Considering gas and electricity contract options

Considering gas and electricity contract options

05 August 2020 By Sam Johnson - Further Competition Coordinator of Energy at YPO

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When it comes to sourcing your gas and electricity through YPO, there are three different energy contract options for you to consider. In this blog we will break down each contract type and help guide you on the best choice to suit your needs.

Our energy contracts are not like the contracts Energy Brokers provide. By joining YPO, you become part of a huge group of public sector energy customers which comes along with many customer benefits. 

 

For example, our contracts have dedicated support staff and key account management from inside our suppliers’ organisations, meaning you avoid a call centre number for support issues.  Instead you get a dedicated Account Manager and Credit Controller who you can contact directly to discuss any aspect of your contract and its operation.

 

We also offer enhanced payment terms, free smart meter upgrades should you need one and other contractual benefits. Below are the three types of contract options you can choose from when procuring your energy through YPO:

 

YPO Flexible contract:

This contract is our most popular choice - for customers in this trading basket, the volumes are bought throughout the preceding 24 months at optimum trading times when prices are lowest to deliver a fixed 12-month price from 1 April each year.

This allows us to take advantage of dips in the market and reduce supplier premiums and pass these benefits on to customers. Customers receive a fixed price each April for the following 12 months based on the pricing we have secured.

YPO Fixed contract:

This provides contract pricing based on wholesale market pricing on the day the quotation is prepared and is a good option when the market price is low. It locks the cost of the electricity or gas for the duration of the contract but pass-through costs – the additional costs such as green taxes or industry charges – can change as regulation changes. This option provides some level of budget certainty as the price remains static unless there is any change to the pass-through costs.

Available in contract terms from 12 to 48 months, to suit customer’s specific requirements. Our fixed contract provides many of the benefits associated with the flexible contract but provides longer term budget certainty that some customers prefer. This is available for Electricity (MPAN) Half hourly meters and Gas (MPRN) meters only.

YPO Fully Fixed contract:

If you prefer budget certainty and would like the stability of knowing your monthly charges cannot change over the length of the contract, then the fully fixed option could be most suited. This is available in 12 to 48-month contract options. This operates like a fixed contract but everything on the bill is fixed, not just the cost of electricity or gas.

This option is typically slightly higher in cost due to the supplier taking the risk of any changes passed through from government or the energy industry, but it means that should this happen those costs cannot be passed on to you. Long term budget certainty is assured. This is a great option for peace of mind and ensuring that your energy costs work with your budget.

Energy renewals:

The different contract types mentioned above means that our energy supply contracts are available in a wide range of different lengths. This can often make it difficult to know how to renew your energy contract or switch to a new one that suits you. In order to guide you through our renewals process, you can read our previous blog which provides three clear steps to making your gas and electricity renewals simple.

 

To discuss your contract options, or if you would like to know more about the process of procuring gas and electricity, don't forget our Energy Team is here to help. Get in touch now!
Categories: Energy , Procurement , Frameworks

Comments

Linda Marceniuk (Chesterfeield Royal Hospital) on 26 August 2020

Can you email me more information on the the Energy broker framework m Can you

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