity. Depending on meter type and consumption levels, for most manufacturing and engineering sites, this is expected to add an annual cost of between £6,000-£990,000 for the duration of the charge.

Pressures on Directors

For manufacturing directors, energy costs aren’t just another overhead, they directly influence competitiveness and profitability. Many manufacturers agree multi-year contracts with their buyers, fixing the price of their goods in advance to secure orders. Energy contracts, however, don’t always align. If electricity or non-commodity charges increase mid-term, a business could find itself committed to delivering products at a price that no longer covers its energy input costs , effectively selling at a loss for the remainder of the contract.

Consider a steel manufacturer that fixes its product price at £500 per tonne for a three-year supply contract. At the time of signing, energy costs amount to around £100 per tonne produced and there is a 5% profit margin. If non-commodity charges and balancing costs rise by 30% mid-contract, the energy cost per tonne jumps to £130. With thousands of tonnes under contract, this translates to a loss of £5 per tonne produced.

This is why staying ahead of the curve is so critical. Directors who can anticipate rising non-commodity costs or wholesale price movements and factor them into their product pricing strategy will protect their margins. Those who don’t risk being trapped in agreements that negatively impact profitability.

Budgetary certainty and business modelling must go hand in hand. Energy budgets can no longer be treated as a rolling annual exercise but need to be integrated into long-term commercial strategy. By ensuring that procurement timelines, contract structures, and sales agreements all align, directors can safeguard against unexpected shocks and maintain control over their margins.

In short, energy needs to be viewed as a strategic risk factor. The businesses that survive and thrive will be the ones that appreciate its role in their financial planning.

What Businesses Can Do to Prepare

Rising non-commodity charges are unavoidable, but businesses can take clear steps to reduce the impact.

1. Secure Entitlements
The most immediate priority is ensuring you’re receiving every government discount available. The Energy Intensive Industries (EII) exemption scheme can cut certain policy costs by up to 85%, often saving eligible manufacturers hundreds of thousands per year . Many businesses are currently missing out simply because they haven’t checked eligibility.

2. Optimise Costs
Savings can also be found in how charges are applied:

kVA analysis ensures you’re not overpaying for unused capacity.
TCR banding reviews help confirm you’re in the right charging group.
Volume optimisation reduces exposure to costly peak charges.

Case study: A medium-sized plastics manufacturer consuming 5 GWh per year reduced its agreed capacity by 550 kVA after an audit. This cut unnecessary charges by almost £22,000 annually .

3. Build Long-Term Resilience
For a strategic hedge, self-generation is becoming more attractive. Solar panels and battery storage can reduce reliance on the grid and protect against volatility. Whilst upfront investment is significant, the long-term payback is accelerating as grid charges rise.

By showing foresight and combining government entitlements, cost optimisation, and long-term investment, manufacturers can bring energy costs under control and build resilience into their budgets. Those who wait until charges kick-in will find far fewer options available.

Conclusion

UK energy prices currently show no sign of returning to pre-Covid levels as non-commodity charges rise and the government funds its green transition. For manufacturers, this can lead to precarious situations.

However, by understanding the breakdown of costs, anticipating future charges, and making use of schemes like the EII exemption, businesses can plan their budgets with increased levels of certainty.

At SeeMore Energy we offer a free, no-obligation review to check if your business is eligible for relief schemes, alongside a utility budget consultation tailored to your operations. With the right energy partner, you can turn today’s energy challenges into a manageable part of your business strategy.

If your business requires advice with its energy procurement, management, or planning, then don’t hesitate to contact manufacturing@seemoreenergy.co.uk or visit www.seemoreenergy.co.uk to speak to experienced advisors who can help you with bespoke strategies and advice that is tailored to your needs.

What happens when a supplier fails?

Tue, 02 Dec 2025 11:58:45 GMT

In the last decade, over 50 UK energy suppliers have gone out of business. With Tomato Energy being issued with a provisional order this week, it seems as though their name will be the latest to be added to the list of defunct suppliers including Bulb, Avro, and Spark Energy.

For customers of a supplier that is on the brink of going out of business, this can be a scary time, but there is a process in place to ensure they are not at risk of losing their supply.

Who is responsible?

OFGEM (The Office of Gas and Electricity Markets) are a non-ministerial government department tasked with regulating the energy markets and networks. In cases where a supplier goes out of business, OFGEM provide a safety net to ensure that customers supply won’t be disrupted.

What is the process?

OFGEM may elect to appoint an administrator. If this is the path they choose, then no action is necessary from the supplier’s customers. At some point, the administrator may choose to shut down the supplier, at which point, all existing customers will be moved to a new supplier of the administrator’s choosing.

If the existing supplier is being closed, new suppliers will be invited to bid for the customers of the failing supplier, with the best offer being accepted by the administrator. They will announce in advance when the move will take place, and the new supplier will contact customers ahead of the switch.

At this point, customers will have the option of moving to a new supplier. When this happens it can be important to shop around and see which deals are currently available on the market to ensure that you are getting the best possible rates.

What do you need to do?

Meter Reads

o Take a meter read as soon as possible, photographing the meter in question, to ensure you have accurate consumption information.

Credit

o Credit balances can be recovered depending on the situation. While business customers don’t enjoy the same level of protection as domestic users, OFGEM will try to negotiate with the incoming supplier to cover credit balances. Where this cannot happen, customers may need to claim through the previous supplier’s administrator as a creditor.

Debt

o Debt may be transferred to the new supplier. Where it is not, you may owe the debt to the previous supplier or it’s administrator.

Complaints

o Unresolved complaints against the previous supplier will not be transferred and will need to be pursued with the administrator.

Once the decision has been taken to shut down a supplier, the whole moving process should take less than 14 days, and customers will be informed of any developments as they happen.

If your energy supplier has gone into administration or is closing down, get in touch with us for free expert advice. We can help you understand your options and find the most competitive contract rates available for your business.

MHHS: Market-Wide Half-Hourly Settlements

Tue, 02 Dec 2025 11:50:03 GMT

Market-Wide Half-Hourly Settlement (MHHS)

What is MHHS?

MHHS stands for Market-Wide Half-Hourly Settlement. Currently, most electricity is billed based on estimates or meter reads that can be provided monthly, quarterly, or sporadically. With MHHS, electricity consumption will be accounted for and billed in 30-minute blocks.

The idea is that with more precise, time-based data, suppliers and networks can match supply and demand more accurately. This helps reduce waste and allow more flexibility in how electricity is used across the system.

Who does it apply to?
Previously, only large industrial and commercial users needed to have half-hourly meters, but MHHS is intended to apply across the whole electricity market in Great Britain. This includes domestic consumers, small businesses, large industrial users, and everything in between.

That means most electricity users will be indirectly affected, even if they don’t see anything change in how their meter looks, the rules behind billing and settlement will shift behind the scenes.

What are the major changes?

Here are the biggest differences MHHS will bring:

More accuracy in billing and settlement
Instead of relying on broad estimates or usage profiles, settlements will use actual (or as close as possible) half-hourly data, making bills closer to real usage.
Shorter settlement cycles
Currently, settlement (reconciling who generated, who consumed, who oversupplied or undersupplied) can take many months and reconciliation takes place every 12 months. Under MHHS, the aim is to reduce that to about four months.
New market segments and roles
The old division between half-hourly (HH) and non-half-hourly (NHH) settlement types will be replaced by new classifications like “Smart,” “Advanced,” and “Unmetered.” Existing agents and roles (like data agents, meter operators) will be reorganised or renamed into “Data Services” and “Metering Services.”
Greater flexibility and smarter tariffs
With more precise data, suppliers can offer new tariffs that are able to be more focused on when energy is used, or incentive schemes where customers shift usage to cheaper off-peak periods.

