Companies with multiple sites across their portfolios also have multiple vendors providing services to those sites. When energy managers are dealing with hundreds of different suppliers, different regulations, and a variety of tariffs, it makes “one size fits all” energy procurement impossible. Adding to the complexity are the unknowns of extreme weather and climate change which at any given time can affect energy supply, demand, and pricing. Energy contracts can be complicated, and in a volatile energy market, if you lock in a contract at the wrong time it could cost your company. You need an expert in energy rates, energy markets and contracts for success in your energy procurement strategy.
Energy procurement is sourcing and locking in of contracts for your energy needs. Because the energy market is ever-changing and can be impacted by so many variables, energy contracts can be complicated and challenging for multi-site businesses.
Businesses that use more than 200,000 kWh each year can work with suppliers in deregulated markets to purchase energy at the optimum rate that best meets the company’s needs. Energy managers may issue RFPs to suppliers and then work one-on-one through contract reviews and negotiations while monitoring energy markets to lock in the most favorable rates and other terms. This process gets more complicated the more sites your business has because there are more variables to consider, and companies will often outsource this to third party experts.
No matter what size your company or how many sites you manage, it’s important to reduce the bottom line. Working with suppliers to procure energy, whether it’s from traditional or renewable sources, helps your company lock in the best pricing and terms and ensure you are not overpaying for these resources while ensuring you have an energy supply mix that supports your sustainability goals.
There are many reasons for companies to include renewable energy in their energy portfolios. The motivation may be financial, driven by regulation, or responding to stakeholder expectations to be more sustainable. Thanks to cost reductions and ongoing rebates and tax credits, renewables are emerging as a viable alternative to fossil-fuel based energy. Options may include solar, wind, bioenergy, battery storage and more.
ENGIE Insight’s Energy Procurement Program Management solution provides a proven process to help organizations competitively select their deregulated supply options, through seamless RFP and contract management. Through this service, ENGIE Insight saves time and ensures due diligence, as our energy market experts objectively perform a highly competitive and thorough process to minimize the rates our clients pay for deregulated energy.
When engaging ENGIE Insight to manage your integrated sourcing strategy, we run opportunity assessments, manage RFP processes, and broker deals across renewable energy and fossil fuel purchasing options.
“ENGIE Insight has demonstrated it understands the challenges quick service restaurants face today and can help optimize energy usage and restructure energy contracts to overcome them.” – Joseph Koudelka, Vice President- Global Supply Chain, Johnny Rockets
The ENGIE Insight Energy Procurement Program Management solution helps you maximize your opportunities in both regulated and deregulated energy markets. ENGIE Insight brings a large vetted national supplier base, along with a comprehensive back office contract workflow management engine, to ensure fast, accurate RFP–to-contract execution with best available pricing and products. Contact us today to learn more.
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