Flexible Purchasing
Flexible Purchasing
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Take advantage of market movements to minimise your energy costs
What is flexible energy purchasing?
Flexible energy procurement provides greater freedom for the purchasing process by enabling you to take advantage of energy price movements throughout the whole term of the contract, rather than be restricted to a single procurement decision, as is the case with fixed contracts.
This can allow greater opportunity to access a better price for your energy, particularly in a falling market where we can take advantage of market movements to achieve the best price.
Our Market Watch team of in-house experts have extensive experience in the energy market and they bring their years of collective expertise to their trading strategies.
Choosing the right strategy
Historically, flexible energy procurement was only available to large energy users. However, suppliers have become more open to providing flexible solutions to groups of smaller customers operating within a managed basket.
We are pleased to be able to offer both individual and basket options to our customers, giving everyone the opportunity to benefit from flexible purchasing, regardless of energy consumption.
Choosing the right strategy for your organisation is determined by two simple questions:
• How much energy do we use?
• How involved do we want to be in influencing purchasing decisions?
For your peace of mind, our flexible contracts are managed through our framework agreements that were set up through OJEU regulations and remain fully auditable and compliant with the most stringent current purchasing guidelines.
Zenergi offers four flex trading strategies to meet the challenges presented by the volatile energy markets and our key customer requirements
ZenFlex·Hybrid
ZenFlex·Freedom
ZenFlex·Tracker
ZenFlex·Secure
This strategy suits organisations that desire high budget certainty and want their energy traded on multiple occasions.
Direct Contracting
Group Buying
Electricity
Gas
ZenFlex·Hybrid
This strategy will suit organisations who want their energy purchased flexibly to spread the risk of volatile markets.
Direct Contracting
Group Buying
Electricity
Gas
ZenFlex·Freedom
This strategy has the most freedom and flexibility, with the added strategy of sell backs to try to maximise gains.
Direct Contracting
Group Buying
Electricity
Gas
ZenFlex·Tracker
This strategy will follow the day-ahead market fully.
Direct Contracting
Group Buying
Electricity
Gas
ZenFlex·Secure
This strategy suits organisations that desire high budget certainty and want their energy traded on multiple occasions, not in one transaction, such as in a fixed contract. This mechanism takes all near-term volatility from the market, while trying to benefit from trading on the longer-term market positions.
Since 100% of the annual volume will be purchased no later than six months before the delivery period, this product offers full budget certainty. Contract start dates are restricted to either April or October and require a minimum lead in time of 12 months to conduct trades before the six-month deadline. The contract duration is three years, so we can maximise purchasing in advance on the forward wholesale markets.
ZenFlex·Hybrid
This strategy will suit organisations who want their energy purchased flexibly to spread the risk of the volatile markets but who are, however, happy to work with some variation in monthly delivered pricing, and benefit from a much shorter entrance and exit than the ZenFlex·Secure product. A minimum of 50% of volume must be purchased as we enter a new market season, but anything up to 100% can be purchased, should our MarketWatch team recommend.
The remaining volume, where applicable, for the delivery month will be settled on the day-ahead market. Contract start dates are restricted to either April or October and require a minimum lead in period of three months prior to contract start. Contract lengths can be selected from between 12-36 month periods.
ZenFlex·Freedom
This strategy has the most freedom and flexibility, with the added strategy of sell backs to try to maximise gains. The contracts or baskets can be fully exposed on the day-ahead market, fully hedged or a mix between the two. Our flex managers and analysts will look to maximise gains by actively selling back volume on what we identify as high points in the markets. Contract lengths are from 12-months.
ZenFlex·Tracker
This strategy will follow the day-ahead market fully. This product offers the most contract flexibility, allowing contracts to be locked in with zero notice or buffer required and no minimum contract length. While this product will not offer any budget certainty, it will benefit the most in a long-term downward market. Contract lengths are from 12-months.
Energy Pricing Request Form
To obtain a quote for your business’s energy supplies, please submit your details below.
