Maxen Power

Managing Energy Costs in a Changing Energy Market

The ongoing geopolitical tensions including the Middle East have impacted the energy industry due to the key trade routes being disrupted. The wholesale energy market will be affected and so do the other charges being governed by the main authorities managing energy in the UK. As an energy supplier, we want to keep you informed. Recent updates mean some costs are changing, and this may affect your bills. 

Energy prices remain uncertain. Alongside wholesale costs, network charges are also rising. One key charge is Transmission Network Use of System (TNUoS). This helps fund the UK’s electricity transmission network.

What’s changing this year?

 The National Energy System Operator (NESO) has increased several transmission charges for the new charging year starting 1 April.

 This reflects:

  • Investment in grid upgrades
  • Increased system demand
  • Ongoing transition to low-carbon energy

 As a result, we will be applying updated prices to remain fully compliant with industry regulations. See what impact ongoing geopolitical tensions can have on energy prices. 

What are TNUoS charges?

 TNUoS charges recover the cost of building, maintaining, and operating the high-voltage electricity transmission system across Great Britain.

 These costs support: 

  • Grid infrastructure upgrades
  • System reliability
  • Connection of new generation sources

 Charges are set every year and vary by location and demand. See the updated notification of changes. 

Who do these charges apply to?

 TNUoS charges mainly apply to: 

  • Electricity suppliers (based on customer demand)
  • Generators (based on capacity)
  • Large directly connected users

 For most businesses, these costs are included within your electricity bill rather than charged separately. 

How are charges calculated?

 Charges depend on: 

  • Your location (charging zone)
  • Your electricity usage
  • Time of demand (especially peak periods)

 Energy suppliers are charged based on actual demand. These costs are then reflected in customer tariffs. NESO publishes updated tariffs each year by 31 January, with changes taking effect from 1 April.

What does this mean for your business?

 You may see changes in your energy supply costs from April onwards. The impact will vary depending on your usage and contract terms.

 If you are on a fixed contract: Prices may stay the same until your contract ends. See terms and conditions of your energy supply contract.

 If you are renewing or on flexible rates: Updated charges may already be included in new quotes

 If you are a new customer: You will be getting the energy supply as per updated charges.

Steps to take early!

 If your contract is ending soon: 

  • Speak to your supplier early.
  • Review the terms of contract.
  • Stay updated with the market conditions.

Things to be aware of!

 When reviewing your energy supply options, you should know the following:  

  • Energy suppliers may request security deposits.
  • Contract availability may be limited.
  • There is no cooling-off period for business contracts.
  • Always ask for written terms before agreeing.
  • Be cautious of unexpected sales calls. Your guide to stay safe online. 
  • Keep in touch with your supplier.

 To manage your costs effectively: 

  • Submit regular meter readings. 
  • Keep your contact details updated
  • Ask about energy-saving support

 To avoid estimated bills, submit meter readings on time or install a smart meter. We are here to help you understand your energy bills. If you are facing an issue paying your bill, you can reach out to us and we can provide you with suitable payment plans. Our priority remains crystal clear, be there for our customers! 

Ways to get assistance & help

 Running a business takes time and energy. Managing your energy costs can feel difficult. Support is available.

 You can get help from: 

  • Energy brokers: They can speak to suppliers for you. They can help you find suitable contract options.
  • Trade bodies, consumer groups and charities: They offer clear advice and practical support. They can guide you through your options.
  • The Energy Ombudsman (for small businesses): They can help if you have a dispute with your energy supplier. You must try to resolve the issue first. If your issue is with a broker, they will guide you to the correct redress scheme.

 If you are unsure, get in touch with your energy supplier. They can point you in the right direction.

Get guidance and further advice

 There is support available if you need it:

 Find energy efficiency grants and schemes:

https://www.ofgem.gov.uk/information-consumers/energy-advice-businesses/find-business-energy-efficiency-grants-and-schemes 

 See energy advice for businesses:

https://www.ofgem.gov.uk/information-consumers/energy-advice-businesses

 Stay updated with industry information, news & events: 

You can also contact your supplier directly if you need help managing your energy costs.

Final note

 Network charges like TNUoS are a key part of your energy bill. With NESO updates now in place, staying informed is more important than ever. We will continue to monitor industry changes and keep our pricing fair, transparent, and compliant. Stay energised with us!