Energy: approach strategy

Energy: approach strategy

There are two main paths to reduce energy costs

1st) Reduce specific consumption in kWh/activity

2nd) Get better energy prices in $/kWh.

The order of the “factors” is also relevant.

What I recommend to clients is starting with the 1st and then move on to the 2nd. The reason is simple: the volume of energy to be contracted can make a big difference in costs.

If initially there is a reduction in consumption due to successful energy efficiency programs that are implemented, then only the necessary volume is contracted, avoiding the sale of surpluses on the spot market and the possible associated losses.