As an energy cost-reduction specialist, Leading Edge Energy is determined to help energy consumers in the Australian commercial and industrial sectors cut their electricity and gas bills down.
One such company we helped in achieving this goal was Blackwall Property Funds in Sydney. Through our detailed and holistic tender process, we were able to help reduce their energy costs by $150,000 by going to tender on the wholesale electricity market at the ideal time.
Before engaging Leading Edge Energy, Blackwall had a number of sites purchasing energy individually from a range of retailers, this exposed Blackwall to varying energy rates and contracts, which was more expensive for the real estate company.
Wanting to see if there was any way to reduce their energy costs, Blackwall’s management contacted Leading Edge Energy.
What we did
Energy cost-reduction is Leading Edge Energy’s specialty so we applied our expertise to solve Blackwall’s problem. How? First, we analysed Blackwall’s group sites setup and we were immediately able to identify a solution that involved grouping them together to avail of wholesale rates in the energy market.
Then we calculated that going to tender on the wholesale market would result in 20% in savings on average.
Aligning contracts
Because Blackwall was purchasing energy from different retailers for different sites, another downside of this was that the group had multiple end dates across their energy contracts. This was an administrative headache for the company.
By combining the sites, we were able to align the contracts so they expired at the same time, making account management a much easier task.
Apart from easier administration, the new setup allowed us to leverage purchasing power to get a better deal on the wholesale market.
Market timing
At Leading Edge Energy, we closely monitor the wholesale energy market in real time so we can identify the best time to go to tender. By tendering six months before contract expiry, rather than waiting till the last minute, we helped Blackwall save over $150,000 on their energy contract.
Here’s a pro-tip: buying energy ahead of time is an effective way of taking control of your energy spend.
This way, you can lock in contracts up to three years in advance, so you will not only benefit from cheaper rates, but you will also know exactly what your energy spend is going to be for the whole year, allowing you to budget and forecast accurately.
Want to find out more about multi-site tendering?
By grouping your multi-sites into a single wholesale electricity tender at the ideal time, we can help you reduce your energy costs. Call Leading Edge Energy for a free consultation on tel: 1 300 852 770 or send us an email on info@leadingedgeenergy.com.au.
