Navigating energy bills can feel like wading through a sea of confusing jargon. Here at Ruby Energy, we make business energy services made simple and that’s why we’ve put together this A-Z Business Energy Glossary – your no-nonsense guide to cracking everything from billing terms to renewable energy buzzwords. Let’s dive in!
A
Account Balance: This shows whether your account is in credit or if you’ve got an outstanding amount to pay.
Account Manager: Your go-to person at the energy supplier or broker, helping you sort out all things energy-related.
Account Number: The unique code that identifies your energy account.
Annual Broker Commission: The fee your energy broker receives from suppliers for arranging your energy deal.
Annual Fuel Mix Disclosure: A report showing where your supplier’s electricity comes from (e.g., renewable or fossil fuels).
B
Baseload Power: The minimum electricity needed to keep your business running around the clock.
BEIS (Department for Business, Energy & Industrial Strategy): The UK government department responsible for energy and industrial policies recently renamed to Department for Energy Security and Net Zero.
Billing Address: Where your energy bills are sent – not always the same as where the energy is used.
Blend and Extend Tariff: A deal that extends your contract while reducing your rates straight away.
Broker: A middleman who helps businesses find energy deals (for a fee or commission).
Brown Energy: Energy generated from fossil fuels like coal and gas.
Brownout: A controlled reduction in power supply to avoid a full-scale blackout.
Business Energy Quote: An estimate of what your energy will cost based on your needs.
Business Energy Supplier: The company providing your electricity or gas.
Business Terms and Conditions: Specific rules that apply to business customers when dealing with energy suppliers.
Business Water: Water services provided for commercial use.
C
Calorific Value: The energy produced from burning a specific volume of gas.
Carbon Emissions Trading: A scheme where businesses trade carbon allowances to stay under emissions limits.
Carbon Footprint: The total greenhouse gas emissions produced by your business activities.
Carbon Neutral Gas Plan: A gas plan that offsets emissions through eco-friendly projects.
Carbon Tax: A tax aimed at encouraging businesses to cut their carbon emissions.
Change of Tenancy: The process of transferring energy responsibilities when tenants change in a property.
Chargepoints: Electric vehicle (EV) charging stations.
CHP (Combined Heat and Power): A system that produces both electricity and heat from one fuel source, making it highly efficient.
Climate Change Levy (CCL): A tax on energy use to encourage businesses to lower emissions.
Contract End Date: The day your energy contract finishes.
Contract Renewal: The process of extending or renegotiating your energy contract.
Credit: Extra funds in your account, meaning you’ve paid more than you currently owe.
Cubic Meters/Cubic Feet: Units used to measure gas volume.
D
Day Rate: The daytime price charged if you’re on an Economy 7 meter.
Deemed Rates: Higher prices charged applied if you’ve taken responsibility for a premises but not yet agreed an energy contract.
Demand Charges: Fees based on your highest energy usage during peak times.
Direct Debit: A way to pay your energy bills automatically each month.
DNO (Distribution Network Operators): Companies that manage the infrastructure delivering electricity to your property.
E
Electricity Charge: The cost of electricity you’ve used, as shown on your bill.
Energy Audit: A review of your energy use to find ways to save money and boost efficiency.
Energy Bills Relief Scheme: A government scheme to help businesses struggling with high energy bills (which ran from October 2022 until 31st March 2023).
Energy Bills Discount Scheme: A follow up government scheme to help businesses struggling with high energy bills (from 01 April 2023 until 31st March 2023).
Energy Efficiency: Making the most of the energy you use while cutting waste.
Estimated Billing: When your supplier guesses your usage because they don’t have a meter reading.
EV Chargers: Charging points for electric vehicles.
F
Fixed-term Contracts: Agreements where your rates stay the same for a set period, shielding you from market changes.
Fuel Type: The type of energy you’re using (e.g., gas, electricity, renewables).
G
Green Energy: Energy from renewable sources like wind, solar, or hydro.
Green Energy Certificates: Proof that you’re using or supporting renewable energy.
H
Half-Hourly Meter: A meter that records your energy use in half-hour intervals, helping you to track your energy consumption in granular intervals.
I
Invoice Period: The time covered by your energy bill.
Invoice: A document detailing the cost of energy you’ve used.
K
kWh (Kilowatt-hour): A standard unit of electricity usage.
L
Load Balancing: Managing when and how energy is used to avoid peak-time charges.
Load Shedding: Cutting energy use during high demand to help the electricity grid cope.
M
MPAN (Meter Point Administration Number): The unique ID for your electricity supply.
MPRN (Meter Point Reference Number): The unique ID for your gas supply.
N
Net Zero: Balancing the emissions you produce with the amount you remove or offset, so you’re not adding to overall greenhouse gases.
O
Off-peak Tariff: Lower energy rates during times of low demand, like overnight.
Ofgem: The UK’s energy regulator.
P
Peak Demand: Your highest energy use during a set period.
Power Purchase Agreements (PPA): Contracts to buy energy directly from a producer.
R
Renewable Energy: Power generated from sustainable sources like solar or wind.
S
Smart Meter: A device that tracks your energy usage in real-time.
Standing Charge: A daily fixed fee covering the cost of providing your energy supply.
Switching: Moving to a new supplier or tariff to get a better deal.
T
Tariff: Your energy pricing plan.
Time-of-Use Rates: Rates that change depending on when you use energy.
V
VAT (Value Added Tax): A tax added to your energy bill.
W
Water Consumption: How much water your business uses.
Wastewater Treatment: Managing and treating water your business no longer needs.
Z
Zero Carbon Emissions: When no carbon dioxide is released from your energy use, thanks to renewable energy or offsetting.
There you have it – the A-Z of business energy, decoded! If you’re looking to save on your business energy, click here to head to our quote page and see how much you could cut your costs and experience the Ruby Way, where services are made simple and clean energy is at your fingertips.
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