Basket procurement is a way of pooling the bulk buying power of a group of businesses to obtain competitive prices for your gas and electricity, saving money and taking advantage of economies of scale.
Although a clear benefit is that you will make notable savings, it’s not the only advantage. A clear characteristic and positive aspect of basket procurement is that it saves you time; you get a fresh price every year without the need to spend valuable time searching for new contracts. It also means you won’t get caught out by sudden spikes in the energy market, something which could affect your price when your contract is up for renewal.
We’ll be there manage the process throughout, with flexible/basket procurement most energy brokers and suppliers won’t consider a business unless they use over 10 million kwh. We combine client volumes to reach the requisite volume needed by a supplier which gives you the purchasing power of a large energy user. As well as this, we run baseload and peakload baskets, so if you’re a high baseload user you don’t cross subsidise others.
Key aspects of basket procurement
- Smaller customers can reap the benefits of trading flexibly on the wholesale market.
- Respond to key drivers together, this could be in your market or the energy market.
- Rather than committing to 100% of your volume on one day, spread the risk across multiple purchasing points and take advantage of market increases and downturns.
- Volume tolerance is aggregated across the group so you have the ability to re-forecast.
- We have the ability to set a contracted budget on your commodity price to ensure you do not exceed a worst case scenario.
- Each customer within the group is credit vetted individually. If one customer leaves the basket, it has no bearing on the rest of the group.
- Take control and fix as little or as much as you want with full visibility.
- Full price transparency.
- Aggregated volume
- Shared external market drivers
- Take advantage of the market and our extensive knowledge in the field
- Volume tolerance control
- Budget certainty
- No cross subsidisation
- Non commodity charges