What is an Energy Broker?
When most people think about energy, they think of electricity and gas – the fuels that power our homes and businesses. Few people understand the layered markets and service areas that govern it, and even fewer understand the complex process of getting energy to their door. This is where commercial energy brokers come in.
An energy broker is an intermediary between businesses and energy providers who works in states with energy deregulation. A good broker will have extensive knowledge of the electricity market and can find the best deal for their clients. They can save businesses money on energy bills and help them switch providers quickly and easily.
What Does an Energy Broker Do?
To understand what an energy broker does, think of them as a real estate agent for your business’s energy, similar to a real estate agent. A broker doesn’t own or sell energy – instead, they serve as an intermediary to negotiate the best possible deal for the businesses they serve.
A business energy broker is an expert in the field of energy. They will have a detailed knowledge of the energy market and the commercial energy plans available to businesses. A good broker will also stay up-to-date on energy prices, regulations, and other industry news so they can advise their clients accordingly.
An energy broker works with businesses to understand their energy needs and finds them the best possible energy solution. This might involve switching providers, negotiating a better deal to lower energy costs, or finding a green energy solution that meets the business’s sustainability goals.
The need for an energy broker
Why would a business need an energy broker? Put simply: Because the energy industry is hard to navigate.
The commercial energy market is complicated and confusing, and it varies significantly by region. Few businesses, large or small, understand it well enough to negotiate a favorable contract. Brokers have the knowledge and expertise to guide businesses through it. A good broker will work closely with their clients to find trustworthy providers and lower their energy prices.
Businesses that use a lot of power like manufacturers or restaurants can save thousands on their yearly electricity bills by working with an energy broker. For small businesses or those in low-margin sectors, this can be a lifesaver.
How do energy brokers help small businesses?
Providers are more than happy to deal with large businesses that use a lot of energy, but they don’t always give small businesses the same level of attention. That translates to worse service for a higher price.
Commercial brokers act as advocates for businesses, connecting them to trustworthy providers and negotiating better deals on their behalf. A broker can get businesses energy services tailored to their needs at the best possible price.
Energy brokers are particularly helpful for small businesses, which often lack the leverage to get good service and a fair energy rate. Here are some ways they can help:
A broker can save small businesses money by using their industry knowledge and leverage to negotiate better deals with energy providers.
A broker can help small businesses understand their energy needs and find a suitable plan.
Energy brokers can help small businesses switch energy providers quickly and easily.
Brokers can provide after-sales support to help businesses manage their energy service.
Are energy brokers legit?
Yes – usually. There are many reputable commercial energy brokers who can reduce a business’s energy prices. However, like any other industry, there are inexperienced or dishonest energy brokers out there. That’s why it’s important to do your research and look for trustworthy energy brokerage firms with years of experience.
If you’re looking for a new commercial energy broker for your business, Integrity Energy can help. We are a leading energy broker in the United States with over ten years of experience that has helped over 40,000 businesses save money on their energy bills, and we can do the same for you. With relationships with over 30 leading suppliers, we use our volume as leverage to offer some of the most competitive pricing across the country.