Assurance Services for Non-Commodity Costs

Engage Consulting offers comprehensive support to energy suppliers in managing their non-commodity ‘third party’ costs.

Assurance Services for Non-Commodity Costs

Engage Consulting offers comprehensive support to energy suppliers in managing their non-commodity ‘third party’ costs. Our expertise helps our clients to navigate the complexities of these charges, ensuring that financial models, billing and forecasting are accurate, reliable, and compliant with industry standards.

What Are Non-Commodity Costs?

Non-commodity costs make up approximately half of an energy bill. These costs include network charges, balancing services, metering and settlement costs and government levies. Suppliers pass these costs on to the end consumer through their contracted energy rates or via ‘pass-through’ charges on flexible energy contracts. Overview text

Non-commodity costs include, but are not limited to:

Government Levies:	System charges:
Renewables Obligation (RO)	Distribution Use of System (DUoS)
Contracts for Difference (CfD)	Transmission Network Use of System (TNUoS)
Capacity Market (CM)	Balancing Services Use of System (BSUoS)
Feed-in Tariff (FiT)	Gas NTS & LDZ Commodity and Capacity Charges
Green Gas Levy (GGL)
Climate Change Levy (CCL)
Assistance for Areas with High Electricity Costs (AAHEDC)
Energy Intensive Industries (EII) Support Levy

How can Engage help?

Our team of experts have extensive experience in managing non-commodity charges, specialising in:

Forecasting, validating and modelling non-commodity costs.
Providing valuations of non-energy components for forward delivery periods.
Reconciling of supplier input data.
Evaluating operational processes and recommending improvements.
Interpreting industry data.
Setting up enduring solutions.

Why Choose Us?

At Engage Consulting, we support energy suppliers in managing non-commodity costs, providing expert analysis and actionable insights. Our team combines technical expertise with practical sector experience to support clients in interpreting complex data, managing costs effectively, and ensuring all relevant charges are correctly applied. We have a strong track record in helping suppliers navigate and report on non-commodity costs with accuracy and confidence.

Ready to Discuss Your Requirements?  Our team is here to help you navigate non-commodity costs with confidence. 

Engage Consulting combine their deep understanding of settlements processes with a consistent and open approach to stakeholder engagement which has allowed them to overcome the early challenges associated with a change in methodology.

I’ve had the pleasure of working with Engage’s consultants for over six years on a large, complex, wide-ranging, technical and challenging project of critical importance to our members and government.

Engage Consulting has been instrumental in establishing the Alt HAN Co; ensuring the complex journey from inception to being an independently operational business, was delivered with professional and invaluable expertise and support.

The 105 number for customers to call in a power cut was a key project for the ENA to deliver on behalf of electricity network operators. Engage overcame the many multi-stakeholder challenges – enabling us to obtain a three-digit number from Ofcom.

We brought Engage in, as industry experts, to review our systems, processes and controls – and ensure that they would support our next phase of growth. The report they provided us with was clear and insightful – and enabled us to make real improvements across our business.

Engage analysed gigabytes of our portfolio data and identified customer accounts causing the imbalance. They also successfully identified the key causes, provided detailed recommendations and proposed a model settlements function to allow us to improve our processes and manage future imbalances.

Engage applied their detailed industry knowledge to develop a robust methodology for quantifying the impact of these adjustments, applied this to large volumes of our metered data, and produced a far more accurate determination of our losses.

Assurance Services for Non-Commodity Costs