Your energy spend with Pilio energy software is calculated based on the amount of energy you consume, measured in kilowatt-hours (kWh), multiplied by the applicable tariff rates. Your energy spend is related to energy usage, and ultimately energy performance, and energy efficiency. 

To manage and potentially reduce your energy spend, you should focus on understanding your energy usage, improving energy performance, and enhancing energy efficiency. Regularly updating your account with accurate tariff rates ensures precise calculation and better energy management.

1. Understanding your energy spend.
2. Understanding your energy usage.
3. Improving energy performance.
4. Enhancing energy efficiency.

Energy Spend

Your energy spend is calculated by multiplying the total energy consumed (in kWh) by the applicable tariff rates. 

Tariff rates are the prices charged by your energy supplier per unit of energy consumed (per kWh). These rates can vary based on several factors such as time of day, overall energy demand, and specific plans or agreements with your supplier. When you set up your account, you may enter your specific tariff rates. If no tariffs are entered, default tariffs provided by the energy management service (such as Pilio) will be used for calculations.

When a specific tariff has not been entered during account setup, the energy management service will use default tariffs to estimate your energy spend. These default rates may not reflect your actual costs accurately, so it's important to update your account with the correct tariff rates to get a precise calculation of your energy spend.

Energy Spend Calculation Example 

1. Determine Energy Usage:
2. Suppose your monthly energy usage is 500 kWh.
3. Identify Tariff Rates:
4. Assume your tariff rate is £0.25 per kWh.
5. Calculate Energy Spend:
6. Energy Spend = Energy Usage (kWh) × Tariff Rate (£/kWh)
7. Energy Spend = 500 kWh × £0.25/kWh = £125.

If you improve your energy efficiency or performance, your energy usage may decrease. For instance, reducing your usage to 400 kWh would lower your spend to:

• Energy Spend = 400 kWh × £0.25/kWh = £100

Energy Usage

Energy usage refers to the total amount of electrical energy consumed by your household or business over a specified period. This is typically measured in kilowatt-hours (kWh). The more energy you use, the higher your energy spend will be. Accurate measurement of energy usage is critical for calculating your energy spend correctly.

Improving Energy Performance 

Energy performance relates to how efficiently your systems and appliances convert energy into useful work. Better energy performance means that less energy is wasted, leading to lower energy consumption for the same level of activity. Regular assessments of energy performance can help identify areas where improvements can be made, thereby reducing your overall energy spend.

Enhancing Energy efficiency 

Energy efficiency involves using technology and practices that reduce the amount of energy required to perform the same function. For example, energy-efficient appliances and lighting consume less electricity to achieve the same level of performance. Implementing energy-efficient solutions can significantly lower your energy usage and thus reduce your energy spend.

Implementing Energy-Saving Measures

Energy-saving measures involve actions and strategies that lead to the reduction of energy consumption. These measures can include:

• Behavioural Changes: Simple actions such as turning off lights when not in use, unplugging devices, and using programmable thermostats.
• Upgrading Infrastructure: Replacing old appliances with energy-efficient models, installing better insulation, and using energy-efficient windows and doors.
• Renewable Energy Sources: Investing in solar panels, wind turbines, or other renewable energy sources to reduce dependence on conventional energy sources.

By implementing these energy-saving measures, you can significantly reduce your energy usage, improve energy efficiency, and ultimately lower your energy spend.

The following FAQ’s may help you further understand your performance and results with Pilio energy software:

• How is the energy over- or under-spend calculated
• How do I know if I am on track to achieve my Carbon Budget?
• About the accuracy of results
• Predicting your energy use
• What does 'carbon equivalent (CO2e)' mean?
• Exporting charts and tables
• What is a energy baseload?
• How to see the impact of energy-saving actions (CUSUM chart)
• Gas kWh: how do we calculate it?
• Interpreting building efficiency
• What carbon emission conversion factor is used to calculate the emissions from energy consumption?