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Energy Budgeting

Energy budgeting, unlike other disciplines, requires analysis of futures markets, pending regulatory actions and many other factors. A large University has worked with Luthin Associates for over ten years in the development of an energy management program. One of the annual program deliverables is the development of both fossil fuel and electricity cost projections for the coming year. Historically, these projections have been accurate to within 5% of actual costs. Future cost projections are developed by considering future energy pricing, project management and generation costs, regulatory changes, geo-political factors, tariff and tax changes and the client’s operational issues.

Our projections continue to be accurate to within 5% of actual costs. The client bases their purchasing decisions on the pre-determined price and/cost goals that we establish together. The client is confident in the process and accuracy of the projections and they have realized increased credibility with the senior stakeholders of the organization.