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If you are a business owner then you probably have access to electricity because, without it, you simply cannot do anything. You won’t be able to power the lights in your office, you won’t have a place to plug in your computer, charge your phone or make coffee in the kitchen. The same applies to all of your coworkers too. So, if you want to achieve the best workflow efficiency, you will have to make sure that you have the best and most reliable supply of energy into your office.

However, sometimes, depending on the location of your company, the rates for electricity can be too high for your budget. You will notice that a big percentage of your expenses go towards the energy bill and that is unacceptable. To make profits, you will have to make a few changes and the first step is to find the best electricity rate in your area and then start tracking your energetic expenses.

All of this might sound a bit complicated for those that have no previous experience regarding this subject, but after reading this article everything will be cleared up for you.

Is it complicated?

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Well, it actually isn’t complicated at all. Shopping for the best rates is quite simple, you just probably have never thought of doing that ever before and that’s fine because the changes in rate for small utility bills at home won’t make any marginal difference to you. However, when it comes to running an office or an entire building, setting up proper heating, lighting, and power to every computer, you will definitely want to find the best rates. If you don’t, you may end up with a utility bill costing you thousands of dollars.

It is quite simple, a bill is calculated by price per kilowatt-hour or more commonly referred to as kWh. There are also a couple of other fees on the bill you will have to factor in such as a demand charge or delivery fees, but most of them are fixed, so they won’t have such an impact on your budget. In other words, the only important thing you should remember is the price per kilowatt. The lower the price of kWh, the less money you will have to pay at the end of the month.

Types of electricity rates

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Most companies prefer to use a fixed-rate plan because you will be paying the fee all the time, it doesn’t matter how much kilowatts you use or when you are going to use them. It might not be cheaper, but it also not much more expensive than you think. The great thing about settling for a fixed plan is the fact that you can have consistent information about your bills which means you can adjust your budget around it. If the fees fluctuate monthly, you won’t be able to properly calibrate your budget.

Another option is the indexed plan which provides you with cheaper electricity throughout certain times of the day or the week. For example, some companies might offer half of the regular kilowatt per hour price between 12 PM and 5 AM. So, if you are a company that is only working during night shifts, an indexed plan is probably your best option.

How do I compare electricity rates?

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Depending on the location of your business, comparing electricity rates might not be as simple as you think. If you are facing offers from dozens of different companies that offer you this service, you will find yourself in a dilemma without an exit.

Fortunately, there are a variety of applications, websites and platforms out there that can provide you with a search engine to compare rates by location, zip code or prices. If you are looking for such a service, you should check out Energybot.

Remember that you should always focus on the price per kilowatt-hour and that everything else is just a small addition to the bill you will be paying at the end of the month.

What if I don’t have any other options?

It is not rare that some businesses find themselves in a situation where they have only one option when it comes to electricity services. But, settling for such a high price when running on a low budget is not an option. In these times, your only choice is to consider negotiating with your current provider. Check through all of your bills, check your contract and analyze every bit of information to get familiar with your provider and your relationship with them.

You can then contact them and ask them about the possible reduction in their price per kilowatt-hour or about any tips that might lead to a cheaper utility bill. Most of the time, a provider will do everything in their power to help you and will probably give you a couple of tips and advice to keep your expenses low. The more consistent your energy expenditure is, the better is for them.

If they are willing to help you, consider creating a brand new contract with which both your company and the provider will benefit from.

Practice energy efficiency

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Naturally, everything will not go always as planned. There’s a chance that you do not find a provider that offers better rates or that your current provider does not show any interest in signing up a new contract or providing you with information about reducing your energy bill.

In this kind of situation, you will have to do everything in your power to make positive energy efficiency changes. Not only will you save money from cheaper utility bills, but you will also reduce your carbon footprint which is always a good thing. Things like replacing all of your lightings with LED bulbs can make a huge change in your energy expenditure. It is a good idea to consider installing a more efficient cooling and heating system and maybe even installing a couple of solar panels on the roof of your building.

These kinds of moves will surely get you moving in the right direction.