While many of these changes will be invisible to consumers day-to-day, the underlying systems and billing logic will be overhauled.

When will it happen?
MHHS has already been in planning for several years. In April 2021, Ofgem confirmed its decision to implement MHHS with Elexon appointed as Senior Responsible Owner.

On 22 September 2025, the MHHS system infrastructure officially went live. Following that, from late 2025 onward, MPANs (meter points) will begin migrating to the new system over an estimated 18 months.

By July 2027, the industry aims to run settlement cycles in a four-month window across all participants. This will increase the accuracy with which many Non-commodity charges are applied and decrease the need for major reconciliations.

If your business requires more information about MHHS or advice with its energy procurement, management, or planning, then don’t hesitate to contact Seemore Energy . Our experienced advisors can help you with bespoke strategies and advice that is tailored to your needs.

September 2025 Review

Tue, 02 Dec 2025 11:45:14 GMT

We have reached the time of year where the summer months have started to fade and we begin to think about the colder seasons. This month saw the UK government recognise Palestine as a country, although they still seem unable to recognise the harm their energy policies are causing UK businesses. With further charges set to be added to UK energy bills and rising non-commodity costs, it was a relief that wholesale energy prices remained fairly flat throughout September.

A recent report from independent analysts Cornwall Insights revealed that large energy users who aren’t covered by Government schemes could find that they are paying a further £450,000/year in non-commodity costs by 2030. With non-commodity costs such as DUOS and TUOS charges –which are used to fund the infrastructure responsible for the transmission of electricity – now accounting for over 2/3rds of total electricity costs for some businesses, it is of growing concern that these charges are set to continue rising.

With the TUOS charges for 26/27 expected to increase significantly , the non-commodity charges are starting to have a negative impact on UK businesses ability to compete against foreign businesses with fewer governmental charges on their energy bills. This growing concern is yet to be addressed but could have a huge impact on many industries in the next year.

For much of 2025 it has been difficult to talk about the direction of energy prices without mentioning EU nations having to achieve 90% reserve capacity by November. At the start of September capacities were already approaching 80% and the EU have relaxed their rules so that the 90% capacity target could be achieved anytime between October 1st and December 1st. Any fears surrounding EU nations being forced to compete for purchases as the deadline approaches have now been allayed and the mandated European buying pressure will be removed from the market before the end of 2025, with the current reserves offering a buffer should any supply crisis occur.

This growing confidence that Europe has avoided an energy crisis was further displayed when the EU published a proposal to accelerate the phasing out of Russian gas. This would likely upset countries who have existing deals with Russia, as well as create the potential for more nations competing to buy gas before the existing 2028 phase out date.

This could lead to more European nations looking to purchase gas from the US, where the UK already sources a large part of its gas imports.

In August, the US achieved record LNG (liquified natural gas) exports. With US production still increasing it may seem logical to purchase LNG from the States, but European countries may be concerned about being reliant on US energy whilst they still appear to be freely imposing tariffs on other nations. As long as the risk of US tariffs remains, this would be considered riskier than purchasing from alternative sources.

Outlook

With European buying pressure dropping off and there being no clear, imminent threats to supply, it seems as though prices could be set to drop over the coming months. However, long-term weather forecasts are now suggesting that this could be a cooler winter than first predicted. In September, climate experts published findings that showed there is a 71% chance of transitioning to a La Niña weather pattern during the final quarter of 2025. This weather pattern is associated with colder than average temperatures in Europe. A cooler winter increases the amount of gas that will need to be consumed and increases the rate at which gas reserves will be used.

If your business would like advice regarding any of the topics mentioned in this article, or with its energy procurement, management, or planning, then don’t hesitate to contact Seemore Energy . Our team of experienced advisors can help you with bespoke strategies and advice that is tailored to your needs.

RIIO - ET3 and increasing costs

Tue, 02 Dec 2025 10:41:29 GMT

Following on from our previous article about rising TNuOS costs, we look at the reasons behind energy price rises, and which other items on your bill are likely to increase in the near future.

What is RIIO – ET3?

RIIO: “Revenue = Incentives + Innovation + Outputs” is Ofgem’s regulatory framework for setting how much network operators can recover from users while delivering value, efficiency and innovation. The current RIIO-2 period ends 31 March 2026, and RIIO-ET3 (also called RIIO-3) will run from 1 April 2026 through 31 March 2031.

What changes are being made?

RIIO-ET3 introduces a number of significant changes in how network costs are recovered and how risk and incentive mechanisms operate. The key proposals include:

TNUoS (Transmission Network Use of System)
Under RIIO-ET3, TNUoS charges will be higher, reflecting the scale of investment required to upgrade the grid. Our recent article looked in detail at these charges.
BSUoS (Balancing Services Use of System)
While BSuOS is not a transmission-specific charge, balancing and system operation costs will increasingly feed through to users as the system becomes more complex. These costs may grow due to higher levels of intermittent generation and greater need for flexibility and system balancing.
NRAB (Nuclear RAB or Network Revenue Adjustment / RAB-style levies)
This new charge ( that we discussed in detail here ) is designed to help fund the UK’s growing nuclear energy fleet.
Other structural changes, uncertainty & incentive mechanisms

A “stepped” Totex Incentive Mechanism (TIM) approach: overspends/underspends will be shared differently in different bands (e.g. 25 % sharing on first 5 %, lower sharing on next bands)
Greater use of uncertainty mechanisms, UIOLI (Use-It-Or-Lose-It) allowances, and new load reopener windows to allow costs to be adjusted mid-period if demand or connection needs differ from estimations.

Because RIIO-ET3 is still in draft and under consultation, many of these mechanisms remain subject to change with the proposals set to be confirmed in December 2025.

Why are these changes being made?

The changes in RIIO-ET3 stem from the need to dramatically increase investment in electricity transmission to support net zero and decarbonisation. Ofgem and the government now have statutory net zero and economic growth duties, pushing for faster decarbonisation while trying to shoulder as little of the financial burden as possible.

Older frameworks (such as in RIIO-2) are judged too rigid to handle uncertainty, volatility, and the scale of change required. The new design aims to allocate risk more flexibly and provide transmission companies with greater investment to deliver the grid upgrades needed.

What impact will it have on my business?

You are likely to face higher non-commodity costs in your energy bills. TNUoS charges will increase meaningfully, especially for customers with high peak demand or connections in constrained areas. BSuOS and balancing costs may also escalate as the system becomes more dynamic. Over time, the introduction of RAB-style cost recovery could further add to existing fixed network charges. Depending on your size, flexibility and demand profile, your business might see a notable rise in transmission and system charges in the 2026–2031 period.

If you would like to discuss exactly how these changes could impact your business, contact our expert advisors at SeeMore Energy to see how we can help you manage your energy costs.

