The one-year deal, run by the operator’s energy partner Inspired Energy, bulk buys energy for licensees when the market is lowest to ensure competitive prices and support them in navigating the anticipated price hike.
With many energy companies viewing the sector as risky, the announcement follows licensees reports of energy supply contracts with premium prices, lengthy terms, high security deposits, and hidden extras. Licensees are also concerned about the security of contracts with lesser-known operators.
Licensees can sign up for a one-year agreement and renegotiate their contracts in autumn 2023, when prices are expected to fall. They will also have access to an online portal to help track and reduce their energy consumption and improve billing accuracy.
Mark MacDonald, head of pub services at Star Pubs & Bars, said: “Energy is a pub’s second biggest cost after wages, so the current energy issues are a major challenge for the trade. The energy market is complex, and people need expertise to navigate the terms and conditions of the different agreements.
“Some of the four- and five-year contracts available look attractive now but could prove very expensive when the market corrects.
“Our aim is to simplify the process of securing a good energy deal for our licensees by creating a transparent agreement built around their best interests. All of our 140 managed-operator Just Add Talent pubs will be on it.
“By using our managed pubs’ buying power, we’re able to offer great rates and terms to our leased & tenanted licensees, too.”