Flexible Electricity Purchasing

The electricity marketplace is a trading commodity and, like all such commodities, prices levels can – and regularly do – experience a high degree of volatility. Supply & Demand levels have a strong bearing on the level of pricing volatility as do market speculation and trading behaviour alongside global events/risks to supply lines.

This environment has led suppliers to evolve their purchasing solutions from simple fixed purchasing supply contracts to more complex and flexible mechanisms. In return, larger electricity users have shown a strong appetite for exploring the adoption of these mechanisms.

So, whether you are a client who has historically purchased Fixed or a seasoned veteran of Flexible Purchasing, Informed is very well placed to support your on-going Flexible Purchasing requirements.

In summary, the benefits of Flexible Purchasing are:

  • Multiple buying decisions – manage procurement risks and opportunities more effectively
  • Full client involvement – making the final purchasing decisions or empowering Informed to do so within pre-agreed parameters

Informed adds significant value to the purchasing process by:

  • Determining our clients purchasing objectives, including any budgetary or timing constraints. Specifically agreeing any ‘caps’ & ‘collars’ for the duration of the framework period.
  • Identifying the most appropriate supplier’s Flexible Framework Agreement in order to manage the on-going management process. All suppliers’ Flexible Agreements are broadly similar: they operate with different qualifying thresholds and pricing mechanisms for base load, peak & residual loads.
  • Agreeing monthly, quarterly or seasonal purchasing periods, both in and out of sequence.
  • The ability to split each block into sub-blocks to further increase the level of purchasing flexibility.
  • Giving support to interpret market conditions - and the likely benefit of either moving to ‘lock- out’ or continuing to closely watch market conditions for each respective trading period.
  • Overall management of trades concluded, those outstanding and the current budget projection – versus target – for each purchasing period.
  • Providing regular commentary and a Bi Monthly Independent Market Report.
  • Expert ongoing support - from both a named Account Manager and a named Energy Analyst dedicated to each client account.

Informed recognise each of our clients are unique business’s with individual requirements. For this reason, we agree with all of our clients a tailored Service Level Agreement so our commitment to delivering an appropriate suite of services is fully transparent to both parties.