Energy Consultants: The Good, The Bad & The Ugly

Tue, 07 May 2024 12:56:00 GMT

Energy Consultants: The Good, The Bad & The Ugly - How to Choose a Good Energy Broker in the UK

In today’s volatile energy market, many businesses struggle to understand what energy brokers do and how to find the best business energy consultants UK companies can trust. Energy procurement has become increasingly complex, and knowing how to choose a good energy broker can have a major impact on your costs.

A skilled energy consultant acts as a genuine intermediary between you and suppliers, helping you secure suitable contracts, resolve issues, and plan long-term energy strategy. However, because the energy-broker market is far less regulated than the financial sector, it’s essential to know how to choose a good energy broker UK businesses can rely on -- and how to spot the warning signs of a bad one.

What Do Energy Brokers Do? Understanding the Role of a Consultant

Think of an energy consultant as an extension of your business. The best business energy consultants UK-wide help with:

Strategic procurement and tendering
Managing supplier queries and resolving issues
Analysing usage patterns
Identifying energy-efficiency improvements
Supporting sustainability planning and Net Zero strategy

From a procurement perspective, a good energy broker has relationships across the entire supply market. They understand product structures, tariffs, risk profiles, and the difference between fixed , flexible , and pass-through contracts. Crucially, before going to tender, they identify the most suitable contract type for your needs rather than offering a one-size-fits-all approach.

This process will focus on finding the best energy plan for your business. Whether you prioritise cost savings or sustainability, a Good Broker will analyse fixed vs. flexible contracts, pass-through options, and green/brown energy tariffs to fit your risk tolerance and budget.

A consultant with a vast network of partners can help you take a more holistic approach to energy usage. They'll start by conducting a comprehensive energy audit , exploring all potential improvements, not just quick fixes like solar panels or lighting upgrades. This approach goes beyond "tunnel vision" solutions, giving you a broader range of options to achieve your sustainability and cost-saving goals.

Very rarely can a clear roadmap to energy optimisation be delivered without more in-depth understanding of the operational activities of the business, so be wary when specific solutions are being pushed early in your engagement.

Beyond core procurement and solution services, a good consultant goes the extra mile by offering comprehensive support. This includes assistance with managing your energy queries, validating invoices , and ensuring compliance with energy regulations. These additional services provide peace of mind and allow you to feel confident in how your energy expenses are managed.

How Energy Consultants Make Their Money:

Most brokers are paid a commission by suppliers based on your energy usage. This model can work well, but it also creates opportunities for less-ethical brokers to prioritise their own earnings over your best interests.

When evaluating what energy brokers do, watch out for these red flags:

The Cowboy Broker's Playbook

1. Locking You Into Long Contracts
Be wary of brokers pushing fixed-term deals years into the future. Markets change quickly, and a deal that looks good today may be costly next year. Long contracts may only make sense in rising-market conditions. No broker should push you beyond the length of your next renewal.

2. No Consultation, Just a Contract
A trustworthy broker analyses your energy consumption patterns, risk appetite, and goals. If they skip this process and rush you into signing, it’s a warning sign.

3. The Ghost Broker
If your broker disappears after the contract is signed, you may have chosen poorly. A good energy broker remains available to assist with billing queries, supplier disputes, and contract management throughout the term.

Hallmarks of the Best Business Energy Consultants

So, what sets an honest, high-quality broker apart?

• Accessibility & transparency
They offer clear contact details, answer calls, and support you before AND after the contract.

• Strong market knowledge
A good energy broker explains the energy market in plain English and provides clear, well-reasoned advice based on current trends.

• Encouragement to ask questions
Reputable brokers never avoid queries. They welcome them -- because informed clients make better long-term partners.

How to Choose a Good Energy Broker

Choosing the right consultant can significantly reduce your energy costs and reduce the stress of managing utilities. When comparing providers:

Research the broker’s market access
Ask how they’re paid
Compare quotes to benchmark their performance
Check their support offering after the contract goes live
Pay attention to how they explain risks and contract options
By selecting an honest and experienced broker, you gain confidence, clarity, and better control over your energy spend.

Partner with a consultant you can trust

Finding a good energy broker can significantly reduce your energy costs and reduce the stress of handling your utilities. Don't be afraid to do your research, compare brokers (it is prudent to benchmark your broker to ensure the best rates), and ask questions.

By choosing an honest partner, you can navigate the energy market with confidence, secure a great deal, and focus on what matters most – your business.

If your business requires advice with its energy procurement, management, or planning, then don’t hesitate to contact SeeMore Energy to speak to experienced advisors who can help you with bespoke strategies and advice that is tailored to your needs.

Energy Charts: How prices are moving in 2024

Fri, 26 Apr 2024 12:48:55 GMT

2023 Review

Thu, 11 Jan 2024 17:23:58 GMT

2023 Review

After the turbulence of 2022, we saw some large steps back to the path of normality in 2023. The inflated energy prices that had threatened many UK businesses in ’22 slowly subsided, and while they haven’t quite gone back to the levels we saw in the previous decade, they have seemed to head in the right direction.

The 2023 wholesale gas chart

Quarter 1

As the year began, Day Ahead (DA) gas was priced at 166.9p/therm, and the DA electricity price was £163.45/MWh. This was significantly below the peaks of 2022, but still far above historical levels. The Energy Bill Relief Scheme (EBRS) was taking some pressure off of businesses; however this was due to expire on March 31st. Worries of how businesses would cope post-EBRS were lessened as prices fell consistently throughout the first 3 months of the year.

The Q1 wholesale gas chart

A milder than expected winter had led to consumption levels being below historical averages and thus avoiding the potential gas shortages which had been extensively written about. However, there were some shortages experienced as supermarket shelves looked uncharacteristically bare. Frost in Morocco and Spain had led to shortages of vegetables and – due to the high electricity cost – it was deemed not viable to make up for the shortfall using greenhouses.

After February, fears still remained surrounding gas prices and whether they would revisit their 2022 highs, at this time we wrote “With French nuclear energy returning, European storage levels at 65% (compared to 29% last year), and Germany completing construction of it’s floating LNG terminals, the outlook is significantly more positive than it was for most of 2022.” These factors did end up contributing to the falling prices.

By the end of the quarter DA gas prices had fallen to 106p/Therm, falling more than a third during the first quarter of the year. The electricity price had fallen a similar % to close the quarter at £109.70/MWh

Quarter 2

By April journalists and politicians were willing to speak about energy prices in a more positive context. Prices had continued falling and the narrative which had been dominated by pessimists in the previous months was beginning to show signs of optimism. However, the EBRS scheme was no longer providing support, and many businesses began to feel the pain of high unit rates even as wholesale prices continued to decline.

The Q2 wholesale gas chart

Ukraine, which had been key in the catalysts responsible for seeing energy prices hit unprecedented highs, began exporting electricity again, and by the end of the month we wrote :

“While there will still be risks and some caution around the gas supply ahead of next winter there is a shift in overall sentiment, with more public figures and institutions feeling comfortable enough to express their positive views. Without any negative catalysts emerging it seems likely that wholesale prices will steadily continue to drop until such a point that market confidence is interpreted as complacency.”

In May, some of the optimism which we saw in April began to be met with caution and hesitancy. OFGEM stated that they believed prices could remain high for the next 24 months and the market sentiment was suggesting we were about to see prices stabilise or head back up. At this time we stated :

“with current wholesale prices being priced below future contracts. This shows that there is an expectation wholesale prices will rise ahead of Winter ‘23 and that we could be close to the yearly low.”

