Hard-pressed retailers are being encouraged to reassess the way they use and monitor energy usage as a way of cutting overheads.

Yorkshire energy management consultancy Orchard Energy, which advises many big retail names including Barker and Stonehouse, Barratts Priceless, Costcutter, Sheffield’s Meadowhall centre and the Ridings shopping centres in Darlington and Bristol, says simple efficiency measures could shave thousands of pounds off annual energy bills at a time when the sector is facing some of its toughest trading for conditions for decades.

“We tend to find that retailers with multiple sites are on half hourly metres which are bigger and more expensive than they need but can be easily downgraded,” said Gareth Henderson, Managing Director of Orchard Energy.

“Sites that rely on store managers to take readings can find themselves paying inaccurate estimated bills which are rarely rectified, a problem that can be overcome by installing smart meters that take automated readings.”

Mr Henderson said part of his firm’s work with major retailers involved negotiating down the bonds and deposits demanded by some energy suppliers.

“Forward purchasing is another way retailers can reduce and manage costs, helping with budget forecasting and protecting them from fluctuations in what is currently a very volatile energy market,” he said.

Barbara Winston, centre manager at the Ridings Shopping Centre, said retailers were under unprecedented pressure to keep costs under control.

“Our costs are rising significantly, particularly in relation to energy, at a time when many retailers are struggling to keep their heads above water.

“Our business has taken advice on energy purchasing and on reducing the administrative burden associated with managing energy contracts and red tape.

“There’s a general lack of awareness in the retail sector about the efficiency measures that can be taken but our spending in this area is constantly under review, particularly as energy represents one of our biggest overheads,” she said. 

For advice call Orchard Energy on 0844 581 0844

Short term prices are unusually stable given the wide range of global factors influencing the markets which indicates that this could be a good time to fix prices for winter 2011 and summer 2012.
A major hurricane, further Middle East unrest or another natural disaster could result in strong gains in W11 prices and a fear of energy shortage as we reach the end of 2011.
Japan’s regional authorities are expected to decide whether or not to restart production in their areas but may not give approval for this, forcing them to call on alternative fuel supplies like coal and gas thus putting pressure on global supplies.
Gas is currently trading at 66p making this a good time to fix prices, particularly when we consider that LNG supplies to the UK are likely to tighten from next year.  China and India’s demand for LNG is set to increase as will Taiwan’s when new import facilities come online.
Other factors that could influence W11 and S12 prices include summer rainfall levels and temperatures and increasing demand for energy from China.
There also seems to be little appetite amongst oil producers to force down oil prices by stepping up production and it is expected it to continue to trade above $100 a barrel.
W11 prices already have the winter weather factored into them and unless we have sustained mild weather prices won’t really fall but could potentially rise taking into account the above influences.
To find out about fixing business energy costs or to discuss business energy management contact Orchard Energy on 0844 581 0855.

Oil prices rose again today after OPEC failed to agree to increase oil production.

Brent crude rose above $118 a barrel amidst fears of limited supplies.

Many analysts had been predicting that OPEC would take the decision to increase production to limit rising prices but the oil cartel failed to reach agreement on this issue prompting fears that prices will rise.

Read more on this story at http://www.bbc.co.uk/news/business-13699952

Rising consumer confidence in the US pushed oil prices upwards for three days in a row last week with futures going up by 1.8% on the back of increasing manufacturing production. Crude oil for May delivery increased to $109.92 a barrel on Friday.
In addition to growing consumer confidence in the US, China’s economy grew faster than predicted in the first quarter of this year, rising by 9.7%. With both the world’s biggest energy consumers reporting manufacturing growth, OPEC raised its demand forecasts.
Meanwhile Middle East unrest continues to impact on prices, which have risen by 20% as unrest has spread through Tunisia, Egypt, Bahrain, Libya and other countries in the region. Elections in Nigeria this month may also lead to disruption to crude output from the country.
Some analysts predicted this week that Brent will trade between $120 and $125 for some time in response to geopolitical issues and energy prices seem unlikely to fall in the foreseeable future.

For advice on energy management for your business call Orchard Energy on 0844 581 0844.

OPEC’s announcement that it will push oil to $100 a barrel may start pushing the market upwards after a period of stability.

Although most business energy users feel the market is steady, prices have risen gradually throughout the year and are now higher than they were at the start of 2010. The rise has been so gradual that many people haven’t noticed it but the overall trend is upwards and 2011 will see prices rising further.

Energy remains one of the biggest overheads for most businesses, therefore my team of market intelligence experts is advising clients to fix their energy prices now to avoid putting their businesses at risk from rising fuel bills in 2011.

By Gareth Henderson, Managing Director of Orchard Energy

To contact a market intelligence specialist at Orchard Energy call 0844 581 0844

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  

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.