Beyond the unit rate: Understanding, managing and mitigating the rise of non-wholesale energy costs.

Part three – Future-proofed: How organisations can manage and mitigate rising non-wholesale energy costs

The cost of energy used to be a line item on the balance sheet, but they are now intertwined with one of the biggest industrial transformations of our time. This three-part series from Equity Energies, part of DCC Energy, explores how the UK’s energy market is evolving beyond the short-term volatility experienced in recent years, and what organisations can do to prepare for a future where the new wave of cost drivers go beyond unit price.

In part one, we examined how the story of energy volatility has given way to the story of transformation. And in part two, we looked behind the bill to break down the regulated, non-wholesale charges that now make up the majority of energy costs, and why they’re here to stay.

Now, in the final part of the series, we ask what organisations can do about it. And how can they manage and mitigate the impact of these rising costs, to build greater control, resilience, and sustainability into energy strategy.

From exposure to control

The fundamental truth is that most non-wholesale charges can’t be avoided. They are regulated, standing costs designed to fund the long-term transformation of the energy system. The only ways to limit their impact is to use less grid energy, use it more intelligently, and where possible, generate it yourself.

That means the path forward isn’t about short-term procurement tactics or chasing lower unit rates. It’s about structural action; specifically understanding when, where, and how energy is used in your organisation, and identifying opportunities to reduce dependency on the grid altogether. This shift from passive exposure to active management is what will define successful energy strategies over the next decade.

Step one: Reduce grid dependence

Energy efficiency remains the single most effective way to manage rising non-wholesale costs. Using less energy directly reduces the proportion of regulated charges applied to your bill. With modern technology, organisations can now target inefficiencies with precision.

Real-time data platforms such as MY ZEERO provide visibility of energy use at circuit or appliance level, identifying waste, load imbalances, and inefficiencies that would otherwise go unseen. This insight enables organisations to take informed action; everything from optimising operating hours and equipment use to adjusting building management systems, all without compromising performance.

Behavioural and operational change also plays a crucial role. Small actions, like avoiding simultaneous equipment start-up or shifting high-consumption activities outside of peak network hours, can also have measurable financial benefits.

In short, efficiency isn’t just about sustainability anymore. Instead, think of it as a financial necessity.

Step two: Generate and store on-site energy

The most direct way to reduce exposure to rising non-wholesale costs is to reduce reliance on the grid altogether. On-site generation and storage solutions can do exactly that, lowering imported electricity volumes, supporting Net Zero goals, and providing long-term price stability.

Solar PV is often the first and most accessible step. For many organisations, rooftop or ground-mounted solar can offset a significant portion of electricity use, while delivering immediate cost and carbon benefits.

When combined with battery storage, the benefits multiply. Storage allows organisations to shift load, store excess solar generation for later use, and avoid peak-time energy charges. It also opens the door to new commercial opportunities, such as flexibility trading where stored energy can be sold back to the grid at times of high demand.

How organisations choose to fund these technologies will depend on their priorities. Some opt for solar-as-a-service models that avoid upfront capital expenditure, while others prefer CapEx investment to capture the full long-term value. In either case, incentives and tax benefits can strengthen the business case, particularly when projects are integrated into a broader energy and carbon reduction plan.

Step three: Optimise energy capacity and contracts

While regulated charges themselves can’t be negotiated, how they’re applied can still be managed.

One example is reviewing agreed supply capacity (kVA) with the local Distribution Network Operator (DNO). Many organisations have capacity levels set far higher than they need, meaning they’re overpaying on standing charges. Reassessing these levels can lead to savings, though it should always be done with caution, as setting capacity too low risks incurring penalty costs during peak demand.

Contract structure is also important. Engaging early with suppliers to understand things like pass-through clauses, cost recovery terms, and how non-wholesale charges are forecast can help avoid surprises later. For longer-term stability, Power Purchase Agreements (PPAs) or Energy Performance Contracts (EPCs) can lock in supply and performance commitments that deliver both cost and carbon benefits.

Step four: Partner for long-term resilience

Managing energy costs in today’s landscape requires more than a single solution. Instead, it demands a connected approach that brings together data, technology, and expertise. That’s where the DCC Energy ecosystem provides unique value. Through our group businesses, organisations can access a full suite of solutions designed to work in unison, to reduce reliance on the grid and increase overall cost control:

• Equity Energies – provides the strategy, data, and energy management insight
• Centreco – offers solar PV and battery technology design and installation with full EPC capability
• Certas Energy and Flogas – supply alternative fuels and low-carbon heating solutions
• MY ZEERO – our granular energy monitoring and performance tracking tool

Together, these capabilities enable organisations to not only respond to cost pressures but actively shape their energy future, creating the right balance between short-term resilience and long-term sustainability.

A new era of strategic energy management

As the UK’s energy system continues to evolve, in parallel to our changing energy needs, the most successful organisations will be those that see energy not just as a cost to control, but as a strategic lever for performance, resilience, and progress toward Net Zero.

What’s clear is we cannot control the market, but together we can control your strategy. By understanding what’s driving cost, reducing grid dependency, and investing in better ways to use and generate energy, organisations can future-proof themselves against a changing cost landscape.

The story of volatility may have ended (for now at least), but the story of transformation is still being written. Now is the time to help shape how it unfolds.

By Luke Booth, Director of Strategic Client Experience.