Energy can be a complex subject for anyone to understand, but with just a basic understanding you can become an increasingly savvy decision maker. And what better way to learn the basics than through the alphabet.
A is for Audits: Have one conducted to ensure you’re not being incorrectly billed.
B is for Benchmarking: An easy way to assess the energy efficiency of your building, and maybe even avoid a fine.
C is for Capacity: A significant portion of your electricity costs, but there are several ways you can reduce it.
D is for Demand Response: Get paid for committing to reduce energy.
E is for Energy Efficiency: These projects save energy and should be considered in your alternative energy supply contract. They could bring in additional revenue, as well.
F is for Fees: They’re in every energy contract, but you need not be surprised by them.
G is for Green Energy: Whether you have it on site or through RECs, don’t forget about it when purchasing energy.
H is for Holistic: The view you should take when assessing a building’s energy, because each facet relates to another.
I is for Insurance: Know what fixed pricing options are available to protect you against extreme market volatility.
J is for June: When summer starts and peak electric loads begin being calculated – it’s time to think about dropping your peak electric load.
K is for Kilowatt hour: The unit of measurement for your electricity consumption.
L is for Load Profile: How and when you use electricity greatly impacts the competitive pricing available.
M is for Market Volatility: The natural condition of energy markets.
N is for Natural Gas: You may purchase it as a commodity, but it also impacts your electricity price.
O is for Ongoing Energy Management: What each building requires to achieve optimal results.
P is for Pass-Throughs: Don’t be scared – if managed correctly, these commodity components may actually reduce your energy costs.
Q is for Quality Competition: When multiple reputable suppliers bid for your energy, you get the lowest price.
R is for Reverse Auction: A tool that bring suppliers together in real-time to bid down the cost of your energy.
S is for Swing: Contracted Quality Tolerance – to give you more flexibility and protection when the unexpected happens.
T is for Timing: A critical aspect for getting the best energy price.
U is for Utility Tariffs: Being on the correct one can save you thousands of dollars, even if you’re with a third party supplier.
V is for Variable: Which is the rate you could be on if your fixed contract expires, exposing you to increased risk.
W is for Weather-Normalization: Don’t forget about this if you want to accurately analyze your energy situation.
X is for “X”: The spot you sign on your energy contract.
Y is for Your Bottom line: Remember – energy costs account for about 30% of business operating expenses.
Z is for Zero: The amount of time you should spend in agonizing over the energy challenges of your facilities.
Learn your Energy ABC’s and you’ll save time, money and resources! Any questions – contact AUS and we’ll be happy to help.
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