More than a Broker
The Consultant Difference
You have a choice in how you purchase energy. And the option you choose can significantly impact your bottom line. In deregulated energy markets—among the most complex commodities markets in the world—you have options for purchasing energy, including going directly to the supplier, using an energy broker, or partnering with an energy consultant. If you choose a supplier, you must spend significant time and effort researching reputable energy suppliers, as well as supplier bid preparation, bid pricing, and contract analysis. An energy broker may not provide the consultation and market insight that ensures your strategy meets your budgetary goals and usage needs.
Energy consultants have the knowledge, market insight, and experience to add value to your organization—while keeping your energy costs under control.
An energy consultant continuously monitors the energy market and alerts you of any price fluctuations, regulatory actions, or infrastructure updates—positive or negative—that could affect your energy strategy. Among other information, an energy consultant monitors:
1. Pricing trends: Pricing trends are subject to change at any time in response to a host of drivers, such as the economy, unexpected weather, hurricanes, and regulatory and political events.
2. Supply forecasts: Longer-term pricing is impacted by forecasts of how much supply will be in the market based on retirements and development of new power plants, natural gas production, and pipeline delivery capacity.
It’s vital to continuously monitor the market fundamentals in order to make good buying decisions.
Take charge of your energy spending. Energy consultants serve as an extension of your team, freeing you to do your job—and stay focused on the bottom line. Energy consultants offer several financial advantages, including:
1. Lower pricing from suppliers:Through existing supplier relationships, energy consultants will obtain better pricing than suppliers can offer directly. Consultants will enable competition among suppliers for your business through a bidding process. In addition, by working with consultants, suppliers avoid marketing and sales costs to acquire customers directly, which can translate into lower prices for you.
2. Better budget management for the long run: Establishing a partnership with an energy consultant allows you to develop a multi-year energy strategy designed to meet your budget and energy savings goals. An energy consultant will work with you to develop a plan for how to procure your energy, and then operationalize that plan by identifying the best supplier options at the right times in the market and budget cycle.
Maximize the opportunity for best market pricing. Ensure alignment with your risk tolerance and budget. Energy consultants help you build an energy strategy and integrate it into your operations. Specifically, consultants help provide:
1. Internal alignment: From finance, to procurement, to operations and facility management, multiple stakeholders in your organization benefit from a streamlined approach to energy buying and management.
2. Guidance on additional cost-reduction energy strategies: Energy consultant can suggest other solutions that may help you better manage your energy costs, such as peak load management, energy efficiency, renewables, and invoice management.
3. Ongoing knowledge and consultation: Energy consultants have capabilities and resources to help you develop your energy strategy—and provide ongoing consultation on energy markets throughout your energy contract.