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Company: how to change energy supplier?

A company generally decides to change energy supplier following a move, or to benefit from more suitable offers or a more advantageous tariff. The procedures and requirements for professionals include a number of details to consider. How to terminate a professional energy contract? Does changing electricity and/or gas supplier involve costs? Point.

Changing energy supplier: what conditions for the company?

Professionals need to consider several aspects before proceeding with a change of energy supplier. This allows for select the ideal offer, but also to prepare for the procedures to be followed.

Reasons for termination

A business can terminate its electricity and gas contract for several reasons. From the vendor’s perspective, cessation of business or even relocation are legitimate grounds for termination. However, the professional must check the terms of the contract or the GCS (General Conditions of Sale) to know precisely these details.

The choice of supplier

Since 2007, all consumers, professionals and individuals, have benefited from it liberalization of the energy market. Thus, they can choose their supplier, without any constraints.

As far as companies are concerned, there are two possibilities: oa market offeror a contract subject to TRV (regulated sales rate), offered by suppliers such as EDF for electricity and ENGIE for gas. To qualify for the latter case, the entity must meet the following criteria:

  • Have at least 10 employees,
  • If applicable, have a turnover, an annual balance sheet total and a turnover of less than 2 million euros,
  • Opt for a power not exceeding 36 kVA.

In this regard, it is also essential to review the terms of engagement of your current contract before changing your electricity and gas supplier.

The notice period

The current energy contract or the T&C relating to a market offer may provide for a notice period. The latter defines the date by which the resolution request must be filed. They it varies according to the suppliers, their offersbut also the size of the client company.

This notice period generally corresponds to a period of 30 to 90 days before the end of the contract.

What steps to change energy supplier?

As a professional, it is possible to terminate an energy contract at its end or during the commitment period. The modes differ in some points for the two options.

Termination due to expiry of the energy contract

If the professional client fails to meet the notice period, the supplier proceeds with the tacit renewal of the contract, i.e. its automatic renewal. The duration of the latter is set at one year or equivalent to that of the initial contract.

To successfully carry out a change of supplier at the end of the contract, it is therefore imperative to inform the current one before the start of this period. For clarity, in the case of market offers, some large industrial accounts are excluded from this renewal.

Early termination of the energy contract

It is a change of electricity and gas supplier before the expiry of the energy contract. This decision it can be beneficial for the company because:

  • Benefit, at the desired time, from a cheaper rate for him.
  • Avoid having to deal with possible price increases from your current supplier after a tacit renewal.
  • It allows you not to miss the notice period agreed in the contract or in the GTC.

Steps to terminate a professional energy contract

To change your electricity and gas supplier, you need to provide your current supplier with several pieces of information, namely:

  • Your company name, customer number and billing address,
  • The PDL number (Delivery Point) for electricity and the PCE number (Point of Counting and Estimate) for gas,
  • The reason for the termination,
  • The desired date for closing the contract.

They must be mentioned in a letter whose purpose is to request the termination of the energy contract.

Once your supplier has studied and validated your file, they will put you in contact with a DSO (distribution network operator). The latter will send a professional meter closing agent to the company.

Signing of new electricity and gas contract

To finalize the change of energy supplier, it is necessary provide the new chosen supplier with the PDL number and the PCE number. May also request RIB for direct debit payment and possibly index readings of each meter to date.

How much does it cost to switch professional energy supplier?

Depending on the company’s situation at the time of switching energy supplier, a fee may or may not be required.

Terminate the energy contract free of charge

This approach does not generate no fees for legitimate termination reasons notified in the contract or in the GCS. If the pro customer has to change energy supplier due to cessation of activity, goodwill assignment or move, no cancellation penalty is applied. Furthermore, for offers subject to regulated tariffs, no pecuniary sanction is envisaged, unlike a market offer.

In any case, consultation of the terms of assignment on the matter is always indicated. Indeed, some suppliers may provide specific conditions. Furthermore, electricity and gas suppliers do not have to deduct any costs when the customer respects the notice period or when he wishes to close on the expiry date of the contract.

Terminate the energy contract with costs

According to the envisaged provisions, the request to close an electricity and/or gas contract may involve costs in the following cases:

  • The company that wants to change supplier terminate the contract early.
  • Reason for breach of contract does not match the legitimate grounds for termination established in the terms of the commitment.

In general, the billing of resolution fees usually comes in two forms. In the first form, the energy supplier asks the pro customer to pay the equivalent of the consumption for the remainder of the contract period. In the second form, it sets a percentage of annual consumption which will be multiplied by the number of months missing from the expected deadline.

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