How an Energy Consultant Can Help You Manage Your Energy & Reduce Energy Costs

You may have heard of the term “energy consultant,” but what exactly does an energy consultant do? More importantly, how

You may have heard of the term “energy consultant,” but what exactly does an energy consultant do? More importantly, how can they help your business manage energy and reduce costs? 

In this article, I’ll discuss what an energy consultant can do for you, how they work to optimize your energy usage, and whether hiring one is truly worth it for your company. 

Spoiler alert: the potential savings and efficiency improvements an energy consultant can realize for your business might surprise you!

“Electricity is an indispensable commodity that keeps our homes and businesses running. Since we cannot live without it, the price we pay for electricity matters to everyone. As we move to electrify additional facets of our lives, increasing [electricity] rates will have a bigger effect on our wallets.” – U.S. Chamber of Commerce [ref link]

Among the many challenges businesses face today, one of the most pressing is managing energy costs while striving for sustainability.

Navigating the complexities of energy markets, efficiency technologies, and regulatory requirements can be overwhelming. This is where an energy consultant becomes an invaluable partner. 

What Is an Energy Consultant?

An energy consultant is a professional who specializes in optimizing energy usage and reducing costs for businesses. 

They possess experience and expertise in energy procurement, efficiency strategies, and sustainable practices. 

By conducting thorough analyses of your energy consumption and equipment, energy consultants provide tailored solutions that align with your operational needs and financial goals.

Who Should Hire an Energy Consultant?

While large companies have long relied on energy consulting firms to manage and reduce their energy costs, any business—no matter its size—can benefit from hiring an energy consultant.

Whether you’re a small business with just a few locations or a local shop, there are always opportunities to save on energy costs.

Over the past 25 years, Energy Professionals has helped thousands of businesses, both large and small, optimize their energy usage and reduce expenses.

So, no matter the size of your business, an energy consultant can help reduce energy costs, freeing up funds in your operating budget.

How Does an Energy Consultant Get Paid?

One common question is how energy consultants get paid.

Typically, energy consultants do not require any upfront payment from you. Instead, they are compensated by the energy solution providers they work with.

For example, if an energy consultant helps your business secure lower energy rates, they receive payment from the energy supplier, not your company. Their fee is already incorporated into the low rate they help negotiate on your behalf, so you benefit from their expertise without any direct out-of-pocket costs.

This arrangement ensures that your business can save money on energy without worrying about consultant fees.

Key Functions of an Energy Consultant

Energy consultants are critical in helping businesses manage and reduce energy costs while achieving sustainability and expansion goals. Here’s how an energy consultant can provide value through their key functions:

  • Consulting and Goal Setting: The first step is understanding your business’s energy goals. This includes identifying cost savings targets, sustainability objectives, and future expansion plans. By aligning energy expenses with your overall business strategy, we ensure that your energy management plan supports long-term growth and financial health.
  • Energy Data Analysis: Next, we comprehensively analyze your energy data. This involves collecting detailed information on how your business uses energy and the rates you currently pay. We utilize advanced energy management software for multi-location businesses to streamline data collection, analysis, and reporting, providing valuable insights into energy usage patterns.
  • Securing Competitive Energy Rates: We reduce costs by finding and negotiating competitive energy rates and favorable contract terms for businesses in deregulated states where energy choice is available. Locking in low rates over a specific period helps protect your business from rising energy costs, offering budget stability and peace of mind.
  • Implementing Energy Efficiency Solutions: Based on the energy data analysis, we recommend the most cost-effective solutions to reduce energy waste and improve efficiency. We also locate the best suppliers and negotiate with them to implement these solutions, ensuring that any investment delivers a clear return on investment (ROI) through reduced costs and increased efficiency.
  • Meeting Sustainability Goals: If your company has sustainability objectives, we help you achieve them by integrating green energy solutions. These can include renewable energy sources, such as solar power, or purchasing renewable energy credits (RECs) to support your environmental goals while also contributing to cost savings.

Why is it important to Reduce Energy Usage?

Cutting energy costs is essential for businesses of all sizes to save money and improve overall efficiency and competitiveness. Here are the main reasons why focusing on energy reduction is crucial:

Financial Savings

Reducing energy usage directly lowers your operational expenses, freeing up funds that can be reinvested into other business areas.

