STEP Index

STEP1 Index is an alternative to traditional fixed-price contracting that can help your business manage pricing and timing risk.

Available for customers using 500MWh or more of electricity per annum per state, it gives you greater control over your contracting and allows you to achieve an averaged energy price. You can agree STEP Index for your electricity costs, environmental scheme costs, or both.

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STEP Index contracting vs. Fixed price contracting

  • STEP Index contracting

    Pay a simple average forward-market price for electricity, calculated across a chosen index period to avoid the risk of contracting at the highest point of the market.

  • Fixed price contracting

    Agree electricity prices upfront for the whole contract period based on market prices at the time of signing. This may be at a high point or a low point in the market.

With STEP Index you can:

  • Reduce the risk of locking in your contract price at a high point in the market
  • Be confident in achieving an average market price
  • Lower the risk of paying more energy costs than you need to
  • Manage your exposure to wholesale market volatility
  • Opt to lock in your index period if you think the market is favourable
  • Avoid penalties for using more or less energy with our load volume tolerance
  • View your index position on our secure online portal
  • Choose whether you manage your contract passively or actively.

Other progressive purchasing contracts

STEP Online is our other progressive purchasing contract. STEP Online enables you to lock in your energy prices progressively, in parcels as small as 5%.

More about STEP Online

1STEP is an acronym for Strategically Timed Energy Procurement.