Despite these fears, the lowest gas and wholesale prices in 2023 were observed in May and early June. However, shortly after this, prices began to rise again. Disruptions to the supply of gas from Norway was seen as a key factor in these increasing prices, as well as the confirmed shutdown of gas fields in Groningen, removing one of Europe’s key contingency plans.

At the half way point of the year, DA gas prices were down to 92.6p/Therm, a decline of 12.5% during the 2nd quarter, despite being notably higher than the May lows where prices had dropped below 60p/therm. While DA electric prices had fallen to £85.83/MWh, representing an almost 50% drop since the start of the year.

Quarter 3

The Q3 wholesale gas chart

Quarter 3 saw a reversal in the trend of declining prices that had been established during the first 6 months of the year. Wholesale prices had already hit their yearly low in June, and for the remaining summer months they would slowly begin to rise.

By July, fears had started to emerge regarding the UK’s gas reserve capacity, with the market already looking forward to the winter ahead. Plans were considered to reopen disused gas storage facilities in addition to securing LNG imports for the coming months.

At the end of July we wrote :

“As we start to edge closer to winter, it seems likely that concerns about supply for the winter of 2023 will increasingly drive the price narrative. With the failure to make a new low during July it now seems unlikely that wholesale prices will go below the low of May 30th and we are likely to see steady increases for the next few months.” - This proved to be the case, as prices failed to go below the levels seen at the end of July for the remainder of the year.

In August the energy news was dominated by the threats of industrial action at Australian Chevron plants . This threatened to disrupt global energy prices as fears of LNG shortages sent prices rising. Eventually a resolution was reached and disruptions were averted, but wholesale prices still rose almost 20% during the month.

September followed the trend of rising prices seen in the previous months as disruptions to Norwegian supply further impacted the wholesale markets. Prices rose to their highest level since April during the month before subsiding by the end of the month with DA gas prices ending the quarter at 96.7p/therm, representing a small increase from the levels seen at the end of June. DA electricity prices followed a similar trend, rising slightly since the end of June with a price of £90.01/MWh.

After prices had pulled back we said :
“we believe we have seen the market low for this year, and there are more factors that could send prices higher than factors which could see a return to the June lows. We still believe this to be the case, and that the most sensible approach would be for those on flex contracts to look at locking in a significant % of their winter demand.” - As we headed into October, prices would soon see more significant rises.

Quarter 4

Hostilities in Israel caused a sharp rise in prices during October. Initial fears that the conflict would spread across the Middle East and disrupt energy supply routes quickly proved to be unfounded, at least in the present moment, and prices steadily fell for the remainder of the month.

As we entered into the winter months, fears of cold weather causing gas shortages had been allayed by healthy supply levels been displayed across Europe.

As geopolitical news took a back seat, the biggest factor affecting the energy markets became weather, and forecasts were starting to suggest that the worst-case weather scenarios would almost certainly be avoided as the winter would be unlikely to be colder than the average winter.

Wholesale energy prices dropped throughout November, and that continued into December. This led to DA gas prices dropping to 78.45p/therm at the end of the year, the lowest price at the end of a quarter, but still above the low levels seen during the months of May and June. Whereas DA electricity saw the lowest prices of the year come near the end of December before rising slightly to close the year at £60.64/MWh, which was over a £100/MWh decrease from the prices seen at the beginning of January.

The difference in commodity costs for a business with a 1000MWh/year consumption between the start of January and the end of year would be £100,000. While this is the DA market and not a future's market, we could see than in the market for Winter'24 Electricity there were differences of £30/MWh just between the high point of November and the lowest point in December. By knowing how to time the market -- or seeking advice from those who have expertise within the market -- shrewd businesses could save themselves thousands or tens of thousands by negotiating their contract at the right time.

By the end of December, fears regarding an unexpectedly cold winter had now almost completely disappeared, and attention drifted back to international conflicts and their ability to affect international supply routes. A narrative that will remain pivotal in the first months of 2024, as it seems prices are likely to stabilise or drop further so long as energy supply routes remain free from disruption.

If you would like our monthly updates and analysis on the energy news that affects UK businesses, then sign up to our newsletter here to receive copies into your inbox, or subscribe to our newsletter on Linkedin to receive notifications whenever we publish our reviews.

The Challenges facing Facilities Management companies

Mon, 06 Nov 2023 12:11:23 GMT

As we approach the end of 2023, the facilities management industry is facing a number of challenges. These challenges include rising energy costs, staff shortages, and the need to operate in a more sustainable way. As with many industries, facilities management companies are also being asked to do more with less, as they are being pressured to reduce costs, improve service levels, and become more efficient.

Hybrid Working

Hybrid working is becoming increasingly common, as many employees prefer the flexibility of working from home. However, hybrid working is creating new challenges for facilities management companies. With fewer people on site, previously adopted space management plans may need to change. The lower frequency of collaborative work and activity-based work means areas previously used for such tasks may now be rarely used. Varying occupancy levels can also impact the security of the building, as well as the security of data.

Increasing Costs of Raw Materials

The rising cost of raw materials is another challenge for facilities management companies. The cost of metals (particularly steel and copper), electrical components, and chemicals have increased significantly in recent years. Thus making it more expensive to maintain and repair buildings.

Skilled-labour shortages

The facilities management industry is facing a labour shortage across both hard and soft services. Hard services, such as electrical, plumbing, and HVAC, have high barriers to entry due to specialised skill sets that require long training periods. The talent pipeline for these positions has plateaued, and younger workers are retiring earlier. Soft services, such as security, janitorial, and landscaping, have lower barriers to entry but face high turnover rates and competition from other industries.

Sustainability

Sustainability is another important issue for facilities management companies. Clients are increasingly demanding that their facilities be operated in a more sustainable way. This means reducing energy consumption, waste production, and carbon emissions.

In order to be able to adequately assess how consumption and emissions can be reduced they need to be accurately tracked. Some of the systems that track consumption can be expensive and have a significant impact on profitability.

At Seemore Energy we include our portal that tracks and compares consumption across your entire portfolio as part of our bill validation service. This portal allows you to see which meters and sites are being most efficient, and which areas most need to be improved.

Energy Consumption

The rising cost of energy is a major challenge for facilities management companies, putting a strain on companies' budgets and making it difficult to operate profitably.

With utilities being a major expense -- In some cases energy bills can account for up to 30% of a company's total operating costs – it is important to make sure these costs are kept as low as possible.

There are a number of ways that gas and electricity bills can be reduced:

o Installing energy-efficient equipment

o Implementing smart building technologies

o Utilising Flex contracts as opposed to traditional fixed-price contracts

o Educating staff on energy conservation practices

o Ensuring the best rates are obtained when negotiating new utility contracts

By working with a trusted broker, support can be given on all of the above factors and ensure that you are not paying anymore than necessary.

Inside the World of Energy: The Middle East and UK energy prices

Fri, 27 Oct 2023 12:07:49 GMT

In this video we review how conflict in the middle east has impacted energy prices in the last 2 weeks, and how it is likely to continue to impact prices going forwards.

Out of Contract Rates and why they should be avoided

Thu, 10 Aug 2023 16:57:41 GMT

With ongoing volatility in the energy market, it has never been more important for UK businesses to actively manage their gas and electricity contracts. One of the most costly mistakes organisations make is allowing contracts to lapse onto out of contract energy rates , also known as deemed energy rates .