Increased Efficiency

By using energy more efficiently, you reduce waste and optimize your equipment, leading to lower maintenance costs and a longer lifespan for your infrastructure.

Lower Load on the Grid

Reducing your energy consumption helps ease the demand on the grid, which can result in savings and even lower rates for businesses that participate in energy curtailment programs.

Environmental Impact

Using less energy and becoming more efficient reduces your carbon footprint, contributing to environmental sustainability, which is increasingly important to consumers and stakeholders.

Competitive Edge

Businesses that adopt energy-efficient and sustainable practices are often seen as more innovative and responsible, which can help differentiate your company in the marketplace.

How an Energy Consultant Can Help You?

  1. Securing Competitive Energy Rates

One of the primary ways an energy consultant saves you money is by finding lower energy rates for your accounts. Here’s how:

  • Market Analysis: Monitoring energy markets to identify the best times to purchase energy.
  • Supplier Negotiations: Leveraging industry relationships to secure favorable terms and prices.
  • Long-Term Contracts: Locking in competitive rates over a 2-3 year period to hedge against future price increases.
  • Risk Management: Developing strategies to mitigate the impact of market volatility on your energy costs.
  1. Reducing Energy Waste and Improving Efficiency

Energy consultants help you minimize waste and enhance efficiency, leading to significant cost savings.

  • Energy Audits: Conducting comprehensive assessments of your energy usage and equipment performance.
  • Efficiency Solutions: Recommending upgrades or changes, such as LED lighting or HVAC improvements, focused on delivering a strong return on investment (ROI).
  • Implementation Support: Assisting with the integration of new technologies and processes to ensure seamless transitions.
  • Monitoring and Verification: Tracking the performance of implemented solutions to validate savings and adjust strategies as needed.
  1. Helping Your Business Improve Sustainability 

Becoming more sustainable isn’t just good for the environment—it’s great for your business too. At Energy Professionals, we help companies to achieve their sustainability goals through a variety of green energy solutions, including:

  • Onsite Renewable Generation: We assist in setting up renewable energy systems like solar panels, allowing your business to generate clean energy on-site.
  • Community Solar Connections: We can connect your business to local community solar projects or solar farms, enabling you to benefit from renewable energy without needing onsite installations.
  • Green Energy Procurement: We help you source energy from green suppliers, ensuring your energy comes from renewable sources such as wind or solar.
  • Renewable Energy Certificates (RECs): We facilitate the purchase of RECs, which represent a commitment to using clean energy, for businesses looking to support renewable energy but unable to install it directly.

Advanced Utility Bill Management Software

Energy consultants use state-of-the-art utility bill management software to maximize savings and improve efficiency. This advanced tool provides various benefits that make managing energy costs easier and more effective.

One key advantage is centralized data collection, where all your utility bills are aggregated in one place for easy access and analysis. This allows for comprehensive data analysis, helping to identify trends, spot anomalies, and uncover opportunities for cost savings through detailed reporting. Real-time monitoring also plays a critical role, allowing you to track energy usage as it happens, quickly address any issues, and adjust strategies as needed.

Additionally, the software generates automated, customized reports that inform decision-making and help you track progress toward energy-saving goals. With expert oversight from energy consultants, this technology becomes even more powerful, offering tailored insights to reduce energy costs significantly.

Partnering with an energy consultant gives your business the tools and expertise to manage energy usage and costs effectively.

From securing competitive rates and reducing waste to enhancing efficiency and sustainability, energy consultants provide comprehensive solutions that deliver tangible financial benefits. By leveraging advanced technologies and expert insights, they help you achieve immediate savings and position your business for long-term success in a more sustainable future.

James Lightning
Senior Editor, Energy Professionals 
(844) 674-5465
info@energyprofessionals.com

Choose Your Energy Supplier

Energy Professionals is committed to finding its customers the best possible rates on electricity and natural gas. Tell us your location and service type and our energy manager will connect you to the most competitive offers.

Switching to an alternate supplier is easy. There is no chance of service disruption, and you'll continue with your current utility for energy delivery and emergency service. Take a few minutes to discover your best offers, and enjoy the benefits of retail energy in your home or business.

1. Energy Type

2. Service Type

3. Zip Code