Average Electric Bill For Businesses In the US

3/4/2022 7 minutes
Open sign in store window
By: Integrity Energy Team

Across the U.S., more than $60 billion dollars annually goes to energy expenses.

Whether you are a CEO of a Fortune 100, are just starting out, or own a 4th generation family-run business, energy consumption accounts for one of your biggest expenses.

Integrity Energy works with small and large businesses every day to find the energy prices possible. We take care of keeping energy costs affordable for 40,000 customers by networking with our 30 energy suppliers and sorting through various energy plans to find the right one for your business. We know you have the demands of company ownership on your shoulders and are happy to take care of this one for you.

At Integrity Energy, we recognize that knowledge is power. So, let’s consider what factors contribute to your average business electric bill.

Start by Securing Your Lowest Energy Rates

In unregulated energy states with retail energy providers (REP), Integrity Energy’s top priority is to help local business owners find the lowest electrical and natural gas rates available. We can help you meet your energy goals. Talk to our energy experts about the best commercial energy prices and stop overpaying on your energy bill. Get a free quote today.

Improve Energy Performance

Businesses lower their average business electric bill all the time. A comprehensive energy survey and analysis can help identify cost-saving strategies and save your business money. The U.S. Environmental Protection Agency’s Energy Star is a terrific resource for helping small businesses lower their average electric bills.

The first step to reduce your business utility costs is through benchmarking, or calculating and comparing your building’s energy portfolio to similar buildings. Benchmarking can help you see inefficiencies in your energy use, highlight wasteful practices in your building, develop new energy-saving strategies, and construct a complete energy management program.

Pro-Tip: Businesses that effectively utilize benchmarking strategies, energy audits, and energy surveys have been seen to decrease their energy consumption 8% immediately with an additional 40% over the subsequent 10 years.

Energy Uses Vary

The average utility cost for commercial properties is $2.10 per square foot. However, depending on what type of business you own, your geographical location, and the local energy rates and market demand, the average energy bill for a small business can be dramatically different.

➤ Consider the energy needs of a restaurant with ovens, continuously running walk-in refrigerators, fryers, and industrial dishwashers compared to a small accounting firm with computers, copiers, printers and lights.

➤ Energy rates in Louisiana and Texas are much cheaper than Hawaii or Alaska.

➤ Summer energy demand is higher than winter; daytime demand is higher than nighttime.

➤ Your business may be in a state with high heating or cooling costs.

Pro-Tip: The cost of electricity rates change by the minute. Typically, rates are higher during peak energy use times. If your business is able to redirect energy use to times of low energy demand, you’ll find huge savings on your energy budget.

Average Water Bill For a Small Business

Here’s another incredible fact. The average water bill for a small business accounts for almost 20% of water usage in the U.S. Each drop used means a higher average business electric bill. Happily, saving on your water bill is easy! Read our Water Conservation 101 guide to conserving this precious and valuable resource. The EPA’s website on their WaterSense Program also offers great ideas on being a water conservation steward.

Average Hotel Utility Costs

Hotels maintain some of the largest electrical demands, averaging $1.05 per square foot. Customer comfort and convenience dictate this industry's huge draw on power. Have you gone to a hotel and cranked the temperature for your pleasure? Not to mention the frequent on-site restaurants that contribute to consistently over-the-top utility bills. In fact, as 6% of total operation overhead, each room runs $2,196 per room per year. This is an industry where owners need to pay special attention to bringing down their energy expenditures.

Top Tips to Lowering Your Business’ Electric Bill

No matter what your business does, there are some simple energy saving approaches to help you save.

Pro-Tip: Purchase energy-efficient equipment. Find Energy Star rebates on certified products.

➤ Ask your utility provider if they offer free energy audits. Understand your business’s power consumption.

➤ Every time you need to change a lightbulb, replace it with a high efficiency LED (light-emitting diode) bulb. Using new technology, they use 75% less electricity than compact fluorescent bulbs and last 25 times longer than old incandescent bulbs.

➤ Programmable thermostats help you regulate and optimize your building temperature, saving you thousands.

➤ Reduce energy waste. Turn off lights and equipment when not in use. Employ the “sleep mode” on machines when applicable. Install motion censoring lights in rooms with occasional use like break rooms or bathrooms.

➤ Maintain your heating and cooling systems annually for best energy efficiency.

➤ Become energy independent. Install rooftop solar panels to produce your own electricity. Solar power is quickly becoming more and more affordable through advances in technology and worldwide demand. You can off-set your electric bill while reducing greenhouse gas emissions. It’s a win-win!

➤ Read our blog for more great tips and tricks to lower your average business electric bill, like How To Save Energy in Your Office Building.

➤ Subscribe to our monthly newsletter, at the bottom of our homepage, for the latest trends in the commercial energy market.

At Energy Integrity, we value your business’s ability to find energy savings across the board. We know that keeping your energy footprint low can be complicated and want to do all we can to make conserving power as simple as possible. We believe in your business and understand that tools to success start with making financial and environmentally responsible choices. Consult our Energy Experts to learn how we can help you!