Energy procurement for UK manufacturers
Control energy costs, reduce procurement risk and manage complex electricity and gas contracts with independent commercial energy expertise.
- Independent
- 21+ suppliers
- Established 2002
- UK-wide
- Multi-site expertise
Manufacturing energy is different.
Manufacturing sites don't buy energy the way offices or shops do. Get the detail wrong and it costs far more than a slightly worse unit rate.
High electricity consumption
Production machinery, compressors and process equipment push usage well beyond typical commercial profiles.
Half-hourly metering
Most sites above 100,000 kWh a year record consumption in 30-minute blocks. That data should shape your tender, not just confirm your bill.
24/7 vs shift-pattern demand
Three-shift operations draw a flat, predictable load. Single-shift sites swing sharply between peak and off-peak. Each suits a different contract structure.
Peak loads and maximum demand
Demand charges are set by your highest half-hourly draw, not your average use. Startup sequences and large motors are common culprits.
Gas-intensive processes
Heat treatment, drying, kilns, furnaces and steam often make gas the bigger line item, with its own procurement timing.
Seasonal production
Output swings change your consumption profile year to year, which affects how a supplier prices risk into your contract.
Multiple meters and sites
Several MPANs and MPRNs, often on different contracts with different renewal dates.
Contract timing
Tendering too early or too late against your contract end date materially changes the rates you are offered.
Capacity and kVA
Agreed supply capacity that does not match actual demand means paying for headroom you never use, or excess charges you did not plan for.
Budget exposure
Energy is a meaningful share of manufacturing overheads. Getting procurement wrong flows straight through to margin.
Shift patterns also drive DUoS time-of-use charges, Triad exposure and Energy Intensive Industry eligibility. See manufacturing shift patterns and energy contracts.
How Telnergy procures manufacturing energy.
- 1
Audit
Current contracts, bills and supply arrangements across every site and meter.
- 2
Consumption analysis
Half-hourly data, peak demand, shift patterns and planned production changes.
- 3
Market tender
Your actual consumption profile taken to 21+ suppliers, not a generic quote request.
- 4
Supplier comparison
Unit rates, standing charges, pass-through structures and terms compared on equal terms.
- 5
Recommendation
An independent view on which offer and structure suits your site.
- 6
Contract
Paperwork, supplier handover and onboarding handled for you.
- 7
Ongoing management
Renewal tracking, billing checks and support for the life of the contract.
Fixed vs flexible procurement.
Neither is universally better. The right choice depends on your consumption pattern and your appetite for risk.
Fixed-price contracts
Suit manufacturers who need budget certainty, particularly single-shift operations or sites with seasonal or growing consumption, where market timing risk outweighs the upside of flexibility.
Flexible procurement
Suits larger, stable, continuous operations that can buy in tranches across the market and average out volatility over time, typically sites with well-understood consumption profiles.
We'll tell you which applies to your site, including when the honest answer is "fix, because certainty is worth the premium right now".
Half-hourly electricityHalf-hourly electricity procurement.
If your site is settled half-hourly, your HH data is the most valuable thing in your procurement, and most manufacturers never see it used properly. We examine:
- Load profile shape: when you draw power, not just how much.
- Peak demand periods: including Triad exposure (November to February) for continuous operations.
- Demand charge drivers: startup sequences, large motors, compressed air and other inductive loads.
- Structural savings before rate negotiation: operational changes such as a staggered startup can cut demand charges before you tender for a better unit rate.
Getting the structure right, pass-through or all-inclusive, often matters as much as the headline rate. Our guide to energy procurement for manufacturing covers HH data, maximum demand and contract structure in detail.
Multi-siteMulti-site manufacturers.
Several sites, each with its own meters, contracts and renewal dates, multiply the admin and the risk of a site quietly rolling onto an out-of-contract rate. We align renewal dates where it makes commercial sense, tender sites together for better collective terms, and give you one point of contact. See multi-site energy management.
What we compareWhat Telnergy compares.
- Supplier panel of 21+ independent options
- Unit rates and standing charges
- Pass-through vs all-inclusive structure
- Contract duration and renewal terms
- Payment conditions
- Renewable and green tariff options
- Embedded broker commission, and whether it is disclosed
Automotive components manufacturer, multi-meter site.
- Problem
- A legacy all-inclusive contract that hadn't been retendered in several years, with no visibility of whether demand charges reflected the site's actual shift pattern.
- Analysis
- Half-hourly data showed avoidable maximum demand from an unstaggered startup sequence, and a contract structure poorly suited to a flat, continuous load.
- Tender
- Full consumption profile taken to our supplier panel, with electricity and gas run separately against site-specific criteria.
- Decision
- A pass-through structure matched to the stable load, plus a simple change to startup timing.
- Result
- 28% lower electricity costs and 34% lower gas costs: about £127,000 a year combined.
Other results: a food-processing site cut gas costs by 63% with a fixed/flex blend; a four-site manufacturing group saved 22% through synchronised multi-site tendering. Individual results depend on consumption, contract history and market timing.
Common manufacturing energy questions.
Our contract expires in six months. When should we tender?
Start 3–6 months before expiry. That gives you a choice of market windows without the risk of rolling onto an out-of-contract rate, which can cost 30–80% more than a negotiated tariff.
Should a manufacturer fix energy prices?
It depends on your consumption pattern and appetite for risk. Fixed suits sites that need budget certainty or have variable production; flexible suits large, stable, continuous loads. A broker who always says "fix now" or "always stay flexible" is not looking at your site.
What happens if one of our sites is out of contract?
Out-of-contract rates are typically far higher than negotiated rates. A site that has already rolled over can usually be tendered immediately rather than waiting for a renewal window.
Can you consolidate several manufacturing sites?
Yes. We regularly align renewal dates across sites and tender them together, which simplifies administration and usually improves the terms on offer.
How do half-hourly meters affect procurement?
Half-hourly data shows when and how you draw power, not just how much. Used properly, it identifies avoidable demand charges and tells you which contract structure actually suits your site.
Can Telnergy check whether our broker is charging commission?
Yes. Embedded broker commission is not always disclosed clearly, and at the expensive end it can run to 3–5p/kWh. On a high-consumption manufacturing site that is tens of thousands of pounds over a contract. We will review your current contract and tell you exactly what is being charged and by whom.
More on broker fees: the honest truth about energy broker commissions.
Independent since 2002.
Telnergy has been an independent commercial energy consultancy since 2002, working with automotive, food processing, metal fabrication, plastics, print and general engineering manufacturers. We are not tied to any supplier, so our recommendation is based on what suits your site. Over two decades we have built direct relationships with 21+ suppliers and genuine fluency in what actually moves manufacturing energy costs: half-hourly data, maximum demand, shift patterns and contract structure.
Our fee is agreed upfront and disclosed in writing before you sign: typically 1–2p per kWh on electricity and approximately 1p per kWh on gas, with lower rates or capped fees on larger and multi-site contracts.
Have an energy contract renewing in the next 18 months?
Send Telnergy a recent electricity or gas bill and we'll establish your contract position and discuss the right procurement route.