Energy Markets are braced for increase and instability

Submitted by Gareth Henderson on July 08 2010
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Annual wholesale prices have increased by more than £5/Mwh in the first 2 weeks of June, day ahead prices from March to date have increased between 18% and 30% across gas and power markets with coal rising over 9% in the same period. Overall the market has reached an 8 month high in the UK with European pricing following the same sentiment.

Much of the increase is linked to the gathering of pace with improved industrial activity - with Eurozone industrial activity up by 0.8%.

The nature of the global energy market is also having a bearing on increasing prices, a coal train derailment in Australia and the 6 month drilling ban in the Gulf of Mexico are assisting the overall price increase. News of an excessive hurricane season in the Gulf of Mexico is further adding to increased price fears and the bullish sentiment.

The UK is served by a Norweign gas pipeline where employee unrest and the chance of strikes is adding to supply uncertainty. This pipeline connecting the UK, Norway and Germany is due to come off maintenance in the coming weeks at which point gas may be directed back towards Europe, this will again provide a chance for a further increase in UK prices. The continued closure of the Norway-German pipeline is meaning that the UK are exporting more energy out to Europe through the UK-Belgium interconnector.

Orchard are actively looking at contracts as far out as October 2011 to ensure that purchasing strategies are put into place and businesses do not suffer form the increasing prices. Orchard have worked with our clients closely through the recession and want to ensure that our clients businesses do not suffer from the increasing prices which could have a further negative effect on their business.

Contact our Pricing Analysts for further information.

Jorvik cuts energy costs but not value

Submitted by Gareth Henderson on July 07 2010
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Jorvik has become the latest tourist attraction to link up with Orchard as they looks to cut costs without impacting on visitor experience. We are working closely with York Archealogical Trusts director of finance in what is very much a partnership approach to energy management.

Jorvik attracts 400,000 visitors every year and operates eight sites in York including its main Viking attraction in the centre of the city. Orchard have carried out a detailed survey of the energy usage at all its sites to demonstrate the most efficient tariffs, contracts and suppliers for the organisation as a whole.

Orchard also manages energy supplies for Harewood, Eureka Children’s Museum, the Devonshire Estate, Ripley Castle, York Castle and Castle Howard.

We understand that for tourist attractions, venues and museums cutting costs isn’t as straightforward as it is with other businesses because lighting and heating are necessary to create the right ambience.

Orchard is also helping many of these organisations prepare for the Government’s Carbon Reduction Commitment to avoid fines for non compliance.

Further information:

www.jorvik-viking-centre.co.uk

www.carbontrust.co.uk/.../carbon-reduction-commitment.aspx  

Costcutter drive energy costs down

Submitted by Gareth Henderson on July 07 2010
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As just one of just 28 brokers accredited by trade body the Utilities Intermediaries Association (UIA), Orchard have been appointed to source all gas and electricity supplies for the Costcutter group’s stores. We are delighted to welcome Costcutter and Costcutter franchisees to the business!

Costcutter is one of a growing number of new clients specifically looking for consultants accredited by the UIA, the body responsible for upholding standards in the industry.

We believe that any business wanting to cut energy costs has a formidable task ahead of them when selecting a consultant and “It’s important to find a broker who not only deals direct with the energy suppliers but has a sound understanding of the energy business and how contract dates and fluctuations in the market can impact on overall costs.

Orchard are currently proactively sourcing 2011 contracts for our clients. As a good independent energy broker we have the experience, expertise and infrastructure required to transparently advise on the best approach and manage the whole contract and buying process.

For additional information on the UIA: www.uia.org.uk

For additional information on Costcutter: www.costcutter.com

Orchard Energy Appoints First Associate Director

Submitted by Gareth Henderson on July 07 2010
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Amar Hussain joined the energy consultancy in 2006 as business development manager, becoming sales manager in 2008. His new role will involve generating new business and upholding standards of customer service as the firm prepares to open five new offices across the UK by the end of 2011. 

I am personally delighted to appoint Amar’s to Associate Director which will release me to focus on developing our new regional offices. We have just signed the lease on premises in Glasgow with plans in the pipeline for centres in Cardiff, Cambridge, Reading and Hull.

Orchard is doubling turnover year on year and as a business we need to ensure we continue to deliver excellent service to our clients as well as supporting our staff through this period of rapid growth. We are committed to delivering this service.