If you're tired of hearing about rising energy costs, you might want to skip this post. But for those of you interested in strategic business decisions and adapting to changing markets, let me share a pivotal choice we recently made at Cove Group.
For the past seven years, Total Energies has been our trusted energy supplier. Back in 2019, I secured a five-year contract with them—a decision that turned out to be incredibly prescient. As the energy crisis unfolded, affecting businesses and households alike, Cove Group remained insulated from fluctuating costs thanks to our fixed 2019 rates. This stability allowed us to operate and expand without the looming worry of increasing utility bills—a significant advantage when managing acres of tourist attractions housed within historic prison buildings. Believe me, if you think ghosts in old prisons are scary, the utility bills are even more frightening!
However, all good things come to an end, and so did our contract on April 1, 2024. As we faced the reality of renewing our energy supply agreements, the stark increase in energy prices was a harsh wake-up call. When our brokers presented the new market rates, Total Gas and Power’s quote placed them in the top 10% of the most expensive suppliers. This was a significant factor, but not the only one I considered.
After thorough market analysis and numerous discussions facilitated by our exceptional Estates Manager, Mike - who made this transition smoother than ever - we decided to switch to SEFE Energy. This decision had a cost element to it but wasn’t based solely on this factor. SEFE did offer more competitive rates but were certainly not the cheapest supplier. What truly influenced our choice was their range of services, the ease of accessing our account data, and the alignment with our future growth and partnership opportunities.
The partnership piece is now put to the test for SEFE's marketing team—will they spot, share, and engage with this blog post? Time will tell!
In conclusion, here are some parting thoughts from my experience:
The most expensive option isn’t always the best.
The cheapest option is normal the worst level of service.
Push potential suppliers on all fronts—not just on cost but also on partnership potential, service quality, and growth opportunities.
Trust your gut - my decision in 2019 to lock in rates saved us tens of thousands of pounds, proving your instincts lead to the best business decisions.
Change is inevitable in every business, and staying ahead often requires tough decisions, ending relationships and forging new ones. By not shying away from these choices, we continue to position Cove Group as a leader, ready to adapt and thrive in any circumstance.
