Lowering commercial electricity costs comes down to using less energy and using it more efficiently: upgrading to efficient lighting like LED, improving equipment and HVAC efficiency, adding controls such as sensors and timers, managing demand and usage patterns, and addressing waste and inefficiencies. Because electricity is a significant operating cost for many businesses, these steps can add up to meaningful savings. Understanding the main levers helps you prioritize where to cut costs.
Here is how to lower commercial electricity costs.
Upgrade to efficient lighting
Lighting is often a large share of a commercial building’s electricity use, so efficient lighting is a top lever. Retrofitting to LED significantly cuts lighting energy use while reducing maintenance, and it is one of the most common and effective ways to lower commercial electricity costs. For many businesses, especially those lit for long hours, an LED retrofit delivers noticeable savings and a strong return.
Improve equipment and HVAC efficiency
Equipment and HVAC are often the biggest energy users in a commercial building. Lowering costs here can involve:
- Maintaining HVAC so it runs efficiently
- Upgrading to efficient equipment when replacing aging units
- Addressing inefficient or oversized equipment
- Keeping systems in good working order.
Because these are major loads, improving their efficiency can produce substantial savings.
Add lighting and energy controls
Controls help ensure energy is used only when and where needed:
- Occupancy sensors that turn lighting off in unoccupied areas
- Timers and scheduling so systems run only when needed
- Dimming where appropriate
- Smart controls for lighting and other systems
Controls reduce waste from lighting and equipment running unnecessarily, which lowers costs without sacrificing function.
Manage demand and usage
Commercial electricity bills can include demand charges based on peak usage, as well as energy charges. Managing when and how much power is drawn, such as avoiding unnecessary simultaneous peaks and shifting flexible loads, can reduce demand charges on applicable rate structures. Understanding your rate structure and usage patterns helps identify where managing demand and usage can lower the bill. This varies by utility and rate plan, so it is worth reviewing yours.
Address waste and inefficiencies
Finally, lowering costs means finding and fixing waste: lights and equipment left on unnecessarily, inefficient old systems, and other inefficiencies. An energy assessment can identify where a building is wasting energy and where the best savings opportunities are. Addressing these, from behavior to equipment to controls, is how a business systematically reduces its electricity costs. A professional assessment helps prioritize the most cost-effective measures.
Lowering commercial electricity costs comes down to using less energy and using it more efficiently: retrofitting to efficient LED lighting, improving equipment and HVAC efficiency, adding controls like sensors and timers, managing demand and usage patterns, and addressing waste. Because electricity is a significant operating cost, these steps can add up to meaningful savings. An energy assessment helps identify the best opportunities for your building.
Stella Electric helps businesses cut electricity costs with efficient lighting and electrical improvements across the Baltimore area and throughout Maryland, with flat-rate pricing and no overtime charges. If you want to lower your commercial electricity bill, we can help. Financing is available on qualifying projects.