Quick answer: Physical procurement is how energy buyers secure the natural gas and electricity they need — sourcing supply, negotiating contracts and pricing, and managing delivery and price risk so operations run reliably and at competitive cost.

What is physical procurement?

It is the buying side of energy markets: sourcing supply, structuring contracts, and arranging reliable delivery of gas and power to meet demand.

Why does it matter?

Energy is a major cost, so disciplined procurement protects budgets and reliability, drawing on market analysis and risk management.

How is it done well?

Through sound contract management, strong supplier relationships, and market insight. Mobius Risk Group advises buyers on energy procurement strategy.

Frequently asked questions

What is physical procurement?

Securing natural gas and electricity supply through sourcing, contracting, and delivery management.

Why is it important?

Energy is a large, variable cost; disciplined procurement protects budgets and reliability.

What does it involve?

Sourcing supply, negotiating contracts and pricing, and managing delivery and price risk.