These rates are significantly higher than standard contracted prices and can have an immediate and damaging impact on business energy costs.

What Are Out of Contract Energy Rates?

Out of contract energy rates are applied when a business energy contract ends and no new agreement is put in place. Instead of stopping supply, the energy supplier continues providing electricity or gas under a deemed or out-of-contract tariff.

These rates are also applied when a business:

Moves into new premises without arranging a contract
Takes over a site where no energy agreement is in place
Allows an existing contract to expire without renewal

In many cases, deemed energy rates can be significantly higher than market rates -- sometimes double what a business would pay under a fixed or flexible contract.

Suppliers see that an organisation are not proactively managing their utility bills and take advantage by charging an inflated rate until a client is willing to commit to a fixed length of contract.

Why Deemed Energy Rates Are So Expensive

Suppliers charge higher rates because deemed and out-of-contract tariffs are:

Short-term by nature
Unhedged against wholesale market volatility
Designed to encourage businesses to commit to a contract

Suppliers assume that businesses on deemed rates are not actively managing their energy procurement , and pricing reflects this lack of commitment. Importantly, out of contract energy rates are not fixed , meaning businesses are fully exposed to market movements.

The Risks of Staying on Out of Contract Rates

While there may be brief periods where falling wholesale prices reduce costs, this approach is extremely risky. Businesses on deemed rates face:

Sudden price increases if wholesale markets rise
Additional non-energy charges
No budget certainty
Higher overall costs than equivalent fixed or flexible contracts

Any potential benefit from falling prices is far better achieved through a flexible energy contract , rather than remaining exposed on out-of-contract tariffs.

How to Get Off Deemed Rates

If your business is currently on deemed or out of contract energy rates, the good news is that you can usually switch quickly.

Steps to Get Off Deemed Energy Rates:

Confirm your current tariff status with your supplier
Compare available business energy contracts across the market
Secure a fixed or flexible contract that suits your usage and risk appetite

Once a new contract is agreed, your supply will move off deemed rates -- often within days.

How to Avoid Out of Contract Rates in the Future

The most effective way to avoid deemed tariffs is proactive contract management:

Track contract end dates well in advance
Review renewal options up to six months before expiry
Monitor market conditions to secure competitive pricing
Use an in-house energy team or a trusted energy broker

Planning ahead ensures your business avoids unnecessary exposure and inflated charges.

Out of contract energy rates and deemed energy rates are among the most expensive ways to buy business energy. While supply continuity is guaranteed, the financial cost of inaction can be significant. Understanding how to get off deemed rates and securing a suitable contract protects your business from volatility, improves cost certainty, and reduces unnecessary spend.

f your business is currently on out of contract energy rates , or you’re concerned about falling onto deemed tariffs when your contract ends, we can help.

We will:

Review your current supply
Compare live market options
Help you move off deemed rates quickly and securely

�� Contact us at admin@seemoreenergy.co.uk , or get in touch via the Contact page.

Wholesale gas charts

Mon, 26 Jun 2023 11:49:24 GMT

Wholesale gas charts

Throughout 2023 the price of wholesale gas had been steadily falling. After the potential shortages of winter 2022 failed to materialise -- and with many European countries maintaining healthy reserve levels -- there was a lack of fear in the markets. This was welcome after fear related to the Russia/Ukraine conflict and supply concerns had driven prices to unprecedented highs in 2022. However, June saw a change in the trend of consistently falling wholesale prices. Prices started going back up, and the intraday high seen on the 15th of June had taken the price to double what it had been 15 days earlier. The price has since pulled back from that intraday high, but we still saw last week’s closing price represent a 33% increase from the levels seen on June 1st.

So what caused this rise in price?

One of the main factors has been an extended outage in a Shell-owned Norwegian gas processing plant. The UK imports roughly 1/3rd of it’s gas from Norway, and any significant problem with Norwegian production has the potential to quickly impact UK gas prices.

The large price spike on June 15th was likely caused by the news that the Netherlands will be closing Europe’s largest gas field in 4 months’ time. The removal of the Groningen-produced gas as an option for European supply takes away what was seen as a vital buffer.

Without the potential to ramp up production in Groningen, countries will need to be increasingly diligent in ensuring they have back up supplies for the upcoming winter. This could lead to increased buying on the wholesale market in the run up to winter 2023.

The change in trend follows a period where price levels had been consistently below their 20-day moving average for the first 5 months of the year. The two previous times the price had risen above the moving average this year had seen price fall back below the moving average within 3 days. This time we are seeing a more sustained spell above the average which could indicate a change of trend.

Throughout June we have seen a series of higher lows. This indicates that buyers are no longer patiently waiting for price levels to settle and are no longer waiting for a further low.

While current price levels are higher than at the start of the month they are in line with prices from mid-May.

In May, buyers seemed more content to wait on the sidelines and see if further lows would arrive. In this moment, the buyers have moved from the sidelines and are now actively purchasing – a sign that many see there being little chance of a significantly lower price in the near future.

Without positive fundamental news it seems unlikely that price will drop much from the current levels in the immediate future and the potential for prices to rise further, as buyers compete to lock in their supply, seems to be the more likely possibility.

We will keep watching the charts closely, and if you need any advice in navigating the energy markets, feel free to contact one of our expert advisors at Seemore Energy to help with your energy monitoring, planning, or purchasing needs.

Fighting Rising Energy Costs in Food Processing Industries

Thu, 15 Jun 2023 11:43:57 GMT

The past week has seen wholesale energy prices buck their 2023 downtrend and begin rising again.

While prices of consumer goods never really seemed to stop increasing -- with the falling wholesale price seemingly not seeing reductions passed on to consumers -- it can be expected that any notable increases will be passed on.

Almost all industries can be expected to feel the pains of increasing energy costs, but for consumers, it will be the essential items going up in price that cause the most concern.

Whatever the energy prices are, people need to eat. However, the food processing industry can be highly sensitive to energy price fluctuations due to the number of energy-intensive processes involved.

The Problems

For example, in the meat processing industry there are various stages of the process that would be significantly impacted by higher energy prices:

Refrigeration and Cold Storage systems require substantial energy inputs to maintain the desired temperatures throughout the processing and storage stages.
Heating and Cooking operations involve the use of ovens, grills, boilers, or other heating equipment that consume significant amounts of energy.
The grinding and blending operations require powerful motors and intensive processing to achieve the desired consistency and texture.
Smoking and Drying techniques are used for curing, flavouring, and preservation purposes. Smokehouses and drying rooms often rely on high temperatures and extended processing times, leading to significant energy consumption.
Packaging processes help extend the shelf life of meat products but contribute to the overall energy consumption.
Frequent cleaning and sanitation operations, involving water heating, steam cleaning, and chemical treatments, demand substantial energy inputs.

The Solutions

While there are no absolute solutions to keeping energy costs down, there are actions that can be taken, and systems that can be put in place to help keep costs as low as possible:

Energy monitoring software can be deployed to track consumption, see how and when energy is being used, and to compare up-to-date usage data with pre-set targets.
Where feasible, high-intensity processes can be moved to off-peak hours.
When renewing contracts it can be vital to consult as many suppliers as possible in order to find the best rates.
Energy audits can be undertaken to help identify and get rid of any inefficiencies within the process.
Currently there is a governmental discount scheme ( ETII ) available to companies involved in the Processing and preserving of meat and fish; Manufacture of oils, fats, and margarine; Operation of dairies and cheese making; Manufacture of grain mill products, starches, bread, sugar, cocoa, chocolate, sugar confectionary, prepared meals, homogenised food preparations, and pastry goods.

