Reducing business energy costs starts with knowing where your energy goes. Some savings come from better equipment, but many come from simple changes to heating, lighting and the way equipment is used.
The aim is not simply to use less energy. It is to cut waste without making the business harder to run.
Start With Your Energy Use
Before making changes, find out how much gas and electricity your business uses.
Check recent bills and record your use in kilowatt-hours (kWh). If possible, compare at least a year so that seasonal changes do not give you the wrong picture.
Then look at when energy is being used. High use during busy working hours may be expected, while high use overnight or when the building is empty could point to waste.
Find the Biggest Uses First
Do not try to improve everything at once.
Instead, identify where most of your energy is going. Depending on the business, this could be heating, hot water, lighting, refrigeration, air conditioning, machinery, computers or other equipment.
Start with the largest areas because they usually offer the greatest chance to save.
Heating
Heating can be a major cost, particularly in offices, shops and other buildings that need to stay comfortable for long periods.
First, check when the heating comes on and goes off. There is little point heating an empty building for hours before people arrive or after they leave.
Also check the temperature. Small adjustments may reduce energy use without making the workplace uncomfortable.
Finally, make sure heating controls work properly and staff know how to use them.
Keep Heat Inside
A building that loses heat quickly needs more energy to stay warm.
Look for obvious draughts around doors and windows, and check whether doors are being left open unnecessarily. Roof, wall and floor insulation can also make a difference, depending on the building.
However, do not block ventilation that is needed for safety, air quality or the work carried out on the premises.
Air Conditioning
Cooling can waste a surprising amount of energy, especially if heating and air conditioning are working against each other.
Check temperature settings and operating times, and make sure systems are not running when the building is empty.
Regular maintenance can also help equipment work properly rather than using extra energy because of faults or blocked filters.
Lighting
Lighting is often one of the easiest areas to check.
Switch lights off in empty rooms and make better use of daylight where practical. Replacing older lighting with efficient LED lighting can also reduce electricity use.
Sensors and timers may help in places such as toilets, corridors, storerooms and other areas that are used only occasionally.
Computers and Office Equipment
Computers, screens, printers and other equipment can continue using electricity when nobody is using them.
Where practical, use power-saving settings and switch equipment off when it is not needed.
One device may use very little, but the cost becomes more noticeable when dozens or hundreds of devices are left running for long periods.
Machinery and Equipment
For businesses using machinery, motors or other large electrical equipment, focus on the equipment that runs for the longest or uses the most power.
Ask whether it needs to run continuously and whether operating times can be reduced.
Also keep equipment in good condition. Poorly maintained machinery can sometimes use more energy while doing the same work.
Refrigeration
Refrigeration must run when it is needed, so the goal is to make it work efficiently rather than simply switching it off.
Check door seals, temperatures and maintenance. Keep doors closed where possible and avoid making refrigeration equipment work harder than necessary.
If several units are used, compare their energy use. An older or faulty unit may stand out.
Can you save money?
Check our Business Appliance Savings Calculator →
Hot Water
Check how much hot water the business actually needs and when it needs it.
Heating large amounts of water throughout the day can waste energy if demand is low or limited to certain times.
Also look for dripping hot taps, leaking pipes and poor controls.
Look for Energy Used Overnight
One of the simplest checks is to look at what happens when the business is closed.
If you have a smart or half-hourly meter, examine energy use overnight and at weekends.
Some equipment will need to remain on, such as refrigeration, servers or security systems. However, a steady level of unexplained use can reveal equipment, heating or lighting that has been left running.
Use Meter Data
Do not rely only on the total amount shown on your monthly bill.
Where better meter data is available, use it to see when energy is being consumed.
For example, a sudden increase at 5am every morning could show that heating or machinery is starting much earlier than necessary.
Finding the pattern often makes finding the cause much easier.
Compare Similar Periods
Energy use naturally changes through the year.
A cold winter can increase heating demand, while a hot summer may increase cooling.
So, compare similar periods where possible. You can also consider changes in opening hours, production, staff numbers or customer activity.
The important question is not simply, “Did we use more energy?” It is “Why did we use more?”
Give Someone Responsibility
Energy savings are harder to maintain if nobody is responsible for them.
For a small business, this does not need to be a formal energy-management role. One person can simply check bills, meter data and obvious waste each month.
For a larger organisation, responsibility may need to be shared across different sites or departments.
What matters is that somebody notices when energy use starts moving in the wrong direction.
Involve Your Staff
Staff often see waste that does not appear on an energy bill.
They may know that a heater runs in an empty room, machinery is left on unnecessarily or a door is regularly left open.
Simple guidance can help, but avoid rules that make people’s jobs difficult. The best energy-saving changes fit naturally into the way the business works.
Before Buying New Equipment
Do not replace working equipment simply because a newer model uses less energy.
First, compare the cost of the new equipment with the likely saving.
However, when equipment already needs replacing, energy use should be part of the buying decision. A cheaper machine can cost more over its lifetime if it uses much more electricity or gas.
Check Your Energy Contract Too
Reducing consumption is only part of controlling your energy costs.
You should also check whether your contract remains suitable and understand when it ends.
A business can reduce its energy use but still pay too much if it is on poor rates. Equally, a good contract cannot compensate for energy that is being wasted every day.
We explain contract choices separately in Business Energy Contracts.
Make One Change at a Time
You do not need a large energy project to get started.
Choose a clear problem, make a change and then check whether energy use falls.
For example:
Problem: heating starts too early
Change: adjust the timer
Check: compare morning energy use
This approach makes it easier to see which changes actually work.
Keep Checking
Energy saving is not a one-off exercise.
Equipment changes, staff change and opening hours change. Small amounts of waste can gradually return without anybody noticing.
So, check energy use regularly and investigate unexpected increases.
The businesses that control energy well are not necessarily those with the most technology. They are often simply the ones that measure, act and check again.
Key Points
- Start by finding out where and when energy is used.
- Focus on the biggest areas of use first.
- Check heating, cooling, lighting and equipment operating times.
- Look for unexplained overnight and weekend use.
- Use meter data to find patterns and waste.
- Measure whether changes actually save energy.
- Check your energy contract as well as your consumption.
Important Information
Energility provides general information to help you understand energy, household and business costs, services and ways to save money. It is not financial, legal, tax, technical or professional advice.
Prices, tariffs, grants, government schemes, regulations and other information can change. Costs, savings and calculator results are estimates and your actual results may be different.
Before making an important financial decision, signing a contract or carrying out significant work, check the latest information and consider getting advice from a suitably qualified professional where needed.
Energility may receive a commission or other benefit from some links or services. Where this applies, we aim to make it clear. This does not increase the price you pay unless stated otherwise.
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