Long-term Cost Optimization through Optimized Energy Procurement

In times of unpredictable energy price developments and increasing pressure on companies to operate more sustainably, energy procurement plays a crucial role in long-term cost optimization. Medium-sized companies, especially in the manufacturing sector, face the challenge of managing rising energy costs without compromising productivity. Optimized energy procurement, which takes into account cost structures, taxes, levies, and surcharges, can be the key to achieving not only short-term but also long-term savings.

1. Energy Procurement as a Strategic Tool for Cost Control

Traditionally, companies purchase energy at fixed prices through long-term supply contracts. These stable contracts provide security but often offer little flexibility in a constantly changing energy market. Optimized energy procurement goes beyond this: It allows companies to adjust energy prices more flexibly by leveraging market developments.

By purchasing energy on spot markets or fixing prices long-term, companies can significantly reduce their costs. However, this requires continuous market monitoring and the development of appropriate strategies to benefit from low energy prices. In doing so, it’s crucial to not only consider energy consumption but also various factors such as taxes, levies, and surcharges.

2. Energy Efficiency as a Foundation for Sustainable Cost Reduction

One of the most important measures to reduce energy costs is to increase energy efficiency. Before companies focus on energy procurement, they should ensure that their existing energy consumption is as efficient as possible. This includes, for example, the use of energy-efficient machinery, the installation of automated lighting systems, and the recovery of waste heat.

Optimizing production processes and using energy more efficiently not only lead to cost savings but also have a positive impact on the environmental balance. These measures can often be supported by government grants and subsidies, making investments in energy efficiency even more attractive.

3. The Impact of Levies, Surcharges, and Taxes on Energy Costs

In addition to the actual energy price, there are numerous additional cost factors that companies must consider when procuring energy. These include, in particular, taxes, surcharges, and levies, which can significantly increase the energy price for businesses. Understanding these factors is crucial for optimizing energy procurement.

a) Electricity Tax

Electricity tax is a legally mandated charge on the consumption of electricity, affecting both private and commercial consumers. Medium-sized companies in the manufacturing sector can, however, qualify for electricity tax relief under certain conditions, such as through the so-called “peak equalization” scheme.

b) EEG Surcharge (Renewable Energy Sources Act)

The EEG surcharge is used to promote electricity from renewable energy sources and is passed on to all electricity consumers through the electricity price. However, high-consumption companies can be partially exempted from the EEG surcharge. To benefit from this reduction, companies must meet certain consumption thresholds and provide appropriate documentation. Businesses should therefore carefully review whether they are eligible for such an exemption or reduction of the EEG surcharge.

c) KWKG Surcharge (Combined Heat and Power Act)

Similar to the EEG surcharge, the KWKG surcharge is levied to promote the generation of electricity and heat in combined heat and power plants. Here, too, there are relief options for energy-intensive companies that can lower the energy price.

d) Grid Fees

Grid fees are the charges incurred for using the electricity grid. They vary by region and grid operator and can play a significant role for companies looking to reduce their energy costs. In some cases, businesses can influence the amount of grid fees by optimizing their energy consumption.

By understanding and managing these taxes, surcharges, and levies, companies can achieve additional savings that go far beyond mere energy procurement. These additional costs are often complex and dependent on legal regulations, which is why it may be advisable to consult specialized advisors to fully leverage their potential

4. Strategies for Energy Pricing and Optimization

Companies have several options to reduce their energy costs in the long term by actively using the market and strategically managing their energy procurement:

a) Long-Term Price Fixing

A common method in optimized energy procurement is to fix prices long-term when market prices are particularly favorable. By locking in a fixed price for an extended period, companies can stabilize their energy costs and protect themselves against future price fluctuations.

b) Using the Spot Market

Companies that prefer more flexibility can purchase energy on the spot market. Here, they take advantage of daily prices to procure energy. This strategy carries higher risks but can lead to significant savings when prices fall. The prerequisite is continuous market observation and the willingness to react quickly to price developments.

c) Energy Derivatives

The use of energy derivatives, such as futures or options, can help companies better manage price fluctuations. These financial instruments allow businesses to hedge against rising prices or benefit from price declines.

5. The Role of Consultants and Platforms in Energy Procurement

Given the complexity of the energy market and the numerous factors that influence energy costs, it is often advisable to work with specialized consultants. These experts assist companies not only in selecting the right procurement methods but also in reducing taxes, levies, and surcharges.

Moreover, there are an increasing number of digital platforms that help companies monitor the market in real time and make price decisions based on current data. These tools provide valuable support in identifying the best times for energy procurement and optimizing energy costs in the long term.

6. Conclusion: A Holistic Approach to Cost Reduction in Energy Procurement

Long-term cost optimization through optimized energy procurement is an essential step for medium-sized companies to remain competitive in an increasingly demanding market. By combining efficient energy use, flexible procurement strategies, and the intelligent management of taxes, levies, and surcharges, companies can sustainably reduce their energy costs.

The right strategy always depends on the individual needs of the company. But one thing is certain: Optimized energy procurement not only offers savings potential but also strengthens competitiveness and promotes the sustainable use of resources.