So, while rising wholesale prices are negative for these industries, there are various ways of fighting the rising costs.

If your business would like advice about any of the money saving solutions mentioned, or assistance with applying for the ETII scheme , then don’t hesitate to contact Seemore Energy to speak to experienced advisors who can help you today.

Navigating Energy Challenges in the Manufacturing Industry

Fri, 26 May 2023 11:39:22 GMT

The ETII Scheme

In April a new support scheme for energy intensive industries (ETIIs) began in the UK. The scheme will provide financial assistance to businesses operating in energy intensive industries in order to help them offset the rising cost of energy.

The discount they receive will apply to 70% of energy volumes and contains a maximum discount of £40/MWh for gas, and £89/MWh for electricity.

Are we eligible?

ETIIs are defined as industries that use a significant amount of energy relative to their size. The government has identified a list of sectors that are considered to be ETIIs. These sectors include:

Chemicals
Iron and steel
Non-ferrous metals
Paper and printing
Pulp and paper
Cement
Glass
Ceramics
Textiles
Wood and furniture
Rubber and plastics
Non-metallic mineral products

A full list can be found here .

To be eligible for the discount, companies must generate at least 50% of their revenues from UK-based activities. They must also have a non-domestic energy contract with a licensed energy supplier and be one of the following:

on existing fixed price contracts that were agreed on or after 1 December 2021
signing new fixed price contracts
on deemed/out of contract or variable tariffs
on flexible purchase (or similar) contracts
on variable ‘Day Ahead Index’ (DAI) tariffs (Northern Ireland scheme only)

Companies will not be eligible if:

energy is used to generate and export material quantities of energy back to the grid, including if it has been stored first – except for some combined heat and power schemes.
energy is made available, or used to make heating, hot water or electricity available to customers in the Republic of Ireland.

The ETII scheme is expected to provide significant financial relief to all eligible businesses. Government estimates state that the scheme will save ETIIs up to £1 billion per year.

How is the discount applied?

Unlike the Energy Bill Discount Scheme (EBDS) the ETII discount will not be applied automatically and businesses that operate in an ETII will need to submit an application. This application should contain the registered name of the organisation, the company registration number, up to 4 standard industrial classification codes, the name of the energy supplier and the electricity/gas meter point numbers, and a signed letter from a director. Additional financial evidence may need to be submitted in some circumstances.

If your company is eligible they have 90 days from April 26th 2023 to apply for support.

If your organisation is in need of support regarding your eligibility for the ETII scheme, or if you would like help with your application, then don’t hesitate to contact the team at Seemore energy at admin@seemoreenergy.co.uk and one of our energy experts can help you throughout the process.

The Support Scheme for Energy Intensive Industries and Do You Need to Apply?

Mon, 15 May 2023 11:35:46 GMT

The ETII Scheme

The discount they receive will apply to 70% of energy volumes and contains a maximum discount of £40/MWh for gas, and £89/MWh for electricity.

Are we eligible?

ETIIs are defined as industries that use a significant amount of energy relative to their size. The government has identified a list of sectors that are considered to be ETIIs. These sectors include:

Chemicals
Iron and steel
Non-ferrous metals
Paper and printing
Pulp and paper
Cement
Glass
Ceramics
Textiles
Wood and furniture
Rubber and plastics
Non-metallic mineral products

A full list can be found here .

on existing fixed price contracts that were agreed on or after 1 December 2021
signing new fixed price contracts
on deemed/out of contract or variable tariffs
on flexible purchase (or similar) contracts
on variable ‘Day Ahead Index’ (DAI) tariffs (Northern Ireland scheme only)

Companies will not be eligible if:

energy is used to generate and export material quantities of energy back to the grid, including if it has been stored first – except for some combined heat and power schemes.
energy is made available, or used to make heating, hot water or electricity available to customers in the Republic of Ireland.

The ETII scheme is expected to provide significant financial relief to all eligible businesses. Government estimates state that the scheme will save ETIIs up to £1 billion per year.

How is the discount applied?

If your company is eligible they have 90 days from April 26th 2023 to apply for support.

The Rise and Fall of the DA Market

Wed, 10 May 2023 11:30:06 GMT

Over the past 12-18 months, there's been a significant amount of well publicised turmoil and uncertainty within the energy markets, and for many businesses they've been stuck between a rock and hard place when it's come to understanding the best way to protect and future proof their business when needing to negotiate and secure extensions to their Electricity supply contracts.

The post-Covid energy market was struggling to regain stability long before the Russian invasion of Ukraine back in March 2022, but the volatility reached record levels with a constant upward trend of pricing across all seasons between Jun'22-Jan'23, a rise which resulted in Government support arriving in the form of the EBRS, designed to help business between Oct'22-Mar'23. The EBRS offered hope by protecting contracted rates with varying levels of discount depending on when agreements were secured, however with delays and confusion on how the discount would be applied, customers were subject to agreeing contracts without knowing the billed rates, which in-turn appeared to be considerably more than first anticipated.

One of the factors creating the confusion was the inability for customers and brokers to decipher how suppliers breakdown their costing of the 'Commodity' and 'Non-Commodity' elements which make up the fully delivered cost of the p/kWh customers pay for their Electricity.

As the EBRS discount only applied to the 'Commodity' element, there was a huge need to clarify this separation but as is often the case, disclosure and transparency of the Commodity costings weren't available, leaving a guessing game which had hundreds and thousands, sometimes millions on the line when it came to forecasting budgets for businesses across the EBRS period.

As time has moved, it's become evident that a large number of suppliers struggled to price with consistency throughout this period and with prices quoted around the £1/kWh figure at various points in Aug/Sept, the fallout for some businesses could last long into the future as they struggle to navigate the cost impact and balancing act of energy spend vs core business costs elsewhere.

So what can we learn from this and how can we protect ourselves from the risk of similar challenges re-surfacing within the markets as we move forwards?

For me, I believe the answer lies within the transparency and retrospective review of the Day Ahead (DA) markets.

Whilst the focus of this article is on the Electricity Market pricing, the DA for Gas pricing is somewhat transferrable in theory and the considerations of the DA benefits moving forwards resonate for both.

The settled DA Prices per Month over the last 10 years

Using the above information taken from NordPool, it evidences how the DA markets have settled every month for the past 10 years, dating back to 2014.

Just for early reference, the DA markets are priced daily and their costs are usually dictated by the demand and available supply within that day, forecasted the day ahead.

You cannot agree to buy energy at the DA price, instead you are settled at the average cost of the market at the end of each month.

With this strategy there's usually a huge amount of associated risk, in the sense you move into each month not knowing your potential cost exposure, and there's no ceiling what the costs could be, but this is where history and a retrospective review tends to start easing concerns.

Prior to the conclusion of 2020, no month had ever settled above £70/Mwh, which translates to 7p/kWh on the commodity. This despite multiple periods of political conflict, the passing of worldwide targets to reduce global emissions & change the way energy is generated and the rise of global warming, which has increased the unpredictability of seasonal demand for energy across the UK.

