Key Takeaways from Trio’s Webinar: Strategic Energy Procurement for Property Management – U.K. Trends, Risks & Opportunities

The UK energy landscape continues to evolve at pace, with property management businesses facing heightened volatility, rising non‑commodity costs, and increasing pressure to align procurement with sustainability goals.  
 
Trio’s recent webinar brought together energy specialists and industry leaders to unpack the latest market trends and share practical strategies for navigating this complex environment. 

Below are the key insights from the session. 

1. Energy markets remain extremely volatile and political risk is now a permanent feature 

Speakers highlighted the unprecedented swings in UK gas and electricity prices over the past five years, driven by events such as the Russia–Ukraine conflict and the current Middle East crisis. 

As Dan Veasey, senior European energy risk manager at Trio, noted: 

“Gas markets are extremely volatile… the difference between the lowest commodity price and the highest… is 20.53 pence per kWh.” 

Electricity has followed the same pattern due to the UK’s continued reliance on gas for power generation. This volatility reinforces the need for procurement strategies that can absorb market shocks rather than rely on single‑day purchasing decisions. 

2. Non‑commodity costs now make up over 60% of electricity bills 

While commodity prices dominate headlines, non‑commodity charges are increasingly shaping total cost. 

Fahira Batovac, head of bureau services (UK) at Trio, explained: 

“Electricity non‑commodities now make up over the 60% of the electricity bill.” 

Key drivers include: 

• Rising transmission residual charges 
• New nuclear and energy‑intensive industry levies 
• Ongoing network investment 
• Upcoming changes linked to market‑wide half‑hourly settlement 

These costs are largely unavoidable, making accurate forecasting and proactive budgeting essential. 

3. There is no one‑size‑fits‑all procurement model, decisions must reflect business DNA 

A recurring theme from the panel was that the “best” procurement model depends on the organisation itself. 

Rowan Packer, head of renewable solutions (Europe) at M Core Property, summarised the four pillars that should guide procurement decisions: 

• Cost (being the number one pillar) 
• Business DNA (e.g., appetite for agility vs stability) 
• Risk and credit position 
• Market conditions 

This reinforces that a procurement strategy should be tailored to the organisation, not replicated from peers. 

4. Flexible and basket models offer transparency and agility in volatile markets 

The advantages of flexible and basket procurement models, particularly in today’s environment, were highlighted. 

Brock Bergius, managing director at adpt Property Management, shared: 

“Basket trading gives me a flexible procurement model… we can ride the market out.” 

Other benefits include: 

• Ability to spread purchasing decisions 
• Reduced exposure to single‑day price spikes 
• Greater transparency of commodity and non‑commodity components 
• Access to trading benefits for smaller portfolios via basket models 

For many property managers, these models strike the right balance between control and risk mitigation. 

5. Moving from fixed to flex requires organisational maturity and strong data 

Andra Copot, strategic account manager at Trio, emphasised that readiness is key when transitioning to flexible procurement. 

“Data quality is critical for flexible procurement… it allows that conversation of agreeing a more appropriate flex strategy.” 

Other success factors include: 

• Reliable consumption data 
• Clear internal governance 
• Defined risk appetite 
• Access to market insight and trading expertise 
• Preparation and partnership 

Without these foundations, flex can feel overwhelming, but with them it becomes a powerful tool. 

6. Sustainability goals are increasingly shaping procurement choices 

Sustainability is becoming a core driver of procurement decisions, with many organisations now selecting models that support their long‑term decarbonisation plans.  
 
As Copot noted, flexible procurement “opens the conversation” to renewable options such as REGOs and PPAs, giving businesses more control over how they source green energy.  
 
Packer reinforced sustainability must be considered early in the process so procurement choices align with broader ESG commitments. For many property managers, this shift means choosing procurement structures that offer both transparency and the ability to integrate credible renewable sourcing over time. 

7. Smaller portfolios can unlock big‑portfolio benefits through basket models 

Flex baskets were highlighted as a practical route for smaller property managers to access the advantages of flexible procurement without the administrative burden. 

As Packer put it: 

“It allows small businesses to operate almost as a big business and get the big benefits.” 

This democratisation of flexible procurement is becoming increasingly important as market volatility persists. 

Does your strategy hold up in the current environment? 

In summary, the energy landscape is not becoming simpler, but the tools and strategies available to property managers are becoming more sophisticated. 

With the right approach, property managers can not only manage risk, but also unlock new opportunities for cost control, transparency, and sustainability. 

Connect with Trio’s energy advisory team to discuss your current strategy and review your portfolio’s risk exposure.