Energy remains one of the largest overheads for Irish businesses, making it essential to review electricity and gas contracts every year. However, comparing business energy prices is not as simple as choosing the lowest unit rate – and getting it wrong can be expensive.
Supplier pricing varies based on meter type, usage profile, contract length, and billing structure. To compare prices accurately, businesses must gather meter details and annual consumption data. From there, they should request quotes from all suppliers and compare offers on a true ‘all-in’ basis, including standing charges and additional costs. Timing is also critical, as switching at the wrong point can lead to out-of-contract rates or breakage penalties.
While this process can be managed in-house, it is time-consuming and complex. By working with a reputable energy broker with a proven track record, businesses gain specialist market insight and contract expertise, saving both time and money. This article outlines the key steps to comparing energy prices correctly.
How to Compare Electricity and Gas Prices Without Guesswork
Business energy suppliers structure pricing differently depending on multiple factors:
- Meter type and usage profile
- Contract duration
- Standing charges and pass-through costs
Focusing solely on the headline unit rate is not sufficient. Suppliers have different pricing structures and added extras. Two offers with the same unit price can have very different total costs once all charges are included. Understanding what to compare and following the correct steps is essential for making informed decisions.
Step 1 – Gather Details
Before requesting prices from suppliers, businesses need key information from a recent energy bill:
- Business meter type (DG and MCC codes)
- Current tariff structure
- Annual consumption (kWh)
Having these details ready ensures suppliers provide quotes tailored to your business profile and reduces the chance of errors in comparisons.
Step 2 – Contact Suppliers
Next comes the most time-consuming and complex step: contacting each supplier individually. Expect delays due to hold times and incomplete information, as the supplier sales teams are incentivised to sell their own product rather than provide independent advice. Quotes should be collected in a standardised format across contract durations and types, including both fixed and tracker options.
Once quotes are received, businesses need to build a cost model to compare quotes, taking into account all supplier charges and differences. Annualised costs and projected savings should be considered side by side. Ignoring hidden charges leads to inaccurate comparisons and unwelcome surprises. This is where working with a broker reduces workload — reputable brokers already maintain an up-to-date cost model and have live supplier pricing, allowing for quick, independent, and accurate comparisons.
Step 3 – Compare the All-In Cost
Some suppliers advertise attractive unit rates, but total annual costs may be higher once standing charges and other line items are added. Businesses must compare offers on a true all-in basis, including:
- Total cost per kWh
- Daily standing charge
- All additional pass-through costs and supplier fees
Skipping this step can cost businesses thousands of euros annually. Accurate comparisons ensure the selected plan genuinely represents the best value.
Step 4 – Switch to a Better Plan
After selecting the most cost-effective plan and contract type, timing the switch is critical. Changes should be aligned with the current contract end date to avoid expensive out-of-contract rates or penalties for breaking contracts. In some cases, paying a breakage fee may be beneficial — for example, if current contract rates are very high or market prices have fallen significantly.
A thorough comparison should always consider (i) contract end dates, (ii) annualised costs, (iii) expected savings, and (iv) contract breakage fees.
Utilityfair’s Commercial Energy Price Comparison Platform Saves Businesses Money and Reduces Workload
Utilityfair is Ireland’s largest and most reviewed commercial energy broker, with over 20,000 customers and thousands of 5-star Trustpilot reviews. Its platform compares all suppliers side-by-side in minutes, giving businesses a clear, accurate view of their true all-in energy costs - completely free of charge.
Beyond initial savings, Utilityfair helps businesses avoid expensive out-of-contract rates through a structured annual review and renewal process. Ahead of contract end dates, its energy advisers benchmark the full market again and present the most competitive options available.
Whether renewing with an existing supplier or switching to a new one, Utilityfair manages the entire process - from tendering large contracts and negotiating terms to handling supplier changeovers - reducing internal workload and ensuring no opportunity for savings is missed.
If you have questions, Utilityfair’s energy experts are on hand to help. Get started today by requesting a free electricity cost comparison and savings report here: https://bit.ly/FreeElectricityCostComparison