Energy now presents the same level of risk to companies as health and safety and security, according to a survey by npower.
The company’s Business Energy Index tracks opinion on energy use and carbon emissions. In the index, energy was rated at 6 out of 10 in terms of the risk it places on businesses, second only to cash flow and legislative risks.
For major energy users specifically, energy was seen as the primary business risk, outstripping even staff and cash risks.
Half of companies said energy risks have become higher profile in their organisation in the last three years as the considerations around energy use increase. Rising supply costs (6.7 out of 10) and security of supply (6.1 out of 10) were identified as the most important energy risks that were faced.
Dave Cockshott, corporate markets director at npower, said: “Price volatility, carbon reduction, climate change legislation, reputation and security of supply are now among the chief concerns that businesses face in their energy use, many of which have increased exponentially in the last five years. It’s making it increasingly important that energy is managed with the same priority and detail as all other risks businesses face – it can no longer be a secondary consideration.”