Types of business energy contract

Selecting the right energy contract is a vital aspect of managing costs for your business. In this article, we will delve into the various types of business energy contracts available, offering valuable insights to help you make an informed decision that aligns with your business needs while optimising cost-efficiency.

The different types

  1. Fixed-Term Tariffs: These contracts provide stability and predictability by maintaining a consistent unit rate and standing charge throughout the contract duration. With a fixed-term tariff, you can effectively budget and steer clear of energy cost fluctuations.
  2. Extended Tariffs: Consider extending your existing contract with your current supplier if they offer competitive rates. This option ensures continuity with a trusted supplier while potentially benefitting
  3. from cost-effective rates.
  4. Flex Approach Tariffs: Tailored for larger businesses, flex approach tariffs offer the freedom to purchase energy in bulk for future use. This strategic approach allows you to capitalise on lower energy prices when available, leading to potential cost savings.
  5. Pass Through Tariffs: Offering transparency in billing, pass through tariffs divide your bill into fixed charges for energy consumption and variable costs for other components. This breakdown helps you better understand your energy expenses.

Considerations for Relocation or Contract Expiration

If your business recently relocated without securing a new energy deal, you may be placed on deemed rates by the existing supplier. Similarly, if your current contract expires without a new one in place, your supplier may place you on out-of-contract rates, which can be more expensive. However, remember that you have the liberty to switch suppliers at any time, allowing you to find the best energy deal that suits your business requirements.


Selecting the most suitable business energy contract is crucial for managing costs and ensuring stability in energy expenses. Whether you opt for fixed-term tariffs, explore extended options, embrace the flexibility of flex approach tariffs, or consider transparent pass-through tariffs, seeking guidance from our team of experts can help you make a well-informed decision.

Embrace the power of informed choice and take advantage of optimised cost-efficiency by consulting our experts who will guide you through the available contract options, empowering your business with the right energy solution tailored to your needs. Ensure your business stays on track with its energy requirements and budget while securing a greener and sustainable future.