Whilst non-commodity costs have risen over this period and a definitive cost for the whole date range can't be exact, a high end average 50/50 split would have seen another 7p/kWh added to deliver a final cost of Electricity at 14p/kWh in the worst month (Most months would have settled around or below 10p/kWh).

Following 2021 and the resulting market challenges, the DA has increased considerably, throughout 2022 the monthly average was just above £203/Mwh, which equates to a 20.38p/kWh unit rate for Commodity.

If we then look to double the 7p/kWh of Non-Commodity charges from 2020 to reflect the increases that have come within transportation, distribution, and other levy's, we'd have a 14p/kWh non-commodity cost to add to the 20.38p/kWh commodity, which averages at approximately 35p/kWh.

Now we fully appreciate 35p/kWh still presents significant challenges for most businesses, especially those within energy intensive industries, however when the market was quoting unit rates in excess of 60p/kWh and ranging as high as £1/kWh as previously mentioned, you begin to see how much risk suppliers are factoring into longer term fixed contracts, risk which in reality never materialises when using the DA settlement as your evidence.

As we approach the midway point of 2023, we're starting to see a small period of stability within the markets, however prices predominantly still sit north of 30p/kWh, which is not likely to fall too dramatically any time soon as we'll soon be creeping towards winter months once again where prices typically rise. However, when we reflect and compare the first 4 months of 2022 with those of 2023, we can see that the average DA pricing between Jan-Apr has fallen from an average of £193.48 (2022) to £121.28 (2023), which is a reflective 7.2p/kWh saving (a 37% reduction), something which I feel certainly acts as a sign of optimism.

Now for the average manufacturing business using approximately 500,000kWh per annum (45,000 per month), that's the equivalent of almost £13,000 savings in 4 months, which equates to a forecasted £39,000 saving over the year if the trend continues.

With this in mind, the question becomes how can businesses access the DA markets, and is this something for you to consider in advance of your next renewal period.

Unfortunately the DA pricing can only be accessed via a Flexible Energy Contract and in order to access one of these, you're annual usage volume needs to reach a certain level of consumption, however the potential is there to collaborate with other like minded businesses and work within a basket or consortium that will see you benefit from a more sophisticated purchasing strategy, managed and accounted for by an experienced energy consultant.

At this time, I'd strongly recommend that early engagement will help businesses better prepare for every eventuality and with the right thresholds and parameters agreed, a bespoke renewal strategy can be tailored and managed by a consultant behind the scenes, only engaging when the market reaches triggers that warrant further conversation.

If that's support that you feel would interest you and your business, get in touch and I'll happily work to create a renewal strategy that works best for you and your business, whilst providing the confidence and accountability that allows you to revert back to the core focus and operations needed in other areas of the organisation.

To learn more about how I can help, feel free to contact me at craig@seemoreenergy.co.uk

April Energy Market Charts

Fri, 28 Apr 2023 11:20:01 GMT

April Charts - See the latest technical analysis of the UK wholesale energy markets

To understand an object, to truly be aware of it’s structure and dimensions requires viewing it from different angles. Energy markets are no different. While our monthly reviews cover the fundamental news that affects UK gas and electricity prices, our charting articles offer a technical perspective into how the wholesale market is moving.

This week we’re going to look at the UK wholesale gas market and analyse the chart in a couple of different time frames.

The Daily Chart

Each candlestick represents one day of wholesale gas trading

In this chart we can see the short-term trend has been moving downwards and that any price increases have been short-lived. The most recent upward movement – at the beginning of April – failed to match the highs from the previous rise (from the 10th of March). This failure to make a new high suggests that price rises may be limited in the short-term.

It’s possible prices stabilise around this level, but it will be worth keeping an eye on whether we see a new low in the coming days. The current price levels are close to retesting the low set on the 20th of March. A close below this level would show prices are continuing the 2023 trend of falling and are yet to stabilise.

With the 2 brief spikes in price being caused by fears over potential gas shortages next winter, the speed at which the price came down suggests those fears are not currently widely held across the market.

The Weekly Chart

Each candlestick represents one week of wholesale gas trading

The weekly chart shows us that prices are now below the 2022 levels – they are currently at a level last seen in July of 2021.

The blue line on the graph represents the lowest closing price of 2022. At present, we have seen the price stay below that level for 6 consecutive weeks.

While -- compared to most of the previous decade -- the market may be a bit more cautious and wary of negative news, we are seeing something of a return to normality in the wholesale levels.

For many months now there has been a view that the market was overbought and that prices would need to come down. We are now approaching a level where it seems that prices are likely to stabilise. This will represent a good time for buyers to lock in a % of future purchases knowing that – while the momentum is to the downside -- the risk to the upside now outweighs the risk of further decreases given how far the price has already fallen. It is hard to see of any significant event which would cause a large move down in price and further drops will likely be steady and incremental, whereas a major geopolitical event impacting supply could cause a spike in prices. Even if this is seen as an unlikely event, buyers are far more wary of such an event than they were 2 or 3 years ago.

For the more cautious buyer -- one who still has significant fears about geopolitical unrest impacting the wholesale prices -- this could even be seen as a time to make substantial purchases. Whilst we may not be at the absolute low for this cycle, timing the very low or high is a difficult thing to do.

Given the volatility of prices over the last 18 months it seems reasonable to expect some cautionary purchasing any time a new recent low is achieved.

Understanding your Energy Bill: Standing Charge

Fri, 03 Mar 2023 11:14:52 GMT

Understanding Your Energy Bill: Standing Charges Explained

At SeeMore Energy, our aim is to help organisations understand every cost on their electricity and gas bills. In this first article in our 8-part “Understanding Your Energy Bill” series, we focus on one of the most common questions we hear from UK businesses: what are standing charges ? and why are business electricity standing charges so high ?

What Are Standing Charges?

Standing charges are a fixed daily cost shown on both electricity and gas bills. They are charged regardless of how much energy you use , meaning your business will pay them even during periods of low consumption or shutdown.

When businesses ask “what are standing charges?” , the simplest answer is: they are the supplier and network’s way of recovering essential fixed costs needed to keep your site connected and supplied.

What do standing charges cover?

Standing charges are designed to cover fixed elements of supplying energy, including:

Keeping your premises connected to the network
Metering and administration costs
Maintenance and upkeep of electricity and gas infrastructure
Regional distribution and transportation costs

Although the charge is fixed day-to-day, suppliers may factor in an estimated annual consumption when setting tariff pricing across their customer base.

Standing Charges Explained: Why They Vary by Region

A major driver of standing charge levels is location . In general, more remote areas can face higher costs than densely populated regions, because maintaining the network and distributing energy can be more expensive.

This is one reason businesses in different parts of the UK may see very different standing charge figures -- even with similar consumption.

Why Are Business Electricity Standing Charges So High?

Over the past 18 months, many organisations have noticed sharp increases, leading to a surge in searches like “why are business electricity standing charges so high?” There are three key reasons behind these increases:

1) Failed Energy Suppliers

Between January 2021 and February 2022, numerous energy suppliers ceased trading in the UK market. Large numbers of customers were transferred to other suppliers through the Supplier of Last Resort process, and Bulb Energy entered special administration.

When suppliers take on customers from failed providers, they can also inherit additional system and industry costs -- costs that can contribute to increased standing charges over time.

