Understanding Business Energy Contracts: A Complete Guide

Understanding Business Energy Contracts: A Complete Guide

Energy Guides 12 Feb 2026

What Are Business Energy Contracts?

Business energy contracts differ significantly from domestic agreements. As a commercial energy broker, we help businesses navigate the complexities of gas and electricity procurement.

Fixed vs Variable Rates

Fixed-rate contracts lock in your energy prices for a set period, typically 1-3 years. This provides budget certainty and protection against market volatility.

Variable rates fluctuate with the wholesale market, which can be beneficial when prices drop but risky during price spikes.

Contract Length Considerations

Longer contracts often secure better rates but reduce flexibility. We recommend reviewing your business growth plans before committing.

How Tower Utility Can Help

Our team compares rates from all major suppliers to find the best deal for your business. Contact us today for a free energy review.