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Could your energy bills contain historic errors?

For care providers, every unnecessary cost matters.

With energy required around the clock for heating, lighting, hot water, kitchens, laundry and essential equipment, electricity and gas can represent a significant operating expense.

But how confident are you that every energy bill your organisation has paid has been correct?

Energy billing errors can go unnoticed for months – and potentially much longer. When that happens, relatively small discrepancies can quickly add up to thousands of pounds.

Paying an invoice doesn’t necessarily mean it’s correct

Business energy invoices can be complicated.

They can contain multiple rates, standing charges, meter readings, consumption data, taxes and other charges.

For care providers operating several homes or facilities, the challenge becomes even greater, with multiple meters, contracts and invoices to manage.

As a result, bills can understandably be approved because the overall amount looks broadly in line with expectations.

But that doesn’t necessarily mean every individual charge is correct.

What kind of errors could be hiding in your bills?

There are several areas where potential discrepancies can arise, including:

  • Incorrect contract rates
  • Incorrect standing charges
  • Estimated rather than actual meter readings
  • Metering or consumption data discrepancies
  • Duplicate or unexpected charges
  • Incorrect taxes or levies
  • Charges that don’t match agreed contract terms
  • Issues following supplier, meter or site changes

An individual discrepancy may not immediately appear significant.

The problem is what happens when it continues.

An additional £200 per month, for example, becomes £2,400 over a year. If that error goes unnoticed for several years, the financial impact becomes much greater.

Multiply that across several care homes or facilities and the potential cost can quickly increase.

Why multi-site care providers should take a closer look

Managing an energy portfolio across multiple locations can be complex.

Different sites may have different meters, suppliers, contract dates, consumption profiles and charging structures.

This can make inconsistencies difficult to identify without carrying out a detailed review.

For care groups in particular, relatively small discrepancies repeated across multiple locations can result in significant unnecessary expenditure.

That’s money which could otherwise remain within the organisation and support the delivery of care.

Your historic bills could be worth reviewing

Energy conversations tend to focus on what happens next.

When does our contract expire?

What will our next energy price be?

Should we renew now or wait?

These are important questions, but businesses should also consider what’s already happened.

Have you been billed correctly in the past?

A forensic review of historic energy invoices can help identify potential discrepancies and establish whether your organisation may have paid more than it should have.

Where genuine overpayments are identified, there may also be opportunities to investigate whether those costs can be recovered.

Don’t wait until your next renewal

Reviewing your energy position doesn’t have to wait until your existing contract is approaching its end date.

In fact, looking at it earlier can be beneficial.

Historic bills can be reviewed, current contracts checked and potential issues identified while your existing energy agreement is still running.

It also gives your organisation more time to understand its energy position and prepare an appropriate strategy ahead of the next renewal.

Complimentary energy support for Norfolk Care Association members

Through our partnership with the Norfolk Care Association, Enexus Energy can help members take a closer look at their current and historic energy position.

Our team can review your existing contracts and invoices, identify potential discrepancies and help establish whether your organisation is paying what it should be.

We can also provide support across energy procurement, bill validation and ongoing energy management – helping care providers gain greater visibility and control over one of their significant operating costs.

For eligible Norfolk Care Association members, this starts with a complimentary review of your current energy arrangements.

Because when budgets are under pressure, it’s important to make sure you’re not paying more for energy than you need to.

Could there be costly errors hiding in your energy bills?

Speak to the Enexus Energy team to arrange your complimentary energy review.

Author

Nick Simpson