Condugo is the modern all-in-one energy procurement solution for companies.
Spend less time on info gathering and more on negotiations and stakeholder management.
on energy budget
Rising energy prices and volatility push energy suppliers towards unexpected costs and increase of risk. As a consequence, these risks are heading your way. This is where new challenges are coming in: dealing with variable and spot-based contracts, uncertainty about budget levels, different ways of energy procurement, complicated hedging practices, upcoming capacity tariffs, and many more.
Disruptive changes ahead in the energy landscape
Your budget & energy procurement are at risk
Negotiation an energy contract requires a good understanding of market dynamics.
Sign an energy supply contract.
Start of your contractual period and delivery of energy.
Condugo assists you throughout the entire procurement process by providing tools and services that result in a signed supply contract, a transparent budget calculation with follow-up, and a sound hedging strategy and execution.
Procurement analytics is the process of collecting and analyzing procurement data for business insights and effective decision-making. What data will we collect?
Historical usage data
For every EAN number, historical usage data needs to be collected. Depending on the type of meter (yearly, monthly, quarter of an hour), we collect typically 3 years of historical data. Historical usage data can be obtained via your current energy provider(s) or grid operator(s).
Future estimated usage volume
Future volume usage is an important metric when contacting energy providers. The more accurate you can forecast your future usage volume, the better your energy provider can craft a tailor made offer.
We give you the right instruments to forecast future volume adjustments. Our tool helps you to pinpoint where changes in consumption could take place: Peak vs Off-Peak, specific months/quarters during the year, or an overall yearly change.
Bandwidth limits: An upper and lower bound of your total yearly consumption. Outside these borders an additional price penalty will be charged.
Max capacity: grid operators will look at your maximum capacity needed for your EAN points. Based on this value, a capacity tariff will be applied.
When receiving offers from the different energy suppliers it is an ‘art’ to consolidate all this unstructured information in a standard template so that it can be turned into actionable information. What are the main drivers in our template:
As a result we offer you a structured, highly readable and interpretable overview, which can be used in your further vendor selection process.
Hedging and budget calculation
Once you have signed your contract two important jobs need to be done.
This budget estimation takes all necessary parameters into consideration: long-term market prices, local green certificates, GOO market prices, (un)hedged budget, future consumption, and transmission & distribution tariffs.
There are multiple approaches to developing an ideal hedging strategy and each carries a different type of risk. Developing a custom strategy based on your unique energy consumption data, business needs, risk appetite, and sustainability goals is a must.
Taking into account the volatile markets and constantly changing regulations, this budget must be updated on a regular basis to maintain a correct view. This can be a challenging job when done if not automated.
Executing your hedging strategy requires an up-to-date view of your hedging ratio combined with close monitoring of market price fluctuations. Combining this information is a challenging job but is crucial to define when and how much to hedge.
Our budgeting engine curates daily information from different data sources. Combined with your specific parameters, the result is an up-to-date budget view for the coming years.
By continuously calculating your hedging ratio and monitoring the market, our hedging engine will support you in executing your hedging strategy.
Once your contract period has started, 3 important jobs need to be done.
The realised budget estimation takes all necessary parameters into consideration: spot market prices, local green certificates, GOO market prices, hedged budget, effective consumption and transmission & distribution tariffs.
The second pillar of your budget exercise is to project future budget spending. A future budget is calculated based on parameters like forecasted consumption, forward prices, transmission & distribution tariffs, and an already hedged budget.
Your hedging strategy has been defined in a previous step. At the start of your contract, executing this strategy is key to staying in line with your initial budget and to keep your risk in your open position(s) under control.
Matching real-time consumption information with contractual agreements, spot prices, and executed hedges is key to having an up-to-date view of your actual realised budget.
Our budgeting engine curates daily information from all different data sources. The result is an up-to-date budget view for the past period.
Taking into account the volatile markets and constantly changing regulations, this budget must be updated on a regular basis to maintain an accurate view.
Our forecasting engine curates daily information from all different data sources. The result is a budget estimation for the future period.
To execute your hedging strategy you need to have a real-time view of your realized and forecasted consumption volume, bandwidth criteria, market price fluctuation, and hedging ratio.
Our platform collects this information on a daily basis. This information is then used by our hedging engine which provides you with the intended information needed to execute your hedging strategy.
Schedule your free 1-on-1 call
We know the 'matter' is complex so we understand that you want to do some brain-picking from our Expert Xavier.
It is our mission to help the world with its energy transition so we feel perfectly OK to have a 30' free call where you can ask us whatever question you have concerning energy.
You can also pick our brain to understand how the energy market is evolving since 2021.
We participate in these projects
The vision of R-ACES is to support high-potential industrial parks and clusters to become fully-fledged Eco Regions that reduce emissions by at least 10%. They do so by exchanging surplus energy, making extensive use of renewables and tying everything together with smart energy management systems.
For more info consult the partners' website
Seal of Excellence
In 2020 Condugo received a VLAIO grant and support for two years for a pilot project. With the pilot project, Condugo wants to enable (petro) chemical companies to meet the climate and energy targets in a lasting, convincing and economically responsible manner. Our novel energy flow modelling techniques bring 100% transparency in the process chain, leading to substantial benefits for all levels of the organization – from process engineers to financial controllers and top management.
Co-funded by the Horizon 2020 programme of the European Union
co-funded by Flanders Innovation & Entrepreneurship
Don't hesitate to leave us your contact information so that we can contact you and together figure out how we can help you.
Our specialist are happy to hear your story and find out where in your procurement process your main struggles are situated.
When leaving your contact info we will also provide you our structured, highly readable and interpretable template that allows you to consolidate information which can be found in the different offers received from your energy providers.
This structured information can then be used in your further vendor selection process.
© 2022 Condugo BVBA - All rights reserved