Take Or Pay
This is a clause within most energy contracts wherein if a customer wants to leave before the agreed contract end date, the supplier can apply a penalty charge. This charge will be based on the cost of the remaining energy purchased for the length of the contract.
This is a pricing method used by suppliers during the quoting process. They use it as a way to apply charges on what they assume will be the total amount of energy consumed during the contract.
A process in which quotes are requested from a variety of suppliers. The number of suppliers included varies from broker to consultant.
The notice period to cancel existing contracts can be one/ three months – sometimes more specific like 90 days.
This is the unit of measurement used for gas. It is used to calculate equivalent value in kWh. 1 Therm = 29. 3071 kWh.
The transfer of electricity at high voltage from the power stations across the UK through wires on pylons to points where it can be distributed to users.
Transmission Losses (Line Losses)
This term refers to the loss of electricity during transmission. An example of this would be through heat.
Transmission Use of System (TUoS)
This is a charge added to consumer bills in order to cover the cost of electricity which is lost during transmission. One example of this would be the TRIAD charge which is applied to Half Hourly (HH) organisation between November and February.
Defined as the 90 minutes of highest demand, Triads are actually made up of the three separate time periods (separated by at least 10 clear days either side) in which the UK energy grid experiences its highest demand between November and February each year. This period is when days are shorter and temperatures drop which causes people to turn on the heating and lights causing demand to rise. During a Triad, kilowatt units are charged at a considerably higher rate than normal which is why the advice has always been to try and avoid them.
Triple Bottom Line (the three P’s)
The phrase was coined by John Elkington in 1994 and suggests that organisations should consider three separate “accounts” profit, people and planet when conduction any financial analysis.
Profit - the “bottom line” of the profit and loss account.
People - a measure in some shape or form of how socially responsible an organisation has been throughout its operations.
Planet - a measure of how environmentally responsible it has been.
This framework allows organisations to evaluate the ramifications of their decisions from a truly long-run perspective and can be used to identify new market opportunities or service developments.
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