Companion.energy
ETIS Energy Working Group webinar

Can a telco cut its energy bill in half?

One operator view, one market view. Robbert van den Krommenacker of VodafoneZiggo and Jack Eastwood of Companion.energy scored four levers as a share of a telco energy bill. Here is the honest answer.

The verdict, middle case

A fifth to two fifths of the bill is within reach. Half needs more. The range runs from a calm market with slow delivery to a volatile market with strong delivery.

Recorded 6 October 2026

Cutting the telco energy bill in half: aspiration or reality?

The session was shaped by the ETIS Energy Working Group survey of H2 2026.

  • Top priorityReducing energy costs and OpEx
  • Most requested topicAI-driven energy optimisation
  • Rising themeBatteries (BESS) and virtual power plants
Robbert van den Krommenacker
Category Procurement Buyer, VodafoneZiggo
The operator view: what worked, what didn't and what's next inside a large telco network.
Jack Eastwood
Commercial Director, Companion.energy
The market view: patterns across European telcos on the Companion platform.
A webinar by ETIS, the community for telecom professionals VodafoneZiggo Companion.energy
Why now

The rules of energy buying changed

BeforeNow
HedgingAnnual fixed hedgesLayered hedges plus managed spot exposure
RiskThe supplier holds the risk, and charges for itYou hold the risk you can forecast
DonnéesCollected for reportingUsed to drive decisions
Backup assetsSit idle until an outageEarn while they stand by
Four levers

Our pathway to cutting the bill

Each lever scored as a share of the total energy bill, middle case.

  1. 01Use less13%
  2. 02Pay less for the grid3.5%
  3. 03Make resilience earn5%
  4. 04Buy smarter5%
01

Use less

Efficiency, sleep modes, cost-weighted efficiency

The cheapest megawatt-hour is the one you never use.

  1. Sleep modes. Radio network equipment powers down when traffic drops.
  2. Machine learning. Smarter sleep modes predict when cells can rest.
  3. Hardware upgrades. Newer network equipment does more per watt.

Yet the network carries far more data for a similar energy bill, and 6G and data centres keep adding demand. Net efficiency gains are limited. The bigger win is energy cost efficiency.

Efficiency metrics tell you where you are efficient. They don't tell you when you are cost efficient.

Peak-price hours Cheap hours High adaptability Low adaptability
Hidden costHardware adapts well, but the waste lands at peak prices.
Fix firstPoor adaptability, and the waste lands at peak prices.
Leave aloneAdapts well, and residual waste happens when power is cheap.
Fix laterPoor adaptability, but the waste lands in cheap hours.

The second problem: dynamic sleep modes create power swings that break baseload hedges.

02

Pay less for the grid

Legacy connections, grid-aware siting

Connections sized for a state-owned past, still paid for today.

A large telco runs thousands of grid connections, each billed on its own. Many were sized long ago, and some were never on record: nobody tracked them when telcos and grid operators were one state-owned company.

Right-sizeOversized legacy connections are a recurring OPEX you can negotiate down with the grid operator.

Let grid tariffs decide where you build.

Every new tower, data centre or battery locks in a grid regime for ten years or more.

  • €400 → €5,000a year in grid charges for the same small site, depending on where it connects
  • €15 to 41kper MW a year for large sites, between Dutch grid operators
  • €30 to 82ka year for a 2 MW data centre, depending on where it connects
03

Make resilience earn

Large batteries, site-level steering

Large batteries are resilience that pays for itself.

Deutsche Telekom is building 300 MWh of battery storage across its German sites, for three reasons: backup for data centres and critical sites in place of diesel, market participation through arbitrage, balancing and frequency services, and cheaper renewables by storing PPA power for when it is needed.

Net return per MW of 2-hour battery, € a year

Netherlands, 2030€70k
Central case€112k
Germany today€172k

Site steering: tariff design drives flex returns.

  1. Every site, its own tariff. Each backup battery is steered around its own site's grid tariff and power prices.
  2. Savings on your own bill. Behind the meter: lower grid and energy costs, with a resilience reserve always kept.
  3. Not a VPP. A VPP pools batteries to sell services to the grid. Site steering optimises each site first, and the two can stack.
2.3×better returns from the same battery, depending on the regional tariff design
04

Buy smarter

Forecasting, renewables, hedging

Suppliers charge a premium for risk they can't price.

  1. Forecast. Predict your own consumption better than the supplier can.
  2. Nominate. Send your own forecast to the supplier instead of its default profile.
  3. Pay less for the gap. Smaller deviations mean lower imbalance fees or TSO charges.
Lower imbalance feesEvery deviation you avoid is a fee or TSO charge you no longer pay.

Same strategy, two very different years.

Moving step by step from pure spot to layered hedging with more renewables lowers the commodity cost in a normal year, and even more in a volatile one.

1. 100% spot100
2. Annual hedge + PPA452530
3. + Battery smoothing453520
4. + Layered hedging355015
HedgePPASpot
Hedge in layersSpread your buying moments, so one badly timed hedge can't swing the whole bill.

Savings are available where telcos can price and manage the risk better than their suppliers, but it takes the right risk appetite.

The verdict

A fifth to two fifths is within reach. Half needs more.

Add the four levers up and the middle case lands at 26.5% of the bill. In a volatile market with strong delivery it reaches 38%. Closing the gap to half takes levers this session did not explore:

  • Administrative task automation
  • 100% 24/7 carbon-free energy
  • Zero-bit, zero-watt network equipment
  • Reduced consulting spend
  • Use less13%
  • Pay less for the grid3.5%
  • Make resilience earn5%
  • Buy smarter5%
  • Total, middle case26.5%
  • Range, low to high18 to 38%
How Companion.energy helps

One platform behind all four levers

PRISM

See what every site costs, and when

Every meter, contract, grid tariff and market signal in one live view. Find the sites where waste lands at peak prices, spot oversized connections, and compare grid regimes before you build. 50 to 80% less manual work.

Levers 01 and 02

PROPEL

Forecast, nominate and steer, autonomously

Forecasts your consumption ahead of the supplier, nominates it, and steers each backup battery around its own site's tariff, with a resilience reserve always kept. 10 to 30% lower energy costs through autonomous dispatch.

Levers 03 and 04