Business Energy Comparison

Business Energy FAQs

• Do We Offer Dual Fuel Tariffs?

  Business energy suppliers do not offer dual fuel tariffs. You will need to switch your business electricity and gas contracts separately.

  They can be easily managed if you switch both of them at the same time for the same contract length. This allows you to keep track of the contract end date.

• What is the Climate Change Levy (CCL)?

  The Climate Change Levy is an environmental tax paid by businesses on the energy they use. These rates will be applied to your bill automatically by your energy supplier.

  Here are the Climate Change Levy rates until April 2024:

  • Electricity (per kWh): 0.775p
  • Gas (per kWh): 0.672p

  Data source: https://www.gov.uk/guidance/climate-change-levy-rates

• What Is A Half-Hourly Meter?

  Half-hourly meters are mandatory for large consumption businesses with a maximum demand of 100 kWh of electricity or 70,000 kWh of gas or greater in a 30-minute period.

  These meters submit energy readings to your supplier every 30 minutes to ensure you’re not billed based on estimated usage.

• How Long Does It Take To Switch Business Energy?

  We aim to switch our customers to their new supplier within 5 working days of approval.

• How Can My Business Avoid a Rollover Contract?

  Setting a reminder in your calendar is enough in most cases. Energy companies are obligated to inform you, within 60 days of when your contract is coming to an end. This provides you with plenty of time to switch.

  Each business energy contract has a termination period during which time you can switch to a new tariff. This varies depending on the supplier. You can get this information by contacting your business energy supplier.

  If you switch with Business Energy, we take on all the admin for you. This means that you will avoid rollover contracts and avoid the street of staying on top of your energy. We will find you the best deal and let you know if a better deal comes along. Your dedicated account manager will be in touch when your contract is up for renewal.

• How Does My Business Set Up Gas and Electricity for the First Time?

  The first step when moving premises is to check you’re connected to both gas and electricity meters. If you don’t have a connection, you will most likely be required to pay a connection fee. It is worth knowing prior to moving in, as getting connected can take time.

  Your gas and electricity will be provided by the same energy supplier that the previous tenant or owner used. Make sure you check that there is no outstanding debt on the premises, as this can lead to the property being disconnected.

  For gas supply – go to the Meter Point Administration Service. You will need your meter point number (see below) or request it if you’re unsure.

  For electricity supply – contact your local distribution network. You will need your meter point number (see below)

  BusinessEnergy.com recommends you set up a new commercial energy contract before moving in. You can do this once you have your tenancy agreement. This also reduces the likelihood you will face any unforeseen surprises once you move in.

  If you move in and start using energy without an existing contract, you will be on a deemed contract with the existing supplier. This is a very expensive tariff so should be avoided if possible.

• Does My Company Have to Pay VAT on Its Business Energy?

  Standard VAT on commercial electricity and business gas bills applies if annual turnover is more than £85,000.

  If your business falls into this category you need to register for VAT with HMRC. Once you have applied, you will receive a VAT registration certificate.

  Energy suppliers will charge VAT at a standard rate. So if you are eligible for the discounted rate, you will need to inform them to alter your bills.

  Your business will qualify for a 5% discounted rate if any of the following apply:

  • Your company’s gas usage is less than 4,397 kWh per month, and business electricity usage is 1000 kWh per month;
  • You run a charity or non-profit;
  • 60% or more of the energy used by your company is for domestic purposes.

  You need to contact your energy supplier if any of the above apply to qualify for the 5% rate.

• Should I Carry Out a Business Energy Audit?

  All businesses should complete a business energy audit. They can have a huge impact on large businesses, but smaller business will see savings from this too.

  A business energy audit will expose any wasted energy. Taking the time to consider where energy is being spent provides a base plan to become more efficient.

  It will only take a couple of hours to complete a business energy audit. Here's what you do:

  1. Determine How Much Energy Your Business Is Using.
  2. Identify areas for improvement.
  3. Agree which areas need to be tackled first.
  4. Review your business energy contract.

• What’s The Difference Between Long-Term And Short-Term Business Energy Contracts?

  Short-term business energy contracts are like renting - they are much more flexible but prices can change quickly. Long-term contracts are like buying - stable, but you are committed even if prices drop or rise.

  Short-Term Energy Contracts

  Pro: Flexible

  Con: Price Volatility

  Long-Term Energy Contracts

  Pro: Stability

  Con: Less Flexibility

  Choosing the right energy contract length depends on your business energy needs and risk tolerance, like energy consumption and budget.