An entirely integrated approach to energy cost mitigation

01

Tendering & Procurement

Over the 30 years or so since deregulation, suppliers have devised a variety of strategies through which buyers can connect to the market. As markets evolve, accessing benefits which historically have only been available to the very largest consumers, are increasingly being offered up to “mid-market” consumers. Gone are the days of taking for granted that suppliers have the upperhand…

It makes sense to commit to a protracted “trading window” of 6 to 18 months prior to contract expiry – that way, you’ll not be compelled to accept prevailing prices at the last minute. Give yourself time – don’t make it too easy for suppliers and energy brokers to create that sense of urgency and panic upon which they all too frequently rely.

Fixed

The supplier takes all the risks and calls the shots (best suited to budgets below £250k per annum)

Flexible

The customer assumes most of the risk and calls most of the shots (best suited to budgets over £1 million per annum)

Dynamic

The customer enjoys the privileges of Flexible, but with the budget surety of Fixed (best suited to budgets between £250k to £1 million per annum)

We're happy to put together comprehensive, provisional analysis without obligation.

02

Risk-Management

Dynamic Industrial & Commercial energy supply contracts are designed to provide greater control over energy commodity prices by allowing consumers to purchase blocks of energy at wholesale prices either at the beginning and/or during the term of supply.

It’s important to note that these are not variable contracts. Instead, Industrial & Commercial wholesale supply contracts put the power back in the hands of the buyer. You decide what to buy, and when – and in doing so, avoid the inflated risk-premiums associated with traditional “Fixed” retail agreements.

Quantify

Establish risk-profile and procurement/tendering objectives

Plan

Draft energy purchasing strategy based on risk-profile

Track

Scan the markets for entry triggers based on agreed plan

Entry

Buy energy at market through the supplier for the agreed periods of delivery

Monitor

Provide weekly position reporting of hedged positions and identify any future opportunities to secure value

Collaboration is the key to a successful wholesale purchasing strategy. ICD optimise our client’s procurement performance, whilst delivering an auditable and balanced energy risk management approach that meets with the demands of standard internal governance processes.

03

Compliance & Accreditation

Failure to meet your reporting obligations under current legislation is likely to result in fines for non-compliance. It’s common for businesses find themselves collating the same data and repeating the same exercises time and again to satisfy multiple legislative requirements.

ICD’s qualified assessors deliver end-to-end compliance fulfillment whilst empowering our clients to enjoy the benefits that meeting legislative requirements promotes. Our qualified ESOS Lead Assessors have delivered a 100% success rate for our ESOS Phase 1 & 2 customers.

Remember, the sooner you begin, the more time you’ll have to facilitate audits and prepare energy reduction strategies.

04

Net Zero Advisory

Alongside the UK’s commitments to 2050 Net Zero targets, unfamiliar terms like ‘carbon positive’ and ‘value-chain emissions’ have emerged amidst the ever-widening discussion around decarbonisation.

Increasingly, stakeholders want to know your long-term climate strategy. They want to know the extent to which your business model is resilient to climate-change impacts. Consumers are increasingly environmentally aware. They are demanding transparency, and are increasingly concerned with sustainability in the goods and services they buy.

ICD can help you develop a detailed and practicable sustainability plan designed to reduce your direct (Scopes 1 & 2) and indirect (Scope 3) carbon emissions.

05

Bureau & Client Services

To ensure both the accuracy of your supplier invoices and to avoid unnecessary overcharging, we validate each element of your monthly/quarterly bills. We can also audit historical bills on your behalf.

06

Energy Audits

There are numerous physical and behavioural changes that businesses can make to reduce energy consumption, lower their carbon footprint, and ultimately bring down costs.

Following the audit, our assessor will compile an assessment report which contains consumption figures and practicable energy reduction measures, and recommendations with simple payback calculations for short- and long-term solutions. As part of our Energy Audit service, ICD will assess your site’s suitability for renewables, detailing which technologies will be a good fit and associated funding/returns on investment.

07

Monitoring & Targeting

Our aM&T solution (ENERGINE) processes, tracks, records then visualizes our clients’ energy consumption – be it across an entire site or limited to one defined asset. By monitoring energy consumption, and having access to meaningful data, businesses are able to optimise consumption behaviours and ultimately reduce running costs and carbon emissions.

ICD will carry out an assessment of your site’s suitability for aM&T and produce a plan detailing the proposed site locations of “pick-ups” (isolated data collection points) and associated energy management benefits.

08

Water Procurement & Advisory

As of April 2017, deregulation opened the commercial water market up to competition, allowing new retailers to enter the sector – meaning businesses, charities and public sector organisations were no longer restricted to buying water from regional water companies.

ICD’s water audit comprises revenue recovery from water companies for overcharges including mis-bills of unoccupied properties, duplicating invoices for unmeasured and measured basis, overpayments, and inaccurate water surface charges.

Our approach identifies consumption irregularities, analyses historical/proposed tariff structures, checks effluent assessments and highlights opportunities to ultimately reduce consumption and wastage.

09

UK-ETS Procurement & Advisory

The UK ETS cap-and-trade system was introduced in May 2021 and represents a key aspect to the UK’s climate aspiration of carbon neutrality by 2050. Participants are required to surrender sufficient UKAs (allowances) in April each year commensurate with their greenhouse gas emissions.

Each year the overall cap is lowered, which means the cost of emissions allowances goes up. This is intended to incentivise cuts in emissions and ultimately, investment in renewable technologies.

As part of ICD’s end-to-end Industrial & Commercial client support, we assist our UK-ETS clients with procurement of UKAs, as well as market analysis and timing of entry.

10

Climate Change Agreements

As you’ll have no doubt seen on your invoices, the Climate Change Levy (CCL) is an environmental charge levied against non-domestic electricity and gas invoices intended to improve energy efficiency and reduce carbon emissions.

As means of mitigating the impact of CCL costs on manufacturing and heavy industries, Climate Change Agreements (CCAs) were introduced to provide a relief against CCL in return for a commitment to improve energy efficiency. Exemptions are achieved by meeting targets set by each qualifying industry sector.

ICD will complete your application and subsequently manage your CCA ensuring you enjoy cost exemption whilst introducing energy reduction strategies into your business.