TPIs are the Future of Energy Solutions
The traditional ways of buying, selling, and managing energy solutions are transforming rapidly. Energy suppliers are having to balance a growing demand for sustainable solutions, increasing regulatory pressures, and the need for more efficient pricing strategies. All while maintaining their bottom line.
For Third-Party Intermediaries (TPIs), those brokers and consultants who help businesses procure energy, this shift presents both challenges and opportunities. While renewable energy adoption continues to reshape the market, the complexity of energy procurement is increasing. Businesses today want far more than just cost savings; they want transparency, sustainability, and a seamless buying experience.
At the same time artificial intelligence (AI), automation, and real-time pricing tools are all changing the way TPIs operate. It is, therefore, clear that the future of TPIs is not just about selling energy, it is about delivering smart, data-driven solutions that create long-term value for customers.
New layers of complexity
With the shift to renewables and the push for net zero, businesses are becoming more conscious of where their energy comes from and how it impacts their carbon footprint. This shift is adding new layers of complexity to the buying process.
For large industrial and commercial (I&C) customers, procurement has always been intricate, but now small and medium-sized enterprises (SMEs) are also seeking tailored solutions. They, quite rightly, want to understand the environmental impact of their energy choices and ensure they are compliant with the latest sustainability regulations.
Because of this, TPIs must work hard to:
• Educate customers on renewable energy options and net zero initiatives
• Navigate volatile energy markets with fluctuating supply and demand
• Manage complex contract structures, including green tariffs and carbon offset plans
• Keep up with shifting regulations that affect both suppliers and brokers
This increasing complexity demands a new approach. One that relies on advanced data analytics, automation, and real-time market intelligence. Not doing so will mean TPIs risk falling behind, unable to provide the speed and accuracy that businesses now expect.
AI and automation are changing the game
Few industries are more time-bound than the energy sector and AI is reshaping how TPIs operate in this way. From optimising energy pricing to automating procurement workflows, AI-powered tools are removing inefficiencies and helping brokers provide more value to their clients.
Traditional energy procurement relies on static pricing models that often fail to account for real-time fluctuations in supply and demand. AI-driven platforms, however, analyse market trends instantly, allowing TPIs to offer pricing that is both competitive and accurate.
AI can also be used to forecast energy consumption patterns based on historical data, weather conditions, and economic factors. Meaning TPIs can help their clients make informed purchasing decisions and avoid unnecessary costs. This level of precision also supports better hedging strategies, reducing the risks associated with price volatility.
Reducing errors and removing bottlenecks
Of course, automation can also transform tasks such as tendering, contract comparisons, and compliance reporting that once required hours of manual work. With it they can be completed in seconds.
Consider the process of generating a contract proposal. In a manual system, a broker might have to rekey data multiple times. With automation, a single platform can pull data from multiple sources, generate a proposal, and present an optimised contract without human intervention. This speeds up the sales cycle, improves accuracy, and allows brokers to focus on strategic advising rather than administrative tasks.
The same principle applies to customer interactions. AI-powered chatbots and automated email workflows can handle routine inquiries, freeing up brokers to spend more time on high-value conversations. By removing bottlenecks in the sales and procurement process, TPIs can enhance both efficiency and customer satisfaction.
The importance of regulation and compliance
The regulatory landscape for the energy market continues to evolve. Governments and industry bodies are tightening oversight to ensure transparency, fair pricing, and consumer protection. In the UK, the Department for Energy Security and Net Zero (DESNZ) has proposed new regulations aimed at increasing accountability for TPIs. These measures seek to prevent misleading sales practices, ensure accurate pricing disclosures, and protect businesses from unfair contracts.
While regulations can seem like a burden, they also present an opportunity. TPIs that proactively integrate compliance measures into their operations can build trust with both suppliers and customers. By staying ahead of them, TPIs can differentiate themselves as a reliable, ethical partner in energy procurement.
A shifting of focus
Historically, energy brokers have competed primarily on price. But, as market conditions shift, that approach is becoming less sustainable. Customers are looking for more than just savings, they want insights, transparency, and strategic guidance. TPIs have a chance to redefine their value proposition. Instead of being seen as middlemen, they can position themselves as energy advisors who help businesses navigate complex decisions.
A key area of opportunity is sustainability consulting. Many businesses are eager to transition to greener energy solutions but lack the expertise to do so. TPIs can fill this gap by offering carbon reduction strategies tailored to each business’s needs, guidance on integrating renewable energy sources like solar and battery storage, and data-driven insights into energy efficiency and demand-side management. By shifting the conversation from cost to long-term value, TPIs can build stronger client relationships and create new revenue streams.
TPIs are at the centre of the transformation
The energy industry is undergoing a transformation, and TPIs are at the centre of it. With growing complexity, increasing regulation, and evolving customer expectations, the role of TPIs is shifting from price-focused brokers to strategic energy advisors.
By leveraging AI, automation, and compliance-driven solutions, TPIs can enhance efficiency, improve pricing accuracy, and provide more value to their clients. The key to long-term success lies in embracing these advancements and redefining how energy procurement is managed. Now is the time to act or they risk being left behind.
