Understanding your business energy bill
A plain-English breakdown of every charge on your commercial energy bill: what it means, where to find it, and what to look for.
Your energy bill is more than a single number; it's a breakdown of the cost of supplying energy to your business. Understanding each line helps you check you're on the right contract, spot out-of-contract rates, and plan your renewal. Below we explain each component in plain English.
Unit rate
The price you pay per kilowatt-hour (kWh) of energy used, shown in pence per kWh (p/kWh). This is the main variable charge on your bill and the figure most affected by your contract terms.
Standing charge
A fixed daily charge that covers the cost of supplying energy to your premises regardless of how much you use. It reflects the infrastructure required to keep your site connected to the network.
Energy consumption (kWh)
A kilowatt-hour is the standard unit of energy. Your consumption in kWh is multiplied by your unit rate to calculate the energy portion of your bill. Your meter records how many kWh you use.
Contract period
The start and end dates of your agreed contract. This is where you confirm your contract end date (CED) — the key date for planning your renewal. It's usually printed near the tariff or charges section of your bill.
MPAN
Your Meter Point Administration Number identifies your electricity supply point. It's a 21-digit number, often split into segments, and is essential for switching electricity supplier.
MPRN
Your Meter Point Reference Number identifies your gas supply point. It's an 8–10 digit number found on your gas bill and is essential for switching gas supplier.
Meter serial number
A unique number printed on your physical meter that links the meter to your supply point. Suppliers use it to verify readings.
VAT
Most businesses pay 20% VAT on commercial energy. Some businesses with very low usage may qualify for the reduced rate (5%); charitable and non-profit organisations may also qualify under specific conditions. Your supplier applies the correct rate.
Climate Change Levy (CCL)
An environmental tax added to most business energy bills, charged per kWh. Some energy-intensive businesses with a Climate Change Agreement (CCA) can pay a reduced rate. CCL is shown as a separate line on your bill.
Network and metering costs
The cost of transporting energy across the national network and maintaining your meter. These are largely non-negotiable charges set by network operators and recovered through your bill — sometimes itemised separately, sometimes bundled into your unit rate.
Broker / TPI remuneration
If you used an intermediary to arrange your contract, their remuneration may be incorporated into the commercial arrangement, for example as part of the unit rate. This should be clearly understood. See our how Vantage gets paid page for a transparent explanation.
Need help understanding your bill?
If you're unsure what you're being charged or when your contract ends, upload a bill and our commercial team will review the information provided and contact you regarding your position.
Reviewed by the Vantage Commercial Energy Team · Last updated August 2026
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