How to reduce electricity supply cost by 55%

Highlights

• Custom short-term block energy program (complex design simplified for Euroshield®)
• Electricity supply cost reduced by 55% versus the market over the first six months
• Predictable and manageable utility bills

About the customer

Euroshield® is an Alberta-based business that cares about two homes you live in: your house and the planet. It develops durable roofing materials from recycled tires and offers an unbeatable warranty. But apart from pursuing an admirable goal of conserving the planet and protecting people’s homes, Euroshield® is a large electricity consumer.

Challenge: when market volatility doesn’t fit into the budget

With an annual consumption close to 6,500 mWh, the worst thing that can happen is landing in the open market; especially when variable rates fluctuate unpredictably. Unfortunately, this happened to Euroshield®.

Being on the open market was a surprise for the company owners because they had been on a five-year fixed-rate contract and did not have to closely monitor the energy market during this period. They had secured a good program that worked for their business needs, and over the program’s term, they got used to consistent electricity bills. When the program’s term was coming to an end, the renewal was not the top priority. At that time, it was more important to deal with the turmoil generated by the pandemic and come up with the best next step for the business, which was gaining more and more attention across North America.

As a result, they saw tremendous increases in their invoices that did not fit within the budget. In addition, they were unpredictable, and with the company’s consumption volumes, a small month-over-month difference in variable rates quickly added up to excessive expenditures.

Solution: making a well-informed energy decision

The energy consultants at DNE took the time to grasp the ins and outs of the business from the operational perspective and to understand the goals and values that lie at the heart of the company. It was essential to capture not just how much electricity they consumed but also how the owners saw the future of the business to compare different energy plans and offer the best for their unique context.

After explaining all the intricacies of the energy market in Alberta and going over the terms and conditions of various possible energy plans, DNE consultants were ready to present the most suitable option.

Results: predictable energy costs, flexibility, and savings

In November of 2022, Euroshield® enrolled in a block energy program. A block program allows a business to secure a monthly amount of power based on its usage requirements, risk tolerance, and budget forecast. The timing to start this program could not be better as, over the winter months, electricity was trading at twice the rate that the company had signed up for. In other words, if they had stayed on the variable rate, they would have had to pay double for their energy.

A block program was the best solution as it allowed them to take a strategic approach to their electricity management. For example, what happens if, 12 months into the contract, the business grows and requires more power to run additional equipment? In this case, the flexibility of this program allows for adding more layers whenever needed.

Over the first six months of their current contract, the company has seen a 55% reduction in electricity supply costs compared to average market rates.

DNE has been proud to offer Euroshield® a tailor-made turnkey solution to simple energy management. It’s been a pleasure to help this unique business with a purpose that resonates with DNE’s values, as professional consultants at DNE believe that energy should drive companies forward, not become an obstacle. Reach out today to spend less, use less, and harm less, just like Euroshield®.