Your network tariff is unique to the needs of your business: could yours be costing you money?
Find significant energy savings by re-classifying your network tariff and associated demand charges to better reflect your site’s power needs. Your tariff and demand charges can add up to more than 60% of the total charges on your energy bill, so if yours isn’t correctly aligned, you might be paying more than you need to. Could this be a sunk cost for your business?
Tariffs are unique to each site, so if your business works over a range of locations you might see a difference between them.
Your network tariff classification and associated charges are negotiable, dependent on:
✓ How much power your business consumes
✓ How you use power in peak and off-peak times
✓ What type of business operations you run.
For businesses that spend more than $2500 per month, these charges are often split out as a line item on your bill and are negotiable. When your retailer passes on these charges, they don’t usually go out of their way to tap you on the shoulder and correct you if you’re paying more than what you need to be - and that’s where we come in.
What If I’m on a demand tariff?
If you are on a demand tariff, Choice Energy can review your demand rates and deliver a demand review. If we identify a difference between your contract demand and the demand profile, we can formally request a demand reset through your local distributor.
If you are billed either “KW” or `”kVA” demand on your energy bill, your network demand charges are the amount charged by your energy network distributor to essentially reserve an amount of energy for your business, calculated based on an analysis of your previous energy demand.
Your network tariff for usage (kWh’s consumed) may vary from 2 cents to 20 per unit used. These rates will be reflective of what network tariff you are on.
What tariff you are on is typically based on your load profile (how much and when you use power)
We make analysing your tariff classification simple
Your dedicated energy management consultant will ask for your most recent energy bill.
As part of our commercial energy procurement process, you’ll have provided a letter of authority for Choice Energy to check your metering.
With your energy bill on hand, and access to metering data, your consultant now has all they need to analyse your data to find a better cost reflective network tariff, so you pay less. If a change to your network tariff or demand charges is required, we’ll work with your Network Service Provider (NSP) to ensure the changes take effect.
Want ongoing confidence that you’re paying the right charges for your business energy use? Explore our metering and monitoring service now.
Figures and assessments relevant to retailers in the NEM area only