There are countless variables that can affect your utility budgeting. In the past, consumption can drop due to efficiency retrofits, lease expirations, supply rates could increase three-fold due to supply contract rate structure and market movement; and delivery rates could increase substantially due to Public Service Commission rate cases and new legislation.
Recently building owners and management companies are all adapting to the impact of the covid-19. The current pandemic has drastically altered patterns of energy demand around the world, leaving many owners and managers with outdated utility budgets. The ability to make adjustments is crucial in energy forecasting, specifically regarding occupancy and consumption/demand.
It is not enough anymore to simply take a three-year average of rates and consumption and project into the future.
Remember these components when adjusting your utility budgets this year.
Adjusting Your Energy Budget In 2020
1 CHECK with your chief engineer for any significant operational changes that may affect usage/demand
2 FORECAST usage/demand based on these new variables that are impacting usage/demand going forward
3 ADJUST for changes in occupancy/production, operating hours, energy conservation measures, and weather
4 PROJECT costs based on actual utility tariff rates
5 INCORPORATE legislative changes that will affect your costs
6 ADD all applicable city and state taxes
7 TRACK all monthly budget variance and provide explanations
8 NOTE any assumptions used to create the budget
9 REFORECAST when given more insight on occupancy/demand and whenever possible
Transform The Way You Manage Your Energy Usage
Who We Are
Energy Solutions 360 is a subsidiary of Aggressive Energy LLC. With more than 40 years of energy expertise, Energy Solutions 360 helps commercial and corporate real estate portfolios, Fortune 500 industrial, manufacturing and big box retail, government, healthcare, and educational facilities across the US reduce energy consumption, emissions and expenses, while simplifying energy reporting, and measuring and verifying operational changes and capital projects.