The Electricity Bill Mistake Your Holiday Park Could Be Paying for Every Month

Running a holiday park isn’t exactly a nine-to-five job. Between guest arrivals, maintenance,
staffing, cleaning, bookings and the occasional guest who reckons the Wi-Fi should work
perfectly from the furthest corner of the park, there’s plenty to keep operators busy.

So when the electricity bill arrives, chances are it gets a quick look, perhaps a few choice
words about the amount, and then it’s paid.So when the electricity bill arrives, chances are it gets a quick look, perhaps a few choice words about the amount, and then it’s paid.

But here’s a question worth asking.

What if the amount you’re being charged isn’t actually correct?

Just Because It’s on the Bill Doesn’t Mean It’s Right

Most holiday park operators know electricity is one of their larger operating expenses. Air
conditioning, hot water, laundries, camp kitchens, swimming pools, amenities blocks and
powered sites all contribute to the monthly total.

And because usage fluctuates with occupancy, weather and the seasons, it’s easy to explain
away a higher-than-expected bill.

Busy school holidays? That’ll be the extra power.

Hot summer? Must be the air conditioning.

But while those explanations might be perfectly reasonable, they can also disguise
something else.

Billing errors.

Commercial electricity bills can include more than just the cost of electricity consumed.
Depending on the park’s supply arrangements, there may be network charges, demand
charges, metering fees and various tariff components.

And mistakes in any of these areas can potentially mean paying more than necessary.

The Problem With Paying and Forgetting

Imagine an incorrect charge adding just $150 to a park’s monthly electricity bill.

That’s $1,800 over twelve months.

Now imagine that same issue going unnoticed for two or three years.

Suddenly, what looked like a relatively small discrepancy has become a rather expensive
oversight.

Of course, not every unusually high bill contains an error. But unless someone is checking
the individual charges, how would you know?

This is where specialist energy businesses can offer something beyond simply negotiating a
cheaper electricity contract.

Australian energy consultancy Choice Energy, for example, provides bill validation and
energy monitoring services designed to identify potential discrepancies in commercial
electricity accounts.

Its bill validation process examines 58 individual billing elements, including electricity rates,
network charges, demand charges and meter readings.

That’s a considerably more detailed inspection than most busy park operators have the time,
expertise or inclination to undertake themselves.

Your Park Changes. Has Your Electricity Arrangement?

There’s another consideration that can easily slip under the radar.

Holiday parks evolve.

New cabins are installed, amenities upgraded, solar panels added, swimming pools heated
and electrical equipment replaced.

These changes can affect a park’s electricity consumption patterns and, potentially, whether
its existing network tariff remains appropriate.

In some circumstances, an alternative tariff or different approach to managing electricity
demand may deliver savings.

But these opportunities aren’t necessarily obvious from the total amount printed at the
bottom of an invoice.

Three Things Worth Checking

Before paying the next electricity bill, take a few extra minutes to consider:

• Unexpected increases: Has the bill risen significantly without a corresponding change in occupancy, weather or electricity usage?
• Rates and charges: Do the rates and fees match the electricity agreement currently in place?
• Changes around the park: Have recent upgrades, new facilities or solar installations changed how and when electricity is consumed?

If something doesn’t add up, ask your retailer for an explanation or consider having the
account independently reviewed.

The Bottom Line

Nobody expects holiday park operators to become electricity billing experts. They’ve got
enough on their plates already.

But having someone with the right knowledge examine the details can be worthwhile,
particularly for parks with substantial electricity consumption.

Businesses such as Choice Energy specialise in this area and can help operators
understand what they’re being charged and whether there are opportunities to improve their
energy costs.

Because while you can’t always control how much electricity your guests use, you can
make sure you’re asking the right questions about what you’re paying for.

And that’s one expense worth keeping an eye on.