Don’t Wait and Hope: Three Common Mistakes in Energy Buying
Energy prices move just like the weather — sometimes calm, sometimes stormy, and always unpredictable. If you “just wait a few minutes,” you may find prices aren’t coming down at all — in fact, they might spike higher. At Dawn Energy, we’ve helped clients navigate these ups and downs for years. We know that prices rise and fall based on production, demand, weather events, and global issues like the war in Ukraine. The key isn’t guessing what comes next — it’s having a proactive strategy that protects your budget and positions you to act when the market shifts in your favor. Here are three common mistakes energy buyers make when markets are volatile, and how to avoid them:
Mistake 1: Waiting for Prices to Drop Hoping the market comes back down is not a strategy. If prices stay elevated for months — or even years — your costs will keep climbing. Instead, protect yourself by locking in shorter terms now and layering longer-term contracts when opportunities arise. That way you balance today’s reality with tomorrow’s potential dips.
Mistake 2: Forgetting About Blend & Extend Opportunities Many customers don’t realize that even if they’re already under contract, there are times when the market dips — and that dip can be used to their advantage. Through a strategy called Blend & Extend, we can sometimes renegotiate existing agreements, capturing the lower market rate and resetting the contract at a new, more favorable price. This approach requires close monitoring of the wholesale market, but it can save significant money over the life of a contract. Simply assuming you’re “locked in” and have no options is one of the biggest missed opportunities we see.
Mistake 3: Trying to Manage It All Alone Energy procurement is complex. Wholesale markets shift daily, and understanding why they move is just as important as knowing the numbers. Relying only on public price charts or trying to manage renewals in-house often leads to missed opportunities. Working with an experienced energy advisor gives you direct market intelligence, customized contract structures, and proactive strategies that help you stay ahead.
Bottom Line When markets are uncertain, doing nothing is the most expensive decision you can make.
Taking a deliberate, informed approach — and partnering with an advisor who understands both the wholesale market and your long-term goals — is the best way to protect your budget and keep your business competitive. At Dawn Energy, that’s exactly what we do. We combine market expertise with hands-on service so our clients can stop worrying about energy and focus on growing their business.