ADR (Alternative Dispute Resolution)

A formal process for resolving disputes between businesses and their energy suppliers without going to court. In the UK business energy market, ADR is provided by approved schemes such as the Energy Ombudsman. Kilowatt Energy is registered under ADR scheme reference C35KILO01, which means our clients have access to independent dispute resolution if issues with suppliers cannot be resolved directly. ADR registration is a mark of accountability that not all brokers hold.

Agreed Supply Capacity (ASC)

The maximum amount of electricity in kilovolt-amperes (kVA) that your Distribution Network Operator has agreed to deliver to your premises at any given time. Your ASC determines your connection capacity and forms the basis of your maximum demand charges. Exceeding your ASC triggers penalty charges. Setting your ASC too high results in unnecessary standing charges for capacity you never use. kVA allowance optimisation aligns your ASC with your actual operational requirements.

Broker (Energy Broker / TPI)

A third-party intermediary who acts as an agent between your business and energy suppliers. Brokers access the supplier market, obtain quotes and manage the switch process. They are paid by suppliers through commission built into your unit rate. A reputable broker discloses this commission before any contract is signed. Kilowatt Energy discloses our full commission structure upfront on every deal.

Commercial Utility Knowledge Base

Commercial Energy & Utility Glossary

Demystifying complex B2B energy terminology, regulatory abbreviations, and billing structures for UK businesses.

MPAN

Metering

Meter Point Administration Number: The unique 13-digit code identifying an electricity supply point in the UK.

Takeaway: Essential for obtaining accurate whole-of-market quotes.

MPRN

Metering

Meter Point Reference Number: A unique 6 to 10-digit number assigned to identify your commercial gas supply point.

Takeaway: Required when switching or upgrading business gas suppliers.

DUoS Charges

Network Costs

Distribution Use of System: Fees charged by regional DNOs for transmitting electricity across local power lines.

Takeaway: Makes up a major component of non-commodity bill costs.

TNUoS

Network Costs

Transmission Network Use of System: Costs associated with maintaining the high-voltage National Grid infrastructure.

Takeaway: Heavily impacts larger industrial and corporate power consumers.

Half-Hourly (HH) Metering

Data & Settlement

Automated meter setup mandated for larger sites (>100 kW demand) that transmits consumption data every 30 minutes.

Takeaway: Eliminates estimate billing and provides clear load-profile data.

Deemed / Out-of-Contract

Tariffs

Emergency default rates charged when a fixed commercial energy contract ends without a renewal or transfer agreement.

Takeaway: Often 80%+ higher than standard contracts; switch immediately.

kVA Capacity Allowance

Infrastructure

The maximum electrical capacity reserved from the local distribution network for your building.

Takeaway: Exceeding this limit triggers expensive excess capacity penalties.

Climate Change Levy (CCL)

Taxes & Levies

An environmental tax added to commercial energy use intended to encourage businesses to improve energy efficiency.

Takeaway: Certain energy-intensive sectors can qualify for CCL exemptions.

Letter of Authority (LoA)

Procurement

A signed document granting your chosen energy broker or consultant permission to speak to suppliers on your behalf.

Takeaway: Necessary for brokers to gather usage history and market rates.

Smart Export Guarantee (SEG)

Renewables

A government-backed scheme obligating licensed suppliers to pay businesses for surplus solar or wind energy exported to the grid.

Takeaway: Monetizes commercial rooftop solar installations.

Capacity Market (CM)

Government Schemes

A mechanism designed to ensure security of electricity supply by providing payments for reliable power capacity.

Takeaway: Appears as a minor line-item levy on business electricity bills.

Ofgem

Regulation

Office of Gas and Electricity Markets: The independent government regulator for the UK's energy sectors.

Takeaway: Enforces rules, supplier licensing, and market conduct codes.

BEYOND DEFINITIONS

Confused by Hidden Line Items on Your Business Energy Bill?

Terms like TNUoS, DUoS, and Climate Change Levy (CCL) are frequently miscalculated by suppliers. Let our compliance analysts audit your bill for line-item errors.

Ready for a Comprehensive Bill Review?

Speak directly with our compliance team to cross-reference your underlying rates and uncover potential overcharges.

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