2) Covid Recovery and Lower Consumption

During the Covid-19 pandemic, many businesses reduced operations, shifted to remote working, or temporarily closed. Lower-than-forecast usage reduced the amount suppliers recovered through unit rates, increasing pressure on fixed-cost recovery mechanisms.

This sustained period of under-usage contributed to structural cost pressures that have continued to influence standing charges.

3) Changes in the Energy System and Renewables

Historically, the grid relied on a smaller number of large power stations producing predictable output. As renewable generation has expanded, the system has required additional infrastructure and balancing capability to manage more variable supply.

These network and system changes have added complexity and cost, which can feed into charges recovered via bills (including standing charges).

Can Standing Charges Change Mid-Contract?

In most cases, the standing charge agreed at the start of a fixed contract remains in place for the contract’s duration. However, there are situations where it can change.

If your Estimated Annual Consumption (EAC) proves to be significantly different from actual usage, some suppliers may adjust standing charges -- particularly where their terms and conditions allow it. This can be more common with gas meters, where consumption data may be updated and reported through industry systems.

What Can Be Done About High Standing Charges?

If your business feels standing charges are too high, options may be limited mid-contract. However, there are practical steps you can take:

Review contract options at renewal

The best time to influence standing charges is when renewing. It’s important to compare the full cost of tariffs -- not just the standing charge -- because:

A lower standing charge can be offset by a higher unit rate
The “cheapest” standing charge option isn’t always the lowest total cost

Use full-market comparisons

Comparing suppliers properly can be time-consuming. A trusted broker can help ensure:

You compare a broad spread of supplier offers
You understand how standing charges and unit rates balance out
You select the best-value tariff for your usage profile

Does Your Business Need a Standing Charge Review?

At SeeMore Energy, we can review your current contract to confirm you’re paying standing charges appropriate to your meter type , consumption profile, and tariff -- and advise if anything can be challenged or improved at renewal.

To speak to our team, email admin@seemoreenergy.co.uk with the subject “Standing Charge” , or get in touch via the contact page.

‘SeeMore’ Energy Markets: February Review

Fri, 03 Mar 2023 11:11:03 GMT

This February we saw wholesale prices continue to fall. The day ahead market was relatively stable with the price dropping slightly over the course of the last 4 weeks. It started the month at £148/MWh and closed at £127.10MWh representing at 14% decrease in price and returning to levels similar to August 2021. February 6th saw the highest price of £172.50MWh with February 17th seeing the lowest price of £120MWh. This continues the 2023 trend of price steadily decreasing. A meter that consumes 10,000KwH per month would be seeing commodity costs of £1370.50 compared to £3400.30 it would have been paying based on the day ahead price on December 1st. For those who were out of contract in December, staying on the day ahead rates and waiting for prices to fall will likely prove to have been a superior strategy to taking the rates available then.

After a winter that saw reduced levels of gas consumption across Europe, the UK government have made plans to reduce energy costs for specific industries and announce the latest round of Energy schemes.

OFGEM announced that the energy price cap will change from £4279 to £3289 for the April-June quarter. With the level of support provided by the government set to be reduced from April 1st - this could lead to a 20% increase in the bills of the average household. From April 2023 - April 2024 the Energy Price Guarantee is expected to save the average household around £500, whereas a typical household was predicted to save £900 from the price guarantee that was in place from October 2022 - March 2023.

This announcement suggests that OFGEM see the declining price in the wholesale market as something that will be sustained even if wholesale price movements aren’t immediately reflected in the bills most households will receive.

It is likely energy costs will remain at the forefront of people’s minds for the foreseeable future as it was revealed by The Centre for Sustainable Energy that standing charges have risen by more than 80% in the last year. These price rises are mostly felt when a customer moves from the previous fixed rate contract to a new deal and could come as some surprise to people whose contracts are due to expire in the coming months. Although with the trend of commodity prices starting to decrease, this could go some way to offset the increased price in bills that people can expect to see.

The UK has also felt the impact of higher energy prices in the supply of groceries. Items which previously may have been taken for granted as staples are now facing shortages. Frost in Morocco and Spain lowered tomato production this winter, and - with UK energy prices high - it hasn’t been cost-effective to make up for these supply shortfalls by heating greenhouses. Horticulture was not included in the Energy and Trade Intensive Industries scheme which provides support to specific industries. Although the UK government is trying to offer support elsewhere.

Preparing for Winter 2023

Fri, 03 Mar 2023 08:24:03 GMT

Preparing for Winter 2023

Within the UK energy market, electricity and gas wholesale prices are split into different seasonal markets. These seasons cover different periods of time and allow us to see the current price for a set month, quarter, or season.

Each price gives us an idea of the expected supply and demand levels during the stated period and understanding the different markets and their pricing dynamics allows us to create buying strategies targeted towards identifying when is likely to be the most opportune time to make energy purchases.

In this article we will be discussing the price movements for the Winter 2023 market, which covers October ’23 – March ’24.

Winter ’23 prices since December 19th

Looking at the latest 3 months of gas and electricity prices we can see a clear trend. Prices have fallen to roughly half of their mid-December levels.

Heading into winter ’22 there was a lot of fear in the market. Prices had risen sharply during the previous year, and whilst they had dropped from their August high, there was still far more volatility than the market had experienced in recent years.

The Winter ’23 prices have now fallen to a level last seen around the beginning of April ’22.

Winter ’23 prices

The main driver of the price increases last year were the supply-shortages largely caused by the conflict in Ukraine. The European market struggled to find ways to make up for the shortfall in supply and there were fears that deficits could occur.

We now know that these shortages didn’t materialise as originally forecasted. In-part due to a mild winter, purchasing from other sources, and measures taken to reduce unnecessary usage. Despite this, fears remain in the market and there remains an increased awareness of the potential for shortages, particularly if there is a colder than normal winter.

With these fears and caution still in place it seems unlikely that the market will fall to pre-2022 levels in the short-term, but will it keep falling further?

Without possessing a fully functioning crystal ball it’s difficult to say with certainty. What we can do however is look at the factors that will serve as catalysts for future price movements.

The majority of the UK’s gas comes from the North Sea and from Norway. Any disruptions to either of these supplies would have a negative impact on price, however, it doesn’t seem particularly likely that any such disruptions will take place at this time.

Weather always plays a key factor in demand. An unseasonably hot summer or cool winter can lead to increases in demand leading to increased prices and the climate has become harder to predict in the last few years.

2022 saw numerous issues with infrastructure across Europe. Damaged pipelines, nuclear plants being shut down, rivers used for transportation drying up and no longer being functional all contributed to problems with supply and led to increased prices.

If we don’t see any such problems and no major geopolitical issues occur then we can reasonably expect the fear to dissipate from the market and prices to slowly decrease. However, with there still being trepidation in the market we could see an overreaction should any problems occur, particularly if it something that receives significant media coverage.

As we’d always conclude, knowing how best to navigate energy markets can be complex and daunting, with no single strategy consistently working best, but with the assistance of SeeMore Energy, we can help create a clearly defined and understood strategy that allows you to confidence of knowing the market is being monitored on your behalf in the hands of an expert.

If you’d like us to provide a bespoke market tracker report to highlight how we would perform as your trusted energy partner, email craig@seemoreenergy.co.uk and he’ll support.

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