Several companies are now taking the bull by the horns to put their energy contracts under the microscope. Or, you will be proactively sent a new proposal from the energy supplier to renew your contract. In this blog article, we outline what you need to consider so that there are no surprises at your billing.
Rates for the future.
Given that current variable energy rates are so low, this may give a distorted picture for the future. These exceptionally low energy prices are not immortalized. With the rebound of the economy, energy rates are also likely to move upward again.
So be aware of pricing formulas that use the current (low) variable tariffs to make example projections for the following months and years. A quote that looks very attractive at first glance can turn out to be very expensive in the future, depending on the price formula.
If you are offered a fixed price for future years, you need to make the assessment of whether it is low enough to subscribe to it. This is because if you purchase energy at a fixed price for a period of time, you will no longer be eligible for the drop in variable prices on the exchange for that time.
Need an expert review of your contract?
Not sure what rates you are currently purchasing at, or unsure about an energy supplier quote you received? Send your contract or price proposal to us and one of our experts will be happy to analyze what you could save.
An analysis of the past 15 years shows that in most cases variable exchange prices have been cheaper on average than fixed prices. That said, at certain times you can obtain very interesting fixed prices for the future.
At Odot, we always negotiate a type of contract that allows us to buy on both price exchanges, fixed and variable, for our clients. We continuously monitor the market so that our clients are assured of the best terms at all times. Our experts make the right choice between fixed and variable based on their experience and at the right time.
Want to know more about our optimal purchase model?
Odot aggregates the energy demands of industrial consumers, multi-site companies, SMEs and the self-employed. In order to negotiate the most advantageous energy contracts for each type of consumer with maximum weight.
Odot reduces your energy costs through a unique procurement model, supported by AI and innovative software. Our knowledge of the energy market, assures you the most advantageous rates, continuous price tracking and a contract that suits you.
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Energy prices below zero. Does this count for your business?
Several companies are now taking the bull by the horns to put their energy contracts under the microscope. Or, you will be proactively sent a new proposal from the energy supplier to renew your contract. In this blog article, we outline what you need to consider so that there are no surprises at your billing.
Rates for the future.
Given that current variable energy rates are so low, this may give a distorted picture for the future. These exceptionally low energy prices are not immortalized. With the rebound of the economy, energy rates are also likely to move upward again.
So be aware of pricing formulas that use the current (low) variable tariffs to make example projections for the following months and years. A quote that looks very attractive at first glance can turn out to be very expensive in the future, depending on the price formula.
If you are offered a fixed price for future years, you need to make the assessment of whether it is low enough to subscribe to it. This is because if you purchase energy at a fixed price for a period of time, you will no longer be eligible for the drop in variable prices on the exchange for that time.
Need an expert review of your contract?
Not sure what rates you are currently purchasing at, or unsure about an energy supplier quote you received? Send your contract or price proposal to us and one of our experts will be happy to analyze what you could save.
Variable versus fixed.
An analysis of the past 15 years shows that in most cases variable exchange prices have been cheaper on average than fixed prices. That said, at certain times you can obtain very interesting fixed prices for the future.
At Odot, we always negotiate a type of contract that allows us to buy on both price exchanges, fixed and variable, for our clients. We continuously monitor the market so that our clients are assured of the best terms at all times. Our experts make the right choice between fixed and variable based on their experience and at the right time.
Want to know more about our optimal purchase model?
Odot aggregates the energy demands of industrial consumers, multi-site companies, SMEs and the self-employed. In order to negotiate the most advantageous energy contracts for each type of consumer with maximum weight.
Read here more about Electricity & Natural Gas.