Change of Tenancy: What you need to know
If you’re moving sites, you’ll probably need to complete a change of tenancy. Here’s our answers to any questions you might have when completing your change of tenancy to help you make sure your energy supply is ready for when you move in.
What is a change of tenancy?
A change of tenancy (COT) occurs when a business moves into or out of a new premises. Both parties are responsible for informing the current energy provider of the change in tenancy.
When you’re the incoming tenant, it’s crucial that you enter into an energy contract as soon as possible otherwise you will be placed onto an “arbitrary deemed riff” which could result in an increase of up to 40% on your energy unit rates.
How do I complete a change of tenancy?
A change of tenancy is easy to complete, you simply need to complete a change of tenancy form and submit that form to your energy supplier. Check out our change of tenancy form on our resources page to help. If you are unsure or require help with your COT you can sign a letter of authority. A letter of authority or LOA is a legal document that enables a third party, often an energy broker, to arrange a service on your behalf. This will enable one of our energy experts to complete the change of tenancy and agree on a new energy contract for you.
What if I’m an outgoing tenant?
As an outgoing tenant, it’s important you inform your energy supplier to ensure you’re not charged for any consumption by the new tenant. Make sure you take a final reading of your meter and complete a change of tenancy form. If you are relocating to a new premises, this will also be an ideal time to look at new energy suppliers and contracts.
Do I need to arrange a new energy contract with a change of tenancy?
Yes, when you relocate to a new site and complete a change of tenancy, you’ll need to arrange a new energy contract for that building. You can do this by discussing your options with new suppliers or renegotiating with your current supplier. This is a great way to make sure you’re getting the best deal for your new premises. When you’re looking to agree on a new energy contract, we advise that you shop around to get a picture of your options. Or, you could sign a Letter of Authority so that an energy broker can find you the best deal out there to fit all your new site’s requirements and help guide you through the process.
Will I need to agree on a new contract if I’m move to a similar size building?
Whenever you more to a new building a new energy contract must be agreed whether this is a similar sized building or not. This is because there will always be a difference in energy consumption for two different buildings. Even if you are relocating to a similar size building next door and intend to use the same exact equipment, it’s unlikely that the consumption will be the same.
Can I complete a change of tenancy before I move?
Unfortunately, you can’t complete a change of tenancy until you have relocated to your new premises. Because you need a meter reading from the date you relocated, you’ll have to wait until you get to your new premises before you complete your change of tenancy. However, there are steps you can take beforehand to make sure your change of tenancy is completed as quickly as possible. This is important to make sure you aren’t being charged an arbitrary deemed tariff as this is often a more expensive option.
Will I need to upgrade or downgrade the existing meter?
Its unlikely that you need to change the current energy meter when moving into a new premises however if you need more energy supplied to the building than the current meter can handle, or you want to downsize the energy meter its best to get in touch with a specialist to ensure you get the energy meter that suits you and your expected consumption. If you want a new meter, you can learn more on our new connections & metering page or give us a call and one of our energy experts will give you some advice.
When you move into your new premises, it’s unlikely that you’ll need to change the current energy meter. However, if you need more energy supplied to the building than the current meter can handle or you’re looking to downsize the energy meter, your best route is to get in touch with a specialist. They’ll be able to ensure you get the energy meter that will suit your business and its consumption.
Moving site and need a new energy supply? Our team of experienced energy advisors are on hand to make your change of tenancy as smooth as possible. We’ll use our extensive market knowledge to make sure you’re getting the best deals for your energy contracts as part of our total energy management plan. So that you have the peace of mind that your energy supply will be ready when you move site. Contact us today to learn more.
Powering Success. Power your projects with our water and energy management services.
Reach out today & discover how we can help.