Identifying cost saving opportunities
No two strategies are the same, but regular themes include the transitioning from ‘vanilla’ fixed retail electricity supply agreements to implementing multiple wholesale supply arrangements.
Alternatives could include:
- Transitioning from fixed ‘vanilla’ retail electricity supply agreements to flexible retail or wholesale supply agreements
- Moving from natural gas supply retail contracts to gas commodity wholesale purchasing and gas shipping
- Direct gas market participation in the Short Term Trading Market (STTM)
- Moving from fixed term supply agreements to a portfolio of gas supply agreements of different terms
- Spot purchasing of gas Including “as-available” gas commodity and/or transport in the portfolio to reduce costs
In addition we will seek out opportunities to save costs through:
- Developing Demand Side Management (DSM) strategies to access incentives
- Backhauling gas to reduce supply chain costs
- Fuel substitution to lower cost fuels such as coal, waste oil or biofuels
- Exploring opportunities to exploit waste derived alternative fuels
As part of our strategy we will implement energy cost reporting and analysis procedures to identify ongoing opportunities to deliver new efficiencies and cost savings.