Comprehending and managing the moving parts of energy procurement can be challenging. A third-party consultant may help solve this challenge.
Fremont, CA: Historically, the challenges to green energy procurement have been a scarcity of renewable energy on the grid and the high cost of renewable energy. Where renewable energy is not available via the grid, businesses that wish to use green energy must generate it on-site via distributed energy resources (DERs). Once upon a time, DERs were substantially more expensive and complex to install than they are today. Fortunately, green energy supplies have lately gotten considerably cheaper and easier to apply across portfolios. The most significant problems firms have when procuring green energy include gaining internal support and investor backing, negotiating procurement contracts, agreeing on a strategy, and identifying a project.
Challenges facing green energy procurement and their solutions:
Obtaining internal and investor support
Before a green energy procurement strategy can be adopted across a business, it is necessary to attain the support of both internal and external decision-makers, and communicating with a broad collection of investors and high-level executives can be challenging. By highlighting the numerous advantages of green energy procurement, a company can make a persuasive case. There are multiple advantages, including green energy buying can significantly lower an organization's carbon impact and Contribute to the development of green energy and the creation of new jobs in the field.
Negotiating procurement contracts
Due to the technical nature of the energy business, providers of energy usually have the upper hand in procurement contract talks. Confidence in negotiation necessitates a thorough awareness of both the contract's conditions and the alternative procurement options available. Utilizing a third-party adviser to assist a company in navigating the sometimes treacherous waters of green energy procurement contracts can save time, money, and a great deal of aggravation.
Deciding a strategy
To avoid going into green energy procurement blindly, it is critical to establish a transparent approach early on. The objective of procuring green energy should be properly defined in advance. Additionally, a business should establish how it will measure and verify the success of its procurement initiatives. Properly setting goals and devising a strategy to accomplish them can be challenging. An energy management and sustainability firm can assist an organization in making an informed decision about its strategy.
